Dáil Éireann Debate, Tuesday - 19 May 2015
139. Deputy Michael McGrath asked the Minister for Finance the circumstances in which customers who were mis-sold payment protection insurance on their credit card can claim compensation, even if the product was purchased more than six years ago; the role the Central Bank of Ireland will play in this; and if he will make a statement on the matter. [19680/15]
View answerI have been advised by the Central Bank that at their request a voluntary redress scheme has been put in place in relation to card protection insurance provided by Homecare Insurance ltd (HIL) and purchased through a number of credit card providers.
Customers who purchased or renewed a card protection policy, on or after 1 August 2006, provided by Homecare Insurance Ltd (HIL) and purchased through credit card providers, Bank of Ireland, MBNA Limited or Ulster Bank Ireland Limited may claim redress. The Central Bank intervened in this issue as information provided to customers, at point of sale, advertised some card protection benefits which were not needed i.e. liability for unauthorised use if a card was lost/stolen was covered by the card scheme and therefore, customers did not need additional insurance for this.
The scheme commenced on 30 March 2015. The credit card providers have been contacting impacted customers who should have received an explanatory letter and a claim form at this stage. Policyholders are required to sign and return the claim form to be considered for a refund of premiums paid since 1 August 2006 less any amounts paid to customer in respect of a previous claim. The policyholder is not required to demonstrate or articulate why they feel the policy was mis-sold to them but rather to sign and return the claim form.
