The customer must be given a summary of the mortgage protection insurance policy (policy summary) and a statement of price as part of the sales process.
There is a slightly reduced set of product information for telephone sales, but the customer must provide his or her consent to receive less information, and the documents must be sent out in the post as soon as possible.
The policy summary is the responsibility of the insurer. It can be include within a leaflet or some other sales literature so long as it is clearly separate from other literature in the document.
The policy summary includes,
- The insurer,
- Significant terms and conditions,
- Policy period,
- Significant or unusual exclusions,
- Cancellation rights,
- Complaints system of the insurer,
- Compensation scheme details (FSCS).
The quotation stage of the process must include the following information as being separate from the loan information, although it can be displayed in the same document.
- Premium,
- Insurance premium tax,
- Interest on premium (if the premium is added to the loan),
- Total payable by the customer.