GST Relief Sparks Surge in Insurance Stocks
Insurance stocks soared as products are now exempt from GST, following the GST Council's announcement. Star Health and various insurance companies witnessed significant stock upticks. This move, effective from September 22, is set to benefit sectors like insurance, FMCG, and automobiles, enhancing affordability and coverage.
- Country:
- India
Indian insurance stocks witnessed a significant rise on Thursday. Star Health led the surge with a more than 9% increase, following the government's announcement of GST exemptions on life and health insurance policies.
Finance Minister Nirmala Sitharaman, during the 56th GST Council meeting, revealed that GST exemptions now apply to all individual life insurance policies, including term life, ULIP, and endowment policies, as well as their reinsurance.
This policy change is anticipated to promote growth in sectors beyond insurance, such as FMCG, automobiles, and consumer durables, by making insurance products more accessible and affordable, starting from September 22.
(With inputs from agencies.)
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