LIC Gratuity, Family Pension Rules 2023: Gratuity Limit, Family Pension Rate Changed. Details Here

financialexpress.com:

LIC Gratuity, Family Pension Rules Change 2023: The Ministry of Finance has approved a series of welfare measures for the benefit of Life Insurance Corporation of India (LIC) agents and employees. These measures are related to the amendments to LIC (Agents) Regulations, 2017, Enhancement of Gratuity Limit, and Uniform Rate of Family Pension among others, the Finance Ministry said in a statement.

The welfare measures will benefit over 13 lakh agents and more than 1 lakh regular employees, who play a crucial role in the growth of LIC and the deepening of insurance penetration in India.

According to the statement, the following welfare measures for LIC agents and employees have been approved:

Gratuity Limit: The gratuity limit has been increased from Rs 3 lakh to Rs 5 lakh for LIC agents. This change will bring substantial improvements to the working conditions and benefits of LIC agents.

Renewal commission: The Government has decided to enable reappointed agents to be eligible for renewal commission. This move will provide them with increased financial stability. Till now, LIC agents were not eligible for renewal commission on any business completed under the old agency.

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Term insurance cover: The Government has expanded the term insurance cover for the agents from the existing range of Rs 3,000-10,000 to Rs 25,000-1,50,000. The term insurance limit increase will significantly benefit the families of deceased agents, offering them a more substantial welfare benefit.

Uniform Family Pension: The Government has also approved a uniform rate of family pension at 30% for the welfare of the families of LIC employees.