E1.1323 Industrial assurance policies
Life assurance premium relief is abolished in respect of all policies with effect from, broadly, 6 April 2015 (see E1.1300).
An industrial assurance policy is a policy issued in the course of an industrial assurance business as was defined in the Industrial Assurance Act 1923 s 1(2). On 1 December 2001, industrial assurance business and ordinary life insurance business ceased to be treated as different categories of business1 and the Industrial Assurance Acts were repealed2. The separate identity of existing industrial assurance business is, however, retained for certain limited tax purposes, continuity being achieved by referring to it as business which was industrial assurance business before the appointed day3. Some of the rules peculiar to this class of business will continue to be applied to certain business written after the appointed day, and variations in the terms of an industrial business policy as a result of a change in the way the insurer carries on the business may be disregarded (see below).
Even if it does not otherwise qualify4 an industrial assurance policy will still qualify if5:
(a) the total sums guaranteed to a person by such policies (if not otherwise qualifying) do not exceed £1,000; and
(b) it satisfies the conditions as to premiums for whole life policies in ICTA 1988, Sch 15, para 1(2)6; and
(c) except on death or surrender, no capital sum is payable within ten years, unless the sum is within (d) below;
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