Redundancy and Payment Protection Advice Needed
Discussion
I've got a lady friend at work who's other half is currently under the cloud of possible redundancy. He finds out next Friday, 27th March. The problem is they have a payment protection policy that matures on 19th April (I think there's a 12 week maturity period) and they had no idea redundancies were on the cards when they took the policy out.
She's worried that because the redundancy is going to fall before the policy matures she'll get nothing at all from the insurance. Or is it that they will be able to claim successfully but the insurance will only kick in from April 19th?
Any advice appreciated.
She's worried that because the redundancy is going to fall before the policy matures she'll get nothing at all from the insurance. Or is it that they will be able to claim successfully but the insurance will only kick in from April 19th?
Any advice appreciated.
NobleGuy said:
I've got a lady friend at work who's other half is currently under the cloud of possible redundancy. He finds out next Friday, 27th March. The problem is they have a payment protection policy that matures on 19th April (I think there's a 12 week maturity period) and they had no idea redundancies were on the cards when they took the policy out.
She's worried that because the redundancy is going to fall before the policy matures she'll get nothing at all from the insurance. Or is it that they will be able to claim successfully but the insurance will only kick in from April 19th?
Any advice appreciated.
Good question.She's worried that because the redundancy is going to fall before the policy matures she'll get nothing at all from the insurance. Or is it that they will be able to claim successfully but the insurance will only kick in from April 19th?
Any advice appreciated.
If he's given 4 weeks notice from 27th March then surely he will be past April 19th and therefore ok?
ipitythefool said:
NobleGuy said:
I've got a lady friend at work who's other half is currently under the cloud of possible redundancy. He finds out next Friday, 27th March. The problem is they have a payment protection policy that matures on 19th April (I think there's a 12 week maturity period) and they had no idea redundancies were on the cards when they took the policy out.
She's worried that because the redundancy is going to fall before the policy matures she'll get nothing at all from the insurance. Or is it that they will be able to claim successfully but the insurance will only kick in from April 19th?
Any advice appreciated.
Good question.She's worried that because the redundancy is going to fall before the policy matures she'll get nothing at all from the insurance. Or is it that they will be able to claim successfully but the insurance will only kick in from April 19th?
Any advice appreciated.
If he's given 4 weeks notice from 27th March then surely he will be past April 19th and therefore ok?
Edited to add: The notice period is 4 weeks, but she's worried that the notice given to them for the redundancies originally was 4 weeks ago and therefore notice might have been assumed to have been given.
Edited by NobleGuy on Thursday 19th March 09:37
NobleGuy said:
Edited to add: The notice period is 4 weeks, but she's worried that the notice given to them for the redundancies originally was 4 weeks ago and therefore notice might have been assumed to have been given.
It all depends on his contract, but usually notice period is on the individual, so unless he specifically was given written notice of redundancy 4 weeks ago, then his notice period will start once the redundancies are actually made.Blimey, does he work at the same place as my other half, he is due to find out on the 27th if he is staying for the shift, bit of a pain seeing as it's a night shift, but that's what they are doing, telling the ones that are going at the start of the shift, then escorting them off the premises.
NobleGuy said:
I've got a lady friend at work who's other half is currently under the cloud of possible redundancy. He finds out next Friday, 27th March. The problem is they have a payment protection policy that matures on 19th April (I think there's a 12 week maturity period) and they had no idea redundancies were on the cards when they took the policy out.
She's worried that because the redundancy is going to fall before the policy matures she'll get nothing at all from the insurance. Or is it that they will be able to claim successfully but the insurance will only kick in from April 19th?
Any advice appreciated.
Your friend is going to be made redundant during the exclusion period. She's worried that because the redundancy is going to fall before the policy matures she'll get nothing at all from the insurance. Or is it that they will be able to claim successfully but the insurance will only kick in from April 19th?
Any advice appreciated.
I am fairly sure they will not get a penny from the redundancy cover.
ETA was this cover taken out with a new mortgage? A remortgage or simply because they thought it was worth having?
Edited by scotal on Thursday 19th March 09:49
swerni said:
If you knew that it is likely you would be made redundant when the policy was take out that will also void it.
Any claims made just in the eligibility period IMHO would be heavily scrutinised
I would tend to agree with those sentiments. I suppose that's why they have the maturity period. No point paying out to people that knew it was coming. Any claims made just in the eligibility period IMHO would be heavily scrutinised
I've mentioned to her that even if the dates fit the insurance company will be doing all they can to worm out of it - probably being hit left right and centre at the moment.
scotal said:
ETA was this cover taken out with a new mortgage? A remortgage or simply because they thought it was worth having?
I don't think they've remortgaged recently as their fixed rate deal is coming to an end later this year. I think they saw and heard what was happening around them economy-wise and tried to take action to cover themseleves a bit.NobleGuy said:
scotal said:
ETA was this cover taken out with a new mortgage? A remortgage or simply because they thought it was worth having?
I don't think they've remortgaged recently as their fixed rate deal is coming to an end later this year. I think they saw and heard what was happening around them economy-wise and tried to take action to cover themseleves a bit.BERGS2 said:
swerni said:
....
If you knew that it is likely you would be made redundant when the policy was take out that will also void it....
er... who makes that call?If you knew that it is likely you would be made redundant when the policy was take out that will also void it....
The insurer could I suppose contact your Ex-employer to see if such information was handed out prior to the policy being taken out.
trooperiziz said:
NobleGuy said:
Edited to add: The notice period is 4 weeks, but she's worried that the notice given to them for the redundancies originally was 4 weeks ago and therefore notice might have been assumed to have been given.
It all depends on his contract, but usually notice period is on the individual, so unless he specifically was given written notice of redundancy 4 weeks ago, then his notice period will start once the redundancies are actually made.All down to the poilcy exclusions.
scotal said:
swerni said:
Any claims made just in the eligibility period IMHO would be heavily scrutinised
Any claim would be scrutinised..... the guy will get a letter informing him of redundancy, it will be dated 27th March. Prior to the exclusion period expiring. It will be excluded. Edited by ipitythefool on Thursday 19th March 11:00
ipitythefool said:
scotal said:
swerni said:
Any claims made just in the eligibility period IMHO would be heavily scrutinised
Any claim would be scrutinised..... the guy will get a letter informing him of redundancy, it will be dated 27th March. Prior to the exclusion period expiring. It will be excluded. Can't belive I've suggested that. But I'm sure the insurance companies will use all means to avouid paying out so maybe it's fair game.
I think generally it's looking failry negative and to be honest I was expecting that. Many thanks for all your input.
ipitythefool said:
scotal said:
swerni said:
Any claims made just in the eligibility period IMHO would be heavily scrutinised
Any claim would be scrutinised..... the guy will get a letter informing him of redundancy, it will be dated 27th March. Prior to the exclusion period expiring. It will be excluded. Can't belive I've suggested that. But I'm sure the insurance companies will use all means to avouid paying out so maybe it's fair game.
scotal said:
ipitythefool said:
scotal said:
swerni said:
Any claims made just in the eligibility period IMHO would be heavily scrutinised
Any claim would be scrutinised..... the guy will get a letter informing him of redundancy, it will be dated 27th March. Prior to the exclusion period expiring. It will be excluded. Gassing Station | Homes, Gardens and DIY | Top of Page | What's New | My Stuff