Over Insured.........CARDIF PINNACLE

marshallka

robbedofmymoney wrote: »

i think we were all expecting this response,
you are definately doing the right thing by going to the FOS,
keep at it, you will win through :j:j:j

Cheers robbedofmymoney and Di. :beer:

Just hope I do win cause I really cannot stand the attitude of this fella dealing with the case. He always knew the answer but took it to the limit just cause he can.

marshallka

Just found this when googling

http://www.whatprice.co.uk/advice/duplicate-insurance-cover.html

This is really about PPI and other insurance but just shows how we can cover ourselves too much

Permanent Medical Insurance and Payment Protection Insurance

Permanent Medical Insurance (PMI) is also known by some people as Income Protection Insurance. PMI pays out the insured monthly sum if the policyholder is off work due to illness due to one of a wide range of specified illnesses - and some policies will even pay out during redundancy. PMI policies pay out indefinitely or at least until the policy comes to the end of its insured term.
Few appreciate is that PMI actually eliminates the need for Payment Protection insurance - the sort of insurance frequently sold alongside loans, credit cards and mortgages to maintain monthly payments if you are off sick, have an accident or are made redundant. Indeed, you can't make a claim against more than one policy for the same event - only one policy will agree to pay out! (All the others will reduce their payouts to the value of the money you are receiving from your other policies)

Read more: Duplicated Insurance Cover - Is Your Insurance Cover Duplicated?
http://www.whatprice.co.uk

Also just been working out IF Cardif Pinnacle tried to say that we could claim on our insurance AFTER my husband had finished receiving his sick pay from work (which is when the other policy kicks in) then it would mean it was completely useless to us. This way we would get 12 months payments from Cardif but it would be reduced on the other policy. They really will not answer about paying whilst receiving pay from work (as my husbands work does for the first 26 weeks). So annoying they have let it go to FOS and they say they look forward to the outcome..... I guess they will say they would pay alongside his wages now as its cancelled and they have no risk but I guarantee they would have not had this have happened.

Just found this also

When it comes to buying MPPI, Simon Burgess, managing director of British Insurance, says it pays to check there aren't too many restrictions. "A long qualification period, such as 90 days, can be difficult to get through without any money," he adds. "Some policies have back-to-day-one cover, which means you'll be covered from day one and you'll get your first cheque at the end of 30 days."

A few exceptions

There are also instances when some of these policies simply aren't worth having. "If you're self-employed, a temporary worker, on a contract or have more than one job, it's not worth taking out unemployment cover because you'll never qualify for a payment," says Burgess. "And, if your employer had already announced a redundancy programme before you took out the cover, even if you haven't been singled out for it, most MPPI plans won't cover you if you're made redundant later."

Another point to bear in mind, whichever policy you decide on, is that you need to tread carefully when taking out anything that pays an income if you're unable to work because of sickness or an accident. You're not allowed to receive more in benefits than if you'd been working, so if you're employer provides some form of cover make sure you don't duplicate it, as the additional premium will be a waste of money.

http://www.money.scotsman.com/scotsman/articles/articledisplay.jsp?section=Insurance&article_id=9986934

robbedofmymoney

it really does confirm what we have been saying,
at least the FOS do understand these things and will give the correct decision.

:beer::beer::beer:

marshallka

robbedofmymoney wrote: »

it really does confirm what we have been saying,
at least the FOS do understand these things and will give the correct decision.

:beer::beer::beer:

I just hope so cause they are saying that as theirs pays out first before the works one (although my hubby gets paid until works one kicks in) then we have use of it and that its the PHI that is the one (although this one has been running since 2001!!) that would be reduced. I just hope that FOS looks at this fairly as Pinnacle seem pretty !!!! sure they will win.

robbedofmymoney

there's only one way to find out, and it will cost Pinnacle £500 (which is what the FOS charge them per complaint):rotfl::rotfl:

you have nothing more to lose now you have cancelled, and all to gain. :T:T:T

maxdp

Marshallka. You I am sure have looked at all the options here. I am sure you have made the right decision. Good luck to you. You have been successful on others that you have claimed and have continued even though you have been told by "experts" to claim in different ways. Am sure this will come to fruition eventually. I hope all else OK too.x

marshallka

maxdp wrote: »

Marshallka. You I am sure have looked at all the options here. I am sure you have made the right decision. Good luck to you. You have been successful on others that you have claimed and have continued even though you have been told by "experts" to claim in different ways. Am sure this will come to fruition eventually. I hope all else OK too.x

Cheers maxdp.

