The board also has fixed May 29, as the record date for the purpose of ascertaining the eligibility of members of the corporation for bonus equity shares in the proportion of 1:1 new fully paid-up equity share of Rs10/- each for every one existing fully paid-up equity share of Rs 10 each.
Mumbai:Driven by robust premium growth and higher investment income, State-owned Life Insurance Corporation of India(LIC) reported a 23 per cent rise in quarterly profit to to Rs 23,420 crore ($2.43 billion) for the three months ended March 31, up from Rs 19,013 crore a year earlier. on Thursday, supported by a rise in premium collections.
The corporation’s board of directors, which met on Thursday to apporove the results, has declared a dividend of Rs 10 per share for the financial year 2025-26.
The board also has fixed May 29, as the record date for the purpose of ascertaining the eligibility of members of the corporation for bonus equity shares in the proportion of 1:1 new fully paid-up equity share of Rs10/- each for every one existing fully paid-up equity share of Rs 10 each.
LIC’s net premium income rose 12 per cent year-on-year to Rs 1.65 lakh crore from Rs 1.48 lakh crore, supported by healthy expansion in renewal and single premium business.
First-year premium income increased 17 per cent to Rs 13,009 crore, while renewal premiums grew 14 per cent to Rs 82,233 crore. Single premium collections saw a sharp 22 per % jump to Rs 70,119 crore during the quarter.
Investment income, a key earnings contributor, climbed around 17per cent to Rs 1.09 lakh crore compared with Rs 93,443 crore in the corresponding quarter last year.
The insurer reported a total surplus of Rs 89,058 crore against Rs 77,053 crore a year ago. Surplus after share of profit from associates and minority interest rose to Rs 24,964 crore from Rs 20,271 crore.
On the expense front, management expenses increased to Rs 20,699 crore from Rs 16,526 crore in Q4FY25. Employee remuneration and welfare expenses rose significantly to Rs 8,891 crore, while other operating expenses increased to Rs 4,074 crore.
LIC’s solvency ratio strengthened to 2.35 as of March 31, 2026, up from 2.11 a year earlier, remaining well above the regulatory threshold. The expense management ratio improved to 12.52 per cent from 11.15 per cent.
However, persistency ratios witnessed some pressure. The 13th month persistency ratio slipped to 67.77% from 68.62%, while the 61st month persistency ratio declined to 54.13% compared with 58.54% a year earlier.