“We are evaluating various options available in the market, but we don’t have any particular deadline or any such immediate date by which we are looking at doing that. We’ll be open to having a stake if a very good opportunity makes itself viable,” said Doraiswamy, MD & CEO, LIC
Mumbai:State owned Life Insurance Corporation has keept its options to venture into health insurance open and is looking for a suitable opportunity to buy stakes in a health insurance company.
“We are evaluating various options available in the market, but we don’t have any particular deadline or any such immediate date by which we are looking at doing that. We’ll be open to having a stake if a very good opportunity makes itself viable,” said R Doraiswamy, MD & CEO, LIC.
“We are a strategic investor, and we are a major investor in many companies and sectors. We have been evaluating. We have been looking at opportunities for enhancing our investment opportunities. And as a part of it, we are looking for enhancing our stake in a health insurance company,” he said.
Last year,the corporation had confirmed that discussions with a standalone health insurer were ongoing, but no binding agreement had been executed yet.
“The Corporation is still in advanced talks, and no binding agreement has been entered into. The execution and ultimate consummation of the deal will depend on various factors, including regulatory approvals,” the company had stated in its official communication.
The move is intended to expand LIC’s footprint in the health insurance sector while adhering to regulatory norms and maintaining its core business focus.
The move into health insurance is seen as a strategic effort to strengthen LIC’s portfolio, mitigate risks from market volatility, and capitalize on the booming demand for healthcare coverage in India.
Post GST(Goods & Services Tax) revamp when the government has removed any taxes from the retail health insurance premium, the health insurance sector has emerged the fastest-growing segments within the country’s insurance market, driven by increasing healthcare awareness and rising medical costs.