MPPI can be important to right people

Mortgage Payment Protection Insurance (MPPI) can be very important to the right people, according to Belgravia Insurance Consultants.

The independent financial adviser has said that sometimes the policies are being sold to the wrong people who don''t really need them.

Paul White, consultant for Belgravia Insurance Consultants, said: "The problem is that it is being sold to the wrong people – for example, a policeman wouldn''t need it as they have excellent sickness benefits and are extremely well covered. The self-employed definitely need it".

He added that consumers can get a "cafeteria style protection plan" in which you choose the elements of the plan that "best suit your circumstances". However he said that the problem with this could be that the provider may not be the best in the field you are trying to cover.

According to research from the Association of British Insurers in 2006 around 20 per cent of households in the UK had MPPI.

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