ThePPIClaims

The Various Aspects Of The Payment Protection Insurance

The concept of the Payment Protection Insurance or PPI, can be defined as a process of repayment of the loans in an insured manner. In this insurance product, if the borrower is unable to pay the borrowed amount, then also the payment of the customer is insured. A borrower may be unable to repay the borrowed amount for various reasons like sudden loss of job, death, inability to work, etc.  And this process of insurance ensures that,  the interest of the customer is kept intact. This is also referred to as, credit protection insurance and credit insurance. Also, it is known as loan payment insurance.

The loan payment insurance includes almost each and every kind of insurance policies. It mainly includes the car loans, mortgage loans and the loans given by the finance company. In other words,  this loan payment policy includes all the major types of consumer insurance. Beside the various kinds of insurance, this policy can also be used effectively to cover the specific types of the risks involved in the agreements though the credit card.  This type of loan amount risk payment, however, is not for an infinite period. In general, only an overdraft or payment of 12 months in given to the user. The period after that is not included in the recovery policy and the borrower has to find other means of paying the loan amount.

It is a common practice among the insurance industry that some of the claims are accepted while the others are rejected. That is also applicable in the case of the Payment Protection Insurance. But, the controversies arose when the rate of the rejection of the PPI claimed amounted to much more than any other types, in the insurance industry. Also, the lack of proper knowledge about a PPI policy from the side of the consumer added on to the high number of rejections. By 2008, 40% of the insurance policy holders, among the 20 million holders,  claimed that they were unaware of the fact they even have a policy like this. Many companies thus in that period were successful in selling of a large number of policies, mainly by “misleading the public”. The rising complains against the misguiding and the selling of the policies, to the customers, was giving rise to a lot of complaints. And that compelled the Financial Service authority to take action against the accused companies. Thus, the Reclaim Payment Protection Insurance also came into existence.

The Reclaim Payment Protection Insurance is a process by which you can reclaim the amount of payment, if, the policy was sold to you by misguiding. The claims for getting back the payment of the PPI can be executed with the help of a solicitor. Also, you can contact the service providers providing you with the facility of reclaiming your PPI money. The professionals who work in these companies are experts and have years of experience in this field. They can help you in each and every way to get back your rightful claim.