Hyderabad: The Union Minister of Road Transport and Highways, Nitin Jairam Gadkari, recently wrote a letter to the Union Finance Minister, Nirmala Sitharaman, suggesting the removal of GST on life and health insurance. This suggestion has sparked a significant debate.
Leaders within and outside the BJP are supporting Gadkari’s idea. This is based on a representation from the Nagpur Divisional Life Insurance Corporation Employees Union. A senior BJP leader mentioned that such representations are common before the budget. However, he noted that Gadkari’s suggestion is sensible and deserves the Centre’s attention.
Not everyone agrees with Gadkari’s approach. Teacher and MLC Alugubelli Narisreddy criticized Gadkari for not discussing the issue within the cabinet first. He suggested that Gadkari’s public appeal might be a form of propaganda.
Despite this, some supporters of the BJP believe Gadkari’s move highlights important issues related to insurance. Leaders from the Vishwa Hindu Parishad and Swadesh Jagaran Manch think the definition of ‘family’ in insurance policies should be reconsidered. They argue that redefining ‘family’ could offer relief to lower and middle-income groups who pay monthly premiums.
An SJM member explained that currently, family insurance covers the head of the family, their spouse, parents, and children. This traditional definition might not align with the Indian ethos. He suggested expanding the definition to include brothers, sisters, and other dependent relatives.
A Telangana State BJP executive member agreed, stating that the current definition does not allow an earning sibling to take a family policy for all members. This restriction increases the premium burden since separate policies are needed. Redefining ‘family’ could broaden insurance coverage and reduce costs.
In summary, Gadkari’s suggestion has opened up a broader discussion on insurance policies, especially about how ‘family’ is defined and who gets covered under family insurance.
