PPI - Your Help & Advise Please ?

[travelininstyle]

Hi All,

I have run this question via Legalbeagles forum and not had a response,so perhaps other members can advise from their own experiences.
I took out a form of PPI some 8 years ago now,as a payment protector against sickness,redundancy etc,but not linked to a mortgage - a form of Income Protection.
For years the premiums stayed the same and guess what,since last year,I have had two increases in premiums,despite never having claimed. Last year the original company I took the policy out with were taken over by Assurant Solutions whom wrote to advise that the premiums would increase - and basically they invited you to accept the new terms and status,or to terminate the cover.I stayed put as the increase was not so bad.This time the premiums have increased by 25% - I guess it reflects the increase in redundancy claims they are fielding - but its excessive for me - I think they are trying to encourage future,or potential claimants to jump ship and thus reduce their exposure to more liabilities.
My question is can the increase be challenged and have other members been having similar experiences with PPI providers ?

 

[johnsco]

It certainly sounds like sharp practice ... But there's nothing new there.
Have you a copy of your original agreement / policy ?
Is there any clause to say that there would be no future increases in premium once your original policy was agreed.
Without this, your position is pretty weak.
It certainly sounds as if they are hoping that many policy-holders will simply throw in the towel due to increased premiums.

 

[wemorgan]

When I was looking at some form of income protection I used: Contractor Mortgages, Independent Financial Advisors for IT Contractors
I had also used them for my mortgage and was very happy with their service.

Incidentally I decided against taking it, as I'd have to be out of work for 4 months and then they would pay out for up to only 12 months. But I appreciate, each to their own.

HTH

 

[bennesspipers]

I agree with Johnsco,every word.

 

[travelininstyle]

Yes I have original agreement - but !

It certainly sounds like sharp practice ... But there's nothing new there.
Have you a copy of your original agreement / policy ?
Is there any clause to say that there would be no future increases in premium once your original policy was agreed.
Without this, your position is pretty weak.
It certainly sounds as if they are hoping that many policy-holders will simply throw in the towel due to increased premiums.

Hi,
Thanks for your replies - I have found the original agreement and sadly having read the T&C - it states "Premiums may be varied by us giving you 30 days notice in writing" - which they certainly have covered thier ****s on ! - that said,it only pays up to £528 per month max - but has a nil waiting period - ie) not your usual 30 days deferral - and it has to pay for up to 18 months !! - not your usual 12 months - I guess its just if that is worth £38 a month ? - that said - Assurant say the most they will pay is a maximum of 12 months benefit and that they reserve the right to vary either the t&c of the policy and the premiums by giving 30 days notice - certainly this is a significant shift from the original t&c of 18 months benefit payable - can they do this ?

 

[HR17]

My premiums have gone up too. I suppose when we took out our policies, money was cheap and there was a lot of competition. Nowadays, money is scarce, there's less competition, and they are finding the current climate hard, as well as people like us who may find themselves out of work unexpectedly. Its all part of the global hassle thats affecting eyeryone. I looked around for similar policies, but there wasn't really much difference, and the hassle was more than its worth, so I stayed put and payed up. Life, as they say, is bitch! Then you die

 

[Sp!ke]

Wasn't there a thing about being able to recover funds paid into these policies if you were mis-sold the payment protection insurance?

Just wondering if recovering all your payments might provide a large enough sum to stick aside for rainy days.

AFAIC they are usually not worth the paper they are written on.


http://www.guardian.co.uk/money/2009/jan/30/payment-protection-insurance-ban

 

[travelininstyle]

I think this is the right course !!!!!

My premiums have gone up too. I suppose when we took out our policies, money was cheap and there was a lot of competition. Nowadays, money is scarce, there's less competition, and they are finding the current climate hard, as well as people like us who may find themselves out of work unexpectedly. Its all part of the global hassle thats affecting eyeryone. I looked around for similar policies, but there wasn't really much difference, and the hassle was more than its worth, so I stayed put and payed up. Life, as they say, is bitch! Then you die

Had a quote from my Bank today to offer a similar package and cover and it cost £50.00 more for the same cover - so I guess I will have to swallow hard - this cover is prohibitive if you have not already got it !!!!

 

[kth286]

a lot of firms will pay you for several months if you cannot work due to illness

and if made redundant, you may qualify for pay also.

check those items out, and if appropriate ask the insurance if they can alter the terms to say 3 months deferment period and what is the new cost.

It is called tailoring the policy to your specific needs and the cost will be significantly lower.

Of course if you are self employed the redundancy bit is useless, but the sickness part will still be good, and again by deleting the redundancy part the cost will be lower.