Barclaycard payment protection and income protection policies automatically end

Barclaycard payment protection and income protection policies ended automatically on 30 June 2023, the card issuer said. The closure followed a decision by Barclaycard and Monument, the provider of the insurance, to withdraw the products¹.

Barclaycard said the decision was not taken lightly and that its regulators were aware of the changes¹. It said it could not offer an alternative product, and neither could Monument¹.

For all policy types other than Barclaycard Payment Protection Insurance, cover ran to the end of 30 June 2023¹. Premiums were collected at the end of each month, so the payment made at the end of June paid for cover throughout June, which Barclaycard said meant a claim could be made up to the end of 30 June 2023¹.

New claims are treated differently depending on when the claim event happened. If the event, such as the date of unemployment, an accident or absence from work, occurred before the policy end date, a claim might still be possible. If it happened after the end date, there is no cover because the policy closed on 30 June 2023. Barclaycard said this applies to all policies except Barclaycard PPI¹.

Existing claims are unaffected in how they are handled: Barclaycard said an existing claim will be assessed as normal for the duration of the claim, subject to the maximum claim period, and policyholders still need to meet the conditions and criteria in their policy document¹. Claimants and those with questions about a policy were directed to Monument on 0800 422 0119, with lines open Monday to Friday from 9am to 5pm. Questions about Barclaycard PPI go to Barclaycard on 0800 282 390, open Monday to Friday from 8am to 8pm and Saturday from 9am to 5pm¹.

Why it matters for households

Anyone holding one of these policies lost cover at the end of June 2023 and stopped paying for it after the final June premium. The practical effect is on the timing of claims: a claim event falling after 30 June 2023 is not covered, while an event before that date may still be claimable¹. Households with an existing claim continue to be assessed under the policy terms for as long as the claim runs, up to the maximum claim period¹.

Barclaycard PPI is the exception. Its closure date is not given as 30 June 2023 in the general guidance; customers are told to check the letter they were sent or call Barclaycard to find out when their policy closes¹. That means some Barclaycard PPI policyholders may have a different end date from the rest of the book, and the source does not state what those dates are.

No replacement product is being offered by either Barclaycard or Monument¹. Barclaycard pointed customers wanting alternative income protection cover to the Money Helper Service for independent advice, and said they could also speak to an independent financial adviser¹. The source does not say how many policies are affected or what the total value of the cover withdrawn was; those figures have not been reported.

What happens next

The closure has already taken effect for all policy types other than Barclaycard PPI. For Barclaycard PPI, the end date depends on the individual letter, so the next step for those customers is to check that letter or contact Barclaycard¹. Claims and policy questions are handled by Monument, and existing claims continue to be assessed for the duration of the claim¹.