India’s largest life insurer, LIC, continues its impressive new business performance despite a highly challenging business environment caused by the pandemic.
LIC collects the highest ever Rs 1.84 lakh crores new premium and pays Rs 1.34 lakh crore as claims to policyholders
In the just-concluded financial year 2020-21, LIC has achieved its highest ever First Year Premium Income of Rs 56,406 crore under Individual Assurance Business with a 10.11 per cent growth over last year. LIC has also procured an impressive 2.10 crore policies, out of which 46.72 lakh were procured in March alone, with a growth of 298.82 per cent over last year for the corresponding month.
The market share garnered by LIC comes to 81.04 per cent in several policies for March 2021 and 74.58 per cent for the year. For the first year premium, the market share is 64.74 per cent for March and 66.18 per cent for the whole year.
LIC’s Pension and Group Schemes Vertical also created a new record by clicking its highest ever New Business Premium Income of Rs 1,27,768 crore over a huge base of Rs 1,26,749 crore in the previous year. There are 31,795 new schemes.
With the addition of 3,45,469 agents, the corporation now has a strong sales force of 13,53,808 agents. This year LIC has created 16,564 MDRT qualifiers, the highest ever. The corporation has also created 26,997 centurion agents.
LIC’s B&AC channel has procured 2,46,910 policies and 1862.73 crores premium in 2020-21, with a growth of 0.58 per cent and 23.46 per cent respectively.
LIC has come back strongly into the ULIP arena with its two new products SIIP and Nivesh Plus, completing more than 90,000 policies and garnering more than Rs 800 crores premium in the process. The product NAV, portfolio, and switching options are now available online.
On the claims front, despite severe constraints due to Covid, LIC settled 2.19 crore maturity claims, Money-Back Claims and Annuities, amounting to Rs 1,16,265.15 crore. During 2020-21, the corporation settled 9.59 lakh death claims amounting to Rs 18,137.34 crore. Annuity payments due in March 2021 have also been settled on due dates.
