Commentary

D7.417 Protection business

Corporate tax
Corporate tax | Commentary

D7.417 Protection business

Corporate tax | Commentary

D7.417 Protection business

Protection business is the carrying out or effecting contracts of long-term insurance made on or after 1 January 2013 under which the benefits paid cannot exceed the premiums paid except on death or incapacity due to injury, sickness or other infirmity1.

In calculating the potential benefits paid to the policyholder the following items are to be ignored:

  1.  

    (a)     any inducement, except money, provided to the policyholder for entering into the contract (such business is often advertised with no obligation promises of small gifts such as free pens or radios etc) and which is not repayable

  2.  

    (b)     any

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