Life Insurance Corporation (LIC) reported a 5.14% increase in total premium income for H1 FY26, reaching ₹2,45,680 crores. The non-par share of individual APE increased to 36.31%. Profit After Tax grew by 16.36% to ₹21,040 crores. The VNB registered a growth of 12.3%, reaching ₹5,111 crores, with the VNB margin improving by 140 basis points to 17.6%. The solvency ratio improved to 2.13.
Financial Performance Highlights
For the six months ending September 30, 2025, Life Insurance Corporation (LIC) reported a total premium income of ₹2,45,680 crores, reflecting a 5.14% growth compared to ₹2,33,671 crores in H1 FY25.
Individual new business premium income stood at ₹28,491 crores.
The group business total premium income was ₹94,965 crores.
Profit After Tax (PAT) for H1 FY26 reached ₹21,040 crores, a 16.36% increase year-over-year.
Key Performance Metrics
The net Value of New Business (VNB) registered a 12.3% growth, reaching ₹5,111 crores. The net VNB margin improved by 140 basis points to 17.6%.
LIC’s solvency ratio improved to 2.13 as of September 30, 2025.
Assets Under Management (AUM) grew to ₹57,22,896 crores.
Business and Operational Updates
LIC launched two new non-par products on July 4, 2025: LIC’s Nav Jeevan Shree and LIC’s Nav Jeevan Shree Single Premium.
Bancassurance and Alternate Channels collected a new business premium income of ₹2,024.10 crores, a 67.62% year-over-year increase.
The overall expense ratio decreased by 146 basis points to 11.28%.
Regarding persistency, the 13th-month persistency stood at 75.29%.
The digital initiative through the Ananda app completed 8,78,470 policies.
Claims Settlement
LIC processed 96,44,280 individual claims, including 92,34,314 maturity and survival benefit claims. Total maturity claims amounted to ₹1,07,587 crores, and total death claims were ₹12,049 crores.
Strategic Initiatives
LIC aims to appoint at least one Bima Sakhi in every gram panchayat. Currently, 44% of gram panchayats have been covered by recruiting Bima Sakhis.
GST Exemption
The Government of India’s exemption of Goods and Services Tax on life insurance products is viewed as a customer-friendly move that will boost penetration.
Source: BSE
