Finance Ministry notifies 100% FDI in insurance sector, amends FEMA Rules
The FDI cap in the insurance sector was hiked to 100% under the automatic route from 74% earlier.
| Photo Credit: The Hindu
The Finance Ministry on Saturday (May 2, 2026) notified 100% foreign direct investment (FDI) in the insurance sector under the automatic route.
While 100% foreign investment will be allowed in insurance companies and intermediaries, including brokers, under the automatic route, the cap is 20% for Life Insurance Corporation (LIC), said the Foreign Exchange Management (Non-debt Instruments) (Second Amendment) Rules, 2026.
Published – May 02, 2026 07:22 pm IST
