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Loan Payment Protection Insurance

Loan Payment protection insurance policy can cover your loan repayments for up to 12 months per claim, if you become unable to work as a result of disability or unemployment.

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  • Cover Level
  • Date of Birth
  • Monthly Salary  £
  • Monthly Salary is your normal monthly salary before deductions for tax and National Insurance. The monthly benefit you request cannot exceed 50% of your monthly salary.
  • Monthly Repayment  £
  • Additional Cover  £
  • At the point of application you can apply for additional cover of up to 25% of your monthly Loan Payment, subject to the maximum monthly benefit allowable.
  • Benefit Required  £
  • The maximum benefit allowable is £1500 per month - you must not exceed 50% of your monthly salary.

IMPORTANT !! Please check that you are eligible for this policy - refer to Section 1 of the Policy Terms & Conditions.
You should ensure that you are happy that the product is suitable for your needs.

Quick Summary

 

  • Who is the insurer?

    The insurer of this Loan payment protection policy is Alpha Insurance A/S.

  • What is Paymentcare Loan Protector?

    Depending upon the type and level of cover you have chosen, this policy can cover your Loan repayments for up to 12 months per claim, if you become unable to work as a result of disability or unemployment.

  • What are the features and benefits of Paymentcare Loan Protector?

    You can choose from the following types of cover: Unemployment & Disability; Unemployment & Disability with Accidental Death Benefit; Unemployment only with Accidental Death Benefit; Disability only with Accidental Death Benefit; Unemployment only; Disability only.

  • What is the maximum amount of cover I can have?

    The policy maximum is £1500 and you must not exceed 50% of your normal monthly income.

  • How long does the application process take?

    It’s easy to apply online, simply ensure you are eligible to apply for cover and make sure the policy meets your needs and demands. Once we receive your submitted application it will be processed the next working day. If accepted by the insurer your documents are then posted to you the same day.

  • What am I NOT covered for under a Loan Insurance policy?

    There are some things that you are not covered for. These are generally anything you already knew about when applying for the policy or anything that is caused by deliberate or illegal acts on your part. Full details can be found in the policy details page. We urge you to read through this document to ensure the policy is suitable for you.

  • How long does this Loan Protection Insurance policy run for?

    The policy is reviewed on an annual basis, however your premiums are paid monthly. Thirty (30) days before the policy has been in force for a year, and annually thereafter, we will write to you advising you of the premium for the next 12 months and of any changes to your cover.

  • Will my premium change each year?

    The premiums for future years will depend upon the forecasts of costs to the Insurer of settling claims and changes in taxation and inflation. The Insurer will not seek to recover, in future years, the costs of any claims already paid out. Changes to your premium will not depend on your individual circumstances but on the cost of overall claims.

    You should read the policy summary entitled: About Paymentcare Loan Protector - Loan & Payment Protection Insurance and the full policy wording is also available for you to download and read at your leisure. We offer our services on a non-advised basis, which means we will not make any recommendation to you about the suitability of the policies we offer. Please contact us by email or telephone if you have any questions or need an explanation on any aspect of the Loan Payment Protection Insurance policy we offer, we are here to help you.

Eligibility Criteria

 

You can be covered under this Policy if on the Start Date:

  • You are taking out this policy to insure loan payments; and
  • You are permanently resident in the United Kingdom; and
  • You are aged 18 or over at the start date and will not have passed the statutory retirement age before the termination date of cover; and
  • You are actively working on the start date and when your claim occurs, for no less than 16 hours each week; and
  • You have been continuously employed for at least 6 months immediately prior to the start date of this policy; and
  • Your place of work is within the United Kingdom; and
  • You agree to abide by the terms and conditions of this policy.

You cannot be covered under this Policy if on the Start Date:

  • You are not personally named on the loan agreement(s); or
  • Prior to the commencement of this policy you are aware of any impending Unemployment or Disability which may affect you or you are aware of any circumstances which may result in you becoming a full time carer; or
  • You are in casual, temporary or seasonal employment.

Cover Transfer

 

Can I transfer cover from another Loan Protection Insurance provider?

Yes it's easy to transfer cover, provided you are eligible for the policy and can meet a few simple conditions.

Great news...we also waive the initial exclusion period (this is the period of time where you cannot claim for involuntary unemployment) which applies at the start of a policy, provided that you meet these conditions:

  • There is no break in cover, between your existing policy and your new policy with us.
  • Your existing policy has been in force for at least six months.
  • The benefit of your new policy is the same as on your existing policy. You can increase the amount, but the initial exclusion period will apply to the increased amount you request.
  • The cover is on a like for like basis (the same level of cover).
  • You must be claim free under your existing policy.
  • Any pre-existing medical conditions that are excluded under your existing policy will also be excluded under your new policy.
  • We request that you send a copy of your existing certificate of insurance. THIS WILL BE REQUIRED IN THE EVENT OF ANY FUTURE CLAIM ON YOUR NEW POLICY.

Do NOT cancel your existing policy until you have received your new policy documents confirming cover with ourselves. Then you should inform your existing insurer.

Policy Wording

 

LOAN PAYMENT PROTECTION INSURANCE

Disability, Unemployment and Accidental Death underwritten by Alpha Insurance A/S

You have applied for Loan payment protection insurance and upon receipt and acceptance of the Premiums as they fall due, this insurance will provide You with the cover You have selected as stated on Your Certificate of Insurance. Your Application for cover, Certificate of Insurance and Policy form part of this insurance contract.

