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- 1. Introduction Life insurance in its modern form came to India from England in the year 1818. Oriental life Insurance company, started by Europeans In Calcutta was the first life Insurance company on Indian soil. Before 1912 India had no Legislation to Regulate Insurance Business. In the year 1912, the life insurance companies act the provident fund act were passed.
- 2. It made necessary that the premium rate tables & periodical valuations of companies should be certified by an actuary & actuaries means one who calculates insurance risks & premiums according to statistical probabilities. It was much later on the 19th Jan 1956, India parliament passed the LIC Act on the 19th Jan 1956 & the LIC of India was created on 1st sept,1956. LIC lad 5 zonal offices, 33 divisional offices 212 Branch offices, apart from its corporate offices in the year 1956. Today LIC function with 2048 fully computerized branch offices. 105 divisional offices. 8 zonal offices & the corporate office
- 3. LICs wide area network covers 100 divisional offices & connects all the branches through a metro area network with satellite offices attached to about some 50 branches. And has a network of around 1.2 million agents for soliciting life insurance from the public. It has crossed the milestone of issuing 1,01,32,955. New policies by 15th oct,2005-growth of 67% of previous year.
- 4. MISSION Explore and enhance the quality of life of people through financial security by Providing products and services of aspired attributes with competitive returns, and by rendering resources for economic development. Vision A trans-nationally competitive financial conglomerate of significance to societies and Pride of India.
- 5. Spread Life Insurance widely and in particular to the rural areas and to the Socially and economically backward classes with a view to reaching all insurable persons in the country and providing them adequate financial cover against death at a reasonable cost. Maximize mobilization of people savings by making insurance-linked savings Adequately attractive..
- 6. Conduct business with utmost economy and with the full realization that moneys belong to the policyholders. Act as trustees of the insured public in their individual and collective capacities. Promote amongst all agent and employees of the corporation a sense of participation, pride and job satisfaction towards achievement of corporate objective. INTERNATIONAL OPERATIONS.. LIC has always acknowledged the need to expand. our expanding efforts have been consistent & are evident through our associations.
- 7. LIC Fiji. LIC Mauritius LIC United Kingdom LIC (International) B.S.C (C), Bahrain LIC (Nepal) Ltd LIC (Lanka) Ltd Saudi Indian Company for Co-op. Insurance, KSA. LIC Mauritius Offshore Ltd. LIC Coordinating Office in India
- 8. PUBLIC RELATION DEPARTMENT The Public Relation Department in LIC is divided into three major categories. Namely: 1. Communication Department 2. Crisis Management Department 3. Publicity Department
- 9. COMMUNICATION DEPARTMENT The PRO of this Department is an external PR. In short, the communication Department PRO ensures that there is no communication gap between the company and the external concerned bodies.
- 10. The PRO in this department is an internal one. Wash the utensil before having food in it. PUBLICITY DEPARTMENT Hence a separate publicity department was formed which worked only for publicity strategies. Initially it was looked up by the Communication Department. CRISIS MANAGEMENT DEPARTMENT
- 11. Product offered to customer Children's Policy Komal Jeevan - Plan No. 159 Children Deferred - Plan no.41, Jeevan Kishore Plan no.102 Jeevan Chhaya - Plan no.103 Marriage Endowment/Educational Annuity - Plan No. 90 Jeevan Anurag - Plan no.168 Endowment Policy Endowment with Profits - Plan no.14 Limited Payment Endowment withProfits - Plan no.48, Jeevan Mitra - Plan no.88 New JanaRaksha Policy - Plan no.91, Jeevan Anand Plan no. 149 Jeevan Mitra Triple Cover - Plan no.133
- 12. Group Insurance Policy Janashree Bima Yojana Group Insurance Scheme in lieu of EDLI Group (Term) Insurance Scheme Group Savings Linked Insurance Scheme, Group Superannuation Scheme Group Mortgage Redemption Assurance Scheme Joint Life Policy Jeevan Saathi - Plan no.89 Money Back Policy Money Back with Profit - Plan no.75, New Money Back - Plan no.93 Jeevan Surabhi 15 yrs - Plan no.106, Jeevan Surabhi 20 yrs - Plan no.107 Jeevan Surabhi 25 yrs - Plan no.108, Jeevan Bharati Plan No 160 Jeevan Samriddhi Plan No 154, 155, 156 157 Bima Bachat- Plan no.175
