There are more than 22 life insurance companies operating in India, but while buying life insurance why should one prefer LIC over others, there are numerous reasons but 26 strong reasons are listed below.
Rank of LIC
a) LIC is No.1 insurer in the world in Volume & Sold around 3.75 Cr.Policies in 2007-2008.
b) LIC is one of the Highest income tax playing Organization. For Financial Year 2007-08, LIC has paid advance Tax Rs.2627. 14 Cr. & Service Tax Rs.1292. 15 Cr.
c) Only 4 countries in the world have more population that LIC`s policy holders.
Settlement Of Claims
d) No.1 insurance Company in the world in terms of claims paid.
e) LIC Settles 2.21 claims per second, LIC settled 139 lakhs (1,39,00,000) claims during the year 2007-2008. Note: They are number of claims not the amount paid in claims.
f) Prompt settlement of claims (97% maturity claim settled on or before due date)
g) One of the Lowest outstanding Claim Ratio in the world ( Maturity+S B Claim-0.07%)
Advanced Technology-For Better Customer Service
h) LIC is second largest PC user in the country.
i) EDMS to make LIC a paperless office- Enabling Policy servicing & payments through all branchs in the country.
j) Premium Payment Facility extended through networked 2048 branches, ECS, ATM’s through internet, online portals, collecting bank (Axis Bank), AP online, through SMS, through selected agents.
Social Strength
k) LIC – an institution builder promoting many financial and insurance institutes like NSE, NCDEX, LIC Mutual Fund, Stock Holding Corporation of India, National insurance Academy, insurance institute of India etc.
l) LIC has foreign operations in Mauritius, Fiji and London and has joint venture operating in Sri lanka, Nepal, Bahrain & Saudi Arabia. New offices will be shortly opened in Australia, USA & Canada.
m) LIC is known as “Pension Provider” of the country.
n) 1st Pension company in India is floated by LIC as “LIC Pension Fund Ltd” on 21st Nov 2007.
o) Widest range of plans (about 48) for every need of the customer of 0 to 79 years of age.
p) “Jeevan Saral” one of the product of LIC got “Best innovation product ” award from I.R.D.A.
q) New East – Central Zonal Office opened at patna to cater the needs of states of Bihar, Jharkhand and Orissa. 5 new Divisional offices were also opened in 2007-08. Pune D.O.was splited in 2 divisions, viz Pune Division (i) and Pune Division (ii).
People’s Money For People’s Welfare
r) LIC invested more than Rs.56,691crores in infrastructure sector.
s) In socially oriented sector like water, drainage & housing etc, LIC has invested Rs.5,635 crores during 2007-08 & total investment in this sector is Rs.32,321 crores.
t) Total investment in Social Sector Rs.89,000 Crs.
u) Total investment in Nation Building Activities is 5, 76,000 Crs.
Financial Strengths
v) LIC’s investment income in 2007-08 was Rs.40, 655 crores. Out of Total income of Rs, 1, 76,559.28 Crs.
w) Total Assets of the corporation as on 31.3.09 is around Rs. 8, 50,000 Crs.
x) Largest institutional investor in Share Market. On an average Rs.300 crore invested every day. During the year 2007 LIC earned the profit Rs.10,000 Crs. from the Sale of Equity.
y) Largest Financial institutional investor both Equity market & Term House.
z) All traditional policies are guaranteed by Central Government of sovereign guarantee.
Awards won by LIC
1. Adjudged “The most trusted service Brand” in India, by “Economic Times and AC NEILSEN ORG MARG” for the year 2009 for the 5th consecutive year.
2. “Golden Peacock” award for Excellence in “corporate Governance”
3. LIC adjudged as “Best life insurance Company of the year” at the NDTV Profit Business Leadership Awards-2009.
4. LIC adjudged the “Most Preferred Life insurance Company of the year” at the “CNBC AWAAZ” consumer award 2009 for 3rd time in succession.
5. Awarded Reader Digest’s “Trusted Brand”2006,2007,2008 &2009 (Voted by Consumers)
6. Outlook Money NDTV Profit Award
7. “SKOCH Challengers Award 2009” for “Jeevan Madhur“.
8. “Loyalty Awards 2009“- insurance Sector.
9. Double crown for LIC in corporate Olympics 2008, Most Sporting Corporate
Championship Award Winner-2008
source: lic of india