The Disability, Unemployment and Accidental Death insurance is underwritten by Alpha Insurance A/S, Registered Address; Harbour House 1, Sundkrogsgade 21, DK-2100, Copenhagen, Denmark and who are authorised by the Financial Conduct Authority, registration number 431621.

  1. ELIGIBILITY CRITERIA OF THIS POLICY

    You can be covered under this insurance if on the Start Date:

    • You are taking out this Policy to insure the Loan Payments on any Loan Agreement in Your name (excluding mortgage agreements); and
    • You are permanently resident in the United Kingdom for at least 6 months; and
    • You are aged 18 or over at the Start Date and will not have passed Your state pension age before the Termination Date of cover;and
    • You are actively Working on the Start Date and when Your claim occurs, for no less than 16 hours each week; and
    • You have been continuously Employed for at least 6 months immediately prior to the Start Date of this Policy; and
    • Your place of Work is within the United Kingdom; and
    • You agree to abide by the terms and conditions of this Policy.

    You cannot be covered under this insurance if on the Start Date:

    • You are not personally named on the Loan Agreement;
    • You are aware of any impending Disability;
    • You are aware of any impending Unemployment which may affect You;
    • You are aware of any circumstances which may result in You becoming a full time Carer;
    • You are in casual, temporary or seasonal Employment.

     

  2. THE TYPE OF COVER THIS POLICY PROVIDE

    You can choose between the following types of cover:

    Accidental Death, Unemployment and Disability cover; or Accidental Death and Disability cover; or Accidental Death and Unemployment cover; or Unemployment and Disability cover; or Disability only cover; or Unemployment only cover.

    The type of cover You have selected is stated on Your Certificate of Insurance under the “Important Notice” heading.

    • If You select Accidental Death and Disability cover or Disability only cover You will not be able to claim for Unemployment.
    • If You select Accidental Death and Unemployment cover or Unemployment only cover You will not be able to claim for Disability.
    • If You select Unemployment and Disability cover, or Disability only cover You will not be able to claim for Accidental Death.
  3. WHAT THE WORDS MEAN

    Some of the words and phrases We use in these insurance terms and conditions have special meanings and these are shown below in bold type with their meanings alongside them. Except where the context otherwise requires, the masculine shall include the feminine, the singular shall include the plural and vice versa as appropriate.


    Administrator Means Trent-Services (Administration) Limited, Trent Lodge, Stroud Road, Cirencester, Gloucestershire,GL7 6JN,e-mail: admin@trent-services.co.uk, telephone: 0845 408 0952. Trent-Services (Administration) Limited are authorised and regulated by the Financial Conduct Authority, FCA No. 315285.
    Accidental Death Means a bodily injury occurring during the Period of Cover which is the direct result of accidental, external, violent and visible means and which solely and independently of any other cause results in Your death. This does not include any sickness, disease, bacterial or viral infection (unless this is a direct result of an accidental injury), naturally occurring condition or degenerative process or the result of any gradually operating cause.
    Amendment Date Means the date We accept any amendment to Your Policy following receipt of an amendment form completed by Yourself.
    Agreement Means Your finance agreement with the Lender.
    Application Means the form that You complete for cover under this Policy.
    Benefit Period Means the maximum number of Monthly Benefit payments that would be payable for any one Claim Period, as stated on Your Certificate of Insurance.
    Business Means a company, trade, industry or profession which is registered in the United Kingdom.
    Carer Means You are entirely without Work solely due to the need to care for a Partner or Relative and You are registered with Your local Social Services Department as a Carer and are in receipt of carer’s allowance.
    Ceased to Trade Means the Business has permanently stopped trading due to circumstances entirely beyond Your control or the control of any director or partner in Your Business, and has been wound up or put into the hands of a registered insolvency practitioner or, if the Business is a partnership that the partnership has been permanently dissolved.
    Certificate of Insurance Means the document You receive from Us that details the cover You have selected under this Policy.
    Chronic Condition Means any condition that continues indefinitely, or cannot be cured or eradicated and that may recur or requires ongoing treatment.
    Claim Period Means any separate period of time during which You are Unemployed or Disabled and receiving Monthly Benefit under this Policy.
    College Means the Royal College of Surgeons, the Royal College of Physicians or any other Royal College of medical practitioners based in the United Kingdom.
    Condition Means any sickness, injury, illness or disease including any related sickness, injury, illness or disease or associated symptoms.
    Consultant Means a medical specialist who is a member of a College and recognised by that College to be a consultant. This does not include You or any members of Your Family or Relatives.
    Contract Employment Means You are Employed on a Fixed Term Contract of at least 13 consecutive weeks and You have not been in continuous Employment with the same employer for more than 2 years.
    Controlling Director Means You directly or indirectly own 10% or more of the issued share capital of the Business You Work
    for.
    Disability Means You have a medical Condition certified by a Doctor or Consultant as preventing You from doing Your normal Work or any similar Work which You are reasonably able to do given Your experience, education and/or training and You are not doing any other Work for payment or reward.
    Disabled Means You are suffering from a Disability.
    Doctor Means a medical practitioner practising in the United Kingdom being a fully registered person under the Medical Act 1983 and registered with the General Medical Council other than You, Your Partner or any of Your Family or Relatives.
    Eligible Means You meet the eligibility criteria of the Policy as detailed above in section 1.
    Employed / Employment Means You are in Employment and Your employer is deducting P.A.Y.E. tax and National Insurance contributions from Your gross salary and Your Employment has no fixed or pre-defined finishing date other than the normal retirement age for Your occupation.
    Excess Period Means the period of time at the point of a claim during which there is no Monthly Benefit payable to You, as stated on Your Certificate of Insurance.
    Family Means Your Partner or a Relative of You or Your Partner.
    Fixed Term Contract Means a contract to provide services to a Business in the United Kingdom for a fixed period of time of at least 13 consecutive weeks in duration.
    Hospital Means a government controlled hospital, a National Health Service hospital or a private hospital but will not apply to any long term nursing homes or geriatric unit or any such facilities.
    Initial Exclusion Period Means the 120 days immediately following the Policy Start Date when You cannot claim for Unemployment.
    Insurer Means Alpha Insurance A/S of Harbour House 1, Sundkrogsgade 21, DK-2100, Copenhagen, Denmark
    Lender Means the financial institution with which You have a Loan.
    Loan Means the personal loan You have taken out in Your name or in joint names with another person or persons with a Lender.
    Loan Payment Means the normal monthly payment You make / have made to the Lender for Your Loan.
    Monthly Benefit / Benefit Means the amount of cover You have selected under this Policy as stated on Your Certificate of Insurance. This is the amount payable in the event of a claim (as defined in Section 6 and 13).
    Normal Income Means:
    • Employed – the average gross monthly income You have received from Your employer in the twelve months immediately prior to Your claim.
    • Self Employed – the monthly gross average of the annual income You declared to the Inland Revenue on Your self-assessment tax return for the previous tax year (the tax year immediately prior to the tax year in which the claim occurs). Please note: this means Your personal income and not that of Your Business.
    Normal Pregnancy Means symptoms which normally accompany pregnancy which are of a minor and/or temporary nature and which do not represent a medical hazard to You or Your baby; and childbirth, including delivery by caesarean section or any other medically or surgically assisted delivery which does not cause medical complications.
    Partner Means Your legally married spouse, or registered civil partner under the Civil Partnership Act 2004, or a person who is living permanently with You in the same household as Your partner.
    Payment in Lieu of Notice Means any payment You are entitled to receive from Your previous Employer or The Government Fund, in the event that Your former Employer is in administration, that relates to the period of notice You should have served under Your contract of Employment; or any part of a payment of compensation for loss of position (including any part of a payment agreed under a compromise agreement) in respect of the notice period You should have served under Your contract of Employment
    Period of Cover Means the period between the Start Date and the Termination Date for which the correct Premium has been paid by You.
    Permanent Employment Means You are Employed on a permanent basis and Your Employment has no fixed or pre-defined finishing date other than the normal retirement age for Your occupation.
    Policy Means the insurance provided under these terms and conditions.
    Policy Review Date Means the date 12 months after Your Policy Start Date and annually thereafter.
    Pre-Existing Condition Means any medical Condition for which You received treatment, medication or advice (including regular or routine examinations or consultations to monitor the Condition) from a Doctor or Consultant in the 12 month period immediately prior to the Start Date.
    Premium

