Home insurance is tacitly renewable coverage. This means that when its anniversary date arrives, it automatically renews to ensure continuity of protection.
However, sometimes the insurer terminates the coverage, most often due to non-payment or following multiple claims. When an insurer terminates your home insurance contract, you are considered an at-risk profile and this will complicate the search for new insurance. How to react in this situation? Explanations.
There are several reasons that lead an insurer to terminate a home insurance contract. These are in particular the failure to pay insurance contributions, the aggravation of the risk making the dwelling impossible to insure, the false declaration during the assessment of the risks and the value of the goods as well as the accumulation of claims. When you are terminated for non-payment, your insurance certificate will be marked with the inscription " bad payer ", whatever the reason. Moreover, the fact of having been terminated will taint your file for a long time.
In these cases, it is not easy to gain the trust of insurers, but since the environment is quite competitive, some organizations are ready to take the risk in exchange for a higher than average premium. In order to find them, you have the possibility of going through an online home insurance comparator allowing you to survey the offers on the market. Thanks to this tool, you will have the opportunity to access quotes adapted to your needs and your budget. It is then up to you to decide whether to subscribe to one of the proposals or to continue your research.
Unlike car insurance, there is no central file listing owners or tenants whose home insurance has been terminated. Such a file does not exist within the Association for the management of information on risk in insurance. However, even if you are not listed as a bad payer or as a terminated insured, this does not mean that insurance companies will not be aware of your precedents.
You should know that insurers talk to each other. Thus, when you file an insurance application with a given organization, it will likely contact your previous insurer to get as much information as possible about your file. On the other hand, it is advisable to declare your canceled status to your new insurer, otherwise, he may invoke the false declaration in the future in order to make you lose your coverage. You therefore run the risk of not being compensated in the event of a claim.
If you do not have home insurance, you are endangering your property and its contents, but also its occupants. In addition, it is mandatory for tenants to have home insurance. In the event of a lack of insurance following a termination, the tenants risk eviction from the accommodation. On the other hand, the owners are not obliged to do so, although the insurance is useful. Indeed, in the event of a claim, he will be obliged to repair out of his own pocket any damage that may affect third parties.
After a termination, however, the search for insurance is complicated. In addition, insurers have the right to refuse to serve a client when they believe that the risks are too high. In this case, you have the option of contacting the Central Pricing Office. This is an independent organization that you are able to contact after several refusals of insurance and whose function is to set the amount of your insurance contribution. Note that it is up to you to designate an insurance company which will then be required to accept you.
