Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • tesuhoha
    • By tesuhoha 17th Mar 17, 5:10 PM
    • 15,810Posts
    • 41,197Thanks
    tesuhoha
    Can We Reclaim MPPI on this?
    • #1
    • 17th Mar 17, 5:10 PM
    Can We Reclaim MPPI on this? 17th Mar 17 at 5:10 PM
    We had a 9 year mortgage with Nationwide. This started in 2006 and was paid off early in May 2013. For the duration of the mortgage we paid Mortgage Payment Protection.

    When we had our mortgage interview with the Nationwide we were advised to take out MPPI. At the time we stated that my husband was self-employed but were told that we could still have it. I have some paperwork and on some of it the cover is stated as disablement. We knew that the cover was if for example my husband broke his leg and couldn't work so when he was laid off in 2008 we did not attempt to make a claim.

    However, I am wondering if there is any way we were mis-sold this. How would I be able to find out if they would have paid up? Is it mis-selling to sell this insurance to someone self employed so that unemployment is not covered?

    Our monthly premium was £34.55 with 30 days excess.
    Last edited by tesuhoha; 17-03-2017 at 5:13 PM.
    The forest would be very silent if no birds sang except for the birds that sang the best

    The best kept secret is an open secret.

    A vacuum is nature's default state.
Page 1
    • Nasqueron
    • By Nasqueron 17th Mar 17, 5:15 PM
    • 4,165 Posts
    • 2,300 Thanks
    Nasqueron
    • #2
    • 17th Mar 17, 5:15 PM
    • #2
    • 17th Mar 17, 5:15 PM
    MPPI is typically sold by a broker (was yours - or was it in a branch of the Nationwide?). They should normally do a proper investigation into your circumstances and ensure the product is suitable and would cover your situation (including self employed people being unable to work).

    You could look at your terms and conditions to confirm if he would have been covered or not.

    If the policy would not have paid up for a self-employed person losing their work then yes it would be unsuitable but if he was self-employed how was he laid off?
    • tesuhoha
    • By tesuhoha 17th Mar 17, 5:25 PM
    • 15,810 Posts
    • 41,197 Thanks
    tesuhoha
    • #3
    • 17th Mar 17, 5:25 PM
    • #3
    • 17th Mar 17, 5:25 PM
    MPPI is typically sold by a broker (was yours - or was it in a branch of the Nationwide?). They should normally do a proper investigation into your circumstances and ensure the product is suitable and would cover your situation (including self employed people being unable to work).

    You could look at your terms and conditions to confirm if he would have been covered or not.

    If the policy would not have paid up for a self-employed person losing their work then yes it would be unsuitable but if he was self-employed how was he laid off?
    Originally posted by Nasqueron
    Thank you for your quick reply. The MPPI was sold to us in a branch. The policy would not have paid out for him losing his work. He lost his work when the contractor he was working for went bankrupt in the credit crunch and we did not claim because we were told the policy was only if he was sick or injured. Sub contractors are classed as self employed even though they work for a Contractor. He didn't have work for a while because a lot of people in the building trade were in the same position so work was very hard to come by.

    I haven't been able to locate the terms and conditions although I seem to have all the letters regarding it. One letter states Cover - Section 1 - Disablement. On the reverse of the letter is a paragraph which states. Mortgage Payment Protection Insurance offers protection for your mortgage payments and other regular outgoings if you are unable to work due to accident, sickness or unemployment.

    However, on the front of the letter it states only the mortgage payment is covered, nothing else and it is only covered for Disablement..
    Last edited by tesuhoha; 17-03-2017 at 5:46 PM.
    The forest would be very silent if no birds sang except for the birds that sang the best

    The best kept secret is an open secret.

    A vacuum is nature's default state.
    • Nasqueron
    • By Nasqueron 17th Mar 17, 6:29 PM
    • 4,165 Posts
    • 2,300 Thanks
    Nasqueron
    • #4
    • 17th Mar 17, 6:29 PM
    • #4
    • 17th Mar 17, 6:29 PM
    The question will then come down to what you actually bought, if you were sold a full package which would cover loss of job but would not pay out then it would be miss-sold. If that was an option but you ended up with some sort of accident/sickness type policy without the employment option then it was never going to cover you.

    It would be worth speaking to the Nationwide PPI complaints people and establishing what exactly your cover was and if it was meant to cover loss of work but didn't, then complain
    • McKneff
    • By McKneff 17th Mar 17, 7:11 PM
    • 35,227 Posts
    • 45,358 Thanks
    McKneff
    • #5
    • 17th Mar 17, 7:11 PM
    • #5
    • 17th Mar 17, 7:11 PM
    You cant be laid off if you are self employed.
    No one can make you feel inferior without your consent
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

1,990Posts Today

8,298Users online

Martin's Twitter
  • Today's Twitter poll 2: following on, which of these professions would you trust least if you were using their services?

  • Today's Twitter poll: Which of these professions would you trust most if you were using their services?

  • RT @ctsi_uk: Section 75 credit card protection may fail due to payment processing loophole - shoppers beware @MartinSLewis https://t.co/8uQ?

  • Follow Martin