India’s insurance sector is staring at a historic overhaul.
In the Budget Speech, Finance Minister Nirmala Sitharaman announced the Government’s intention of increasing the FDI limit on the insurance sector to 74% from the current 49%.
The move would allow for foreign ownership and control of insurance companies “with safeguards”, and has the potential of modernising the sector in a major way.
How will the potential reform change the insurance sector? What are the challenges and opportunities ahead?