Parliament Passes the Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Bill, 2025.
On 17.12.2025, the Sabka Bima Sabki Raksha (Amendment of Insurance Laws) Bill, 2025 has been passed by Parliament. The bill amends three Acts related to Insurance sector, namely, The Insurance Act, 1938, the Life Insurance Corporation Act, 1956 and the Insurance Regulatory and Development Authority Act, 1999 (“IRDA”).
Key Takeaways:
- The Bill raises the Foreign Direct Investment (“FDI”) limit in insurance companies from 74% to 100%, allowing full foreign ownership to attract long-term capital, advanced technology, and global best practices.
- A dedicated Policyholders’ Education and Protection Fund will be established to promote insurance awareness and safeguard consumer interests, while policyholders’ data must be collected and protected in line with the Digital Personal Data Protection (DPDP) Act, 2023.
- The Net Owned Fund requirement of Foreign Reinsurance Branches is reduced from Rs 5,000 crore to Rs 1,000 crore.
- The Bill enhances IRDA’s enforcement authority to investigate violations, curb illegal commissions and rebate, and ensure stricter compliance by insurers and intermediaries.
- The move is positioned as a key reform to deepen insurance coverage and advance the goal of “Insurance for All by 2047”.
The Parliament Passes the SHANTI Bill, 2025 to Open Nuclear Energy Sector to Private Participation, Overhaul Liability and Transparency Norms.
The Sustainable Harnessing and Advancement of Nuclear Energy for Transforming India (SHANTI) Bill, 2025 has been approved by Parliament, marking a historic reform in India’s civil nuclear laws.
Key Takeaways:
- The SHANTI Bill allows Indian private companies, and potentially foreign partners (subject to government approval), to build, own, operate, and decommission nuclear power plants, breaking the decades-long public sector monopoly.
- The Bill repeals and replaces the Atomic Energy Act, 1962 and the Civil Liability for Nuclear Damage Act, 2010, creating a consolidated statute governing nuclear power generation, safety, regulation and liability.
- Private players must secure mandatory authorisation from the Atomic Energy Regulatory Board (AERB) for all radiation-related activities. The Bill empowers the regulator with statutory status to strengthen oversight.
- Only private operators are currently required to maintain insurance or financial security for nuclear risks, while government installations are exempt; the law also allows a Central Nuclear Liability Fund to cover compensation obligations.
- Section 39 of the SHANTI Bill explicitly overrides the Right to Information (RTI) Act for wide categories of nuclear information (including plant siting, materials and design), raising criticism that essential data could be kept out of public scrutiny without appeal or public interest tests.
- The Bill shifts away from the previous “supplier liability” model by removing automatic right of recourse against vendors for defects. Instead, liability is capped on the basis of plant capacity and subject to contract terms, aligning with global norms but drawing accountability concerns.
Right to Disconnect Bill, 2025 Introduced in Lok Sabha to Safeguard Employees’ Personal Time and Promote Work-life Balance.
The Right to Disconnect Bill, 2025 has been introduced in the Lok Sabha with the objective of recognising employees’ right to disengage from official communication after working hours, addressing concerns arising from always-on digital work culture.
Key Takeaways:
- The Bill seeks to legally recognise an employee’s right to not respond to work-related calls, emails or messages beyond official working hours.
- Section 7 of this Bill establishes that every employee enjoys a legal right to disconnect from work-related communications once their agreed working hours have ended.
- Section 11 states that, if employees choose to respond during these periods, they are entitled to overtime pay at the normal wage rate, thereby preventing exploitation and ensuring fair compensation for additional work.
- The penalty is fixed at 1% of the total remuneration paid to employees, under Section 19 serving as a significant financial deterrent against non-compliance.
- The Bill mandates the creation of an Employees’ Welfare Authority, a central body ensuring that employee dignity and work life balance are protected in the digital age.
- It aims to promote healthier work–life balance by addressing burnout, stress and excessive workplace pressure linked to digital connectivity.
- The Bill addresses the challenges of remote work by requiring mutually agreed policies and awareness programmes on digital tool use. It also mandates counselling services and digital detox centres to support employee well-being and healthier technology habits.
Lok Sabha Introduces Securities Markets Code, 2025 Consolidating Multiple Securities Laws into a Unified Framework.
The Securities Markets Code, 2025 has been introduced in the Lok Sabha with the objective of consolidating and harmonising India’s key securities market legislations into a single comprehensive regulatory framework.
Key Takeaways:
- The Bill merges and replaces three major securities laws – the Securities Contracts (Regulation) Act, 1956, the SEBI Act, 1992, and the Depositories Act, 1996 – into one unified Securities Markets Code aimed at reducing complexity and eliminating overlapping provisions.
- The Code formally incorporates investor protection measures, including a statutory Investor Charter, formal grievance redressal mechanisms, and an Ombudsperson for time-bound resolution of unresolved complaints.
- The Code establishes limitation periods for inspections and investigations, introducing legal certainty and reducing prolonged regulatory uncertainty for market participants.
- The Code proposes streamlined compliance structures to simplify the regulatory environment for market participants.
It is expected to improve regulatory efficiency, reduce fragmentation and enhance overall market confidence.
