How to change your home loan insurance at any time

The breakthrough was eagerly awaited by consumer protection associations. Thanks to the adoption of the Lemoine law on February 17, 2022, the French will be able to terminate their borrower insurance at any time, as soon as they take out another one with at least equivalent conditions. The interest is twofold: to obtain a more competitive price and better guarantees. This possibility will be open to new loan contracts from 1er June 2022, and to alumni from 1er september. Until now, the law allowed this change only during the first year of credit, as well as on each anniversary date.

Several thousand euros at stake

Matthieu Robin, project manager at UFC-Que Choisir, estimates that a 35-year-old couple who would have borrowed five years ago, over twenty years, could thus save up to €13,000 over the total duration of its credit by bringing the competition into play. “Consumers can also benefit from the quality of their insurance, for example on the issue of deductible periods”says Matthieu Robin, who advises using one of the many online comparators or getting help from a broker.

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To terminate, the customer must send a registered letter to his bank or insurer, proposing the alternative contract. The establishment has ten working days to respond. If he accepts the termination, he must then, within ten working days, send the amendment. “Banks frequently offer to match the alternative contract,especially for the good profiles”, observes Matthieu Robin.

Compare offers

Before starting, the project manager at UFC-Que Choisir encourages the borrower to question himself and to study precisely, year by year, the amount of the contributions. Indeed, while a credit is subscribed on average for twenty-two years, its repayment generally occurs after nine years. “Some contracts have higher premiums at the start and drop at the end, illustrates Matthieu Robin. It is therefore necessary to estimate the savings made by taking into account the possibility of selling before the end of the loan. »

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In addition, the Lemoine law now requires banks and insurers to inform their customers each year of their right of termination and to indicate the expiry date of the contract, as well as the cost of their borrower insurance over eight years. What, perhaps, arouse the desire to embark on a process that is certainly tedious, but often winning.


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