LIC says focusing on strategic interventions, including products launch, to raise market share

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Public TV English
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NEW DELHI: Launching new products and diversifying products mix, focusing on digital transformation are among the key focus areas of insurance behemoth Life Insurance Corporation of India (LIC), as per a company regulatory filing.

LIC said it now intends to focus on “strategic interventions” to maximize the market share.

Following is a list of its focus areas:

Siddhartha Mohanty, chairperson, LIC, said that last year, it focused on directional changes in its product mix and enhancing margins in the business. “We have more than doubled our share of non-par business within our Individual business”, Mohanty said in the post earnings statement.

Mohanty said LIC now intends to focus on “strategic interventions” to maximize the market share across categories. “At the same time, our sharp focus on various parameters that create superior value for all stakeholders shall continue”, he added. “There are key initiatives related to distribution channel and digital transformation under way”.

In 2024-25, LIC looks looks forward to this current year “as the one in which our topline growth trajectory will be back in focus,” he further noted.

Separately, a business publication, quoting Mohanty, reported Tuesday morning that the government-owned Life Insurance Corporation (LIC) is contemplating a foray into the health insurance sector and is currently assessing potential acquisition prospects. The move, according to the report, comes amid a proposal to allow composite insurance companies in the sector.

“There is an expectation that composite licences may be permitted by the new government, and we have done some internal groundwork. While we lack expertise in general insurance, we are interested in health insurance and are also considering opportunities for inorganic growth”, LIC chairman Siddhartha Mohanty was quoted in the report.

Public sector insurer LIC (Life Insurance Corporation of India) meanwhile posted a net profit of Rs 13,781.59 crore for the quarter that ended in March 2024. The company’s net profit rose by 4.5 per cent from Rs 13,190.79 crore reported in the same period of the previous year.

Life Insurance Corporation of India (LIC) is the fourth largest insurer in the world. During the entire financial year ended March 2024, the insurer earned a profit of Rs 40,676 crore as compared to Rs 36,397 crore in the previous fiscal.

The Board of Directors of LIC yesterday recommended a final dividend of Rs 6 per share for the financial year 2023-24 subject to approval of shareholders. Earlier, during the year, an interim dividend of Rs 4 was declared and paid to shareholders. Therefore, the total of interim and recommended final dividend aggregates to Rs 10 per share.

A dividend is a reward that companies often provide to their shareholders, though it is not mandatory, from a portion of their earnings.

The Board of the insurance company has fixed July 19, 2024 as the ‘Record Date’ for the purpose of ascertaining the eligibility of members of the Corporation for the proposed final dividend. All investors who own shares of that company on the record date will get the dividend. (ANI)

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