Uk Loan Protection Insurance Still Under Investigation

Uk Loan Protection Insurance Still Under Investigation



UK Loan Protection Insurance Still Under Investigation
UK loan protection insurance is​ taken out to​ ensure that if​ you​ lose your income through accident,​ sickness or​ unemployment you​ would have money to​ be able to​ repay you​ monthly loan repayments each month .​
Cover usually kicks in​ after 30 days of​ being out of​ work and continues for up to​ 12 months and with some providers for up to​ 24 months but it​ isn’t suitable for everyone due to​ the​ exclusions in​ all policies.
However,​ UK loan protection insurance has attracted some bad publicity.
An investigation into the​ way loan protection insurance was sold in​ the​ UK began in​ 2018 after a​ super complaint by the​ Citizens Advice to​ the​ Office of​ Fair Trading .​
Following this the​ Financial Services Authority fined several high street names after it​ was revealed that there had been wide spread mis-selling in​ the​ payment protection sector of​ which loan protection insurance UK policies are one part
The mis-selling of​ policies included charging extortionate premiums for cover; not making the​ consumer aware that cover had been included in​ a​ policy; and not giving the​ essential information needed to​ ensure the​ consumer could decide if​ a​ policy was suitable for their needs .​
When it​ came to​ buying the​ protection online alongside a​ loan then many sneaky lenders used pre-ticked boxes which meant that if​ the​ consumer didn’t want the​ cover then they had to​ choose to​ un-tick the​ box which of​ course led to​ confusion .​
Thanks to​ the​ Financial Services Authority,​ many lenders have now agreed to​ change the​ way cover is​ sold alongside loans online.
When it​ comes to​ making sure you​ get the​ best deal on​ your UK loan protection insurance then it​ is​ essential that you​ put it​ into the​ hands of​ a​ standalone provider who can usually offer you​ the​ best cover while helping you​ to​ make savings on​ the​ cost of​ the​ insurance.




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