Application for the return of loan insurance: sample, application rules, submission deadlines

2024 Author: Howard Calhoun | [email protected]. Last modified: 2023-12-17 10:16

In the process of obtaining a credit loan, banks offer potential borrowers to conclude an insurance contract. If the client is unable to pay off the debt, the obligation to close it to the bank lies with the insurance company. But in practice, the opposite situation often arises, and conscientious payers are wondering about the possibility of returning insurance on a loan in case of early repayment. But how much will be received? And who should pay the money - the insurer or the bank?

The concept of credit insurance

Before returning the insurance premium on a loan, you should study the essence of such insurance. The bank offers the execution of an insurance contract to a client who applied for a loan in order to reduce their risks associated with non-repaymentdebt. The client, before agreeing to such an offer, should distinguish between the mandatory and voluntary insurance that accompanies consumer loans, since each such policy is quite expensive.

Compulsory insurance

Under the law, the insurance that accompanies the receipt of credit funds is not mandatory for the borrower, it can be issued exclusively on a voluntary basis. But this rule has an exception. If property is provided as collateral for a loan, then it must be insured under loan agreements of the following types:

1. Mortgage lending. Collateral for issuing loans secured by immovable objects and applying for a mortgage loan must be insured.
2. Car loans. The credit institution has the right to oblige the borrower to issue CASCO for the purchased transport if a car loan is issued.

Voluntary insurance

All other varieties accompanying the conclusion of a contract for consumer lending are voluntary for a bank client. In order to figure out whether it is possible to return insurance on a paid loan, you should carefully study the contract. You can return this overpayment on the loan, if the agreement provides for it. It is these insurances that credit organizations impose most often:

1. Financial risks.
2. Mortgage title insurance.
3. Job loss.
4. He alth, life of the borrower(incapacity, disability, death).
5. Other property of the client, except for real estate and car.

Legal regulation

From June 1, 2016, changes in legislation regarding voluntary insurance came into force. These changes work in favor of the borrower, in accordance with them, bank customers have the opportunity to return money by terminating the imposed insurance after paying off the debt. To do this, you need to draw up an application for the return of loan insurance, a sample of which can be obtained from a company or a bank. At the legislative level, this right is enshrined in the following regulations:

1. Fourth paragraph of Article 3 4015-1-FZ.
2. Article 31 102-FZ.
3. Tenth part of article 7 353-FZ.
4. Article 343 of the Civil Code of the Russian Federation.
5. 3854-CBR.

Possibility of return

In accordance with the new rules of credit law, the bank does not have the right to impose additional services on the client. But there are two different situations: when the client refuses to conclude an insurance contract before receiving a loan, and termination of the loan agreement after the client has repaid the debt. In each of these cases, the client has the right to refuse the service, including after the contract has been concluded. So will the insurance be returned if the loan is closed ahead of schedule? Unfortunately, many banking organizations are in no hurry to return the premium on a loan obligation.

Cases in which a return is not possible

According to the rules of credit law, the client has a legal right to return the insurance after paying off the loan. However, despite the important changes in legislation for insured bank customers, there are certain situations when the issue of repayment of overpayment after repayment of the loan amount remains problematic and must be resolved in the courts:

1. The term for the conclusion of credit and insurance contracts. Legislative norms that came into force on June 1, 2016 apply only to new contracts. It is not possible to return insurance under agreements concluded before the indicated date.
2. Collective insurance. Legislative norms apply to contracts that are concluded by a citizen directly with the insurer. If a credit institution provides insurance under a collective agreement, then it is impossible to return the insurance within the prescribed 5 days.
3. Choosing a loan option. In cases where a banking organization offers a potential borrower a choice of two loan models - at a higher percentage without insurance or at a lower percentage, but with insurance, and the client chooses the latter option, then the situation is considered as a voluntary decision of the borrower to take out insurance.
4. Terms of the insurance contract. If the return of the unused insurance premium upon termination of the contract ahead of time is not provided for by the insurance conditions fixed in the agreement, then the client retains the right to early repayment of the loan, but the balance of insurance funds in this case is not refundable.

