With the fear of redundancies sweeping across the UK, there has been an increase in the demand for payment protection insurance (PPI), says Paymentcare, a provider of loan protection insurance .
As a result of the recent bad press about the miss selling of PPI policies, many borrowers have been reluctant to take out insurance to cover their loans and mortgages . However, with Britain now facing a recession, an increasing number of borrowers are changing their minds and seeking out cost effective insurance for their loan repayments .
According to Shane Craig, managing director of Paymentcare, "Its the "R" word that frightens borrowers most. Their main concern is to protect their home and stay as far away from the dreaded prospect of repossession . Their perception of risk has changed. People who wouldnt have considered the idea of insurance this time last year are no longer confident that they can escape the credit crunch unscathed."




