What are PPIs
While it may seem as if payment protection insurance companies should be obligated to honour more policy claims, it should be noted that lenders are responsible for only selling policies to eligible applicants. Many lenders have started adding PPI policies to loan contracts without the permission of borrowers, and then insist that these policies are necessary or beneficial when questioned. When attempting to reclaim the funds spent on a PPI policy it is important to prove that the policy was mis-sold. Although these policies are extremely common and lenders will almost always describe them as necessary, beneficial, or even mandatory, the majority of PPI policyholders are left without assistance after filing a claim.
What Are PPIs Reclaim Statistics from 2006 to 2010?
During the last quarter of 2009 alone there were nearly 30,000 PPI claims filed in the United Kingdom, in 2010 there were 50,000, and in 2011 and there may be more than 70,000 consumers that file a PPI claim against their lender. Accumulatively, hundreds of thousands of UK residents have received PPI refunds during the past 6 years. In 2006 a thorough investigation was conducted by several financial authorities which exposed the nature of PPI mis-selling by major banks and brokers. This information ultimately caused an avalanche of claims being filed against dishonest lenders, credit card issuers, and financial institutions that mis-sold PPI knowingly. To help consumers receive compensation for mis-sold PPI policies we have begun offering our services on a no win no fee* basis.
What Are PPIs Grounds for Receiving a Policy Refund?
To claim back insurance on loans you'll need to file a claim against the lender that sold you the policy, not the insurance company itself. A lender is obligated to ensure that policies are sold only to borrowers that are truly eligible. Lenders are also not allowed to convince borrowers that a PPI policy is necessary or mandatory for loan approval. Furthermore, lenders are required to thoroughly discuss the terms, conditions, and price of the PPI policy. If a lender fails to comply with these guidelines, the borrower will be able to claim back insurance on loans that included a mis-sold PPI policy with the assistance of a PPI claim company.
What Are PPIs Eligibility Requirements?
One of the reasons why PPI companies are reluctant to approve a large percentage of policyholders for cover is that many people attempt to submit frivolous claims and claim back insurance on loans fraudulently. While PPI cover may seem ideal, the fact of the matter is that the majority of scenarios that would cause someone to miss work are not covered by PPI policies, and many coverage requirements cause a large percentage of policyholders to be ineligible. For example, individuals who miss work due to stress, emotional/psychiatric issues, depression, pre-existing medical conditions, chronic health problems, family crises, or those that are over the age of 65, would be ineligible for PPI coverage. If you were sold a policy and were ineligible for cover at the time, you then have grounds to file mis sold PPI.
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