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Can You Claim GST on Business Insurance?

 When you're running a business, every dollar counts—especially when it comes to taxes. One of the common questions we receive at Auswide Insurance Brokers in Seven Hills is:

"Can I claim GST on my business insurance premiums?"

The short answer is: Yes, in most cases, you can claim GST on business insurance premiums—but there are a few important details to consider.



Understanding GST on Business Insurance

In Australia, most business-related goods and services are subject to Goods and Services Tax (GST), and business insurance is no exception. When you purchase an insurance policy for your business—such as public liability, professional indemnity, commercial property, or vehicle insurance—the premium often includes GST.

If your business is registered for GST, you're generally entitled to claim a GST credit (input tax credit) for the GST included in the premium. This credit can then be used to offset the amount of GST you owe to the ATO in your Business Activity Statement (BAS).

What Kind of Insurance is GST-Claimable?

Here are a few examples of business insurance types where you can usually claim GST:

  • Public Liability Insurance

  • Professional Indemnity Insurance

  • Business Interruption Insurance

  • Commercial Vehicle Insurance

  • Property and Contents Insurance

  • Cyber Insurance

The key condition is that the insurance must be used solely or primarily for business purposes.

Important Considerations

  • Private Use Adjustments: If the insurance policy also covers personal use (e.g., a vehicle used for both business and personal use), you'll need to apportion the GST credit accordingly. You can only claim the business-use portion.

  • Insurance Payouts: If you receive an insurance payout, GST may be applicable to the amount received, especially if the payout is related to a claim on a GST-creditable asset. This can affect your GST reporting, so it’s best to speak with your accountant.

  • Non-GST Registered Businesses: If your business is not registered for GST, you cannot claim input tax credits—even if the insurance premium includes GST.

How to Claim the GST Credit

To claim the GST on your business insurance:

  1. Ensure your business is registered for GST.

  2. Check your tax invoice – it should clearly show the GST amount included in the premium.

  3. Include the GST credit in your BAS under the appropriate section.



Speak to a Professional

Insurance and tax can both be complex, and the right answer often depends on your specific situation. At Auswide Insurance Brokers, we help Seven Hills businesses navigate their insurance needs with expert advice and tailored coverage options.


While we can help you choose the right insurance policies to protect your business, we always recommend speaking to your accountant or tax adviser to ensure you’re claiming GST credits correctly.

Need help with your business insurance?


 Contact the team at Auswide Insurance Brokers in Seven Hills today. We’ll help you find the right cover—and ensure your business stays protected, compliant, and financially efficient.

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