Contract
Car insurance cancellation in Switzerland: how it works
Do you want to change or cancel your car insurance? You need to be aware of your old policy’s notice period. Here you can find important information about car insurance cancellation.
11.09.2023
iStock/AndreyPopov
1. Car insurance: when can I cancel?
Do you want to change your car insurance? If so, you must first cancel your current policy. You will generally need to observe the term and notice period stated in your contract.
Ordinary cancellation
There are two ways in which you can withdraw from your car insurance contract. You can cancel at the following times:
At the end of the contract period.
At the end of a contract year if there is an annual right of cancellation in the policy. The end of the contract period does not necessarily correspond to the end of the calendar year. Check your insurance policy for more information.
After three years: the Insurance Contract Act stipulates that you can cancel your contract after three years at the latest (Art. 35a VVG). This also applies if your contract is valid for a longer period of time.
Extraordinary cancellation
In addition to ordinary cancellation, there is also extraordinary cancellation. This is where you cancel the contract early. Extraordinary cancellation is possible in the following cases:
Your insurance company may change the cost of your premiums or your deductible during the term of your contract. If you do not agree with the changes, you can cancel your contract. Your insurance company must receive your cancellation notice the day before the changes come into effect at the latest.
Some insurance companies only allow cancellation if premiums increase. Therefore, read the general contract terms and conditions to find out whether you can cancel your contract even if your premiums go down.
Are you selling your car or changing the owner of the vehicle? The rights and obligations arising from your insurance policy are then transferred to the new owner. The car is insured from day one.
As an example, if you deregister your car before a leaving the country for an extended period, you can also cancel your car insurance.
You can also switch your insurance when changing vehicles. Report the sale and bill of exchange to your current insurance company immediately. They need this to cancel the contract. Any annual premium already paid will then be refunded on a pro rata basis.
After a claim either party may terminate the contract. If you would like to cancel your contract, you have 14 days from the date you find out how much will be paid out for the damage.
If the insurance company wishes to cancel the contract, it must do so at the latest when it pays out for the damage. Depending on the contract, you still have 14 to 30 days until the contract is terminated. Any annual premium already paid will be refunded on a pro rata basis.
2. How to cancel car insurance
With regards to car insurance cancellation, you must comply with the notice periods. Most insurers have a notice period of three months. The effective date of cancellation is often the date the insurance company receives the notification, not the date of the postmark.
Therefore, make sure that your letter arrives by the last day of the month at the latest. If the last day of the month falls on a weekend, the insurance company must receive your letter on the Friday before this weekend at the latest.
Cancellation reminder from Comparis
Don’t want to miss the cancellation deadline? With the cancellation reminder from Comparis, you’ll receive a reminder email in good time before the cancellation deadline.
How do I cancel my car insurance?
Car insurance companies usually require written notice of termination. It’s best to send the cancellation letter by registered post. You can then prove that you sent the letter in time.
More flexible solutions are available, depending on the provider: some insurers offer cancellation by email or using an online form.
Template: car insurance cancellation
Here you will find a template for a cancellation letter to send to your car insurance company. Here’s how to cancel your car insurance using this template: you simply have to fill out the form, print it out and send it off on time.
3. Car insurance cancellation: deadlines of the major insurers in Switzerland
| Insurance | Notice period |
|---|---|
| Allianz Suisse | 3 months |
| AXA | 3 months |
| Baloise | 3 months |
| Elvia | 3 months |
| Generali | 3 months |
| Helvetia | 3 months |
| Die Mobiliar | 3 months |
| Postfinance | 3 months |
| Simpego | 24 hours. You can terminate the contract with a notice period of 24 hours for a fee |
| Smile direct | 1 month if cancelled at the end of the contract. 14 days if you cancel at the end of the month (possible every month) |
| TCS | 3 months |
| Vaudoise | 3 months |
| Zurich | 3 months |
This data is based on the publicly available general contractual terms and conditions of insurance companies. The deadlines agreed in the policy always apply.
The duration of your insurance policy depends on what is agreed in the contract. Some insurance policies can initially only be arranged for a term of three years. Irrespective of the agreed term, the contract is often automatically extended for one year at a time after expiration without notice.
Have you agreed on a contract period of less than one year? If so, the contract usually expires automatically at the end of the period.
4. Notice periods for insurance policies for new vehicles
Changing car insurance? When taking out a new policy, you should consider the following points:
Check the term of the policy and the notice period required.
Be careful with contracts that run for more than one year. Agree on the right to annual cancellation in the policy.
With a short contract period and notice period, you remain flexible. This allows you to benefit from falling premiums on the car insurance market.
This article was first published on 04.08.2019
