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of <h1>Indian residents can hold foreign insurance policies under Section 47(2) FEMA regulations effective June 2000</h1> The Reserve Bank of India issued the Foreign Exchange Management (Insurance) Regulations, 2000 under Section 47(2) of the Foreign Exchange Management Act, 1999. These regulations govern the holding of general or life insurance policies by Indian residents when such policies are issued by insurers located outside India. The regulations were notified on May 3, 2000, and became effective from June 1, 2000. The statutory framework establishes regulatory oversight for cross-border insurance arrangements involving Indian residents.
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