Wouldn't it be better if when buying insurance online if you were asked a number of questions about "other" insurance and made to read how this would affect "other" policies if you were to take it out. They should be looking into this and then people would not be buying insurance that is totally useless and a waste of money. I know the actual insurers would not like that one as they would lose out good style. Also the terms and conditions make no mention at all about other income coming in and just expect you to know the laws rule on insurance etc. How would you know all this if you did not work insurance or come on sites like this. Everyone keeps saying "refer to your terms and conditions" but when terms and conditions make no mention of how other insurance affects your claims you would never know until its too late often.

marshallka

I had emailed the ABI on this one and this is the response about how much you can insure yourself for

Thank you for your e-mail.

You would need to check with both insurance companies directly for an answer to your question but nearly all policies limit the benefit payable to some percentage of the policyholder's normal earnings. Any state benefits payable may reduce the maximum benefit and benefits from any other policies may also reduce the maximum.

John ********
Information Officer

Cardif Pinnacles policy makes no mention whatsoever about other insurance, other income etc at all but the works one does state that other income would affect it paying out the full 75% and says

It is essential that any member receiving benefit from this policy does not receive, in total any amount that is higher than the salary received when they were working. This is to provide an incentive to return to work. So we will take other income into account and reduce the amount we pay so that in total, when added to the basic long term incapacity benefit is not more than 90% of their total earning immediately before start of period.

Other regular income includes payments from other insurance policies, for example loan protection polices but does not include income received before the start of their incapacity.


This is from the latest terms and conditions as my husbands works changed insurer 3 times.

In fact looking at all these policies they all state the same about not being able to receive more than you earn and if you do the payments are reduced each month. Cardiff pinnacle told us different and they say (and still say) its not classed as income protection as its MPPI and its different and the rules do not apply.

Even the ABI have little understanding of what Cardif are saying. This insurance is driving me mad. We rang Cardif before taking it out and said we did not want to protect anything in particular and we wanted to be able the money to pay off mortgage, whatever credit we had etc and they said that this policy would pay out regardless of anything. It was called ASU insurance then (which we thought was income protection) although terms and conditions call it MPPI. They say that as its MPPI then they would both be claimable and benefit us at the same time.

Cardif say here in their final response

However, these schemes are not mortgage payment protection insurance
which are designed to protect secured loan repayments and not lost
income which may be applied to all categories of expenses. In view of
this, I do not concur that you had duplicate protection, were
over-insured or are eligible for a refund of all or any premiums. In my
opinion, you could have had the benefit of both policies at the same
time.

They are sticking to their guns here and still saying what they said in the beginning in that we would be able to claim on both fully as theirs is not for lost income and yet payment protection as mentioned in the terms and conditions above is also not "income" related either????

robbedofmymoney

marshallka wrote: »

I had emailed the ABI on this one and this is the response about how much you can insure yourself for

Thank you for your e-mail.

You would need to check with both insurance companies directly for an answer to your question but nearly all policies limit the benefit payable to some percentage of the policyholder's normal earnings. Any state benefits payable may reduce the maximum benefit and benefits from any other policies may also reduce the maximum.

John ********
Information Officer

so what they are saying is if you have too much insurance some or all of your policies will not pay out to the limits you are paying cover for.

marshallka

:mad::mad::mad::mad: Still waiting for FOS to look into this complaint against CARDIF PINNACLE









Just kidding, only sent it yesterday lol:D