LIC Company has increased its gratuity upto 3 lakhs for employers

What is Gratuity?

It is a tip given to the employees for the services done by them. Generally, it is paid at the time of retirement but also can be given under certain conditions (if possible). LIC agent recruitment gives various benefits to the employees as well as to the country.

The major insurance company Life Insurance Corporation (LIC) has increased the gratuity for its agents to Rs. 3 lakh. If talking about Indian economy, LIC has already contribute a lot like by offering loans and keeping large stakes in Banks to keep their foothold strong in the market. Indian citizens trust LIC whenever anyone talks about policies.

It is worth mentioning that about 94 percent of the company's premium income comes through more than 11 lakh agents. At the same time, private sector insurance companies do almost half of their business agency route. In the last financial year, LIC appointed 2.45 lakh agents, but this year 3.40 lakh agents were abducted or voluntarily left LIC. As of March 2016, there were 10.60 lakh agents of LIC. By the end of January, the number has increased to 11.05 lakh. So far this year, LIC has added 45,000 agents on a pure basis.

LIC officials said, "In this financial year so far we have recruited 2.7 lakh agents while 2.25 lakhs have been spared or left voluntarily. In this way, 45,000 net recruits are being made. As a result, the total number of our agents increased to 11.05 lakh by the end of January”.  According to the Gazette of India Government, agents will be paid gratuity in each eligible year during the first 15 years.

LIC is one of the india’s largest institutional investors and also the biggest participant in State and Public sector board issues.  LIC has paid Rs. 3,625 crore in taxes and 7.745 percent in loans. It is the only company with more than 30 crore policy holders. Do lic agent apply and be part of this successful institution with lots of benefits.

After these 10 years its rate will be half. The total payable gratuity will not be more than three lakh rupees. Under the existing rules, the LIC agent gets gratification of Rs two lakh after 15 years of service. On average, the agent gets 35 percent commission on premium while two percent commission on single premium policy gets commissioned.