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ROLE & Objectives of LIC
Prepared by Aditya V [email protected]
Role of LIC
=============
1)Largest Insurance Company in India-55 percent share in
2009,monpoly for 50 years,insurance is not an option but necessity
in current times
2)largest institutional investor-
3)Provides expenses of Central government-24.6 percent of the
expenses of the central govt
4)Maximum types of schemes which touch every aspect of life-40+
schemes
5)Covers different economic sections of the society
6)Largest insurer in rural areas
7)Help in Channelizing Money of NRI's through schemes-Currency
Policy
8)One of the biggest Employer-8 zonal Offices and 101 divisional
offices locatedin different parts of India, at least 2048
branches,1.2 million agents
9)Non inflationary source of funds for the government
10)Funds to Private sector
11)Contribution to national GDP- In 2006, LIC created huge
surpluses and contributed 7 percent to the national GDP.
12)Social service with profit
Objectives of LIC of India============================* Spread
and provide life insurance to the masses at a reasonable cost.
* Spread Life Insurance widely and in particular to the rural
areas and to thesocially and economically backward classes with a
view to reaching all insurablepersons in the country and providing
them adequate financial cover against death at a reasonable
cost.
* Maximize mobilization of people's savings by making
insurance-linked savingsadequately attractive.
* Bear in mind, in the investment of funds, the primary
obligation to its polic
yholders, whose money it holds in trust, without losing sight of
the interest ofthe community as a whole; the funds to be deployed
to the best advantage of theinvestors as well as the community as a
whole, keeping in view national priorit
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ies and obligations of attractive return.* Conduct business with
utmost economy and with the full realization that the moneys belong
to the policyholders.* Act as trustees of the insured public in
their individual and collective capacities.
* Meet the various life insurance needs of the community that
would arise in the changing social and economic environment.
* Involve all people working in the Corporation to the best of
their capabilityin furthering the interests of the insured public
by providing efficient service with courtesy.* Promote amongst all
agents and employees of the Corporation a sense of participation,
pride and job satisfaction through discharge of their duties with
dedication towards achievement of Corporate Objective.
