Is PPI Any good?
08 August 2017
There are many different insurance products that we can buy to
that cover all kinds of eventualities. Some insurances are legal
requirements, such as car insurance but others are down to our own
judgment and budget.
Clearly, protecting the things we love and own is important. but
there are some insurances that are more important than others; some
are also compulsory.
- Car insurance - is compulsory. Driving in an
uninsured vehicle can lead to prosecution.
- Buildings and contents insurance - important
too, should anything structural happen to your property or should
there be issues with the contents of a property and so on. Most
mortgage companies insist on buildings insurance although it is
down to your judgement as to whether you want to protect your
- Critical illness cover and other similar
insurances - protecting ourselves is important too,
especially if one person is responsible for paying the mortgage.
This type of insurance can give us peace of mind.
Income protection insurance
This is similar to critical illness cover but covers the level
of income that we bring home. Clearly, with any kind of insurance
policy it best to seek independent financial advice because
insurance products vary from one to another. You need to be
confident you have the right level of cover at the right price.
Payment protection insurance does not enjoy a great reputation
as a result of the mis-selling scandal that has rocked the banking
industry to the core.
What is wrong with PPI?
There may be some instances where PPI could be the right policy
to have but, there are many factors that affect this decision;
- Benefits from work - you may have a generous
benefits package from work and this needs to be taken in to
account. For example, if you enjoy 3 months full salary as sick
pay, you won't need a PPI type or income protection policy to kick
in until after 12 weeks.
- Policies already in place - PPI duplicated
cover that many people already had in place. Some banks forced PPI
people, telling them that their current level of insurance cover
was not good enough or that they needed to take out the bank's own
PPI product to make sure the debt was covered.
- Value for money offered - PPI was expensive
and poor value for money.
Can you claim PPI compensation?
It may be that you can claim back all your PPI premiums, along
with any other costs and fees as well as interest but you need to
do so before August 2019.
PPI was added to loans, credit cards, store cards, catalogues
and more. Find out more by contacting Scottish PPI Claims today for a
no obligation chat.