Articles >> Budget 2011: Health Insurance premium deduction should be increased to Rs 25000, says ASSOCHAM

NEW DELHI: Industry body ASSOCHAM, said Association of Health Insurance premium deduction under section 80 D should be increased to Rs 25000 from Rs 15000. 

The Associated Chambers of Commerce and Industry of India (ASSOCHAM) in its pre-budget memorandum recommended that the deduction (under section 80D) in respect of medical insurance premium of an individual or his family should be raised to Rs 25,000 from Rs 15,000.

The rationale given by ASSOCHAM is "In the context of the sharply increasing medical expenses, medical insurance premiums are escalating every year. Also, there is need to increase the penetration ratio of insurance by providing encouragement through tax reliefs for opting for medical insurance."