In the 2025 festive season, a significant increase in insurance policy bookings in India was observed as consumers began to see protection as an integral part of their celebration plans, as per an analysis by Policybazaar. From September 22 to October 14, 2025, insurance payouts rose by 14% weekly and 35% year-over-year, fueled by the 0% Goods and Services Tax (GST) reform and early spending for Navratri and Diwali. Unified Payments Interface (UPI) transactions increased by 18%, becoming the favored payment method for renewals and new acquisitions, especially in the motor and two-wheeler insurance categories, which both saw a 17% rise. Monthly premium plans also gained popularity as users chose flexible and convenient payment methods. Credit cards reemerged as a popular festive payment method, bolstered by cashback offers, reward redemptions, and straightforward monthly instalment (EMI) plans. Payments for term insurance via credit cards rose by 21% in value, with the average transaction size increasing by 2.14%, reflecting increased confidence in making larger premium payments. Netbanking continued to be the favored choice for high-value or long-term policies, with term insurance transactions increasing by 49% and investment-linked plans rising by 37%. Usage of debit cards increased by 14% after GST, boosted by cashback programs from banks and integrations with digital wallets. Policybazaar observed that this trend signifies a “purpose-driven approach” to insurance expenditures, as individuals increasingly incorporate financial security into their festive budgets