Q: I am looking for payment protection insurance cover for a loan on a car, which I am repaying at £337 a month. If I crash the car I have insurance to pay off the total cost of the loan but if I am injured in any accident/circumstances not involving the car I need payment protection insurance cover to pay the loan until I recover; if I die, I need the loan paid so my next of kin isn’t left with this debt. Will your payment protection insurance cover these eventualities, and at what monthly cost? I am 33 and am mainly self-employed; my employment totals less than 8 hours a week.
A: The policy that we provide is a payment protection insurance policy, it allows you to cover a part of your gross monthly income. The minimum is £100. At the point of claim you may use the money howerver you wish.
The payment protection insurance policy covers accident, sickness and unemployment, there is no life cover.
For a 33 year old to cover £337 per month for accident, sickness and unemployment the monthly premium would be £13.48.