Performance of Life Insurance Business in the Post Crisis Period

Abstract

Insurance constitutes one of the major segments of the financial market. Insurance services play a pre-dominant role in the process of capital formation of the country as mobilize of savings and also as financial intermediary. The insurance industry commands large funds through sale of insurance products to a large member of individuals and organizations located in different parts of the country. During the process of conducting insurance business, insurers also create liabilities and commit themselves to compensate for the losses occurring to the policy holders at a future data. Life insurance is one of the most important devices or plan developed as a part of our economy for providing family security on a voluntary basis through individual initiative. Every plan of insurance is in its simplest form, merely a method of spreading over a large member of persons, a possible financial loss, too difficult to be conveniently borne by an individual. Life insurance seeks
to reduce the financial uncertainties arising from the natural contingencies-old age and death.