Did you suddenly receive notice that your insurance is being terminated? That’s a shock. Still, an insurer is not allowed to simply cancel your policy. The law and your policy terms determine exactly when that is permitted. In many cases a termination is unjustified or disproportionate. You can take action against that.
At Arslan Advocaten we help clients who unjustly lose their insurance. We review the reason, file an objection, and recover our costs from the insurer where possible – so that our assistance can be free of charge to you.
What does terminating a policy mean?
Upon termination, your coverage. From that moment, the insurer will no longer cover any losses. That can be significant, especially with a compulsory policy such as your third-party liability car insurance (WA) or with a home contents insurance you rely on daily.
When may the insurer terminate your policy?
An insurer may only terminate your policy if there is a legal or contractual reason for this. For example:
- Premium arrears: you have not paid despite reminders.
- Fraud or misrepresentation: the insurer may terminate if it turns out that you knowingly provided incorrect information.
- Change in risk: after moving or with a repeated claims history, a different risk assessment may result.
- End of term: after the first contract period, an insurance policy can usually be canceled monthly.
Even then, the insurer must adhere to reasonableness and fairness. Without a clear reason or proper hearing of both sides, the termination is often invalid.
Termination after fraud investigation
After a fraud investigation, insurers often terminate a policy. You will then be told that your claim was incorrect or that information is inaccurate. Sometimes this is even followed by a registration in the External Referral Register (EVR). However, in many cases the suspicion is not well substantiated. In that case, the termination can be reversed.
What can you do in case of an unjustified termination?
1. Request the reason in writing
The insurer must explain why your insurance has been terminated. Request that explanation and keep the letter or email safe.
2. Check your policy terms and conditions
Check whether the stated reason actually appears in your terms. If that ground is missing, the termination is invalid.
3. Lodge an objection
Submit an objection as soon as possible. Explain why the termination is not justified and refer to your policy and the applicable rules.
4. Submit a complaint to KiFiD
Are you unable to resolve it together? Then you can file a complaint with the Financial Services Complaints Institute (KiFiD). The KiFiD can determine that your insurance has been wrongfully terminated and that the coverage must be reinstated.
5. Start legal proceedings
If the insurer persists, you can enforce through the courts that your policy is reinstated or that you receive compensation. Our lawyers fully guide you through this process.
What does Arslan Advocaten do for you?
- We assess whether the termination is legally valid.
- We file an objection or complaint with the insurer or the KiFiD.
- We initiate proceedings in court if necessary.
- We recover our costs from the insurer, so our assistance can be free of charge to you.
Has your insurance been wrongfully terminated?
Get in touch with Arslan Advocaten. We ensure that your coverage is restored and that your rights are protected.
Related topics
Additional Considerations When Facing Policy Termination
In the Netherlands, insurance contracts are governed by both the Dutch Civil Code (Burgerlijk Wetboek) and specific regulations designed to protect consumers. For example, under Article 7:928 of the Civil Code, insurers must give policyholders at least 30 days’ notice before terminating a contract after the initial period. This provides you with a window to respond or seek alternative coverage.
Moreover, certain types of insurance, such as health insurance, have stricter rules regarding termination. Health insurers, for instance, are only allowed to terminate policies under very limited circumstances due to the mandatory nature of health coverage in the Netherlands.
Examples of Legitimate Termination Grounds
- Non-payment of premiums: If you fail to pay within the deadline, insurers often send reminders and can suspend coverage before eventual termination.
- Fraudulent claims: If you intentionally mislead the insurer or exaggerate a claim, they may terminate the policy and refuse payment.
- Significant change in risk profile: For example, if you move to a high-risk area or start using your car for commercial purposes without notifying the insurer.
- Repeated small claims: Some insurers reserve the right to cancel policies when the claims history indicates a high risk.
Practical Advice to Avoid Policy Termination
- Always provide complete and accurate information: At the start and during the policy period, honesty is crucial.
- Pay premiums on time: Setting up automatic payments or reminders can help avoid unintended arrears.
- Notify changes promptly: Whether it’s a change of address, use of insured property, or other risk factors, informing your insurer helps keep your coverage valid.
- Keep records: Save all correspondence with your insurer, especially related to claims and payments.
How Arslan & Arslan Advocaten Can Assist You
Being faced with an insurance termination can be stressful, but you don’t have to navigate it alone. At Arslan & Arslan Advocaten, we specialize in insurance law and understand the intricacies of Dutch legal protections. We can:
- Review your insurance contract and termination letter thoroughly.
- Advise you on your legal rights and options.
- Negotiate with insurers to reverse unjustified terminations.
- Represent you before the Insurance Complaints Institute (KiFiD) or courts if necessary.
Contact us today to ensure your insurance rights are fully protected and to receive expert legal guidance tailored to your situation.
Frequently Asked Questions
Under what circumstances can an insurer legally terminate my insurance policy?
An insurer can only terminate your policy for legal or contractual reasons, such as unpaid premiums, fraud or misrepresentation, change in risk, or the end of the policy term. The termination must also be reasonable and fair, with proper notice and hearing.
What should I do if I believe my insurance policy was unjustly terminated?
You should request a written explanation from the insurer, review your policy terms, and lodge an objection explaining why the termination is unjustified. If unresolved, you can file a complaint with the Financial Services Complaints Institute (KiFiD) or pursue legal action.
Can an insurer terminate my policy after a fraud investigation?
Yes, insurers can terminate a policy after a fraud investigation if they find evidence of misrepresentation or incorrect information. However, if the suspicion is not well substantiated, the termination can often be reversed.
How can I protect myself if my insurance coverage is suddenly canceled?
You can protect yourself by requesting the reason for termination in writing, checking your policy terms, and lodging an objection if the termination is unjustified. Legal assistance can help you enforce your rights and seek reinstatement or compensation if needed.