A redundancy insurance policy needs looking over with a fine tooth-comb
- 29TH DECEMBER 2007
If you want a redundancy insurance policy to work in the way it was designed to, then you have to look over the small print and key facts with a fine tooth-comb before taking out a policy. The mis-selling of payment protection insurance (PPI) is regularly in the public eye but it is important to remember that it is not the actual products that are at fault but those selling them.
The majority of mis-selling that was highlighted during the investigation by the Financial Services Authority (FSA) was by the high street banks and lenders who sold the protection alongside a loan or a mortgage. Selling cover this way as an add-on meant that those selling the insurance did not always have the expertise and so key facts regarding the exclusions were often not mentioned. This of course meant consumers had no idea if the products were suitable for their circumstances; policies were sold to those of retirement age, self-employed and those suffering a pre-existing medical condition.
A redundancy insurance policy can give you an income with which to carry on meeting your mortgage repayments, loan repayments or to continue paying essential. However the cover can be expensive so you do have to shop around for the best premiums and some of the cheapest can be found with independent specialists.
Ethical British Insurance offer among the cheapest premiums for a redundancy insurance and buying a policy from them will save you up to 80% on loan protection and 40% on mortgage cover. Not only do they offer good value payment protection policies, but they provide transparent terms and conditions meaning you can ensure that the cover is right for you.
