Finance Minister Directs Life Insurance Corporation (LIC) to Constitute a Special Team and to Open A Major Office in Dehradun to Settle Claims Relating to the Recent Natural Calamity in Uttarakhand on Utmost Priority

The Union Finance Minister, Shri P. Chidambaram asked the Life Insurance Corporation (LIC) to constitute a special team to settle claims of those affected by the recent natural calamity in Uttarakhand. He directed LIC to open a major camp office in Dehradun to settle the claims on centralized basis. He said that LIC should follow the same norms for settlement of claims as being followed by it during tsunami or earthquake in Bhuj and Latur in the past. He said that LIC should not insist on the normal condition that requires seven years period in case of the missing people before death certificate is issued in their case in a normal situation. In this precarious situation, the Finance Minister said that an indemnity bond can be taken from the claimants in such cases and the claims may be settled on priority. The Finance Minister Shri P. Chidambaram was addressing the senior officers of LIC and the Ministry of Finance here today after inaugurating 300 Mini Offices of LIC spread throughout the country. The Finance Minister opened these offices through video mode and also interacted with people present on the other side in a remote area through video conferencing.

The Finance Minister, Shri P. Chidambaram also said that during his Budget Speech of 2013-14, he had announced an ambitious target of opening LIC offices in all the towns with a population of 10000 or above by 31st March, 2014. He congratulated the LIC officials on opening more than 300 branches within three weeks and hoped that they will achieve the target before the date set in his budget speech. He said that LIC has a special place in peoples’ mind and is the best brand ever which is known even in the remotest part of the country. The Finance Minister Shri Chidambaram said that there may be famous brands in case of products but very few famous brands like LIC in service sector. This puts a huge responsibility on all the officers and staff of LIC and requires maintenance and delivery of high quality of service. Through opening of these branches in smaller towns, the LIC will be able to provide various insurance products to the people leaving in far remote areas, the Finance Minister added.

The current in charge Chairman, LIC, Shri Thomas Mathew t in his thanks giving address assured the Finance Minister that LIC will follow his directions and will try to achieve the target of opening the branches by the end of December 2013. He also assured him that all the claims of those affected by the recent natural calamity in Uttrakhand will be dealt with highest priority and will follow the simplified norms in order to settle the claims at the earliest. He said that LIC will duly publicise its relaxed norms to all concerned through advertisements and media in next two-three days.

The meeting was also attended among others by the Minister of State for Finance Shri Namo Narain Meena, Secretary, Financial Services, Shri Rajiv Takru, current Chairman in charge LIC, Shri Thomas Mathew, LIC Managing Directors Shri Sushobhan Sarkar and Shri S.K. Roy and other senior officers of Ministry of Finance and LIC.