The Life Insurance Corporation of India (LIC) is an insurance group and financial company that is run by the government of India. It was set up on September 1, 1956, when the Parliament of India passed the Life Insurance Corporation Act, which took over the private life insurance business in India and made it a part of the government.
Before LIC was created, most life insurance business in India was done by private insurers. There were a lot of problems in the business, such as a lack of financial security, low levels of penetration, and uneven regional coverage. The government chose to form a state-owned company to deal with these problems and offer cheap life insurance to the general public.
About 245 insurance companies and provident societies, both Indian and foreign, that were in India at the time were brought together to form LIC. The main goal of LIC is to spread life insurance and make sure that as many people as possible are covered. It offers a wide range of insurance goods, such as life insurance for individuals, group insurance, pension plans, and plans that are linked to investments.
LIC has been very important to the growth of the Indian life insurance business. It has a large network of branch offices, agents, and middlemen all over the country, so it can reach people in both cities and small towns. LIC has made a lot of progress over the years and is now the biggest life insurance company in India in terms of market share and number of customers.
LIC has expanded its business beyond just life insurance. It has engaged in infrastructure, home finance, mutual funds, and other financial services, among other things. It has also grown globally and now has offices in more than one country.
The biggest player in the Indian life insurance market. It will continue to play a key part in protecting and securing the finances of millions of people and families in India.