Cabinet clears 100% FDI in insurance—Big changes ahead
The government just approved a bill to let foreign investors own up to 100% of Indian insurance companies (up from the current 74%).
The Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Act, 2025, set for Parliament's Winter Session, also updates key laws and aims to make the insurance sector more dynamic and open.
Why does this matter?
India's insurance coverage is still way below global levels, so these reforms are meant to attract massive investment—think ₹50,000 crore or more—and help bring affordable insurance even to rural areas.
The bill will also make it easier for new players to enter the market by lowering capital requirements and allowing composite licenses.
Plus, there are plans for better consumer protection. The big goal: "Insurance for All" by 2047.