Budget 2018: Increased medical insurance coverage is likely to provide more business opportunities. However, given the precarious profitability of the earlier schemes, the pricing of the scheme would remain a key monitorable. The merger of the three general insurance companies is expected to be a positive given the benefits from greater economies of scale and reduction in unhealthy competition. It would also benefit private sector insurers. A merger prior to listing would also result in better valuation of the entity. The merger of the three state-run insurers would lead to the creation of a mammoth organisation and would be a key part of the government’s divestment target of Rs 80,000 crore for fiscal year 2018-19.
What does Budget 2024 mean for mutual fund investors? Industry expert Radhika Gupta decodes
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