Assurance about Insurance: A Guide for Moving to France
If you’re considering relocating to France, buying a second home here, or are already living in the country, understanding the insurance landscape can be challenging. This guide will help clarify some of the trickier aspects of French insurance, and ensure you have the coverage you need for a smooth transition.
Understanding PHI and Mutuelle Top-up Insurance
Private Health Insurance (PHI):
Private Health Insurance in France is similar to travel insurance but offers more comprehensive coverage. PHI includes routine medical care, tests, treatments, and sometimes coverage for pre-existing conditions. It’s essential if you’re applying for residency or a visa, as it provides coverage comparable to both French social security and a Mutuelle. However, to access Mutuelle top-up insurance, you need a French social security number. A significant advantage of Mutuelle insurance in France is that it doesn’t require a medical questionnaire, thus ensuring no exclusions.
Home Insurance Coverage
In France, home insurance policies typically cover both the building and its contents. Valuables are insured on a “new for old” basis, meaning you’ll receive the replacement cost of lost items, not the depreciated value. General contents can be insured at a discounted value, which might reduce the premium. Outbuildings, such as sheds or garages, can also be covered, though their contents coverage is often limited (usually to around €800 per claim, depending on the insurer) so if you know your contents are worth more than this, you will need a tailor made policy.
Car Insurance: What to Expect
Car insurance in France covers the vehicle rather than the driver. This means any licensed driver can use the insured vehicle, but claims may result in an increased excess (usually an additional €150). Most French insurers offer roadside assistance for both breakdowns and accidents and this is included in the premium. Dealerships often provide free roadside assistance for the first year (or first few years) of a new purchase, but this typically excludes comprehensive breakdown cover. To avoid any gaps in coverage after this time, it’s wise to check the small print on the assistance cover provided by your insurance company.
Insuring Foreign-Registered Vehicles
Some French insurers will cover foreign-registered vehicles while you wait for them to be officially imported onto French number plates. Importing your vehicle is mandatory, and failing to do so can result in severe penalties. Alternatively, you can opt for temporary French insurance, which can be quite expensive (often €250 per month or more). Ensure you start the import process as soon as possible to avoid these high costs.
Navigating the Small Print
French insurance policies have some cultural nuances that differ from the UK or US. For instance, canceling a policy at the renewal date isn’t straightforward and must be done at least a couple of months in advance. However, once a policy is over a year old, you can switch insurers with just 31 days’ notice, and any excess premium will be refunded without penalty. The new insurer typically handles this process, making it relatively hassle-free for you.
The Importance of Understanding French Insurance
For non-EU individuals moving to France, understanding and navigating the French insurance landscape is crucial. Proper insurance ensures you’re protected against unforeseen events, whether health, property or vehicle related. Having the right insurance policies that provide the level of cover YOU require, gives peace of mind, allowing you to enjoy your time in France without any unnecessary worries.
Final Tips
- Do Your Research: Understand the different types of insurance available and what suits your needs.
- Ask Questions: Don’t hesitate to ask for clarifications on policy details, exclusions, and coverage limits.
- Stay Informed: Keep up-to-date with any changes in French insurance laws and requirements.
Understanding the French insurance system may seem daunting, but with the right information and support, you can ensure you and your assets are well protected. Embrace your new life in France with confidence, knowing that you’re covered.
