The country’s largest insurance company Life Insurance Corporation (LIC) has submitted its prospectus for Initial Public Offering (IPO) with SEBI. This thick book of 652 pages is the key to entering the business fort of LIC.
Life Insurance Corporation of India (LIC)
Country’s largest insurance company Life Insurance Corporation of India (LIC) Initial Public Offering ,IPO, has submitted its prospectus to SEBI. This thick book of 652 pages is the key to entering the business fort of LIC. With the opening of this fort, many such secrets are coming out, which the world was unaware of till now. Now you will be able to say with statistics that LIC Insurance (Insurance) He is the uncrowned king of the market. In terms of premium, Life Insurance Corporation of India has a market share of 64.1 percent. This share in New Business Premium is 66.2 percent. However, term insurance (Term Insurance) Which is called pure insurance, in the year 2020-21, its share in new business premium is only 0.33 percent.
New Business Premium i.e. the premium received from the new policy sold every year, LIC is also a big company according to the number of individual policies. The stake here is 74.6 percent. That is, 7 out of 10 insurance policies sold in the country are being sold by LIC.
LIC becomes the largest asset management company
According to a recent report by UBS, out of the total deposits of Indian households, Rs 10 is invested in LIC. Your deposit has also made LIC the largest asset management company. LIC is in command of assets worth $ 520 billion or about Rs 39 lakh crore. That is, the value of the total investment of all the mutual funds of the country is on one side and LIC on one side.
Life Insurance Corporation of India also dominates the stock market. Shares worth Rs 9.76 lakh crore are in the pocket of LIC. LIC accounts for 29 per cent of the total equity AUM of domestic institutional investors. At the same time, its share in the country’s equity market is about 4 percent.
LIC is the largest equity investor after the government
LIC is the largest equity investor after the government. LIC has huge investments in PSU stocks. At present, the Life Insurance Corporation of India is keeping an eye on the success of the IPO. In this affair, he has kept a small amount of the surplus coming from the policyholders in the hands of the shareholders. That is, the share of other shareholders including the government will increase from 5 percent to 10 percent, the amount received by the policyholders will come down from 95 percent to 90 percent. In 3 years, Life Insurance Corporation of India has given Rs 8,247.50 crore to the government as a surplus. That is, along with the policyholders, LIC is also a big thing for the government.
LIC got an idea of its size from its prospectus. Efforts are being made to make this heavy ride ride on Dalal Street gracefully.
(Story: Harsh Chauhan)