credit card - payment protection policy summary

Keyfacts

This is a summary of the policy and does not contain the full terms and conditions of the cover, which can be found in the policy document. It is important that you read the policy document carefully.

Who are the insurers?

The insurers of this policy trade as Norwich Union and are:

CGU Underwriting Limited for accident or sickness cover, unemployment and carer cover.
CGNU Life Assurance Limited for life cover

What is credit card payment protection insurance?

This policy will pay a monthly benefit equal to 10% of your outstanding balance on your credit card. The outstanding balance will be the amount you owe on your account on the date you are unable to work due to accident or sickness, or the date you are first aware of unemployment or you know you will have to become a carer. If you die, it will repay your outstanding balance.

To be eligible for this policy you must:

be aged 18 or over and under 64.
be in paid work of at least 16 hours per week and have been so for the last 6 months,
live in the United Kingdom, and
be the first named holder of a credit card account.

If you are self employed or work on a fixed term contract you should read the policy to make sure it is suitable for your needs – you should pay particular attention to the ‘Employment Circumstances’, ‘Unemployment Cover’ and ‘Things to Keep in Mind When Claiming’ sections. If you are in temporary work you are not eligible for this insurance.

What happens if my circumstances change?

Your eligibility for cover under this policy may change if your circumstances change, for example if you retire from work, voluntarily reduce your hours to less than 16 per week or leave the UK to live abroad. If this happens or is likely to happen you should discuss this with cahoot.

What are the benefits and features of Credit Card Payment Protection?

If you are unable to work for more than 30 days in a row :
- We will pay 1/30th of the monthly benefit for each further day you are unable to work. The first payment will be backdated from the 31st full day you were unable to work.
- We will then continue to pay the full monthly benefit at monthly intervals, for each further month you are unable to work for up to 12 months in total.
In any case the maximum monthly benefit amount will be the lower of 10% of your outstanding balance or £1,500 per month.
If you die we will pay the outstanding balance for all your credit card accounts insured by us at the date of your death up to a maximum of £20,000.
If you are self-employed you will be entitled to claim for unemployment if you have involuntarily ceased trading because you could not find enough work to meet all your reasonable business and living expenses and have declared this to the HM Revenue & Customs.
If you receive payment in lieu of notice, your unemployment claim will start when you have registered as unemployed after the date your notice period ends.
You will also receive details of our ‘Back to Work’ service which provides independent confidential advice and guidance to help you return to work

What am I not covered for?

The policy excludes some situations. These generally involve anything you already know about or that is caused by illegal or deliberate acts on your part. You need to check the ‘Life’, ‘Accident or Sickness’, ‘Unemployment’ and ‘Carer’ sections of the policy for full details of what is and is not covered. The main exclusions are shown here:

We will not cover accident or sickness claims which result from:

A medical condition, and /or associated symptoms, whether diagnosed or not:
- which you know about when cover starts or you have seen a doctor about in the 12 months before taking out this policy; and
- which persists or returns during the first 12 months of your policy
Pregnancy or childbirth unless there have been medical complications

We will not cover unemployment claims:

If you know about the unemployment at the start of the policy
You are notified of, or which happens, within the first 56 days of the policy
If you have resigned, retired, taken voluntary redundancy or been dismissed for misconduct
After the end of a fixed-term contract unless you have either been employed by the same firm for at least 2 years or are on a contract of at least 12 months which has been renewed at least once with the same employer.

Note - You need to register for a Job Seeker’s Agreement in order to be able to make an unemployment claim.

We will not cover carer claims:

Unless you are in receipt of (or awaiting) a Carer’s Allowance
If you know that a member of your immediate family would require a carer at the start date of the policy; or
If you apply for a Carer’s Allowance or are notified of receipt of Carer’s Allowance within the first 56 days of the policy

How long does my Credit Card Payment Protection Insurance run for?

Your cover will continue as long as you have a credit card account and you continue to pay your monthly premium on time but it will end when you reach 65 or when your credit card account is closed. The policy is designed to cover the outstanding balance on your credit card so you do not need to review your level of cover. The premium is reviewable and we may change the rate or terms and conditions of the policy by giving you 30 days’ written notice by e-mail, through the cahoot secure website or by post.

What happens if I take out cover and then change my mind?

This insurance is optional and you have the right to cancel your policy during a period of 30 days from the day of purchase of the policy or the day on which you receive your policy whichever is the later. If you cancel within this period you will receive a refund of any premiums paid.

You may cancel this policy at any time after this period by giving 7 days notice to cahoot.

How do I make a claim?

Please call us on 0870 607 0829 between 9.00 and 5.00 Monday to Friday or simply contact cahoot via “account manager” through the secure website for a claim form.

How do I make a complaint?

We hope that you will be very happy with the service that we provide. However, if for any reason you are unhappy with it, we would like to hear from you. In the first instance, please send your complaint via our secure website, or call us on 0844 9000 900 or alternatively write to Service Relationship Team, cahoot, Friars House, Manor House Drive, Coventry CV1 2TE.

We are covered by the Financial Ombudsman Service. If you have complained to us and we have been unable to resolve your complaint, you may then be entitled to refer it to this independent body. Following the complaints procedure does not affect your right to take legal action. Further details of our complaints procedure can be found in your policy.

Would I receive compensation if Norwich Union were unable to meet its liabilities?

We are members of the Financial Services Compensation Scheme (FSCS). You may be entitled to compensation from the scheme if we cannot meet our obligations depending on the type of insurance and circumstances of the claim.

CGU Underwriting Limited is registered in England and Wales
Registered number: 94405
Registered office: St Helen's, 1 Undershaft, London EC3P 3DQ
A member of the Aviva group. Authorised and regulated by the Financial Services Authority

CGNU Life Assurance Limited
Registered number: 226742
Registered office: 2 Rougier Street, York YO90 1UU
A member of the Aviva group. Authorised and regulated by the Financial Services Authority