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Deduction – Income Protection Insurance

You can claim the cost of premiums you pay for insurance against the loss of your income. You must include any payment you receive under such a policy on your tax return.

If the policy provides for benefits of an income and capital nature, only that part of the premium attributable to the income benefit is deductible.

You can’t claim a deduction for a premium or any part of a premium:

  • for a policy that compensates you for such things as physical injury
  • where the policy is taken out through your superannuation

For example, you can’t claim a deduction for:

  • life insurance premiums
  • trauma insurance premiums
  • critical care insurance premiums


Griffin & Associates

79 Denham St, Townsville City QLD 4810

Phone 07 4772 6588

Chartered Accountants