Budget 2019 Expectations: Insurance sector wants positive tax benefits, regulatory framework

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New Delhi | January 21, 2019 7:31 PM

Pre-Budget Expectations from Union Budget 2019: Budget 2019 would be a key one as 2018 has been an important year for the Insurance sector with multiple announcements and regulatory changes.

Budget 2019 ExpectationsBudget 2019 Expectations

India Union Budget 2019 Expectations: The Modi government’s first Interim budget is set to be tabled on February 1. With Finance Minister Arun Jaitley hinting that there may be a departure from the traditional norms depending upon the interests of the larger economy, common, industry and market players are expecting positive announcements from the Centre in the Budget 2019.

Budget 2019 would be a key one as 2018 has been an important year for the Insurance sector with multiple announcements and regulatory changes, Chief Financial Officer of SBI General Insurance Rikhil Shah said. Several key decisions were taken by the central government such as the merger of 3 public sector undertaking (PSU) non-life insurers, Ayushman Bharat, changes in rules for motor insurance and inclusion of mental illness in health insurance, in the interest of the consumer, Shah said.

Read Also: Budget 2019 expectations- Will Modi government offer personal Income Tax sops to woo middle class

Shah hopes that Union Budget 2019 will bring more good news for the insurance sector. He predicted that there might be some tax exemptions for the patrons in the interim budget. Shah has welcomed a GST cut for the insurance industry. Shah also expects that positive tax benefits in the home insurance area as in the last year there were a few major calamities and home insurance has certainly gained importance. Shah also hopes for some regulatory framework in the healthcare or pharma industries to make insurance a reality for all in India. Shah also expects the focus of the government to be more on the protection space for the wellbeing of the population.

India Budget 2019 will be Finance Minister Arun Jaitley’s sixth budget. A few days ago, talking to News18, FM Jaitley said that in the election year, the central government generally presents an interim Budget. However, in the case of Budget 2019, there could be changes as Jaitley said the larger interest of economy always dictates what goes into an Interim Budget. Any big announcements will assume political significance as the Lok Sabha elections 2019 is barely a few months away.

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