Life Insurance Corp. Of India · NSE:LICI
Life Insurance Corp. Of India — Life Insurance Corporation of India — Investor Presentation (February 2024)
82 slides from Life Insurance Corp. Of India's investor presentation, Feb 13, 2024
Slide 1: Corporate Presentation cover letter to exchanges
Ref. No.: LIC/SE/2023-24/191 Date: February 13, 2024 To The Manager The Manager Listing Department, Listing Department, BSE Limited, The National Stock Exchange of India Ltd., th Phiroze Jeejeebhoy Tower, Exchange Plaza, 5 Floor, Plot C/1, Dalal Street, G Block, Bandra Kurla Complex, Mumbai-400001 M
Slide 2: Corporate Presentation, February 13th, 2024
03 CORPORATE PRESENTATION February 13th, 2024
Slide 3: Agenda
Agenda I - INTRODUCTION II - FINANCIAL AND BUSINESS HIGHLIGHTS III - PRODUCT, CUSTOMER FRANCHISE AND DISTRIBUTION REACH IV - ACTUARIAL METRICS V - TECHNOLOGICAL AND DIGITAL INITIATIVES VI - ESG INITIATIVES VII - WAY FORWARD APPENDIX (a) INDIAN INDUSTRY LANDSCAPE (b) FINANCIALS
Slide 4: I Introduction
I INTRODUCTION
Slide 5: An Illustrious Journey of 67 Years
An Illustrious Journey of 67 Years Sustained leadership position after 20+ years of liberalization of insurance sector with a 62.58% market share in NBP in FY231 Opening up May 2022 - India’s largest LIC continues to lead, LIC of India formed insurance sector to IPO ever; Globally 6th after 20+ year
Slide 6: Deeply entrenched into Bharat
Deeply entrenched into Bharat Extensive domestic distribution network… Assam Jammu & Arunachal Breakup of our Business State wise² Kashmir; Ladakh Pradesh Meghalaya Punjab Himachal Pradesh Chandigarh Uttarakhand Tripura Haryana Delhi Sikkim Uttar Pradesh Rajasthan Bihar Madhya Pradesh Jharkhand Guja
Slide 7: Unmatched Scale - Largest Life Insurer in India
Unmatched Scale - Largest Life Insurer in India Market leadership Scale Distribution & Customer ~2.04 crore 15.19 FY23 Individual policies sold ~ 2,32,015 crore ~13.47 lakhs FY23 NBP Agents (Mar-23) Policies sold per agent for FY23 9.3x 51.26% of 2nd largest life insurer3 62.58% Significantly higher
Slide 8: LIC - A Leader with Deep Competitive Moats
LIC - A Leader with Deep Competitive Moats Customer Life- Unrivalled Focus on Strong financial & Strong risk Trusted brand Unmatched scale cycle product distribution technology investment track controls suite record ₹ Trusted brand India’s largest life Product mix that Presence across Deploying tech
Slide 9: Highly Experienced Management, Distinguished Board and Strong Corporate Governance framework
Highly Experienced Management, Distinguished Board and Strong Corporate Governance framework Shri Siddhartha Mohanty Dr. M. P. Tangirala Government Nominee Shri M Jagannath Shri Tablesh Pandey Whole-time Chairperson Managing Director Managing Director Director Shri Sat Pal Bhanoo Shri R Doraiswamy D
Slide 10: LIC – Group Structure
LIC – Group Structure Foreign branches1 Subsidiaries Associates Country Entity Country Entity Stake held (%) Country Entity Stake held (%) Fiji Branch 100.00% 45.24%3 Mauritius Branch 100.00% 5.38%3 United Kingdom Branch 99.66%2 49.24%4 Equity Participation 100.00% Country Entity Stake held (%) 29.8
Slide 11: Awards & Accolades
Awards & Accolades 10 Source: Corporation data as on 31.12.2023.
