'Never trust banks': Young entrepreneur tricked into buying '100% tax-free' insurance policies by a banker, loses Rs 15 lakh

A young businessman running a company with ₹1 crore annual revenue was convinced by bank officials to buy three non-market linked insurance policies with a combined yearly premium of ₹11 lakh, promised as 100% tax-free. After paying ₹22 lakh, he discovered that exceeding the ₹5 lakh aggregate premium limit under new tax rules makes the maturity proceeds taxable, resulting in a potential ₹15 lakh loss on surrender.