Lic Aao Capsule -2016
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LIC AAO CAPSULE -2016 Presents Dear BA"ians, We bring to you most eagerly awaited LIC AAO CAPSULE to give a kick start to your preparation. We know most of you feel energised the moment the capsule comes into your access, so here it is. This capsule is a compilation of last 2 months worth of GK and Current Affairs i.e December and January and along with GK the till the 10th of February covered in an exhaustive manner. Since this is an insurance related Exam, we do not ant you to leave any stone unturned, so have covered the Insurance portion aswell A separate Banking related Capsule will be up this week only to add to this Blast of Knowledge. The remaining days of February will be covered in our other weekly Tonic and Hindu review initiatives So brace yourself to update your self and become Exam ready soon!. Good luck! 1 www.bankersadda.com | www.sscadda.com | www.careerpower.in | www.careeradda.co.in LIC AAO CAPSULE -2016 INSURANCE SECTOR IN NEWS S. No News 1. LIC offered a ‘New Year gift’ to the public in the form of a limited-premium, non-linked and with-profit endowment assurance plan ‘Jeevan Labh’. The highlight of the plan is that premium is payable for a limited period while risk is covered for the whole policy term. The plan is available from ages 8 to 59 years with a choice of policy term of 16, 21 and 25 years and premium-paying terms of 10,15 and 16 years. The maximum age at maturity is 75 years. Minimum basic sum assured is ₹2 lakh with maximum basic sum assured having no limit. 2. LICs New Plan Jeevan Pragati This is a non-linked, with-profits Endowment Assurance plan. The main feature of this Jeevan Pragathi plan is the ‘sum assured on death’ (part of death benefit) automatically increases after every five years during the term of the policy. Key Features & Eligibility Conditions of LIC Jeevan Pragati Plan Minimum Basic Sum Assured (payable on maturity) : Rs. 1,50,000/- Maximum Basic Sum Assured : No Limit (Maturity Sum Assured shall be in multiple of Rs. 10,000/- only) Minimum Policy Term : 12 years Maximum Policy Term : 20 years Minimum Age at entry for Life Assured : 12 years (completed) Maximum Entry Age : 45 years (nearer birthday) Maximum Age at Maturity for Life Assured : 65 years Minimum Accident Benefit Sum Assured is Rs 10,000 Maximum Accident Benefit Sum Assured is an amount equal to the Basic Sum Assured subject to the maximum of Rs 1 cr. Minimum entry age for the rider is 18 years. 3. LICs JEEVAN SHIKHAR Plan LIC’s Jeevan Shikhar is a participating, non-linked, saving cum protection single premium plan wherein the risk cover is ten times of Tabular Single Premium.The proposer will have an option to choose the Maturity Sum Assured. The premium payable shall depend on the chosen amount of Maturity Sum Assured and age at entry of the life assured. The plan will be open for sale for a maximum period of 120 days from the date of launch. ELIGIBILITY CONDITIONS AND OTHER RESTRICTIONS: Minimum Entry Age : 6 years (completed) Maximum Entry Age : 45 years (nearer birthday) Sum Assured on Death : 10 times of tabular single premium Minimum Maturity Sum Assured : Rs. 100,000/- Maximum Maturity Sum Assured : No Limit (Maturity Sum Assured shall be in multiple of Rs. 20,000/- only.) Policy Term : 15 years Premium payment mode : Single premium only Date of commencement of risk: In case the age at entry of the Life assured is less than 8 years, the risk under this plan will commence from one day before the policy anniversary coinciding with or immediately following the age of 8 years. For those aged 8 years or more at entry, risk will commence immediately from the date of acceptance of risk. 4. Insurance sector is likely to attract FDI of over Rs 12,000 crore in 2016 as more than a dozen foreign companies plan to raise their stake in private sector insurance joint venture this year, industry body Assocham said. The investment push has come as a result of liberalisation of foreign investment ceiling from 26 per cent to 49 per cent last year through the passage of Insurance Laws (Amendment) Bill. 5. Private sector India First Life Insurance, a joint venture between Bank of Baroda, Andhra Bank and Legal and General of the UK, entered into pension sector with launch of a 9 percent guaranteed retirement plan. IndiaFirst Guaranteed Retirement Plan is a non-linked, participating, endowment, deferred pension plan. This plan is for customers who are conscious to plan for their retirement and want to remain financially young, IndiaFirst Life Insurance Managing Director and CEO R M Vishakha said. 6. Standalone health insurance company Apollo Munich announced its partnership with Axis Bank for offering bank customers customised insurance policies. 