Insuring A French Home: The Basics

If you're looking to insure a house in France, you'll want to start by finding an insurer. The French insurance industry is huge, so this shouldn't be difficult, and insurance rates are generally quite reasonable. There are a number of national and global companies to choose from, including insurance specialists and some French banks. Civil liability insurance is the minimum legal requirement for tenants in rental properties, landlords of rental homes, and those who own apartments in communal buildings. However, around 90% of homeowners take out multi-risk insurance, which covers liability as well as protection for your home and its contents. When choosing an insurer, it's worth shopping around to find the best deal for your situation. You may also want to seek out a company that provides information in English if you're not fluent in French.

Civil liability insurance

There are some damages that are not covered by civil liability insurance. These include damage caused to yourself or your loved ones, damage you intentionally cause, damage caused by your dog if it is considered dangerous, damage caused by a motor vehicle, and damage related to your professional activities at home.

When choosing a civil liability insurance policy, it is important to check the persons covered by the guarantee, the presence of deductibles, and the limits of the guarantees provided (exclusions, ceilings, etc). You can also ask for warranty extensions.

Multi-risk insurance

Multi-risk home insurance is an agreement between a landlord, tenant, or homeowner and an insurance provider to cover goods and property from different sorts of damage. It is called "multi-risk" because it covers a wide range of risks, including:

• Water damage, including leaks, ingress, pipe breaks, overflows, and frost damage.
• Fire and explosion damage, including damage caused by firefighters.
• Natural disasters, such as storms, hurricanes, and cyclones.
• Attacks, strikes, or terrorist attacks.
• Technological disasters, covering damage to property and goods near a classified installation.
• Civil liability, covering damage caused to third persons by the policyholder or their family.

In addition to these basic guarantees, you can also add specific options to your multi-risk home insurance policy, such as:

• The theft guarantee: This covers theft or burglary inside the property and may require additional safety equipment such as an alarm or armoured door.
• The glass break guarantee: This covers glass surfaces, including glass doors, windows, and glass furniture.
• Theft of bicycles, valuable goods, or jewellery.
• Full replacement of furniture.
• Zero deductible, where you can pay to have no deductible in case of damage.
• Garden and goods in the garden.
• Renewable energy installations.

Multi-risk home insurance is mandatory for tenants in France and is highly recommended for landlords, especially if they live in a condominium. The cost of multi-risk home insurance can vary depending on factors such as the profile of the insured, the nature and location of the property, the size of the property, the value of the insured goods, and the specific options chosen.

Construction insurance

Getting Cover

Although the law requires that an owner takes out construction insurance, this does not always occur in practice, either because of ignorance or cost. Builders do not publicise this requirement as it makes it easier for claims to be brought against them, and some insurance companies do not like it because it is often risky for them.

If you have a house constructed using the standard contract for this purpose, called the CCMI, then it is obligatory for assurances dommages to be taken out. Nevertheless, there are no penalties for a householder who does not take out the insurance. However, if you later decide to sell, it may make it more difficult to do so.

The Cost

The insurance is not cheap, costing on average 1.5% of the cost of the works. Therefore, it is recommended that you shop around to get the best deal. One option is to use the insurance company of your builder, who may also offer a more competitive rate, although this could cause a potential conflict of interest.

Terms of Cover

The policy must be taken out before works commence and will provide cover on the same basis as that of the builders' insurance. In other words, as follows:

• Year 1: Guarantee of complete performance of the work
• Years 1 and 2: Guarantee that fittings are in good working order e.g. electrics, sanitary goods, heating, windows, shutters, and doors
• Years 1 to 10: All works concerned with the stability and integrity of the building, including those elements that ensure the building is wind and watertight, e.g. foundations, floors, walls, staircase, ceilings, door and window frames, major electrical and plumbing defects, and the roof

The policy does not cover normal maintenance work or remedial work arising from the failure of the householder to undertake proper maintenance. If the householder changes the nature of the works after signing the contract, they must inform the insurance company, who may decide to offer the insurance on new terms.

Excess and Exclusions

Most contracts will include an 'excess' and possible exclusions. You should also check the indexation clause and the process for making a claim.

Holiday home insurance

When choosing holiday home insurance, it is important to consider the specific risks associated with your property. For example, if your holiday home is located in an area prone to harsh winters, you may want to include coverage for natural disasters and burst pipes. If you have a swimming pool, garage, or outbuildings, you will also need to ensure these are covered by your policy.

There are several companies that offer holiday home insurance in France, including Groupama, Towergate, and Intasure. These companies can provide coverage for a range of properties, from rustic farmhouses to luxurious villas. You can also choose to purchase insurance from a French company or a company in your home country if you are not a resident of France.

When taking out holiday home insurance, it is important to read the fine print and use reputable insurers. You should also be prepared to provide detailed information about your property, such as the size and number of rooms, as well as any additional features such as outbuildings or swimming pools.

Home insurance companies in France

France's insurance market is one of the largest in Europe and the world, and the French Insurance Federation (FFA) represents 246 French insurance companies (99% of the market). All insurance companies operating in France are regulated by the Banque de France under the laws and regulations of the Autorite de Controle Prudentiel et de Resolution (ACPR).

The main options for French insurance companies include banks, high-street insurers, online insurers, and mutuelles. Here are some of the home insurance companies in France:

Banks (Bancassureurs)

A number of banks have either created their own subsidiary insurance companies or signed an agreement with an insurer to offer insurance to their clients. Examples include:

• Pacifica/Credit Agricole
• Banque Populaire/Maif
• Société Générale/CGU
• Credit Lyonais/Allianz

High-Street Insurance Companies

You can also go directly to the main insurance companies, although surprisingly few French nationals do so. Examples include:

• Generali
• Aviva
• Groupama
• Gan
• AIG
• AXA

Online Insurers

These insurers offer services exclusively online and may be affiliated with one or more of the main insurers or be a dedicated subsidiary. Examples include:

• Amaguiz (Groupama)
• Direct Assurance
• Luko

Mutuelles

Mutuelles are non-profit, cooperative-based insurance bodies that hold around 40% of the market. Their members include companies such as:

• Macif
• Mae
• Maaf
• MFA
• Matmut

Insurance Agents and Brokers

Insurance agents act on behalf of an insurance company in connection with the distribution of their products. Insurance brokers are not mandated by a single insurer but may be tied to a few, so they don't offer market-wide options. An example of a broker is Wilson & Mark Insurance Brokers, which works with over 20 insurers.

Insurance Comparison Websites

If you want to compare prices and policy details, you can use online price comparison websites such as:

• Empruntis
• Assurland
• Le Lynx
• Les Furets
• Meilleurs Taux

Frequently asked questions