Loan Insurance
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Cover up to 75% of your gross monthly income or £1,500 per month |
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Excess Periods are flexble, allowing you to choose when your benefits payments commence |
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Benefit payments run for up to 12 months in respect of any one claim |
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Free Back to Work Service to help you return to work |
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Free Legal Helpline to help you with redundancy matters and tax information |
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Unemployment benefit also available for self employed perons |
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Famiy members who can no longer look after themselves; Carer Cover if you have to stop work to look after a family member |
Loan Insurance - how to save money
We have highlighted below how to get the very best value Loan Insurance we offer.
What do you need to cover? Decide what is the right policy for you
This makes a significant difference to the premium you pay. There are two routes to the loan insurance you are looking for:
1. If you only need to cover your mortgage repayments plus up to 25% more for other biis and living expenses, you will find you will find the lowest premiums by selecting our best selling i:protect Mortgage Payment Protection Insurance.
For example, if you need, say, £500 per month to cover your mortgage repayments and up to another £125 for other household expenses. choose i:protect Mortgage Payment Protection Insurance - the low cost option.
2. If you rent or want to cover several monthly paid loans, bills and expenses, the added flexibility of i:protect Lifestyle Protection Insurance would make most sense. It allows you to choose the amount of monthly benefit you need (up to £1500 per month or 65% of your gross earnings whichever is the less). There are no restrictions on how you spend the money or on the loans or bills you choose to cover.
For example, if you need to coer £600 per month for rent, £250 car loan, £350 food, £150 utility/mobile phone bills, £100 for minimum credit card repayments and £50 other payments, choose i:protect Lifestyle Protection Insurance givin you the most flexible option.
Overview i:protect policies covering Loans
- Protect up to 75% of your gross monthly income or £1,500 per month whichever is the lesser amount with our Mortgage Payment Protection Policy to cover:
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- Protect up to 65% of your gross monthly income or £1,500 per month whichever is the lesser amount with our Lifestyle Protection Policy to cover:
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Both policies come with these great features:
- Flexible Excess Periods allowing you to choose when your benefits payments would start. For example, you can choose to start your unemployment benefit after 180 days, 90 days, 60 days, 30 days or from day one (known at 'back to day one' cover). Claims are paid 30 days in arrears. For more information about how you can use excess periods to save money please click here.
- Benefit payments can last up to 12 months in respect of any one claim. There is no limit to the number of claims you can make in any one year. For detailed information about the i:protect claims service please click here.
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Jobcare Back to Work Service to help you return to work. This service is free and is provided by employment specialists Jobcare Services Limited. Advisors are available to offer you practical advice tailored to your individual circumstances. For more information about Jobcare please click here.
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Redundancy Helpline to help you with redundancy matters and tax information. For more information about Legal Helpline please click here.
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Carer Cover is available when you select the accident sickness and unemployment cover option. You are paid if you become a carer after taking out your policy. For more information about Carer Cover please click here.
Click 'Get a quote' to obtain a quick quotation to see how little i:protect Unemployment Cover could cost you. Please click on the quote button at the top of this page; Go to top of page. Simply select the type of policy to suit your needs.
| There are other providers of short-term Income Protection Insurance and other products designed to protect you against loss of income. For impartial information about insurance, please visit the website at www.moneyadviceservice.org.uk |
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Do your have a car loan?
Could you answer "Yes" to any of these questions?
1. Do you have Finance on your car that you would struggle to pay during a period of unemployment?
2. Would it be necessary to sell your car to reduce your outgoings if you were unable to work due to accident, sickness or unemployment?
3. If you sold your current car, would you still need a car, even just an old one, to meet your family commitments?
In each case, if you sold your current car, would you get enough money to pay off your loan and buy another cheaper car? This can be tricky to answer as most people don't know how much their current car is worth. Car values have fallen dramatically since January 2008. It would be worthwhile checking the part exchange or private sale price of your own car to see for yourself. Try this site. http://www.wisebuyers.co.uk/motoring/used-car-prices/, to check the current value of your car.
