Quote on the GST development on insurance by Mr. Narendra Bharindwal, President, Insurance Brokers Association of India (IBAI)
Below the Quote on the GST development on insurance by Mr. Narendra Bharindwal, President, Insurance Brokers Association of India (IBAI)
As promised by Hon’ble Prime Minister Shri Narendra Modi ji in his Independence Day address, the Government of India has delivered the landmark GST 2.0 reforms, making goods and services more affordable for the common man. Among the most transformative measures are those directed at the insurance sector, which will have a far-reaching impact on financial security and social protection. The exemption of GST on all individual life insurance policies, whether term life, ULIPs, or endowment and on individual health insurance policies, including family floater and senior citizen plans, marks a historic step towards universal insurance inclusion. This will:
* Make insurance more affordable for households across all segments.
* Ensure greater penetration of life and health insurance, supporting India’s vision of “Insurance for All by 2047.”
* Provide significant relief to senior citizens, for whom health insurance is a critical necessity in the later stages of life.
* This reform not only reduces the cost burden on policyholders but also strengthens trust in insurance as a reliable safety net for families and individuals. The exemption on reinsurance thereof further ensures sustainability and stability in the ecosystem.
We extend our heartfelt congratulations to the Hon’ble Prime Minister, Hon’ble Finance Minister, and the Government of India for ushering in this citizen-centric GST 2.0 reform, which will play a pivotal role in deepening insurance penetration and building a more secure future for every Indian.
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