The Ghana Revenue Authority (GRA) has announced that a 15% Value Added Tax (VAT) will be applied to non-life insurance premiums, effective July 1, 2025.
In a notice posted on its official social media platforms, the GRA stated that the new tax will apply to insurance policies covering property, health, and travel.
Motor insurance, however, remains exempt from the new VAT policy.
According to the Authority, the measure forms part of efforts to broaden the tax base and enhance domestic revenue mobilisation in line with targets set in the 2025 National Budget.
What This Means for Policyholders
With the introduction of the 15% VAT, individuals and businesses purchasing non-life insurance policies will now pay 15% more on their premiums. This translates to an additional cost for those seeking financial protection against losses or damages under such policies.
The policy is expected to have a direct impact on the cost of doing business, particularly for firms that rely heavily on non-life insurance for risk management.
The GRA has urged the public to take note of the new policy and adjust their financial planning accordingly.