    Means the monthly sum set out on Your Certificate of Insurance payable by You for Your cover under this Policy. We review Your Policy annually and any changes We wish to make will take affect form the anniversary date of Your Policy Start Date and annually therefafter. Following the review We can make changes to Your premium and or Policy to reflect changes in the cost of providing this cover in the future.

    Premiums may go up or down, or remain unchanged as a result of this review. The Policy may also change as a result of this review. There is no limit on the size or type of these changes. We will notify You 60 days before the Policy Review Date.

    For each review We will take a fair and reasonable view on the likely future cost of providing this cover by considering:
    • Our experience and expectations of the cost of providing this product and/or similar insurance products;
    • Widely available economic information such as rates for inflation, unemployment and interest
    • Changes in law, regulation and taxation
    The review will not be directly affected by whether You have made a claim or not.
    The only exception to this would be a change in law, regulation or taxation or a recommendation of an Ombudsman which We need to implement prior to the review.

     

    Proprietor Means You own, alone or with others, the Business You Work for.
    Relative Means a parent, brother or sister or child (whether adopted or not)
    Temporary Employment Means seasonal or casual work, or work lasting or intending to last for a limited time.
    Self Employed / Self Employment Means You are in Business alone or in association with others, classed as Schedule D for income tax purposes and paying Class 2 National Insurance contributions and are not classified as being Employed.You will be deemed to be self employed if You fall into one of the following categories:
    • You are a Proprietor or a Controlling Director;
    • You are a Relative of either a Proprietor or a Controlling Director who Works in or
      owns the Business You Work for.
    Start Date Means the date insurance cover commences as stated on Your Certificate of Insurance.
    Termination Date Means the end of Your insurance cover under this Policy (as defined in section 20).
    Unemployed /
    Unemployment
    Means You are entirely without Work directly due to circumstances entirely beyond Your control (which
    includes the managing or assisting of any part of the day to day duties of operating a Business) and You are not in receipt of any payment from Your former Employment including Payment in Lieu of Notice,and You must be:
    • Receiving Income Support or Job Seekers Allowance, or You do not qualify for these benefits
      because You have been entitled to make reduced National Insurance contributions in the past
      and;
    • Registered as available for and actively seeking Work at a Job Centre Plus or any equivalent benefit office in the United Kingdom;
    • If You are self-employed You must comply with (a) and (b) above, and have permanently Ceased to Trade due to circumstances entirely beyond Your control and if You are a Controlling Director Your company has been wound up by a creditor who is not a director of Your Business.
    United Kingdom Means Great Britain, Northern Ireland and the Isle of Man.
    Waiting Period Means the number of days You must be Disabled or Unemployed before You receive any Monthly Benefit. The Waiting Period You have selected is stated on Your Certificate of Insurance.
    We or Us or Our Means the Insurer.
    Working or Work Means gainful Contract Employment, Employment or Self Employment for sixteen hours or more each week. You must also be paying the appropriate National Insurance contributions in the United Kingdom.
    You or Your or YourSelf Means the person or persons named on Your Certificate of Insurance.
  4. Duration Of The Policy

