Budget 2022 expectations: In a bid to make health insurance more affordable, industry insiders have demanded from the Union Finance Minister Nirmala Sitharaman to reduce Goods and Services Tax (GST) from existing 18 per cent to 5 per cent. They said that the move will encourage people to buy health insurance. While sharing their wish list ahead of Union Budget 2022 date i.e. 1st February 2022, they forwarded their demand from the Narendra Modi government, which they want to be met in upcoming budget on Tuesday.
Asking Narendra Modi government to make health insurance more affordable; Abhishek Mishra, CEO & Principal Officer at Bonanza Insurance Brokers said, "Medical science has advanced significantly over the last few years. However, it has also increased the cost of treatments. In the upcoming budget, the government should consider reducing GST on health insurance premiums from 18 per cent to 5 per cent to make health insurance more affordable."
Echoing with Abhishek Mishra's views; Rakesh Goyal, Director at Probus Insurance said, "In the last 20 months we have seen how a pandemic has created havoc. Last year during the secins wave there was large number of people who were hospitalized and medical bills saw huge increase. So, Finance Minister Nirmala Sitharaman should consider reduction in GST for health insurance from 18 per cent to 5 per cent. This move will encourage people to purchase health insurance to protect themselves from medical crises and emergencies. Also, if there can be a seperte section for term plans would be very positive for life insurance industry."
Union Finance Minister Nirmala Sitharaman will present her third general budget on 1st February 2022.
