(a) whether the Life Insurance Corporation of India (LIC) has introduced `Chief Life Insurance
Advisors` (CLIA) scheme;
(b) If so, the details thereof;
(c) whether the CLIA scheme diversified the agents who are the resources for the Development
Officers to achieve the targets and to produce business; and
(d) If so, the details thereof?
MINISTER OF THE STATE IN THE MINISTRY OF FINANCE (SHRI PAWAN KUMAR BANSAL)
(a) & (b): Yes, Sir. The Life Insurance Corporation of India (LIC) has introduced the Chief Life
Insurance Advisors Scheme, 2008 (CLIA) with effect from 01.04.2008. The details of the schemes
are Annexed.
(c) & (d): LIC has developed this strategic channel for recruitment of agents given the changed
market scenario in the Insurance Industry.The CLIA model aims to help the LIC to develop a strong
and stable agency force, increase market penetration and to reduce the chances of poaching of
senior agents by private companies.The intention is to empower senior agents to play a supervisory
role given their long experience, knowledge and understanding of the market. The Development
Officers shall continue to get credit for business done by their agents even if such agents
have become CLIAs.
ANNEXURE
DETAILS OF THE CHIEF LIFE INSURANCE ADVISOR (CLIA) SCHEME:
ELIGIBILITY CRITERIA:
The applicant should be member of any of the following Clubs for Agents:
1. Corporate, 2. Chairman`s, 3. Zonal Manager`s 4. Divisional Manager`s.
OR The applicant should be Financial Service Executive having at least 3
years standing. OR The applicant should be a Retired Employee of the Corporation
in the Class I, II and III cadre including who has taken voluntary retirement under
Pension Rules and having L1C agency.
AGE:
The applicant should have completed minimum age of 25 years and should not have completed
65 years of age.The Zonal Manager incharge can relax the upper age limit in deserving cases.
The Maximum age upto which an applicant can work as a Chief Life Insurance Advisor shall be
70 years.
SELECTION PROCESS:
The applicant fulfilling the above eligibility criteria will be authorized to act as Chief Life
Insurance Advisor (CLIA) on the basis of an interview by a 3 Member Committee constituted by
the Sr. Divisional Manager incharge of the Divisional Office. The committee will be headed by
an officer not below the rank of Assistant Divisional Manager and the other members of the
committee willjiot be below the rank of Administrative Officer. Such selected applicants
will enter into a separate agreement with the Life Insurance Corporation of India on such
terms and conditions as may be defined from time to time. The agreement would be signed by
Marketing Manager or a person authorized by Sr. /Divisional Manager I/C on behalf of the
Corporation and the applicant would be authorized to act as a Chief Life Insurance Advisor.
The contract would be for a period of Five years and renewable thereafter for a period of
five years or `less in case of CLIA attaining 70 years of age. The Competent authority may
terminate this agreement by giving one month`s notice thereof in writing even if the CLIA
has fulfilled minimum performance norms as specified from time to time. However, the CLIA
during this notice period shall continue to be responsible for the quality of business brought
by his supervised agents.
FUNCTIONS OF A CHIEF LIFE INSURANCE ADVISOR:
(a) Every Chief Life Insurance Advisor shall recommend names of candidates suitable
for appointment as new agents. These individuals, after passing the necessary pre-
recruitment test as specified by Insurance Regulatory Development Authority (Licensing
of Insurance Agents) Regulations, 2000 as amended from time to time, shall be placed
under the supervision of the Chief Life Insurance Advisor.
(b) Every Chief Life Insurance Advisor shall make attempt.for re-appointment of terminated
agents of the Corporation by motivating them. Such agents on reappointment shall be placed
under the supervision of the CLIA who motivated them subject to existing provisions inforce.
(c) The Chief Life Insurance Advisor shall be responsible for Post Recruitment mentoring,
counseling, and performance of the Agents supervised by him. The Chief Life Insurance
Advisor shall also be responsible for the quality of business and professional conduct
of the agent supervised.
(d) Every Chief Life Insurance Advisor shall be responsible for activating the agent
placed under him/her and shall motivate him to perform satisfactorily.
(e) Every Chief Life Insurance Advisor shall help the supervised agent to perform his
duties as per Agents Rules 1972 and IRDA Rules and Regulations as applicable from time
to time.
(f) Every Chief Life Insurance Advisor shall perform such other duties as may be entrusted
or assigned to fiim/her by the Corporation from time to time.