Slide 12: II Financial and Business Highlights
II FINANCIAL AND BUSINESS HIGHLIGHTS
Slide 13: Financial Performance FY 2022-23
Financial Performance FY 2022-23 Total Premium Income Individual New Business Premium Renewal Premium (Individual) FY23 INR 4,74,005 cr FY23 INR 58,757 cr FY23 INR 2,34,006 cr FY22 INR 4,27,419 cr FY22 INR 54,960 cr FY22 INR 2,21,661 cr +10.9% + 6.9% +5.6% Total APE Weighted Received Premium Total G
Slide 14: Financial Performance FY 2022-23
Financial Performance FY 2022-23 Commission Ratio Overall Expense Ratio Profit After Tax FY23 5.39% FY23 15.53% FY23 INR 36,397 cr 1 FY22 5.54% FY22 14.50% FY22 INR 4,043 cr -0.15% (Absolute) Assets Under Management Total Gross / Net NPA Ratio VNB (Gross) FY23 INR 43,97,205 cr FY23 2.56% / NIL FY23
Slide 15: Business performance parameters Q3FY24
Business performance parameters Q3FY24 Amount INR Crore 9M-FY24 INR 3,22,776 Cr 9M-FY24 INR 1,13,057 Cr Total Group Business Total Premium Income -5.69% -20.28% Premium 9M-FY23 INR 3,42,244 Cr 9M-FY23 INR 1,41,815 Cr 9M-FY24 INR 38,679 Cr 9M-FY24 58.90% Individual New Business Market Share in -6.48%
Slide 16: Business performance parameters Q3FY24
Business performance parameters Q3FY24 Amount INR Crore 9M-FY24 INR 23,194 Cr 9M-FY24 INR 3,93,384 Cr Weighted Received Total New Business Sum Premium - 0.26% - 7.92% 9M-FY23 INR 23,255 Cr Assured 9M-FY23 INR 4,27,211 Cr 9M-FY24 5,98,170 9M-FY24 16,288 Cr Total Number of Death Claims (Individual) -
Slide 17: Financial performance parameters Q3FY24
Financial performance parameters Q3FY24 Amount INR Crore 9M-FY24 INR 26,913 Cr 9M-FY24 98.46% Claim Settlement Ratio +1.03% Profit After Tax¹ +17.16% Death² 9M-FY23 INR 22,970 Cr 9M-FY23 97.43% (Absolute) 9M-FY24 1.93 9M-FY24 1,25,56,046 +0.08 Number of Policies sold -2.60% Solvency 9M-FY23 1.85 (Ab
Slide 18: Performance ratios Q3FY24
Performance ratios Q3FY24 9M-FY24 9.14% + 0.56% 9M-FY24 7.90% Yield on Investment Yield on Investment + 2.74% (Policyholders Fund)² 9M-FY23 8.58% (Absolute) (Shareholders Fund)² 9M-FY23 5.16% (Absolute) 9M-FY24 2.15% 9M-FY24 91.10% - 2.87% - 1.48% Total Gross NPA Ratio¹ Conservation Ratio 9M-FY23 5.
Slide 19: Focus on Diversifying Product Mix
Focus on Diversifying Product Mix Breakup of Individual New Business Breakup by premium (FY23) Breakup by no. of policies (FY23) Non Par G&U NB Non Par Par G&U NBP Par Particulars share Particulars share (# policy) Term 0.37 % Term 0.44 % Health Insurance 0.15% Health Insurance 1.16% 65.89% 94.49% 5
Slide 20: Group business segment
Group business segment INR in Crore Market share (premium) New Business Premium 76.65% 76.16% 1,73,258 1,43,939 FY23 FY23 FY22 FY22 FY23 FY22 FY23 FY22 Growth of 20.37% YoY basis in Group new business premium. 19 Source: Corporation data..
