LIFE INSURANCE CORPORATION
Life Insurance in India since vedic times, arrived here from England in its modern from only in the year 1818, to insure Europeans & support their windows, entered “Bombay Mutual Life Assurance Society” in 1870 the First Indian Insurance Company, with just seven rupees for initial expenses. Later, Lala Harikishan Lal Launched “Bharat Insurance Company” at Lahore in 1896.
In early days of 1956, nationalization of Life Insurance was taking concrete shape. Life Insurance was nationalized in the Public Interest, as a public utility and as a social service in the words of the then Finance Minister, Mr.C.D.Deshmukh.
“Yogakshema” building was inaugurated by Pt.Jawaharlal Nehru in 1963, by opening the gates with a silver key. “Yogakshema” LIC’s Corporate Office is not the only landmark building of LIC. The corporation also happens to be one of the largest properly owner in India, second only to Indian – railways.
LIFE – INSURANCE:
Meaning:
“Life insurance is a contract providing for payment of a sum of money to a person assured, or failing him, to person entitled to receive the same on the happening of certain Event”.
“Insurance refers to a contract taken out with an insure to protect against loss from a perceived risk or to provide for a secure further”.
The person taking out the Insurance is called the “Insured”. Payments for the policy are called ‘Premiums’. The amount of the premiums generally depends on factors such as age, gender, occupation etc.
Objectives of LIC:
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's savings by making insurance-linked savings adequately attractive.
Bear in mind, in the investment of funds, the primary obligation to its policyholders, whose money it holds in trust, without losing sight of the interest of the community as a whole; the funds to be deployed to the best advantage of the investors as well as the community as a whole, keeping in view national priorities 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 capability in 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
Vision :
"A trans-nationally competitive financial conglomerate of significance to societies and Pride of India"
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."
Policies :
Whole Life Plan: Here, the risk is covered for the entire life of the policy holder. There is no survival benefit and the policy Monies and bonus are payable to the nominees after the death of the policy holder. LIC has three plans under this category. The premium is lower compared to the endowment plans. As these policies do not have survival benefits, they do not appeal to young people and persons looking for savings for their old age.
Endowment Plans: This policy is taken for a specified period, at the end of which the sum assured along with the accumulated bonuses is paid to the policy holder. In case death occurs before the maturity, the sum assured along with bonuses till data are paid to the nominee. The endowment plans provide both risk cover and savings. The premium under this plan is high compared to the others.
Term Plans: Term policies cover the risk for a specified term after which the risk cover comes to an end. I the policy holder survives the term, then nothing is payable. But in some term policies, premiums are paid back to the policy holder at the end of the term. The premium under this policy is low and affordable for the common man. One can get high cover for a very low premium. They are ideal to cover high liabilities such as housing loans, personal loans, business loans etc.
Money Back Plans: One of the drawbacks of an insurance is the lack of liquidity. Money back policies remove this drawback by providing partial survival benefits at periodic intervals as long as the policy holder is alive. In case of death of the policy holder before the maturity of the policy, full sum assured is paid along with the accumulated bonuses irrespective of the survival benefits said. The premium rates under this category are very high. However, these policies provide cash at regular intervals.
Pension Plans or Annuities: Retirement planning or planning fo rold age has become vital today. The pension plans offered can be with death benefit or without death benefit. Here, a fixed sum is paid either in lump sum or in installments in exchange for a pension at the end of specified term.
Advantages:
It is superior to an ordinary saving plan: This is so because, unlike other saving plans, it afford full protection against risk of death.
Easy Settlement & Protection against creditors: The life assured can name a person to whom the policy many would be payable in the event of his death. The proceeds of a Life Insurance Policy can be protected against the claim of the creditors of the Life Assured by effecting a valid assignment of the policy.
Administering the legacy for beneficiaries:
The policy holder can arrange that in the event of his death the beneficiary should receive instead of a single sum.
Payment of the net claim amounts by equal installments.
Payment of the claim by lumpsum at the end.
Ready marketability and suitability for quick borrowing:
After an initial period, if the policy holder finds himself unable to continue payment of premiums he can surrender the policy for a cash sum further, a life insurance policy is sometimes acceptable as security for a commercial loan.
Tax relief:
It is one of the best tax saving option today. Tax can be saved twice on LIC policy, once when you pay premiums & once when you receive maturity benefits. “Money saved is money earned”.
Protection:
Life Insurance is a thoughtful business concept designed to protect the economic value of a human life for the benefit of those financially dependent on him or her.
