Concern is rising that the Government will increase the Insurance Premium Tax, levied on most insurance cover including home and car insurance, in the emergency Budget, causing insurance costs to rise.
Currently IPT is charged at 5% on all car and home insurance (contents and buildings) policies.
It’s charged at 17.5% on all travel insurance policies too but there is no IPT charged on Life Insurance policies.
But as the Government tries to reduce the financial debt of the country, IPT on such as car and home insurance could be doubled to 10% or rise even further.
According to the AA’s British Insurance Premium Index, the average cost of car insurance is currently just under £583 with an extra £29 added for IPT. If the tax rose by 10%, it would add almost £60 to the average policy cost.
The worry is that insurance premiums are predicted to rise significantly over the next year anyway. Increasing IPT might be the ‘straw that breaks the camels back’ and means many families simply decide they cannot afford to buy insurance cover.
Of course you need to buy car insurance at it is a legal requirement. To help, through its partnership with Baxters, MoneyHighStreet.com can now offer readers a great saving on your car insurance.
Save 15%* off your current insurers car insurers car insurance premium.
And you will get FREE Legal Expenses and FREE Foreign use as well.
To get a car insurance quote or get more information, simply
Call Baxters Streetwise on 0845 4023 298 – Quote MNYS to get the 15% saving.
Call any time between 8am to 8pm Monday to Friday and 9am to 4pm Saturdays and don’t forget to have your renewal notice to hand.
What does this 15% saving on your car insurance mean?
Quite simply it means you know how much you can save on your car insurance as soon as your car insurance renewal notice is received from your current insurer.
For example, if your renewal premium is £300, your car insurance quote from Baxters using the MoneyHighStreet 15% saving, will be £255.
* Subject to certain eligibility criteria. Terms, conditions, exclusions & minimum premiums apply.
Media Netrix Limited is an Introducer Appointed Representative of W B Baxter Ltd, an insurance intermediary authorised and regulated by the Financial Services Authority (FSA).