Life Insurance Corporation of India (LIC) is owned by the Government of India. It was established in 1956 after the nationalization of the insurance industry in India. LIC is a state-owned entity and operates under the Ministry of Finance. The Indian government has held a majority stake in LIC since its creation, though it has listed a portion of its shares on the stock market, making it a public company as well. However, the government still retains a controlling stake in LIC.
Section 37 of the Life Insurance Corporation
(LIC) Act, 1956 refers to the protection of action taken in good faith. This provision provides legal protection to LIC employees and the corporation itself for actions taken in good faith while discharging their duties under the Act.
Here’s a breakdown of Section 37 of the LIC Act, 1956:
- It protects LIC employees or other individuals acting under the authority of the Act from any legal suits or prosecutions, provided the actions were carried out in good faith.
- This protection applies to decisions, actions, or omissions made during the course of official duties.
In essence, Section 37 ensures that LIC officials and employees are safeguarded from liability for decisions or actions they undertake, as long as those actions are done with honesty and without any malicious intent.