VATINS7105 - Insurance with other goods and services: Single and Multiple Supplies: General
When you come across insurance being sold with something else, the VAT treatment of the insurance and what it is being sold with will depend upon which of the following applies:
single supply - the insurance and what it is sold with are components of one supply, with one overall VAT liability; or
multiple supplies - the insurance and what it is sold with are separate supplies, each with its own VAT liability.