Cancellation after a claim
The insurer's contractual option to cancel a policy after a claim, with one month's notice, balanced by the insured's right to cancel their other policies with the same insurer.
Article R. 113-10 of the French Insurance Code allows the insurer to reserve in the contract the right to cancel it after a claim. Cancellation takes effect one month after notice to the insured, and the insurer refunds the premium for the unexpired period. In return, the insured may, within the following month, cancel the other policies taken out with the same insurer. In motor insurance, the option is more strictly limited: the insurer may cancel after a claim only if the driver was under the influence of alcohol or drugs, or committed an offense leading to suspension or revocation of the license. Cancellation does not erase the claim that occurred, which the insurer must pay. For the insured, it has a lasting consequence: it appears on the claims history statement and makes it harder to find a new insurer, up to recourse to the central pricing bureau for compulsory insurance.
A shopkeeper whose store suffers a fire in February 2024 receives from the insurer, which had reserved the Article R. 113-10 option, a cancellation effective in March; within the month, the shopkeeper cancels the motor and protection policies held with the same insurer.
Follow the research
One letter a week. First, the week's underwriting note, when one is published: a dated, argued decision, signed by Paul Bernardski. Then what the observatory published on cyber risk, political risk and insurance. No account, no tracking.
No spam, one-click unsubscribe, no data ever sold.