We have had conflicting views on this. Most, but not all, IP's will allow you to retain monies paid for pain and suffering, as it is treated in bankruptcy. If the money has been offered to replace something, then that something will have to be replaced.
What is this payout for ?
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
We have had conflicting views on this. Most, but not all, IP's will allow you to retain monies paid for pain and suffering, as it is treated in bankruptcy. If the money has been offered to replace something, then that something will have to be replaced.
What is this payout for ?
It is income protection I've been off work ill
If it is income protection then you just need to do a new I&E. If this has just replaced your wages and you have maintained the IVA payments I see no issue at. Speak to your own IP but I think the bigger problem is when it runs out if you have not gone back to work.
font size="1" face="Verdana, Arial, Helvetica">quote:<hr height="1" noshade>Originally posted by Michael Peoples
If it is income protection then you just need to do a new I&E. If this has just replaced your wages and you have maintained the IVA payments I see no issue at. Speak to your own IP but I think the bigger problem is when it runs out if you have not gone back to work.
Currently still on full pay so does half of my income protection have to paid into iva
That does confuse the issue as normally income protection only pays out when you actually suffer a drop. I would think 50% is a reasonable compromise but you need to check with your own IP. This will of course change if you remain off work long term and you stop receiving full pay.
It's a back to day 1 policy I have, it wasn't allowed as an expenditure but I was told I could keep it if I wanted to, as I work in an industry which isn't greatly secure I was too scared to cancel it. I'm hoping to return to work next week was just wondering how I stood with the payment and whether I had to hand over 50%
If you paid it from your own funds and no allowance was granted for it you have an arguable case that it is excluded and nothing should be paid over. You should inform the IP and provide a copy of the policy. If necessary the IP can seek legal advice.
