PPI instalment insurance, also known as Payment Protection Insurance, is an optional product for those taking out consumer credit. In this blog post, we take a look at the key aspects of this insurance and highlight the benefits it offers.
What is PPI instalment insurance?
PPI instalment insurance is designed to ensure the continued payment of loan instalments, particularly in the event of involuntary unemployment, illness or accident. Depending on the offer, this insurance covers various default risks, from temporary incapacity to work to total disability with a disability pension.
The advantages of instalment insurance for loans
- Financial security:
In the event of unemployment, illness or accident through no fault of your own, the insurance company will pay the instalments. - Flexibility:
The instalment insurance can be taken out at any time, either at the same time as the loan agreement or at a later date. - Independence:
The advantageous conditions of instalment insurance are independent of age, profession or income.
Securing instalment payments in every situation
PPI instalment insurance guarantees that your instalments will be paid, even if you become insolvent through no fault of your own. By taking out a loan agreement with this insurance, you protect your future plans against unforeseen financial difficulties.
Avoidance of unforeseen financial burdens
Payment protection insurance acts as a protective shield against unforeseen financial burdens. It offers the certainty that personal strokes of fate will not turn into additional financial challenges. With this insurance, you are covered in every situation in life.
From what amount does instalment insurance make sense?
There is no fixed rule as to the amount of credit above which instalment insurance makes sense. The decision depends on your individual financial situation and your risk profile. If you are worried that you may have difficulties paying your instalments in the event of unemployment, illness or an accident, payment protection insurance can be a sensible option. However, it is important to check the costs and conditions of the insurance carefully before making a decision.
Protection and flexibility with PPI instalment insurance
PPI instalment insurance offers a useful tool to protect against unforeseen events that could affect your ability to pay. With financial security and flexibility, it is worth considering.
However, it is essential to thoroughly check the costs and conditions of the insurance to ensure that it meets your individual needs.