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At present, the upper limit for FDI is 74% into companies that write insurance cover. The foreign direct investment (FDI) limit in the insurance sector under the automatic route was increased to 74% from 49% earlier, in June 2021 by passing the Insurance (Amendment) Bill, 2021. The Bill amended the Insurance Act, 1938. FDI in the insurance sector was increased from 26% to 49% in 2015. For insurance intermediaries, like brokerages and others, who bring together customers and insurance firms, 100% foreign investment is allowed.
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