LIC to harness volatile markets via new policy
Source: NDTV Profit
Volatile markets are giving way to products, which offer relief to investors and open new avenues to park their funds. Gauging market sentiments, Life Insurance Corporation of India (LIC) is all set to launch its best-selling product in the form of a single premium policy.
It's been two and half years since the last single premium policy from LIC Jeevan Astha came into the market. Response to Jeevan Astha showed that investors prefer policies, which involve a one-time premium payment even though that premium payment is much higher.
Jeevan Astha in 2009 garnered around Rs. 10,235 crore in 45 days with around 1.8 million policies being sold.
Sources have told NDTV that LIC is waiting to get the final approval from Insurance regulator IRDA and intends to launch this product in the first week of September.
LIC is launching a single premium policy after a gap of two and a half years and sources say that the insurance giant is expected to offer a fixed return in the range of 7-8 per cent per annum with insurance cover added to the product.
The single premium policy, which offers
