Question : GOVERNMENT GUARANTEE ON LIC POLICIES



(a) whether the Insurance Regulatory Development Authority has recommended to the Government to withdraw the Government Guarantee on LIC policies;

(b) if so, the details thereof; and

(c) the action taken by the Government thereon?

Answer given by the minister


MINISTER OF THE STATE IN THE MINISTRY OF FINANCE (SHRI PAWAN KUMAR BANSAL)

(a) to (c): Yes, Sir. With a view to provide a level playing field to all insurers in opened up insurance sector, Insurance Regulatory and Development Authority (IRDA) has recommended withdrawal of sovereign guarantee to life insurance policies of Life Insurance Corporation (LIC). It is under consideration of the Government.