Brokerfish

Understanding Value-Added Tax (VAT) in IPMI

What is VAT in International Private Medical Insurance?

Value-Added Tax (VAT) is a tax imposed on the value added to goods and services during production and distribution. In the context of IPMI, VAT refers to the tax imposed on the insurance premium, which is the cost of the insurance policy. The VAT rate may vary depending on the country or region where the policyholder resides. The policyholder is responsible for paying the VAT along with the insurance premium to ensure that they have the coverage they need. The purpose of VAT is to raise revenue for the government and to ensure that businesses are operating fairly and competitively. Understanding the impact of VAT on IPMI is important for policyholders as it can affect the overall cost of their insurance coverage.