Govt approves Rs 12,450cr capital infusion in 3 state-run general insurers

PTI

New Delhi: Union Ministers Narendra Singh Tomar (C), Prakash Javadekar and Santosh Gangwar (L) during a cabinet briefing, in New Delhi (PTI Photo)

New Delhi: Union Ministers Narendra Singh Tomar (C), Prakash Javadekar and Santosh Gangwar (L) during a cabinet briefing, in New Delhi (PTI Photo)

The Union Cabinet on Wednesday approved capital infusion of Rs 12,450 crore in three state-owned general insurance companies to strengthen their capital base and make them more stable.

The National Insurance Company, Oriental Insurance Company and United Insurance Company will get the additional capital, Information and Broadcasting Minister Prakash Javadekar told reporters after the cabinet meeting.

“Cabinet approves capital infusion of Rs 12,450 crore for three public sector general insurance companies Oriental Insurance Company Limited, National Insurance Company Limited and United India Insurance Company Limited (including Rs 2,500 crore infused in FY2019-20), an official spokesperson said in a tweet.

The recapitalization will make the three state-owned general insurance companies more stable, the minister said.