7. Dena Bank said that it has tied up with SBI Life Insurance Company to provide Group Life Insurance coverage to its housing loan borrowers under the 'Dena Grihaswami Suraksha Yojana'. Under the Memorandum of Understanding (MoU), insurance cover will be given to all housing loan borrowers at a very low premium, Dena Bank said. 8. French insurer AXA has raised its holdings in Indian insurance joint ventures with Bharti Enterprises to 49 per cent. 9. AIA group said it will raise stake in the life insurance venture with Tata group to 49 per cent from the existing 26 per cent. AIA will increase shareholding in Tata AIA Life Insurance Company, a joint venture company formed by Tata Sons and AIA, from the current level of 26 per cent to 49 per cent through the purchase of a 23 per cent stake in the company. 10. The Insurance Regulatory and Development Authority of India (Irdai) said the existing micro insurance products will continue to be on offer till March 31, 2016. 11. German reinsurer Munich Re would buy an additional 23.27 per cent stake in Apollo Munich Health Insurance Co from its joint venture partner Apollo Hospitals Group India for Rs 164 crore ($24.18 million). The deal increases Munich Re's holding in Apollo Munich to nearly 48.75 per cent, with 51.1 per cent held by Apollo Hospitals, and the rest by employees. 2 www.bankersadda.com | www.sscadda.com | www.careerpower.in | www.careeradda.co.in LIC AAO CAPSULE -2016 12. Mahindra Insurance Brokers Ltd. (MIBL) has been appraised and rated at Maturity Level 3 of the People Capability Maturity Model (People-CMM), thus becoming the first insurance broking company globally to achieve this international benchmark. MIBL joins the league of top companies practising People-CMM such as Accenture, Computer Sciences Corporation, Wipro, CMC, Mahindra Mahindra Financial Services Ltd., Tata Consultancy Services, LT Infotech, etc. 13. Government has extended RuPay card usage condition to 90 days for a claim under an in-built accident insurance cover in case of RuPay Classic cardholders with effect from November 25, 2015. Under Pradhan Mantri Jan Dhan Yojana (PMJDY), RuPay Debit Card, with an in-built accident insurance cover of Rs 1 lakh, is provided to account holders. About 16.54 crore RuPay cards have been issued so far under PMJDY. INDIAN ECONOMY NEWS S. No News 1. The deposits in accounts opened under the government’s flagship financial inclusion programme under Pradhan Mantri Jan Dhan Yojana (PMJDY) have crossed the Rs. 30,000 crore mark. According to the recent updates on Jan. 20, 20.38 crore bank accounts were opened under the PMJDY. These bank accounts had deposits of Rs. 30,638.29 crore (about $4.5 billion). 2. The World Bank will be the anchor investor in the new Railway Development Fund, which would be used to fund the modernisation of Indian Railways, according to the Railway Minister Suresh Prabhu. 3. Pension fund regulatory body PFRDA has started using PAN instead of Aadhaar for validation of new customers who can now be registered online under the National Pension System (NPS) scheme. 4. The World Bank approved a 1.5 billion US dollar loan for the ambitious Clean India Campaign (Swachh Bharat Mission). The loan was granted to support the government in its efforts to ensure all citizens in rural areas have access to improved sanitation and end the practice of open defecation by 2019. 5. International Monetary Fund (IMF) included China's Yuan into its elite reserve currency basket. Yuan's entry into the basket takes effect from 1 October 2016. 6. Chief Economic Advisor Dr Arvind Subramanian led Committee has recommended standard rate for Goods and Services Tax (GST) at 17 to 18 per cent. He also recommended the Revenue-neutral rate of 15 to 15.5 per cent. 7. Singapore replaced Mauritius as top source of Foreign Direct Investment (FDI) into India during April-September of 2015-16 financial year. 8. Prime Minister Narendra Modi released two commemorative coins of 125 rupees and 10 rupees, as part of the 125th birth anniversary year celebrations of Dr. Babasaheb Bhim Rao Ambedkar. 9. Cabinet approved Rs 8,000- crore funds that will stand guarantee for loans to new ventures and also announced ‘Stand up India’ scheme for credit facilities to SC, ST and women entrepreneurs at lower rates. While the Rs 3,000 crore MUDRA Credit Guarantee Fund (CGF) will act as hedge against default of Rs 50,000 to Rs 10 lakh loan extended to small entrepreneurs, the Rs 5,000 crore Stand Up India CGF will stand guarantee for Rs 10 lakh to Rs 1 crore loans to be provided to least 2.5 lakh SC/ST and women.