    This is a monthly paid Policy and it is issued from the Start Date to the date the next Premium is due.
    The Policy will automatically be renewed for a further month on payment of each Premium as it falls due until the Termination Date.
    It is Your responsibility to ensure Your level of cover remains adequate under the Policy. You should review Your Monthly Benefit level on a regular basis.

  5. Payment Of Premiums

    Premiums are payable by direct debit, monthly in advance by You. If Your Premium remains unpaid for 30 days after the due date Your cover under this Policy will cease.

    If You are in receipt of Monthly Benefits You must continue to pay Your monthly Premium as it falls due in order to ensure continuous cover under this Policy.

    We can amend Your Premium by giving You 30 days notice in writing. If there are any changes to the current level of Insurance Premium Tax (IPT) or any new taxation levies are imposed then Your Premium will be amended from the date any such taxation changes are implemented.

  6. The Level Of Cover This Policy Provides

    The maximum Monthly Benefit allowable under this Policy is Your monthly Loan Payment plus 25% or £1,500 or 50% of Your Normal Income whichever is the lesser. At the point of Application You can apply for additional cover of up to 25% of Your monthly Loan Payment,subject to the maximum Monthly Benefit allowable, as detailed above. In the event Your Monthly Benefit does exceed 50% of Your Normal Income under this or any other income or payment protection policy You hold which provides the same cover the Monthly Benefit will be reduced proportionately. You will receive a proportionate refund of Premium. If the same Loan is insured elsewhere this Policy will be reduced proportionately.

    The Monthly Benefit amount You have selected is stated on Your Certificate of Insurance.

    If You want to increase Your Monthly Benefit because Your Loan Payment(s) have altered You can do so by writing to the Administrator within 30 days of Your Lender notifying You of the amendment. You cannot increase Your Monthly Benefit during a Claim Period, Initial Exclusion Period or during a consultation period pending redundancy.

    If You want to decrease Your Monthly Benefit You can do so by putting Your request in writing to the Administrator at any time.

  7. The Number Of Persons That Can Be Insured

    You can only take out cover in Your sole name under this Policy. If You require joint cover and You are both Eligible for cover You must apply separately.

  8. Payment Of Claims For Disability

    If You are Working and You suffer a Disability during the Period of Cover, Your first Monthly Benefit payment is subject to the following:

    • Your Excess Period (as stated on Your Certificate of Insurance); and
    • Your Waiting Period (as stated on Your Certificate of Insurance); or
    • You are detained in Hospital under the sole request of a Doctor or Consultant for seven consecutive days.

    Following the expiry of the above, We will continue to pay You one thirtieth of the Monthly Benefit for each day You remain continuously Disabled, monthly in arrears. The first day of Your Disability will be considered to be the date on which a Doctor or Consultant certifies that You are unable to Work.

    We will continue to pay You Monthly Benefit until the Termination Date or the earliest of the following:

    • The last consecutive day of Your Disability; or
    • The date You stop providing due proof that You remain continuously Disabled; or
    • If You Work on a Fixed Term Contract basis and Your contract would have expired; or
    • We have made the maximum number of Monthly Benefit payments allowed in the Benefit Period.
  9. Disability Exclusions

    No Monthly Benefit will be payable to You if:

    • You deliberately injure YourSelf or Your Disability is due to alcohol, solvent abuse or drugs (other than drugs taken under the direction of a Doctor or Consultant and not for the treatment of drug addiction); or
    • Your Disability arises from stress, anxiety, depression or any mental or nervous disorder unless a Consultant Psychiatrist certifies that the Condition solely prevents You from Working; or
    • Your Disability results from any Condition which came about as a result of a Pre-Existing Condition or Chronic Condition (but this exclusion will not apply to a Pre-Existing Condition if You have been free from its symptoms, and have not consulted any Doctor nor received any treatment for or in connection with it, for a two year period prior to Your claim);
    • Your Disability is due to Normal pregnancy other than a medical complication which directly occurs as a result of Your pregnancy or a pregnancy related Condition; or
    • Your Disability is due to a back related Condition unless there is radiological evidence of medical abnormality, visible wound, contusion, or a Consultant certifies that the Condition solely prevents You from Working; or
    • Your Disability arises from medical operations or treatments which are not medically necessary, including cosmetic or beauty treatments; or
    • You were aware of Your impending Disability on or prior to the Start Date of Your Certificate of Insurance; or
    • If, at the time of a claim, You have any other policy in force, insuring anything covered by this Policy, We shall only be liable for Our proportional share.
    • Your Disability is due to any of the Unemployment exclusions.

    Benefit will not be paid for Disability if You are receiving Unemployment benefit under this Policy.

