Home National Opposition to step up pressure on govt to reduce GST on health insurance policies 

Opposition to step up pressure on govt to reduce GST on health insurance policies 

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Opposition to step up pressure on govt to reduce GST on health insurance policies

Leaders will be holding a protest on Tuesday in Parliament; On Monday, senior Trinamool Congress leader Derek O’ Brien had spoken about it

TMC MPs stage a protest over GST on medical/health insurance premium during the Monsoon session of Parliament, in New Delhi, Friday, Aug. 2, 2024.

TMC MPs stage a protest over GST on medical/health insurance premium during the Monsoon session of Parliament, in New Delhi, Friday, Aug. 2, 2024.
| Photo Credit: PTI

Stepping up pressure on the government to reduce GST on health insurance policies, the Opposition will be holding a protest on Tuesday in Parliament. On Monday, senior Trinamool Congress leader Derek O’ Brien raised the issue.

Mr. O’ Brien, speaking during the Zero Hour in Rajya Sabha, referred to a letter written to Finance Minister Nirmala Sitharaman by senior BJP leader and Union Minister Nitin Gadkari making a similar demand.

“The demand is straightforward. Reduce 18% GST on medical and health insurance. We should reduce it because this is an issue which is burdening people, mainly the middle class,” said Mr. O’ Brien.

Mamata writes to Sitharaman, urges her to withdraw GST on health insurance

The Trinamool leader pointed out that insurance penetration in India is low at 4% compared to more than 7% globally. Further, he said there is an imbalance in the insurance sector, where 75% are life insurance policies and 25% are medical insurance policies.

The Opposition, spurred by Mr. Gadkari’s letter, has been consistently raising this issue. Bengal Chief Minister Mamata Banerjee too had written to Ms. Sitharaman. Several Opposition leaders have raised it in Parliament during the recent Budget discussions.

“They won’t listen to us,” Mr. O’ Brien said, and added that the Finance Minister should at least listen to Mr. Gadkari. He also rejected the argument that the GST Council alone can bring in the change.

“This is a flawed argument,” he said, adding that the NDA has a majority in the council also. “We must not allow the Finance Minister to hide behind the curtain of the GST Council. This is a middle-class issue. This is not a political issue,” Mr. O’ Brien said.

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