Page 9 - Insurance Times November 2019

LIC of India

News

LIC to take part in bonds LIC’s market share increased by 17% in August

issue of PTC India Finan- The market share of LIC has been increased by 17% in first premium income
in August 2019, according to the Managing Direc-
cial Services Ltd tor TC Suseel Kumar. Kumar revealed this informa-
IT has been informed by PTC India tion during a meeting of the Corporation’s branch
F inancial heads in Coimbatore. He stated that in the month
Ser vice s of August alone, LIC’s market share had increased
Limit e d to 67% from 50%.
that LIC has
agreed to LIC would be adding another 16,600 employees at various levels to its existing
participate upto Rs.250 crore in its headcount of 1.12 lakh, and has opened a special campaign for reviving lapsed/
first tranche of bonds of Rs.580 discontinued policies besides being involved in social initiatives, he added.
crore which would be backed by
partial credit enhancement (PCE) of Chandigarh consumer forum asks LIC to pay Rs 1.80L
SBI to the extent 20% of initial is-
sued bond amount. widowed woman
Upon the observation that a “person is alcoholic does not mean he will suffer
With an aim of providing liquidity
support to NBFCs, RBI in November a fall on the ground, though his gait
2018 has allowed banks to provide may be abnormal or his speech could
PCE facility to NBFCs in order to sup- be slurred one”, the Consumer Forum
port their bond issuance. of Chandigarh asked LIC to pay Rs 1.80
lakh to a widow from Chandigarh,
PFS became the first NBFC - IFC in whose husband’s accidental death
the country in order to avail such
facility from SBI to the extent Rs.400 claim was rejected on the ground that
crore to support its bond issuance he died of slipping on the floor after consuming alcohol.
upto Rs. 2,000 crore. The first The widow stated that her husband Harish Kumar was insured from LIC from
tranche of PFS proposed bond of September 5, 2013. On the evening of October 11, 2017, her husband fell on
Rs.580 crore, with structured repay- the floor after slipping in bathroom and sustained severe head injury, and died
ment in ten year and backed by SBI at PGIMER on October 26, 2017, during the course of treatment.
PCE to the extent 20% of bond issu- She stated that even though the LIC was supposed to pay double the amount
ance amount, has been rated as AA+ of the sum assured — which is Rs 1.50 lakh with premium, the insurance com-
(SO) by CRISIL. Last trading in BSE
recorded shares of PTC INDIA FI- pany had disbursed only Rs 1,74,948, which is ordinary claim of the sum as-
NANCIAL SERVICES LTD. at Rs.12.94 sured with other benefits.
as compared to the previous close The medical record of her husband showed cause of death as “cerebral dam-
of Rs. 12.56. The total number of age consequent to blunt trauma to head” and “chronic alcoholism”, and alco-
shares traded during the day was holism was not the cause of death as such the claim for double accident ben-
59141 in over 135 trades. efit of Rs 1.50 lakh was to be paid to her, which was rejected.
The Insurance Times, November 2019 9