Beta This part of GOV.UK is being rebuilt – find out what this means

HMRC internal manual

VAT Insurance

From
HM Revenue & Customs
Updated
, see all updates

General Introduction and the Law: Law: Block Policyholders

The ECJ in CPP also found that holders of block insurance policies are making supplies of insurance transactions when they effect cover on behalf of their customers even though they are not insurers in the accepted sense of the word and are not bearing any of the risk.

We therefore accept that when block policy holders effect insurance cover on behalf of their customers they are making supplies of insurance transactions that are exempt under item 1. Please see VATINS2300 for more information on this.

Items 2 and 3 were removed from Group 2 following the CPP Judgment. These items dealt with the provision of insurance by insurers or re-insurers belonging outside the United Kingdom and the provision of a form of insurance by the Exports Credit Guarantee Department, a public body not registered as an insurance company. These items are no longer required as Item 1 covers all insurance and reinsurance transactions regardless of where the insurer or re-insurer is based or whether or not the insurer or re-insurer is authorised.