Life Insurance Corporation (LIC) of India is wholly owned by the Government of India. It is a public sector company and the sole insurer in India, and the largest life insurance company in India with a majority market share in the life insurance business. LIC was established in 1956, when the Parliament of India passed the Life Insurance of India Act, 1956.
The Government of India is the sole shareholder of LIC and holds 100% of the total paid-up capital. The government's ownership is primarily governed by the legislative provisions of the LIC Act, 1956. Under section 7 of the LIC Act, the government is empowered to nominate and appoint the corporation's board of directors. In addition, the Government has the sole authority to make policy decisions.
The responsibility of the Board of Directors of LIC is to ensure the proper conduct business of the company and to ensure that the company meets its financial objectives and complies with all applicable laws and regulations. The Board is also accountable to the government for the efficient and effective management of the corporation.
In conclusion, the Government of India is the sole shareholder and owner of LIC, with the Board of Directors being accountable to the Government for the ongoing performance and management of LIC.