“The budget attempts a balancing act of promoting long term growth while maintaining fiscal prudence given the constraints. It pursues long-term measures towards infrastructure development, higher education, technology adoption etc. which is positive. For the non-life insurance industry, higher spends on infrastructure i.e. roads, airports, water pipeline networks will drive demand for re and engineering covers. Health insurance coverage should get a boost given the focus on expanding the hospital network for Ayushman Bharat. The capital infusion in the state owned insurers was necessary and will hopefully encourage better underwriting discipline in the future.”
