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Below is Pre budget perspective for the Insurance Sector By Mr Satish Gidugu, CEO of Medi Assist

The Insurance Act is expected to regulate the insurance industry in India. If the act is tabled in the budget session, it would likely propose changes or updates to the current regulations governing the industry. These changes could potentially benefit insurance companies and third-party administrators (TPAs) in a number of ways like, increasing access to capital, and providing greater flexibility in product design and pricing.

The industry is expecting the government to reduce the minimum start-up capital requirement for new entrants in the insurance space and introduce composite licensing.

With composite licensing, insurance companies can offer multiple lines of business like life and general insurance under one license.  This system can help to increase the penetration of insurance in India by allowing companies to more easily and efficiently offer a wide range of insurance products to customers.

Additionally, composite licensing can also help to increase competition in the insurance market by making it easier for new and smaller companies to enter the market, which can lead to more choice and better pricing for customers.

Overall, composite licensing can help to improve the penetration of insurance in India by making it more convenient and accessible for both companies and customers.

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