New LIC policies: Insurer collects Rs 1.84 lakh crore as new business premium in 2020-21
LIC's market share stood at 81.04% in number of policies for March 2021 and 74.58% for the full year
Mumbai: The country’s largest life insurer LIC on Tuesday said it has collected the highest ever new business premium of Rs 1.84 lakh crore in the fiscal ended March 31, 2021.
The state-run insurer said the number is provisional. Its market share stood at 81.04 per cent in number of policies for March 2021 and 74.58 per cent for the full year, LIC said in a release.
During the fiscal 2020-21, the insurer achieved first year premium income of Rs 56,406 crore under individual assurance business, a growth of 10.11 per cent over FY20.
It procured 2.10 crore policies, out of which 46.72 lakh were procured in March alone, registering a growth of 298.82 per cent over FY20 for the corresponding month, the release said.
Its market share in the first year premium stood at 64.74 per cent for March and 66.18 per cent for the entire fiscal.
The insurer’s pension and group schemes vertical also created a new record by clocking its highest ever new business premium income of Rs 1.27 lakh crore over a huge base of Rs 1.26 lakh crore in the previous year ended March 31, 2020.
The number of new schemes sold also saw a new record of 31,795, the release said.
With the addition of 3,45,469 agents, LIC now has a strong sales force of 13,53,808 agents, it said.
In the year, the insurer said it has created 16,564 MDRT (Million Dollar Round Table) qualifiers, the highest ever.
MDRT agent is one who procures insurance business of an amount equal to one million dollar in any calendar year that is from January 1 to December 31.
It also created 26,997 centurion agents in the year. The Corporation, through its B&AC (bancassurance & alternate) channel, procured 2, 46,910 policies and Rs 1,862.73 crore premium in 2020-21, witnessing a growth of 0.58 per cent and 23.46 per cent, respectively.
On the claims front, despite severe constraints due to COVID-19 pandemic, the life insurer settled 2.19 crore maturity claims, money back claims and annuities, amounting to Rs 1.16 lakh crore in the year.
During the FY2020-21, it settled 9.59 lakh death claims amounting to Rs 18,137.34 crore. Annuity payments due in March 2021 have also been settled on due dates, the release said.