Blog > France | Expats > Be insured: compulsory or voluntary insurance?

Be insured: compulsory and voluntary insurance?

FRANCE | EXPATS

BANKEAZ | Expats Team
8/26/2024 - 6 min read

Explore our comprehensive guide on compulsory and voluntary insurance choices, along with instructions on acquiring insurance and understanding the terms of compensation.

Gain insight into the intricacies of insurance selection and the process of obtaining coverage.

Uncover the details surrounding insurance options and the conditions for receiving compensation.

#InsuranceGuide #CoverageDetails

> Lost ?

If you find yourself confused within the complex world of French insurance, worry not––we are here to provide assistance!

Our comprehensive guide to compulsory and voluntary insurance will aid you in navigating through the plethora of choices available.

Trust us to simplify the process and help you make informed decisions regarding your insurance needs.

> Required insurance in France

French legislation mandates the acquisition of specific insurance policies, ensuring protection under the Civil Code and Insurance, Mutual Insurance, and Social Security Codes.

This regulatory framework guarantees comprehensive coverage for individuals. Uncertain about the necessary insurance types in France?

Know more into the details to secure your protection effectively.

- Health insurance

Everyone living in France is required to have comprehensive health insurance, either through the public health insurance system, or through a private provider via their employer.

Universal health insurance guarantees access to quality care by reimbursing part of the cost.

- Liability insurance

Civil liability insurance enables you to compensate others if you unintentionally cause them damage, whether bodily, material or immaterial.

Liability insurance is not strictly speaking compulsory, but certain professions (law, medicine, construction, etc.) require you to be insured, as do certain sports and leisure activities.

If you have comprehensive car or home insurance, be sure to read your policy carefully, as it is highly likely that civil liability is included.

- Home insurance

Home insurance is compulsory for:

• Tenants, whether furnished or unfurnished;

• Co-owners.
  
  

Only owners are not obliged to take out home insurance, but it is strongly recommended. Moreover, homeowners' insurance is not compulsory, except in the case of condominiums.

There is, however, a compulsory insurance policy in this category: civil liability against rental risks. Moreover, home owners are protected against damage caused by fire, explosion or water damage caused by the tenant.

Insurance companies offer a wide range of home insurance policies, with different levels of coverage.

You can opt for multi-risk home insurance (MRH), which offers optimum coverage, such as insurance against theft or accidental damage to furniture, as well as third-party protection.

- Automobile and motorcycle insurance

Every owner of a motor vehicle must be insured, even if the vehicle is not in use.

The minimum compulsory motor insurance is third-party liability cover, also known as third-party insurance.

It offers protection in the event of unintentional damage, for example in the event of an accident.

Comprehensive insurance or insurance against theft, fire or glass breakage is voluntary, but worth considering if you drive a lot or don't have access to a garage.

- Structural warranty insurance

Are you planning to build or renovate your home?

You need to take out structural warranty insurance before you start work.

A structural warranty pre-finances repairs to defects or faults that threaten the structural soundness of your home or prevent you from living in it while you wait for a court decision in a lawsuit against a contractor.

- Professional insurance cover

Since 2016, private companies have been obliged to offer their employees a complementary health insurance plan, known as a mutuelle collective.

However, depending on your situation and the company you work for, you may not be obliged to subscribe.

Certain regulated professions, such as building, legal, medical and tourism professionals, are obliged to take out professional insurance.

You can find the full list here ↗.

> Voluntary insurance in France

The following insurances are not compulsory.

However, some of them may be useful, depending on your professional or personal situation, or your plans for the future.

- Mutual health insurance

Supplementary health insurance, in addition to the health insurance offered by private companies, is not compulsory.

However, it is strongly recommended to cover certain medical expenses that are often not fully covered by health insurance, such as dental, vision and hearing care .

- Borrower's insurance

Borrower's insurance, also known as loan insurance, covers outstanding debts in the event of death, disability, or job loss.