  10. PAYMENT OF CLAIMS FOR UNEMPLOYMENT

    If You are Working and You become Unemployed during the Period of Cover, Your first Monthly Benefit payment is subject to the following:

    • Your Excess Period (as stated on Your Certificate of Insurance); and
    • Your Waiting Period (as stated on Your Certificate of Insurance).

    Following the expiry of the above, We will continue to pay You one thirtieth of the Monthly Benefit for each day You remain continuously Unemployed, monthly in arrears.

    The first day of Your Unemployment will be considered to be the date on which You are registered as available for and actively seeking Work at a Job Centre Plus or any equivalent benefits office in the United Kingdom and are receiving either Income Support or Job Seekers Allowance unless You do not qualify for these benefits, for example, because You have been entitled to make reduced National Insurance contributions in the past, or any other legitimate reason as confirmed by the benefits office.

    If You become Unemployed and entirely without Work for 60 consecutive days solely due to the need to care for a Partner or Relative and You are registered with Your local Social Services Department as a Carer and are in receipt of Carer’s allowance We will make two Monthly Benefit payments to You.

    We will continue to pay You Monthly Benefit until the Termination Date or the earliest of the following:

    • The last consecutive day of Your Unemployment; or
    • The date You stop providing due proof that You remain continuously Unemployed; or
    • We have made the maximum number of Monthly Benefit payments allowed in the Benefit Period.

    Unemployment cover under this Policy will vary in accordance with Your Employment status as detailed below:

      • Employment - You will be insured if You are made Unemployed.
      • Contract Employment:
        • if You have been Employed on a renewable Fixed Term Contract of at least 13 consecutive weeks with the same employer for more than 2 consecutive years or on an annual contract which has been renewed then You will be insured if You are made Unemployed.
        • if You have been Employed on a renewable Fixed Term Contract of at least 13 consecutive weeks with the same employer but for less than 2 years then You will be insured if You are made Unemployed during the term of Your contract.You will not be insured against the non-renewal of Your contract and any entitlement to Monthly Benefit under this Policy will automatically cease on the date Your contract was originally intended to terminate.
      • Self Employment - You will be insured if You have permanently Ceased to Trade due to circumstances entirely beyond Your control and if You are a Controlling Director Your company has been wound up by a creditor who is not a director of Your Business and have:
        • filed closing accounts with the Inland Revenue if You operate alone; or
        • had Your company put in the hands of an insolvency practitioner following the actions of a third party outside Your Business; or
        • had Your partnership dissolved and final accounts filed with the Inland Revenue following the actions of a third party outside Your Business.
  11. UNEMPLOYMENT EXCLUSIONS

    No Monthly Benefit will be payable to You if:

    • You have not been Working for at least 6 consecutive months prior to the Policy Start Date;
    • You were aware of the possibility of impending Unemployment (or in Our reasonable opinion You should have been aware) at the Policy Start Date, not withstanding that no specific reference has been made to Your personal situation and that Your Unemployment may not take place until after the Initial Exclusion Period
    • You are notified of or made aware by any means, within the Initial Exclusion Period, of anything which might lead to Your Unemployment not withstanding that no specific reference has been made to Your personal situation and that Your Unemployment may not take place until after the Initial Exclusion Period.
    • Your Work is casual, seasonal or of a temporary nature;
    • You accept voluntary redundancy, resign or retire;
    • You failed to pass a trial or probationary period;
    • Your Unemployment ends as a result of the expiry of an apprenticeship or training contract;
    • Your Unemployment arises as a result of Your own act wilful misconduct, negligence, dishonesty or fraud;
    • Your Unemployment occurs while You are Working outside the United Kingdom for a period intended by You to be more than 90 days - this clause will not apply if Your reason for leaving the United Kingdom is because You:-
      • Work for the British Armed Forces or;
      • Work as a Civil Servant in a British Embassy or Consulate.
    • You are made Unemployed from a Business where You can control the affairs of the Business You Work for because You or a relative or a member of Your household individually or jointly have a Controlling Interest in that Business.
    • You are made Unemployed as a result of participating in any industrial action
    • You refuse any offer of reasonable alternative employment by Your employer, which based on Your qualifications, previous experience and the location of such employment it would have been reasonable for You to accept.

    Benefit will not be paid for Unemployment if You are receiving Accident or Sickness benefit under this Policy. If, during a Claim Period in respect of Unemployment You are not able to actively seek Work solely because of an Accident or Sickness, We may continue to pay Accident and Sickness benefit to You (if selected) but as part of one Benefit Period and therefore on terms that the sums We have already paid to You will count towards the maximum Benefit Period as shown in Your Schedule.

  12. SUSPENDING AN UNEMPLOYMENT CLAIM FOR TEMPORARY EMPLOYMENT

    If You make a claim for Unemployment under this Policy and You are offered Temporary Employment You can suspend Your claim provided that:

    • You tell Us who will be employing You (even if You will be Self Employed), how many hours You will be employed for and the duration of Your Temporary Employment; and
    • Your Temporary Employment lasts for at least one week and no longer than six months and You do not have more than three separate jobs during any one Claim Period; and
    • You continue to comply with the terms and conditions of this Policy and tell Us immediately if any of the above circumstances should change.

    Provided You are Eligible to continue Your claim for Unemployment when the Temporary Employment ends, We will recommence Your Monthly Benefit subject to a maximum combined total of twelve Monthly Benefit payments for any one Claim Period.

