Although business managers were the largest single group covered by the lender, Abbey is predicting that groups as diverse as chemical engineers and farmers will be taking out more cover as the economy slows.
Peter Jones, group product manager at Abbey National, said: “What is very clear is that mortgage payment protection is no longer considered a luxury insurance only applicable to a few, as it might have been previously. One message that appears to be getting through to homeowners with mortgages is that the DSS is increasingly unlikely to pick up the tab if you lose your income. In particular, there is usually a critical nine month ‘window’ that is not covered by the DSS. This can be when the need for income and other practical support can be the greatest.”
