Mumbai, Dec. 16 -- Finance Minister Nirmala Sitharaman has tabled the Insurance Laws (Amendment) Bill, 2025 in the Lok Sabha, proposing wide-ranging reforms in the insurance sector. The Bill seeks to amend the Insurance Act, the LIC Act and the IRDAI Act, with a focus on liberalisation, modernisation and stronger regulation.

According to the report, the Bill will empower the Insurance Regulatory and Development Authority of India to cap agent commissions through formal regulations. The regulator is expected to set upper limits on commissions, incentives and other forms of remuneration payable to agents and intermediaries, reducing the flexibility available under existing norms.

The report said the move could impact digital insurance pla...