Do you qualify for loan insurance?
- 13TH SEPTEMBER 2007
This is the first question that should spring to mind and that you should ask yourself and give serious thought to when thinking about taking out loan insurance. Loan insurance when purchased correctly can and does work and without a doubt can make life a lot easier for you if you should find yourself unable to work due to an accident, sickness or unemployment while having loan repayments to make each month.
If you do qualify for loan insurance then it would pay out a monthly tax free income with which you can meet your loan repayments, in most cases after you have been out of work for 30 days or more. If you take your policy independently from an independent provider such as British Insurance then the policy would be backdated to the day you came out of work and would continue paying out for 12 months.
British Insurance offer quotes for loan insurance policies to cover against coming out of work due to accident and sickness only, unemployment only or you can guard against coming out of work for all three. Loan insurance is also known as ASU insurance or loan payment protection and while it can be bought alongside the loan from the high street lender and is often pushed by the high street lender it is better when bought independently.
A specialist provider will always be able to offer the cheapest quotes for the premiums for loan insurance and along with this they give the best advice and information that is necessary in order to make the most informed decision regarding the policy’s suitability. All policies have exclusions within them which means that a policy might not be in your best interests, for instance if you have a pre- existing medical condition, you are only in part time work, are self employed or retired then a policy wouldn’t be suitable.
To ensure that you not only get the cheapest premiums available for loan insurance but also the essential information, you should get several quotes for specialist providers before committing yourself to a loan insurance policy. A good ethical payment protection specialist such as British Insurance will make the information you need available in plain English which ensures that you are able to make the right choice.
