ICP

Why it appears as an exclusion

Rate charts print gross rates excluding VAT and ICP, because both are fixed additions the insurer does not want restated in every cell of a grid. The consequence is that the number a broker reads off the chart is never the number the client pays, on any line, on any chart that carries that heading.

The size of the error

On a scheme of forty members, treating the chart figure as final under-quotes by the levy on forty members plus five per cent VAT on the whole lot. It is not a rounding difference; it is a systematic under-quote that survives every check except comparing the total against a real policy schedule.

Reading the heading

The heading above each grid is the only place the exclusions are stated, and it is easy to lose when a chart is photographed, cropped or pasted into a spreadsheet. A rate chart separated from its heading is a grid of numbers whose meaning has been thrown away.