Life is unpredictable, therefore having a reliable financial companion around you is invaluable. Insurance is one such companion that provides a shield of assurance that protects you through the uncertainties of life, ensuring a secure and stable future. In India, the Life Insurance Corporation of India (LIC) is the largest and most trusted life insurance company. Since its inception, LIC has been taking care of the financial well-being of millions and has become a household name and a symbol of trust in the insurance industry.
Life Insurance Corporation of India(licindia. in)
The Rich History of LIC
The history of the Life Insurance Corporation of India (LIC) dates back to the pre-independence era. In India LIC was the first life insurance company that was established by the Britishers in Kolkata in 1818 followed by other insurance companies including Bharat Insurance Company, United India, National Indian, National Insurance, Co-operative Assurance, Hindustan Co-operatives, and The New India Assurance Co Ltd.
After independence, the Parliament of India passed the Life Insurance Corporation Act, of 1956, nationalizing the insurance industry in India. Life Insurance Corporation (LIC) was started by the government of India with just over 245 Indian and foreign insurers and provident societies. The Government of India also gave it a capital contribution of Rs. 5 crore. Thus, on September 1, 1956, LIC came up as a public sector life insurance company, with the intent to provide life insurance coverage to the masses at an affordable price, especially in rural India.
Back then LIC had 5 zonal offices, 33 divisional offices, 212 branch offices, and a corporate office. During 65 years of its existence, LIC has witnessed immense growth in various arenas such as its customer base, agency network, branch office network, and new business premium. The company has since been playing a significant role in making life insurance accessible to people across the country.
LIC’s Diverse Offerings
Comprehensive Range of Life Insurance Products
Life Insurance Corporation offers a wide range of innovative and affordable life insurance plans, money-back plans, pension plans, and health insurance plans. These include term plans, endowment plans, and whole-life policies that cater to the diverse needs of its customers. From traditional life insurance to health policy, these are tailored to suit every individual’s insurance needs. In a nutshell, we can say that LIC caters to a broad spectrum of insurance needs and ensures that individuals and their families are well protected against life’s uncertainties.
Annuity Plans for a Secure Future
Planning for a secure retirement is very crucial in our lives. LIC’s annuity plans are designed to ensure that individuals remain financially stable, secure, and comfortable even in their post-retirement years. It includes various pension plans, such as New Jeevan Shanti, Jeevan Akshay –VII, Saral Pension, and Pradhan Mantri Vaya Vandana Yojana, each designed to meet specific retirement needs.
Health Insurance Plans
Life Insurance Corporation offers a diverse range of health insurance plans including Jeevan Arogya, Cancer Cover, and Health Protection Plus to ensure comprehensive coverage of your medical emergencies.
Impressive Claim Settlement Ratio
Life Insurance Corporation has an impressive claim settlement ratio of 98.7% and a solvency ratio of 1.79. These statistics are proof of the company’s financial stability and its ability to fulfill its commitments. It has a market share of 61.80%, proving it to be a dominant force in the Indian insurance market. No wonder it provides a sense of security and financial protection to a vast number of its policyholders.
Excellent Customer Care Service
In addition to its insurance products, LIC also provides excellent customer service through its call center, offering services such as claim settlement, policy guidelines, tax benefits, NRI insurance, and more. The company’s dedication to customer satisfaction and its strong financial standing have made it the go-to choice of many Indians.
National Presence
Life Insurance Corporation has a wider reach in India as compared to other insurance companies extending from urban metropolises to the farthest corners of rural India this has been possible because of the vast network of its branches and agents. Life Insurance Corporation has a policyholder base of over 40 crore. This shows its commitment to making insurance accessible to all.
LIC’s Role in Social Welfare
Life Insurance Corporation also takes significant initiatives in the areas of social welfare. It actively participates in nation-building by investing in infrastructure projects and supporting government initiatives. It allocates nearly 90% of its profits to policyholders to ensure maximum benefit reaches the common people including rural and economically backward classes.
LIC’s life insurance policies provided a sense of security to Indian families, helping them cope with unexpected financial setbacks. Life Insurance Corporation has played a significant role in India’s economic and social development. It invested heavily in government projects, which contributed to the development of infrastructure and industries in India.
Partnerships and Collaborations
Life Insurance Corporation has collaborated with different financial institutions, ensuring a diverse range of insurance and investment products. This ensures that policyholders have access to comprehensive financial solutions.
Technological Initiatives of LIC
As technology evolves, LIC continues to adapt. In 2020, the LIC Mitra chatbot was launched for the timely resolution of basic customer queries. It has a dedicated mobile app for customer self-service and agent support for efficient management of its policies. The corporation also offers online services, making it convenient for policyholders to manage their accounts, pay premiums, and access information. Many emerging technologies such as big data, blockchain, and cloud have also been explored by the company to ensure hassle-free customer service.
Conclusion
To sum up, the Life Insurance Corporation of India (LIC) has been a pioneer in the Indian insurance industry, offering a wide range of affordable life insurance and pension plans. Whether you are looking for life coverage or annuity plans, LIC will stand with you as your trusted companion with its legacy of trust, commitment, high claim settlement ratio, and customer-centric approach
