When you borrow to buy real estate, you take out borrower insurance at the same time. The latter must protect the borrower and his relatives in the event of an unforeseen event (death, disability, etc.). Most of the time, it is the lending bank that insures the borrower, which is not always the best way to do it… Indeed, with equal guarantees, certain insurance policies are less expensive than those offered by the banks . This is also where a broker can intervene: he will seek and find the best contract for you to save on your borrower insurance. How ? We explain this to you.
Perhaps you do not yet know the profession of broker. To put it simply, he will look for an insurance contract and/or a credit (a mortgage for example) for you. Where it gets interesting is that the broker is able to unearth deals that you wouldn’t get otherwise! Indeed, with a large volume of customers that he brings to insurance, he can negotiate lower rates. Moreover, it can even go further sometimes by negotiating options and/or guarantees that you would not even have thought of.
Anyway, going through a broker for your borrower insurance allows you to take advantage of two advantages. The first is the significant time saving in researching and negotiating with insurance companies. This is an advantage not to be overlooked, this kind of research can take a lot of time! The second, as you will have understood, is that you save money on your borrower insurance .
So, if you want to go through a broker for your borrower insurance, it may be because you want to change from the one you currently have. The good news is that it is quite possible to change borrower insurance, but under certain conditions, in particular the age of the contract:
Attention ! From September 2022, it will be possible to change borrower insurance at any time.
As soon as your broker has found your new borrower insurance, you can cancel the old one. To do this, send a registered letter (R1) with acknowledgment of receipt to your current insurer. Keep the acknowledgment of receipt, it is proof that you are in the process of stopping your old insurance. Note that some insurance companies offer to carry out this step for you.
Whatever happens, consider getting in touch with your bank and submitting the new contract. Indeed, the lender must validate the new borrower insurance contract. This is often only a formality, but it is necessary to check that this contract provided by your broker offers equivalent guarantees. In short, you will understand, changing borrower insurance with a broker is easier than you think . Besides, maybe you can save a little more thanks to the savings made with the new borrower insurance? Because, yes, changing insurance can sometimes save several thousand euros!