LIC Full Form - Life Insurance Corporation of India

What is the full form of LIC?

The full form of LIC is Life Insurance Corporation of India. LIC is a government-owned insurance and investment company arising from the Life Insurance Act of India, which put the life insurance industry under the control of the government by nationalisation, thereby establishing LIC in 1956. According to the LIC ‘s website, the aim is to provide citizens with a higher return on economic security through services and products than most other investment players on the market, thereby helping them build a particular quality of life and providing economic development.

Main Objective of LIC

• LIC assist in reaching the country’s rural areas to provide insurance to the most significant number of people at a reasonable cost for protection against unfortunate death.
• Maximise mobilisation of revenue in order to make insurance-linked savings attractive.
• The funds collected by such schemes are spent in the best interests of policyholders and in the sectors of national significance to comply with the country’s objectives.
• Act as trustees for those who are insured.
• Meet the changing needs for insurance due to changing social and economic environment.

History of LIC

• The first company in Pre-independent India to offer life insurance services was the Oriental Life Insurance Company, which concentrated more on the European population here and forced Indians to pay more premiums.
• Post that, Surendranath Tagore started the Hindustan Insurance Society, . Until 1956, several other companies sprang up in this area, but in 1956, the Parliament approved the act of nationalising the industry due to growing fraud in the industry.
• The Industrial Policy Resolution entered into effect in 1956 in the time frame, which nationalised various services, one of which was the insurance industry. The insurance sector’s 245 private players were taken over by the government and nationalised. The LIC of India was created by the LIC Act, 1956.

List of LIC product line

It provides different product lines, including life insurance policies, savings, and investment products. Below are some of the famous LIC products or plans:

• LIC Bima Jyoti
• LIC Jeevan Labh
• LIC Jeevan Amar
• LIC Jeevan Shanti.