In Poland, life insurance is regulated by the Polish Financial Supervision Authority (KNF) and is subject to taxation according to the Polish tax law.
Taxation of life insurance premiums:

In Poland, life insurance premiums are subject to a 2% tax called the civil law transactions tax (PCC). This tax is paid by the policyholder and is calculated based on the value of the premiums paid. However, there are some exceptions to this tax, such as when the insurance policy is concluded between family members or for business purposes.

Taxation of life insurance benefits:

In general, life insurance benefits paid out in Poland are not subject to income tax, unless the policyholder or beneficiary is a resident of another country, in which case the tax treaty between Poland and the other country would apply. However, there are some exceptions to this rule. For example, if the policy was paid for with tax-deductible expenses, such as through an employer’s pension plan, the benefits received may be subject to income tax.

Regulation of life insurance:

Life insurance companies in Poland must be licensed and supervised by the KNF. The KNF sets rules and regulations for life insurance companies, such as solvency requirements, investment limits, and disclosure requirements.

Life insurance policies in Poland must contain certain information, such as the name of the insurer, the premium amount, the policyholder and beneficiary information, the coverage period, and the terms and conditions of the policy. The policy must also include information about the fees and charges associated with the policy.

In addition, life insurance companies in Poland are required to maintain certain reserves to ensure they have the financial resources to pay out claims when necessary.

Overall, the taxation and regulation of life insurance in Poland is designed to ensure that policyholders are protected and that insurance companies operate in a safe and financially sound manner.

The InsuranceFundi Team