Consumer Insurance Contracts Act 2019 – Correction of Error Notice

Tue Sep 1 2020

On 20 August we issued Guidance to members on the Consumer Insurance Contracts Act 2019 which provided information on the provisions of the Act which are taking effect from 1 September 2020.

Within the Guidance, we included information on Section 11 of the Act which was incorrect.  It should have read:

Section 11:  Right to withdraw from contract of insurance by notice: cooling off period

A consumer may cancel a contract of insurance, by giving notice in writing to the insurer, within 14   working days[1] after the date the consumer was informed that the contract is concluded.  This does not affect the notice periods already provided under European Union (Insurance and Reinsurance) Regulations 2015 ( S.I. No. 485 of 2015 )[2] or the European Communities (Distance Marketing of Consumer Financial Services) Regulations 2004 ( S.I. No. 853 of 2004 ) which is 30 days in respect of life policies, irrespective of whether the sale took place on a non-face to face basis, and 14 days in respect of general policies only on sales that took place on a non-face to face basis (distance sales).

The giving of notice of cancellation by the policyholder will have the effect of releasing them from any further obligation arising from the contract of insurance. The insurer cannot impose any costs on the consumer other than the cost of the premium for the period of cover.

This right to cancel does not apply where, in respect of a life insurance policy the contract is for a duration of six months or less[3], or in respect of general insurance policies, the duration of the contract is less than one month.

Both the updated Guidance and Terms of Business Template have been uploaded to the Brokers Ireland website.

We apologise to members for the inconvenience this may have caused.  If you have any queries or would like assistance please do not hesitate to contact us at


  • [1] Previous copy of Guidance stated 14 days.
  • [2] Previous copy of Guidance did not include this piece of legislation
  • [3] This time-frame is not specifically included in the Consumer Insurance Contracts Act 2019, but is specified in the European Union (Insurance and Reinsurance) Regulations 2015. Regulation 194(5).

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