Your premium is made up of the following:
Insurer premium inclusive of Insurance Premium Tax at 12% (IPT)
We pay this to the insurer for the cost of your cover. We do not earn a commission from the insurer for placing your policy. IPT is a tax on general insurance premiums in the UK. The amount charged is set by the UK Government, currently payable at 12%.
Administration fee (admin fee)
This is payable to Covertime for arranging and administering your insurance cover. The admin fee is based on the costs that we incur in arranging and administering your insurance policy. This includes but is not limited to: payment processing fees, marketing costs, completing required ID checks including a driving licence check, vehicle registration and post code validations plus any other ID validation such as passport checks.
These amounts will always be presented to you on the Payment page. We routinely review the cost of our products and the services we offer to ensure we are consistently providing fair value.