Austria abolishes motor-related insurance surcharge (motorbezogene Versicherungssteuer) from 18 March 2025
The motor-related insurance tax (§6 of the Insurance Tax Act 1953 – VersStG 1953), a monthly surcharge on car liability insurance based on engine power and CO₂ emissions, has been repealed. All vehicle owners with Austrian-registered cars, motorcycles, and light vehicles holding mandatory liability insurance are affected, effective 18 March 2025.
What changed
§6 of the Austrian Insurance Tax Act 1953 (Versicherungssteuergesetz 1953) – the motor-related insurance tax (motorbezogene Versicherungssteuer) – has been entirely deleted. This monthly surcharge on top of the standard insurance tax applied to every mandatory car liability insurance policy for Austrian-registered vehicles, with amounts varying by vehicle class, engine type, power (kW), displacement (cc), and CO₂ emissions (g/km). The Insurance Tax Act 1953 as a whole was formally repealed as of 18 March 2025.
Who is affected
All vehicle owners in Austria holding mandatory third-party liability insurance for vehicles registered in Austria: passenger cars (class M1 up to 3.5 t), motorcycles and mopeds (classes L1e–L5e), motorhomes, and other light vehicles up to 3.5 tonnes gross weight.
What to look out for
Insurers must no longer collect the motor-related surcharge from policyholders. Check your insurance policy and premium invoices issued after 18 March 2025 to confirm this line item has been removed. If the surcharge was still charged after that date, you are entitled to a correction from your insurer.