British Insurance has launched a new payment protection insurance policy.
The new product will enable consumers to pay an interest-free monthly premium of £5 per £100 of cover provided, a back to day-one payout if the claimant has been unemployed or disabled for more than 30 days and crucially, together with an option to cancel, provided 30 days notice is given.
British Insurance has developed the new policy in response to recent criticism of single premium products, where a five-year PPI fee is added to consumers' loans and then interest is charged both on the premium and the borrowings.
Simon Burgess, British Insurance's managing director, said: “I'm redressing the in-balance where lenders appear to have the power instead of the consumers. Too often, providers are unwilling to make a long-term commitment on the policies they offer – we've all heard horror stories of cover being withdrawn leaving people high and dry.”
The policy is available on the company's new website, www.shelter.co.uk.
Eric Galbraith, Biba chief executive, commented: “There are good protection products available in the market from brokers who are pushing hard to give the consumer fair priced PPI products that work to their advantage. Shelter.co.uk is another example of this and the more brokers can get clients to shop around for protection as they do for other insurances, the more they can show them what the market truly has to offer.”
