The Parliament of India enacted the Life Insurance Corporation Act on the 19th of June 1956, and the Life Insurance Corporation of Indian was established on 1st September, 1956, with the objective of spreading life insurance much more widely and in particular to the rural areas with a view to reach all insurable persons in the country, providing them adequate financial cover at a reasonable cost. The main objective of the organization of the life insurance business was to spread the message of life insurance in the country and mobilize people’s savings for nation building activities.
The Life Insurance Corporation with its Central Office in Mumbai and eight Zonal Offices at Mumbai, Kolkata, Delhi, Chennai, Hyderabad, Kanpur, Bhopal and Patna operates through 109 Divisional Offices including one Salary Savings Scheme (SSS) Division at Mumbai, 2048 Branch Offices and 1004 Satellite Offices as at 31.3.2010.
The Corporation also transacts business abroad and has branch offices in Fiji, Mauritius and United Kingdom. LIC also operates in overseas Insurance Market through Joint Venture Companies namely Life Insurance Corporation (International) B S C (C), registered in Manama (Bahrain), Kenindia Assurance Company Ltd., registered in Nairobi, Life Insurance Corporation (Nepal) Ltd. registered in Kathmandu, Life Insurance Corporation (Lanka) Ltd. registered in Colombo and Saudi Indian Company for Co-operative Insurance registered in Riyadh. An offshore company, Life Insurance Corporation (Mauritius) Offshore Ltd. registered in Port Louis, Mauritius is a Joint Venture Company between LIC of India and GIC of India. It has been decided that this company defers its life business activities and contemplates to pursue non-life reinsurance business with active participation of GIC.
A Representative Office has been established recently in Singapore to study the Regulatory Issues and to assess the market potential in order to find an appropriate mode of entry into Singapore insurance market.
Among the above, Kenindia Assurance Co. Ltd., Nairobi, Kenya & Saudi Insurance Company for Co-operative Insurance, Riyadh, Kingdom of Saudi Arabia are composite companies transacting life and non-life business.