PPI Countdown Begins and Claims Software Is Giving Firms a Boost
No more “PPI’ll be back”, the FCA hopes, as firms using claims software aim to deal with as many cases as possible.
In its drive to bring the massive payment protection insurance (PPI) scandal to an end, the UK has reached out to Hollywood to try and goad Britons into action. Terminator star Arnold Schwarzenegger is the face of a newly launched ad campaign, in animatronic form at least, as the clock starts ticking on a two-year deadline to claim mis-sold PPI.
The £42 million campaign, paid for by over a dozen banks and other financial institutions responsible for mis-selling PPI, is expected to trigger a wave of claims. Many of these will be handled by claims management companies, so those using specialist claims software like ours here at Logican will be expecting to deal with more cases than ever.
Schwarzenegger, one of Hollywood’s last big-action names and a former governor of California, is seen in a 60-second TV advert roaring at procrastinating viewers to “come on” and make a claim for mis-sold PPI, declaring “bye-byes to the PPI”. The Financial Conduct Authority (FCA) watchdog, which ordered the ad campaign, is aiming for maximum publicity and as many PPI claims as possible. Then, two years from now, it can justifiably say that everyone was given fair warning and ample time to make a claim.
Total PPI Recall
Payments for mis-sold PPI began in January 2011. Since then, a total of £27.7 billion has been handed over by banks, building societies, credit card firms and vehicle finance companies that sold PPI to a largely unsuspecting public. In June this year, the month for which the most recent figures are available, £262.5 million was paid out in PPI refunds and compensation — slightly higher than the £262.2 million in June 2016.
To prevent the PPI claims process from rolling on forever, as people keep putting off making a claim, the FCA imposed a deadline of August 2019 earlier this year. It also instructed leading advertising agencies to devise a large-scale ad campaign to remind people to claim if they can. Claims firms have already enjoyed around £5 billion in fees from handling PPI cases, and the big ones are hoping that, with the help of claims software, the new blockbuster deadline ad will bring them another windfall.
“Our campaign aims to cut through the noise on PPI. We want to encourage people to decide whether to find out if they had PPI and whether to complain or not. Our message, and Arnie’s, is ‘do it now’ and I urge people to make a decision before the deadline on 29 August 2019,” said FCA chief executive Andrew Bailey in launching the new ad.
Claims Software: ‘Hasta la Vista, PPI’
With 64 million PPI policies sold and only 12 million people having so far claimed for mis-sold PPI, there is a lot of business still to be had for claims firms handling this type of claim. Doing it all manually is not an option for those who want to win more business and become more profitable. This is where claims software such as our LogiClaim program comes in.
It has become an indispensable tool for claims firms that want to take on more business and become more profitable, which is essentially the goal of every claims management company. LogiClaim effortlessly handles high volumes of PPI claims and it can also be used for other types of claims, including mortgage mis-selling, packaged bank accounts and flight delays.
In just under two years from now, the entire PPI scandal may finally be at an end — and those companies using claims software to deal with PPI claims might well find themselves better off than ever.
If you are running a claims management company and would like to know how claims software can help you easily handle higher caseloads, get in touch with Logican today. A free, no-obligation demo of how Logican’s claims management software works is available now.