Life Insurance in India since vedic times, arrived here from England in its modern from only in the year 1818, to insure Europeans & support their windows, entered “Bombay Mutual Life Assurance Society” in 1870 the First Indian Insurance Company, with just seven rupees for initial expenses. Later, Lala Harikishan Lal Launched “Bharat Insurance Company” at Lahore in 1896.
In early days of 1956, nationalization of Life Insurance was taking concrete shape. Life Insurance was nationalized in the Public Interest, as a public utility and as a social service in the words of the then Finance Minister, Mr.C.D.Deshmukh.
“Yogakshema” building was inaugurated by Pt.Jawaharlal Nehru in 1963, by opening the gates with a silver key. “Yogakshema” LIC’s Corporate Office is not the only landmark building of LIC. The corporation also happens to be one of the largest properly owner in India, second only to Indian – railways.
LIFE – INSURANCE:
Meaning:
“Life insurance is a contract providing for payment of a sum of money to a person assured, or failing him, to person entitled to receive the same on the happening of certain Event”.
“Insurance refers to a contract taken out with an insure to protect against loss from a perceived risk or to provide for a secure further”.
The person taking out the Insurance is called the “Insured”. Payments for the policy are called ‘Premiums’. The amount of the premiums generally depends on factors such as age, gender, occupation etc.
Objectives of LIC:
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's savings by making insurance-linked savings adequately attractive.
Bear in mind, in the investment of funds, the primary obligation to its policyholders, whose money it holds in trust, without losing sight of the interest of the community as a whole; the funds to be deployed to the best advantage of the investors as well as the community as a whole, keeping in view national priorities 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 capability in 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
Vision :
"A trans-nationally competitive financial conglomerate of significance to societies and Pride of India"
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."
Policies :
Whole Life Plan: Here, the risk is covered for the entire life of the policy holder. There is no survival benefit and the policy Monies and bonus are payable to the nominees after the death of the policy holder. LIC has three plans under this category. The premium is lower compared to the endowment plans. As these policies do not have survival benefits, they do not appeal to young people and persons looking for savings for their old age.
Endowment Plans: This policy is taken for a specified period, at the end of which the sum assured along with the accumulated bonuses is paid to the policy holder. In case death occurs before the maturity, the sum assured along with bonuses till data are paid to the nominee. The endowment plans provide both risk cover and savings. The premium under this plan is high compared to the others.
Term Plans: Term policies cover the risk for a specified term after which the risk cover comes to an end. I the policy holder survives the term, then nothing is payable. But in some term policies, premiums are paid back to the policy holder at the end of the term. The premium under this policy is low and affordable for the common man. One can get high cover for a very low premium. They are ideal to cover high liabilities such as housing loans, personal loans, business loans etc.
Money Back Plans: One of the drawbacks of an insurance is the lack of liquidity. Money back policies remove this drawback by providing partial survival benefits at periodic intervals as long as the policy holder is alive. In case of death of the policy holder before the maturity of the policy, full sum assured is paid along with the accumulated bonuses irrespective of the survival benefits said. The premium rates under this category are very high. However, these policies provide cash at regular intervals.
Pension Plans or Annuities: Retirement planning or planning fo rold age has become vital today. The pension plans offered can be with death benefit or without death benefit. Here, a fixed sum is paid either in lump sum or in installments in exchange for a pension at the end of specified term.
Advantages:
It is superior to an ordinary saving plan: This is so because, unlike other saving plans, it afford full protection against risk of death.
Easy Settlement & Protection against creditors: The life assured can name a person to whom the policy many would be payable in the event of his death. The proceeds of a Life Insurance Policy can be protected against the claim of the creditors of the Life Assured by effecting a valid assignment of the policy.
Administering the legacy for beneficiaries:
The policy holder can arrange that in the event of his death the beneficiary should receive instead of a single sum.
Payment of the net claim amounts by equal installments.
Payment of the claim by lumpsum at the end.
Ready marketability and suitability for quick borrowing:
After an initial period, if the policy holder finds himself unable to continue payment of premiums he can surrender the policy for a cash sum further, a life insurance policy is sometimes acceptable as security for a commercial loan.
Tax relief:
It is one of the best tax saving option today. Tax can be saved twice on LIC policy, once when you pay premiums & once when you receive maturity benefits. “Money saved is money earned”.
Protection:
Life Insurance is a thoughtful business concept designed to protect the economic value of a human life for the benefit of those financially dependent on him or her.
If you are decided to purchase any LIC Product please contact to me my mobile no is 9886043598, 9739041958.
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