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    Building Sum Insured and VAT

    Advisory Notice #6:

    Following our previous advisory notice on this topic we have decided to look again at this issue and provide even more assistance for clients and interested parties. It's more important than ever, now that VAT is at an all-time high, to ensure that your building sum insured is correct, helping you avoid potential underinsurance issues.

    The position can be a complex one, but we have attempted in this document to provide some simple guidance, which we hope will enable the vast majority of clients with property interests to not only understand but actually address the VAT question without too much difficulty.

    We cover the following ground:

    • The background to this issues
    • How to determine the application of VAT
    • The VAT status of those parties to the insurance contract
    • Guidance from a leading claims manager
    • Where you can get further information on this issue

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