One of the key reasons why crores of Indians have unwavering faith in the Life Insurance Corporation of India (LIC) is that it is owned by the central government. Retail depositors have similar confidence in public sector banks, but with the insurance behemoth the trust is further bolstered by provisions of the LIC Act, 1956. The central government guarantees payment of LIC policies' sums assured and declared bonuses, a powerful USP that no private life insurance company can offer. For risk-averse policyholders, the central government's assurance to pay is a great source of comfort. And, this guarantee is set to continue even after the government dilutes its stake through the much-awaited LIC IPO.