I myself a victim of brainless and illogical responses given by LIC staff in not paying me full and final amount of my matured policy for which I invested my hard earned money for 13 years. I am in correspondence with LIC and they have turned deaf ears towards me. And the fact is that even regulators are working as forwarding agents only, they too do not apply their mind . Offices like IRDA are also manned by retired LIC staff in general and hence they have more sympathy to erring LIC staff than suffering claimants.
. I am embarrassed to visualise a picture which will emerge to nominee of the policy after the death of the policy holders. Claimants sometimes surrender after running from pillar to post , this is called 'Lalphitasahi'. People run from one table to other and from one office to other , but solution seldom come out in some cases. LIC like other PSUs portray its rosy picture only by showing good points and then win the blessings of ministers by applying mostly other modern era techniques.
To make it more clear , all life policies are sold by an insurance company only after knowing A to Z about the insured. As such if a claim arises either due to maturity or due to death , an agent or an employee can establish the genuinity of claims and settle them easily , or they may seek a guarantee of the other person. No question arises of false claim or LIC failed to establish truth of the claim. If he does not give value to clients, then there are many excuses in his almirah.
- There are more than one lac branches of banks in India and more than two lacs ATMs in India , still there do not have so many manpower as LIC have. Total employees in all banks will hardly cross ten lac whereas LIC has 22 lakh manpower to support its business.
- LIC has simply to keep accounting of money it receives as premiums and pay the money after maturity or after death to claimant. Whereas bank staff has to undertake several responsibility right from opening a bank account to lending, investment , recovery of money from borrowers, issuance of drafts, managing NEFT etc and so many other functions. Not only this Bank people have also started selling insurance products simultaneously doing their banking work .
- Bankers have to take care of about one crore crore rupees as loan assets whereas total assets of LIC is less than 25 lac crore. Still standard of service extended by LIC is so poor and miserable.