INSURANCE PREMIUM TAX INCREASE

In the new coalition government's Emergency Budget of June 2010 the chancellor announced that the rate of Insurance Premium Tax, will increase with effect from 4th January 2011.  The basic rate of Insurance Premium Tax (IPT) will increase from 5% to 6%, whilst the higher rate (charged on Travel Insurance polices) will increase from 17.5% to 20%.

ESCAPE OF WATER EXCESSES

In 2008 insurers paid out over £90million in settling claims involving damage due to an escape of water.  Many insurers are now imposing a standard £250 excess in respect of claims for damage as a result of Escape of Water, with AXA Insurance UK plc and Ageas Insurance Limited (formerly Fortis Insurance Limited) and now Zurich Insurance plc.  More details.

ARE MY BUILDINGS CORRECTLY INSURED?

One of the most common questions asked of us is "How much should I insure my home for?"  You should insure for the rebuilding cost of your property, not the market value.  Whilst there is no substitute for having a survey carried out, advice can be found here.