Starting July 1, 2025, the Ghana Revenue Authority (GRA) will begin enforcing a 15 percent Value Added Tax (VAT) on all non-life insurance premiums.
The tax will affect insurance policies related to property, health, and travel. However, motor insurance has been excluded from the policy.
This development is part of the government’s broader strategy to expand the national tax base, as outlined in the 2025 budget, and is aimed at increasing revenue to support public sector spending.
The new charge means individuals and businesses will see a rise in the cost of non-life insurance products. Those insuring assets, securing health policies, or planning travel coverage may face higher premiums, which could prompt some policyholders to scale back or reconsider their coverage.
While the government anticipates increased revenue from the tax, there are concerns that the move could intensify financial pressure on households and small businesses already contending with elevated living costs.
