100% FDI in insurance broking planned

The government is looking at allowing 100 percent foreign direct investment (FDI) in insurance broking. A committee comprising senior officials from finance ministry and department of industrial policy and promotion (DIPP) will review the idea, a senior government official said.

Currently the insurance industry allows up to 49 percent, including insurance broking companies.

The official, who requested anonymity, said officials from DIPP and departments of economic affairs (DEA) and financial services (DFS) will soon convene a meeting on the issue. “The proposal has been there for a long time. There were some reservations from the insurance regulator, so now it is being deliberated at the highest level,” the official said to the Economic Times.