How to cancel an insurance policy in Spain (and avoid being renewed without noticing)
Agency Director | Wealth Protection & Expat Specialist
It's one of the most common surprises for expats: you decide to change insurer, call to cancel, and discover that the policy has already renewed for another year. In Spain, most policies renew automatically, and cancelling requires notice in advance. Here's how to do it properly.
Automatic renewal is the norm
Most Spanish insurance policies, such as car, home, health and funeral, are annual and renew tacitly (se prorrogan) each year unless one of the parties objects.
How much notice you must give
Under the Spanish Insurance Contract Act, the policyholder can object to renewal by notifying the insurer in writing at least one month before the policy expires. The insurer, for its part, must give at least two months' notice if it doesn't want to renew.
In practice:
Check the expiry date on your policy (fecha de vencimiento).
Send your notice at least one month before, in a way you can prove: email with acknowledgement, a signed letter delivered to the office, or through your agent.
Keep proof of when you sent it.
If you miss the deadline, the policy will generally renew for another year.
Cooling-off periods for new policies
If you've just taken out a policy and change your mind:
Policies contracted at a distance (online or by phone) generally allow you to withdraw within 14 days.
Individual life insurance generally allows withdrawal within 30 days of receiving the policy.
When you sell your car or your home
If you sell the insured car or property, tell the insurer straight away. Depending on the policy, it may be cancelled or transferred, and you may be able to recover part of the unused premium. Don't simply stop paying: an unpaid premium doesn't cancel a policy cleanly and can create problems later.
Before you cancel: get your certificates
If you're cancelling a car policy, ask for your claims history certificate before you leave. It helps you keep your no-claims bonus with the next insurer, in Spain or abroad. See how to keep your no-claims bonus.
Moving to us from another insurer
If you want to move your policies to our agency, we can handle the cancellation notice with your current insurer, so the dates line up and you're never left uninsured. Start with a quote for your car, home or health insurance.
What to write in your cancellation letter
There’s no official form, but your letter should leave no room for doubt. Include:
Your full name and NIE/passport number, as the policyholder.
The policy number and type of insurance.
The expiry date of the policy.
A clear statement that you object to the renewal and want the policy to end on that date.
Date and signature.
Write it in Spanish if you can. The insurer has to accept it either way, but a Spanish letter avoids delays. You can copy this template:
Asunto: Oposición a la prórroga de la póliza n.º [número]
Yo, [nombre y apellidos], con NIE/pasaporte [número], tomador de la póliza de seguro de [coche / hogar / salud] n.º [número], comunico mi oposición a su prórroga, de modo que el contrato quede extinguido en su fecha de vencimiento, el [fecha].
En [ciudad], a [fecha]. Firma: [firma]
In English: “I, [name], holder of policy no. [number], hereby object to its renewal, so that the contract ends on its expiry date, [date].”
Send it in a way that leaves proof, such as registered post (burofax), email with acknowledgement of receipt, or through your agent. Keep a copy.
Can I just cancel the direct debit?
It’s tempting, but returning the payment at your bank doesn’t cancel the policy. Under Spanish law, if a renewal premium goes unpaid, the cover is suspended one month after the due date. The insurer then has six months to claim the premium before the contract ends. In the meantime you’re uninsured, and you can still be asked to pay. If the first premium of a new policy is never paid, the insurer can cancel the contract or claim the money.
The clean way out is always the written notice above, sent on time.
How we can help
Send us your current policy by WhatsApp or bring it to our office in central Murcia. We'll check the expiry date, tell you when to give notice and prepare an alternative, all in English.
Don't get caught by the renewal
Contact us with your policy and renewal date.
The second generation leading the agency’s innovation and its national and international growth. He specialises in business protection and investment strategies, and personally leads our advice for the expat community in Spain.
MiFID II certified financial adviser