Life Insurance Corporation of India (LIC) will soon begin the search for a new managing director after Usha Sangwan retired from the position on September 30.
Sangwan was appointed as MD in November 2013 and was the first female to hold the post in LIC. She joined LIC as a direct recruit officer in 1981.
The appointments committee of the cabinet (ACC) decides on the senior level appointments in public sector companies.
Sources told Moneycontrol the government will invite applications for the post in the next few weeks. After this, the eligible executive directors will be called for an interview.
Managing directors at LIC look into crucial areas of the company, including human resources, product development and finance. All the managing directors are also involved in the investment department in various roles.
LIC is the country’s largest institutional investor.
As per the LIC Act, the life insurer can have four managing directors, apart from the chairman. These five individuals are referred to as the top management.
LIC MDs usually have a 15-20 year work experience and are required to work across departments like marketing, investment, products among others.
LIC collected premium (first-year premium plus renewals) of Rs 3.18 lakh crore in FY18, a jump of 6 percent over the previous fiscal year. The size of its balance sheet jumped by 10.4 percent to Rs 27.9 lakh crore as on March 31, 2018, according to public disclosures made by the insurer.
The insurer’s investment assets stood at Rs 27.23 lakh crore, of which the life fund (traditional business) stood at Rs 20.79 lakh crore.
Top positions in other PSU insurers still vacant
Three state-owned general insurance companies are yet to shortlist candidates for the chairman and managing director posts.
These include United India Insurance, National Insurance and New India Assurance. The ACC is likely to announce the names of the new chiefs in mid-November.