Look after your future with loan payment insurance cover
- 12TH SEPTEMBER 2007
If you are in full time employment and have monthly loan repayments to make then it could be in your best interests to take out loan payment insurance cover. Loan cover, providing it is suitable for you, will ensure that if you should lose your income through coming out of work due to accident, sickness or redundancy you would have a monthly income.
No one knows what the future brings and the unknown frequently happens. If you cannot keep up with your loan repayments then your credit rating will be affected not to mention bringing stress, and getting back on the straight and narrow can take years. This can be avoided by taking out loan payment insurance cover providing it is suitable for your circumstances.
If a loan payment insurance cover policy is suited to your needs then it would begin to pay out a monthly income once you have been out of work, typically for 30 days and it would be backdated to the day you first came out of work. The majority of policies continue to provide you with an income which is tax free and this you can comfortably use to pay your loan repayments each month without stressing. The downside to loan payment insurance cover is that there are exclusions within policies and this means that you might not be able to claim successfully. The most common exclusions are only working part time, being self employed or being retired.
When taking out loan payment insurance cover the best advice and lowest premiums can be found with standalone providers. A standalone provider such as British Insurance can save you hundreds of pounds when buying peace of mind, while providing you with a quality product and good honest advice explained in plain English.
Loan payment insurance should never be taken out alongside the loan from the high street lender and this is something that Managing Director of British Insurance, Simon Burgess is always stressing. The high street lender very often rips off the consumer with high premiums and very little information regarding the product, the high street lender rakes in huge profits at the consumer’s expense which led to policies being mis sold.
Simon advises: “When purchasing your loan payment insurance cover shop around and get several quotes from specialist providers. Remember to choose your cover carefully making sure it is suitable for your needs.”
