The preliminary relief proceedings were instituted by nineteen insured parties, to get the policy change that was detrimental to them off the table.
The old policies provided cover for a complete funeral or cremation. Midway through last year, Yarden notified 390,000 policyholders that it would no longer meet its obligations. Partly because of the increased costs of funerals.
From now on, next of kin may put together a package worth a few thousand euros and must pay the rest of the costs to Yarden.
The insurer had indicated that it could adjust the policies on the basis of a so-called en-block clause. This gives the insurer the right to adjust a whole group of policies at once.
According to the judge, such a clause is incompatible with a policy in kind, which is intended to protect policyholders against additional payments.
Moreover, the judge considers Yarden himself responsible for the financial problems it faces. According to the judge, these problems arose as a result of our own business operations and choices from the past.
Yarden regrets the judge’s decision and is studying the verdict more closely.