The question of borrowing after cancer is a major concern for many people wishing to pursue life projects, such as purchasing property. It is entirely possible to borrow after having had cancer. Although cancer is still considered an aggravated risk by insurers, mechanisms have been put in place to facilitate access to borrower’s insurance in these situations.
When you take out a loan, whether it is a consumer loan, a mortgage, or a business loan, the bank generally requires you to take out borrower’s insurance. This insurance is designed to guarantee the repayment of the loan in the event of the borrower’s death or disability. For people who have or have had a health condition, obtaining insurance with the same coverage and pricing as others can be difficult.
The AERAS Convention: Obtaining Insurance and Borrowing with an Aggravated Health Risk
Signed by public authorities, banking and financial professional federations, the insurance and mutual insurance sectors, as well as patient and consumer associations, the AERAS convention (Obtaining Insurance and Borrowing with an Aggravated Health Risk) was established to facilitate access to insurance and borrowing for people with an aggravated health risk. Governed by Articles L. 1141-2 to L. 1141-6 of the French Public Health Code, this convention covers consumer loans, mortgages, and business loans. It is important to note that the AERAS convention does not require banks and insurers to make an insurance offer.
The Right to Be Forgotten
A key element of the AERAS convention, specifically for former cancer patients, is the “right to be forgotten”. This mechanism allows people who have had cancer to not declare this condition to the insurer when taking out borrower’s insurance, under certain conditions. The objective is to facilitate their access to credit by eliminating discrimination related to their past health status.
Since Law No. 2022-270 of 28 February 2022, the right to be forgotten period has been standardized. It applies if 5 years have elapsed since the end of the therapeutic protocol, without relapse. This 5-year period applies regardless of the age at which the cancer was diagnosed. Previously, it was 10 years for cancers diagnosed in adulthood and 5 years for those diagnosed before age 18.
Insurers offering a group insurance contract are required to provide borrowers with an information document detailing the conditions for applying the right to be forgotten.
In addition to cancer, the right to be forgotten also applies to people formerly affected by hepatitis C, under the same condition of a 5-year period without relapse since the end of the therapeutic protocol. The AERAS convention provides for negotiations to extend this right to other chronic conditions.
The Health Questionnaire and the Lemoine Law
Traditionally, to obtain borrower’s insurance, insurers require you to complete a health questionnaire. If you have had cancer and cannot benefit from the right to be forgotten (because the 5-year period has not elapsed), you will need to declare your past or current condition in this questionnaire. This obligation is based on Article L. 113-2 of the French Insurance Code. It is strongly advisable to be honest and transparent in your declaration. A false declaration, even if unintentional, may result in the nullity of the contract, provided that this false declaration changed the object of the risk or diminished the insurer’s assessment thereof (Article L. 113-8, para. 1 of the French Insurance Code). This means that the insurer could refuse to indemnify you in the event of a claim, or even request the repayment of sums already paid.
However, since the enactment of the Lemoine Law in February 2022, the health questionnaire has been eliminated in certain cases for mortgages. You do not need to complete a health questionnaire if you simultaneously meet two conditions:
- You are under 60 years of age at the end of your loan repayment period.
- The insured portion of your loan is equal to or less than 200,000 euros.
If these conditions are met, the insurer will not know whether you have had cancer or are currently undergoing treatment, and you will be insured under the same conditions as a person without an aggravated health risk. Even in this case, it is crucial to carefully read the list of exclusions in the insurance contract.
For consumer loans, it is possible to obtain borrower’s insurance without completing a health questionnaire under certain specific conditions: being no older than 50, having a loan term of four years or less, and not exceeding a loan amount of 17,000 euros. In addition, a sworn statement is required to attest that you have not accumulated loans exceeding this ceiling.
Aggravated Health Risk, Premium Surcharge, and Exclusions
When the right to be forgotten does not apply (for example, if the 5-year period has not elapsed or there has been a relapse) and the elimination of the health questionnaire under the Lemoine Law is also not possible, cancer is generally considered an “aggravated health risk” by insurers. This can have an impact on the borrower’s insurance contract:
- The insurer may propose an increase in the insurance premium (a surcharge). This surcharge may vary depending on the type of cancer and, based on examples provided, may range from 50% to 200% on certain guarantees (such as death, PTIA, IT).
- The insurer may apply exclusions of coverage for certain risks, for example those related to cancer or a recurrence.
- The insurer may refuse to insure you.
- The insurer may defer its decision (postponement).