  13. Payment Of Claims For Accidental Death

    If You have selected Accidental Death Cover and:

    • You have an outstanding balance on Your Loan and You suffer an Accidental Death during the Period of Cover, We will pay lesser of:
      • The maximum benefit on Your Certificate of Insurance; or
      • The outstanding balance on Your Loan insured by this Policy.
    • You no longer have a Loan with the Lender at the time of Your Accidental Death We will pay twelve times the Monthly Benefit as stated on Your Certificate of Insurance.

    The above is subject to You being in Work at the time Your Accidental Death occurs.

  14. Accidental Death Exclusions

    No Benefit will be payable to You if Your claim results directly or indirectly from:

    • suicide, attempted suicide, self inflicted injuries whether You are sane or insane or is due to alcohol, solvent abuse or drugs (other than drugs taken under the direction of a Doctor or Consultant and not for the treatment of drug addiction); or
    • Death caused by any sickness, disease, bacterial or viral infection (unless this is a direct result of an accidental injury),naturally occurring condition or degenerative process or the result of any gradually operating cause
  15. Claim Re-Qualification

    A claim which occurs within 3 months of a separate Claim Period will be treated as one and the same claim. A new claim can be made provided You have returned to Work for at least 90 consecutive days.

  16. How To Make A Claim

    You must give Us notice of a claim by telephoning the Administrator on 0845 408 0952.

    You should do so as soon as reasonably possible and within 90 days after the end of Your Waiting Period or Excess Period (as stated on Your Certificate of Insurance). We will send You the claim forms. You will need to complete these and return them to Us as soon as reasonably possible; giving Us all the information We ask for to enable Us to process Your claim. You are responsible for providing Us with the proof We need to validate Your claim. Any delay in submitting a claim to Us may make Your claim harder to confirm and lead to a delay in making payment or result in the non payment of Your claim. If We wish You to be medically examined at Our expense You must allow it; or

    Your claim could either be stopped or denied.

    Payment of Monthly Benefit will be made when We receive satisfactory evidence of Your entitlement to claim. Throughout the period for which the claim is made under this Policy We will require You to provide evidence of continued Disability or Unemployment. Monthly Benefit will not be paid for any period of Disability or Unemployment for which the evidence required by Us is not provided by You. We may require You to produce this Policy together with Your Certificate of Insurance as proof of purchase. Once a claim has been accepted Monthly Benefit will be paid to You monthly in arrears.

  17. General Conditions
    • This Policy and any endorsements to it together with Your Application and Certificate of Insurance and any written statement of medical or other information made by You make up the insurance contract between Us and You.
    • No alterations, variations, or relaxation of any of the terms of this Policy can be made except in writing by one or more of Our authorised officials.
    • This Policy is subject to English law.
    • Any fraud mis-statement or misrepresentation in relation to any matter affecting this insurance contract or any claim under this insurance contract may render it null and void and all rights to claim will be lost.
    • If at any time any provision or part thereof of this insurance contract becomes invalid, illegal, or unenforceable the remaining parts and/or provisions shall continue in full force and effect.
    • All Monthly Benefits under this insurance contract are non-taxable, although this may change in line with any amendments to legislation. In this event, We will deduct from any Monthly Benefit any sums which by law We are required to deduct.
    • A person who is not a party to this insurance contract has no right under the Contracts Act 1999 (Rights of Third Parties) to enforce any term of this insurance but this does not affect any right or remedy of a third party which exists or is available apart from that Act.
    • Any misrepresentation or false statement in Your Application for this insurance or any claim could affect the payment of Monthly Benefit under this Policy. If You make a claim which We consider to be fraudulent or exaggerated, all benefits under this contract will be lost and We will seek to recover any Monthly Benefit paid under that claim.
    • The benefits of this insurance contract may not be assigned to a third party.
    • We will be entitled to take legal action in Your name for Our own benefit against any other party in order to recover any payment We have made.
    • If, at the time of a claim, You have any other policy in force, insuring anything covered by this Policy, We shall only be liable for Our proportional share.
  18. General Exclusions

    No Benefit will be payable as a result of:

    • War, invasion, act of foreign enemy, hostilities (whether war is declared or not), civil war, rebellion, civil commotion, riot, revolution or military or usurped power.
    • Radioactive contamination from:
      • Ionising radiation or contamination from any nuclear fuel, or from any nuclear waste arising from burning nuclear fuel; or
      • The radioactive, toxic, explosive or other dangerous effect of any explosive nuclear equipment or part of that equipment,directly or indirectly caused by or contributed to by or arising from Biological or Chemical contamination due to or arising from terrorism.
  19. Cancellation Terms Of This Policy

    You can cancel Your cover under this Policy by writing or emailing to the Administrator and quoting Your Policy number within 30 days of the Start Date as stated on Your Certificate of Insurance and We will refund any Premium You may have paid, provided that You have not made a claim under this Policy.

    Thereafter, You can cancel Your cover under this Policy at any time by writing to the Administrator and quoting Your Policy number and Your cover will cease on the date We receive Your request in writing. No refund of Premium will be made if You cancel Your cover under this Policy more than 30 days after the Start Date as stated on Your Certificate of Insurance.

    We may cancel this Policy at any time by giving You 30 days notice in writing to Your last known address. This will not affect any rights to Monthly Benefits which You may already have received under this Policy before the Termination Date of Your cover.

