This section lists products that may be sold at the same time or solicited soon after. Care would need to be taken to see if these products where suitable or if they duplicated some of the cover already provided.
Personal accident
Personal accident insurance provides a fixed amount cover/benefit to be paid to the customer, if they suffer an accident that caused loss of limbs, digits or sight. There is a table of benefits related to the amount of physical loss.
Most of these polices will include a fixed amount benefit for death resulting from an accident.
This type of cover is often sold via direct marketing to personal clients and customers of corporate customers (with their agreement) as a follow up to another transaction. This is particularly common with motor finance and finance companies. Sometimes a small level of cover is offered free in order to populate mailing data bases.
Gap polices
In the event of their car being written off as a total loss after an accident, this cover protects part of the risk that the value placed on the car by the motor insurers does not reach the level of loan outstanding of the finance agreement (excluding any pate or non payment amounts).
The premium if often added to the motor loan then either paid directly to the insurer by the lender or by the motor dealer. The motor dealers and Motor finance houses are the main arrangers for this type of insurance.
Motor warranties
These polices protect the customer against failure of certain major mechanical parts of the car, during a set period following purchase.
Accidental damage is excluded, as are certain items which are heavily subject to wear and tear.
The polices are mainly sold by the motor dealer and the cost can often be added to the loan.
Motor breakdown
This is an insurance backed version of the motor assistance provided by the RAC or AA. The premium might be added to the loan.
Early termination insurance
Designed for company car users, who have transferred to a financial allowance as opposed to a company car, and have used that allowance to enter into a motor loan.
The cover protects the customer against redundancy which might force them to terminate the loan and sell the car. The benefit is there to cover the gap between the cars resale value and the balance of the outstanding loan agreement (excluding any non repayment amounts).
Again the premium can be added to the loan.