Corona Virus: Can I Reevaluate My Car Insurance Contract?

The detention and traffic restrictions related to the coronavirus pandemic forced the French to leave their cars in the garage. With a car that stops or almost stops driving, it’s tempting to dive back into your insurance contract to adapt it to this health crisis to cut your expenses. Can we do what we want? Auto Plus answers these questions that drivers asked in this episode of the corona virus.

Do I have to pay to insure my car that is no longer driving?

Justified question, tell yourself: “I’m paying insurance for my car that I can’t even use.” Don’t cancel your contract. It is important to note that car insurance is compulsory insurance in accordance with Article L211-1 of the Insurance Act. This article states: “Any natural or legal person other than the state, whose civil liability can arise due to damage caused by third parties caused by damage to people or property involved in the manufacture of a vehicle, must in order to disseminate it , be covered by insurance that guarantees this responsibility. “

If it is possible to reduce the guarantees given to lower his insurance premium, the fact remains that the guarantee of “civil liability” (also known as liability insurance) must be maintained even when the vehicle is not in use.

Article L324-2 of the Road Traffic Regulations provides: “The act, including negligence, of placing or circulating a land vehicle and its trailers or semi-trailers without being covered by an insurance guaranteeing its guarantee. Civil liability under Article L. 211-1 of the Insurance Code is punished with a fine of 3,750 euros. “It is the commissioning of the vehicle, ie its registration, that determines its compulsory insurance and not its use.

Is it worth changing my insurance contract?

It is possible to reduce your guarantees to pay less, but be careful! You can change your insurance contract to remove “an option” that you would no longer need. For example, it is possible to take out insurance per kilometer traveled (or a fixed price per kilometer of 5,000, for example 8,000 km). This can be advantageous in that traffic is restricted indefinitely. Ask your insurer if you are eligible and if they offer this type of plan.

In this case, there are two options: to change the current contract or to create a new contract. Of course, insurance companies have the right to reject requests to change their policyholder’s insurance policy without providing evidence. However, you cannot refuse to cancel!

Be careful once the delivery is complete, don’t forget to adjust your contract to meet your new needs. Otherwise, in the event of a responsible accident, if you have exceeded the planned mileage, you risk a total or partial refusal of compensation.

Photo credit: Adobe Stock

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