Privatization scheme of insurance sector and financial assistance

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Privatization scheme of insurance sector and financial assistance of LIC:

Privatization scheme of insurance sector and financial assistance of LIC

Introduction :

insurance is a contract by which one party, for a consideration called premium, assumes a particular risk of other party and promise to pay or his nominee a certain or his nominee a certain or ascertainable sum of a amount on a specified contingency. Introduction

Rationale for opening up of insurance sector to private sector:

After banking, insurance is important segment of financial sector. Malhotra committee: in 1990’s under Mr.R.N. Malhotra. set up to examine the issues of: (a)increasing the search of insurance industry. (b) improving consumer service. Rationale for opening up of insurance sector to private sector

Basis for opening insurance sector to private sector::

Basis for opening insurance sector to private sector:

Features of privatization scheme: :

Features of privatization scheme:

LIC(life insurance corporation):

LIC was set up on 1 st September 1956,it has capital of rs.5 corers. LIC(life insurance corporation)

Financial assistance of LIC:

To corporate sector up to March 2004: Financial assistance of LIC

SECTOR WISE INVESTMENT OF LIC :

SECTOR WISE INVESTMENT OF LIC

CONCLUSION :

LIC s should frame its investment policy by keeping in view many factors and provision of act 1938. Investment should be periodically be reviewed. Interest of policy holder should be kept in mind. CONCLUSION