Member

Amendment 130 seeks to clarify that in this clause, the term “premium” includes “insurance premium taxes.” I understand the noble Earl’s concern about this, but the amendment is unnecessary, as, first, “premium”—and he knows far more about the insurance industry than I do—is widely understood within the insurance industry and related contractual contexts to encompass all statutory charges, including insurance premium taxes. The existing wording already provides sufficient clarity for insurers and stakeholders, without the need for further elaboration. Secondly, inserting this clarification may introduce unnecessary complexity. It risks creating potential ambiguities in the calculation and application of premiums, thereby complicating administration without delivering any substantive benefit. For these reasons, I ask the noble Earl not to press that amendment.