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LIC-Secure your life,secure your future

Live life like a king

Give your family happiness and Zing
PREPARED

Company

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

INTRODUCTION OF LIC
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.

HISTORY OF LIC
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).

IMPORTANT MILESTONES
1912 - The Indian Life Assurance Companies Act
enacted as the first statute to regulate the life
insurance business.
1928 - The Indian Insurance Companies Act
enacted to enable the government to collect
statistical information about both life and non-life
insurance businesses.
1938 - Earlier legislation consolidated and
amended to by the Insurance Act with the
objective of protecting the interests of the insuring
public.

Cont..
IMPORTANT MILESTONES

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.

Cont..
IMPORTANT MILESTONES

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.

Cont..
IMPORTANT MILESTONES

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.

FORMATION OF LIC
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.

IMPORTANT MILESTONES IN THE

GENERAL INSURANCE BUSINESS IN INDIA
1907 - The Indian Mercantile Insurance Ltd. set
up, the first company to transact all classes of
general insurance business.
1957 - General Insurance Council, a wing of the
Insurance Association of India, frames a code of
conduct for ensuring fair conduct and sound
business practices.
1968 - The Insurance Act amended to regulate
investments and set minimum solvency margins
and the Tariff Advisory Committee set up.

Conti
1972 - The General Insurance Business
(Nationalization) Act, 1972 nationalized the
general insurance business in India with effect
from 1st January 1973.
107 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.

LIC OWNS THE FOLLOWING

SUBSIDIARIES
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.

Attractive LIC Plans

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
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

Jeevan Mitra-Triple Cover

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
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 maturitySA+acc.bonus paid to nominee.

Children Plans

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

Money Back Plans

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

Pension Plans
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

ULIP Plans
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

Special Plans
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

CURRENT STATUS
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.

Current scenario
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.
The Malhotra committee's recommendations
in 1994 brought about a sea change in the
industry.

PROGRESS OF LIC
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.

Conti
PROGRSS OF LIC

d) Contributed around 7 % of India's GDP in

2006.
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

Conti
PROGRSS OF LIC

h) In the financial year 2006-07 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 LIC
as the
No. 1 Service Brand of the Country.

The Corporation, which started its

business with around

AWARDS

Golden Peacock
Innovative Product /
Service Award - 2009

Loyalty Awards 2009

LIC- A Lion King

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.