Do I actually need PPI on my mortgage?

Snowbabe

I have paid PPI on my mortgage for over 14 years which covers against accident, unemployment, long term sick etc. However I have separate critical illness cover, would receive full pay for 12mth if sick & have life insurance. As I have these separate policies do I need to pay for PPI on my mortgage?

magpiecottage

PPI pays nothing on death so there is no overlap there.

It does not pay a lump sum to clear the mortgage altogether if you die so no everlap there.

If you have contractual sick pay that is guaranteed for twelve months there may be an overlap but it may pay out anyway and if you were to complain of a missale then you might find the firm you complained to wanted proof that this was the case at the time you bought it.

You also need to consider what would have happened if you had lost your job. In 2000, there was a wait of nine months before you would have received any State assistance with your mortgage and by that time it would probably have been too late to save your home.

(I realise many people say they had a contractual entitlement to redundancy pay but I have yet to see one where it really existed).

roonaldo

The PPI will pay out in addition to sick pay and also pay out if you are made redundant.

Also PPI is not life or CIC cover so thats irrelevant.

If you are in a job thats unlikely to be made redundant then you may want to consider it.