Slide 21: Group Business Segment
Group Business Segment INR in Crore New Business Premium Market Share ( by premium) 1,37,240 78.65% 1,08,796 72.24% 9MFY23 9MFY23 9MFY24 9MFY24 9MFY23 9MFY24 9MFY23 9MFY24 Source: Corporation data. 20
Slide 22: Share of women in policies issued
Share of women in policies issued Rising Share of women in policies sold¹ In 15 States/UTs, the share in number of policies bought by women to the total policies sold was higher than the all-India average of 34.2%² 44% 44% Top 5 and bottom 5 states/UTs 43% 43% 42% 30% 30% 28% 27% 23% Out of the tota
Slide 23: Progress on various initiatives – FY23
Progress on various initiatives – FY23 Modification of Focus on Products for Increase in Non New Products Banca and increasing Par Business on Digital Initiatives Launch Alternate persistency APE basis Channel Individual business ANANDA 800000 ANANDA Individual share of Nonbusiness Par 10,00,000 sha
Slide 24: III Product, Customer Franchise and Distribution Reach
III PRODUCT, CUSTOMER FRANCHISE AND DISTRIBUTION REACH
Slide 25: Cross cyclical and comprehensive life insurance solutions
Cross cyclical and comprehensive life insurance solutions Comprehensive Product Portfolio 16 Participating products 22 Non Participating Products (Including three Annuity Products) 11 Group products (incl. one credit life and one annuity product)¹ 8 Riders LIC’s Group Post-Retirement Medical Benefit
Slide 26: Our products designed to suit customer life cycle
Our products designed to suit customer life cycle Participating Products Non-participating Products Source: Corporation data, Product list indicative and not exhaustive. 25
Slide 27: Enhancing focus on building Omni-channel distribution network
Enhancing focus on building Omni-channel distribution network Snapshot of LIC’s vast distribution capabilities Premium points +2,732 MICRO 13.74¹ lacs Agents exclusive to LIC 39,829³ Insurance Premium Points 1602 Corporate Agents 290 Brokers 144 Insurance Marketing Firms 36 Covering 92% districts vs
Slide 28: Enhancing focus on building Omni-channel distribution network
Enhancing focus on building Omni-channel distribution network Snapshot of vast distribution capabilities of LIC Distribution mix by Individual NBP (%) Individual NBP sourced in India via the banca and alternate channels (INR Crore) 9MFY 23 Particulars Others +05.02% 1,423.4 Banca 3.50 % Digital Mark
Slide 29: Feet on Street – LIC's Core Distribution Strength
Feet on Street – LIC’s Core Distribution Strength Organizational Structure Agents Training Infrastructure CO 2.11% Employees Office 8 Zonal Training Centers 8 Zonal Office 2.90% Employees 35 Sales Training Centers 113 Divisional Office² 13.89% Employees 113 Divisional Training Centers 2,130 Branch O
Slide 30: Agents' training
Agents’ training Training in Sales Training 20,527 Agents fulfilling the Training in External Centres and Zonal MDRT criteria¹ Training Institutes – 4,604 Training Centres – 2,93,182 Total 4,10,502 agents trained in 80% 76.81% Agents recruited within FY23 the 18-40 years age group Imparted training
Slide 31: Robust agency force
Robust agency force Largest agency force # Agents in lakh 13.47 12.81 12.09 Agent Age 10.70 ~73% agents >35 years Higher Vintage: 58% > 5 Years FY20 FY23 Others LIC LIC has dominant agency force – 50% plus of life insurance Industry. Source: Corporation data and life council data. 30
Slide 32: Exclusive agency network well trained leading to highest productivity
Exclusive agency network well trained leading to highest productivity Loyal agency network with a mix of youth and experienced professionals Mix of agents by age group Mix of agents by tenure Above 60 yrs 70% More than 5 18-30 yrs Years 10% 15% 60 % 60% 51-60 yrs 20% 31-35 yrs 50% 12% Up to 5 Years,
Slide 33: Differentiated business model with deep competitive moats
