Loan payment protection insurance cover still under review
- 6TH OCTOBER 2007
Loan payment protection insurance cover can give you a tax free income with which to continue meeting your loan repayments each month if you should lose your income after coming out of work down to an accident, sickness or through unemployment by such as redundancy. If you were to lose your income then you would still have to find the money to repay your loan otherwise you risk getting into debt. Loan payment protection insurance cover can help but it has to be suitable for your circumstances.
While loan payment protection insurance cover can be a lifeline there have been problems in the sector which was revealed in 2005 when a super complaint was made by the Citizens Advice to the Office of Fair Trading. Following the complaint the Financial Services Authority also stepped in to investigate and handed out fines to several high street names.
The sector was then referred to the Competition Commission who are currently conducting an in-depth inquiry into the payment protection insurance industry. The inquiry is set to reach conclusion in February 2009 and the Financial Services Authority still have the sector under investigation with the latest round of investigations featuring mystery shoppers and showing that the product is still sometimes being sold with little information offered to the consumer.
Simon Burgess, Managing Director of standalone specialist British Insurance, has always spoken openly about how the providers exploit the consumer and with the Financial Services Authority now handing out fines to not only the firms but also handing out personal fines to the Chief Executives he is right in his thinking.
Loan payment protection insurance cover can give you an income but it isn’t suitable for all circumstances due to the exclusions and you have to have access to the small print and key facts of the policy before you buy. British Insurance gives you this information in plain English which makes deciding the suitability of a policy easier along with offering the cheapest premiums for the cover which can save you as much as 80% when compared to the high street lender. Stick with the specialist in loan payment protection insurance cover and make use of their experience and advice and you can get a product that works the way it should.
