Indian Parliament Approves Major Insurance Law Amendment
The Indian Parliament has passed the Sabka Bima Sabki Raskha (Amendment of Insurance Laws) Bill, 2025, which introduces significant changes to the insurance sector. Key highlights include allowing 100% Foreign Direct Investment (FDI) in insurance companies, thereby attracting more global players to India. This move aims to enhance capital infusion, adopt advanced technology, and implement global best practices, ultimately benefiting citizens through improved products and services. The bill also reduces the Net Owned Fund requirement for Foreign Reinsurance Branches significantly and introduces measures to protect policyholders' interests and improve regulatory governance. This reform is expected to strengthen the insurance sector, fostering financial resilience in the Indian economy.
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