Max India shares surge 8.7 per cent ahead of voting on Insurance Bill in Rajya Sabha

Shares of insurance companies surged on the domestic bourses on Thursday with Max India stock gaining 8.7 per cent, Reliance Capital's scrip rising 4.2 per cent and shares of Bajaj Finserv trading 1.5 per cent higher.

The Rajya Sabha is expected to vote on the Insurance Bill, a legislation which proposes to increase the foreign investment limit in insurance companies to 49 per cent from 26, as early as Thursday.

Traders cited hope that the Bill will be passed with amendments as the reason for the surge in share prices.

The Insurance Bill was passed in the Lok Sabha last week.

(Reuters)