The prescription (verjaring) of an insurance claim is a crucial concept in insurance law that determines how long you have to claim compensation or a benefit from your insurer. Prescription can mean that you lose your right to compensation if you are too late in filing your claim. In this article we, as experienced attorneys at Arslan & Arslan Advocaten, explain what prescription (verjaring) precisely entails, which statutory periods apply, how you can interrupt (stuiten) prescription and what to do if a dispute arises with your insurer. We also discuss relevant case law and provide practical tips to optimally protect your interests.
What is prescription (verjaring) and why is it important for insurance claims?
Prescription (verjaring) means that a right can no longer be exercised after the passage of time. It is a mechanism to promote legal certainty: after a certain period there must be clarity about rights and obligations. In the context of insurance claims this concretely means that you must assert a claim for compensation or a benefit against your insurer within a certain period. If you fail to do so, the insurer can invoke prescription and refuse to pay.
The statutory basis for prescription of insurance claims can be found in Article 7:942 of the Burgerlijk Wetboek (BW) (the Dutch Civil Code). For a claim for a benefit, Article 7:942 paragraph 1 BW in principle provides a limitation period of three years. For the exact starting point it is, among other things, relevant when the person entitled to the benefit became aware of the claim’s enforceability.
Prescription helps to prevent disputes about old loss cases. By setting a defined period the risk for insurers is limited and they can better estimate their financial obligations. This keeps the insurance system stable and reliable for all parties.
In practice people are often unaware of the limitation period, causing them to unintentionally lose their rights. This underlines the importance of acting in time and obtaining good legal advice. Legal practitioners and judges will always check whether the limitation period has expired before addressing the merits of the case.
Limitation period for insurance claims: three years after knowledge
For a claim for a benefit, Article 7:942 BW in principle provides a limitation period of three years. The precise starting point depends on the enforceability of the benefit and the circumstances of the file. Therefore act in good time once you wish to rely on your insurance.
Example: Suppose you suffered fire damage to your home in January 2020. You were immediately aware of this. You must therefore file your claim no later than January 2023. If you only file a claim in July 2023, it is likely time-barred, unless you can demonstrate that you only became aware of the damage or liability at a later date.
The date of the damaging event alone is not decisive for the starting point. The statutory rule and the facts of the file determine when a claim is enforceable and when the period begins to run.
For the commencement and interruption of prescription in an insurance contract, Article 7:942 BW is the statutory starting point. Which period applies in a particular file depends, among other things, on the enforceability of the benefit, the communication between the parties and the policy conditions.
In complex cases the precise moment at which a claim becomes enforceable may be different. That requires an assessment of the insurance contract, the communication between the parties and the concrete circumstances.
How can you interrupt (stuiten) prescription of your insurance claim?
It is possible to stop or interrupt the limitation period. This is called interruption (stuiting) of prescription. Interruption ensures that the period starts to run again from the moment of interruption. This is important if there is a dispute about the claim or if you need extra time to collect evidence.
Interruption can occur in various ways, for example by:
- Sending a written reminder or formal demand (sommatie) to the insurer in which you make your claim known;
- Commencing legal proceedings against the insurer;
- Making a declaration to the insurer in which you confirm your entitlement.
By interrupting prescription in time you prevent the insurer from successfully invoking prescription. In case of doubt always consult an insurance law attorney.
Case: Mr Jansen suffered an occupational accident in 2019 which rendered him unfit for work. He only filed his claim in 2023, well after the standard period. Fortunately he had sent a letter in 2021 in which he held the insurer liable and requested a benefit. This letter interrupted prescription, so his claim was not time-barred.
It is important that interruption is effected correctly and in a timely manner. For an insurance claim a clear written communication in which a claim for benefit is made is important. Therefore keep the text and proof of dispatch carefully.
Only oral contact does not provide a safe basis when prescription is invoked. Record your claim in writing and also keep proof of dispatch carefully.
