Insurance Stocks: After the budget speech of Finance Minister Nirmala Sitharaman on Saturday, there was a tremendous bounce in the shares of insurance companies. Star Health, ICICI Prudential Life, SBI Life, HDFC Life, Max Financial, LIC (LIC) and Neewa Bupa Health Insurance rose up to 7% on BSE.
Till 12:05 pm, all these stocks were trading up by 1% to 4%, while the BSE Sensex saw a decline of 0.23%.
The Finance Minister announced on Saturday that the limit of FDI (FDI) in the insurance sector would be increased from 74% to 100%. However, this change will apply to those insurance companies that will invest their entire premium amount in India.
‘Insurance for All’ dream will be fulfilled by 2047
This step of the government has been taken to further strengthen the insurance sector, which aims to meet the goal of ‘Insurance for every citizen’ in the country by 2047.
Prospects in insurance industry increased: HDFC Life
HDFC Life said that the Life Insurance Sector in India is no longer just a medium of savings, but is providing new opportunities for retirement, security and long -to -long investment. According to HDFC Life, the insurance industry is growing rapidly and is getting support from economic development, growing middle class, innovative products and better policies.
India’s insurance market will increase at a speed of 7.1%
According to a study by Swiss Ri, the total insurance premium in India will increase at a rate of 7.1%in the next five years, which is much higher than the global average (2.4%), emerging market (5.1%) and developed market (1.7%) Is.