The insurance sector does not perceive any major reversals to the reforms process. However, with the new government leaning towards the Congress Party, the sector accepts that there could be a change in what would be the government's priority.

Many players seem reconciled to the fact that relaxation in foreign direct investment in the insurance sector may not be top on the new government's agenda.

"There is no point in pushing for hiking the 26 per cent stake of foreign companies in insurance joint ventures. We do not expect it to come up for discussion before the winter session," said HDFC Standard Life Insurance Company managing director Deepak Satwalekar.

Foreign insurance players came to India with their eyes open, recognising that the 26 per cent cap on their domestic investment would be increased only over a period of time.

At the same time, should the government raise the foreign investment cap in insurance companies, ICICI Prudential Life CEO Shikha Sharma said: "It should also relook at the listing issue when the 26 per cent foreign holding is increased to 49 per cent. Considering that some companies may break even at different points in time, public listing could be given more flexibility and perhaps a 15-year time frame."

Financial markets cannot have uncertainty, said Satwalekar, adding the need for clarity in the opening up of the pension sector and how the insurance sector will work together with the pension sector. There is a lack of congruence in the functioning of the insurance and pension companies.