Glasgow: 0141 844 0017 * Edinburgh: 0131 224 0094 * Lanarkshire: 01698 286 463

Archive for tag: Is Payment Protection Insurance Any Good

Is Payment Protection Insurance Any Good?

PPI compensation may be coming to an end soon but when the PPI complaints deadline passes in August 2019, it doesn't mean that PPI will no longer be sold. But is there ever a time when PPI is the right decision?

Heavenly

A range of insurance products

There many insurance products that you can buy that cover all kinds of eventualities. From life insurance cover to critical illness insurances, there are many products, many brands and different levels of insurance cover, all at differing costs.

PPI is one of them. Despite is poor reputation as a result of the mis-selling scandal, it is possible to still buy PPI. In some cases, it may be the right insurance policy for you.

Clearly, protecting the things we love and own is important. There are some insurances that are more important than others.

Some insurances are compulsory;

  • Car insurance- compulsory and essential, driving in an uninsured vehicle will lead to serious consequences.
  • Buildings and contents insurance- important too, should anything structural happen to your property or should there be issues with the contents of a property and so on. Some mortgage companies will insist you have buildings insurance to cover the cost of rebuilding your property.
  • Critical illness cover and so on- protecting ourselves is important too, especially if one person is responsible for paying the mortgage and so on. This type of insurance can give us peace of mind.
  • Income protectioninsurance- is similar to critical illness cover but covers you to the level of your income.

With any kind of insurance policy, seek independent financial advice to make sure that the policy is the right one for you.  

What's wrong with PPI?

There may be some instances in which PPI is the right policy for someone to have. There are all kinds of variable and factors that affect this decision;

  • Benefits from work- many people have a generous benefits package from work which should be considered. For example, if you are off work for any length of time, you may enjoy three months full salary from work before your income drops. This means you won't need a PPI type or income protection policy to kick in until after 12 weeks of illness.
  • Check the insurances you already have- PPI in many cases was a duplicate policy. This means banks forced it on people, telling them that other insurance products were not good enough. They also said that a customer needed to take out the bank's own PPI product.
  • Value for money offered- PPI in the case of mis-selling was expensive and poor value for money. In other words, people were paying a hefty monthly premium for little cover.

Can you claim PPI compensation?

It may be that you can claim back all your PPI premiums, along with any other costs and fees including the commission paid if it was more than 50% and you were not told this.

There are many reasons why PPI was mis-sold. Many people - just like YOU! - have genuine claims for compensation. Are you one of them? Find out by calling Payment Protection Scotland today.