LIC launches Money Plus I scheme

Kolkata: Life India Corporation (LIC) has launched its Unit Linked Endowment Plan, Money Plus 1, which offers both investment and insurance benefits.

The minimum sum assured of this scheme is five times the annual premium and the maximum sum assured can go upto 30 times the premium, which will depend on the age at entry level.

The age at the entry level can be between 0-65 years with the policy term ranging from five to 30 years.

R R Dash, zonal manager, LIC said: "We have targeted to get Rs.1,800 (Rs.18 billion) from Money Plus 1 this fiscal."

Last fiscal, total premium volume of LIC including renewals stood at Rs.138.95 billion in the eastern zone. United Linked Insurance Plans (Ulip) was the highest performer, which fetched Rs.37.04 billion. The net profit in 2007-08 was Rs.61.93 billion. The company expects the surplus income to grow by 50 percent this fiscal.

The company is focusing on reducing Ulip's marketshare to 60 percent from present 76 percent. Other conventional policies will constitute the remaining 40 percent of the market share.

Dash said: "People are more interested in monetary returns than health cover."

LIC already has 45 satellite offices and plans to construct nine more soon. It also plans to strengthen northeast operations.

D K Banerjee, chief engineer, LIC said: "The company has acquired a plot near Salt Lake for Rs.2.76 billion. It will construct a 50-storied commercial buildings on that plot, which will house offices of various companies."

LIC has altogether 81 buildings in Kolkata. Another housing project of LIC will commence from this year. In the current fiscal the company has earmarked Rs.20 billion for housing projects.

LIC has approximately 1,000 buildings all over India.

Source: IANS