People across the UK are now paying more for their insurance.
Brought into effect from the 1st of November, as a result of measures announced in the emergency budget, people found themselves paying an increase in tax on top of their insurance premiums. The rate of insurance tax has risen from 6% to 9.5% on car, home, pet and buildings insurance. Any policy taken out after November 1st this year will be subject to the higher rate of tax.
Location, Location, Location
As this increase is a percentage increase, depending on whereabouts in the UK you live, you could end up paying much more (or much less) than the national average. For instance, the average increase in car tax will be £13, however in central London and parts of the North West this average rises to £31.49. On the other hand, in some parts of the UK, the average increase is just £9.96. You can check how much more you are likely to pay for your car insurance using the interactive UK map on the Telegraph website.
Are you Affected?
The Association of British Insurers (ABI) claim that as much as “7.3 million car policies, 4.7 million household policies, 3 million pet policies and 3 million private medical insurance policies” are affected by these changes. If you would like more information on insurance tax increases or would like a quote, please get in touch.
