GIC

In 1971, the government nationalised the private sector companies (107 Indian and foreign companies) playing in the general insurance segment and a government company, the General Insurance Corporation of India (GIC) was formed in 1972. The GIC started operation on January 1, 1973 with its

four holding companies:

(i) National Insurance Company Ltd.

(ii) New India Assurance Company Ltd.

(iii) Oriental Fire and Insurance Comany Ltd.

(iv) United India Insurance Company Ltd.

In the era of economic reforms, two major changes took place in this area—

(i) In November 2000, the GIC was notified as the Indian Reinsurer1 (to be known as GIC Re).

(ii) In March 2002 the GIC was withdrawn from holding company status of the four public sector general insurance companies. Now these four companies are directly owned by the Government of India.2