Documents that must be provided to the insurer in order to return the insurance

If the bank, when applying for a loan, imposed an insurance contract, then to terminate it, you should contact the insurer directly by providing the following package of documents:

1. Original and copy of the loan agreement.
2. Passport.
3. Application for the return of insurance on a loan (a sample is presented below) or a desire to cancel a voluntary insurance contract.



In this case, the desired method of receiving money should be indicated in the document. If the contract is terminated ahead of schedule, then an application is made for the return of the remaining part of the insurance.

4. Bank certificate confirming the early closure of the debt.

The rules for filling out an application for the return of insurance on a loan can be found at the bank that provided the funds, or at the office of the company with which the agreement was drawn up.

Refund of insurance within 5 days from the date of signing the loan agreement

Instruction of the Bank of Russia, which regulates the credit and insurance market of the country, indicates a period of time, which is a cooling period, during which you can cancel the concluded contract. The deadline for submitting an application for the return of insurance on a loan is 14 working days. It is worth noting that if an insured event occurs within the specified 14 days and the validity of the document begins, then you can returnwill not be the entire amount of the premium. If the client meets the deadline, and the insurance has not yet begun, then the entire refund process should take place in the following order:

1. A citizen should, within 14 working days from the date of conclusion of the contract, contact the insurance company and submit an application about their desire to cancel the concluded voluntary insurance contract, indicating the details to which the funds should be directed.
2. The insurer must necessarily affix a visa confirming that he has accepted the application for consideration on the applicant's copy, or send it to the applicant's address by registered mail with return notification and description.
3. The insurer is obliged to return the money to the borrower within 10 days.

Features of the return of insurance premiums under a collective agreement

New norms of legislation on collective insurance do not apply. This type of insurance has a peculiarity, and it consists in the fact that the bank acts as the insured, and not an individual who only joins the contract. In such a case, you should study the contract and insurance rules in order to familiarize yourself with other conditions that allow you to refuse insurance. Insurers and banking organizations independently develop conditions that provide for the termination of collective insurance when repaying a loan. That is, the contract may not provide for the possibility of a refund in case of earlydebt repayment.

Procedure for the return of the insurance premium in case of early repayment of the loan

It makes sense to initiate the procedure for the return of insurance if the insurance premium was paid in advance. Borrower life insurance is required in case of an unpaid loan. The same applies to collateral. And this means that the borrower has the right to return the insurance on the loan in case of early repayment of the loan. In this case, it is possible to return the rest of the premium paid. In such a situation, you should first contact a banking organization, which can redirect the borrower to the insurer to resolve the issue. An application for a refund should be made together with an application for early closure of the loan. Or right after that. The loan insurance return application form can be obtained both at the bank office and at the insurance company.

Refund of premium after the cooling off period

If the provided 14 days have expired, you should first contact the bank. Extended periods for the return of the insurance premium are provided for by the following credit institutions: Home Credit, VTB24, Sberbank. However, not all banks are so loyal. Often, financial institutions in response to a claim send a refusal, citing the fact that the borrower signed the insurance contract voluntarily. In this case, the issue can be resolved only in court. Moreover, when drawing up an application for the return of insurance on a loan, it is better to coordinate the sample with lawyers. Otherwise, you can make a lot of mistakes.

Filing an application

Usually, banks and insurers have their own samples for filling out documents. Before making an application for the return of loan insurance, you should check that it contains the following information:

1. Document name.
2. Customer data - his full name, passport information, address.
3. Date of signing the insurance agreement.
4. Place of execution of the contract.
5. Signature.
6. Information about the loan agreement (its number, validity period, cost) and early repayment (the date when the loan was actually closed).
7. Details to which the organization must send funds.

Sample Loan Insurance Return Application will help you get it right.

Return in court

This option is not suitable for all citizens. Statistics show that in many cases court decisions regarding imposed insurance are negative. However, decisions on identical cases in Moscow and Russian regions differ. Such claims are related to the protection of consumer rights, which means that a citizen has the right to choose the place of filing a claim (at the place of execution of the contract, or the residence of the beneficiary). This means that you can file a lawsuit in the region of the country where similar cases end in favor of the plaintiff, that is, positively.