By affinity insurance coverage, we imply any provide of further insurance coverage for a great or service that the vendor will nearly systematically give you when shopping for, for instance, a smartphone, a family equipment or different.
This is usually a guarantee extension of some years along with the industrial guarantee and the two-year authorized conformity guarantee, or insurance coverage from the buy of the product defending you in opposition to theft or breakage, for instance. Are they helpful?
Before subscribing it’s essential to be very cautious, to learn the common situations and the dangers coated and to make sure that the threat you need to cowl will not be already coated by one other insurance coverage.
Next, examine the price of the insurance coverage over one 12 months with the worth of the property insured. Is paying a number of tens and even lots of of euros for a smartphone whose worth will shortly lower affordable?
A juicy market
The margin that insurers make on this insurance coverage is gigantic: it could attain 80%. A profitable market that typically provides rise to drifts when subscribing to contracts. The temptation is nice for sellers to encourage the purchaser to subscribe, for instance by providing the first 30 days free and the risk of withdrawing from the contract throughout this era or, extra significantly, by establishing the contract with out having collected the buyer’s settlement based on the guidelines.
In its final annual report, the Insurance Ombudsman expressed concern about the rising share (13%) of the variety of disputes submitted to it regarding affinity insurance coverage. Affinity insurance coverage is renewable every year by tacit settlement, however the insurer should notify you of the renewal. After one 12 months, you’ll be able to cancel the insurance coverage at any time based on the phrases of the contract. Following subscription, you’ve gotten a withdrawal interval which has simply been elevated to 30 days by the latest legislation on buying energy.
The recommendation of UFC that Choose
These insurances are ineffective and too costly and typically overlap with others. Be cautious to not be assigned, with out your data (monitor the withdrawals out of your accounts), an insurance coverage of this kind when buying a property. In this case, cancel it instantly and ask for the reimbursement of the sums unduly debited.