VATINS1230 - General Introduction and the Law: Law: Block Policyholders
The House
of Lords in Card Protection Plan also found that holders of block insurance
policies are making supplies of insurance transactions when they effect cover
on behalf of their customers even though they are not insurers in the accepted
sense of the word and are not bearing any of the risk.
We accept that when block policy holders effect insurance cover on behalf of
their customers they are making supplies of insurance transactions that are
exempt under item 1. Please see VATINS2300 for more information
on this.
Items 2 and 3 were removed from Group 2 following the CPP Judgment. These items
dealt with the provision of insurance by insurers or re-insurers belonging
outside the United Kingdom and the provision of a form of insurance by the
Exports Credit Guarantee Department, a public body not registered as an
insurance company. These items are no longer required as Item 1 covers all
insurance and reinsurance transactions regardless of where the insurer or
re-insurer is based or whether or not the insurer or re-insurer is authorised.