What is the Role of Life Insurance Council In India?
Updated On May 20, 2021
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The Life Insurance Council is a regulatory body that looks into this matter to ensure that the insurance industry operates smoothly and efficiently.
What is the Life Insurance Board?
The Council acts as a forum that brings together a number of stakeholders in the sector. It promotes and regulates all discussions between the Government, the Regulatory Board and the public.
This body was established in accordance with Section 64 of the Insurance Act, 1938. It operates through a number of sub-committees that oversee its functioning and includes all insurance companies in India. It is claimed that there are a total of 24 life insurers working with it to offer a variety of new and traditional products.
The aim of this Council is to play a complementary part in assisting India's insurance industry to keep up to the quality where it is known for its vibrancy and trustworthiness, helping people on their journey of prosperity.
The mission of the Life Insurance Council, as stated, revolves around the following points:
- To serve as an active forum to assist, advise and assist insurers in maintaining high standards of conduct and service to policyholders.
- Interact in policy matters with the Government and other bodies.
- Participate actively in the spread of insurance awareness in India.
- Take steps to develop and retrain education
- Help India enjoy the benefits of global insurance policies.
One of the main formative functions of this Board is that it provides an active platform for discussion—a place where all concerns about insurance policies can be raised, addressed and resolved. It also builds a lot of awareness about the subject, and constantly hosts conferences that bring together like-minded individuals in the insurance industry.
In 2018, it came up with the idea of a 100-crore multimedia campaign that focused on raising awareness about insurance policies and trying to remove the misconceptions that might hover around it.
The main objective of the campaign would be to ensure that life insurance as a category is better understood and to bring home the point that it can play a key role in goal-oriented financial planning.
The Board, among other things, is actively working to take action against insurance fraud. It also acts as a mediator for dialogues and information to be exchanged with foreign insurance companies and works forward to meetings to further discuss the common interest of insurance companies around the world.
Role of Life Insurance Council in India
The General Insurance Council is a significant link between the Indian Insurance Regulatory and Growth Authority and the non-life insurance sector. It also promotes business concerns with the Government. Although the Council performs the role envisaged by the Insurance Act, it also encourages overall development for the industry in a rational and balanced way in the interests of all stakeholders.
The Life Insurance Council of India serves as a board of directors for all other insurance companies. It guarantees the safety of policyholders and insurance companies. It's the top insurance institution.
Disclaimer: This article is issued in the general public interest and meant for general information purposes only. Readers are advised not to rely on the contents of the article as conclusive in nature and should research further or consult an expert in this regard.