Foreign investment cap in insurance set below half; automatic entry to lower threshold, government route required up to the cap. Regulations amend Annex B to impose a 49 per cent combined foreign investment cap for insurance companies and designated intermediaries, allow investment on an automatic route up to a lower threshold with Government approval required for increases beyond that automatic threshold up to the cap, and require RBI-IRDA consultation for FDI in private banks with insurance JV/subsidiaries to ensure the insurance sector cap is not breached; compliance with Insurance Act, IRDA licensing, Indian ownership and control, portfolio investment rules and RBI pricing guidelines is mandated.