Ride the Mexican Wave of Banking Job Losses With PPI

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As the risk of redundancy increases for more and more people working within the financial services sector, PPI lobbyist Sara-Ann Burgess from Burgesses, urges employees to ensure they have Payment Protection Insurance (PPI).

Sara-Ann Burgess, MD Burgesses

Independent providers could be seen as the more stable option in the current climate and they're certainly cheaper. British Insurance offers Income Protection at £3.40 per £100 of monthly replacement income and Mortgage Protection at £1.60 per £100 of payments. Both of these are for unemployment cover.

As the risk of redundancy increases for more and more people working within the financial services sector, PPI lobbyist Sara-Ann Burgess from Burgesses, urges employees to ensure they have Payment Protection Insurance (PPI).

In banking alone, recent headlines include the takeover of HBOS by Lloyds TSB, the nationalisation of Bradford & Bingley and the acquisition of its savings unit and branches by banking giant Santander, the axing of 1100 jobs worldwide by HSBC, the acquisition of Alliance and Leicester by Santander and the collapse of investment bank Lehman Brothers.

Sara-Ann comments: "Years ago, working in a bank was considered a secure job, but as we've witnessed over the last week or so, nothing is secure. Hundreds of business units and branches will be either axed by those purchasing them or because of the economic downturn, leaving workers and firms that support them under enormous financial pressure.

"PPI can help relieve this pressure and at least provide employees with some financial breathing space whilst they're looking around for other jobs or maybe a career change. Income Protection provides a monthly replacement income for up to a year, ensuring bills can still be met, whilst Mortgage Protection covers the monthly mortgage payment."

It's reported that mortgage lenders have started to reject applications from workers in the Square Mile in London who rely on large bonuses to fund their loans and Sara-Ann is concerned this could be the thin end of the wedge.

She continues: "What's to stop certain High Street PPI providers, already at risk of financial failure, from rejecting applications from workers they consider to be in high risk redundancy sectors? Are we going to be faced with the spectacle of 'big names' not wanting to insure against redundancy or meet PPI claims because they're unable to support themselves?

"Independent providers could be seen as the more stable option in the current climate and they're certainly cheaper. British Insurance offers Income Protection at £3.40 per £100 of monthly replacement income and Mortgage Protection at £1.60 per £100 of payments. Both of these are for unemployment cover."

Sara-Ann concludes: "It's a bit like a Mexican wave, one bank goes down, then we hear of another, then more job losses and so it goes on. Those with PPI can at least ride this wave a little easier and rest assured their monthly commitments will be met."

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