What is payment protection cover and who offers it?

What is payment protection cover and who offers it?

Dec 21

Endsleigh.co.uk are just one of the many insurance companies that offer payment protection cover.

Payment protection cover is also known as PPI and comes in the shape of an insurance cover that has been designed to cover the likes of an outstanding debt. This could be a debt in the shape of credit card debt or an overdraft.

The same bank that has provided you with the credit card or loan as an extra precaution sometimes sells this type of insurance cover.

This type of PPI insurance cover usually covers the policyholder in the event of an accident, sickness or alternatively unemployment. As the policyholder will most likely no longer have a steady income, any one of the above will affect the repayments.

PPI insurance usually covers the policyholder on the minimum repayments for a certain period only. After the policy period is up, the policyholder must find another way to make these repayments.

The cost for PPI can vary dramatically, this usually depends on which insurer you choose to invest in.

PPI insurance can be extremely useful, however you should only take it out if you most certainly need it. There have been many accusations regarding PPI recently and it is said that some polices were in fact mis-sold alongside the likes of loans.

PPI protects an assortment of repayments on any financial products you may have, these could be store cards, bankcards, loans and anything else that is borrowed and therefore requires a monthly repayment.

In many cases, insurance companies will offer you PPI when you take out another policy with them. It is however only optional and should therefore be thought about carefully prior to investing in such an insurance cover.

Endsleigh.co.uk house a specialised team of advisors, these advisors are there to point you in the right direction when it comes to any sort of cover. Visit Endsleigh.co.uk today!