Liberalisation of the Insurance IndustryLessons from the US…美国保险业自由化课程.pdfVIP

I C R A B U L L E T I N Liberalisation of the Insurance Money Industry: Finance Some Lessons from the US experience APRILñJUNE .1999 SUMON KUMAR BHAUMIK Abstract While no aspect of the reform process in India has gone smoothly since its inception in 1991, no individual initiative has stirred the proverbial hornets’ nest as much as the proposal to liberalise the country’s insurance industry. However, the Insurance sector political debate that followed the submission of the report by the Malhotra Com- mittee has presumably come to an end with the ratification of the Insurance reform has become Regulatory Authority (IRA) Bill both by the central Cabinet and the standing committee on finance. The new Parliament is expected to ratify the Bill by the end of one of the most the calendar year. Hence, it is time to initiate a new debate about the future of the insurance industry in India, one shorn of political rhetoric and jingoism. In order to contentious issues in facilitate such a debate, the paper examines the experience of the US insurance industry during 1970s and 1980s. It traces the evolution of the life insurance India’s economic companies in the US from firms underwriting plain vanilla insurance contracts to those selling sophisticated investment contracts bundled with insur