33,152 Crore allocated for Health in Union Budget 2015 - 2016

Finance Minister Arun Jaitley on Saturday presented the Union Budget 2015-16 in Parliament. He said that good health is a necessity for both quality of life, and a person’s productivity and ability to support his or her family. Providing medical services in each

village and city is absolutely essential.

He announced allocation of Rs.33,152 crore for the health sector.

Although the allocation for the health sector is slightly less as compared to last year's Budget, which was Rs.351.63 billion, the current Budget has brought some good news for the health insurance sector.

Increase in limit of tax deduction in health insurance premium will amend affordability, accessibility as well as help boost health insurance sales in the country.

Here's a list of criterion and initiatives announced by the Finance Minister in the healthcare sector:

Health Insurance Premium deduction hiked from Rs 15,000 to Rs 25,000; for senior citizens to Rs 30,000 from present Rs 10,000

Deduction limit of Rs 60,000 on account of serious diseases to be enhanced to Rs 80,000 for senior citizens

New scheme of providing physical aids for senior citizens living below poverty line proposed

Pradhan Mantri Jeevan Jyoti Yojana to cover accidental death at a premium of Rs.330 per year

Soon to be launched Pradhan Mantri Suraksha Yojana to provide accident insurance of Rs.2 lakh on a premium of Rs.12 per year

The only key announcement made by the FM in his first full year Budget speech today was the proposal of a special pharmaceutical institution in states like Maharashatra, Rajasthan and Chattisgarh.

The Indian pharmaceutical market is expected to grow to USD 55 billion by 2020. According to a report by McKinsey, the industry has the potential to grow more than twice in the next six years, from a projected market growth of USD 24 billion by 2015 to USD 55 billion by 2020.

FM also announced that Yoga will be included under charitable activites.

All India Institute of Medical Sciences (AIIMS) will be set up in Jammu and Kashmir, Punjab, Himachal Pradesh, Tamil Nadu, Assam. AIIMS-like institution in Bihar.

He proposed that a new scheme for providing Physical Aids and Assisted Living Devices for senior citizens, living below the poverty line.