Bourquin law
A 2018 measure (Bourquin amendment) that opened annual cancellation of borrower insurance at each anniversary date, beyond the first year. A step between the Hamon and Lemoine laws, it widened the right to switch insurer mid-loan before at-any-time cancellation became the rule.
Key points
- Allows switching borrower insurer at each loan contract anniversary date.
- Applies to contracts taken out both before and after its 2018 entry into force.
- Cancellation must be notified at least two months before the anniversary date.
- Key step between the Hamon law (year one) and the Lemoine law (any-time cancellation).
Frequently asked questions
How can the Bourquin law be used to save a client money?
The broker anticipates the anniversary date and submits an alternative offer with at least equivalent cover. If the annual saving is material, sometimes several hundred euros, the cancellation is sent by registered letter two months before. This is a high-value post-financing follow-up service.
What is the difference between the Bourquin law and the Lemoine law?
The Bourquin law only allowed cancellation once a year at the anniversary date with two months' notice. The Lemoine law, in force since 2022, removed this calendar constraint and allows cancellation at any time after the first year with only ten days' notice. Bourquin remains relevant for older contracts not yet renegotiated.
Can the bank refuse the insurance substitution requested by the client?
The bank can only oppose the substitution if the new contract does not offer an equivalent level of cover to its group contract. It must give any refusal in writing, listing the missing guarantees. The broker's role is to ensure upfront that the standardised information sheet is perfectly aligned.
In practice
A client took out their loan in 2016 with their bank's group insurance at 0.40% of capital. By anticipating the anniversary date, their broker presents an individual offer at 0.18%, saving over €400 a year on an outstanding balance of €180,000.
Put it into practice with CourtImmo
See how CourtImmo software helps brokers on this topic:
Official sources
- Borrower insurance for a mortgage · Service-Public.gouv.fr
- Law of 28 February 2022 (Lemoine Act) · Vie-publique.fr