A surcharge is not necessarily a bad thing, as it may allow you to obtain the insurance necessary to complete a project, even if the cost is higher.
The AERAS Reference Grid
The AERAS convention also includes a reference grid. This grid sets, for certain conditions (including cancers), the time periods beyond which no premium surcharge or exclusion of coverage may be applied. For other conditions, it defines the maximum applicable surcharge rate. This grid is regularly updated. For example, it was recently amended to facilitate access to insurance for people living with HIV.
Procedure in Case of Insurance Refusal
If you present an aggravated health risk and do not meet the criteria for the right to be forgotten or the Lemoine Law, and an insurer refuses to insure you, the AERAS convention provides a specific procedure involving up to three levels of review.
- Level 1: The insurer reviews the application based on standard criteria and either offers insurance or refuses.
- Level 2: In case of refusal at the first level, the application is automatically transferred for a personalized reassessment within a second-level insurance scheme. At this stage, additional medical information, or even a detailed questionnaire to be completed by your doctor, may be requested.
- Level 3: If the insurer is still unable to make an offer at level 2, the application is forwarded to a special aggravated risk commission (sometimes called the Joint Collective Insurance Office or BCAC) which rules on the situation.
This procedure applies to taking out a mortgage if certain conditions are simultaneously met: the loan does not exceed a certain amount (420,000 euros since 2023, except for a bridging loan for a primary residence) and the borrower will not be over 70 years old at the end of the loan. Note that one source mentions a maximum loan amount of 320,000 euros for the mortgage to benefit from AERAS, while other more recent sources indicate 420,000 euros. Sources from 2025 clearly specify this amount of 420,000 euros for mortgages.
Decisions to refuse, postpone, exclude coverage, or apply a surcharge must be clearly and explicitly justified. You may contact the insurance company’s medical officer or your own doctor to learn the medical reasons for the decision.
In case of refusal of mortgage insurance, it is advisable to submit multiple applications to different insurance companies. Each insurer has its own rules. Using the services of a broker can be very useful for comparing offers and finding the best solution.
Coverage and the Insurance Contract
Borrower’s insurance aims to cover the repayment of the loan in the event of a claim (death, incapacity, disability) that prevents you from working or repaying. The coverage typically included in a loan insurance contract includes:
- Death coverage.
- Total and Irreversible Loss of Autonomy (TILA) coverage.
- Total Temporary Incapacity (TTI) coverage.
- Total Permanent Disability (TPD) coverage.
- Partial Permanent Disability (PPD) coverage.
For the purchase of a primary residence, banks often require Death, TILA, TTI, and TPD coverage. For a rental investment, they often only require Death and TILA coverage. Under the AERAS framework, the bank may sometimes accept insurance covering only TILA for a rental investment.
Optional coverage may be useful in the case of cancer, such as Partial Temporary Incapacity (PTI) coverage in case of therapeutic part-time work, or Job Loss coverage. If the illness has repercussions on mental health or back conditions, non-objectifiable illness (NOI) coverage may be desirable, as standard TTI/TPD coverage does not cover these conditions.
When taking out the policy, pay particular attention to exclusions of coverage, waiting and deferral periods, indemnification terms, and disability or incapacity scales.
What to Do If Cancer Occurs During the Loan?
If cancer is diagnosed during the term of the mortgage, you have an obligation to report it to your insurer, even if it does not result in sick leave (Article L. 113-2 of the French Insurance Code). If the cancer results in sick leave, reporting it to the insurer (claim notification) may allow the insurance to cover the monthly payments, according to the terms of the contract.
It is recommended to check whether your insurance contract contains an irrevocability of coverage clause at the time of subscription. Such a clause guarantees that changes in your health status cannot result in a premium increase or refusal of coverage thereafter.
Conclusion
In summary, it is possible to borrow after having had cancer thanks in particular to the right to be forgotten and the mechanisms of the AERAS convention. The Lemoine Law has also facilitated access to insurance by eliminating the health questionnaire under certain amount and age conditions. If these mechanisms do not apply, the situation is examined within the AERAS framework, potentially involving a surcharge or exclusions, with a multi-level procedure in case of initial refusal. Transparency in health declarations is essential to avoid serious consequences. It is advisable to compare offers and seek professional guidance, if necessary, to obtain the best possible insurance.
It is important to carefully verify the conditions of the right to be forgotten and the coverage offered by insurers to ensure that the criteria are met. In case of non-compliance with the right to be forgotten under the AERAS framework, an appeal to the AERAS Mediation Commission is possible.