Prescription of insurance claims: specific situations and exceptions
Although a period of three years is often relevant for an insurance claim, special rules or circumstances may lead to a different assessment. Some examples:
- Incapacity for work and personal injury: In personal injury cases it can be difficult to determine the extent of the damage immediately. The limitation period then only starts to run once the extent can reasonably be determined.
- Insurance fraud and concealment: If the insurer can demonstrate that you knowingly withheld information or provided incorrect information, this may lead to a different assessment of the period or to non-payment.
- Unawareness of liability: When you only discover later who is liable, the limitation period may start later. This applies in more complex liability matters.
The insurer cannot invoke prescription if this would be unreasonable, for example in cases of exceptional force majeure or serious prejudice to the insured.
Whether an invocation of prescription succeeds in a concrete file requires an assessment of the statutory rule, the policy conditions and the established facts.
Even for insurance policies with a waiting period or disputes about policy terms the limitation period can be affected. This requires tailored advice and a thorough assessment of the policy and circumstances.
What to do if there is a dispute about prescription with the insurer?
Insurers often rely on prescription to refuse payment, while insureds believe their claim is not yet time-barred. Follow these steps:
- Check the date of the damaging event and your knowledge of it. When did you first become aware of the damage and liability?
- See whether prescription has been interrupted. For example, did you send a letter or have you had contact with the insurer about the claim?
- Consider filing a complaint with Kifid if you disagree with the rejection. See our page on filing a complaint with Kifid and Kifid.nl.
- Engage a specialised insurance law attorney in good time. An expert can assess whether prescription has occurred and what legal options exist.
For the question when the period begins and which actions can interrupt it, Article 7:942 BW is the starting point.
Keep all communication with the insurer carefully and record telephone contact. This can be important in a legal dispute about prescription.
Practical tips to prevent prescription of your insurance claim
Prevent loss of your right to a benefit by prescription by taking these steps:
- Document relevant information: Immediately after the damaging event note the date, circumstances and communication with the insurer.
- File your claim on time: Do not wait until the last moment. Three years can pass quickly.
- Interrupt prescription if necessary: Send a letter in which you make your claim known if you are not yet ready to submit it.
- Keep copies of correspondence: This can prove that you acted in time.
- Obtain immediate legal assistance in case of doubt: An insurance law attorney assists with assessment and measures.
For complex files keep a file with all documents, such as reports, medical statements and damage expertises. This helps to substantiate your claim and respond more quickly to questions from the insurer.
Prescription of insurance claims: a summary
The prescription of an insurance claim determines how long you have to claim compensation. According to Article 7:942 BW a period of three years applies in principle. The legal rule and the circumstances of the file determine the start of that period. Interrupting prescription in time is essential to safeguard your rights. In case of disagreement with the insurer it is wise to obtain legal assistance quickly and, if desired, to file a complaint with Kifid.
If you want to know more about prescription and insurance claims, Arslan & Arslan Advocaten will be happy to assist you further.
Frequently asked questions
What is the standard limitation period for an insurance claim?
For a claim for a benefit, Article 7:942 BW in principle provides a period of three years. The exact starting point depends on the enforceability and the circumstances of the file.
Can I extend the limitation period for my insurance claim?
Although the statutory period cannot be extended, you can interrupt prescription, for example by sending a written demand to the insurer or by initiating legal proceedings. This causes the period to start running again.
What should I do if my claim is rejected by the insurer due to prescription?
First check whether the period has been calculated correctly and whether interruption may have occurred. In case of doubt you can file a complaint with the Kifid or seek legal assistance from a specialised insurance law attorney.
Read also
- Claim rejected due to concealment – what can you do?
- When may an insurer refuse to pay out?
- Objection to insurer: what can you do in case of a rejection?
Need help?
Do you have questions about your insurance claim or are you faced with a threat of prescription? At Arslan & Arslan Advocaten we are ready to advise and assist you professionally. Contact us for a free initial consultation and prevent unnecessary loss of your rights.
