Insurance Bill 2025: FDI to 100%, LIC Reforms & IRDAI Powers Boosted

• New 'Sabka Bima Sabki Raksha Bill 2025' introduced in Lok Sabha proposes major reforms in India's insurance sector.
• Key change: Foreign Direct Investment (FDI) limit in insurance to be increased to 100%, aiming for easier capital access and increased penetration.
• Bill amends Insurance Act 1938, LIC Act 1956, and IRDAI Act 1999, empowering LIC board and strengthening IRDAI's supervisory role.
• Introduces governance changes, allows insurance companies to invest in private firms, and recognizes Managing General Agents.
• Experts foresee increased competition, efficiency, and product expansion, but emphasize proper utilization of investment for policyholder benefits.

Why It Matters: India's new Insurance Bill aims to liberalize the sector with 100% FDI, boosting capital and reforms.