Differentiated business model with deep competitive moats Geographic distribution of individual agents (%) 52% 48% Metropolitan, Urban Rural & Semi-urban PAN India presence of Agents which shows our feet on street 32 Source Corporation data as on 31.03.2023
Slide 34: Customer care – at our core philosophy
Customer care – at our core philosophy Settled total death claims of Rs. 23,423 crore in FY23 as against Rs. 35,720 crore in FY22. Claim settlement ratio (Death) in FY23 is 98.52% by number as against 98.74% in FY22. The number of policyholders complaints per 10,000 policies sold in FY23 is 39
Slide 35: IV Actuarial Metrics
IV ACTUARIAL METRICS
Slide 36: Indian Embedded Value (IEV)
Indian Embedded Value (IEV) Embedded Value (INR Crore) 6,62,605 5,82,243 5,39,686 5,41,492 5,44,291 30th Sept 21¹ 31st Mar 22 30th Sept 22 31st Mar 23 30th Sept 23 Source: Corporation data,; Note 1. Milliman Report, IEV as on 30 Sep 2021 includes bifurcation impact of INR 3,74,172 crore. 35
Slide 37: Indian Embedded Value (IEV) walk — March 2022 to March 2023
Indian Embedded Value (IEV) walk — March 2022 to March 2023 5,41,492 ‘Source: Corporation Data 41,577 6,090 2,060 -17,183 aco = -949 5,82,243 @ Increase ™ Decrease @ Total 36
Slide 38: Build up of Embedded Value
Build up of Embedded Value INR in Crore Components March 2022 March 2023 A. Free surplus (FS) 10,527 36,403 B. Required Capital (RC) - 9,712 C. Adjusted Net Worth (ANW) (C=A+B) 10,527 46,115 D. Present value of future profits (PVFP) 5,47,724 5,53,480 E. Time Value of financial options and (2,076) (2
Slide 39: Analysis of movement in IEV
Analysis of movement in IEV Components FY 2023 (INR in Crore) Opening IEV 5,41,492 Expected return on Existing Business At Reference Rate 23,150 At Expected ‘real – world’ return in excess of Reference rate 18,427 Operating assumptions change 2,060 VoNB added during the period 9,156 Operating Experi
Slide 40: Sensitivity analysis
Sensitivity analysis Change in Indian Change in New Business Sensitivity – Scenarios Embedded Value Margin (Percent) For the Year End 3/2023 3/2023 Base results (INR in Crore) 5,82,243 16.2% Reference An increase of 100 bps in the reference rates (0.2%) 2.6% rates A decrease of 100 bps in the refere
Slide 41: Annualized Premium Equivalent (APE)
Annualized Premium Equivalent (APE) INR Crore Year on Year on Year Line of Business FY22 FY23 Year 9MFY23 9MFY24 Growth Growth A Individual Par 33,040 35,231 6.63% 21,206 20,203 (4.73) % B Individual G&U 2,532 3,436 35.70% 2,213 3,299 49.08% C Total Individual (A+B) 35,572 38,667 8.70% 23,419 23,503
Slide 42: Focus on Increasing Share of Non-Par Products
Focus on Increasing Share of Non-Par Products Rising share of Non-Par in Individual APE1 Breakup of Individual APE (FY22) Breakup of Individual APE (FY23) Non- Par Non- Par 7.12% 8.89% 92.88% 91.11% Par Par Breakup of Individual APE (H1FY23) Breakup of Individual APE (H1FY24) Non- Par Non- Par 91.02
Slide 43: Focus on Increasing Share of Non-Par Products
Focus on Increasing Share of Non-Par Products Rising share of Non-Par in Individual APE1 Breakup of Individual APE (9MFY23) Breakup of Individual APE (9MFY24) Non- Par Non- Par 90.55% 9.45% 85.96% 14.04% Par Par 42 Source: Corporation data; 1. Within India Business
Slide 44: Value of New Business (VNB)
Value of New Business (VNB) Amounts INR crore LIC of India 9MFY23 9MFY24 Net VNB1 5,478 5,938 Net VNB Margin 14.6% 16.6% Individual Business1 Group Business1 9MFY23 9MFY24 9MFY23 9MFY24 Net VNB 3,743 4,178 Net VNB 1,736 1,760 Net VNB Margin 16.0% 17.8% Net VNB Margin 12.3% 14.3% Par Business1 Non-Pa
Slide 45: VNB Walk 9MFY23 to 9MFY24
VNB Walk 9MFY23 to 9MFY24 Source: Corporation Data 44
Slide 46: Improvement in Persistency Ratios
