Payment protection insurance offers coverage for loans, mortgages, and existing credit card debt in the event of accident, sickness or unemployment. It is known for being grossly overpriced and mis-sold. Millions of people have payment protection insurance policies and a large proportion of these policies were mis-sold. It is very easy to fall for PPI mis-selling, as it is often sold alongside a loan, credit card or mortgage application. If you ever find yourself with payment protection insurance but you know that you are not eligible for it, it’s a great idea to see if you can claim this money back.
It is important to note that payment protection insurance is not mandatory for loan approval. While most lenders which sold PPI did so under the guise that it was compulsory, this is not the case and is a classic sign that the policy was mis sold to you.
Payment protection insurance rarely works for anyone because of the number of exclusions that the policy contains. The policy does not always offer adequate coverage for self-employed individuals, those who were unemployed during the time of application despite having secured employment afterwards, and those with preexisting medical conditions. However, lenders and insurance providers rarely bothered to inform PPI applicants about these exclusions and required them to pay very high premiums for this insurance. It is for this reason that a lot of people often end up with a PPI policy that they cannot even benefit from.
If you have been mis-sold PPI, then now is a great time to take action. If you’re unsure about how to nagivate this process yourself then you can always enlist the services of a specialist claims management company to handle the claim for you. Make sure that you choose a company which doesn’t require any upfront fees.