France scraps price freeze on top-up health insurance

Holders of top-up health insurance (mutuelles) who were unhappy with ‘illegal’ tariff rises this year are now unlikely to be able to successfully contest these after a ruling by France’s top constitutional authority.

The Conseil constitutionnel, which examines laws to check for clashes with the constitution, says a law passed as part of the 2026 social security finance law banning mutuelles from increasing tariffs this year was unconstitutional.

Reportedly, the majority of insurers had already chosen to ignore the law this year, applying rises ranging from around 3% to as much as 10%, with retirees among the hardest hit. 

Accepting arguments put forward by organisations representing insurers, it ruled that the across-the-board tariff freeze voted by MPs for 2026 represented “a disproportionate attack on the freedom to carry out business” as well as on “contractual freedom”.

Its main argument was that in passing the law, parliament’s original aim was to stop insurers passing on to clients the effects of a temporary tax on mutuelle providers in place for 2026. However, in banning all tariff increases for any reason, the law had gone too far, the Conseil said.

The decision is effective immediately in cancelling the price freeze, including for situations that are going through a legal dispute but which had not been settled by the date of the ruling’s publication, October 24.

Mutuelles are supplementary health insurance that helps cover costs the public health insurance system, Assurance Maladie, does not pay. 

The ruling means that, in most cases, policyholders who have been attempting to contest rises this year are now unlikely to succeed, unless they can show that the increase breached the terms of their particular insurance contract.

However, general rises, aimed at compensating factors like inflation, an ageing population, expensive new treatments, or reductions in state healthcare reimbursements for certain medicines or procedures cannot be contested on grounds that a freeze was intended this year.

Leading consumer organisation Que Choisir Ensemble, which had encouraged members of the public to write to their insurers with formal complaints if the freeze was not respected, has now withdrawn this advice.

Its president, Marie-Amandine Stévenin, said this is a “hard blow to consumers, deprived of a protection that was nonetheless voted for by parliament”.

The organisation says that more than ever, consumers should think about the value for money they get from their mutuelle and compare offers, for example by using Que Choisir Ensemble’s tariff comparison tool. It is possible to change your mutuelle at any time, as long as you have held the policy for a year or more.

Cancellation takes effect after one month’s notice and if you find a new insurer, they can arrange cancellation of the old policy. 

The social security budget for 2027, currently going through parliament, proposes that the temporary tax of 2.05% on top-up healthcare premium income will be repeated again in 2027, raising over a billion euros. It does not propose a repeat of the premium freeze. 

Other pressures on insurers include four decrees recently published reducing the state’s share of costs for dental care, some medicines, medical devices and medical transport, with most set to apply from January 1.  

Que Choisir Ensemble says that the sector has already predicted rises of around 6-8% next year.