Bill provides that no insurer shall invest policyholders’ funds outside India, says government A Bill raising the foreign investment limit in insurance to 74 per cent ensures that control, ownership and money collected from policyholders stays in the country, Finance Minister Nirmala Sitharaman told Parliament on Thursday. Every insurance product, pricing, investment and marketing is regulated in the country, she said in reply to a debate in the Rajya Sabha, which passed the Bill. The decision to increase the foreign direct investment (FDI) limit from 49 per cent was taken after the sector regulator IRDAI held detailed consultations with stakeholders. “The regulator also flagged this point that if FDI has to be raised, it has to be raised with adequate safeguards…very clearly looking at both aspects of control and ownership, and also the (policyholders’) money does not go out of the country,” Sitharaman said. The Bill provides that no insurer shall, directly or indirectly, i...