Answer: Malhotra Committee
Notes: The correct answer is the Malhotra Committee. Established in 1993, it was tasked with reforming the insurance sector in India. The committee recommended the privatization and restructuring of the Life Insurance Corporation of India (LIC) to enhance competition and efficiency. This was a important step in liberalizing the insurance industry, which had been state-owned since its nationalization in 1956. The recommendations led to the Insurance Regulatory and Development Authority (IRDA) being established in 1999, paving the way for private players in the market.
