Insurers being slow with investigations
- 3RD MAY 2007
Many payment protection insurance providers have been inundated with claims applications in recent months as a result of a Financial Services Authority investigation into the mis-selling of payment protection insurance (PPI). The number of claims filed thus far is estimated to be around 2,260, but the number of people likely to claim in the coming months and years run into the millions.
With claims only just beginning to reach settlement, many payment protection insurance providers have been accused of deliberately delaying the claims process down the line. If claims are filed through the Financial Ombudsman (FOS), the latter is required to request information from the provider, but the files sent through to help the FOS substantiate the claim and arrive at a settlement often have relevant paperwork missing.
Application forms, ‘phone call records and various other necessary items of paperwork that are missing then have to be chased up, thus slowing down the process further. The blame has often been pinned on FOS processing staff, but the blame lies firmly at the door of the banks and lenders with compensation claims currently taking in excess of three months to settle.
To prevent such claims and hassle in the future it may be wise to investigate the availability of a standalone policy to suit your needs. Independent payment protection provider British Insurance, for example, has an excellent record in compliance and customer service. They are considered the good guys of the market place and can offer payment protection insurance that is relevant to you, and at a low cost.
