FDI Boost: Will Insurance Premiums Drop? Experts Weigh In on New Bill

• Lok Sabha approved the Insurance Amendment Bill 2025, increasing FDI limit in insurance from 74% to 100%.
• Experts like Narendra Bharindwal state immediate premium reduction is unlikely; prices depend on risk, claims, and regulatory policies.
• Abhishek Bansal and Puli Das foresee long-term benefits: increased efficiency, competition, better services, and wider product choice.
• The move aims to attract foreign capital, expand insurance penetration, and advance 'Insurance for All by 2047'.
• While immediate premium cuts are not expected, the sector anticipates improved quality, accessibility, and potentially lower rates over time.

Why It Matters: Increased FDI in insurance promises long-term benefits like better services and competition, but not immediate premium drops.