The Ghana Revenue Authority (GRA) has announced a 15% Value Added Tax (VAT) on non-life insurance premiums, effective July 1, 2025.
The new tax will apply to policies covering areas such as property, health, and travel—but notably, motor insurance will remain exempt.
The policy, which forms part of measures outlined in the 2025 national budget, is expected to widen the country’s tax net and boost revenue for public services.
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For businesses and individuals, this means higher premiums on non-life insurance products. Consumers seeking coverage in sectors like property, health, or travel may now pay more, potentially pushing some to reconsider or reduce coverage levels.
While the move may strengthen government revenue, it could also place an added financial burden on households and SMEs already navigating a high-inflation environment.
Source: Citi Business
