HMRC has updated its guidance to reflect the definition of insurance, confirmed by the CJEU in United Biscuits (Pension Trustees) Ltd and another v HMRC [2020] STC 2169. That decision upheld the definition given by the CJEU in Card Protection Plan Ltd v HMRC [1999] STC 270 which concluded that: ‘…the essentials of an insurance transaction are… that the insurer undertakes, in return for prior payment of a premium, to provide the insured, in the event of materialisation of the risk covered, with the service agreed when the contract was concluded.’
HMRC has updated its guidance to reflect the definition of insurance, confirmed by the CJEU in United Biscuits (Pension Trustees) Ltd and another v HMRC [2020] STC 2169. That decision upheld the definition given by the CJEU in Card Protection Plan Ltd v HMRC [1999] STC 270 which concluded that: ‘…the essentials of an insurance transaction are… that the insurer undertakes, in return for prior payment of a premium, to provide the insured, in the event of materialisation of the risk covered, with the service agreed when the contract was concluded.’
