Pension questions?
- Get in touch. Our help is impartial and free to use, whether that’s online or over the phone.

What to do when your coronavirus insurance payment holiday has ended

If you’ve taken out an insurance payment holiday because of the coronavirus outbreak and its now coming to an end, it’s important to understand what happens once the payment holiday is over and what options are available to you if you’re still struggling to make payments.

What happens when your payment holiday is over

Once your holiday is over, your payments will start again automatically. This means it’s important you know what date these payments will start again.

Any missed payments will be added to your outstanding balance, which means your monthly payments will be higher. So, it’s important you budget for this.

If you’re still going to struggle to make your insurance payments after the holiday, get in touch with your insurance provider as soon as possible.

arrow icon

If you’re still experiencing financial difficulties because of the coronavirus outbreak, you might still be able to apply for a payment holiday, also known as a payment deferral, under certain conditions.

If you’ve already agreed a payment holiday of less than six months, this can be extended up to a maximum of six months.

If you’ve already agreed a payment holiday of six months, you'll not be able to get another extension. If you’re still struggling to pay after your payment holiday, you should contact your provider as soon as possible. There will still be options available even if you can’t take out another payment holiday.

The Financial Services Authority (FCA) is still discussing the details with lenders, so you should not contact your lender yet. This page will be updated as soon as there is more information.

What options might your provider consider

Moving you to a cheaper policy

If your insurance needs have changed, your insurer might be able to move you to a cheaper policy.

Your insurer might choose to waive fees for switching policy. But the total cost of your new policy, including interest and fees, cannot be more than your existing policy.

Spreading payments out over a longer period

By extending the length of time you must pay for your insurance policy, your monthly repayments will be reduced.

For example, if you took out a three-month payment holiday, your insurer might offer to extend your payment term by three months. This might keep your monthly repayments the same as they were before, but you would be paying it off over a longer period.

Rescheduling the payment date

If it will benefit you, your lender can change your payment due date. For example, to just after you get paid.

Waiving fees for missed payments

If you’ve missed a payment after your payment holiday ended, your insurer might waive and fees for missed payments.

arrow icon

If your financial situation gets worse

Contact your insurance provider as soon as possible to discuss your options.

Make an emergency budget

If you’re worried about cashflow, have a look at what you’re spending and what income you have coming in.

arrow icon

Look at how to cut your household bills, such as switching providers for your gas, electricity or mobile phone contracts.

arrow icon

Next steps if you have missed a payment

If you have missed a payment contact your lender to explain your situation. You should avoid taking out more credit unless you know you can afford to pay it back.

arrow icon

When to get debt advice

arrow icon

If you’ve already missed payments and are not able to come to an agreement with your lender, it’s best to get advice as soon you can, especially if you’ve got other debts as well.

arrow icon
Was this information useful?
Thank you for your feedback.
We’re always trying to improve our website and services, and your feedback helps us understand how we’re doing.
Looking for us? Now, we’re MoneyHelper

MoneyHelper is the new, easy way to get clear, free,
impartial help for all your money and pension choices.
Whatever your circumstances or plans, move forward with MoneyHelper.

Continue to website
Looking for us? Now, we’re MoneyHelper

MoneyHelper is the new, easy way to get clear, free,
impartial help for all your money and pension choices.
Whatever your circumstances or plans, move forward with MoneyHelper.

Continue to website
Looking for us? Now, we’re MoneyHelper

MoneyHelper is the new, easy way to get clear, free,
impartial help for all your money and pension choices.
Whatever your circumstances or plans, move forward with MoneyHelper.

Continue to website
Talk to us live for…
Talk to us live for…
Talk to us live for pensions guidance using…
Talk to us live for money guidance using…
Hours
  • Mon – Fri:9.00am – 5.00pm
  • Sat, Sun and bank holidays:Closed

* Calls are free. We’re committed to providing you with a quality service, so calls may be recorded or monitored for training purposes and to help us develop our services.

Talk to us live for money guidance using the telephone
Hours
  • Mon – Fri:8.00am – 6.00pm
  • Sat, Sun and bank holidays:Closed

* Calls are free. We’re committed to providing you with a quality service, so calls may be recorded or monitored for training purposes and to help us develop our services.

Talk to us live for pensions guidance using web chat
Hours
  • Mon – Fri:9.00am – 6.00pm
  • Sat, Sun and bank holidays:Closed
Talk to us live for money guidance using webchat
Hours
  • Mon – Fri:8.00am – 6.00pm
  • Sat:8.00am – 3.00pm
  • Sun and bank holidays:Closed
Talk to us for pensions guidance using our web form

We aim to respond within 5 working days

Talk to us for money guidance using our web form

We aim to respond within 2 working days

Talk to us live for money guidance using WhatsApp

Download app: WhatsApp

For help sorting out your debts or credit questions. For everything else please contact us via Webchat or telephone.