My partner has been ill for several months and is about to enter the employment and support allowance system, which includes a limited ability to work element. The loan company concerned has said that the loan protection may not be valid as they have strict criteria on the term 'unfit to work'. They have also said that limited capability to work means that you can work to some degree and as such the loan may not be paid. They have also said that the loan insurance was geared to the original incapacity benefit and therefore may not be effective under the new esa system. Can anyone help to clarify this situation? as it is an extremely worrying development
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