Life Insurance coverage Company (LIC), the nation’s largest insurer, on Wednesday, introduced its monetary outcomes for the fourth quarter that resulted in March. The corporate reported a standalone internet revenue of Rs 13,428 crore, rising 466 per cent over the corresponding interval within the final fiscal.
In accordance with the government-owned insurers’ trade submitting, the standalone internet revenue for the This fall of FY22 stood at Rs 2,371.5 crore. The sequential progress in revenue was 112 per cent.
Throughout the reporting quarter, LIC’s internet premium earnings, nonetheless, declined by 8 per cent to Rs 1.31 lakh crore in comparison with Rs 1.43 lakh crore in the identical interval of the earlier yr. On sequential foundation, the premium earnings elevated by 17.9 per cent.
“The primary yr premium fell by 12.33 per cent on-year to Rs 12,811.2 crore, however the renewal premium elevated by 6.8 per cent to Rs 76,009 crore in comparison with year-ago interval,” the submitting stated.
LIC’s internet fee rose by 5 per cent to Rs 8,428 crore for the final quarter. Moreover, the solvency ratio, an important measure of an insurer’s monetary power, improved to 1.87 on the finish of the March quarter.
thirteenth month persistency ratio, a measure of the variety of policyholders who proceed to pay premiums after the primary yr, stood at 70.16 per cent on the finish of the fourth quarter. Though there was a slight dip from the earlier quarter, LIC maintained a wholesome persistency ratio, showcasing its capacity to retain policyholders over the long run.
The Twenty fifth-month persistency ratio fell to 63.84 per cent in This fall of FY23, from 68.23 per cent within the corresponding interval final fiscal.
The federal government’s stake dilution of three.5 per cent in Life Insurance coverage Company of India (LIC) by means of its historic preliminary public providing (IPO) final yr resulted in elevating Rs 20,557 crore. Nevertheless, the itemizing of LIC shares on the inventory market has seen a major decline in worth, inflicting buyers to incur losses of practically Rs 2.5 lakh crore.
When LIC shares had been listed on the Bombay Inventory Trade (BSE), they had been priced at a reduction of 8.62 per cent at Rs 867.20 per share, decrease than the IPO problem worth of Rs 949 per share. The federal government had offered over 22.13 crore shares, representing a 3.5 per cent stake in LIC by means of the IPO. The value vary for the IPO was set at Rs 902-949 per share, however shares had been finally allotted to buyers on the higher finish of the worth band on Might 12, 2022.