Insurance Premium Tax (IPT) is a government imposed tax and is levied on most insurance policies in England, Scotland, Wales and Northern Ireland. IPT was first introduced in 1994 and was set at 2.5%, it rose in 5% in 1999 and then again to 6% in 2011. It is now set to increase to 9.5% from 1st November 2015.
The level of IPT can vary depending on the type of insurance, but all policies that currently incur the 6% rate of tax will be subject to the increase to the new 9.5% rate from 1st November 2015.
The increase is applied in different ways, depending on the specific circumstances of your policy. If you have a landlord property insurance policy with Click4quote.com and have any queries about your own individual circumstances, please contact us on 01206 655 899.