Hiscox to review PI cover
Payment Protection takes another knock
The announcement is a blow to the confidence of PPI providers as they are already under scrutiny from consumer bodies and the FSA and now they have to face increased nervousness from their insurers.
Simon Burgess, managing director of britishinsurance.com, said: “Where PI is concerned, it's a claim waiting to happen. Mortgage brokers and lenders are breaching their duty of care towards their clients and it's only a matter of time before mis-selling claims are made. This will affect an insurer's bottom line and I'm surprised that PI specialists have waited until now to review their liabilities.”