Health insurance got a major boost after the GST rate on premiums was cut to zero from 18 per cent, effective October 1. Insurers have already trimmed premiums by about 10-12 per cent, making coverage more affordable. Naturally, attention has centred on insurers — but what’s being overlooked is how hospitals could emerge as the next big beneficiaries of this reform. In developed markets, insurance is the key driver of healthcare access, and a similar model is now unfolding in India. As the insured base gradually expands, private hospitals stand to gain from a steady rise in patient inflows over the long term.

Several Indian investment professionals and more recently Professor Aswath Damodaran, popularly called the Dean of Valuation, have indicated the long-term potential of the hospital s

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