LIC Sold 41 Policies per Minute in India

KOCHI:
IPO-bound Life Insurance Corporation of India (LIC) recorded a 12.66% increase in GRP in financial year 2021-22 at Rs 1,43,938.59 crore against Rs 1,27,768.06 crore for the financial year 2020-21.

During 2020-21, the individual non-single premium rose 8.82% to Rs 30,015.74 crore from Rs 27,584.02 crore as of end of March 2021. The total first year premium (FYP) of the life insurer rose by 7.92% to Rs 198,759.85 crore as compared to Rs 184,174.57 crore in the previous fiscal.

Individual single premiums increased by 61% to Rs 4,018.33 crore for the month of March 2022, compared to Rs 2,495.82 crore in the same corresponding period last fiscal. While, the Group Single Premiums increased by 48.09% to Rs 30,052.86 crore for the month of March 2022, compared to Rs 20,294.02 crore in March 2021. The LIC GRP’s growth increased by 59.50% compared to the previous year.

The market share of LIC stood at 63.25 per cent in total first year premium for financial year 2021-22. In First Year Premium, market share of LIC was 70.99% for the month of March 2022 over 63.68% for the month of March 2021. The number of policies sold increased by 3.54% to 21,718,695 in the financial year 2021-22 from 20,975,439 in the previous financial year. The insurer sold 4,896,019 policies for the month of March 2022 against 4,667,952 polices for the month of March 2021, a rise of 4.89%.

LIC, which is expected to hit the capital market with an IPO in the first quarter this fiscal, has an embedded value of Rs 5,39,686 crore as on 30 September 2021, according to the draft red herring prospectus, while the government plans to sell 316,249,885 equity shares.