The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri Narendra Modi has given its ‘in principle’ approval for listing the following five Government owned General Insurance Companies in the stock exchanges.
(i) The New India Assurance Company Ltd.
(ii) United India Insurance Company Ltd.,
(iii) Oriental Insurance Company Ltd.,
(iv) National Insurance Company Ltd. and
(v) General Insurance Corporation of India.
The shareholding of these Public Sector General Insurance Companies (PSGICs) will be divested from 100 percent to 75 percent in one or more tranches over a period of time. During the process of disinvestment, existing rules and regulations of Securities and Exchange Board of India (SEBI) and Insurance Regulatory and Development Authority of India (IRDAI) will be followed.
Listing of (PSGICs) is likely to yield the following benefits: