MPPI with Paymentshield - Premiums increase

payless

TEDDYRUKSPIN wrote: »

Also, please take in to consideration that you will receive one weeks pay for every 1 year of service for the company. That is if you are made redundant!

Also, if you have total savings less than £8,000 you will only have to wait 13 weeks for income support mortgage interest from the government.

buts that only if you qualify - a working partner may exclude this ( even if mortgage taken on joint incomes) - believe awaiting futher details on any package to help in these cases ( unless I've missed them)

Nassar

I too have had the dreaded letter from paymentshield increasing my premium. I moved to them after British Insurance increased my premium after being with them three months. Now I have been with paymentshield three months and get a similar letter. Bit of a coincidence as I got both quotes via moneysupermarket. Now I have found cheaper quotes but I don't know whether to change companies again or just stick.Any advice would be appreciated.

sleepyshell

We have decided to stick with our Paymentshield policy for the time being and review our situation in 3 months time. I'm not happy with the increase, but I think we'll have to live with it.
I'm quite confident that my job is safe, although you can never be 100% certain of this. My fiance's employer has already made redundancies, and although it has all calmed down at the moment, there is still a possibility that they might reduce staff further. We will keep the policy for now and hopefully by the end of April we should have a better idea about his job.

payless

The other major providers ( in particular CP- who run another of the more popular direct sell products, and the other one have taken site down for revamp ) have also issued letters about increases to new and existing policies.

payless

MARTIN - your MPPI article is looking out of date , especially given lots of changes in premium rates and the underlying underwriters for some of the policies you mention , plus it states

These policies premiums rarely change, but if they do, you can just cancel and switch to the new cheapest.

which of course is no longer a good statement - many providers will invalidate a claim if the employer had announced restructing, merger or job losses ( even if not in person's dept) at time of application ( or even in upto 4 months after!) ... switching may be a diaster , AS YOU THINK YOU ARE SAVING MONEY, BUT COULD FIND YOURSELF WITHOUT VALID COVER - CHECK BEFORE DOING SO, especially important given so many of the products mentioned come without advice - so no comeback!

Wutang_2

payless wrote: »

MARTIN - your MPPI article is looking out of date , especially given lots of changes in premium rates and the underlying underwriters for some of the policies you mention , plus it states


which of course is no longer a good statement - many providers will invalidate a claim if the employer had announced restructing, merger or job losses ( even if not in person's dept) at time of application ( or even in upto 4 months after!) ... switching may be a diaster , AS YOU THINK YOU ARE SAVING MONEY, BUT COULD FIND YOURSELF WITHOUT VALID COVER - CHECK BEFORE DOING SO, especially important given so many of the products mentioned come without advice - so no comeback!

people who read Martin's articles on financial advice deserve everything they get. He is a man with a big website - not an adviser.

Terry_collins

I have also got the dreaded letter that my mppi cover payments are going up from March by 60%. I have noticed however that my policy does not cover my mortgage amount as it increased in November by another £200. In the event of a claim would paymentshield still pay the amount im covered under the policy? If they dont then its going to be very expensive.

dunstonh

Terry_collins wrote: »

I have also got the dreaded letter that my mppi cover payments are going up from March by 60%. I have noticed however that my policy does not cover my mortgage amount as it increased in November by another £200. In the event of a claim would paymentshield still pay the amount im covered under the policy? If they dont then its going to be very expensive.

If you have a PPI then the mortgage amount doesnt matter. If you have an MPPI then the mortgage amount is vital.

If the sum insured is higher than the amount of the mortgage then the insurer will only pay out the amount of the mortgage (plus any percentage/costs you have added on for insurances). So, having a higher sum insured than you need is an uncessary expesnse. Providers can alter this figure upon request.

If you the sum insured is lower than the mortgage then you will get paid the sum insured and no more.

RICH2002

Wutang wrote: »

If you ran an insurance company providing redundancy cover and at the same time there were lots and lots of redundancies being made - is it really that huge a surprise?

The whole point of the cover was incase people got made redundant and now people are getting made redundant they want to increase their premium. who's deluding Who.!!
So the same should apply to all other types of insurance. when lots of claims come in for storm damage, all insurance policies should rise between 20% an 100%.
IMO insurance companies are taking the P-ss. they know peeps are not going to take the risk in the present climate and as such are trying to take advantage of the current situation..
They raked the money in when times were good but now they are crying WOLF. Then on top of the increase in payments increases, they have that many conditions that it makes it near impossible to actually claim.


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payless

RICH they way you have posted implies the last bit

people who read Martin's articles on financial advice deserve everything they get. He is a man with a big website - not an adviser.

was one of my posts - it wasn't