{"id":515,"date":"2024-06-28T00:00:00","date_gmt":"2024-06-28T00:00:00","guid":{"rendered":"https:\/\/exs.suba-agency.com\/deducao-no-irs-ao-associar-um-seguro-descubra-como-fazer\/"},"modified":"2026-06-26T14:27:46","modified_gmt":"2026-06-26T14:27:46","slug":"income-tax-deduction-when-you-purchase-insurance-find-out-how","status":"publish","type":"post","link":"https:\/\/exs.pt\/en\/blog\/income-tax-deduction-when-you-purchase-insurance-find-out-how\/","title":{"rendered":"Tax Deduction When You Take Out Insurance. Find out how!"},"content":{"rendered":"

Did you know that insurance premiums are tax-deductible? Find out which types of insurance can save you money and how it works.<\/p>\n

\"IRS<\/p>\n

Save on Your Income Tax with EXS Insurance? Find Out How<\/h4>\n

The filing period for the 2023 IRS tax return runs from April 1 to June 30, and you\u2019re encouraged to include all expenses that qualify for a tax deduction so that, when all is said and done, you\u2019ll pay as little as possible or even receive a refund.<\/p>\n

However, not all insurance expenses that now appear on the portal are tax-deductible. For example, for certain types of insurance, such as life insurance, there are strict rules regarding who can deduct this expense\u2014though this does not mean you cannot still take advantage of any discounts or tax benefits related to your insurance policies.<\/p>\n

In total, there are five insurance policies that can provide you with income tax deductions, and all of them, without exception, are part of the EXS portfolio.<\/p>\n

\"EXS<\/p>\n

What types of insurance are tax-deductible on the IRS return?<\/strong><\/p>\n

\u2022\u00a0Health Insurance<\/a><\/strong><\/p>\n

According to the IRS Code, and as is the case with other healthcare expenses, 15% of the premiums paid for health insurance can be deducted on your IRS return up to a maximum limit of 1,000 euros. In other words, you cannot deduct more than that, even if you spent more.
\nIn the first few months of the following year, the insurance company will send you a statement listing the expenses incurred; you should then include that amount in Schedule H of your IRS return (or verify that the pre-filled information is correct).<\/p>\n

Learn more here\u2026<\/a><\/p>\n

\u2022\u00a0Life Insurance<\/a><\/strong><\/p>\n

Unlike in the past, it is no longer possible to use life insurance to claim a tax deduction. However, there are three exceptions to this rule:<\/p>\n

a)<\/strong>\u00a0Taxpayers in high-turnover professions: according to the\u00a0Article 27 of the Personal Income Tax Code<\/a>, anyone in this situation may be eligible for a full deduction of the premiums paid for life insurance; however, this applies only when the insurance covers solely the risks of disability, death, or retirement due to old age.
\nIn this case, the deduction limit is set at 2,194.05 euros and includes physically demanding occupations such as miners and fishermen.<\/p>\n

b)<\/strong>\u00a0The taxpayer has a disability with a degree of impairment equal to or greater than 60%.
\nThose who meet this requirement are eligible for a deduction of 25% from premiums for death or disability coverage, according to the\u00a0Article 87 of the Personal Income Tax Code<\/a>. However, the deduction may not exceed 15% of the total tax amount;<\/p>\n

c)<\/strong>\u00a0The taxpayer has an insurance policy that contributes to their retirement
\nIn these cases, since retirement savings plans (PPR) are included, you can claim a deduction for insurance premiums paid on your income tax return, which will include 20% of the premiums. The deduction limit varies depending on your age\u00a0(Article 21 of the Personal Income Tax Code)<\/a>:<\/p>\n