Life Insurance Corporation of India

It gives me great pleasure to present the annual report of Life Insurance Corporation of India for the financial year 2024 25, a year that truly brought out the strength of our people, our purpose, and our values. Together we navigated a demanding economic and regulatory environment by staying focused on what matters most: delivering real value to those who trust us. We sharpened our strategies, embraced innovation where it mattered, and remained grounded in our core strengths. What makes me most proud is that we, as a team remained committed to our responsibility to all our stakeholders. This year wasn't just about performance it was about progress with purpose.

The global economy has displayed a remarkable resilience despite escalating geopolitical risks in the Middle East, Russia-Ukraine conflict and unprecedented monetary tightening. Against the backdrop of volatile global financial markets and unexpected climate setbacks, major central banks in advanced economies (AEs) have kept policy rates on hold to ensure the aligning of inflation with targets. As per IMF (International Monetary Fund) January 2025 report, global growth is projected to stay at 3.3 % both in 2025 and 2026.

When we come to the Indian context, going by the latest statistics released by MoSPI (Ministry of Statistics and Program Implementation) in February 2025, India is showing clear signs of strong economic growth momentum in the near-term as against the sluggish growth seen amongst global peers. Based on the figures of strong growth in manufacturing and servicing sector combined with the expectation of a normal monsoon, RBI has recently projected the real GDP growth for FY 2025-2026 as 6.7 per cent. International rating agencies like Asian Development Bank (ADB) have also raised India's GDP growth forecast for FY 2025-26 to 6.8 per cent earlier this year, driven by robust growth in consumer demand and an increase in public and private sector investment.

All these factors are expected to have a positive impact on the Indian Insurance Industry as well in the near future.

India's expansive geography and diverse population offers one of the most promising growth frontiers for the life insurance industry. With a large segment of the population still underinsured or uninsured, the market remains significantly untapped. The combination of progressive regulatory reforms, a favorable demographic dividend, rising income levels, and targeted initiatives to enhance insurance awareness and inclusion is creating powerful tailwinds for the sector. These factors collectively signal not just potential but inevitability for life insurance to become an essential financial tool across all socio-economic segments. The future of life insurance in India is not only bright, it is transformative.

As a Domestic Systemically Important Insurer (D-SIIs) of the country, we continue to adopt multi-pronged strategies to leverage the market potential. We remain committed in adopting technology to enhance efficiency, customer experience, and operational agility. Our Digital Innovation and Value Enhancement (DIVE) project is in the right direction to enhance the customer experience and be future ready for adopting the next-generation technology platforms. We have launched our cutting-edge Marketing Technology (MarTech) platform, marking the first major milestone in project DIVE. The MarTech platform introduces an intelligent, multi-channel engagement capability, enabling us to run hyper-personalized, always-on campaigns that enhance customer experience and drive business growth.

We understand from the customer's perspective that digitization offers convenience, speed, and transparency, making it easier to access services anytime, anywhere. It also enables a more personalized and seamless experience, enhancing trust and satisfaction throughout the customer journey. In addition to our extensive network of traditional offices, customers can conveniently access our services through a comprehensive suite of digital platforms, including the customer portal, mobile application, chat-bots, and WhatsApp. In line with our commitment towards ‘Digital Transformation', we have launched the facility of Premium payment through WhatsApp bot for our customers.

In difficult times as witnessed in some parts of the country, we have taken it upon ourselves to give relaxation/s in our claim settlement procedure for the families of policy holders of the Wayanad tragedy in the state of Kerala, the Pahalgam terror attack, the Air India plane crash and other tragic incidents. We reiterate our commitment to our policyholders and will always be in the forefront supporting those affected during difficult times and will expedite claim settlement/s to provide financial relief.

