Most contracts in France, whether they are insurance contracts or others are set up on an automatic renewal basis. This means that they will be automatically renewed unless you don’t give the proper amount of notice to cancel.
Various solutions are on hand in order to cancel your policy, which can only be done at the renewal date.
The first one is to give at least 2 months notice to your broker before the renewal date of your policy; this notice has to be given in writing and sent registered post (recommandée avec accusé de réception). You must keep your proof of postage and the receipt the post office will send you to notify you the recepient has received your letter.
The second solution is to cancel according to an agreement set up in 2005, called Loi Chatel.
This entitles you to request a cancellation on receipt of a renewal notice advising you of a change in price for your policy. You have 20 days from the stamp date on the envelope to send your request, which has to be made in writing, by registered post. You must mention in the letter that you are cancelling according to the terms and conditions of “Loi Chatel”.
Please note the “Loi Chatel”does not apply to registered businesses who have subscribed to a professional insurance contract.
The third solution is to cancel according to Loi Hamon. This agreement was signed in 2016 and allows your new insurer to cancel your existing policy by giving 30 days notice to your insurance company at any time during the policy as long as it is at least 12 months old. This applies to vehicle and home insurance policies only, and does not apply to professional, health, pet insurance policies etc… You have nothing to do as the new insurer will organize everything. You will receive a refund pro rata for any unused insurance.
Finally, you are entitled to cancel your vehicle or household insurance in case of sale. For a vehicle, please provide your broker with the sale certificate ( certificat de cession ) and for a house the attestation of sale your Notaire has to provide you with on the day of the sale. Your policy will then be cancelled and a refund pro rata will be made.