  20. Termination Of Your Insurance Cover Under This Policy

    Your cover will cease on the earliest date of the following:

    • You die; or
    • You retire from Work or reach the state pension age, whichever is the earlier; or
    • You stop living in the United Kingdom;
    • You stop Working in the United Kingdom;
    • Your Premium payment is more than 30 days overdue; or
    • You or We cancel Your cover under this Policy.
  21. Amendments To Your Policy Cover

    Any changes to Your Policy will take effect from the Amendment Date provided You are not receiving Monthly Benefit under the Policy or You are aware of any impending claim. We will not cover the following after an increase in the Monthly Benefit:

    Section 9 Disability Exclusions
    We will not pay the increase in Monthly Benefit for any claim caused by or resulting from any medical condition:

    • which You knew about on or before the date You applied for the increase; or
    • as a result of any medical condition for which treatment had been given or diagnosis had been made or investigations commenced during the 12 months immediately before the date You applied for the increase and which comes back within 24 months after the date You applied for the increase. (This exclusion will not be applied after 24 months have passed without treatment or advice for that medical condition).

    Section 11 Unemployment Exclusions

    We will not pay the increase in Monthly Benefit for any Unemployment claim where:

    • Your Employment ends within 120 days of the date You applied for the increase; or
    • You knew the Unemployment to be impending at the date You applied for the increase, whether or not You had received official notice.

    We will not pay the increase in Monthly Benefit for Caring where:

    • on or before the date You applied for the increase We reasonably believe You were aware of the need, or likely need at any time in the future, for a member of Your Immediate Family to require a Carer; or
    • within the first 120 days of the date You applied for the increase You apply for a Carer’s Allowance, or are notified of receipt of a Carer’s Allowance. (This exclusion will not be applied if the condition of the member of Your Immediate Family requiring a Carer was due to or caused by an unforeseen event happening after the Start Date).
  22. Data Protection Act And Disability Discrimination Act

    You should understand that any information You have provided will be collected and processed by Us, in compliance with the provisions of the Data Protection Act 1998 (DPA), for the purpose of providing insurance and handling claims, if any, which may necessitate providing such information to other parties. The DPA gives You the right to a copy of Your personal data held by Us upon payment of a fee.

    In accordance with the Disability Discrimination Act 1995 We are able to provide upon request a text-phone facility, audio tapes, large print documentation and Braille documentation. You should advise Us if any of these services are required so that We can communicate in the appropriate manner.

  23. Compensation

    If We are unable to meet Our obligations under this insurance, You may be entitled to compensation from the Financial Services Compensation Scheme, depending on the type of insurance and circumstances of claim. Insurance advising and arranging is covered for 90% of the claim, without any upper limit. Further information can be obtained from the Financial Services Compensation Scheme at 7th Floor Chambers, Portsoken Street, London E1 8BN.

  24. COMPLAINTS PROCEDURE

    We care about the service We provide to You and We make every effort to maintain the highest possible standards. If You have any questions about the Policy please ask Us. Please have this document available so that We can deal with Your enquiry speedily.

    Although We set ourselves high standards, if We do not meet Your expectations and You are dissatisfied in some way We would like to know. If You follow the guidelines below, Your complaint will be dealt with in the most efficient way possible.

    Any complaints about this policy or related services should, in the first instance, be made to the Our Complaints Manager, Trent Services (Administration) Ltd., Trent Lodge, Stroud Road, Cirencester, Gloucestershire, GL7 6JN, Tel: +44(0)1285 626020 who will respond to any complaint within 10 days.

    If you remain dissatisfied with Our handling of and response to the complaint you may be referred to the Danish Insurance Complaints Board, Ankenaevnet for Forsikring (the Board) or the U.K. Financial Ombudsman Service (FOS), depending on the nature of the complaint and whether it should properly be directed against Us or another party.

    Contact details are as follows:

    The Danish Insurance Complaints Board
    Ankenaevnet for Forsikring
    Anker Heegaards Gade 2,
    Postboks 360
    DK-1572 Copenhagen
    Denmark
    Tel: 0045 3315 8900

    Financial Ombudsman Service,
    South Quay Plaza,
    183 Marsh Wall,
    London,
    E14 9SR
    Tel: 0800 0234567

    In order for the Board to deal with Your complaint, You will need to agree to their applying the rules of Danish law and practice in the adjudication process. Referring a complaint to the Board or the FOS is an alternative form of dispute resolution. It does not affect Your right to take legal action

    Alpha Insurance A/S is authorised and regulated by Finanstilsynet (the Danish FSA), under authorisation number 53068 and you can check this by visiting the Finanstilsynet website at www.finanstilsynet.dk. As an insurance company authorised within the European Union, Alpha Insurance A/S is permitted to conduct business in the United Kingdom under FCA reference 431621. You can check this by visiting the Financial Services Register on the FCA website at www.fca.org.uk.

Loan FAQs

What is Loan Protection Insurance?

Paymentcare Loan Protector is designed to ensure that your Loan repayments are taken care of each month in the event that you are off work as a result of an Accident, Sickness (disability) or involuntary Unemployment / involuntary redundancy.

Why would I need Loan Protection Insurance?

If you were off work through a serious accident or for a period of sickness how would you make your monthly loan repayments? What if it was announced that you were to be made unemployed as a result of involuntary redundancy? Would you have enough savings to keep making your repayments?

Can I transfer an existing Loan Protection policy to Paymentcare?

If you have an existing policy with your loan provider, you can apply to transfer your cover to Paymentcare if you feel the policy we offer meets your demands and needs and you meet the eligibility requirements.