ANANDA (Atma Nirbhar Agents New Business Digital Application), a game changer in paper less customer on-boarding, has gained more traction during the year and we consistently encourage our agents for digital adoption. During the year we have completed 14,74,000 plus policies through this platform, initiated by 2,94,000 plus agents, which showcases a growth in share of policies completed digitally, which is 8.49% compared to 5.85% in the previous year. Jeevan Samarth, a comprehensive initiative aimed at empowering our Agent workforce, enhancing their capabilities meeting the needs of customers in a rapidly changing market is also in the right direction.

In continuation with the sustained efforts to empower our agency sales force and ensure seamless services to policyholders digitally, on a 24 x 7 basis, we have launched the ‘One Man Office' (OMO) online service through ours Agents. This aids our field force in their day to day operations, strengthens their efficiency and productivity and ensures better services to our customers.

As a step towards the goal of Vikshit Bharat, the Hon'ble Prime Minister of India has launched LIC's Bima Sakhi Yojana at Panipat, Haryana on 09.12.2024. This special agency scheme (Mahila Career Agent) exclusively for women will act as a supplement to various government initiatives for women empowerment and support the objective of Insurance for all. Our Bima Sakhi's will get an opportunity to provide social security to families by spreading the message of life insurance and at the same time becoming self-reliant. It is a matter of great pride to share with you all that a total of 1,48,888 Bima Sakhi's were enrolled as at the end of the financial year.

I take immense pride in sharing with you that our collective efforts have translated into a remarkable feat by which Life Insurance Corporation of India achieved GUINNESS WORLD RECORDS title for the ‘MOST LIFE INSURANCE POLICIES SOLD IN 24 HOURS'. On 20.01.2025, a total of 4,52,839 agents successfully completed and issued an astounding 5,88,107 life insurance policies across India. This monumental effort established a new global benchmark for agent productivity in the life insurance industry within a 24-hour period. It was a clear testament to how deeply our team believes in what we do and how strongly we stand together to achieve it.

It is a matter of great pride that during the year our New Business Premium Income from Individual business has touched an all-time high of Rs. 62,495 Crores, in the history of our organization. I feel truly proud and grateful to recognize that this success is a result of the collective effort, trust, and partnership of our stakeholders.

Here we take a closer look at the standout moments of our business and financial journey this year marked by progress, innovation, and strong results.

Market share by number of policies and premium stood at 65.83% and 57.05% respectively.

Total premium income was Rs.4,88,148 Crores with an increase of 2.75% over the previous year.

Premium collected from Group Insurance business was Rs.1,69,112 Crores and from Individual Business was Rs. 3,19,036 Crores, an increase of 5.02%. Total AUM increased by 6.45% to Rs.54,52,297 Crores Solvency margin improved to 2.11 from 1.98. Indian Embedded Value (IEV) grew from Rs.7,27,344 Crores as at 31.03.2024 to 7,76,876 crores as at 31.03.2025, which is a 6.81% increase. Share of non-participating business in Annualized Premium Equivalent (APE) under individual category increased to 27.69% from 8.89% during the year 2023 and 18.32% in 2024.

We have also registered a growth in our Net Value of New Business (VNB) which stands at Rs. 10,011 Crores compared to Rs. 9,583 Crores the previous year.

Net VNB margin also increased to 17.6% from 16.8%. Our Profit for the FY increased to 48,151.17 crores with a growth of 18.37%.

Incidentally, our robust performance placed us ahead of all other Public Sector organizations during the fourth quarter in terms of Profit After Tax of 19,012.79 crores.

Insurance industry regulator IRDAI has taken up many reforms during the year aiming at enhancing the sector's efficiency, transparency, and customer-centricity. New norms for surrender values was one of the major initiatives which necessitated us to re-align our product portfolio. Our ability to respond swiftly was clearly demonstrated by the launch of 19 revamped products on 30^th September, 2024 and which were available for sale on 1^st October 2024. As at the end of the year, our product basket contains 33 products under individual category alone of which 21 products are under Non-Par segment. Our approach is centered on understanding and fulfilling the unique needs of each customer segment we serve. Our customers will be able to find a solution to their insurance need from our product basket, be it Whole life, Endowment, Money-back, Term Insurance, Annuity, Unit Linked insurance or with some combinations. In addition, we also have 12 Group products and 6 riders. Hence, our whole portfolio consists of 51 products as at the end of the year.

