The Life Insurance Corporation of India has Vision 2020, where they aim to provide insurance policy to each insurable life in the country. Mr. D.K. Mehrotra, chairman of Life Insurance Corporation of India revealed their plan to capitalize on the Government’s Aadhar Program, that provides unique identity to all the people of the country and to capitalize on the same to achieve their Vision 2020. Thus, LIC has already initiated their process to insure everyone who already has an Aadhar card. This is a steady step taken by LIC towards achieving their vision of 2020.
Life Insurance Corporation of India is the largest Insurance Company in India and is 100% owned by the Government of India. The Aadhar program will help LIC towards its vision on a strong foothold.
The Unique Identification Authority of India (UIDAI) was established by Government of India with an objective to implement Multipurpose National Identity Card or Unique Identification Card (UID Card)in India. This project is part of the Planning Commission and headed by Mr. Nandan Nilekani, a former co-chairman of Infosys Technologies. It is aimed to issue a unique identification number to all Indian residents with intent to eliminate duplicate/fake identities and to put hassle-free, cost effective verification/authentication system in place thereby to save considerable resources of various User Departments as well as beneficiaries at large.
According to the sources, Unique Identification Authority of India UIDAI project is headed by Nandan Nilenkani and they have been issuing close to 1 lakh cards a day.
This step will not only provide LIC a platform to significantly broaden its policy holder’s base, which is more than 20 crore now, but through this project, LIC would be able to tap a greater number of people in rural areas coupled with low servicing cost. Since this card will act as a proof of identity, it would be much easier to fulfill the know-your-customer requirements. He further added that the customer will have the advantage and convenience of handling five products under the same id.
On a positive note Mr. Mehrotra stated that currently they are selling 5-6 crores policy annually through all the channels and they plan to enhance the same to 80-90 crore people under insurance sector thus having a potential of 100 crores policy in the next eight years including basic life insurance, health and pension cover. He added that the insurer sees bancassurance as a channel with lot of potential and plans to revamp its online platform and that they plan to introduce with more products online.
Source: My Insurance Club.Com