The Business Bytes
New Delhi, November 11, 2024 (TBB Bureau): The Life Insurance Corporation of India (LIC), the country’s largest life insurer, reported a substantial 22.52% growth in new business premiums, amounting to Rs 1,32,680.98 crore in the first seven months of the fiscal year FY25. This figure, revealed in LIC’s latest financial data, marks a significant increase from the Rs 1,08,289.78 crore garnered in the same period last year.
This impressive growth reflects LIC’s continued dominance in the Indian insurance market, buoyed by robust performances across both the Individual and Group Premium segments. In the Individual Premium category, LIC collected Rs 33,204.36 crore, marking a 13.58% rise from Rs 29,233.73 crore achieved in the comparable period of FY24. Meanwhile, the Group Premium segment surged by 25.79%, reaching Rs 97,947.05 crore compared to Rs 77,864.69 crore last year. Notably, Group Yearly Premiums also saw a sharp 28.39% increase to Rs 1,529.57 crore from Rs 1,191.35 crore.
During this period, LIC issued a total of 97.60 lakh policies and schemes, reflecting a modest 2.76% increase from the 94.98 lakh policies issued during the same period in FY24. In the Individual segment alone, policy issuances rose by 2.76% to 97.41 lakh, up from 94.79 lakh last year. However, Group Yearly Renewable policies saw a slight dip of 3.08% to 15,757, while Group schemes and policies grew by 17.50%, reaching 3,028 compared to 2,577 in FY24.
For October 2024, LIC recorded a 9.48% year-on-year increase in new business premiums, reaching Rs 17,131.09 crore, up from Rs 15,647.14 crore in October 2023. The Group Premium segment in October particularly excelled, rising by 15.50% to Rs 13,267.93 crore compared to Rs 11,486.89 crore last year. The Group Yearly Premium collections experienced a staggering 140.75% surge, amassing Rs 150.54 crore, up from Rs 62.53 crore in October 2023.
However, LIC’s Individual Premium segment in October faced a slight contraction, falling by 9.40% to Rs 3,712.62 crore, down from Rs 4,097.72 crore in October of the previous year. Additionally, total policies and schemes issued in October 2024 saw a considerable 59.71% decline, totaling 5.72 lakh compared to 14.22 lakh in October 2023. Specifically, the Individual category reported a 59.76% drop in policies issued, with 5.71 lakh policies compared to 14.19 lakh last year. Group Yearly Renewable policies and schemes also witnessed a decline, dropping by 39.47% to 1,541, while Group schemes and policies decreased by 8.78% to 343 from 376 in October 2023.
