Can the insurer cancel your contract?

Question to an expert

I received a letter from my insurer indicating that my contract was going to be terminated, does he have the right to do so?

As with any contract, it is possible for each party to an insurance contract to terminate it. The insurer can therefore initiate the termination of an insured. However, it must respect the rules established in the contract and in the insurance code.

Beyond the deadline, an insurer may terminate a contract, particularly in the event of false insurance declaration, insurance fraud, failure to pay premiums, as well as in the event of a responsible accident under the influence of the alcohol or narcotics. Or after a disaster, if the contract provides for it.

High loss experience

Finally, too high a loss experience, even for non-fault claims, is often synonymous with termination at the end of the contract.

In practice, the insurer must inform of its decision by registered letter, in which it notifies the date on which it will terminate the contract. For optional insurance, the insured can cancel himself as quickly as possible, to avoid being “record terminated” and to be charged a higher rate by your next insurer, or even to struggle to find one. This involves taking out a new contract to avoid a period of uninsurance.