Please consider the story of Miss D below below - it is a good example that will strike a chord with many private car owners and illustrate why people buy iprotect Loan Protection Insurance:
Example 1
Miss D age 24 has recently bought Peugeot hatchback from her local dealer, it is a 1.4 s 3 door, just 2 years old. Combined with a part exchange allowance for her previous car, Miss D arranged a bank loan of £4000 to cover the balance. Over 4 years this loan is just affordable at £112 a month. Miss D is extremely proud of her car. However, checking the value of her 'pride and joy' within a few months of buying it, shows that Miss D would be extremely lucky to get enough money to pay back her loan. A forced sale would leave her with nothing financially, just disappointment.
To meet her repayments, Miss D would need to pay i:protect premiums of just £3.15 per month to receive £112 benefit each month for up to a year. This would cover Miss D for full accident, sickness and unemployment with the best back to day one cover. The premium is tiny compared to the potential losses associated with the forced sale of her car.
Example 2
Mr E, age 44, is paying £465 per month on a personal lease over 3 years for his BMW 320d Touring. An economical 5 door diesel estate car that reflects his lifestyle and meets the needs of his family. However, if Mr E was unable to work for several months, these payments would become very hard to meet. To end the lease of this car mid term, he would incur an exit penalty equal to at least 3 months instalments. In other words, he would have no option than to hand back the keys, pay the lease company £1395 and find more money to buy another car. This would be very expensive, but unavoidable if forced to make economies.
In contrast, an i:protect policy, with premiums of just £18.09 a month, would enable him to maintain his lease payments for up to a year. In this example we have quoted for full accident, sickness and unemployment cover with a 30 day excess period. Mr E could continue to drive a quality car as well as avoiding the disappointment and expense of running an older and potentially unreliable vehicle. All are important considerations when looking for work, travelling to attend interviews etc.
How much money would you lose if you had to sell your car?
How does this compare with the cost of covering your existing loan with an i:protect Lifestyle Protection Insurance policy? Please remember that i:protect Lifestyle Protection Insurance policies are paid monthly. This means you can simply pay your premium by direct debit until your car loan or lease ends, closing your policy without penalty.
Not convinced about value for money? Find out how much your car dealer or bank would charge you for the same insurance. The price they quote would include their significant commission and for that reason alone we can confidently expect you to make big savings by choosing to buy this insurance direct from iprotect.
Some people have told us that during the time they are looking for their new job, perhaps thinking in terms of a career change, having a good reliable car is critical. Flexibility then becomes vital, they need the ability to travel to locations where public transport is not always available.
Offering more than just financial peace of mind, i:protect Lifestyle Income Protection Insurance also includes a free and comprehensive Back to Work service from independent employment specialists. FREE Back to Work Service - click for more details about claims.
Please take the opportunity to get a Lifestyle Protection quote:
- Cover your monthly car loan or lease repayments
- Keep your car when you need it most
- In addition to your repayments you can add the cost of your insurance and allowance for your VED (vehicle excise duty "car tax")
See example below
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Example of Car loan or lease payment and other car related bills |
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| Car Loan or Lease repayment | £360 |
| Car Insurance | £45 |
| Allowance for VED (car tax) | £15 |
| Allowance for annual sevicing | £20 |
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Total for an average month |
£440 |
This is a very cost effective way of securing the benefit to be paid each month for all expenses relating to owning your car. You would still need some savings to fall back on to pay for other expenses, shopping, your mobile, petrol etc. However, if you were out of work for any length of time, this policy could save you from being forced to sell your car.
You may have see Loan Protection Insurance or Car Loan Insurance advertised by motor dealers as a promotion to buy a new car. Other than being significantly cheaper, the advantage offered by the i:protect Lifestyle Protection Insurance policy, is the portability of the product. In other words, you can sell your car and buy another on installments and simply keep your cover in force. You can change your benefit levels to reflect your new car loan and any other expenses you choose to cover.