Life insurance transfer: how to do it?
Updated on 5 August 2026
A life insurance transfer converts an existing policy into a new policy with the same insurer, with lower fees or a wider range of investment options, while keeping the tax seniority already acquired. This article sets out the legal conditions, the steps to follow and the fees to anticipate for a successful transfer.
- The 2019 loi Pacte, France's business growth and transformation act, removed the obligation to move from a single-fund policy to a multi-fund one, unlike the 2005 amendement Fourgous, the earlier measure that first allowed transfers.
- An "internal" transfer, within the same bank or broker, usually takes a few days to a few weeks, against several months when the distributor changes.
- Insurers are under no legal obligation to accept a transfer, but they must give reasons for a refusal.
- Some policies provide for "conversion" fees of up to 1% of the amount transferred: check the general terms and conditions first.
- After 8 years, withdrawing savings gradually within the annual tax allowance of €4,600 (€9,200 for a couple) is an alternative that also preserves tax seniority.
What is a life insurance transfer?
A life insurance transfer means converting an existing policy into a new policy with the same insurer, potentially with lower fees or a wider range of investment options, without losing the tax seniority already acquired.
Imagine you signed up for a mobile phone plan ten years ago. A limited data allowance, unlimited calls in France only, and a price that now looks excessive. What would you do? You would probably cancel it and take out a better deal.
Can a life insurance policy be transferred?
Life insurance works much the same way. Before 2005, changing policy meant losing the tax benefits built up over the years. Savers had their hands tied.
Definition and principle
A life insurance transfer is the option of converting your existing policy into a new one, potentially with lower fees or a wider range of investment options. The tax seniority already acquired is preserved. You therefore get the benefits of a new policy (lower fees, a more competitive euro fund, more investment options) without starting again from zero for tax purposes.
How the rules have changed
The amendement Fourgous opened the way to life insurance transfers in 2005. The framework was very narrow at the time. You could only transfer a 100% euro fund policy into a multi-fund policy, with a mandatory share in unit-linked funds.
The 2019 loi Pacte widened the scope considerably. You can now transfer any type of policy, single-fund or multi-fund, as long as you stay with the same insurer. That changed the game for every saver.
When should you transfer your life insurance policy?
You have probably heard that a bird in the hand is worth two in the bush. Life insurance is much the same. Sometimes it is better to change horses than to cling to an outdated policy.
So when is a transfer genuinely worth considering? Here are a few situations where the option makes real sense.
An old policy with excessive fees
Imagine you took out a life insurance policy with your bank 15 years ago. Entry fees, management fees and switching fees were high back then. That was the norm. Today those same fees eat seriously into your gains.
Returns scraping along the ground
Some old policies offer a limited set of investment options, with meagre returns. Transferring to a recent policy gives access to a more diversified range: euro funds, unit-linked funds, managed-portfolio services and more. Those investment options may perform better.
A change in your life
Has your personal or professional situation changed? Your savings goals probably have too. A transfer is then an opportunity to rework how your capital is allocated so that it matches your new needs.
Other transferable products
Other savings products, such as the PEA (a French tax-advantaged equity savings account), the PER (France's retirement savings plan) or mortgage insurance policies, can also be moved from one institution to another. Standard life insurance does not (yet) offer that flexibility. You can only transfer a life insurance policy within the same insurer.
What are the conditions for transferring a life insurance policy?
Three conditions must be met: stay with the same insurer, transfer into another policy from that same company, and follow the terms the insurer is required to disclose every year. Know these conditions before you start, because a lifetime of savings is not something to improvise with.
Staying with the same insurance company
This is the condition without which no transfer is possible. You cannot change insurer, however attractive a competitor's offer may look.
Are you with Sogécap, the life insurance subsidiary of Société Générale? You can only transfer into another Sogécap policy. With Suravenir, the insurer behind the Fortuneo policies? Same rule, you stay within its range.
Any type of policy can be transferred
Thanks to the loi Pacte, converting a single-fund policy into a multi-fund one is no longer mandatory as it once was. You can now transfer any policy, whether it is 100% euro fund or already diversified into unit-linked funds.
That added flexibility lets you pick the new policy best suited to your saver profile and your goals.
Keeping your tax seniority
This is where the whole point of a transfer lies. By staying with the same insurer, you keep the tax seniority acquired on your old policy.
In practice, if you took out the policy 10 years ago, you still enjoy the tax benefits attached to those 10 years of seniority even after a transfer. Preserved seniority can affect your taxation over the long term.
Advantages of a life insurance transfer
Now that the concept and the conditions are clear, here is what a successful life insurance transfer can bring you.
Getting a newer, more competitive policy
Let us be blunt: many old life insurance policies are outdated and sorely lack competitiveness. Transferring to a more modern policy opens up better options:
- A wide choice of investment options (euro funds, unit-linked funds, managed-portfolio services and more)
- Lower fees on entry, management and switching
- A well-designed online interface for easier monitoring
- Advanced management options such as automatic switching and scheduled contributions
All of these can affect the net return, with no guarantee of performance.
