Payment insurance is invaluable, despite the bad name it has earned
- 17TH NOVEMBER 2007
Would you buy a product if you were given very little advice on what it can and cannot do? If it was very costly and if you did not know that it was even suitable for your needs? Very few people would admit they do but actually thousands have done so when they have taken out their payment insurance alongside a loan or credit card with the high street lender.
Loan payment insurance is taken out to safeguard against the possibility that you might come out of work after suffering from an illness, accident or through unemployment by such as redundancy. A policy would give you the money each month which would ensure that you would have an income with which to continue meeting your loan repayments each month.
A payment insurance policy could provide you with a fixed, tax-free income once you have been out of work for a certain period of time which is usually between the 31st and 90th day of continually being out of work. Cover then lasts between 12 and 24 months depending on the provider. British Insurance who is one of the most ethical providers begin paying out once you have been out of work for 30 days and look after you for up to 12 months and can help you to make savings of up to 80% on your payment insurance premiums.
However it is not just money they save you, British Insurance gives you all the advice and information you need so you can determine if a policy would be in your best interests and so save stress later if you find it isn’t. They do not hide the fact that there are exclusions which could stop you being eligible to claim, some of the most common being if you work part time, you are self-employed, suffer an ongoing illness or are retired. Payment insurance taken out with a standalone provider can still be a valuable product to have despite the bad publicity it has seen recently.
