L&G Mortgage Term Assurance PPI?

fleemkt

Hi


I know I'm pretty late but just had a look through my paperwork.


I took a joint mortgage out via self-certification through a Financial Services company, who are interestingly a L&G (Legal & General) 'representative'. At the time, I was advised that it is likely the mortgage application will be rejected if some form of payment protection (mortgage term assurance) wasn't also taken out. This included critical illness cover. The policy options were L&G products, which we're still paying for by direct debit now.



Now, I did file with the lender directly a good few years back to see if I had a case for a PPI claim - the reply I had back was basically no as I did not take out the mortgage directly with them.


Is MPPI different to PPI? Do I have a case? If so, do I need to write directly to the financial services company who administered my self-cert motgage application with the lender?



I've also read that it may be hard to prove that I was told that I must have some form of payment protection in order to get the loan?



Will be grateful for any advice

[Deleted User]

fleemkt wrote: »

I did file with the lender directly a good few years back to see if I had a case for a PPI claim - the reply I had back was basically no as I did not take out the mortgage directly with them.

Any complaint you make now will simply result in a terse response repeating your original rejection. You cannot make repeated complaints I'm afraid.

Nearlyold

Mortgage Payment Protection Insurance (MPPI) isn't any different from Payment Protection Insurance (PPI) other than the type of borrowing it's protecting.

However it appears from the name of the policy you have it is neither of those - you have Mortgage Term Assurance which is a generic name for LIFE INSURANCE taken out to protect a mortgage, your policy also has the added benefit of CRITICAL ILLNESS cover. As it's not MPPI or PPI you obviously don't have a case for mis-sold PPI.

MPPI or PPI pays a monthly amount (typically for 12 months) if you are either made redundant and subsequently unemployed or if your are off work due to illness or injury.

Life Insurance pays out a lump sum if you've died

Critical Illness cover pays out a lump sum if you are diagnosed with one of the "Critical Illnesses" as defined in the policy document.

If you want to complain about the policy you need to complain to whoever sold you the policy giving reasons why you believe the policy was unsuitable for you and should not have been sold to you

fleemkt

Thanks for the replies and insights both.


Thought that might be the case Moneyineptitude .. even though first time round was direct with lender, but should have been with 'financial services' L&G representative?


I suspected Nearlyold's reply in that the product I was sold (although it felt like I had to go for otherwise no mortgage) was not MPPI or PPI. However, a section in the paperwork does refer to 'Mortgage Payment Protection Insurance'?

SonOf

I took a joint mortgage out via self-certification through a Financial Services company, who are interestingly a L&G (Legal & General) 'representative'.

L&G sales reps are one the largest distribution channels in the UK. Mainly through estate agents.

Is MPPI different to PPI? Do I have a case? If so, do I need to write directly to the financial services company who administered my self-cert motgage application with the lender?

MPPI is different. Its one of two types of PPI you can still buy today and most MPPI complaints fail because of the nature of the debt it is covering. It is considered a more important product.

However, your thread title says term assurance. Term assurance is life assurance. Not MPPI.

However, a section in the paperwork does refer to 'Mortgage Payment Protection Insurance'?

Multi-segment plans have the capability to include different types of cover. The generic documentation will have sections on all bits but it doesnt mean you actually had all bits. The personalised sections would tell you what cover you had.

fleemkt

Thanks for clarifying SonOf - it sounds like I've not had any MPPI / PPI on the mortgage and what I was sold by the broker was okay