What is Insurance Premium Tax?
The UK government imposes insurance premium tax (IPT) on insurance premiums.
There are two different IPT rates:
- a standard rate applies to most of our insurance products, and also medical insurance
- a higher rate applies to:
- travel insurance
- insurance of electrical or mechanical appliances
- certain categories of vehicle insurance
No IPT applies to most long-term life and health insurance.
For further information on IPT visit the gov.uk website.