The implementation of nil Goods and Services Tax (GST) rates on individual health and life insurance premiums has led to the highest-ever traffic for health and term insurance on Policybazaar’s platform, the company said in a statement on Tuesday.
According to the company, the current average demand surge from the pre-GST baseline (until September 2025) has surpassed the last spike seen during the pandemic years. This highlights the immediate impact that the policy change has had on pure protection segments.
“While term insurance has recorded a historic 2.5x surge after the no-GST rule implementation, health insurance has clocked a phenomenal 2.2x increase in demand. The spike thereafter has sustained momentum, with health insurance demand up 1.7x and term insurance up 1.8x on the platform,” the statement said.
GST waiver converts latent demand into active interest: PB Fintech
Joint Group CEO, PB Fintech, said, “The biggest win for us and the industry is that this announcement has successfully converted latent demand into active interest.
In India, where financial shocks can wipe out years of savings, this timely move promises to strengthen the resilience of households.”
