Best Insurance pulling my Income protection policy because of Covid

katek87

Hi, today I have received a letter from Best Insurance, I pay for an income protection policy in case of redundancy. The letter states that the underwriters (Building Block Insurance) are now withdrawing from unemployment products and so they will no longer support my policy when it is up for renewal in August, they are unable to provide any alternative provider. Just wondered where i stand with this? Would i be entitled to a refund for what i have paid over the last 2 years? Thanks 

davidmcn

katek87 said:

Would i be entitled to a refund for what i have paid over the last 2 years? 

No, because you were insured for those two years. In the same way you don't get a refund of premiums for other insurances just because you didn't claim.

dunstonh

Just wondered where i stand with this?

What do you mean by stand?

Would i be entitled to a refund for what i have paid over the last 2 years? 

Of course not.  They have provided cover in that period.  Do you ask for a refund on your home insurance or car insurance

paulc50

I am in exactly the same boat.  My issue isn't about getting refund for paid premium, it is about trying to find replacement cover.  No-one is taking on new business for unemployment protection insurance, so feel extremely let down.  I cannot get any cover at all so feel very exposed

(also was it just coincidence but letter arrived same day that they took a monthly premium that they will not refund?)

Sandtree

The product you had was properly called ASU (Accident, Sickness and Unemployment) - unfortunately "income protection" covers two different products. This product is intrinsically a short term product and its premiums reflect this. The other product, permanent health insurance, is a long term product but only covers the AS aspect of the other and not unemployment.

As others have said, you paid your premiums and you had your cover, like the majority of insurance policyholders you've been fortunate enough not to need to claim against it for two years. There will been other less fortunate people who have had to claim and exhausted the 12 months of payments these policies typically offer and are still out of work!

dunstonh

Premiums are normally payable for the month ahead.  So, that premium may have been enough for some people to get a claim in.