This type of insurance is voluntary, but banks require it to approve a loan.

- School insurance

School insurance: who knew it existed?

Legally speaking, school insurance is voluntary.

However, it may be required for extracurricular activities or if your child attends school meals.

More information on the government website ↗.

- Life insurance

Life insurance complements the compulsory health insurance plan and covers the following :

• Death;

• Disability;

• Incapacity for work.
  
  

In the event of long-term illness or disability, this type of insurance supplements social security benefits.

In the event of death, life insurance pays a single annuity or lump sum to your beneficiaries.

You can also include funeral insurance in your plan to finance the cost of your funeral.

- Travel insurance

To determine whether you need travel insurance, two factors must be taken into account:

• Geographical location;

• Length of trip;

• Trip duration.
  
  

As far as the geographical location of your trip is concerned, you should know that within the European Economic Area - EEA and Switzerland, medical expenses are covered by the social security system, provided you are in possession of a European Health Insurance Card, which you should apply for before leaving. However, it may be advisable to take out additional travel insurance when traveling outside the European Union- EU, particularly in countries where healthcare is expensive, such as the United States of America - USA.

For trips of less than 90 days, a Visa, Mastercard or American Express card includes basic travel insurance, usually including repatriation. Higher-end bank cards, such as Visa Premier or Mastercard Gold, offer more comprehensive insurance.

For trips over 3 months, we strongly recommend that you take out travel insurance. This generally covers

• Medical expenses abroad;

• Repatriation;

• Third-party liability.
  
  

- Payment methods, insurance and insurance of other items

Are you wondering whether your keys, identity papers or bank card are insured against loss or theft?

Voluntary payment card insurance, generally offered by your bank when you order a credit card, provides compensation in the following cases:

• In the event of fraudulent use of your means of payment;

• Loss or theft of your identity papers or keys;

• Theft of cash.
  
  

Here again, your comprehensive home insurance may cover these losses, so read your policy carefully.

The same applies to your cell phone.

Don't forget that you can include your personal belongings in your home and car insurance policies.

> How do I file a claim?

Ready to file a claim?

Here's all the important information you'll need:

• Declare the damage (generally by telephone) within 5 days for a claim, within 2 days for a theft, and within 10 days of recognition of the state of natural disaster in the Journal Officiel for public announcements;

• Send a letter declaring the loss (registered letter with acknowledgement of receipt), including your contact details, your policy number, a description of the loss with date and time, an estimate of the damage (bodily injury or property damage), and a description of the damage caused to third parties and their contact details;

• Enclose all supporting documents, such as an accident report or police report if necessary (for a car accident or theft), invoices, photos, or any other item that can be used to estimate the value of damaged or stolen goods.
  
  

Don't forget to put damaged objects away, and don't carry out any repairs until you've received a visit from your insurance company's inspector.

Want to contest your insurance company's decision? You'll need to send an insurance claim letter.

To find out more, consult this article ↗.

> How to take out mandatory or optional insurance?

Compulsory or voluntary insurance can be taken out with a number of different organizations:

• Insurance companies (home, auto, life, structural, etc.);

• Banks (travel insurance, means of payment);

• Health insurance companies.
  
  

You can ask a broker to find the cheapest offer that meets your insurance needs.

Your contract will take effect once you have completed a declaration form, enabling the insurer to determine the risk involved in covering you. This step will determine the cost of your policy.

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> Discover BANKEAZ' premium accounts and insurance offers

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Manage your account and policies from your app.

A BANKEAZ B-Unique account includes:

• Cell phone insurance, in the event of theft or damage to your phone;

• Self-service car rental insurance and car rental insurance abroad, including for electric scooters and bicycles;

• Travel insurance, including emergency medical coverage, flight delay, baggage delay or loss, trip cancellation or change of stay;

• Pandemic insurance.
  
  

Find out more about our B-Unique offer.

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by BANKEAZ

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