A surcharge is an additional contribution This is requested of policyholders if they present a greater medical, professional or sporting risk than the average risk accepted by the basic insurance contract. This is not a sanction, but aan additional guarantee to protect the insured.
When an individual takes out a home loan with insurance, he or she must complete the following documents as honestly as possible a health questionnaire. The bank and insurer can take action against the borrower if they fail to mention any problems. It is medical risks that are most often affected by excess premiums. We talk about "aggravated health risk".namely :
Risky sports such as climbing, parachuting or certain combat sports, but also the exercise of occupations considered dangerous such as the military, firefighters or lorry drivers also lead to additional premiums.
An additional premium may relate to one, several or all of the cover provided in the contract. For example, an additional premium may apply to permanent and total disability cover, IPT, and death cover, but not to job loss cover. They are calculated as a percentage added to the base rate. The cost varies from one insurer to another.
