Mark Whitehead 21 November 2017

Tax increases on insurance exposing public sector to ‘higher risk’, insurer warns

Increases in the tax on insurance policies is leaving public sector and voluntary organisations exposed to higher risk, a leading insurer has warned.

Zurich Municipal says one in five organisations have reduced their cover as a result of insurance premium tax being doubled to 12% compared with two years ago while more than 10% have stopped insuring some risks altogether.

In the run up to tomorrow's Budget, the company says the Government should commit to no further increases in IPT in this Parliament and carry out a 'full scale review' of the tax.

It says the tax increase is putting public sector finances under threat because of higher costs from claims.

A survey found that a third (32%) of organisations had increased their excesses – the amount they pay towards the cost of claims – to offset successive rises in IPT.

Zurich Municipal managing director Andrew Jepp said: 'Unsustainable rises in IPT are putting pressure on the budgets of public and voluntary sector organisations.

'This threatens to divert money away from vital frontline services and will hit the poorest and most vulnerable the hardest.'

SIGN UP
For your free daily news bulletin
Highways jobs

Housing Assurance Service Manager

Kirklees Metropolitan Council
£55,675 - £56,649
We’re building a brand-new assurance team in our Homes & Neighbourhoods service Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council

Trainee Public Health Practitioner

Kirklees Metropolitan Council
£24,404 - £24,790
Working within the Kirklees Public Health Improvement team Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council

Climate Change Officer

Kirklees Metropolitan Council
£40,476 - £42,708
Are you a passionate and enthusiastic Climate Change Officer Kirklees, West Yorkshire
Recuriter: Kirklees Metropolitan Council

Transition Home Manager

Durham County Council
Grade 13 £45,718 - £49,764 (Pay Award Pending)
Could you support young people to realise their individual potential and prepare them for their journey towards independence. NOT JUST A PLACE OF WOR Durham
Recuriter: Durham County Council

SEND and Inclusion Senior Specialist Support Worker (Communication and Interaction Team)

Durham County Council
Grade 8 £31,586 - £35,235 (Pay Award Pending)
We are recruiting a SEND & Inclusion Senior Specialist Support Worker to join our Specialist SEND & Inclusion Team. We would be particularly intereste Spennymoor
Recuriter: Durham County Council
Linkedin Banner