Life Insurance Corporation (LIC), with a sizeable land bank in the country, has set an ambitious target of Rs 325 crore in rental income this fiscal, a senior official said here today.
The insurer uses a number of its properties at prime locations for itself though a large part has been rented out to various other companies.
"We netted Rs 300 crore income from rentals in FY15. This year, we aim to collect Rs 325 crore through this mode," LIC Managing Director Usha Sangwan told PTI, adding that the insurance giant is busy identifying more properties to achieve the target.
"We are tracking all our properties across the country to increase our rental income. We will try to get the market rent, keeping in mind legal and technical issues," she said.
LIC plans to implement enterprise model risk management shortly in order to avoid rent-related complications in future, she said.
"We will go for enterprise mode risk management shortly," she said.
On LIC's market share, which declined to 69.21 per cent in FY15 from over 75 per cent in the previous year, she said, "Due to the withdrawal of some of the old products, we encountered some challenges, which led to a decline in our market share in 2014-15."
However, she expressed confidence that with the existing products, LIC would be able to cover all segments of people and improve market share.
"Right now, we have 16 products and we cover all segments which include children, pension, health, risks and investments plans. We also have two online products, including pension and term plans," she said.
