 "LIC. life insurance corporation")
The Life Insurance Corporation (LIC) of India reported a 49.10 per cent year-on-year (Y-o-Y) growth in net during the October-December period of financial year 2023-24 (FY-24), reaching 9,444.42 crore compared to Rs 6,334.2 crore in the same period last year on healthy growth in premium and net investment. income.
During the July-September quarter of FY24, the insurer had reported a net profit of Rs 7,925.015 crore.
The state-owned life insurer reported a net premium income of Rs 1.17 trillion in Q3 of FY24, a 4.6 per cent year-Y-o-Y increase from Rs 1.12 trillion in Q3 of FY23. Its first-year premium income dropped 12.96 per cent Y-o-Y to Rs 8,428.95 crore while renewal premium was up 22.36 per cent to Rs 62431.29 crore. Single premium income rose by 42.45 per cent Y-o-Y to Rs 46362.46 crore. Also, LIC declared a dividend of Rs 4 per share.
For the 9-month period ending in December 31, 2023 the VNB margins of the company increased to 16.6 per cent from 14.6 per cent in the same period last year.
According to the Siddhartha Mohanty, Chairman, LIC the APE and VNB margin levels are an indicator of the company’s strategic interventions delivering envisaged results.
“We want to make sure that every action of ours is value accretive to all stakeholders. We will relentlessly pursue our targeted product and channel mix with the support of all our employees, agency force and channel partners. We are committed to developing new products designed to meet the evolving needs of our customers. With our digital transformation project underway, we are confident of making significant improvements in our business processes,” Mohanty said.
In terms of market share measured by First Year Premium Income (FYPI) (as per IRDAI), LIC continues to be the market leader in Indian life insurance business with overall market share of 58.90 per cent. For nine months ended December 31, 2023, LIC had a market share of 38.74 per cent in Individual business and 72.24 per cent in the group business.
