The combined interpretation of Article L. 310-2 I 2° of the Insurance Code and its references to Articles L. 310-1 and L. 310-10 allows an insurer holding a European passport to operate in French territory, whether it intervenes in personal or property insurance.
Since January 1, 2021, British insurers are no longer included in this framework.
But what about existing insurance contracts?
The order of December 16th modifies article L. 310-2-3 of the same Code, which governs the case where a company which has validly carried out insurance operations is no longer in the situation described in article L. 310-2 I 2°.
The rule is as follows: British companies' insurance and reinsurance contracts cannot be renewed, extended, or extended.
Failure to comply with these provisions shall result in the nullity of the contract, it being specified that this nullity shall not be enforceable against the subscribers (or members) and beneficiaries.
The unenforceability of this nullity against subscribers and beneficiaries was formerly conditional on their good faith; this requirement has disappeared in the new version of Article L. 310-2-3 of the Insurance Code .
British insurers who fail to comply with these provisions could therefore be simultaneously obliged to cover the insured risks and to refund the related premiums, including in the presence of a policyholder of notorious bad faith.
The new article A. 310-1 of the Insurance Code details the terms and content of the information that must be provided to subscribers (or members).
The contract remains valid for its remaining term, but it will not be possible to carry out new operations including the issuance of premiums.
Except for cases where common sense dictates allowing continued payments (split bonus, deferred bonus, regularization of the amount initially paid when permitted…).
