Am I liable for tax on all of the premium?

My company healthcare policy includes travel and medical cover for business; I travel extensively and am out of the country for approx. 4 months of the year. Surely I should not be paying tax on the whole premium, as a percentage is the company’s liability and should not be classed as a ‘benefit’.

Question asked by Alison Walker
Compare Top 10 UK
 Health
Insurers
 
Takes approx. 60 seconds
Level of Cover
Excess
Date of Birth

Answered by Tom Conner

Hi Alison,

Thanks for your question. Unfortunately we are not tax advisers and cannot therefore provide any advice on this. It’s worth asking you accountant who should be able to help further.

The one point I would make is that company paid medical and travel insurance policies usually form a P11D benefit (i.e. a benefit in kind) because the company is paying for this benefit on your behalf rather than you paying for it from your after tax income.

If the premium wasn’t added to your income for tax purposes and you needed to claim it is possible that the HMRC would ask for tax to be paid on the claim amount, which could be huge!

Sorry we are not able to be of more help.

tax
 
private health insurance
 
employee benefit
 
This information does not constitute financial or other professional advice. You should consult your professional adviser or contact us directly on 02084327333 should you require financial advice. It is important to ensure any insurance policy you take out is suitable for your needs.
Compare Top 10 UK Insurers
  Takes approx. 60 seconds
 - 
Need help? 
Call us on 

Frequently Asked Private Medical Insurance Questions

 
My private medical insurance policy has come up for renewal and my premiums have increased. Am I able...
 
I am considering a private medical insurance policy and do not fully understand the different between...
 
I am considering taking out a health insurance policy and wanted to know whether the premiums would...
 
I am considering taking out a health insurance policy and wanted to know whether it would cover emergencies...
Need Help? Live chat now and get an instant answer from our Experts...

Neil
Pensions

Victoria
Insurance
Our Latest Reviews
Kevin Paul
05/09/2017

Excellent service renewing our medical insurance, professional advice, good rates found and excellent professional after service, highly recommended.

Max Edgar
09/09/2017

Nadeem was brilliant. He was very patient and worked very well with me to come up with the best solution possible for my budget. Perfect solution. Thank you very much.

Aidan Smyth
11/09/2017

Dealt with me promptly and provided me with the most cost-effective option consistent with my requirements. Very pleased and thank you.

We are rated 4.9/5 based on 1129 independent client reviews.
To read more of our independent client reviews click here →
REVIEWS
EXCELLENT
4.93 / 5 Average
1,222 Reviews
A
Overall Rating
Really, really helpful! Stopped me from signing up with an unhelpful company, and did basically all of the legwork for me in signing up with the right one. I can't have been the most helpful client as I'm 19 and only just started looking into it last week, but he took all the questions in stride! Put up with me turning to ask my dad questions every 2 minutes as well. I was helped by 2 workers; Sam and Nick. Thank you very much to both!
L Finch
Overall Rating
Good communication and follow ups. Friendly. A thorough research for my insurance needs.
M
Overall Rating

Sam Barr-Worsfold was very helpful and provided excellent customer service. Sam discovered I was paying too much premium for my current cover. Sam recommended and helped moved to a new cover with lower premium that provided the level of cover (terms required stated in the provider's policy) I wanted. I recommend highly recommend Sam and Drewberry Insurance. Thank you Sam.
Anonymous
Overall Rating
Thorough, knowledgeable and great communication
Anonymous
Overall Rating
Went through each policy in detail and made sure I was getting the correct one for me