Insurance giant Life Insurance Corporation (LIC) has decided to stop selling as many as 34 policies, including Jeevan Anand, Jeevan Madhur and Jeevan Saral, to comply with new regulatory guidelines.
These policies are withdrawn in December as they are not
in conformity with the provisions of new regulations on
non-linked insurance products, linked insurance products and
health insurance products, a senior LIC official said.
Of the 34 products, LIC will stop sale of Jeevan Amrit
from December 7, Jeevan Surabhi from December 14 while two
other schemes from December 21 and December 28 respectively.
Remaining 28 policies will go off LIC's shelves from
December 31. Last month, LIC had withdrawn 14 policies including Convertible Term Assurance, Children Deferred Endowment Assurance.
These policies are being discontinued as part of
The Insurance Regulatory and Development Authority (IRDA)
had extended the deadline for implementation of new individual
product regulations for the life insurance industry by three
months to December 31.
The new guidelines are aimed at making insurance policies
"All the existing group policies and all the existing
individual products not in conformity with the provisions of
this regulation shall be withdrawn from August 1, 2013, and
January 1, 2014, respectively," IRDA had said in a circular.
With regard to group policies, life insurers have been
asked not to enroll these policies after the immediate policy
anniversary falling due after July 2013.
However, it had said all group policies at the time of
renewal of such policy shall be given an option to switch over
to the modified version of the group product, if any, once
LIC has outperformed its peers in the private sector by
recording a 7 per cent growth in premium collection during the
first half of the current fiscal.
The company witnessed a 7.26 per cent growth in premium
income to Rs 37,906 crore during the six-month period ending