Get PPI much cheaper

An increasing number of companies are beginning to sell standalone PPI policies, which can be used to protect any loans you've taken out much more cheaply than lenders' own insurance.

If you're going to do this, make sure you're not double covered. Uncheck the payment protection box on your loan form, and then go direct to one of these online insurers.

Getting the right cover

There are a few variations on the theme with PPI providers, and two basic choices you need to make when choosing which one is right for you.

• Type of Cover. You can cover yourself against accidents and/or sickness and/or unemployment and/or terminal illness and/or death. The more of these you want covered, the more expensive the policy is.
  
  
• Excess Period. Policies normally start paying out 30 or 60 days after the problem occurs, yet many of the best value are now ‘back to day one' which means they backdate the benefit so you'll be paid for the earlier period too.