The federal government has tabled the Insurance Bill 2026 in the National Assembly, marking the most significant overhaul of its insurance sector in 25 years.
The new legislation proposes fully opening the insurance sector to foreign investment, with the aim of attracting international capital into the financial system of the country.
A stable insurance sector is of utmost importance for the sustainable growth of the economy,” said Dr Kabiruddin Siddiqui, SECP Chairman.
The bill will replace the Insurance Ordinance that has governed the sector since 2001, introducing modern regulatory frameworks suited to current market conditions.
Securities and Exchange Commission of Pakistan Chairman said the bill would provide stronger financial protection for citizens, businesses, industry and agriculture.
He added that the new law would enable lower-cost and faster insurance services to be delivered to consumers through digital platforms across the country.
The government said the reforms are designed to increase competition, improve transparency and boost investment within the currently underdeveloped insurance sector.
