Axa Germany to cancel nearly 18 000 disability contracts

Axa Germany intends to cancel 18 000 disability contracts, a decision justified by the company by the decreasing interest rates and increasing health costs.

Marketed since 2006, this plan makes it possible to insure customers unable to underwrite disability coverage due to a bad medical check-up. In 2010, Axa ceased issuance of this kind of contract, deemed non-profitable.

The company finally decided to terminate the rest of the contracts under its charge, that is, 17 861 files. The German subsidiary of French insurer has proposed in return new more expensive contracts for the same benefits, a decision that has triggered a highly-controversial debate by consumer associations.