The Hamon law has brought a plus for policyholders in the areas of housing and automobiles. It simplified the cancellation procedures for them and reduced the mandatory period before being able to change insurer. It is no longer on an annual basis, once the first mandatory year has passed, but on any day of the year that you can request the termination of your insurance contract.
What is the Hamon law?
The Hamon law known as: « Law relating to consumption » bearing the n°2014-344 whose date of entry into force is March 18, 2014 concerns several areas of consumption: insurance contracts whatever they are, but in particular home and automobile, distance sales, cold calling, planned obsolescence of products, driving school application fees, abusive clauses in all areas relating to consumption, lost or damaged deliveries, banning chargeback fees for people in difficulty…
It allows the consumer to be able to terminate his contracts more easily, and also to defend himself against abuse in several areas.
How to terminate your insurance contract before the Hamon law?
Before March 17, 2014, you had to choose your insurance carefully because we were linked to it for several years.
Whether it was home, automobile or other insurance, we had to wait for the contract to come to an end before terminating it. But here again, you had to be careful to follow the procedure properly, otherwise the termination was invalidated and the contract started again for the same duration. It was necessary, before the two months of the deadline, to send a standard letter, registered with acknowledgment of receipt requesting termination.
Impossible to change insurance along the way for a cheaper one, which is very damaging to the budget when it has decreased.
The only exceptions to this rule were: moving house, divorce or separation, retirement.
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How to terminate your one-year insurance contract with the Hamon law?
The Hamon law simplifies the termination of insurance contracts, mainly home and automobile. Article L113-15-2 concerns termination by the consumer (the insured).
- Only one constraint still binds you to your insurer, the first year of the contract. As soon as this first deadline has passed, you can cancel it whenever you want. If you are a tenant, it is imperative to present a new insurance contract to the lessor. You cannot end an insurance contract without taking out another one from a competing establishment for rental accommodation or a vehicle that you continue to drive. These two elements available are subject to the insurance obligation, which is not the case for real estate if you own it and not rent it out.
Two solutions are available to you at the time of termination
- You send a standard letter by registered mail with acknowledgment of receipt terminating the contract within 30 days (There is always a 30-day period between receipt of the letter and the end of the contract, a notice as for housing or employment).
- Your new insurer can take care of this chore, it is part of his duties. It’s easier, faster, you don’t risk receiving a phone call from the former insurer asking you why you are terminating the contract. During the transition, after 30 days, the new insurer takes over. You then leave for a full year with your new insurer. You can study this step on Maaf.fr which will take care of the administrative procedures for terminating your contract.
Every rule has its exceptions
There are a few exceptions, however, during which the contract can be terminated before the first year has elapsed, on the side of the insured but also of the insurer:
- A change in marital status or regime
- A change of occupation
- A retirement
Reimbursement of overpayment
Insurance installments are generally paid every 6 or 12 months. Reimbursement in the event of termination is made pro rata to the days concerned after the statutory 30 days, counted from the date of receipt of the registered letter.
Modify a contract
It is always possible to modify a contract during the year to add or eliminate services.
If one or more other insurances are added (auto, home, scooter, 2 wheels, accident, life, legal, etc.), the insurer can propose a modification to the current contract by revising its amount downwards. Similarly, if he is presented with a similar simulated contract with a competitor, he can then propose a new price, this is taken into account from the following month, even if the 30 days have not elapsed, this modification being carried out internally. .
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