Income protection insurance?

[Sheepy]

Anyone got any views on who to use or avoid in the income protection insurance business? I've an ancient policy (Abbey-Life->CGU->NU->Aviva) which isn't enough to cover my current mortgage payments and is relatively expensive as it only covers unemployment (£35 to cover £400). Seems that there are several companies out there doing cheaper policies, only I've never heard of them before (helpucover, paymentcare, heck even the postoffice!!). Any recommendations welcome.

And before anyone suggests it, no Aviva aren't getting my business (well not directly), I despise having to shout at indian call-centre staff because they can't hear me clearly and don't understand anything I'm telling them!

Chris

[chris.mapey]

I've just had a chat about this very type of insurance with a sales chappy (feel free to PM for his details)

I've been quoted 60 pcm on a rolling monthly contract basis for 1500 cover for Accident, sickness & unemployment.

If I take the redundancy option off it drops the cost to 28.50 per month for 1500 cover.

Please excuse the lack of pound signs, I have been tweaking my netbook, and have $ or nothing

Not used them / claimed / etc, but may be a useful benchmark for you!

Chris

[JRM]

I've not made a claim, but use PaymentShield for a fgew years and they seem helpful enough, even upped my payout to a more realistic level when other firms wouldn't giove me more than £1500

[sebo]

Anyone know how long you have to pay into these schemes before you can claim?

If I signed up now and was made redundant in February (presuming I hadn't been given notice at the time), could I claim the £1500 a month?

[Sheepy]

sebo said:

Anyone know how long you have to pay into these schemes before you can claim?

If I signed up now and was made redundant in February (presuming I hadn't been given notice at the time), could I claim the £1500 a month?

The ones I've looked at have no claims for 30 days from policy start

[Dr KT]

I am looking at buying a house, and work in a risky industry.

Its not worth it:

http://www.fool.co.uk/news/your-money/2008/09/22/a...

[ledger]

Sheepy said:

sebo said:

Anyone know how long you have to pay into these schemes before you can claim?

If I signed up now and was made redundant in February (presuming I hadn't been given notice at the time), could I claim the £1500 a month?

The ones I've looked at have no claims for 30 days from policy start

same here

[Sheepy]

Dr KT said:

I am looking at buying a house, and work in a risky industry.

Its not worth it:

http://www.fool.co.uk/news/your-money/2008/09/22/a...

Well, I think differently. Right now I don't have enough savings to cover 12months worth of outgoings, so see £30 to cover £900 as quite reasonable. And with any insurance, it is just that: an insurance. I've never had a claim against my own car insurance, but I still am happy to pay out £500 a year to cover my cars comprehensively incase I or someone else needs to.

[scotal]

Check whether you are getting back to day one cover or whether there is 30day excess period.
Double check the smallprint regarding exclusions,some of these firms have a realyl dreadful reputation for refusing to pay out. Hence I only recommend one that I have good claims experience for.


BTW having unemployment insurance only is usually cheaper than full asu.

And please whatever you do, do not take a single premium policy.


Further edit, alot of companies "badge up" for other people, so check who your final insuraer actually is.

Edited by scotal on Wednesday 7th January 16:43

[Dr KT]

It up to you (obviously). Just remember if you take voluntary redudancy, most policies I was looking at were not offering cover.

Good luck.

[scotal]

Dr KT said:

It up to you (obviously). Just remember if you take voluntary redudancy, most policies I was looking at were not offering cover.

Good luck.

You were the guy going for a BoI mortgage I think?

[Sheepy]

scotal said:

Hence I only recommend one that I have good claims experience for.

Who? (pm me if you want).

[ledger]

scotal said:

And please whatever you do, do not take a single premium policy.

Edited by scotal on Wednesday 7th January 16:43

que ?

[Sheepy]

ledger said:

scotal said:

And please whatever you do, do not take a single premium policy.

Edited by scotal on Wednesday 7th January 16:43

que ?

He means take out one which is a monthly policy rather than a yearly one with the payments spread over a year. Then you can cancel whenever you want. Eg I've got a quote of £30 a month for a monthly policy, this is not a yearly policy with a £360 premium spread over 12 months.

[wobert]

I have a stand-a-lone policy (for accident / sickness) with UNUM.

It covers me to 60% of my take-home salary (the most, that most polices will do).

It covers me for anything accident / sickness related that prevents me from doing my job (defined occupation IIRC).

I have an 8 week deferred period, and the policy will payout up until I'm 65.

Costs c60 quid a month

[scotal]

wobert said:

I have a stand-a-lone policy (for accident / sickness) with UNUM.

It covers me to 60% of my take-home salary (the most, that most polices will do).

It covers me for anything accident / sickness related that prevents me from doing my job (defined occupation IIRC).

I have an 8 week deferred period, and the policy will payout up until I'm 65.

Costs c60 quid a month

Thats income protection not MPPI right?
Most MPPI policies will pay up to 75% of monthly outgoings, but for up to a max of one year rahter than until retirement.

[scotal]

Sheepy said:

scotal said:

Hence I only recommend one that I have good claims experience for.

Who? (pm me if you want).

YHM

[scotal]

Sheepy said:

ledger said:

scotal said:

And please whatever you do, do not take a single premium policy.

Edited by scotal on Wednesday 7th January 16:43

que ?

He means take out one which is a monthly policy rather than a yearly one with the payments spread over a year. Then you can cancel whenever you want. Eg I've got a quote of £30 a month for a monthly policy, this is not a yearly policy with a £360 premium spread over 12 months.

Worse than that, some people are talked into policies of up to 5 years duration where they pay the full premium upfront. Its a totally inflexible policy that takes no account of changing circumstances.

[Sheepy]

scotal said:

Sheepy said:

scotal said:

Hence I only recommend one that I have good claims experience for.

Who? (pm me if you want).

YHM

So do you

[wobert]

scotal said:

wobert said:

I have a stand-a-lone policy (for accident / sickness) with UNUM.

It covers me to 60% of my take-home salary (the most, that most polices will do).

It covers me for anything accident / sickness related that prevents me from doing my job (defined occupation IIRC).

I have an 8 week deferred period, and the policy will payout up until I'm 65.

Costs c60 quid a month

Thats income protection not MPPI right?
Most MPPI policies will pay up to 75% of monthly outgoings, but for up to a max of one year rahter than until retirement.

Yes, it's income protection