Benefits of Joining LIC of India As
LIC as a career is a great option because of the several benefits it offers. Here’s how you can benefit from being a LIC Agent.
LIC offers attractive commissions on the sale of insurance policies. LIC is a rewarding career in which you earn on the basis of commissions. With every policy you sell, you are eligible to earn around 35% of the premium amount in the first year of the policy. Apart from that, an agent has the right to earn around 7.5% of the premium amount in the 2nd and 3rd years & 5% for the rest of the years till the policy tenure gets completed.
Benefits of Loans
An agent gets unlimited benefits on loans. As and when an agent becomes a member of the club, he/she can get an interest-free loan from LIC for any financial support, it can range from a car loan, and home loan to festival loans and many more. Also, you get to avail yourself of mobile and landline bill reimbursement, furniture allowance, and office maintenance allowance as well.
If an agent has worked for 2 years and has sold policies costing more than 1lakh, his family members are qualified to earn continuous income in case the agent dies. Whenever a policyholder dies, the agent’s family receives a certain amount in the form of a commission till the policy matures.
An agent gets to have retirement benefits in which apart from the commissions from premium paid per year, a gratuity of a maximum of INR 2,00,000. It is only payable if the agent has completed a business guarantee for at least 15 years, which we usually call “qualifying years”. The gratuity is paid as per the provisions of Schedule VI of the (Agents) Rules, 1972.
The agent is paid 7.5 percent of the amount paid by policyholders as the second and third year’s premiums (under standard tables and terms) and continues to be paid a renewal commission of 5 percent on every year’s premium paid from the fourth year onwards. A renewal commission is charged on the renewal premium.
LIC offers club memberships to its customers that are based on their performance and achievements in the past. The company has opened six different clubs and each club membership entails plenty of new benefits, which are highly desired after and sought by LIC agents. The six clubs are;
- Distinguished Club Membership
- Branch Manager Club Membership (B.M)
- Divisional Manager Club Membership (D.M)
- Zonal Manager Club Membership (Z.M)
- Chairman Club Membership (C.M)
- Corporate Club Membership
Each club membership offers distinguished benefits, among which some are;
- Letterheads and envelopes
- MHR limit
- Group insurance
- Office Allowance to maintain your office
- Telephone/Mobile bill reimbursement
- Reimbursement of Sales Promotional Gift items
- Interest-free advance for purchase of Car/Motorbike
- Interest-free advance for purchase of office equipment
- Interest-free advance for Training
- Interest-free Festival Advance
- Housing loan at concessional rate of interest
- Term Insurance and Mediclaim benefits
- Guest house facility throughout India at concessional rates as applicable to employees.
- Annual Convention
- Attestation authority
MDRT (Million Dollar Round Table)
Million dollar round table is the international recognition of agents who have performed extraordinarily. Here, you get the opportunity to join the Elite class of Agents, who constitute 0.5 % of the Life Insurance Industry. You get a Chance to Know the Toppers in the Industry, which gives you better exposure. Also, the agent gets to become a role model for other agents to follow.
MDRT is the first step toward becoming one of the top agents in the world. It makes the agent eligible for prime clubs including corporate clubs, and when you become MDRT multiple times, you can have a place in COT (Court of Table) or TOT (Top of Table) depending upon the conditions and your performance.