Vijayawada: Withdraw GST on LIC premium, demand agents

Vijayawada: Life Insurance Agents Federation of India (LIAFI) national president Ranvir Sharma has demanded the Central government to withdraw the collection of GST on insurance premium. He expressed apprehensions that survival of life insurance agents will not be possible if the Central government continues to collect the GST.

Ranvir Sharma addressed 17th general council meeting held at a private function hall here on Sunday. Over 2,000 LIC agents from across India participated in the three-day general council meeting that ended on Sunday.

The LIAFI leaders have discussed various pending issues in the meeting and decided to strengthen the federation by working in coordination and unity. Ranvir Sharma speaking on the occasion expressed concern over lack of security to the profession of LIC agents. He said many letters were written to GST council chairman and its members to withdraw GST on LIC premium. He demanded that the bonus to be given to the policy holders should be increased and observed that policy holders will be attracted, if the bonus is increased.

He also suggested that interest collected from the policy holders, if the EMI payment is delayed. He said most of the earnings of the LIC come from the agents but the returns to the agents are very less.

He urged the Central government to increase the commission to the agents from 5 percent to 7.5 percent as per the recommendation of the Insurance Regulatory Development Authority of India.

Life Insurance Agents Federation of India secretary general N Gajapati Rao suggested the agents to maintain harmonious relations with the policy holders and explain the new policies clearly to increase the business and strengthen the organization.

He felt the development of the LIC lies with the Central government and the LIC.

He praised the services of LIC staff during the Covid pandemic period.