Since 2022, the Lemoine Law allows borrowers to terminate their loan insurance at any time, free of charge. An often underestimated source of savings.
Loan insurance represents on average 25% of the total cost of a French mortgage. The Lemoine Law, in force since 2022, profoundly reshuffled the deck by allowing termination at any time, without fees or penalties.
In practice, this means a borrower can leave their bank’s group contract at any time to subscribe to a cheaper alternative. Savings can reach up to 50% of the cost over the loan term, depending on the profile.
The prerequisite: the new policy must offer guarantees equivalent to those of the original contract. An amendment is then signed and the new premium applies as soon as the bank accepts.
The Lemoine Law also abolished the health questionnaire for loans below 200,000 € per borrower when maturity falls before age 60. A real step forward for high-risk profiles.