Sabka Bima Sabki Raksha Bill 2025: 100% FDI in Insurance
Why in the news
Parliament cleared a broad overhaul of long-static insurance laws, liberalising the sector, while some ask if consumer protection was sidelined.
Key facts
- FDI: 74% to 100%, automatic route.
- Reinsurers: net-owned fund ₹5,000 crore to ₹1,000 crore.
- IRDAI: more power to probe violations, mis-selling and undisclosed commissions.
Other provisions
- Policyholders’ Education and Protection Fund and tighter disclosures.
- Simpler compliance and wider definitions, such as insurance intermediary.
- LIC may open zonal offices without prior government approval.
Exam angle
- New FDI cap: 100%.
- Regulator: IRDAI.