Family Business = Mis-sold PPI?

katsikaki

Hi,

I'm not sure of the legalities but does anyone know if PPI (on the whole) would cover you for working in a family business? I've been working there since 2003, when we first set it up, and have recently become a director (it was a sole trader previously - in my Dad's name) with a 20% share holding.

As I have PPI on all of my credit cards, I was wondering if they still class this as self-employed?

Thanks in advance.

di3004

Hi there

I am not too certain on this one but sure someone on here will know and post up soon.

If you no longer have any details of the policy, they should provide them to you free of charge. Details of if eligible should be enclosed within.

Good luck.

dunstonh

were you paying class 1 NI or class 2 NI? class 1 = employed. Class 2 = self employed

katsikaki

I've been paying class 1 NI. I guess that kind of answers my question? I've just heard of some stories, particularly Capital One, not paying out claims due to them classing a family business the as same self-employed.

dunstonh

katsikaki wrote: »

I've been paying class 1 NI. I guess that kind of answers my question? I've just heard of some stories, particularly Capital One, not paying out claims due to them classing a family business the as same self-employed.

It can be the case where you are a director/shareholder in the business that some PPI providers may have restrictions. Typically, you find though that it mainly applies to those that buy PPI knowing the business is in trouble. Insurance will usually reject in those cases as it is to cover unknown events. not known events.

magpiecottage

dunstonh wrote: »

It can be the case where you are a director/shareholder in the business that some PPI providers may have restrictions. Typically, you find though that it mainly applies to those that buy PPI knowing the business is in trouble. Insurance will usually reject in those cases as it is to cover unknown events. not known events.

That would be more a case of not disclosing something that a reasonable person would realise the insurer needed to know in order to assess the risk than a blanket exclusion.