PPI Claims Scotland
For all PPI Claims Scotland contact our main company: Payment Protection Scotland.
Payment protection insurance – are there alternatives?
Payment protection insurance (PPI) has been mis-sold on a huge scale to thousands of customers – the majority of whom are now clawing back the money that is owed to them. However, the principal being PPI is not a bad one; it would seem sensible to take out an insurance policy that offers protection in the case of when repayment cannot be made on a loan etc. but, with the mis-selling of PPI still fresh in consumer mind’s, looking for alternatives is not always top of the list.
There is one alternative that many consumer groups such as ‘Which?’ as well as other financial experts are suggesting is better than PPI – income protection.
What is it?
Income protection policies look to pay out on a portion of your income (usually 50%) in the event you cannot work due to illness, disability or accident but it does not cover redundancy. If you feel you need redundancy cover, you can ‘bolt’ this on as an additional extra to your policy or, it can also be purchased as a single policy.
Like most insurance policies, it looks at specifics such as age, gender and your health. These, along with other factors, will affect the level of premiums you pay.
Is it better than PPI?
Income protection costs no more than some of the PPI premiums you will have been paying but provides better benefits. For example, you decide when you want or need the policy to kick in. Some employers offer sick pay for the first 12 weeks and then half pay after this – you will need to check your employee benefits. If this is the case, you could time your income protection insurance to begin after 12 weeks.
The longer the period between you being unable to work and the need for the policy to kick in will decrease the level of premiums you will pay.
You can also set the term of the policy – many people pay premiums on income protection until retirement age. PPI did not always afford this level of protection, frequently ending before the product it was meant to be covering did!
There are other insurances out there too from redundancy cover through to critical illness. However, it is suggested by financial experts that you make sure you have other insurances in place before you opt for these ‘add on’ insurances.
Now is to the time to start the PPI compensation ball rolling if you haven’t already done so. PPI represented poor value for money for many consumers and their families. People were paying far too much for a policy that was of little, if any benefit to them.
What to do now...
- Check your paperwork for all credit cards, loans, mortgages, store cards, in fact any account that offered your credit
- If you find anything that offers to cover your repayments in the event of illness etc. contact PPI Scotland to discuss the possibility of making a PPI compensation claim
Contact Us for PPI Claims Scotland
Please contact us today for more information on any aspect relating to Payment Protection Insurance (PPI). We are happy to provide information on all aspects of PPI and the claims process.