Health insurance tax advantages leveraging 36 billion per year to enhance the value of new business premiums cake 5%

 Health Insurance Policy

Commercial health insurance tax incentives gradually advancing. Recently, the three ministries specifically to carry out commercial health insurance personal income tax policy pilot, the pilot area individuals to purchase private health expenditures in line with the provisions of the insurance products, be allowed tax deduction, deduction limit for 2400 yuan / year (200 yuan / month). 
Insiders admitted that, with the gradual landing tax preferential policies and measures, the rising demand for insurance will further promote the development of commercial health insurance, or leveraging tens of billions of market space. 
Consumers: 6000 monthly income of 72 yuan per year pay less tax 
Insurance expert calculations, in order to calculate the monthly income of 6,000 as an example, full insurance payment ratio of 19%, the insured can pay less tax per year 72 yuan. 
Individuals to purchase health insurance by an average 2,400 yuan to be tax deductible amount of $ 200 before tax, equivalent to a monthly personal income tax threshold increased by 200 yuan.According to the existing threshold of 3500 yuan count, if individuals purchase private health insurance premiums over 2400 yuan per month on the tax threshold raised to 3700 yuan. 
Insurance expert calculations, in order to calculate the monthly income of 6,000 as an example, full insurance payment ratio of 19%, the insured can pay less tax per year 72 yuan. "Annual limit of 2,400 yuan, the amount of monthly tax relief is limited, so the cost of buying health insurance does not fall significantly. But after the implementation of this policy, not only to allow more public awareness commercial health insurance, but also make product pricing more reasonable. " 
It is understood that China has more than 100 insurance companies to carry out commercial health insurance business, covering more than 2,200 products, premium income last year reached 158.7 billion yuan, an increase of 41%, significantly higher than the growth rate of life insurance premiums. Human health康险公Division president Song Fuxing publicly that gifted tax effective implementation of the policy will undoubtedly leverage policies, by encouraging people to buy commercial health insurance, enhance self-support capabilities, to further reduce the burden of medical expenses of the people. 
In addition, analysts said, meaning health insurance tax advantages for the consumer is that the premium discount, the market early in the 300-500 billion, about one hundred billion mature market.Current tax gifted spending cap 2400 yuan, which can cover medical claims, accidents and severe illness insurance expenses. For consumers actually use the tax advantages available premium discount, the discount rate and the applicable tax rates are highly correlated, the higher the current applicable tax rate, the greater the discount to buy health insurance. 
Market cake: or upgrade every year new business value insurance enterprises 5% 
Under neutral assumptions, it is expected to enhance the health insurance premiums 36 billion / year, assuming a 10% profit margin, increase the value of new business year, the insurance company about 5%. 
Reporters learned that the launch will be the comprehensive commercial health insurance, coverage will involve supplementary medical, critical illness, long-term care. A health insurance company insiders, the current high price of critical illness insurance market, after the implementation of tax advantages, rates will necessarily decline, will help enterprises to supplement major medical illness cover included. "For the tax advantages of the introduction of the policy, professional health insurance companies are likely to lead the force, the introduction of new products. It will also change the pattern of health insurance, move the entire market." "With the arrival of tax preferential policies and measures, insurance needs The rise will further promote the development of commercial health insurance. "the official said, is not only a personal benefit, the industry is also looking forward to leveraging the above-mentioned tax benefits health insurance market has become an important lever. 
So, the introduction of this tax excellent health insurance policies will release how much insurance needs? Haitong Securities analyst Sun Ting believes that under neutral assumptions, is expected to enhance the health insurance premiums 36 billion / year, to improve the value of new business year, the insurance company about 5%. At present, China to pay a tax of about 30 million population, 50% of the population under neutral assumptions as deductible health insurance and buy the corresponding product, the annual industry-wide new 36 billion yuan health insurance premiums for 2014 health insurance premiums 23% and 3% of the life insurance premiums. Because health insurance product margins are quite different, but this does not identify the specific types of insurance, assuming a 10% profit margin, the promotion of listed insurance company about 5% a year value of new business 
For this reason, experts say, such a policy in support of the next period of time, commercial health insurance in the insurance industry will continue to be the most dynamic, fastest growing sector, in 2020 China's commercial health insurance premiums is expected to reach 700 billion to 1 trillion yuan, becoming one of the three business segments and property insurance, life insurance tied. 
Observer reporter 
Let fiscal policies to address the needs of ordinary people more 
Three ministries issued a notice displayed on the pilot areas to purchase personal expenses consistent with the provisions of the commercial health insurance products, allows to be deducted when (month) to calculate the year taxable income, deduction limit for 2400 yuan / year (200 yuan / month). This means that the policyholder tax threshold will enjoy the same benefits in accordance with the annual premium paid, the tax threshold up to 200 yuan per month can improve. 
At the same time, in the form of group insurance it has also been recognized. Pilot regional organizations, enterprises and institutions to unify and purchase expenses for employees comply with the provisions of the commercial health insurance products, individual employees should be included in wages and salaries were deemed personal purchases, according to 2400 yuan / year (200 yuan / month) limit be deducted. 
In fact, the domestic life insurance business can be divided into categories according to the life insurance, health insurance, personal accident insurance. Among them, the public health insurance as an important guarantee for the health care needs of only about 10%. In this regard, some experts said that by policy stimulus to improve their low level of development. Personal tax is an important factor, domestic commercial health insurance is difficult to start closely related. In addition, the reporter learned that the majority of foreign countries have introduced tax incentives for individuals, such as Australia, private health insurance holders will receive a 30% premium rebate government. 
Institute of Fiscal Science, Bai Jingming, deputy director of the official said that the policy carried out by the pilot, has a wide coverage, deductions, credits and high, can more fully meet the needs of ordinary people outside of Social Security on a higher level of health protection , reflecting the fiscal and taxation policies to take care of the needs of ordinary people-oriented, but also to encourage insurers to develop more suitable for mass consumption of health insurance products. 
Certain insurance-related charge, said: "From a global point of view of the insurance system, commercial health insurance tax incentives to encourage the market mechanism to play a role in the development of commercial health insurance, one of the most effective policy levers United States, Germany, Australia, Singapore and other countries. for businesses and individuals to purchase commercial health insurance are tax incentives. Now the policy has been issued, the four municipalities of the insurance company should respond in the coming days. 

Share on Google Plus

About Abdullah

This is a short description in the author block about the author. You edit it by entering text in the "Biographical Info" field in the user admin panel.