PPI on Mortgage

noh

Mr_Loads wrote: »

.................................
I actually thought the amount was for buildings and contents insurance.

..................

Mr_Loads wrote: »

.............................
Secondly - I 100% assure you i did not know that this was PP! i was paying. I have really struggled to make these payments sometimes when i had fallen out of work and even phoned the insurance company up to ask them not to cancel my policy. The reason for this is because we had two back to back floods in 2007 and we believed that if the insurance lapsed we wouldn't get insurance elsewhere because we were classed as a high risk.

Did you actually have buildings and contents insurance and do you have it now?

Mr_Loads

Hi yes we do. We were paying two amounts, the one for £58 and one for £26. We thought that the £26 was for contents and it was for both. Everyone else who got flooded in our row of 5 houses are paying in the region of £70+ for contents and buildings so it wasn't a surprise that we were having to pay that amount. I now have to speak to the insurance company to make sure we have the right cover.

DevCoder

Is that a yearly amount? If so sounds like you have a vastly small contents insurance as £26.

If that monthly then that's about right in my book, £40K contents would be roughly £80/pa after your "discounts".

Which would leave about £220 pa for building.

Mr_Loads

No its monthly. But remember, we were flooded twice within four months and on both occasions we lost everything downstairs, so our insurance was bound to increase.

DevCoder

So £26/pm is about right for me, you don't mention your contents or your house value but roughly splitting it would be

£80/pa for £30-40K of contents
£200/pa would be roughly £250,000 building but that's without flood risk, as you stated your house value could be well below this but premiums the same to counter the flood.

That's off the top of my head for my location (Jersey, so SE UK)