Life Insurance Corporation (LIC) of India is an Indian statutory insurance and investment company headquartered in Mumbai, India. The Indian Life Insurance Corporation was established on 1st September 1956, when the Indian Parliament passed the Indian Life Insurance Act, nationalising the Indian insurance industry.
As of 2019, the Life Insurance Corporation of India had an Rs. 28.3 trillion life fund. Total insurance policies sold in 2018-19 were Rs. 21.4m. Life Insurance Corporation of India settled 26 million claims in 2018/19 with 290 million policyholders.
Structure of LIC
LIC's board of directors comprises Chairman (now M.R. Kumar) and Managing Directors Vipin Anand, T.C., Suseel Kumar, Mukesh Kumar Gupta, and Rajkumar.
LIC is headquartered in Mumbai and is home to the Chairman, all four Executive Directors, and all Executive Directors (department heads).
About the Appointment of the LIC MD and CEO
The Banks Board Bureau (BBB), which is the headhunting bureau for the CEO, Chairman, and director for public sector banks and insurance companies, selected Mini Ipe and BC Patnaik as directors of Life Insurance Corporation (LIC).
However, insurance regulator IRDAI has no chairman, as Subhash Chandra Khuntia retired after a three-year tenure. Mini will replace Vipin Anand, and Patnaik will replace Mukesh Gupta.
Dinesh K Bhagat and Parkash Chand were retained as preliminary candidates for these MD posts. LIC Chair's post will be vacant after Mr Kumar retires at the end of June, but the Treasury has not yet begun the process of selecting candidates for the position.
Based on the BBB's recommendations, the department will process Mini and Patnaik documents for approval by the Appointments Committee of the Cabinet (ACC). This may take an additional 2-3 months before the final letter of appointment for the two officers is issued.
Amendments about LIC
As India's Life Insurance Corporation (LIC) is preparing to go public, the government has abolished the position of chairman of an insurance company with LIC MD and CEO. The changes were communicated by the Financial Services Authority (DFS) through the rules of the LIC Act of 1956.
Under the LIC Act, various rules have been amended to establish the position of CEO on behalf of the presidency. The insurance company proceeds to post the LIC MD. Both CEO and MD are appointed by the central government. The Government also amended the rules of the Indian Life Insurance Corporation (special allowance for the in-house development of actuarial capacity) in 2002 to appoint a full-time actuary for LIC.
FAQs about LIC MD
- What is the total strength of Employees and agents working in LIC?
LIC has 1,14,498 employees, and from this significant number, 25,602 are women, as calculated on 31st March 2020.
Category of employees
No. of Women
Class-II Development Officers
Class III/IV employees
- What is the total Agency strength of LIC?
The total number of active agents in March 2020 is 12,08,826 (of which 10,80,809 are active agents), compared to 11,79,229 in March 2019.
- What are the key designations or Board of Directors in LIC?
Shri. M R Kumar
Shri. Pankaj Jain
Government Nominee Director
Shri Raj Kumar
Shri. Siddhartha Mohanty
Smt. Ipe Mini
Shri. B. C Patnaik
Dr Ranjan Sharma
Shri. Vinod Kumar Verma