In this year's Summer Budget, Chancellor George Osborne announced that Insurance Premium Tax (IPT) would increase from 6% to 9.5%, for all insurance premiums paid from November 1st 2015. IPT is a tax that is applicable to all insurance products.
This means that the insurance elements of our products will be affected. However the inspection element and Building Control prices, remain unchanged. How the change will affect your C-R-L quote The new standard IPT rate of 9.5% will be due on insurance premiums paid on or after 1 November 2015. There are a few different scenarios to consider:
- If we issued a quote before 1 October 2015, it will be valid for 30 days and subject to IPT at the rate of 6%.
- If we issue a quote on or after 1 November 2015, it will be valid for 30 days and subject to IPT at the rate of 9.5%.
- If we issue a quote during October, it will be valid for 30 days and subject to IPT