Qualified Reminder Notice (Qualifizierte Mahnung)
A qualified reminder notice is a written payment demand issued by the insurer upon default on a renewal premium, which must state the outstanding amount, a payment deadline, and the legal consequences of non-payment.
Concept
A qualified reminder notice is the formal precondition that the insurer must satisfy in the event of a policyholder’s default on a renewal premium, before the insurer may deny coverage or terminate the contract for payment default. Unlike a simple, informal payment reminder, a qualified reminder notice must meet certain statutorily prescribed minimum content requirements.
Formal Requirements
Mandatory elements of a qualified reminder notice include precisely stating the outstanding amount, granting a reasonable payment period (in most jurisdictions at least two weeks, and in certain lines such as building insurance sometimes one month), and an explicit, unambiguous notice of the legal consequences that will occur if payment continues to be withheld – in particular, the insurer’s denial of coverage and the possibility of termination.
Relevance for the Effectiveness of Legal Consequences
If the insurer’s reminder does not satisfy these formal requirements, the insurer may not rely on denial of coverage even after the fruitless expiry of the deadline; the qualified reminder notice is thus a central protective instrument for the policyholder, intended to ensure sufficiently clear and transparent information about the impending consequences of a payment default before coverage actually lapses.