What you need to know about the higher rate of insurance premium tax

It is the Belgian government’s intention to increase the premium tax on certain types of insurance. This legal change will also have consequences for a large number of insurance products at KBC Brussels.

The government has indicated that the premium tax will go up from 9.25% to 9.60% on 1 April 2026. The new rate will apply to all insurance products that are currently subject to a premium tax of 9.25%.

The new tax will apply to all annual or periodic premiums (or premium supplements) that become due on or after 1 April 2026. The increase will be charged automatically, so you don't have to do anything yourself.

The increase applies to various products, including:

• different types of non-life insurance (such as car, home, accident and third-party liability insurance)
• hospitalisation insurance (individual and group)
• work disability insurance (taken out individually or in the form of business manager insurance)
• supplementary ‘work disability’ and ‘premium waiver’ forms of cover in individual pension schemes
• group insurance contracts subject to premium tax
  

The increase does not apply to insurance products that are subject to a different premium tax, such as life insurance, savings-linked and investment-type insurance products and compulsory industrial accident insurance (Act of 1971).

The increase in the premium tax is a legal requirement and not something decided by KBC Brussels.