mortgage protection

sammy66

Is mortgage protection the same as ppi. I have a policy with an insurer stating 'mortgage protection' which will pay out if I get a terminal/critical illness or if I am unable to work due to accident or illness.
The initial sum assured is £31,000 but then it states the current sum is £18,000. So it looks like its not worth the amount what I originally took out!!
I don't remember taking it out but its dated 2000 which is when I had a mortgage on a different property to what I'm in now, so I must of done it when I took the mortgage on after my now ex husband left.
I already have a Life and CI for my current mortgage.

[Deleted User]

Re-post this here
http://forums.moneysavingexpert.com/forumdisplay.php?f=187
Where you'll get a more informed answer.

dunstonh

Is mortgage protection the same as ppi.

Mortgage protection could be a marketing name for a number of products. Some could be PPI, some may not be.

I have a policy with an insurer stating 'mortgage protection' which will pay out if I get a terminal/critical illness or if I am unable to work due to accident or illness.

life, CI/TI is not PPI. The other bit sounds like PHI rather than PPI. So, based on limited info, I would say it is not PPI.

The initial sum assured is £31,000 but then it states the current sum is £18,000. So it looks like its not worth the amount what I originally took out!!

So it sounds like it has been set up correctly for a repayment mortgage. (your mortgage debt decreases and the life assurance goes down with it).

I don't remember taking it out but its dated 2000 which is when I had a mortgage on a different property to what I'm in now, so I must of done it when I took the mortgage on after my now ex husband left.

So, it is 5 years prior to regulation. (assuming you are looking to complain about something - you dont say in your post).

magpiecottage

This looks like a decreasing term assurance/CI policy to cover a repayment mortgage to me.

It also looks like it was for a 20 year term rather than 25.

sammy66

I just wondered whether I would have grounds to complain, as I didnt need it and thought at the time i had to have it t ensure i got the mortgage

dunstonh

sammy66 wrote: »

I just wondered whether I would have grounds to complain, as I didnt need it and thought at the time i had to have it t ensure i got the mortgage

And what evidence do you have to support that allegation?

It is the weakest form of complaint as it is the easiest to reject. There will be nothing that says you had to have it and a whole load of reasons why you should. You will need something better than that.

The year you took it out could well be an issue anyway. It is 5 years before regulation and a number of distribution channels would not consider your complaint.