“We will hit the road if GST is not removed….”: Mamata Banerjee Demands Removal of GST on Life Insurance and Medical Insurance Premiums

West Bengal Chief Minister Mamata Banerjee on Thursday called on the Central government to eliminate GST on life and medical insurance premiums, warning to take to the streets if her demand is not met. This comes days after Union Road, Transport and Highways Minister Nitin Gadkari had written a letter to Union Finance Minister Nirmala Sitharam urging her to eliminate the 18% GST levied on life insurance and medical insurance premiums.

“Our demand to the Government of India is to roll back GST from life insurance and medical insurance premiums on the grounds of people’s health imperatives. This GST is bad because it adversely affects the people’s ability to take care of their basic vital needs. If the Government of India does not roll back the anti-people GST, we will be bound to hit the road,” posted the Trinamool Congress Supremo on the social media platform “X”.

The call for removing GST from insurance premiums has gained traction following Union Minister of Road, Transport and Highways Nitin Gadkari’s recent appeal. On July 28, Gadkari wrote to Finance Minister Nirmala Sitharaman, urging the removal of the 18 percent GST on life and medical insurance premiums. Gadkari argued that the tax burdens senior citizens and hampers the growth of the insurance industry. He described the tax as “levying taxes on the uncertainties of life.”
Congress MP Karti Chidambaram supported Gadkari's initiative, and said, “I am very happy that Cabinet Minister Mr. Gadkari has endorsed my demand that I made yesterday on the floor of the House to remove the 18 percent GST levied on Health and Life Insurance premiums.”

Similarly, Samajwadi Party MP Rajeev Kumar Rai backed the call for tax. “GST on insurance premiums should be abolished. This has been our demand for a long time. We support Nitin Gadkari ji's demand,” said Rai.

Shiv Sena (UBT) MP Anil Desai also endorsed the removal of GST. “It is a good suggestion. When I spoke on the budget, I had also raised the issue that life insurance and mediclaims are essential for the middle class and especially for retirees,” said Desai. “It is not about comfort or luxury. It is a necessity. Healthcare is anyhow outside the reach of the middle class. Even when Nirmala ji replied, I had asked her about this, but she did not comment on it. I am hoping she will pay attention to the issue,” he added.

Earlier, Mamata Banerjee had strongly criticized the Union Budget, calling it “anti-poor” and “anti-people”. She dismissed Sitharaman’s claim that GST had been a “success of vast proportions” that reduced tax burdens on “common men.”​