(1) If the insurance agreement ends on the death of the policyholder, the insured persons are entitled to declare the continuation of the insurance agreement by appointing the future policyholder within two months following the death of the policyholder.
(2) Subsection (1) applies accordingly if the policyholder terminates the insurance agreement overall, or for individual insured persons. The termination is only effective if the insured person has learned of the declaration of termination. If the terminated contract is a group contract of insurance, and no new policyholder is designated, the insured persons are entitled to continue the insurance agreement, taking account of the rights acquired under the contract and the old-age reserves, insofar as they have been set aside, at the same terms and under the same conditions as the individual contract. The right under the third sentence lapses two months after the time when the insured persons learn of this right.
(3) If an insured person moves his or her habitual place of residence to another Member State of the European Union, or to another state party to the Agreement on the European Economic Area, the insurance agreement continues, with the proviso that the insurer only remain liable up to the maximum benefits which he or she would have had to pay were his or her place of residence still in Germany.