MFs seek KYC easing, in line with insurance sector

The mutual fund (MF) sector has again indicated that compared to the insurance sector, it is being treated in a step-motherly manner. This time, it is a Budget proposal that has irked officials in the sector. The proposal said a customer could buy an insurance policy if he/she had a bank KYC (know-your-customer). It didn’t include MFs.

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Insurance News: Finance Ministry, insurance sector mull catastrophe pool

Cyclone Nilam has brought the insurance industry and the finance ministry closer on an agreement to set up an exclusive catastrophe pool to cover the losses that occur in natural disasters. Once implemented, a large percentage of house owners across India will have to start paying a premium towards the insurance cover with the balance being financed by the Central or state governments.

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Insurance sector needs $5-6 bn in immediate future: FM

Making a strong case for raising FDI cap in insurance sector, Finance Minister P Chidambaram said the industry requires USD 5-6  billion capital in the immediate run.

“Every company already has 26 per cent FDI. So if you raise the cap from 26 per cent to 49 per cent, then there is a headroom for  them to bring in more capital. The estimated capital requirement in insurance sector is about USD 5-6 billion in the immediate  future,” the Minister told reporters.

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