Over the past year, we focused our efforts with clear intent towards increasing the share of business under Non-Par category, aligning it more closely with our long-term objectives. This shift reflects not just strategic thinking, but the collective commitment of the team to drive meaningful change. This was supported by strengthening our product portfolio with new Non-Par products based on feedback obtained from customers and our field force. As a result of these efforts, our share of Non-Par in individual category has reached 27.69% from 18.32% in the previous year.

The market has given a resounding reception to all these efforts mentioned earlier. The financial year provided us with many feathers in our cap, some of which are encapsulated below: 1^st LIC has emerged as the fastest-growing Indian brand, achieving a remarkable 36% growth o Brand Finance 2025

1^stTrusted Brand Award

o Reader's Digest Trusted Brand, Sept 2024

1^st Most Preferred Brands 2024-25 (4^th Edition) by Marksmen Daily in association with India Today o Marksmen Daily & India Today

1^st One of the Most Trusted Brands of India 2025-26 o 5^th Edition Most Trusted Brands of India, India Today and Business Standard

2^nd Fortune 500 India -2024 Based on Total Revenue (Last Year 3^rd Rank) o Fortune India

3^rd World's Top 10 Strongest Insurance Brands 2025 o Brand Finance- Insurance 100 -2025

4^thTop 15 Indian Brands o Brand Finance 2025

9^thIndia's Most Valuable Companies o Business Today (BT500)

10^thKantar Brandz- Most Valuable Indian Brands 2024 o Kantar Brandz 2024

12^th World's Top 100 Most Valuable Insurance Brand (as against Last Year 2023-24 Ranking 18) o Brand Finance- Insurance 100 -2025

177^th Top 500 most valuable Global Brands (Last year 2023-24-222 Rank, current year - 2024-25) o Brand Finance 2025

We remain steadfast in our commitment to Environmental, Social, and Governance (ESG) principles. Our efforts continue to be guided by the belief that sustainable and responsible practices are essential for long-term value creation. By embedding ESG into our core strategy, we aim to drive positive impact for all stakeholders while contributing to a more inclusive and resilient future. As a responsible and socially committed organization, we have prepared an Environmental, Social and Governance (ESG) framework as a part of our journey to embrace and contribute towards sustainability in various aspects of our business and day to day activities.

Our collective efforts spanning across all layers of the organization, through our "Plant A Life(PAL)" initiative, for distribution and planting of saplings leveraged our wide network throughout the nation and has made an impact on environmental awareness and conservation.

Our digital-first approach significantly advances ESG objectives by promoting greater efficiency, transparency, and sustainability. The transition of our transaction volumes to digital platforms has delivered significant efficiencies and transformative impact across operations. We strongly believe that the advancement of the ANANDA digital onboarding platform, complemented by initiatives like Project DIVE and Project HRMS (Human Resource Management System), will drive measurable progress toward our ESG commitments fostering inclusion, reducing environmental impact, and reinforcing responsible governance across the ecosystem.

Whilst the insurance industry appears to be driven by technological advances, it is also felt that the fundamental aspects of insurance industry Affordability, Accessibility and Trust will remain the essential factors for any consumer to choose the right product and the right insurer suiting their need and goals.

As a commitment to progress, we intend to continue our efforts in strengthening our product basket with innovative and customer centric products that match these expectations. Our consistent pursuit to enhance accessibility and service delivery through state-of-the-art technologies is poised to foster an environment that aligns seamlessly with evolving customer expectations.

I would like to express my sincere gratitude to all our Board members for their valuable guidance and insightful contributions. I also extend my heartfelt gratitude to all our stakeholders for their unwavering support and the trust they continue to place in us.