MUMBAI, Aug 9: The Board of Directors of Life Insurance Corporation of India ("LIC") approved and adopted the standalone and consolidated financial results for the quarter ending June 30th, 2025. Below are the key highlights of our standalone results.
The Profit after Tax (PAT) for the quarter ended June 30th, 2025 was Rs. 10,986 crore as compared to Rs. 10,461 crore for the quarter ended June 30th, 2024 registering a growth of 5.02%.
In terms of market share measured by First Year Premium Income (FYPI) (as per IRDAI), LIC continues to be the market leader in Indian life insurance business with overall market share of 63.51%. For the quarter ended June 30th, 2025, LIC had a market share of 38.76% in Individual business and 76.54% in the Group business.
The Total Premium Income for quarter ended June 30th, 2025 was Rs. 1,19,200 crore as compared to Rs. 1,13,770 crore for the quarter ended June 30th 2024, registering a growth of 4.77%. The Total Individual Business Premium for the quarter ended June 30th, 2025 increased to Rs. 71,474 crore from Rs. 67,192 crore for the comparable period of previous year, showing an increase of 6.37%. The Group Business total premium income for quarter ended June 30th, 2025 was Rs. 47,726 crores as compared to Rs 46,578 crore for the quarter ended June 30th 2024, showing an increase of 2.46%.
A total of 30,39,709 policies were sold in the individual segment during the quarter ended June 30th, 2025 as compared to 35,65,519 policies sold during the quarter ended June 30th 2024 registering a decline of 14.75%.
On an Annualized Premium Equivalent (APE) basis, the total premium was Rs. 12,652 crore for the quarter ended June 30th, 2025. Of this 55.81% (Rs. 7,061 crore) was accounted for by the Individual Business and 44.18% (Rs. 5,590 crore) by the Group Business. Within the Individual Business, the share of Par products on APE basis was 69.66% (Rs. 4,919 crore) and balance 30.34% (Rs. 2,142 crore) was due to Non Par products.
The Non Par APE has increased from Rs. 1,615 crore for the quarter ended June 30th, 2024 to Rs. 2,142 crore for the quarter ended June 30th, 2025 registering a growth of 32.63% . Therefore, on an APE basis, our Non Par share of Individual business, which was 23.94% for the quarter ended June 30th, 2024 has grown to 30.34% for the quarter ended June 30th, 2025.
The Value of New Business (VNB) for the quarter ended June 30th, 2025 was Rs. 1,944 crore as compared to Rs. 1,610 crore for the quarter ended June 30th, 2024, registering a growth of 20.75%. The net VNB margin for the quarte Profit After Tax increased by 5.02% to Rs. 10,986 crore.
Non Par APE share within Individual business at 30.34% for Q1FY26 as compared to 23.94% in Q1FY25.
Individual Business Non Par APE increased by 32.63% to Rs 2,142 crore.
Group Business APE increased by 16.14% to Rs. 5,590 crore.
Overall APE increased by 9.45% to Rs. 12,652 crore.
Value of New Business (VNB) increased by 20.75% to Rs 1,944 crore.
VNB Margin (Net) increased by 150 bps to 15.4%
Solvency Ratio increased to 2.17 from 1.99
Overall expense ratio reduced by 140 bps to 10.47% from 11.87%
AUM increased by 6.47% to Rs 57.05 lakh crore.
Total Individual business premium increased by 6.37% to Rs. 71,474 crore.
Total Premium Income increased by 4.77% to Rs. 1,19,200 crore.
For the quarter ended June 30th, 2025, the persistency ratios on premium basis for the 13th month and 61st month were 75.63% and 63.85%, respectively. The comparable persistency ratios for the corresponding quarter ended June 30th, 2024 were 78.23% and 61.62%, respectively.
For the quarter ended June 30th, 2025, the persistency ratios on number of policies basis for the 13th month and 61st month were 64.35% and 51.12%, respectively. The comparable persistency ratios for the corresponding period ended June 30th, 2024 were 67.81% and 49.39%, respectively.
The Assets Under Management (AUM) increased to Rs. 57,05,341 crore as on June 30th, 2025 as compared to Rs. 53,58,781 crore on June 30th, 2024 registering an increase of 6.47% year on year.
The Overall Expense Ratio for the quarter ended June 30th, 2025 was 10.47% as compared to 11.87% for the quarter ended June 30th 2024, registering a decrease of 140 bps. The Yield on Investments on policyholders funds excluding unrealized gains was 8.45% for the quarter ended June 30th, 2025 as against 8.54% for quarter ended June 30th, 2024.
Shri R Doraiswamy, CEO & MD, LIC said :-
"During the first quarter of this financial year, our overall market share by First Year Premium Income was 63.51% and we maintained our leadership in both Individual and Group Business. Key elements of our strategy like increase in Non Par share in Individual business, increase in VNB margin, increase in Banca share are fully on track. The share of Non Par products within Individual segment, on an APE basis, has increased to 30.34% in the first quarter of FY26 as compared to 23.94% for the same quarter last year. VNB margin has increased by 150 bps to 15.4% on Year on Year basis, while our expense ratio has declined by 140 bps to 10.47% in this quarter. Our channel mix diversification strategy is visible with the increased share of bancassurance and alternate channels. As at 30th June 2025, more than 1.99 lakh women have been appointed as Bima Sakhis who have sold more than 3.26 lakh policies during the first quarter of FY26. We look forward to working with the regulatory authorities and various State and District Level Insurance Committees to further increase life insurance penetration in our country. We are focused on launching new products to meet customer needs and further enhancing our customer outreach." |
