PPI – A Financial Lifeline During Economic Crisis, Says British Insurance
June 19, 2008 by Be Safe Insure
Filed under Income Insurance
Despite its poor reputation, Payment Protection Insurance – where properly sold – is a financial lifeline for those unable to keep up their mortgage or loan repayments due to unemployment, says Simon Burgess from independent PPI provider, British Insurance.
Braintree, Essex (PRWEB) June 17, 2008 — Despite its poor reputation, Payment Protection Insurance – where properly sold – is a financial lifeline for those unable to keep up their mortgage or loan repayments due to unemployment, says Simon Burgess from independent PPI provider, British Insurance.
Unfortunately this economic doom and gloom is set to continue and impacting on all sectors, construction, retail, leisure etc – even Government. HMRC is scrapping 4000 posts and closing 95 offices, a clear indication that job security is a thing of the past.
The number of unemployed in the UK increased by 38,000 to 1.64m between February and April this year and according to the Office of National Statistics, manufacturing and financial services have shed the most jobs so far with 11,000 and 20,000 respectively during Q1.
Economists predict there will be more job losses over the next two years and with the mortgage market in meltdown, banks and building societies’ share prices plunging and loss announcements becoming commonplace, new homes sales slumping to a 30 year low, negative equity rising and consumer spending falling, Burgess believes it’s more important than ever to include Payment Protection within the insurance portfolio.
“Unfortunately this economic doom and gloom is set to continue and impacting on all sectors, construction, retail, leisure etc – even Government. HMRC is scrapping 4000 posts and closing 95 offices, a clear indication that job security is a thing of the past.”
He continues: “Everyone must ensure they have the means to maintain their mortgage or loan commitments should redundancy, accident or sickness occur. Whilst some have savings to fall back on, others will not be so fortunate and this is why PPI is so vital. News that the Competition Commission is considering banning the sale of this product by High Street lenders should not deter people from purchasing this cover – it does add value and will help in times of hardship. Consumers need to hold their nerve and shop around.
Burgess concludes: “There are good firms out there, selling PPI properly at affordable prices. This cover can make the difference between losing and keeping your home.”
