Introduction
Following a comprehensive review of the insurance legislative framework in India by the Finance Ministry, in consultation with the IRDAI and other stakeholders in the industry, the Government of India has issued a draft Bill titled “The Insurance Laws (Amendment) Bill, 2022” (“Draft Bill”) on 29 November 2022.
The Draft Bill proposes significant amendments to the Insurance Act 1938 (“Insurance Act”) and the Insurance Regulatory and Development Authority Act 1999 (“IRDA Act”), which are stated to primarily focus on “enhancing the financial security of the policyholders, promoting policyholders’ interests, improving returns to the policyholders, facilitating entry of more players in insurance market leading to economic growth and employment generation, enhancing efficiencies of the insurance industry – operational as well as financial, and enabling ease of doing business”.
