Mortgage Protection Life Policy

Mountain_Murphy

[FONT=&quot]Can anyone help me?
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[FONT=&quot]About 30 years ago I bought a flat with an interest-only mortgage. I was told I had to take out a savings policy to cover the eventual repayment of the mortgage. It was with the (then) General Accident (which ended up after a couple of sales, being Aviva) and I paid 90 pounds a month into a plan which was supposed to pay off the mortgage and give me a pension – it didn’t but that’s another story. [/FONT]
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[FONT=&quot]Here comes my query:[/FONT][FONT=&quot] As well as the savings plan I was told I had to have mortgage protection life insurance to cover the mortgage (of £38,000) if I died. I paid 16.83 per month. Can compulsory life insurance (I’ve never married and had no children) be called Payment Protection Insurance for which I could now claim to be refunded? The HSBC took a charge over the Life Insurance policy.
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dunstonh

About 30 years ago I bought a flat with an interest-only mortgage. I was told I had to take out a savings policy to cover the eventual repayment of the mortgage.

Sounds about right.

As well as the savings plan I was told I had to have mortgage protection life insurance to cover the mortgage (of £38,000) if I died.

That does seem like duplication unless your mortgage was part repayment and part interest only.

Can compulsory life insurance (I’ve never married and had no children) be called Payment Protection Insurance for which I could now claim to be refunded?

PPI is product type. Its a bit like asking if a tin of beans can be the same as salad cream.

The HSBC took a charge over the Life Insurance policy.

This is important as that means it would have been compulsory. They only a charge on policies that were required as a form of security. I used to see them all the time in the 80s through the mid 90s. After that, banks were not so interested in the admin that was involved in having policies as security. We used to have a securities section with 4 people in it handling policies and other assets that had a charge against them.

If the policy wasnt required as a form of security that you would have a case. However, as it was, you do not.

[Deleted User]

Mountain_Murphy wrote: »

Can compulsory life insurance be called Payment Protection Insurance?

Please do acquaint yourself with what actually PPI is. PPI is a short term insurance paying out in the event of illness and unemployment.
Understand that "PPI" is not an umbrella term for all mis-sold insurance.

Life Assurance, on the other hand, is another form of insurance this time providing for the payment of a specified sum to a named beneficiary on the death of the policyholder.

You can complain about PPI or ANY insurance, but in order for it to be refunded it has to be mis-sold to you.

dunstonh wrote: »

PPI is product type.

This thread is a duplicate of an earlier one:
https://forums.moneysavingexpert.com/discussion/5602558

You responded very similarly there, Dunston!