Background

Life Insurance Corporation of India (LIC) came into existence in Sep 1956 after the Parliament of India passed the Life Insurance Corporation Act in Jun 1956. The Corporation was created with the objective of spreading life insurance across the insurable population of the country, at a reasonable cost. It had 5 zonal offices, 33 divisional offices and 212 branch offices during the time of its establishment in 1956. Since then it reorganised itself by opening up a number of new offices keeping in mind the long-term nature of life insurance contracts coupled with the need to provide a variety of services during the policy term. Presently LIC is the leader in the domestic life insurance industry with a substantial market share.

Business Profile

LIC is a key player in the life insurance segment providing its clients with a wide range of insurance products. The Corporation’s insurance products are so designed that they meet various requirements of its clients belonging to different sections of the society. As on Mar 2009, the Corporation has issued over 257 mn policies with a total life fund of Rs 8,073.17 bn. LIC has in its basket more than 40 different plans catering to the differing needs of different segments of the society. LIC also provides endowment assurance plans for people of all ages and social groups who wish to protect their families from a financial setback that may occur owing to their demise. It also offers group insurance, group pension, group gratuity and social security schemes, micro insurance, which provide life insurance and other benefits at a much lower cost than traditional life insurance schemes. As on Jun 2009, LIC had 2,048 fully computerized branch offices, 109 divisional offices and 8 zonal offices apart from its corporate office in Mumbai, Maharashtra.