LIFE INSURANCE

CORPORATION

1
ABOUT COMPANY

• Life Insurance Corporation of India (LIC) is an Indian central public sector

• Headquartered in Mumbai, Maharashtra, India.
• It is under the ownership of Ministry of Finance, Government of India.
• The Life insurance Corporation of India was established on 1 September 1956,
when the Parliament of India passed the Life Insurance of India Act .
• Over 245 insurance companies and provident societies were merged to create
the state-owned Life Insurance Corporation of India.

2
 Marketing Strategies
1 LIC offers a variety of products differing from other insurance companies

2 It got the first-mover advantage

3 With the help of advertisements, LIC promotes its brand value

4 Use creative slogans to attract the customer’s mindset

They avoid any unnecessary interference with the customers so that the correct
5 messages can be reached to all of their customers.

3
Few Famous Ad-Camapigns

4
SEGMENTATION TARGET POSITIONING
SEGMENTATION
• Based on Gender (LIC Aadhaar Shila)
• Based on Family (LIC Bima Jyoti Plan)
• Based on Age (LIC's Jeevan Tarun)
• Based on Location (LIC's Jeevan Shiromani)

• Basically middle-aged earning groups

TARGET
• Higher Claim-settlement and solvency ratios

• “Yogakshemam Vahamyaham”-“Your welfare is our

responsibility”.
POSITIONING
• Ensure and enhance the quality of life of people through
financial security
5
 Marketing Mix of LIC
PRICE PRODUCT
• Affordable cost to all insurable persons • Different products for children, women,
• Premium calculator service senior citizens, and differently-abled
persons
• Credit Insurance Health Insurance Life
Insurance Pension Plans

PLACE
4Ps
• computerized branch offices, 113 divisional
offices 8 zonal offices, 1381 satellite offices
• on line kiosks and IVRS info centers
• Satellite Sampark offices
• 13 countries through joint ventures or
subsidiaries
PROMOTION
• Stationery like diaries, Calendars as gifts etc
• Exhibitions, Personal sellings,
Demonstration at events
• Mobile Van in rural area
• Advertisement on TV,Billboards

6
BRAND POSITIONING(BULL'S EYE)

7

Political
According to the IRDA act, 1999: the
bill allowed for 26% for equity
participation in the insurance sector
Technological
More innovative channels like banks,
post offices, ATMs should be
introduced in areas where there are
limited development facilities and are
still facing difficulties.
PESTLE Analysis
Economic
Because the real value of money decreases
with an increase in the inflation rate, high
inflation reduces the insurance business.
Legal
Employee protection laws
(discrimination and health and
safety),Consumer protection laws,
Intellectual property laws
Social
Since literacy and education increases
employment opportunities, higher earning jobs
also bring a change in perception about the
need for insurance.
Environmental
LIC. can benefit from Renewal
technologies and invest in it to ensure
long-term sustainability
8
 Strengths
• In India, it is the most reputable insurance firm.
• Customer satisfaction and after-sales service in the long-
term plan hold much importance.
• Created employment opportunities for more than 1,15,000
people
• Has around 2000 branches across India and 10,00,000
agents and worldwide
Weaknesses
• There is very little innovation since it is a government-
owned organization
• Gets affected by bureaucracy and fraud
• It becomes difficult to manage the huge workforce in
times of economic crises

Opportunities Threats

• With the use of modern technology, it can provide • Economic crisis

good service in the urban areas and widen its • New NBFCs are entering the market.
connection. • Varying Govt policies
• Proper government schemes should be
implemented

9
BCG MATRIX
 CONCLUSION
• As its stock awaits a fresh embedded value, India's largest insurer wants to
strengthen bancassurance and diversify its product mix.
• Having a large market dominance, LIC can capitalize on this aspect and strengthen
its position in market
• With high quality tech improvement and using media channels,LIC can be become
the undisputed king in Insurance Sector.
12