Mortgage insurance practices and regulations in France

In France, mortgage insurance serves to protect both the borrower and the lender by covering loan repayments in the event of death, disability, or incapacity to work. While no specific law mandates this insurance, banks almost universally require it as a contractual condition for granting real estate loans.

Choosing the right insurance is critical, as costs can significantly impact the total cost of a loan. Premiums are determined by factors such as age, health status, profession, and the loan amount. Since 2010, several legislative measures have increased market competition and consumer flexibility. These include the Lagarde law, the Hamon law, the Bourquin amendment, and most recently, the Lemoine law, which allows for easier cancellation of contracts.