Improvement in Persistency Ratios Persistency ratios largely maintained despite increasing competition Persistency ratio by # policies 63.45% 64.28% 60.70% 56.97% 54.09% 56.90% 51.90% 51.05% 49.86% 49.86% 13th Month 25th Month 37th Month 49th Month 61st Month FY22 FY23 Uptick in persistency ratios b
Slide 47: Improvement in Persistency Ratios
Improvement in Persistency Ratios On No. of Policies Basis - Improvement in 13th month Persistency ratio by # policies 64.99% 67.22% 59.06% 58.59% 55.32% 54.80% 52.45% 52.01% 51.42% 50.23% 13th Month 25th Month 37th Month 49th Month 61st Month 9MFY23 9MFY24 On Premium Basis – Improvement in 13th, 25
Slide 48: V Technological and Digital Initiatives
V TECHNOLOGICAL AND DIGITAL INITIATIVES
Slide 49: Strengthening Digital Process – Customer Service
Strengthening Digital Process – Customer Service Online service requests Loan payment and repayment 8 1 e-NACH2 Change of Nomination & 7 PAYMENT RELATED 2 POLICY RELATED Assignment Unit Linked fund switch PAN1 data registration 6 3 NEFT3 registration Aadhaar based change of address 5 4 Change of Mod
Slide 50: Strengthening Digital Process – Driving Operational Efficiency
Strengthening Digital Process – Driving Operational Efficiency Increasing digital collection across channels (percentage to total policies) 27.01% 27.50% 25.58% 25.63% 24.92% Other App includes: 23.90% Amazon Pay ,Bajaj Finserv, CRED ,FreeCharge, GPay , InstaPay, JustDial, Mobikwik, PhonePe, Paytm 1
Slide 51: Strengthening Digital Process – Customer Service
Strengthening Digital Process – Customer Service Services offered Verified Automated conversation messages WhatsApp services started in Dec-22 and 1.92 crore customers opted/enabled until Streamlined December-23 Ease of customer interaction services Uptrend in LIC customer APP users Rising website r
Slide 52: Strengthening Digital Process – Empowering Policyholders
#4 Strengthening Digital Process – Empowering Policyholders AI Chat Bot 1. Policy Status Application facilitate submission of 2. First Unpaid Premium date Digital existence certificate for LIC docQ Application helps user to 3. Last paid premium date individual pension plan and staff submit documents
Slide 53: Empowering policyholders and agents in a digital world
Empowering policyholders and agents in a digital world Source Corporation data 52
Slide 54: Technological innovations at LIC
Technological innovations at LIC Solutions designed to enhanced operational efficiency and respond with speed to specific situations Ananda APP – launched during COVID to enable Agents to do business without meeting customers Digital App for Agents to process New Business digitally face to face Key
Slide 55: Operational efficiency - print to post solution
Operational efficiency- illustration - print to post solution Print to Post – Developed Solution with Postal Department Policy bond printing and delivery solution. Dispatch of Tracking of Undelivered BRANCH OFFICE - 2048 policy bond policy bond return to Branch SATELITE OFFICE -1580 through speed th
Slide 56: VI ESG Initiatives
VI ESG INITIATIVES
Slide 57: Embedding ESG in our business - building a sustainable future for the communities
Embedding ESG in our business - building a sustainable future for the communities LIC has integrated the SDGs with key areas of their business operations. LIC initiatives have ensured a positive contribution to at least 14 of the 17 SDGs 43.79% agents in India reside in rural areas “Bima Gram” ini
Slide 58: Embedding ESG in our business - building a sustainable future for the communities
Embedding ESG in our business - building a sustainable future for the communities LIC has integrated the SDGs with key areas of their business operations. LIC initiatives have ensured a positive contribution to at least 14 of the 17 SDGs Support to various other sanitation projects by LIC GJF. C
