Insurance Premiums Soar in Nov FY26 as GST Exemption Boosts Demand

• November recorded the highest monthly insurance premium collections for FY26, with life insurers growing nearly 23% and non-life insurers about 24%, largely due to a GST exemption.
• The surge was fueled by a GST exemption on individual and health insurance, which reduced the tax on premiums from 18% to 0% starting September 22.
• Life insurers issued approximately 2.2 million policies, a 48.44% jump, indicating a significant increase in new customers entering the insurance ecosystem.
• LIC drove the life insurance sector's growth with a 35% YoY rise in new business premium, while private sector insurers expanded by 12.5%.
• Bajaj General led non-life insurers with over 193% premium growth, alongside strong performances from Tata AIG, New India Assurance, and SBI General.

Why It Matters: GST exemption made insurance cheaper, causing a huge jump in premiums.