100 percent FDI in insurance sector opposed

Save Public Sector Committee opposes 100% FDI in insurance sector, demands protection for LIC and Indian policyholders.

The ‘Save Public Sector Committee’, which has been fighting against the systematic closure of public sector undertakings by the Union government, objected the nod to allow 100 percent Foreign Direct Investment (FDI) into the insurance sector.

Members of the committee, led by its convener A. Raghunatha Reddy, took out a candlelight rally at Kadapa on Wednesday. Calling the decision announced in the Union Budget as ‘irresponsible’, the leaders alleged that the Centre was determined in allowing into the country the insurance companies that had gone ‘bankrupt’ during the 2018 recession, much against the interests of the flourishing LIC of India.

“The insurance policies should be in tune with the requirements of the Indian public and the companies are required to function with a service motto. There is no other company that equals the credibility of LIC of India in settling claims to the satisfaction of policyholders,” Mr. Raghunatha Reddy said.

The speakers also demanded special tax relief on life insurance premium, GST exemption and autonomy to LIC. “Only a strong public sector can help withstand turbulence during global economic crises,” he added.

The protestors demanded the government to refrain from proposing the Insurance Act Amendment Bill in the Parliament. Bank Employees Coordination Committee district convener Srinivasulu Reddy, Kadapa Citizens Forum secretary Lakshmi Raja, A.P. Pensioners Association State leader Nagamuni Reddy, renowned surgeon C. Obul Reddy, and Sramika Mahila convener T. Subbamma took part.