What is Life Insurance?

LIFE INSURANCE : Life insurance business was nationalised in India since long (1956)
and is run by the Life Insurance Corporation of India. In addition, we have also Postal Life
Insurance Scheme run by the Postal Department. LIC is responsible for the expansion of
life insurance business in India. In addition, it plays an important role in collecting the
savings of the people. It gives protection and acts as a method of compulsory savings. LIC
is one avenue for investment of money out of regular income. It also gives protection to the
family members of the policyholder. Life insurance business is no more the monopoly of
LIC. Private sector is now allowed to participate in the insurance business.