Income protection insurance cover still suffering from problems
- 9TH DECEMBER 2007
Along with the rest of the family of payment protection insurance (PPI) policies, income protection insurance is still suffering from problems. Faith was lost in payment protection products in 2005 when an investigation began by both the Office of Fair Trading and the Financial Services Authority (FSA) after it was found there was wide spread mis-selling of cover. While the majority of problems are related to loan payment protection, mortgage and income protection products are also bearing the brunt.
Income protection insurance cover can give an income for between 12 and 24 months once you have been out of work for between 31 and 90 days which means you are able to carry on paying your essential outgoings. For a monthly premium you are able to safeguard up to a certain amount of your income each month but you do have to make sure that it is suitable for your circumstances.
Exclusions which are common to all policies include being in part time employment, of retirement age, self-employed or if you have an ongoing illness at the time of taking out the cover. It is the lack of knowledge regarding policies that have caused so many problems and it is important to remember that it is not the products themselves which are to blame but those who use poor selling techniques.
Income protection insurance cover has to be taken out with a specialist if you want the cheapest premiums and one ethical standalone provider British Insurance offers quality products for the cheapest premiums possible, along with giving you access to the key facts you need to determine if a policy would be suitable for your needs. Always read the small print of any policy you are considering taking out before buying the cover and you can have peace of mind that the product should bring.
