GST exemption for group health insurance covering members under Notification 16/2025 denied; only individual policies qualify, petitions dismissed.

X X   X X   Extracts   X X   X X

Full Text of the Document

X X   X X   Extracts   X X   X X

....Issue was whether GST exemption under Notification No. 16/2025-Central Tax (Rate) applied to a group health insurance policy covering a large body of members. The court held that IRDAI (Health Insurance) Regulations, 2016 prohibit forming a group solely to obtain insurance and require an identifiable relationship between members and the group policyholder; issuance of the policy by a regulated insurer and the tendering/collective bargaining process established such relationship and a common welfare purpose. Accordingly, the notification was construed as exempting only individual health insurance policies, not group policies negotiated through collective arrangements, and the writ petitions were dismissed. - HC....