Tax on general insurance premiums. Current (2003) standard rate is 5 per cent of gross premium but 17.5 per cent (introduced in April 1997) for travel and extended warranties on vehicles and some domestic appliances. Most long-term insurance is tax exempt, as is reinsurance, insurance for commercial ships and aircraft and insurance for commercial goods in international transit. Premiums for risks located outside the UK are also exempt, but they may be liable to similar taxes imposed by other countries.