What is the difference between Loan Protection and Short term Income Protection?

Loan Protection is specifically to cover your loan repayments, whereas short term income protection is not linked to any specific credit agreement.

How do I pay for my Loan Protection Policy?

Your premiums are collected monthly by Direct Debit. You choose a day that the premiums are to be collected monthly from your account.

What does Loan Protection Insurance cover?

Loan Protection Insurance is an insurance policy that protects your monthly Loan repayments in the event of an accident, sickness (disability) or involuntary unemployment such as redundancy. The policy will have a maximum benefit limit and also cannot exceed 50% of your gross monthly income in terms of benefit levels.

How long will the Loan Protection policy pay out for if I make a claim?

The maximum number of monthly benefit payments for our Loan Protection policy is 10 monthly payments in any one claim period. You are able to submit more eligible claims once you have returned to work for the re-qualification period of 90 days.

Am I eligible to apply for Loan Protection Insurance?

To apply for Loan Protection Insurance you need to be Over 18 and not yet reached your state retirement age, you must be a UK resident and in permanent employment (16 hours or more per week) and have been so for the previous 6 months continuously.

I'm self-employed can I apply for Loan Protection Insurance?

Yes as long as you meet the eligibility criteria. Just like employed people you will need to provide a copy of a sick note if you are making a claim on the Accident and Sickness (disability) element of cover. There are limited circumstances in which a self employed person could make a valid claim from involuntary unemployment - YOU MUST CHECK THE POLICY WORDING CAREFULLY, IT IS YOUR RESPONSIBILITY TO ENSURE THE POLICY MEETS YOUR DEMANDS & NEEDS - WE DO NOT PROVIDE ANY ADVICE AS TO THE SUITABILITY OF ANY OF THE POLICIES WE OFFER.

I am a contract worker, can I apply for Loan Protection Insurance?

You may be eligible to apply for Loan Protection Insurance; however, there are specific terms that apply for claiming unemployment benefits under the policy. We detail them here for ease of reference but you should read the full policy wording.
Contract Employment:
a) if You have been Employed on a renewable Fixed Term Contract of at least 13 consecutive weeks with the same employer for more than 2 consecutive years or on an annual contract which has been renewed then You will be insured if You are made Unemployed.
b) if You have been Employed on a renewable Fixed Term Contract of at least 13 consecutive weeks with the same employer but for less than 2 years then You will be insured if You are made Unemployed during the term of Your contract. You will not be insured against the non-renewal of Your contract and any entitlement to Monthly Benefit under this Policy will automatically cease on the date Your contract was originally intended to terminate.

There's a possibility that I may be made redundant within a few months of applying for a policy. Can I still apply?

You will not be able to claim for any period of unemployment for which you were aware of at the start date of this policy or which occurs within the initial exclusion period.
The following rules apply:
You are made aware by any means, before the start date or within the Initial Exclusion Period, of anything that might lead to your unemployment, not withstanding that no specific reference has been made to your personal situation and that your unemployment may not take place until after the Initial Exclusion Period.
Further details can be found in the POLICY WORDING.

What is the difference between Loan Protection and Short term Income Protection?

Loan Protection is specifically to cover your loan repayments, whereas short term income protection is not linked to any specific credit agreement.

I already have a medical condition; can I claim for this?

This would be classed as a pre-existing medical condition and therefore you would not be able to claim for it if you have received treatment for the condition during the 12 months immediately prior to the start date of your policy. This exclusion is waived if you have been symptom and treatment free and have not had cause for medical consultation for the condition for a period of no less than 24 months before the start date of any claim.

Can I claim for back related injuries or conditions?

Yes as long as there is radiological evidence of medical abnormality, visible wound, contusion, or a consultant certifies that the condition solely prevents you from working.

Can I claim for stress, anxiety, depression or any mental or nervous disorders?

Yes as long as a consultant certifies that the condition solely prevents you from working.

How will my claim be paid?

All valid claims are paid directly into the bank account that we collect your Direct Debit from.

What evidence will I be asked to provide in the event of a claim?

For Accident and Sickness (Disability) claims: In addition to completing a claim form you will need to be signed as unfit for work by a doctor and provide regular evidence to that effect.
For Unemployment claims: In addition to completing a claim form you will be asked to provide proof of your income such as bank statements and/or accounts and/or tax returns together with P60's and regular evidence that you are actively seeking employment, such as: Evidence of your search for new employment (e.g. letters or emails) from, or to, prospective employers. These must relate to the most recent period of your claim.
When your claim at the Jobcentre Plus comes to an end, you will be asked to supply a copy of the P45 that is issued to you at that time. You will also need to supply a copy of the letter that will be issued to you by the Jobcentre Plus confirming the end of your benefit claim.

Why would I need Loan Protection Insurance?

If you were off work through a serious accident or for a period of sickness how would you make your monthly loan repayments? What if it was announced that you were to be made unemployed as a result of involuntary redundancy? Would you have enough savings to keep making your repayments?

How do I cancel my Loan Protection policy?

You can cancel your policy at any time by writing to us. If you cancel within the first 30 days of the start date we will refund any premium you may have paid. No refund of premium is paid after this period.

We are both named on our loan agreement (spouse / partner), can I apply for a policy in my name only?

Yes, as long as you personally meet the eligibility you can apply. Just ensure the figure you are asking to cover does not exceed 50% of your normal monthly salary, this can be for all or part of the monthly loan repayment.