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7.5 Payment and consequences of late payment, subsequent premium, Legal Expenses Insurance, Basis
Clause 7.5, Payment and consequences of late payment, subsequent premium, from Legal Expenses Insurance, Basis, ARB WRS Basis (1-2025nam).
German law applies; only the German wording is binding.
This English text is a courtesy so you can read what you buy, not a contract document.
Where the two differ, the German text decides:
7.5.1 The subsequent premiums fall due at the agreed point in time in each case.
7.5.2 Default German law applies to the contract. The German wording of the conditions alone is binding; this translation is provided for understanding only. If you do not pay a subsequent premium in good time, you are in default, even without having received a reminder from us. We are then entitled to demand compensation for the loss we have suffered through the default (see 7.5.3). You are not in default if you are not responsible for the late payment.
7.5.3 Demand for payment If you do not pay a subsequent premium in good time, we may grant you a period for payment. This is done in text form (example: letter or email) and at your cost. This period for payment must be at least two weeks. Our demand for payment is effective only if it contains the following information: the outstanding amounts, the interest and the costs must be individually quantified, and the legal consequences associated with exceeding the period under 7.5.4 must be stated.
7.5.4 What are the legal consequences of exceeding the period? Loss of cover If you have still not paid after the period for payment has expired, you have no cover from that point until payment. We must, however, have drawn your attention to the loss of cover in our demand for payment under 7.5.3. Cancellation of the insurance contract If you have still not paid after the period for payment has expired, we may cancel the contract without notice. We must, however, have drawn your attention to the possibility of cancellation without notice in our demand for payment under 8.5.3. (The German original refers here to 8.5.3; the demand for payment is governed in 7.5.3.) If we have cancelled your contract and you then pay the amount demanded within one month, the contract continues. You then have no cover, however, for insured events that occurred between the expiry of the period for payment and your payment.
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