Kolkata: Insurance sector regulator IRDAI was in the process of tweaking the capital requirements norms for insurance companies, an official said Thursday.

"In India, the capital requirement at present is Rs 100 crore, which is quite high as compared to advanced nations", Nilesh Sathe, Member (Life), Insurance Regulatory Development Authority of India (IRDAI) said.

By 2021 or 2022, this amount would be changed so that many aspirants could join the insurance sector, he told reporters on the sidelines of the MCCI seminar here on Thursday.

These firms also did not need to offer a plethora of products but could stick to select ones, he viewed.

Sathe also said he was in line with the banking sector requirements to bring down promoters' capital leading to the listing of insurance firms.

According to him, term policies in India are driven by the private sector, unlike the LIC. India still provides a big scope for insurance penetration and increase the density of insured persons.