Loan payment insurance cover is still a good buy
- 6TH NOVEMBER 2007
Providing that you understand the cover and know what this valuable protection entails, then loan payment insurance cover can still be a good buy despite the bad name it has earned itself and especially so if you go with a standalone specialist in payment protection insurance (PPI).
A specialist is a provider who only sells payment protection products as opposed to selling the cover as a profit-making sideline alongside other products such as loans or credit cards.
Loan payment insurance cover is taken out if you have monthly loan repayments to make and fear that you might come out of work in the future after suffering from an accident, sickness or if you should become unemployed by way of involuntary redundancy. Providing you have been out of work for the pre-defined period of time which can be from 31 to 90 days you can make a claim and would then continue to receive a tax free income for between 12 and 24 months depending on the provider. Having loan payment insurance cover can undoubtedly remove the stress of where to find the money should you lose your income.
You do however have to be aware that loan payment insurance cover isn’t suitable for all circumstances due to the exclusions within all policies. Reasons which could stop you making a claim include only being in part time work, if you suffer from a pre-existing illness, are of retirement age or if you are working for yourself. There can be others which are dependant on the provider themselves so it is essential that you read the small print and key facts of any policy you are considering purchasing before buying.
British Insurance are ethical, specialist providers of loan payment protection insurance and offer quotes for loan payment insurance cover which can save you up to 80% when compared with high street lenders. They will also point out the key facts of their policies and give information and FAQs regarding the policies they sell which mean that you are able to make a more informed decision regarding the product’s suitability.
