LIC AAO and Bank PO Comparison

Aug 25, 2025

Overview

This lecture compares the jobs of LIC AAO and Bank PO (Probationary Officer) to help students understand both career options.

Job Profile Comparison

  • Both Bank PO and LIC AAO are desk jobs, but their tasks differ.
  • Bank PO is assigned various tasks like accounts, loans, recovery, sales.
  • LIC AAO mainly handles back-office, data entry, verification, claim settlement, and administration.
  • LIC AAO does not have direct pressure for policy sales; the team under them handles this.

Salary and Allowances

  • LIC AAO's net salary is higher than Bank PO, approximately 90,000 to 100,000 rupees.
  • Bank PO's net salary is slightly lower, but the bank provides higher allowances.
  • Allowances in LIC are somewhat less compared to banks.

Promotion and Career Growth

  • Promotions in Bank PO happen quickly, approximately every 2-3 years.
  • Promotion process in LIC AAO is slower; it may take 4-5 years.
  • Career growth prospects are higher in Bank PO.

Work Pressure and Work-Life Balance

  • Work pressure is less in LIC AAO; there are no sales targets.
  • Work pressure and targets are higher in Bank PO.
  • LIC offers 6 working days and second Saturday off; conditions are similar in banks.
  • Fixed timings in LIC allow more time for family.

Posting and Transfer

  • Posting and transfer can happen anywhere across India in both.
  • Posting in rural or urban locations is possible in both bank and LIC.
  • There is no major difference in this regard.

Job Security and Exam Pattern

  • Job security is strong in both jobs.
  • Both LIC AAO and Bank PO exams have three stages: Prelims, Mains, Interview.
  • LIC AAO has sectional cut-offs and a qualifying English section.
  • LIC AAO exam level is slightly easier than Bank PO.

Key Terms & Definitions

  • LIC AAO тАФ Life Insurance Corporation Assistant Administrative Officer; back-office post in an insurance company.
  • Bank PO тАФ Probationary Officer; administrative officer in a bank, working in various departments.
  • Net Salary тАФ Total salary amount credited after deductions.
  • Promotion тАФ Advancement to a higher position.

Action Items / Next Steps

  • Fill the LIC AAO or Bank PO form on time.
  • Prepare especially for GA and Insurance Awareness sections.
  • Stay motivated and plan to clear cut-offs in all subjects.