Most Indian Banking services, Payment endpoints, OTT platforms have adapted phone numbers as identity.
Your phone number is your identity. You can receive or send money only through your phone if the SIM is installed and validated by sending an SMS.
Getting a replacement SIM card requires physical verification using Aadhar (Identity service) with One Time Password validation (Email/SMS). Once the new SIM is active, you will not receive any SMS for the first 24 hours after getting a replacement SIM card. This is to reduce the attack surface of SIM Swap attacks.