Cutting management fees and other charges
Fees are the crux of the matter in life insurance. Over the years they add up and can seriously erode your gains. A transfer puts the odds on your side for reducing them:
- Entry fees are often zero on new policies
- Management fees reduced, typically to between 0.5% and 1%
- Switching fees sometimes removed altogether
That substantial saving feeds straight through to your net return.
Diversifying your investment options
"Do not put all your eggs in one basket", as the saying goes. That is especially true of savings. A transfer will most likely give you access to a broader, more diversified range of investment options:
- Euro funds for safety
- Unit-linked funds covering equities, bonds and property, for more risk but also more potential
- Managed-portfolio services to delegate to experts
Diversification aims to spread risk, with no guarantee of return.
Plenty of appealing benefits. To get them, though, you have to follow the procedure to the letter.
Steps to transfer your life insurance policy
Transferring a life insurance policy is not a decision to take lightly. It calls for careful preparation and close attention to each step. Here is the whole process, one stage at a time.
Contact the insurer and check the terms
The first step, and not the least, is to ask your current insurer. Ideally everything you need on the transfer terms is in your annual information statement, the relevé d'information annuel or RIA.
If it is not, request it in writing. Since the loi Pacte, insurers have been required to disclose this at least once a year.
A simplified procedure within the same bank or broker
The ideal case: you simply want to move your policy to a newer one while staying with the same institution, the same bank or the same broker. The procedure should then be relatively simple and quick.
Most insurers have committed to easing this kind of "internal" transfer through an automated, streamlined process. Allow a few days, or a few weeks at most.
More capital invested
Non-contractual document for promotional purposes. Investment in unit-linked funds carries a risk of capital loss, since their value is subject to fluctuation, both upwards and downwards, depending in particular on developments in the financial markets. The insurer guarantees the number of unit-linked funds held, not their value, which it does not guarantee. The e-vie life insurance policy is an individual life insurance policy, denominated in euros and/or unit-linked funds, underwritten by Generali Vie, a company governed by the French Insurance Code. Finary SAS - 58 rue de Monceau 75380 Paris 8 - ORIAS no. 21001279
A more complex process when changing distributor
If you want to change not only policy but also bank or broker, while staying with the same insurer, things get rather tougher.
You will probably have to send several registered letters with acknowledgement of receipt. You will also need help from the new institution, and patience. At best the transfer completes within a few months. It often takes considerably longer than that.
How do you choose the best policy after a transfer?
Compare the fees, the returns and the investment options of the policies in contention, if need be with an online comparison tool, taking your investment horizon and your risk appetite into account.
You are now ready to transfer your life insurance policy. The most crucial step is still ahead, though: picking a policy that matches your needs.
After all, "new" does not automatically mean better. So how do you go about finding the right one?
Compare fees, returns and investment options
This is the bare minimum. Before anything else, go through the features of each candidate policy in fine detail:
- Entry, management and switching fees: the fewer the better.
- The euro fund's returns over recent years
- The range of unit-linked funds on offer
- Managed-portfolio and scheduled-contribution options, and more
The goal? Find the most competitive policy you can, with reasonable fees and a broad, diversified range of investment options.
Use an online comparison tool
Comparing every policy by hand, one at a time, would be somewhat tedious, would it not?
To make life easier, and spare yourself a headache, why not use an online comparison tool? Plenty of specialist sites show you the best-rated offers for your profile in a few clicks.
Que Choisir, the French consumer association, runs an online life insurance comparison tool, to be cross-checked against the exact features of the policy you have in mind.
To go further and model how your savings grow given your horizon and your contributions, you can also use a life insurance simulator.
A real time-saver, and the certainty of leaving nothing to chance.
Tips for selecting the most suitable policy
Beyond the purely objective criteria, factor in your own needs and constraints:
- What is your investment horizon? Short, medium or long term?
- What is your risk appetite? Rather cautious, or geared towards more dynamic investments?
- What are your main goals? Preparing for retirement, passing on wealth, growing a lump sum?
These questions are essential to identify the policy best suited to your situation. Consider getting help from an adviser if you need it.
What are the fees and timescales of a life insurance transfer?
The law imposes no transfer fee as such, but "conversion" fees of up to 1% of the amount transferred remain possible depending on the policy's general terms. On timescales, allow a few days to a few weeks for an internal transfer, against several months when the distributor changes. Anticipating both points avoids unpleasant surprises.
Potential fees under the general terms
Fees first, often a sore point in life insurance. The good news is that the law forbids charging transfer fees as such. Indirect fees can still apply if your general terms provide for charges on a "conversion" or a "change" of policy.
The amount varies from policy to policy. Our advice? Request the target policy's fee schedule in writing and read the general terms carefully before starting the process.
Timescales vary with the type of transfer
What about timescales? The legal framework is thin: article L.132-21 of the French Insurance Code sets a 2-month limit for withdrawals, sometimes invoked by analogy for transfers, but nothing specific governs transfers themselves.
It all depends on the type of transfer you have in mind:
- An "internal" transfer, within the same bank or broker: a few days to a few weeks at the very most. The procedure is well oiled.
