53% of consumers see increased deductions for medical insurance: Kantar

Kantar, the world’s leading insights and consulting company has just released findings from its first ever India budget survey. This survey maps consumer sentiments and expectations from the union budget 2022, just ahead of it’s unveil on Feb 1st

Most Indians are looking forward to the budget 2022 as they have had a largely positive experience with the 2021 budget. 2 out of 3 consumers claim that the 2021 budget positively impacted their household budget in the past year. Consumers in the 21–35 age band are more enthusiastic (68%) as compared to the ones in the older age band of 35-55 which stands at 56%. Overall, most are upbeat about what the 2022 budget holds.

As the pandemic continues to enter its third year, consumers expect the government to continue focussing on healthcare with 66% expecting an increase in the healthcare budget allocations and strengthened policies. 

Interestingly, consumer sentiments around electric vehicle subsidies and schemes see traction amongst consumers as well. With increased focus on climate change and sustainable living, 60% consumers expect the government to prioritize subsidies on electric vehicles in the coming year.  

However, fuel prices continue to remain a concern. Majority (72%) expect the government of India to bring petrol and diesel under the ambit of GST, with an expectation it may reduce fuel costs. This expectation is higher among metros (74%) than non-metros (65%).

With respect to consumer expectations in terms of tax deductions, investments under 80C covering multiple investment options emerged at the first rank with 60% claiming they want an increase in deductions from the same. The younger, affluent salaried class consumers seem to have a higher desire (65%) for this, as compared to mass consumers (57%). 

53% consumers claim they want an increase in deductions for their medical/ health insurance as well. This links back to increased health care expenses over the last 2 years. Expectedly, this number is higher amongst the non-metro consumer at 57%. 

Home Loan EMI emerges third with 39% consumers seeking an increase in tax deduction on their Home Loan EMI’s. A higher skew for this increase is seen in Metros at 41%.

Consumers are leaning towards adopting the new tax regime since it came into existence on April 1, 2020. 55% claim that they intend to choose the new tax regime in 2022.

Cryptocurrency as an investment avenue is expected to continue making noise this year as well. As per a Kantar’s cryptocurrency survey from July 2021, 19% Indians intended to invest in cryptocurrency in the next 6 months in Urban India. As of December 2021, this number has increased to 32%. This is possibly driven by awareness and exposure that advertising and celebrity endorsements have generated over the last few months. Millennials seem to be keener on trying this new investment avenue as their intention to invest is higher at 32% as compared to those in the age group of 36-55 years which is at 26%.

Majority expect India to launch its own official cryptocurrency in 2022. There is an overwhelming preference towards investing in India’s cryptocurrency with 79% claiming to invest in that over existing cryptocurrencies like Bitcoin, Ethereum, Dogecoin etc. This is driven by the perceptions of it being more secure due to clear regulations laid down by RBI.

Commenting on the findings, Deepender Rana, Executive Managing Director- South Asia, Insights Division, Kantar, said; “As we step into the third year of the pandemic, the public wants the government to further invest in public health infrastructure and other favourable policies like tax deductions for insurance, which help alleviate the burden of medical expenses. Concerns about fuel prices come through, as does a desire that government should help us wean ourselves off dependency on dirty and ever more expensive fossil fuels, through e-vehicle subsidies. Meanwhile, as cryptocurrencies take off and the government mulls a tax on crypto transactions, investors want the government to play a role in encouraging yet regulating these innovative finance instruments through India’s own cryptocurrency.” 


News in the domain of Advertising, Marketing, Media and Business of Entertainment

More in Media