Why is LIC's Term plan costlier as compared to that of Private Insurers.

LIC has been established in September,1956.This is a company trusted by every Indian. But this is not the reason behind the high premium of LIC. The main things is that If you are looking for a term plan, than you need an assurity that, if anything unexpected happens to your life, then your family should be able to receive the insured amount without any problem or hassle free claim settlement. In short, your nominee should be able to get whatever has been promised to you by the insurer at the time of providing you the insurance policy.
       LIC gives you this assurity not just in their and conditions, rather by the Claim Settlement Ratio in the past years. LIC has been rated by Dun & Bradstreet as the Numero Uno Insurer in the world in terms of claim settlement. If you have a look at the last year's claim settlement ratio of LIC, it is come on first position with 98.7%. But there is also a talk that many Private insurers also provide claim settlement above 90%. But, we should not only be looking at the percentage but alos at the number of settlements made. But while having an analysis on the last year data, we get some surprising thing, which is enough reason for the high premium of LIC. LIC settled approximate 7,33,545 claim and ICICI Prudential comes on 2nd position with 96.3% claim settlement ratio and number of  settled claims is 14,393. So, you will be easily able find out the difference between these two. Currently ICICI Prudential has only 16,289 customer in term plan, but they are not able to settle 100%. So, consider when ICICI Prudential comes equal to LIC, then the claim settlement ratio will automatically down.
                               After that if any person investing in private company, especially in case of term plan, that is totally donation. So, be careful for your family future.