Page 5 - Insurance Sector

GST 2.0: Pent-up demand behind spike in insurance sales on day one

The insurance industry has passed on the full reduction in GST to customers without changing product prices for now

Insurers to pass on GST cut, expect slight demand rise in policies

Insurers will implement GST-free rates from Monday and pass on the full benefit to policyholders, though withdrawal of input tax credit may impact margins over time

GST rejig: No input tax credit for insurers on brokerage, CBIC clarifies

The CBIC has clarified that taxes paid on inputs like brokerage and commission for individual life or health insurance policies cannot be claimed as ITC

Insurance Amendment Bill likely in Winter session, says FM Sitharaman

Insurance Amendment Bill, which proposes 100 per cent FDI in the insurance sector, is likely to be introduced in Parliament in the upcoming Winter session, Finance Minister Nirmala Sitharaman has said. The winter session of Parliament generally commences in the second half of November and concludes before Christmas. "I hope to", she told PTI when asked if the bill to further liberalise FDI in the insurance sector can be introduced in Parliament in the upcoming Winter session. The finance minister, in this year's Budget speech, proposed to raise the foreign investment limit to 100 per cent from the existing 74 per cent in the insurance sector as part of new-generation financial sector reforms. "This enhanced limit will be available for those companies which invest the entire premium in India. The current guardrails and conditionalities associated with foreign investment will be reviewed and simplified," she had said. So far, the insurance sector has attracted Rs 82,000 crore throug

Insurance policy renewals see delay ahead of GST reforms' implementation

Fresh issuances stay steady as customers weigh renewal options before GST reform

Policybazaar reports 60% offline growth in West Bengal insurance sales

Insurance broker Policybazaar on Wednesday said its offline business in West Bengal was growing at 60 per cent and made up nearly 30 per cent of its total policy sales in the state. The company, which has a presence in at least 80 cities, opened 15 offices and point-of-sale outlets across the country last fiscal, an official said. "Offline sales are picking up fast for Policybazaar, and already account for about one-third of our business in Bengal. The growth will be around 60 per cent, and we expect to maintain the traction," said Gaurav Surana, Deputy Vice President (East) Life Insurance at Policybazaar. West Bengal has emerged as a key market for term insurance, contributing 26 per cent of the overall policy count in FY'25, he said. He said that the GST waiver on insurance will further boost growth. Surana said educated and salaried customers form the bulk of insurance buyers in West Bengal. "Graduates and above make up 80.1 per cent of policyholders in Bengal, higher than the

Bima Sugam to roll out in phases for insurers, intermediaries, customers

Bima Sugam India Federation said the digital insurance marketplace will launch in phases this year with pilot insurer integrations and gradual customer onboarding

Input tax credit removal blunts impact of GST waiver on insurance

While the GST exemption on health and life insurance premiums will lower costs for consumers, insurers will absorb some impact due to the removal of input tax credit (ITC)

GST relief aids insurers; HDFC Life, Star Health among winners, says JM Fin

While the market was anticipating a cut in GST rates for term and health policies, analysts at JM Financial said, the exemption on savings-oriented life products came as a positive surprise.

Govt draft norms to ease compliance for foreign investment in insurance

The draft norms for foreign investment in insurance propose easing compliance by scrapping residency requirements for directors and KMPs while retaining key leadership conditions

Bima Sugam Phase I likely to launch in December after slight delay

Bima Sugam, the Irdai-backed digital insurance marketplace, is expected to launch Phase I in December with e-KYC and initial products, sources said, after missing earlier timelines

No insurer can ignore bancassurance channel, says India First Life MD

Will have 96 branches & 10,000 agents by year end, says Rushabh Gandhi

AHPI to take call on ending freeze on Bajaj Allianz cashless services

Reports also suggested that AHPI is likely to write to the Competition Commission of India and the Insurance Regulatory and Development Authority of India on the issue

Insurance body asks AHPI to withdraw advisory on Bajaj Allianz, Care Health

The General Insurance Council has asked AHPI to revoke its advisory stopping cashless treatment for Bajaj Allianz and Care Health policyholders, citing risks to patients and families

The $4.8 bn surge in India's insurance broking amid sector transformation

Despite being one of the fastest growing insurance markets in the world, India only has 735 licensed brokers, significantly lower than developed markets. Of these, the top 36 drive close to 85%

Participating life insurance plans: Suitable for steady, long-term goals

Be mindful of limited returns, low liquidity, and higher premiums than non-par plans

Insurers hopeful of reduction in GST on health and life premiums

Insurers hope for a reduction in GST on health and life insurance premiums, following PM Modi's announcement of GST relaxations, aiming to boost insurance penetration and make coverage more affordable

Life insurers bet on participating products to diversify portfolio mix

Many players in the industry have rebalanced their portfolios, shifting towards par products after a period of being ULIP-heavy and relying on non-par products to drive topline and margins

Irdai asks insurers to complete QIS 2 under RBC framework by October 15

Irdai has directed insurers to conduct the Second Quantitative Impact Study using March 31, 2025 data and submit results under the Risk Based Capital framework by October 15

LIC targets sales growth in double digits for FY26: MD & CEO R Doraiswamy

The 64 per cent market share is on a composite basis, in which group insurance plays a major role, says Dowaiswamy