Central
Schedule 1 of The General Insurance Business (Nationalisation) Act, 1972
THE SCHEDULE (See section 11) Amounts to be paid PART A Serial Number Name of Indian Insurance company Amount to be paid
- (1)(2) (3) Rs. 1. All India General Insurance Company Ltd. . . . 10,00,000 2. Anand Insurance Company Ltd. Preference Shares 3,50,000 Equity Shares 2,00,000 3. Bhabha Marine Insurance Company Ltd. . . . 54,448 4. Bharat General Reinsurance Ltd. Preference Shares 8,18,000 Ordinary Shares 13,49,844 5. British India General Insurance Company Ltd. . . . 37,50,000 6. Calcutta Insurance Limited . . . 7,49,442 7. Central Mercantile Assurance Company Ltd. . . . 3,38,499 8. Clive Insurance Company Ltd. . . . 26,12,600 9. Commonwealth Assurance Company Ltd. . . . 1,000 10. Concord of India Insurance Company Ltd. . . . 39,77,100 11. Devkaran Nanjee Insurance Company Ltd. . . . 16,80,000 12. General Assurance Society Ltd. . . . 8,06,000 13. Hercules Insurance Company Ltd. . . . 87,48,000 14. Hindusthan General Insurance Society Ltd. . . . 15,52,500 15. Hindusthan Ideal Insurance Company Ltd. . . . 25,20,605 16. Howrah Insurance Company Ltd. . . . 975 17. Hukumchand Insurance Company Ltd. . . . 10,00,000 18. India Reinsurance Corporation Ltd. . . . 2,05,02,200 19. Indian Guarantee & General Insurance Company Ltd. . . . 1,95,69,760 20. Indian Mercantile Insurance Company Ltd. . . . 50,33,195 21. Indian Merchants’ Marine Insurance Company Ltd. . . . 2,28,753 22. Indian Ocean Insurance Company Ltd. . . . 1,00,000 23. Indian Trade & General Insurance Company Ltd. . . . 61,21,200 24. Jalanath Insurance Ltd. . . . 10,42,955 25. Jupiter General Insurance Company Ltd. . . . 26,24,445 26. Kalyan Marine Insurance Company Ltd. . . . 1,79,880 27. Liberty Insurance Company Ltd. . . . 1,000 28. Madras Motor and General Insurance Company Ltd. . . . 1,77,69,600 29. Madura Insurance Company Ltd. Preference Shares 700 Ordinary Shares 15,83,900 Deferred Shares 12,500 30. Marine & General Insurance Company Ltd. . . . 8,95,300 31. Mother India Fire & General Insurance Company Ltd. . . . 7,44,345 32. Motor Owners’ Insurance Company Ltd. . . . 1,65,575 33. Naranji Bhanabhai & Company Ltd. . . . 49,200 34. Narhari Marine Insurance Company Ltd. . . . 2,36,400 35. National Insurance Company Ltd. . . 60,58,150 36. Neptune Assurance Company Ltd. . . . 10,00,000 37. New Great Insurance Company of India Ltd. . . . 43,50,000 38. New India Assurance Company Limited. . . . 8,20,37,678 39. New Merchants Insurance Company Ltd. . . 68,912 40. New Premier Insurance Company Ltd. . . . 1,21,110 41. Northern India General Insurance Company Ltd. . . . 998 42. Oriental Fire & General Insurance Company Ltd. . . . 2,43,98,000 43. Pandyan Insurance Company Ltd. . . . 90,00,000 44. Pioneer Fire & General Insurance Company Ltd. . . . 11,82,610 45. Porbandar Insurance Company Ltd. . . . 59,194 46. Prachi Insurance Company Ltd. . . . 21,375 47 Ruby General Insurance Company Ltd. . . . 1,38,74,000 48. Shree Mahasagar Vima Company Ltd. . . . 1,18,252 49. South Indian Insurance Company Ltd. . . . 60,63,000 50. Sterling General Insurance Company Ltd. Preference Shares 23,000 Ordinary Shares 16,08,139 51 Triton Insurance Company Ltd. . . . 47,07,180 52. United India Fire & General Insurance Company Ltd. . . . 21,39,991 53. Universal Fire & General Insurance Company Ltd. . . . 24,71,618 54. Vanguard Insurance Company Ltd. . . . 896 55. Vulcan Insurance Company Ltd. . . . 32,49,617 PART B Serial Number Name of insurer Amount to be paid
- (1)(2) (3) Rs. 1. Co-operative Fire & General Insurance Society Ltd. . . . 18,69,000 2. Co-operative General Insurance Society Ltd. . . . 5,93,000 3. Indian Mutual General Insurance Society Ltd. . . . 1,40,000 4. Life Insurance Corporation of India . . . 2,81,34,000 5. Millowners’ Mutual Insurance Association Ltd. . . . 12,89,000 6. Orissa Co-operative Insurance Society Ltd. . . . 2,83,000 7. Reinsurance Association of India (International) Ltd. . . . 13,000 8. Union Co-operative Insurance Society Ltd. . . . 37,60,000 9. Alliance Assurance Company Ltd. . . . 36,65,000 10. American Insurance Company . . . 3,30,000 11. Atlas Assurance Company Ltd. . . 64,85,000 12. Baloise Insurance Company Ltd. . . . 22,67,000 13. British Aviation Insurance Company Ltd. . . . 1,000 14. Caledonian Insurance Company . . . 81,000 15. Century Insurance Company Ltd. . . . 6,04,000 16. Commercial Union Assurance Company Ltd. . . . 85,20,000 17. Eagle Star Insurance Company Ltd. . . . 37,12,000 18. Gerling Global Reinsurance Company Ltd. . . . 1,000 19. Great American Insurance Company . . . 3,81,000 20. Guardian Assurance Company Ltd. . . . 