Abstract
The case is about the various changes that happened in the Indian Life Insurance sector after privacuation. Till privacuation, Life Insurance Corporation of India (LIC) was the only company providing life insurance services in India. LIC sold its policies as tax instruments and not as products giving protection against of the customers were undw-ensured with no Bexibility or transparency in the services provided. Before the entry of private pinyers insuranon penetration and awareness was very low especially in rural Indian
The insurance sector opened up for competition from private insurance companies with the enactment of the Insurance Regulatory and Development Authority (IRDA) Act, 1999. As per the provisions of the Act. the IRDA was established on April 15, 2000. This marked the beginning of literalization of the Indian insurance sector. By 2006, there were 14 private insures in India whose market share was increasing every year. Innovative products, smart marketing and aggressive distribution helped the private sector grow within a very short periost Slowly tail steedly, awareness about insurance was also increasing in India.
The increase penetration and awarenese could be attributed to the eff competition generated among public and private players
As a result of competition poved by the private insurers, LIC launched many products, improved their services and increased expenditure advertising. The case facilitates simcussion on the strategins adopted by LIC to stay ahead of competition. Keywords: Life insurance
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