Wed Jan 08 08:40:00 UTC 2025: ## India Aims for Universal Insurance Coverage by 2047: Budget 2025 Expected to Reveal Details
**New Delhi, Jan 8, 2025** – The Indian government is reportedly planning to unveil a comprehensive scheme to provide every citizen with life and health insurance coverage by 2047. This ambitious goal, targeting universal insurance coverage, is expected to be detailed in the Union Budget 2025.
Experts believe achieving this will require significant reforms within the insurance industry. Rajiv Gupta, President of PB Fintech, suggests the upcoming budget could be pivotal in creating a financially secure and insured India. He anticipates major reforms, including substantial changes to tax incentives.
Key proposals include increasing the Section 80C limit (currently ₹1.5 lakh) for tax deductions on investments and savings. This limit, unchanged for a decade, is considered inadequate by tax experts who highlight its importance in promoting long-term savings and reducing the tax burden on taxpayers.
Furthermore, Gupta suggests introducing a separate tax exemption category for term insurance to boost uptake and enhance family financial security. While acknowledging potential revenue losses, he argues that this would ultimately reduce reliance on welfare schemes and contribute to lower fiscal deficits in the long run.
He also advocates for increasing tax deductions on health insurance premiums under Section 80D. He proposes raising the limit from ₹25,000 to ₹50,000 for those under 60 and from ₹50,000 to ₹100,000 for those aged 60 and above. These changes, if implemented, would significantly impact individual financial planning and the overall health and financial security of the nation.
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