Re: Revision of Agents Club Rules w.e.f. Qualifying F.Y. 2010-11 (M.Y.-2011-12).

The qualifying criteria for Entry as well as Continuation of membership. Applicable from the Financial Year 2010-2011 (M. Y. 2011-12). 1. Club Membership Eligibility Criteria: Single Membership criteria comprising of following conditions for Entry and Continuation into the Clubs. TABLE 1 Sr. No. 1 2 3 4

Name of Club

CMs Club 50 130 600 200000 200000

ZMs Club 40 100 400 140000 140000

DMs Club 30 80 250 90000 60000

BMs Club 20 50 150 50000 35000

Minimum Net No. of Lives a. Net No. of Lives OR b. No. of Lives In-force Renewal Commission Paid (Rs.) First Year Commission Paid (Rs.)

2. No. of years for which Criteria will have to be fulfilled: Qualifying Year and in any two out of three financial Years preceding the Qualifying year for both Entry and Continuation. 3. Transitional Arrangements: Transitional arrangements for agents already members of clubs & for those who have fulfilled the criteria for club membership for one or more relevant years for Entry either under Condition A or B prior to Financial Year 2010-2011. 4. Minimum Net Number of Lives: Condition No.1 An agent for entry or continue membership of any club has to bring in compulsorily Minimum Net number of Lives in Qualifying Year & for the years for entry/Continuation of club membership. 5. Net Number of Lives/ Number of Lives in force: Condition No. 2: An agent can either bring in the Net number of lives or should have number of lives in force in the years. He/she has to fulfill either condition 2a or 2b. 6. Relaxation Clause: A shortfall in 1st Yr Commission may be condoned maximum up to 50%, provided it is compensated with the same or higher percentage increase on the basic condition prescribed for Renewal Commission paid. Or A shortfall in Ren. Commission, it may be condoned up to a maximum of 100% provided it is compensated with the same or higher % increase on the basic condition of 1st Yr Commission paid. 7. Escalation Clause: 5% increase in each year on the previous years Entry criteria in respect of First Year Commission paid & Renewal Commission paid applicable for entry from the Membership Year 2014-15 (Qualifying Financial Year 2013-14). However, for continuation, 5% increase clause applicable from Membership year 2015-16 8. Relaxation in fulfillment of qualifying criteria: An agent who has completed the age of 60 years as on the date of commencement of club membership year and n a continuous member of the same club for not less than 15 membership years can continue the membership of the same club by fulfilling at least 75% of the criteria applicable for that club. 9. Credit for revived policies: Allowed credit of lives revived in arriving at Net Number of lives. 10. Training: A member of any club and/or one whose membership is continued in the said Membership Year will be required to undergo training at ZTC/STC etc once in 4 years. 11.A Life member need not fulfill the mandatory condition (Condition 1 as mentioned in Table). However, they will have to fulfill the other conditions for continuing as a Regular Life Member as per Table 1. A non- regular life member is the one who has not fulfilled the eligibility criteria prescribed for the Chairmans/Zonal Managers Club. A non-regular life member will not be eligible for any monetary benefits including participation in the Convention. Such an agent will be eligible for functional privileges only.

12.Agency with any other Insurer: The agent working with LIC shall not be eligible for grant / continuation of Membership of any Club if any of his family member having agency with any other life insurer. Fringe Benefits:

CM
Basic office allowance 50% of actual expenses OR 7 1/2 % of total Commi. (FYC + RC) OR OR Rs.35,000 Which ever is lower

ZM
OR Rs.20,000 Which ever is lower 5% or less =18 4% or less =20 3% or less =22

DM
OR Rs.12,000 Which ever is lower

BM
NIL

Additional Office Allowance for low lapsation Penalty for lapsation

10% or less lapsation= 5% addi. 9% or less = 8% addi 8%or less = 10% addi 7% or less =12% addi 6% or less= 15% addi Lapsation more than 15% in one year not be eligible for any benefit

2% or less lapsation = 25% addi 1% or less lapsation =28% addi 0% lapsation= 30% add

Lapsation more than 15% in consecutive TWO year

cease to be club member

Potential CM Club member

Satisfy condition for ONE year

office allowance of Rs.12, 000/Rs.3000 Yes

Satisfy condition for 2nd year also Rs.1000 Yes

Office Allowance of Rs.20, 000/Rs.1,800 per year. (Mobile bill Only)

Telephone facility Sales promotional Gift items LIC Guest House Facility Complimentary Table Diary /

Rs.6,000 P.A.(Land or Mobile)

Rs.4,000 per year. (Land or Mobile)

Rs.2,400 per year (Mobile bill Only)

Rs.2000 Yes 1 TD + 1 PC Yes Yes Yes

Telephone Reimbursement

Rs.500/Yes 1 TD only No Yes Yes

Prepared by:

Pictorial Calendar

1 TD + 1 PC Yes Yes Yes

Office Allowance Reimbursement

1 TD + 1 PC No Yes Yes Sales Promotion & Gift Items 5,000 7,500 10,000

Complimentary Yogakshema Certificate of Membership Club Membership Badges:

Criteria Graded 1000 live & Benefits for 6 lac Re.Com OR Higher 10lac FC+ RC Performance to 1500 live & Chairmans 900,000 Re.Com Club Members Or 15 lac FC+ RC
1200 live & 12 lac Re.Com Or 20 lac FC+ RC

50,000 70,000

8,000 10,000

Sanjay Bidani DO 1207 LIC of India Unit-12D Jagatpuri Delhi:110051 9810163087

100,000

12,000