Insure against losing your income with a payment protection plan
- 25TH SEPTEMBER 2007
While we all like to think of our job being safe sadly no one is indispensable and every year thousands find themselves out of work after factory and business shutdowns. While this is a big problem it can be a nightmare if you have commitments such as loan and credit card repayments, a mortgage or essential outgoings to make each month. However, taking out a payment protection plan can help to insure against the financial distress caused by this and would help you to carry on meeting the repayments without having to worry.
A payment protection plan will protect you financially should you become out of work due to having an accident, suffering from long term sickness or through unemployment.
You would be provided with a tax free sum of money each month so that you can carry on making your repayments. Policies start to pay out after you have been out of work for 30-90 days or more depending on the type of payment protection plan you have and would continue to provide an income for up to 12-24 months.
You can choose to take out a payment protection plan policy to insure against being unable to work through accident and sickness only, redundancy only or to cover accident, sickness and redundancy. The cover is also known as ASU insurance which or course is accident, sickness and unemployment insurance and can be taken out to cover your loan repayments, mortgage repayments or loss of income.
While mortgage payment protection insurance (MPPI) and loan protection is usually offered alongside the loan and mortgage at the time of taking out the cover this is often the dearest way of purchasing the cover. Payment protection policies can be bought independently and this saves you a great deal on the premiums especially if you take the cover from a specialist such as the ethical British Insurance.
British Insurance is one of the UK’s leading specialists in payment protection plans and has earned themselves the name of the good guys in the sector. They not only help you to save as much as 80% on payment protection plans but also give you the key facts regarding their products which ensure that you make the right decision about its suitability.