- 13. Pension Plans or Annuities New Jeevan Dhara - Plan no.148, New Jeevan Suraksha Plan no. 147 Jeevan Akshay II Plan no. 163, Jeevan Nidhi Plan no. 169 Jeevan Akshay V Plan no. 183 Special Plans Term Assurance - Plan no.43, Mortgage Redemption - Plan no.52 Jeevan Aadhar - Plan no.114, Market Plus - Plan No 181 Jeevan Vishwas Plan No. 136, Jeevan Saral Plan No. 165 Jeevan Pramukh Plan No. 167, Bima Nivesh 2005 Plan No 171 Money Plus-Plan No 180 Term Policy Convertible Term Assurance - Plan no.58 New Bima Kiran Term Assurance Anmol Jeevan I Plan No- 164 Amulya Jeevan-Plan No-177
- 14. Admission Of Age: Age is the main basis of calculation of premium under life insurance policies. The following are accepted as evidence of age: Payment of Premium: By cash, local cheque, Demand Draft at Branch Office. Through Internet Premium payment can also be made through ATMs of Corporation Bank and UTI Bank. Days Of Grace: Policyholder should pay the premiums on due dates. However, a grace period of one month but not less than 30 days will be allowed for payment of yearly/half-yearly/quarterly premiums and 15 days for monthly premiums. If the premium is not paid before the expiry of the days of grace, the policy lapses. Service Quality
- 15. Renewal of Lapsed Policy: If the policy has lapsed, it can be revived during the life time of the life assured, within a period of five years from the date of the first unpaid premium but before the date of maturity subject to certain conditions. Change of Address and Transfer of Policy Records: The policyholder should immediately intimate the change of his/her address to the Branch Office servicing the policy. The correct address facilitates better Service and quicker settlement of claims. Loss of Policy Document: Loss of the Policy Document should be immediately intimated to the Branch Office where it is serviced.
- 16. Loans: Loans are granted on policies to the extent of 90% of Surrender Value of the policies which are in force and 85% of the Surrender Value in case of policies, which are paid-up, inclusive of the cash value of bonus. The rate of interest charged at present is 9% p.a. payable half- yearly. Loans are not granted for a period shorter than six months. Relief to Policyholders: The Corporation generally allows concessions on payment of premiums, settlement of claims, issue of duplicate policies, etc when the policyholder are affected by natural calamities such as droughts, cyclones, floods, earthquakes, etc. Nomination: The Nominee does not get any other benefit except to receive the policy moneys on the death of the Life Assured.
- 17. Survival Benefit/Maturity Claims: LIC settles survival benefit/maturity claims on or before the due date. Survival Benefit payment up to Rs.60,000/- are settled without insisting for Policy Bond and Discharge Voucher. Your Policy Bond and Its Safety: The policy bond is the document that is given to you after we accept your proposal for insurance. Inform your spouse/Parents/Children as to where the policy is kept.. Your Policy Number This is a unique identification number that distinguishes your policies from other policies and will remain unchanged throughout the lifetime of the policy.
- 18. Policy Conditions: Every policy is taken for different types of needs; therefore the conditions for your policy will vary according to the Plan and Term of the policy. Alterations In Policy: There may be instances when you would like to make alterations in your policy like change of premium payment mode, reduction in premium paying term etc. your applications may be given in writing to the branch that services your policy for our further action.
- 19. In the individual new business segment, while LIC, ICICI, and HDFC improved WNRP industry market share (YTD) by 3.8 percentage points, 1.5 percentage points, and 0.7 percentage points, respectively, Bajaj Allianz (1.8 percentage points), Birla (1.25 percentage points), SBI (1.26 percentage points) and Reliance (0.31 percentage points) lost significantly. At 5mFY11 end, private insurers market share stood at ~50%. Here is how Various Life Insurers stack up against each in the Industry as a whole. The following Data suggests that LIC of India is still the market leader followed by ICICI Prudential, HDFC Standard Life, SBI, Reliance, Bajaj, Birla Sun Life, Max New York etc.
- 20. Competitors.. 2% 1% 2% 3% 4% 6% 5% 8% 4% 5% 10% 50% Sales Kotak Met Tata Max Birla HDFC Reliance Others Bajaj SBI ICICI LIC
- 21. ASSOCIATES LIC Housing Finance Ltd. LICHLF Care Homes Ltd. LIC Mutual Fund AMC Ltd.
- 22. Over its existence of around 53 years, Life Insurance Corporation of India, which commanded a monopoly of soliciting and selling life insurance in India, created huge surpluses, and contributed around 7 % of India's GDP in 2006. The Corporation, which started its business with around 300 offices, 5.6 million policies and a corpus of INR 459 million (US$ 92 million as per the 1959 exchange rate of roughly Rs. 5 for a US $ , has grown to 25000 servicing around 180 million policies and a corpus of over 8 trillion (US$173.6 billion). The recent Econ