INTRODUCTION OF LIC HISTORY OF LIC FORMATION OF LIC IMPORTANT MILESTONES IN THE GENERAL INSURANCE VARIOUS PLANS &POLICIES CURRENT STATUS AWARDS COMPETETIVE ANALYSIS

 The Life Insurance Corporation of India (LIC), a public sector enterprise, is the largest insurance company in India, selling insurance products and related services.  Each of its business products offered a variety of different plans to suit different customers and situations, Also provided social security schemes and pension schemes. Investment in LIC was considered by a majority of its customers to be reliable and secure.

 The concept of life insurance came to India when two British insurance companies were established in the country - the Oriental Life Insurance Company (in Calcutta in 1818 By Bipin Behari Dasgupta and others ) and Bombay Life Assurance Company (in Bombay in 1823).

 The Indian Life Assurance Companies Act enacted as the first statute to regulate the life insurance business.  The Indian Insurance Companies Act enacted to enable the government to collect statistical information about both life and non-life insurance businesses.  Earlier legislation consolidated and amended to by the Insurance Act with the objective of protecting the interests of the insuring public.

This legislation was lead to met requirement of insurance policy act like statutory requirement of equity capital for companies carrying on life insurance business a ceiling on share holdings in such companies stricter control on investments Submission of periodical returns relating to investments and other such information to the controller.

Malpractices and Mismanagement had crept into the management of several of these companies. More than 50 private insurance companies had been liquidated or swindled the policyholders. There were complaints of different types of malpractices by many insurance companies like falsification and denial of claims, and inter-locking of funds.

To protect the public, the government nationalized the insurance industry. On January 19, 1956, the management of the life insurance business of 245 Indian and foreign insurers and provident insurance societies then operating in India were taken over by the central government. By 1956, there were 154 life insurance companies in India.

The Parliament of India passed the Life Insurance Corporation Act on the 19th of June 1956, and the Life Insurance Corporation of India was created on 1st September, 1956, with a capital contribution of Rs. 5 crore from the Government of India. with the objective of spreading life insurance much more widely and in particular to the rural areas with a view to reach all insurable persons in the country, providing them adequate financial cover at a reasonable cost.

The Indian Mercantile Insurance Ltd. set up, the first company to transact all classes of general insurance business General Insurance Council, a wing of the Insurance Association of India, frames a code of conduct for ensuring fair conduct and sound business practices The Insurance Act amended to regulate investments and set minimum solvency margins and the Tariff Advisory Committee set up.

The General Insurance Business (Nationalization) Act, 1972 nationalized the general insurance business in India with effect from 1st January insurers amalgamated and grouped into four companies viz. the National Insurance Company Ltd., the New India Assurance Company Ltd., the Oriental Insurance Company Ltd. and the United India Insurance Company Ltd. GIC incorporated as a company.

1. Life Insurance Corporation of India International: This is a joint venture offshore company promoted by LIC which commenced operations in July, 1989 with the objectives of offering US$ denominated policies to cater to the insurance needs of NRIs and providing insurance services to holders of LIC policies currently residing in the Gulf.

Jeevan Anand :Best selling plan of LIC….Offers maturity benefit, with extended whole life cover(free of cost)…along with Double accident benefits. Jeevan ke sath bhi….jeevan ke baad bhi” Loan facility,Assignment available.

Jeevan Mitra: Most suitable plan to protect the family, with high returns on exigency. Maturity benefits- SA+bonus +FAB Death Benefit: Double SA+bonus + FAB Accidental benefits :Triple SA + Bonus + FAB Loan facility,assignment available

This plan is most suitable with highest and unusual benefits for your family. Maturity benefits-SA + Bonus + FAB Death Benefit:3 x SA + Bonus + FAB Accidental benefits:4 times SA,bonus and FAB Housing loan,Loans,assignment available.

Jeevan Sathi is an ideal plan for married couple and protects the surviving spouse in the event of exigency. On maturity:SA+Bonus+FAB On death of any one, surviving partner gets SA with premium waiver. Survivor on maturity gets SA+bonus, but in case of death before maturity-SA+acc.bonus paid to nominee.

Komal Jeevan Jeevan Kishore Jeevan Chhaya Marriage Endow.or Edu. Annuity plan Child Fortune plus Jeevan Anurag

These plans are best suitable for professionals and businessmen, who get systematic and periodic repayments of survival benefits. Money Back Policy-20 yr term Money back policy-25 yr term Jeevan Surabhi (Term-15/20/25 yrs) Bima Bachat-single prem. facility

These plans are most suitable to provide regular financial security even when you get retired, you shall never get tired. Jeevan Nidhi Jeevan Akshay New Jeevan Dhara New Jeevan Suraksha

Plans are linked to the money markets and provide a best blend of life protection as well as flexibility and growth of investments. Market Plus I Fortune Plus Profit Plus Child fortune plus Jeevan Sathi plus

Plans for High net worth individuals and CEOs, industrialists,persona eminence. Jeevan Shree I Jeevan Pramukh Key man Insurance Jeevan Aadhar & Jeevan Vishwas-plans for disabled and handicapped dependents

 Tracing the developments in the Indian insurance sector reveals the 360-degree turn witnessed over a period of almost 190 years.  The enforcement of New Economic Reforms in 1991 coupled with the formation of Insurance Regulatory and Development Authority Act (IRDA) of 2000 (which started issuing licenses to private life insurers ) has diluted the monopolistic attitude commanded by LIC.

 The only insurance company belonging to the public sector now has to compete with several other corporate entities of its kind which often are heavyweight Indian as well as Multinational Life Insurance Brands in themselves.

Headquartered in Mumbai, which is considered the financial capital of India, the Life Insurance Corporation of India currently has a) 8 zonal Offices and b) 101 divisional offices located in different parts of India c) 2048 branches located in different cities and towns of India.

d) Contributed around 7 % of India's GDP in e) It also funds close to 24.6% of the Indian Government's expenses. f) It has assets estimated of 5 Trillion Rupees. g) 1.2 million agents and Employs over. 1,12,184

h) In the financial year Life Insurance Corporation of India's number of policy holders are said to have crossed a whopping 200 million (fourth in terms of population of the countries of the world) i) It also operates in 12 other countries. j) The recent Economic Times Brand Equity Survey rated as the No. 1 Service Brand of the Country. Conti… PROGRESS OF LIC

The Corporation, which started its business with around

Golden Peacock Innovative Product / Service Award Loyalty Awards

Though many more Private players have entered the Insurance Universe in India, still LIC manages to be the largest player in the Indian market, with the lion's share of 55%, with best bouquet of products and plans to be offered for masses as well as classes.