Slide 59: Embedding ESG in our business - building a sustainable future for the communities
Embedding ESG in our business - building a sustainable future for the communities LIC has integrated the SDGs with key areas of their business operations. LIC initiatives have ensured a positive contribution to at least 14 of the 17 SDGs Outstanding investments worth INR 14.1bn¹ in renewable energy
Slide 60: Committed to ESG initiatives across the organization
Committed to ESG initiatives across the organization Roof top solar capacity installed (KW) Total Reduction of carbon emissions (in tons) 5,175 4,308 4,471 3,826 2,966 3,376 2,856 3,141 2,051 2,254 1,812 2,024 FY 2019 FY 2020 FY 2021 FY 2022 FY2023 9MFY24 FY 2019 FY 2020 FY 2021 FY 2022 FY2023 9MFY2
Slide 61: VII Way Forward
VII WAY FORWARD
Slide 62: Strategy – Key Focus Areas
Strategy – Key Focus Areas #1I. Diversify Product Mix – Focus on enhancing Non Par Share. #2I. Launch New Products based not only on customer needs but also channel needs. #3I. Increase digital processes all across to drive higher efficiency. #4I. Create optimum mix of distribution channels while re
Slide 63: (a) Indian Industry Landscape
(a) INDIAN INDUSTRY LANDSCAPE 62
Slide 64: India is one of the fastest-growing major economies
India is one of the fastest – growing major economy (GDP growth, percentage year-on-year) 10 5 0 -5 -10 -15 2014 2015 2016 2017 2018 2019 2020 2021 2022P 2023P 2024P 2025P India 7.4 8 8.3 7 6.1 4.2 -8 9 9 7.1 6.3 6.2 China 7.3 6.9 6.8 6.9 6.7 6 2.3 8.1 4.8 5.2 5.2 5.1 Japan 0.4 1.2 0.5 2.2 0.3 0.3 -
Slide 65: Share of Life Insurance in incremental household financial saving
Share of Life Insurance in incremental household financial saving 120.00% 100.00% 12.30% 14.70% 13.40% 2.70% 1.90% 6.60% 80.00% 13.00% 12% 14.50% 18.70% 19.30% 60.00% 16.70% 16.80% 15.00% 40.00% 19.40% 20.00% 36.50% 36.60% 29.40% 0.00% FY 19 FY 20 FY 9M21 Bank Deposits Life Insurance Funds Provident
Slide 66: Protection gap for different countries
Protection gap for different countries 90% 83% 80% 76% 74% 71% 70% 70% 61% 60% 55% 55% 54% India’s protection 50% gap for India was 41% 83% as of 2019, the 40% highest among all countries in Asia- 30% Pacific¹ 20% 10% 0% India Indonesia Malaysia Thialand China Japan South Singapore Australia Hong Ko
Slide 67: Well Positioned to Ride the Growth in a Highly Underinsured Market
Life Insurance Penetration %age Insurance Density (in US$)* 25 10000 8983 9000 20 19.2 8000 7000 15 14 6000 5000 10 4000 7.6 6.4 5.8 3000 2329 2050 5 4 3.4 3.2 2000 1000 415 244 241 59 0 0 Hong Taiwan Singapore South Japan Malaysia Thailand India Hong Kong South Japan Malaysia Thailand China India K
Slide 68: Household saving to increase
Household saving to increase Household Savings (% of GDP) 30.00% Household 25.20% saving as 25.00% 23.60% 23.10% 23.60% percentage 22.40% 22.50% 22.20% 20.30% 20.30% of GDP 19.60% 19.30% 19.60% 20.00% 18.00% 18.10% rose to 22.2% in 15.00% fiscal 2021 10.00% 5.00% 0.00% FY08 FY09 FY10 FY11 FY12 FY13
Slide 69: Share of financial assets in overall savings to increase
Share of financial assets in overall savings to increase 25000 120% 22846 21341 21780 20564 100% 20000 80% 16147 14962 15000 60% 12572 11908 10640 10000 40% 20% 5000 0% FY1 FY1 FY1 FY1 FY1 FY1 FY1 FY1 FY2 2 3 4 5 6 7 8 9 0 0 Saving in Physical Assets 69% 67% 64% 64% 55% 59% 60% 63% 59% Trend in Gros
Slide 70: Share of Life Insurance in incremental household financial savings
Share of Life Insurance in incremental household financial savings 120.00% 100.00% COVID-19 HAS 80.00% Prompted people to become more inclined towards 60.00% saving and purchasing all – encompassing 40.00% life covers, which will likely 20.00% to increase demand for life insurance in 0.00% India. Li
Slide 71: Increasing insurable population to fuel industry growth
