Termination in the event of theft or loss

Termination in the event of theft or loss

If you have third-party insurance, you are generally not covered in the event of theft of your car or irreparable damage following an accident for which you are responsible. Third-party insurance includes a guarantee of civil liability, it will only compensate for any damage that you could cause to other people with your vehicle.

You may also have decided to destroy your old, unusable car at an approved VHU (End-of-Use Vehicle Centers) scrapyard.

In these cases, in accordance with Article L121-9 of the Insurance Code, the theft of your vehicle or its destruction is a legitimate reason for terminating your contract before its term. The contract ends on the date of theft or total loss of your car. You must notify your insurer as soon as possible and will be reimbursed for the contributions paid for the period after the theft or loss of the vehicle.

If, on the contrary, you have taken out all-risk insurance, for example with a guarantee against theft or material damage that may occur, you will be compensated, so you cannot terminate your contract for this reason.
Termination in the event of the subscriber's death

In the event of the death of the contract holder, the contract is transferred to his heir so that the car is still insured. You have 3 months to notify the insurer of the death, and if the insurer agrees, you can take over the contract in your name. You can also request termination, in which case the termination of the contract will be effective no more than 10 days after receipt of your letter by the insurer. You will be reimbursed for the period not covered, between the day of death and the effective termination of the contract, on a pro rata basis.

Note that auto insurance is mandatory, you must choose a new insurer if you keep the vehicle. It happens that the former insurer opposes the termination of the contract arguing that the vehicle must be insured, especially since article L121-10 of the insurance code concerning death excludes cars, in this case it may be easier to ask the new insurer to terminate it.
Cancel free of charge during the engagement period for a legitimate reason

Article L113-16 of the Insurance Code specifies the events where you are likely to be able to terminate your car insurance, provided that they have a direct impact on the risks covered by the contract. As these reasons are open to interpretation, we advise you to seek the advice of your insurer. In the event of disagreement, it is up to you to prove that your new situation has an impact on the risk (Article R113-6 of the Insurance Code)

The contract must be terminated at the latest 3 months following the date of the event. Cancellation takes effect one month after your insurer has received your registered mail (or other notification)

Example: if you get married on July 1, then you must notify your insurer on October 1 at the latest. If you notified him on July 15, the termination will take effect on August 15.
Change of domicile

As part of an auto insurance, a move can impact the risk if for example you move to a place where the risk of theft is greater for a comprehensive insurance. If you simply change apartments in the same building, on the other hand, the risk guaranteed by your automobile insurance contract is not modified, so this will not be a legitimate reason to cancel.
Change in marital status

A marriage or a divorce, for example, changes the scope of coverage of the auto insurance contract, and generally allows you to terminate your contract.
The change of matrimonial regime

This is a modification for example of your marriage contract, the impact on the risk covered by your car insurance is not systematic, check with your insurer if you consider that the change has an impact on the risk covered by your auto insurance.
Change of profession

Insofar as it affects your use of the insured car, a change of profession gives you the right to terminate your auto insurance. For example, if your commute from work to home is doubled.
Professional retirement or permanent cessation of professional activity

Retirement, for example, changes your use of the insured vehicle since you no longer use it for professional practice.

Important: If you are not sure that your new situation has an impact on the guaranteed risk, you can request a new quote from your insurer, if the premium is modified (upwards or downwards), you enter into the conditions of article L113-16 and can terminate your contract.