MPPI with Paymentshield - Premiums increase

koexelek

dunstonh wrote: »

You dont use paymentshield to be cheapest. You use them because you know their claims and administration are not going to leave you in the lurch when you need the policy the most or that you need more options than a cheap policy is going to offer.

True.

It's easy to find out which companies have the cheapest premiums, bit not so easy to find a company that will definitely pay out if you make a claim

elisamoose

dunstonh wrote: »

A lot of people dont realise this but the MPPIs will only pay out the amount of your mortage plus x% to cover insurances. So, if you set this up some time ago and your mortgage payment was say £800 and you set the cover for £800 a month then you should notify the intermediary of the change in your mortgage if it has changed a lot from that. For many people their mortgage payments could have halved.

If your MPPI is for £800 and your mortgage is £450 then it will not pay £800 in the event of a claim. It will pay £450. plus x% to cover insurances.

I second this - got our renewal through and noticed were still covered for 1500 which was when rates were much higher . Rang them amd they confirmed that only the actual mortgage payment is paid and so have requested a revised quote !

sportmad_2

dunstonh wrote: »

A lot of people dont realise this but the MPPIs will only pay out the amount of your mortage plus x% to cover insurances. So, if you set this up some time ago and your mortgage payment was say £800 and you set the cover for £800 a month then you should notify the intermediary of the change in your mortgage if it has changed a lot from that. For many people their mortgage payments could have halved.

If your MPPI is for £800 and your mortgage is £450 then it will not pay £800 in the event of a claim. It will pay £450. plus x% to cover insurances.

.......can someone help with where in the policy document Paymentshield state they reduce the monthly benefit paid if actual mortgage payment is less than the contracted monthly cover. I've got policy doc ref NUI/PS/001 and wading through the definitions and terms it seems to confirm that agreed cover is paid. Where's the clause/definition allowing them to apply an adjustment?

dacouch

trixie73 wrote: »

i have just cancelled my policy with paymentshield. it went up 50%. i have took out a new policy with pinnacle ins. its the exact same cover at half the price. altho there is a waiting period.......

and its with Pinnacle lol

darky

In response to your ridiculous comments.

Of course when an insurer receives lots of claims for the same thing (ie redundancy, storms, fires etc) they will put up prices to reflect this - its what businesses do.

And yes its likely in the aftermath of all the floods that home insurance premiums will increase going forward - what else would you expect? The weather has been unprecedented and unforecastable as has this current economic climate and redundancies associated with it. Therefore when insurers set premiums before the current crisis they couldn't have accounted for significant rises in unemployment - they were fair at the time.

As far as raking in money when times are good comment I think you need a reality check. Do you run a business/work in the private sector where profits have to be made or are you one of browns 'army' in the public sector who have no concept of the real world?

An example for you. Imagine you run a car manufacturing business and have sold cars for last 10 years and made profits in those years. Suddenly without warning the price of metal increases by say 200%. Naturally the price of a new car has to increases because of increased production costs. Are you seriously suggesting that you tell the car manufacturers that they "made profits when times were good" so prices shouldn't increase now???

How do you tell that to shareholders who still expect a dividend?
How do you tell that to your creditors who all want their money?
How do you tell your employees that there will be enforced pay cuts and redundancies because your customers don't understand how businesses and supply/demand works.

Get in the real world .........................................and stop bleating

Hotcross

sportmad wrote: »

.......can someone help with where in the policy document Paymentshield state they reduce the monthly benefit paid if actual mortgage payment is less than the contracted monthly cover. I've got policy doc ref NUI/PS/001 and wading through the definitions and terms it seems to confirm that agreed cover is paid. Where's the clause/definition allowing them to apply an adjustment?

They have occasionally sent me new policy documents, and the latest I have is NUI/PS/003. The info is buried in the small print - page 16 'Making a claim' 'important notes'. I don't know if this is a new term or not.

JoHillman

sportmad wrote: »

.......can someone help with where in the policy document Paymentshield state they reduce the monthly benefit paid if actual mortgage payment is less than the contracted monthly cover. I've got policy doc ref NUI/PS/001 and wading through the definitions and terms it seems to confirm that agreed cover is paid. Where's the clause/definition allowing them to apply an adjustment?

You're coming at this from the wrong angle, the clue is in the title - Mortgage protection. In the terms and condition it states that they will cover your mortgage 's payments so it's not there fault if you've overinsured yourself.

msc1977

We seem to have got off lightly our joint MPPI through Payment Shield has gone up from about £29 to £36........is it worth sticking withit oe shopping around? I've emailed our mortgage advisor but having read the MSE info on MPPI i'm worried he'll just come back trying to sell me a product that could end up costing us more but making him money when what i actually want to do is save if possible!! thanks

dacouch

msc1977 wrote: »

We seem to have got off lightly our joint MPPI through Payment Shield has gone up from about £29 to £36........is it worth sticking withit oe shopping around? I've emailed our mortgage advisor but having read the MSE info on MPPI i'm worried he'll just come back trying to sell me a product that could end up costing us more but making him money when what i actually want to do is save if possible!! thanks

If you read the many threads on this subject you will come to the realisation that in the current climate you should transfer companies with extreme caution. Payment shield are a good company to be with as the cheapest is not always the best and its a lesson you do not want to learn when you most need it...when you put a claim in

dunstonh

having read the MSE info on MPPI i'm worried he'll just come back trying to sell me a product that could end up costing us more but making him money when what i actually want to do is save if possible

You dont think much of your adviser. I suggest you dump him or tell him what you think so he can dump you.