Question

Which of the following was incorporated as a company in the year 1972?

• A. Life Insurance Corporation of India
• B. General Insurance Corporation of India
• C. National Insurance Company
• D. United Insurance Company

Hint:

LIC — 1956 (life insurance); GIC — 1972 (general insurance).

Answer 1

The Correct Option is B

The Life Insurance Corporation of India (LIC) was established earlier, in the year 1956, when all private life insurance companies were nationalized.
In contrast, the General Insurance Corporation of India (GIC) was incorporated on 22nd November 1972 under the General Insurance Business (Nationalisation) Act, 1972.
The purpose of GIC was to control and operate the general insurance business in India.
At that time, GIC was the holding company for four subsidiaries — National Insurance Company, United India Insurance Company, Oriental Insurance Company, and New India Assurance Company.
These subsidiaries were formed under GIC to handle different segments of general insurance.
Hence, the company that was specifically incorporated in 1972 is the General Insurance Corporation of India (GIC).