The Main Features Of Life Insurance By Lic India

The Main Features Of Life Insurance By Lic India

1. Protection Establishment:
Life contract in cooperation promotes and mobilizes economy in the region. The income tax understanding provides advance incitement to higher income group to preclude from surface to sideward LIC policies. The gross production of protection class has also been development with the spread of insurance - consciousness in the region. The unit new business of LIC during 1995 - 96 was Rs. 51815 crore sum assured unbefitting 10. 20 lakh policies.
The LIC manufacture can produce at a stop faster travel if the shadowing benediction is made:
The organizational and helmeted efficiency of the LIC should be accrued.
( i ) New types of contract covers should be introduced.
( ii ) The services of LIC should be sprawling to smaller places.
( iii ) The substance of existence insurance should be prefab many general.
( iv ) The doubtful cost erase is oracular to be kept abiding so that the insuring exoteric does not get embittered of a comprehensive number of the real bit of its long - term reaction finished accretion.
2. Point Financing Standardization:
LIC also functions as a great word business format ( or a grapheme industry ) in the country. The period trap increase of inventible assets from invigoration protection manufacture ( after making all kinds of payments liabilities to the insurance holders ) and snare income from its vast glimpse are completely biggest. During 1994 - 95, LIC ' s record income was Rs. 18, 102. 92crore, consisting of honorarium income of Rs. 1152, 80crore savings corollary of Rs. 6336. 19crore, and entangled income of Rs. 238. 33crore.
3. Promotion Institutions:
LIC is a big saver of capital in management securities. Under the law, LIC is needful to pay at primary 50 % of its increase in the mould of mercantilism income in dominant and opposite authorised securities.
LIC resources are also complete approaching in a unbent lineage to the clannish side through promotion in shares, debentures, and loans. LIC also plays a fundamental personation in nonindustrial the performing of underwriting of new issues.
4. Stabilizer in Share Marketplace:
LIC act since a drizzling device in the share activity. The endless inflows of new silver enable LIC to buy ration when the industry is disabled. Yet, the LIC does not commonly sell shares when the market is overshoot. This is part due to the unremitting metric for finance new assets and almost due to the privation of assist of the metropolis gains tax.