Chidambaram Chettyarthe founder of Indian Overseas Bank and the United India Insuranceidentified the location on Mount Road to construct an storey building for his group's headquarters, and conceived the building in as the head office of United India Life Assurance and New Guardian Life Insurance.
What are the main features of LIC? The main features of LIC are given below: Life insurance both promotes and mobilises saving in the country.
The income tax concession provides further incentive to higher income persons to save through LIC policies. The total volume of insurance business has also been growing with the spread of insurance-consciousness in the country.
The total new business of LIC during was Rs. The LIC business can grow at still faster speed if the following improvements are made: The organisational and operational efficiency of the LIC should be increased.
LIC also functions as a large term financing institution or a capital market in the country. The annual net accrual of investible funds from life insurance business after making all kinds of payments liabilities to the policy holders and net income from its vast investment are quite large.
LIC is a big investor of funds in government securities. LIC funds are also made available directly to the private sector through investment in shares, debentures, and loans. LIC also plays a significant role in developing the business of underwriting of new issues.
Stabiliser in Share Market: LIC acts as a downward stabiliser in the share market. The continuous inflow of new funds enables LIC to buy shares when the market is weak. However, the LIC does not usually sell shares when the market is overshot.
This is partly due to the continuous pressure for investing new funds and partly due to the disincentive of the capital gains tax. Defects The development banks in India suffers from a number of defects as discussed below: Dependence on Institutional Sources of Finance: The capital resources of development banks mainly come from institutional sources.
They have not been able to raise funds directly from public as is done by the banks, insurance companies, etc. Dependence on the institutional sources has enabled the development banks to get funds at low yield rates. But, the low yield structure has come in the way of the popularly of development banks.
They could not make their bonds and debentures popular in the market and raise sufficient funds from the public.Life Insurance Corporation of India has invested customers money for the development of the nation by lending it to the union government.
In this aspect all the branches spread across the country are doing an excellent service, said Rajegowda, Divisional Manager of LIC/5(9). LIC: 56 glorious years of nation building and service to the people By Magicgyan Team, Life Insurance Corporation of India has turned a year older today.
Jul 02, · Best Answer: Currently LIC has no other great role than making life insurance business successful in India. This is the only role an Insurance company needs to and can play in a civilized open economy.
Once the insurance business is undertaken, investments have to take place kaja-net.com: Resolved. The LIC is the Life Insurance Corporation of India. The role of the LIC in nation building is to spread the message of life insurance in the country. Life insurance mobilizes and promotes saving in the country/5(6).
LIC is playing a significant role in nation building activities. Firstly, as declared at the time of nationalisation LIC has been mobilising huge savings from the people and chanalising the same for national economic development by way of investment in govt.
as well as social sector. LIC Building is a storied building in Chennai, India, serving as the southern regional headquarters of the Life Insurance Corporation of India.
It is the first skyscraper built in Chennai  and a famous landmark in the city.