Mortgage Protection Insurance Discussion

john959379 · 11 February 2009 at 9:39PM

Anats wrote: »

I already have a policy with Norwich Union, its been on risk for over 8years now and has a 24month payout (hope I dont need that!!)

However, im not sure im fully covered now, and dont want to interfere with that policy - just keep it going.

Am I able to take a 2nd policy with a different provider as a top up safeguard?

Will doing so (having 2 policies) affect any payment I may receive from either policy?

Last, if my main fulltime job ends through redundancy (I have had no sign of that at present) but my very small, part time other job that I do on some evenings and some weekends still continues, do I invalidate any such claim?

Please help if you can!

Ta

Re your employment. If your main job ends through redundancy and your little job is under 16 hours a week, and you sign up for JSA, then you should be able to claim. If you are working over 16 hours a week then you are classed as in full time work and therefore no claim.

Hope this helps.

john959379 · 11 February 2009 at 9:43PM

rossyl wrote: »

Hi,

I am on a two year fixed term contract. i am unsure if it will get renewed when it ends in October.

http://www.justclick4cover.com/ excludes "Temporary or seasonal unemployment or expiry of non-renewable or fixed term contracts."

So I don't believe this is the right one for me.

Can anyone recommend a company that will provide MPI, for unemployment, that covers fixed term contracts.

I doubt anyone would. As you are trying to insure yourself against a known event. Insurance is all about insuring yourself against the unexpected.
You could still have a policy and be covered for other things. The only thing you couldnt claim for, is if your unable to find any more work at the end of your fixed term contract.

john959379 · 11 February 2009 at 9:49PM

moonflower wrote: »

I had a policy with Payment shield taken out in2004,It was a mppi and I became redundant, however I had been off sick with a auto imune disease (rare) .

I made a claim with Payment shield only to be told that as I could not produce a JSA confirmation they would not pay out.

I was unable to work through illness, at the time I could hardly walk. I was classed a disabled and still could not claim as I could not prove that was in reciept of JSA!!

I then cancelled the insurance as soon as I knew that I would never be able to claim.
I have now applied to re claim my payments,what do you think.

You cant claim for unemployment as you are not fit to work. Most policies advise that you need to be signed on to JSA and looking for full time employment.

You should make a sickness claim from when ever that started.

You would only be able to get your premiums back if you were missold your policy. Just because you cant claim or dont like the cover does not entitle you to a refund of premium.

john959379 · 11 February 2009 at 10:02PM

dunstonh wrote: »

Yes. they will only cover your mortgage payment plus the x% you nominate for insurance. You should inform them of changes in the mortgage payments so they can adjust the sum insured and the premium. You must remember to do the same when it goes up as well. Its worth sticking a note in the diary to do this once a year.

You need to check your policy. On MPPI you advise the insurance company the amount of benefit you want. Usully they limit to x% of your mortgage payment.

You need to look and see what the policy says.

moonflower_2 · 12 February 2009 at 12:29AM

The policy was miss sold as I had a pre existing illness. I was then made redundant and unable to claim. This was not explained to be at any time . To further complicate matter when I did try to claim they said they needed confirmation that I was in reciept of JSA,which I was u nable claim as was sick.

dunstonh · 12 February 2009 at 10:30AM

The policy was miss sold as I had a pre existing illness. I was then made redundant and unable to claim.

That doesnt make sense. A pre-existing condition would impact any claim in that area but it would not impact on unrelated claims. e.g. redundancy. That has nothing to do with your pre-exisiting condition.

To further complicate matter when I did try to claim they said they needed confirmation that I was in reciept of JSA,which I was u nable claim as was sick.

You were either sick or made redundant. Which was it?

mrflib · 17 February 2009 at 11:44PM

One thought to consider - especially in this environment - is the exclusion period at the start of the policy in which you will not be able to claim. I've done extensive research this evening on quite a few insurers. To comment on the ones in the guide:

ANT - 120 days (4 months) exclusion
Justclick - 150 days (5 months) exlusion
Abbey - 60 days (2 months) exclusion*

*In the case of Abbey if you have a new Abbey mortgage completing/completed within the next/last 30 days there is no exclusion time (i fall in this category, incidently)

It's probably obvious that the cover I'm interested in here is just unemployment.

Although importantly nothing has been announced at work regarding job losses, I just have that horrible feeling in my gut. For me I feel it's worth paying the extra to Abbey just to lower the qualifying time requirement.

If I've talked rubbish in any of the above please correct me - I certainly do not claim to be an expert.

wolverines_claw · 18 February 2009 at 1:57PM

I just started my first mortgage last month and typically there have just been a round of redundancies at work with more planned. Does anyone know of any PPI's that will provide cover under these circumstances?

dunstonh · 18 February 2009 at 2:46PM

wolverines_claw wrote: »

I just started my first mortgage last month and typically there have just been a round of redundancies at work with more planned. Does anyone know of any PPI's that will provide cover under these circumstances?

If the next round has been announced then its too late. Insurance is to cover the unknown. It is not to cover the known.

TashW · 18 February 2009 at 5:55PM

Ok so I think i'm up to date on the basics of mortgage insurance. I currently have a joint policy but this was taken out pre baby and I am now part time. I think my current insurer (paymentshield) are really expensive but am struggling to find another joint policy. Am i better off changing it to my partner only on a policy as his is the greater income and while we would struggle without my wages it would be his that meant meeting our martgage would be a no no?

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