We hope that introduction of Risk Based Premium system will make ground for considering raising the insurance cover from the present ceiling of ₹ 1 lakh. Structure of differentiated banks and consumer protection 19.
In addition, to avoid regulatory arbitrage, markets should be regulated according to economic substance, placing similar activities into the same regulatory bucket, even if undertaken in different institutions. Regulating by economic substance should limit the destabilizing impact of shadow banks on the banks themselves.