Build your own health plan: SBI General floats Health Alpha post GST rate revision with added benefits

Introduced after the recent GST reform, Health Alpha offers features like 10x Cumulative Bonus, Gym & Sports Injury Cover, and Endless Sum Insured, setting a new benchmark in the health insurance segment.

SBI General Insurance, one of India’s leading private general insurers, announced the launch of its flagship retail health product — Health Alpha — a one-of-a-kind plan designed to give customers unprecedented control over their health coverage. The product allows policyholders to tailor benefits from over 50 coverage options, reflecting the company’s philosophy of “Your Health. Your Cover. Your Way.”

The plan offers a wide sum insured range starting from Rs 5 lakh to unlimited coverage, with a long-term option of up to five years. This helps policyholders secure protection against rising medical inflation while availing tenure-based discounts. The entry age for adults begins at 18 years, with no upper limit, while children can be insured from 91 days to 25 years.

Industry-first Features

Health Alpha introduces several first-of-its-kind benefits to the Indian health insurance market:

Up to 10x Cumulative Bonus: An add-on that rewards claim-free years by increasing the coverage up to ten times.

Unlimited Sum Insured: Ensures claims of any amount are payable within policy terms.

Endless Sum Insured: Covers hospitalization costs beyond the base sum insured once in a policy’s lifetime.

Gym & Sports Injury Cover: A pioneering add-on that covers OPD expenses arising from injuries during fitness or hobby sports — including diagnostics, physiotherapy, and medicines.

Plan Ahead Benefit: Allows waiting period continuity for a newly married spouse or newborns if added within 120 days.

Welcome Discount: A 5% discount for policies purchased within five days of quote generation.

In addition to hospitalisation, the product includes AYUSH treatment, critical illness coverage, global protection, personal accident cover, and day-care treatment. All covers are optional, supporting a DIY approach that lets customers adjust sub-limits, waiting periods, and benefit levels to match personal needs.

Speaking at the launch, Mohd. Arif Khan, Deputy CEO of SBI General Insurance, said: “Health Alpha is an industry-first product post-GST reform, focused on affordability, flexibility, and innovation. It’s not just another health plan — it reimagines how customers experience health coverage. With rising medical costs, customizable plans like Health Alpha empower individuals and families to build the protection they truly need.”

GST 2.0 reform for insurance buyers

The government’s GST 2.0 reform, effective September 22, 2025, has brought a major relief to life insurance buyers — slashing GST on term insurance premiums from 18% to 0%. This move makes term insurance more affordable and accessible, especially for middle-income families who often delay purchasing protection plans due to high costs.

Earlier, a Rs 10,000 premium meant paying Rs 11,800 after tax. Now, under GST 2.0, the same plan costs only Rs 10,000 — a direct saving of Rs 1,800 per year. Over time, this reduction can translate into thousands of rupees saved, which can be redirected toward goals like retirement, education, or emergency funds.

The exemption applies exclusively to individual term plans, both new and renewals, while group and corporate insurance covers remain outside its scope.

Experts say this reform could boost insurance penetration, as reduced premiums encourage more households to secure life protection. For instance, policyholders paying Rs 30,000 annually now save Rs 5,400 each year — over Rs 1 lakh across 20 years.

By removing GST, the government aims to nudge Indians toward greater financial security. For those yet to purchase a term plan, this is an ideal time to act — with 0% GST, the cost of protection has never been lower.