Insurance stocks gain on FDI hike

Shares in insurance companies surged on Friday after parliament passed a bill proposing to increase overseas investment limit in the sector.

Max India gained 4.8 per cent, Reliance Capital added 3.9 per cent while Exide Industries surged 2.7 per cent at 9:21 a.m. Lawmakers in the Rajya Sabha agreed to increase the foreign investment limit in insurers firms to 49 per cent from 26 per cent after the opposition Congress party supported the bill that was cleared by the Lok Sabha last week.