Yes, it is entirely possible to change home loan insurance, even if borrowers don’t seem to know it in general.
Indeed, it has been observed that borrowers who took out home loan insurance several years ago are today ill-informed about the various insurance choices that exist on the market and are, for the most part unaware of the possibility of changing borrower insurance during the loan.
Changing insurance can save you money.
Company laws legislate mortgage loan insurance
As a reminder, since 2010 and the passing of the Company law, it is possible to take out group insurance (generally that of the bank is offered from the outset) or individual insurance. This individual insurance is personalized and better meets the profile of the borrower. Consequently, its cost is often more advantageous.
Even if the banks try at all costs to make you take out their own insurance, they cannot refuse your request to go through a different insurance, without justification. However, the offer must be at equivalent warranty levels. Otherwise, you can obtain a refusal which will be explained to you.
Advantages of mortgage loan
It is therefore possible to change mortgage insurance and choose a different and more advantageous insurance from that of the bank. It is a delegation of insurance. Even if the request may seem long to set up, it saves up to 60% of the total cost of insurance, which is therefore not to be overlooked.
For information, since December 2013 and the vote of the Company law, the borrower has a full year from the date of effective conclusion of the credit to change his mortgage loan insurance. Before this law, it was only possible to break the contract two months before the anniversary date of signature.
TO REMEMBER !
- You can take out group or individual insurance when you borrow
- It is possible to change mortgage insurance from the date of effective conclusion of the credit for a whole year
- Call on a broker like Lite Lender, to find you the most advantageous insurance according to your profile