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The Union government is expected to introduce an amendment to insurance laws in the Lok Sabha on Tuesday (December 16), with Finance Minister Nirmala Sitharaman scheduled to table the proposed legislation.
Officials familiar with the matter said the Bill may seek to update provisions across multiple insurance-related statutes, with the objective of modernising the regulatory framework and supporting the growth of the insurance sector.
The legislation proposes amendments to the Insurance Act, the LIC Act and the IRDAI Act, including a provision to raise the foreign direct investment (FDI) cap in insurance companies to 100%.
The proposed changes are understood to focus on improving ease of doing business, strengthening governance norms and aligning regulations with evolving market structures.
The government has, in recent years, indicated its intent to expand insurance penetration, encourage long-term capital inflows and simplify compliance for insurers and intermediaries. The proposed amendments are expected to be part of this broader reform agenda.
Details of the proposed changes are expected to become clearer once the Bill is formally introduced and taken up for discussion in Parliament.
Officials familiar with the matter said the Bill may seek to update provisions across multiple insurance-related statutes, with the objective of modernising the regulatory framework and supporting the growth of the insurance sector.
The legislation proposes amendments to the Insurance Act, the LIC Act and the IRDAI Act, including a provision to raise the foreign direct investment (FDI) cap in insurance companies to 100%.
The proposed changes are understood to focus on improving ease of doing business, strengthening governance norms and aligning regulations with evolving market structures.
The government has, in recent years, indicated its intent to expand insurance penetration, encourage long-term capital inflows and simplify compliance for insurers and intermediaries. The proposed amendments are expected to be part of this broader reform agenda.
Details of the proposed changes are expected to become clearer once the Bill is formally introduced and taken up for discussion in Parliament.
