Mumbai:
Despite being hit by the nationwide lock down due to Covid-19 Pandemic in March, the most productive month for the Life Insurance Corporation(LIC), the life insurance behemoth has seen its total premium rising by12.50 per cent year on year (y-o-y) to Rs 3,79,062.56 crore in Fy 2019-20.While the corporation’s renewal premium,at Rs1,94,007.71 crore ,has gone up by 3.23 per cent y-o-y,its total new premium has gone up marginally to Rs 51,502 crore during the reporting period.
However, the corporation’s group premium has surged by 36 per cent y-o-y to Rs 1,33,552 crore in 2019-20.
The IPO bound corporation has also grown its total assets by 2.71 per cent y-o-y to Rs 31,96.214.83 in 2019-20.
The LIC's total income, that includes its total premium and investment income,has expanded by almost 10 per cent y-o-y to Rs 6,15,882.94 crore during the reporting period.
The corporation’s total investment income through its equity and debt instruments, has spurted by 5.69 per cent y-o-y to Rs 2,33.760 crore during 2019-20.
The corporation has paid a total amount of Rs 2,54.222.27 crore, up 1.31 per cent y-o-y, to its policyholders in terms of claims out of maturity, surrender and death.
The corporation's ratio of expenses management to gross premium is pegged at 14.67 per cent during 2019-20.
The LIC has also seen its non-performing assets at Rs 36,694 crore in 2019-20, which is 8.17 per cent,(as against 6.15 per cent in 2018-19)of its total corporate lending.exceeding over Rs 4.50 trillion.
LIC's yield on investment has fallen to 7.54 per cent in 2019-20 from 7.59 per cent in 2018-19.
The corporation has now managed to overcome the negative trends in its performance in the post lockdown period during the current fiscal..
According to the LIC's officials except in the categry of sales of policies,the corporation has already swung into positive zone in its new premium income and renewals in July .
The LIC's 90 per cent of offices all over the country are working today.
“Our collection through digital mode has almost doubled to Rs 15,000 crore in the last three months and our renewal premium has swelled up by 10 per cent. We are receiving strong response in our group business that has now crossed Rs 35 trillion in the current fiscal.'' said sources at the LIC.
The LIC has already settled 561 Covid-19 claims for an amount of Rs26.74 crore.The corporation has relaxed the procedure and are getting requirements of death claim through e mail from their Club Agents/Development Officers.To help customers further in this environment LIC is now accepting the maturity claim and SB requirements from customers by mail and settling the claims without original document.(Subject to some conditions).