Maud Descamps, edited by Gauthier Delomez 8:59 am, November 25, 2021

MEPs will debate on Thursday a bill that would give homeowners the possibility to change borrower insurance at any time, and no longer simply on the anniversary date of the contract. A proposal welcomed by the association UFC Que Choisir and which would allow consumers to save money.

Want to change borrower insurance right away?

It may soon be possible.

A bill going in this direction is discussed Thursday in the National Assembly.

Concretely, homeowners may be able to subscribe at any time and no longer have to wait until the anniversary date of the contract to terminate it.

If it is a step forward for homeowners, this bill would also allow banks and insurers to compete, which would automatically lower the prices of borrower insurance.

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Significant margins for banks

This insurance covers risks such as death, illness or disability. Of the seven billion euros of borrower insurance premium, 85% is held by banks. But for Matthieu Robin of the association UFC Que Choisir, these do not offer the most interesting contracts. "The banks have extremely expensive contracts which are not better than the others", he affirms on Europe 1.

"In fact, there is a huge profitability", notes Matthieu Robin.

"It is 68% margin that is achieved on average on these contracts. And this margin is achieved on all consumers, whether they are old, young, in good health or not. It is really disproportionate", slice- he, welcoming the bill debated Thursday: "It is the solution to put an end to the lockout of this market".

For a 35-year-old couple, for example, putting insurers and banks against each other can save up to 15,000 euros.

In total, for all loans in France, it is 550 million euros that could be saved by consumers.