Although not mandatory, banks require their clients to take out a guarantee covering the risk of death and disability. Often, with their insurer! However, since July 2014, buyers can change insurance in the first year of the contract.
Banks very often associate the obtaining of a mortgage to the subscription of a borrower insurance within their own establishment. However, in theory the borrower can choose his insurance.
The Lagarde law
This law, which has been in force since September 2010, strengthened consumers’ insurance rights by allowing the borrower to choose insurance other than that of the bank. Thus, it can not impose its contract if the insurance found by the borrower provides insurance coverage greater than or equivalent to that offered by the bank. In order to facilitate the comparison of the offers offered by banks with those of insurance companies, since 2008 they have been required to provide a standardized fact sheet.
In addition, if the borrower has already submitted a loan offer, the bank can not, when the borrower chooses another insurer, make any rate changes to its original proposal (rate, loan conditions, payment of additional fees). ).
Namely: if the bank refuses the external insurance offered by its client, it must give reasons in writing for its decision. She then has 10 working days to do so by registered letter with acknowledgment of receipt.
The Hamon law of July 2014
For all loans taken since July 26, 2014, borrowers have a year of reflection (after obtaining their loan) to change, without charge, borrower insurance. However, the new offer must offer a level of guarantee at least identical to that of the initial contract. If this is the case, the lending institution is obliged to accept the change of insurance.
Why look for your own insurance borrower?
The insurance offered by the bank often corresponds to a group insurance cover (group contract). Most of the time, it is negotiated by the bank with an insurance company. Therefore, the borrower subscribes to a standard contract where the tariff is unique irrespective of sex, age, profession or state of health.
Choosing an insurer allows the borrower to take out a contract whose cost is commensurate with his risk. Thus, if the borrower is young and healthy a delegation of loan insurance often allows him to make serious savings. An applicant presenting a medical or professional risk may, with the payment of a surcharge, insure his mortgage while group contracts hardly accept these profiles.