19,98,000 21. Hanover Insurance Company . . . 42,13,000 22. Hartford Fire Insurance Company . . . 2,96,000 23. Home Insurance Company . . . 3,73,000 24. Legal & General Assurance Society Ltd. . . . 5,28,000 25. Liverpool and London and Globe Insurance Company Ltd. . . . 8,23,000 26. London Assurance . . . 12,30,000 27. London Guarantee & Accident Company Ltd. . . . 40,000 28. London & Lancashire Insurance Company Ltd. . . . 47,70,000 29. L’Union Fire, Accident and General Insurance Company Ltd. . . . 1,000 30. National Employers’ Mutual General Insurance Association Ltd. . . . 3,17,003 31. National Insurance Company of New Zealand Ltd. . . . 1,000 32. New Hampshire Insurance company . . . 19,08,000 33. New Zealand Insurance Company Ltd. . . . 10,84,000 34. Norwich Union Fire Insurance Society Ltd. . . . 31,43,000 35. Phoenix Assurance Company Ltd. . . . 2,63,000 36. Provincial Insurance Company Ltd. . . . 1,000 37. Queensland Insurance Company Ltd. . . . 10,31,000 38. Royal Exchange Assurance . . . 49,62,000 39. Royal Insurance Company Ltd. . . . 73,28,000 40. Scottish Union & National Insurance Company . . . 43,15,000 41. Skandia Insurance Company Ltd. . . . 1,000 42. South British Insurance Company Ltd. . . . 18,42,000 43. Sun Insurance Office Ltd. . . . 25,86,000 44. Switzerland General Insurance Company Ltd. . . . 6,35,000 45. Threadneedle Insurance Company Ltd. . . . 1,000 46. Tokio Marine & Fire Insurance Company Ltd. . . . 92,000 47. Union Insurance Society of Canton Ltd. . . . 5,89,000 48. United Scottish Insurance Company Ltd. . . . 83,000 49. Welfare Insurance Company Ltd. . . . 1,000 50. Western Assurance Company . . . 13,92,000 51. Yorkshire Insurance Company Ltd. . . . 16,31,000 52. Zurich Insurance Company Ltd. . . . 1,000
Summary
- The Schedule lists the specific amounts of money the government must pay for taking over different insurance businesses.
- It is divided into two distinct parts based on the type of insurance provider.
- Part A lists the names of Indian insurance companies and the exact amounts to be paid for their shares.
- Part B lists the names of other existing insurers, such as foreign companies or cooperative societies, and the amounts to be paid for their undertakings.
- Section 11 explains that the Central Government pays these listed amounts to the General Insurance Corporation.
- The Corporation is then responsible for distributing the money to the shareholders or insurers as specified in the Schedule.
Practical examples
1Mr. Sharma held 500 shares in the "All India General Insurance Company Ltd." in 1972. When the government nationalised it, they checked Part A of the Schedule, saw the total compensation for the company was 10,00,000 rupees, and gave that money to the Corporation to distribute among Mr. Sharma and the other shareholders.
2A foreign business named "Eagle Star Insurance Company Ltd." had its Indian operations taken over. To find out how much it was owed, the government looked at Part B of the Schedule, which listed 37,12,000 rupees, and paid that exact amount to the insurer.
FAQ
1. What is the main purpose of the Schedule?
It provides a master list of all the insurance companies being nationalised and the exact amount of money the government will pay for each one.
2. How does the government decide who gets paid from Part A versus Part B?
Section 11 states that Part A is used to pay for the shares of Indian insurance companies, while Part B is used to pay for the business undertakings of other existing insurers.
3. Does the government pay the shareholders directly?
No, Section 11 says the Central Government gives the money to the General Insurance Corporation, which then hands it out to the shareholders or the insurers.
4. Is the Life Insurance Corporation included in this list?
Yes, it is listed in Part B, and the Schedule says it must be paid 2,81,34,000 rupees for its general insurance business.
Test yourself
Q1.Under The General Insurance Business (Nationalisation) Act, 1972, how does Section 11 direct the payment of the specific amounts listed in Part A of the Schedule for Indian insurance companies?
Q2.According to Section 11 and The Schedule of The General Insurance Business (Nationalisation) Act, 1972, what dictates the amount paid for the undertaking of an existing insurer that is NOT an Indian insurance company?
Q3.Under The Schedule of The General Insurance Business (Nationalisation) Act, 1972, what information is provided in the columns for every company listed in Part A and Part B?
Q4.Which of the following entities is listed in Part B of The Schedule to The General Insurance Business (Nationalisation) Act, 1972?