LIC IPO: Policyholders of THIS Scheme Eligible For Discount On Shares

LIC IPO Date: The biggest IPO of India, yet, is expected to open for subscription on March 11, 2022. 10 per cent out of the total shares have exclusively been reserved for the policyholders of LIC.

New Delhi: According to a latest statement by LIC Chairman M R Kumar, the subscribers of Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY) will be eligible for a discount on the LIC IPO shares. According to PTI, this will be under the Policyholder Reservation Portion.

PMJJBY falls under LIC. According to the PTI report, “Policyholders having one or more policies of LIC as on the date of DRHP and bid/offer opening date and who are residents of India would be eligible to apply in this offer, under the Policyholder Reservation Portion.”

In the LIC IPO DRHP or Draft Red Herring Prospectus, each policyholder is allowed to bid for the shares with a discount amount of not more than Rs 2 lakh. A total of 10 per cent shares out of a total of about 32 crore shares have been reserved for the policyholders. According to media reports, they may get a discount ranging from 5- 10 per cent on the issue price.

LIC IPO is expected to open for subscription on March 11, 2022.

Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY): All You Need To Know

• PMJJBY provides a life insurance cover of Rs 2 lakh for one year against a premium of Rs 330 per annum.
• The premium is auto-debited from the account of the beneficiaries before May 31.
• The cover period is from June 1 to May 31 each year.
• The scheme has to be renewed every year.
• People in the age group of 18 to 50 years are eligible for the scheme.
• They must have a bank account and fill out a consent form for enabling auto-debit.
• The insurance cover of Rs 2 lakh will be given to the nominee in case of death of the insured, due to any reason.
• The scheme is administered and run by LIC.