Favourable seasonality and tax-rule changes pertaining to high-ticket, non-unit-linked savings products from April 1 would have ensured robust sales for Indian insurers in the March quarter.
The government’s decision to withdraw tax exemptions on maturity proceeds of non-unit linked insurance policies (non-ULIP) with an annual premium exceeding ₹5 lakh led to a surge in pre-booking of high-value non-linked policies before March 31, resulting in an overall increase in the average ticket size for retail regular premium policies across the insurance industry.
Source:
Economic Times
