Post Budget quote by Rushabh Gandhi, MD & CEO at IndiaFirst life Insurance

1) The government's decision to allow 100% FDI in insurance is a welcome move. It will attract more investments and create employment opportunities in India. However, its impact on the Indian market, driven largely by distribution, may be limited in the immediate future.

2) The reduction in tax structure is expected to increase disposable income and savings, benefiting the insurance sector as insurance awareness grows. Although the shift to the new tax regime may impact life insurers due to the loss of Section 80C tax benefits, the positive effect of higher disposable income is expected to offset this impact.

3) The removal of conditions for GIFT City insurance entities under Section 10(10D) will directly benefit Indian customers. As the first Indian insurer to set up operations in GIFT City, IndiaFirst Life is well-positioned to leverage this advantage. Additionally, changes to the current tax regime's threshold for taxing insurance policies - Rs 2.50 lakh for ULIPs and Rs 5 lakh for non-ULIPs - may boost investment in the foreign currency denominated products and bring more investment to India.