Friday, July 15, 2005

BSNL takes group policy from LIC

BHARAT Sanchar Nigam Ltd (BSNL) the major telecom brand in India has taken a corporate group life insurance policy from the Life Insurance Corporation (LIC) for it 3.5 lakh employees for a sum assured of Rs 4,770 crore. Under the scheme, 10,000 senior BHARAT Sanchar Nigam Ltd executives are insured for a sum of Rs 5 lakhs against a monthly premium of Rs 500. Of the premium, 30 per cent goes towards group coverage, while the remaining 70 per cent are accumulated in a group savings fund, which will be provided to the employees with returns. Besides senior executives, 40,000 officers would be covered for an insured sum of Rs 3 lakh each against a premium of Rs 300. The largest number comes from the 3 lakhs non-executive employees who will get a life insurance cover of Rs 1 lakh each. The policy given by Life Insurance Corporation ( the biggest brand in life insurance) includes life insurance component, which provides cover against natural death, a double accident benefit in the case of accidental death where the claimant will get twice the sum assured. There will also be a retirement benefit in the cover.