India now permits 100% Foreign Direct Investment (FDI) in the insurance sector under the automatic route, through amendments to the Foreign Exchange Management Act (FEMA) Rules, 2019. Under the automatic route, foreign investors do not need prior approval from the government. The new rules cover insurance companies, insurance brokers, consultants and Third-Party Administrators (TPAs). All such investments will be regulated by the Insurance Regulatory and Development Authority of India (IRDAI). However, the FDI limit for the Life Insurance Corporation of India (LIC) remains capped at 20%.