Insurers dragging their feet with investigation
- 3RD JUNE 2007
As a result of the recent investigation by the Financial Services Authority more and more claims due to the mis-selling of payment protection insurance (PPI) have come to light and are being investigated by the Financial Ombudsman Service. The number of people who have made claims up to now is thought to be over the 2000 mark and potential compensation claims are anticipated to go well into the millions in the near future.
However it seems that the banks and high street lenders aren’t willing to make it easy when it comes to dealing with the claims and have in fact been accused of using delaying tactics to slow the process down.
Some of the tactics used have included leaving out important documentation and application forms; not including recorded telephone conversations; and various other forms of information needed to complete the claim.
Currently it is thought that there is around a three month waiting list for claims to be examined and this is set to rise with the amount of claims increasing.
People considering purchasing the cover should to be aware now more than ever of the problems faced when buying payment protection insurance and the ramifications of buying unsuitable policy.
“They need to know and understand the product and what is and is not covered” says industry expert Simon Burgess who is also MD of standalone provider British Insurance.
British Insurance are considered to be “the good guys” in the sector who provide the consumer with a quality insurance product while keeping premiums at a low.
Their policy wordings are transparent leaving the consumer in little doubt as to whether they are eligible to claim.
Simon advises checking out any exclusions in particular when buying payment protection insurance and to “check out whether your occupation is eligible”. He cites how part time workers and the retied would not eligible to claim.
“If you find yourself suddenly out of work due to accident, sickness or unemployment, then without a doubt this cover is essential but only when purchased correctly” he adds.
