Adani Enterp. 2439.55↑5.90(0.24%)
Adani Ports 743.75↓-1.65(-0.22%)
Apollo Hospitals 5026.45↑86.35(1.75%)
Asian Paints 3224.80↑12.05(0.38%)
Axis Bank 976.75↑8.55(0.88%)
B P C L 368.10↑11.95(3.36%)
Bajaj Auto 4780.75↑54.50(1.15%)
Bajaj Finance 7079.95↓-34.00(-0.48%)
Bajaj Finserv 1480.90↑5.80(0.39%)
Bharti Airtel 844.25↑14.80(1.78%)
Britannia Inds. 4893.15↑187.75(3.99%)
Cipla 960.45↓-11.60(-1.19%)
Coal India 230.70↑2.90(1.27%)
Divi's Lab. 3542.10↑4.20(0.12%)
Dr Reddy's Labs 4673.75↑37.10(0.80%)
Eicher Motors 3727.40↑22.30(0.60%)
Grasim Inds 1769.05↑2.65(0.15%)
H D F C 2648.55↑13.20(0.50%)
HCL Technologies 1129.05↑0.45(0.04%)
HDFC Bank 1607.70↑8.30(0.52%)
HDFC Life Insur. 594.45↑14.75(2.54%)
Hero Motocorp 2958.00↑53.20(1.83%)
Hind. Unilever 2716.20↑25.05(0.93%)
Hindalco Inds. 422.60↑7.05(1.70%)
ICICI Bank 940.20↓-1.90(-0.20%)
IndusInd Bank 1311.20↑5.20(0.40%)
Infosys 1288.95↑9.95(0.78%)
ITC 443.95↑1.15(0.26%)
JSW Steel 729.75↑16.90(2.37%)
Kotak Mah. Bank 1939.40↓-19.65(-1.00%)
Larsen & Toubro 2315.50↑37.55(1.65%)
M & M 1406.40↓-4.80(-0.34%)
Maruti Suzuki 9707.50↓-28.70(-0.29%)
Nestle India 22367.75↑662.35(3.05%)
NTPC 177.35↑1.95(1.11%)
O N G C 153.85↑0.20(0.13%)
Power Grid Corpn 239.20↑3.90(1.66%)
Reliance Industr 2498.15↑18.80(0.76%)
SBI Life Insuran 1245.80↑22.80(1.86%)
St Bk of India 589.20↑3.85(0.66%)
Sun Pharma.Inds. 1014.60↑0.80(0.08%)
Tata Consumer 823.10↑31.00(3.91%)
Tata Motors 567.95↑12.20(2.20%)
Tata Steel 111.50↑2.50(2.29%)
TCS 3274.90↑42.60(1.32%)
Tech Mahindra 1095.70↑9.45(0.87%)
Titan Company 2906.95↑25.50(0.88%)
UltraTech Cem. 8157.60↑48.05(0.59%)
UPL 693.95↓-0.05(-0.01%)
Wipro 402.80↑2.85(0.71%)

New tax norm to hurt insurers; stocks attractive for the long run: Analysts

Analysts expect stocks to remain under pressure in the near-term as the government's new tax regime push, with no tax saving deductions, could hurt demand for insurance products

Harshita Singh New Delhi

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Illustration: Binay Sinha

4 min read Last Updated : Feb 17 2023 | 12:28 AM IST

Insurance-related stocks have significantly weakened since the Budget proposed to tax income from traditional policies with an annual premium of over Rs 5-lakh. Shares of HDFC Life, SBI Life, ICICI Prudential (ICICI Pru), Max Financial (owner of Max Life), Life Insurance Corporation (LIC), General Insurance Corporation and New India Assurance have lost 3-19 per cent so far since February 1. In comparison, the NSE Nifty has been up around 0.6 per cent during this period.

Going ahead, analysts expect the underperformance to continue in the near-term as the government’s new tax regime push, with no tax saving deductions, could hurt demand for insurance products. The pain in these counters, they believe, will not last long and long-term investors should consider accumulating the stocks given the recent selloff.

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