PPI Cover

PPI cover is Payment Protection Insurance, an insurance policy taken out alongside various forms of finance including loans, credit cards, mortgages, store cards and many other types of finance.

What is PPI Cover?

PPI cover is designed to cover the policyholder should they find themselves unable to work due to being made redundant, or if they unable to work due to accident, illness or injury. In the event of such possibilities, PPI cover will cover the cost of the repayments of the finance it was taken out alongside for a period of a year (or with certain policies, two years).
For various reasons, PPI cover has been vastly mis-sold with the Financial Services Authority (FSA) issuing fines of millions of pounds to many well known lenders.

Do I have PPI cover?

If you have a mortgage, loan, credit card, store card or have obtained any other finance in the last 10 years, there is already a good chance you can make a claim for mis-sold PPI cover. Are you unsure whether you have PPI cover? If you have a credit card you can establish if you have PPI cover by checking your monthly statements, as it should be stated. If you have a personal loan, mortgage or any other finance, you should check the original agreement but it might not be so obvious. If in doubt contact your lender to find out if you have a PPI cover policy.

Can I claim back PPI cover charges?

You may be eligible to claim back payments for PPI cover, if any of the following cases apply to you:

• You didn't ask for a PPI cover, but it was added anyway
• It was implied PPI cover was compulsory or that by taking it, you would have a better chance of obtaining finance
• You wasn't informed PPI cover was optional or that cheaper cover could be purchased elsewhere
• You wasn't made aware of the cover exclusions on the PPI policy, for example: stress related illnesses and back problems
• If you were unemployed, retired or self-employed when you took out the cover, you wouldn't be able to make a valid insurance claim
• If you had a medical problem or illness at the time of taking out the cover that could have kept you from working, PPI is unsuitable insurance cover in this case
• If you were sold a Single Premium policy, you should at least be able to get a refund by cancelling the PPI cover
• Many policies have an upper age limit, usually 65 or 70. You cannot claim if you were older than this at the time of taking out the PPI cover
• You already have alternative cover that could insure your repayments such as income protection or an employer illness or redundancy package, but were not asked about this, you could claim
• If you bought PPI to cover a long term loan, there is a chance that the insurance will run out before the loan is repaid. Many PPI policies will not cover the full loan term; the seller should have explained this limitation. If they didn't, you can claim

Reclaiming payments made for PPI cover

Do you have a claim for mis-sold PPI cover? iSmart can help you to think smarter and recover any payments you have made. Apply online and our specialist team will immediately start the process for reclaiming your mis-sold PPI cover. Or if you have any further questions or require additional information about mis-sold PPI, you can speak to one of our specialist team on 0800 043 3025