Key Provisions:100% Foreign Direct Investment (FDI) in insurance intermediaries
Enhanced powers to the Insurance Regulatory and Development Authority of India (IRDAI)
Implications for the Indian insurance sector100% FDI:Allows full foreign ownership in insurance intermediaries such as brokers, third-party administrators, and surveyors
Expected to attract more foreign investment into the sectorIRDAI Powers:IRDAI to have more regulatory control over the insurance sector
Powers to regulate and supervise insurance companies, intermediaries, and other stakeholders
Ability to impose penalties and take enforcement actions against non-compliant entitiesWhat It Means for India:Increased foreign investment in the insurance sector
Enhanced regulatory framework for the insurance industry
Potential for increased insurance penetration and density in India
Improved consumer protection and dispute resolution mechanisms
Opportunities for growth and development of the Indian insurance market

Key Provisions:

  • 100% Foreign Direct Investment (FDI) in insurance intermediaries
  • Enhanced powers to the Insurance Regulatory and Development Authority of India (IRDAI)
  • Implications for the Indian insurance sector

100% FDI:

  • Allows full foreign ownership in insurance intermediaries such as brokers, third-party administrators, and surveyors
  • Expected to attract more foreign investment into the sector

IRDAI Powers:

  • IRDAI to have more regulatory control over the insurance sector
  • Powers to regulate and supervise insurance companies, intermediaries, and other stakeholders
  • Ability to impose penalties and take enforcement actions against non-compliant entities

What It Means for India:

  • Increased foreign investment in the insurance sector
  • Enhanced regulatory framework for the insurance industry
  • Potential for increased insurance penetration and density in India
  • Improved consumer protection and dispute resolution mechanisms
  • Opportunities for growth and development of the Indian insurance market

The New Insurance Bill, 2025, also known as the Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Bill, 2025, is a significant milestone in India’s financial sector reforms. The Bill aims to modernize India’s insurance ecosystem, expand coverage, and...