'COVERING MORTGAGES, LOANS AND RENT. UNEMPLOYMENT COVER FROM £2.35 per MONTH per £100' (Premiums will depend on individual circumstances)

Payment Protection Insurance (PPI)

Payment Protection Insurance (PPI) is very similar to Mortgage Protection Insurance (MPPI), but it is specifically for people who are renting or who want to take cover to protect payments on a loan. You can cover your rent, which can include your Home Insurance payment and your Life Cover payment, you can include your monthly loan commitment. You can also have extra cover for up to 25% of the combined total of your insured commitments.

The maximum monthly benefit you can insure is £2,000.00 or 65% of your monthly income, whichever is the lower.

Payment Protection Insurance - Example 1

I rent and have a loan.
J P Jones earns £2,700.00 PCM
65% = £1,755.00
Maximum allowable is £1,755.00 PCM

Payments PCM
Rental Payment £520.00
Home Insurance Payment £36.00
Life Cover Payment £44.00
Loan Payment £400.00
Total £1,000.00
+ 25% £250.00
Total Amount Insured £1,250.00
Cost of Unemployment Only with a 30 day Excess is £34.38

Payment Protection Insurance - Example 2

I have a loan.
J P Jones earns £2,700.00 PCM
65% = £1,755.00
Maximum allowable is £1,755.00 PCM
Payments PCM
Loan Payment £400.00
+ 25% £100.00
Total Amount Insured £500.00
Cost of Unemployment Only with a 30 day Excess is £13.75