A parliamentary panel chaired by Jayant Sinha has proposed reducing the Goods and Services Tax (GST) on insurance products, especially health and term insurance, aiming to make them more pocket-friendly. 

The panel also recommends that the Reserve Bank of India issue 'on-tap' bonds to fulfill the insurance industry's capital needs, estimated between Rs 40-50,000 crore. Furthermore, the committee advocates bolstering the financial stability of government-owned general insurers and implementing strategies to enhance competitiveness, attracting investment, and skilled professionals. 
It also suggests creating a specialized insurance sector for regions prone to disasters and exploring E-Challan enforcement for motor insurance nationwide.

The insurance sector eagerly anticipates the upcoming interim budget in 2024, hoping for a reduction in GST rates on health insurance products to encourage more people to invest in coverage.

One of the primary hopes of the insurance sector for the interim budget in 2024 revolves around two key aspects: the reduction of the Goods and Services Tax (GST) rate on health insurance products and the implementation of incentives to encourage greater participation in purchasing them.

Budget 2024 Focused on Youth, Affirms PM Modi at Pali Sansad Khel Mahakumbh

Live Updates: Kerala Budget 2024 Focuses on Economic Growth and Revenue

This Revenue Services Officer Suspended for Criticizing FM Nirmala Sitharaman: What Did He Say?