Income protection

mavismini

Hi, my first post, hope it is in the right place !
My husband went self emplyed 10 years ago and took out a income protection with RBS. Although self employed he was contracted to a company that last year went into administration, leaving him with no work. The policy has refused to pay out saying that the contract states he must supply final accounts (but HE hasn't gone into administration ) or otherwise prove he paid tax through Paye, which he didn't !!
So are we now in this grey area? -- wasted 10 years premium on something we were NEVER going to be able to claim on. Can anyone offer any advise. Feel disgusted. Thanks for listening

di3004

mavismini wrote: »

Hi, my first post, hope it is in the right place !
My husband went self emplyed 10 years ago and took out a income protection with RBS. Although self employed he was contracted to a company that last year went into administration, leaving him with no work. The policy has refused to pay out saying that the contract states he must supply final accounts (but HE hasn't gone into administration ) or otherwise prove he paid tax through Paye, which he didn't !!
So are we now in this grey area? -- wasted 10 years premium on something we were NEVER going to be able to claim on. Can anyone offer any advise. Feel disgusted. Thanks for listening

Hi and welcome

Hopefully someone with more knowledge of income protection will come along with some useful advice for you.

I wonder if they mean like a letter to prove that the company your hubby was contracted to "to confirm that that actual business went into administration"?

Although it looks like going by your post, they are stating that your hubby worked for himself as self employed and paid his own tax affairs maybe??

I would contact them in writing and make them aware of this, and just explain he was contracted out to a company.
And if there is a letter just to prove that the business he was contracted out to, send them a copy, and you could give them the details of that business/address etc.

I do hope this gets resolved, and if not and they do not pay out, then the policy have been worthless, I would therefore then try to make a reclaim perhaps.

Good luck and hopefully someone else will come along soon.;)

di3004

Me again.

Do you know who the administrators are, or liquidators?

If a company have gone down under, then normally someone like the above gets involved to take over the affairs.

In my hubby's case a few years ago, the steelplant where he was employed closed down without notice and a company called Begbies and Traynor got involved.

If you can try to find out, then maybe you could ask them to send a letter to prove the company had closed down, they may in regards of insurance reasons do this for you.;)

mavismini

Hi, thanks for that. We have done all that, even sent all the letters of administration, showing our name as being owed money, to the company, they are still sticking to their guns. We have even been to the Financial Ombudsman who is quoting the terms of the policy, saying we must submit final accounts--they can't seem to understand that WE are not in administration. What a waste of money these policies are, I feel so sick !! Does any one know if it would be worth our while to try and claim our premiums back ? or should we just put it down as " finished" with Thanks

roonaldo

I think that the company who he contracted to going bust is irelevant in this case. He was not an employee nor made redundant.

As he was self employed it needs to be him closing down his business and ceasing to trade. However, the terms and conditions of the policy could be deemded to be misleading for him to make an unemployment claim. So the policy could be considered to be unsuitable for him.

What did you complaint to FOS about? the claim being rejected or mis-sale.

mavismini

He complained about the claim being rejected, it has taken at least 9 months to get a response from them, they must be well bogged down with complaints. Should he now complain that he has been mis-sold ? We thought we were being responsible by taking this policy out !

marshallka

What is your husband living on now? Has he had to sign on as unemployed? If you sign on then you are in effect saying you are not trading anymore and if your hubby was paying his class 2 NI then sometimes these policies will pay out. This is to protect from people who are self employed putting in claims for PPi when their business is actually going through tough times.

mavismini

He signed on as unemployed for about 4 months, the 1st time in his life, luckily ! He was not able to claim benefit because he paid self employed stamp but he did get his stamp paid. He then manage to find a few days work "as and when" doing something completely different but at least earning something. This is still the situation, some weeks he has a couple of days work other weeks he may only have a couple of hours but he no longer signs on as he never knows what the next week will bring. He is still looking for permanent work, but at 59 doesn't stand much chance now. Tough times YES