Increasing insurable population to fuel industry growth India’s Demographic Dividend 120% 100% 7% 9% 10% 13% 80% 30% For 2021, India has 33% 37% largest share of young 40% population in the 60% world, with a medium 27% 28% age of 28 Years. About 40% 26% 90% of Indians will 24% still be below the age
Slide 72: Income demographics
Income demographics 120% 100% 80% 60% Rising Income level to make insurance 40% products more affordable. 20% 0% 2011-12E 2016-17E 2021-22P Rs. 1 million and above 1% 2% 3% Rs. 0.5 to 1 million 2% 2% 4% Rs.0.2 to 0.5 million 14% 19% 28% Below 0.2 million 83% 76% 65% Below 0.2 million Rs.0.2 to 0.5 m
Slide 73: Strong growth in total premium for life insurance industry
Strong growth in total premium for life insurance industry 7000 CAGR 11% 16% 6287 14% 14% 6000 5729 13% Total premium 12% 5081 12% has grown at 11% 5000 4588 11% CAGR in last five 4185 10% 10% years ending 10% 4000 FY21. Amongst 3669 the different 8% player groups, 3000 LIC, which holds 6% the maxim
Slide 74: Projected growth in total premium over next five years
Projected growth in total premium over next five years 14000 INR Billion 12408 12000 10988 9704 10000 Insurers to grow at 14-15% CAGR 8294 over the next five 8000 7254 years. 6287 Consequently , 6000 5729 the total premium 5081 is expected to 4588 4185 grow by 2 times. 4000 3669 2000 0 FY16 FY17 FY1
Slide 75: (b) Financials
(b) FINANCIALS
Slide 76: Financials - Standalone Balance Sheet
Financials - Standalone Balance Sheet (INR lakhs) For the Year ended For the nine months ended Particulars March 31, 2022(Standalone) March 31, 2023(Standalone) Dec. 31, 2022(Standalone) Dec. 31, 2023(Standalone) Sources of funds Shareholders' funds: Share capital 6,32,499.77 6,32,499.77 6,32,499.77
Slide 77: Financials - Standalone Statement of Revenue (Policyholders' Account)
Financials - Standalone Statement of Revenue (Policyholders’ Account) (INR lakhs) For the year ended For the nine months ended Particulars March 31, 2022(Standalone) March 31, 2023(Standalone) Dec. 31, 2022(Standalone) Dec. 31, 2023(Standalone) Premiums earned - net (a) Premium 4,28,02,497.15 4,74,6
Slide 78: Financials – Standalone Statement of Profit & Loss (Shareholders' Account)
Financials – Standalone Statement of Profit & Loss (Shareholders’ Account) (INR lakhs) For the year ended For the nine months ended Particulars March 31, 2022(Standalone) March 31, 2023(Standalone) Dec. 31, 2022(Standalone) Dec. 31, 2023(Standalone) Amounts transferred from/to the 12,19,345.85 36,04
Slide 79: Glossary
Glossary New Business APE: The sum annualized first year premiums on regular premium policies, and 10.00% of single premiums, written by the Company during the fiscal year from both retail and group customers. New Business Premium NBP: Insurance premium that is due in the first policy year of a li
Slide 80: Abbreviation
Abbreviation Term Description Term Description GWP Gross Written Premium Opex Operating Expenses (excluding commission NBP New Business Premium CAGR Compounded Annual Growth Rate NOP Number of Policies GDP Gross Domestic Product APE Annualized Premium Equivalent INR (Rs.) Indian Rupees IRP Individua
Slide 81: Disclaimer
Disclaimer Except for the historical information contained herein, statements in this presentation which contain words or phrases such as ‘will’, ‘would’, ‘indicating’, ‘expected to’ etc., and similar expressions or variations of such expressions may constitute ‘forward-looking statements’. These fo
Slide 82: Thank You
THANK YOU Investor Relations Contact: Life Insurance Corporation of India Yogakshema, Third Floor, West Wing, Jeevan Bima Marg, Nariman Point, Mumbai- 400021. Contact # +91 66599401 Email - investorrelations@licindia.com Website – www.licindia.in
Life Insurance Corporation of India — Investor Presentation (February 2024) on 6ix