- Changing bank or broker but keeping the same insurer: this is where it gets complicated. Allow several months, or longer if the insurer drags its feet. A well-prepared file and help from the new institution both count in your favour.
Either way, arm yourself with patience. A life insurance transfer is definitely no mere formality.
Ready to take the plunge? Keep all of this in mind before you start, and weigh up the pros and cons carefully.
Life insurance transfer statistics since the loi Pacte
You are far from alone in considering a life insurance transfer. Since the loi Pacte came into force in late 2019, the option has attracted more and more French savers. The figures speak for themselves.
2022: a record year
2022 saw a record number of transfers go through. No fewer than 331,000 policies were "converted" within the meaning of the loi Pacte, representing a hefty €13.5 billion. The figure was confirmed by France Assureurs.
That enthusiasm shows how much savers had been waiting for this new flexibility.
Only a start?
Since the loi Pacte came into force, more than 1.5 million policies have been converted in total. According to France Assureurs, the pace rebounded sharply in early 2025: in the first quarter of 2025, 103,000 policies were converted for €3.3 billion, of which €0.6 billion was reinvested in unit-linked funds, a higher quarterly level than at the end of 2024, when 51,000 policies were converted for €1.8 billion in the fourth quarter.
That number could rise further if the rules were relaxed to allow transfers between different insurers, a change that has not happened to date.
Alternatives to a life insurance transfer
For all its advantages, a life insurance transfer is not always the most suitable answer. Depending on your personal situation and your goals, other options may make more sense.
Open a new policy without closing the old one
One of the most obvious alternatives is to open a new life insurance policy, possibly with lower fees or a wider offering, while keeping the old one.
The big advantage? You do not lose the tax seniority acquired on your old policy. You keep the benefits available after 8 years while investing through a more modern vehicle.
It does mean running two policies in parallel. In exchange you gain extra flexibility and potentially more return.
Optimise tax by withdrawing your savings gradually
Another option worth considering is withdrawing your savings from the old policy gradually and reinvesting them in the new one.
The key? If your policy is more than 8 years old, stay within the annual tax allowance of €4,600 for a single person (€9,200 for a couple). Within that limit you pay no income tax on the gains withdrawn; only social security contributions at 17.2% remain due.
This approach can smooth the tax impact while reinvesting in a better-performing option, without waiting another 8 years.
Cancel the old policy and open a new one
Last option: a clean break. You simply close your old policy and open a new one with the insurer of your choice.
The downside? You lose the tax benefits tied to seniority. Unless you are already past the 8-year mark, this option is rarely advisable financially.
As always with savings, the most suitable answer depends on your goals and your risk appetite. Weigh up the pros and cons carefully.
You now know what a life insurance transfer involves. The call is yours, based on your own situation.
Frequently asked questions
Can you transfer your life insurance policy to another insurer?
No. The loi Pacte only allows a transfer within the same insurance company, into another policy from that insurer. Changing insurer remains impossible: you have to close the old policy and open a new one, which loses the tax seniority acquired.
Does a life insurance transfer involve fees?
The law imposes no transfer fee as such, but some policies provide for "conversion" or "change" fees of up to 1% of the amount transferred. Check the general terms before starting the process.
How long does a life insurance transfer take?
An "internal" transfer, within the same institution, usually takes a few days to a few weeks. A transfer involving a change of bank or broker can take several months, as the insurer is bound by no specific legal deadline.
Can an insurer refuse a life insurance transfer?
Yes. Insurers are under no legal obligation to accept a transfer request, but they must give reasons for a refusal. In practice, most transfers internal to a single institution are accepted.
What happens to tax seniority after a life insurance transfer?
It is preserved in full, provided you stay with the same insurer. A policy taken out 10 years ago keeps its 10 years of seniority after a transfer, which preserves the tax benefits tied to the holding period.
Sources
Légifrance, law no. 2019-486 of 22 May 2019 on business growth and transformation (loi Pacte)
Légifrance, article L.132-21 of the French Insurance Code
impots.gouv.fr, Life insurance and the PEA: taxation and social security contributions
France Assureurs, loi Pacte transfer statistics for the first quarter of 2025
France Assureurs, key life insurance figures
AMF, white list of Crypto-Asset Service Providers (CASP), Finary SAS
Regulatory disclaimers: Marketing communication. Investing carries a risk of partial or total capital loss. Past performance is not a reliable indicator of future performance. This article is provided for information and educational purposes only; it does not constitute personalised investment advice, a buy or sell recommendation, or tax advice. The capital guarantee on euro funds is provided by the insurer and depends on its financial strength. In a severe systemic crisis, the French "Sapin 2" law allows withdrawals to be temporarily restricted (liquidity), without affecting the guaranteed capital. Unit-linked funds are not guaranteed and carry a risk of capital loss. Before investing, read the Key Information Document (KID) and, where relevant, consult an authorised adviser. Finary SAS, an investment firm authorised by the ACPR (no. 19283), member of AMAFI. Insurance broker registered with ORIAS (no. 21001279), member of the CNCGP (association approved by the AMF). Crypto-Asset Service Provider (CASP) authorised by the AMF under the MiCA regime, references no. A2026-026 and no. N2026-008.
