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{{short description|Indian public sector life insurer}}
{{short description|Indian public sector life insurer}}
{{Advert|date=May 2022}}
{{Use dmy dates|date=May 2017}}
{{Use dmy dates|date=May 2017}}
{{Use Indian English|date=June 2016}}
{{Use Indian English|date=June 2016}}
{{Infobox company
{{Infobox company
| name = Life Insurance Corporation of India
| name = Life Insurance Corporation of India
| logo = File:Life Insurance Corporation of India (logo).svg
| foundation = {{Start date and age|1956|09|01|df=yes|p=yes}}
| logo_size = 250px
| logo =  
| logo_caption = ''Yogakshemam Vahamyaham''
| logo_caption = ''योगक्षेमं वहाम्यहम्''<br> ''Your welfare is our responsibility''
| image = LIC_Zonal_Office.jpg
| image_caption = LIC New Delhi
| type = [[Public company|Public]]
| type = [[Public company|Public]]
| traded_as = {{Unbulleted list|{{BSE|543526}}|{{NSE|LICI}}}}
| traded_as = {{Unbulleted list|{{BSE|543526}}|{{NSE|LICI}}}}
| key_people = {{ubl|Siddharth Mohanty {{small|(Chairperson)}}||Ipe Mini {{small|(Managing Director)}}||M Jagannath {{small|(Managing Director)}}||Tablesh Panday {{small|(Managing Director)}}}}  
| key_people = {{ubl|R. Doraiswamy {{small|(CEO & MD)}}|| ||Ratnakar Patnaik {{small|(MD)}}||Dinesh Pant {{small|(MD)}}}}
| industry = [[Insurance]] and [[Financial services]]
| industry = [[Financial services]]
| products = {{ubl|[[Life insurance]] |[[Health insurance]] |[[Investment management]] |[[Mutual fund]]}}
| products = {{ubl|[[Life insurance]] | [[Health insurance]] | [[Mortgage loan]]s |[[Investment management]] |[[Asset management]] | [[Pension]]s }}
| revenue = {{Increase}} {{INRConvert|784889|c}} (2023)<ref name=6-K>{{cite web|url=https://www.bseindia.com/xml-data/corpfiling/AttachLive/c682f0c5-ecb4-48fa-87a1-1fa0135f580d.pdf|title=Life Insurance Corporation Ltd. Financial Statements |website=bseindia.com}}</ref>
| revenue = {{Increase}} {{INRConvert|8.88|lc|1|lk=on}} (2025)
| operating_income = {{Increase}} {{INRConvert|41093|c}} (2023)<ref name=6-K/>
| operating_income = {{Increase}} {{INRConvert|56267|c}} (2025)
| net_income = {{Increase}} {{INRConvert|37997|c}} (2023)<ref name=6-K/>
| net_income = {{Increase}} {{INRConvert|48320|c}} (2025)
| assets = {{Increase}} {{INRConvert|4578491|c}} (2023)<ref name=6-K/>
| assets = {{Increase}} {{INRConvert|56.12|lc}} (2025)
| equity = {{increase}} {{INRConvert|46233|c}} (2023)<ref name=6-K/>
| equity = {{increase}} {{INRConvert|1.28|lc}} (2025)
| owner = {{nowrap| [[Government of India]] (96.5%)<ref>{{cite web|url=https://www.livemint.com/market/stock-market-news/how-lic-s-ipo-india-s-biggest-ended-in-a-downbeat-debut-11652787205502.html|title=How LIC's IPO, India's biggest, ended in a downbeat debut|date=17 May 2022 |publisher=Live Mint|access-date=17 May 2022}}
| owner = {{nowrap| [[Government of India]] (96.5%)<ref>{{cite web|url=https://www.livemint.com/market/stock-market-news/how-lic-s-ipo-india-s-biggest-ended-in-a-downbeat-debut-11652787205502.html|title=How LIC's IPO, India's biggest, ended in a downbeat debut|date=17 May 2022 |publisher=Live Mint|access-date=17 May 2022}}
</ref>}}
</ref><ref>{{cite web |url=https://licindia.in/shareholding-pattern |title=Shareholding Pattern |date=18 July 2024 |website=licindia.in |access-date=1 September 2024}}</ref>}}
| num_employees = 114,000 (2020)<ref name=6-K/>
| num_employees = 98,661 (2024)<ref name=6-K>{{cite web|url=https://www.bseindia.com/xml-data/corpfiling/AttachLive/166bd60d-3803-46a0-a869-0473b6f8cb66.pdf|title=Life Insurance Corporation Ltd. Financial Statements |website=bseindia.com}}</ref>
| subsid = {{ubl|[[LIC Pension Fund Limited]]|LIC Cards Services Ltd |[[LIC Housing Finance]]
| subsid = {{ubl|LIC Pension Fund Ltd.|LIC Mutual Fund|LIC Cards Services Ltd.|[[LIC Housing Finance]]}}
| footnotes =  
| footnotes = Financials {{as of|2025|03|31|lc=y|df=yes}}.<ref>{{cite web |title=Statement of Consolidated Audited Financial Results for the Quarter and Year ended March 31, 2025 |url=https://licindia.in/documents/d/guest/outcome-of-board-meeting-31-03-2025 |publisher=LIC |access-date=30 May 2025}}</ref>
| homepage = {{URL|http://www.licindia.in/}}
| homepage = {{URL|https://www.licindia.in/|licindia.in}}
| foundation = {{Start date and age|1956|09|01|df=yes|p=yes}}
| location = [[Mumbai]], [[Maharashtra]], India
| location = [[Mumbai]], [[Maharashtra]], India
}}}}
}}


'''Life Insurance Corporation of India''' ('''LIC''') is an Indian multinational [[Public Sector Undertakings in India|public sector]] life insurance company headquartered in [[Mumbai]]. LIC has its branches overseas. It is India's largest insurance company as well as the largest [[institutional investor]] with total [[assets under management]] worth {{INRconvert|45.7|t}} as of March 2023.<ref>{{cite news |last1=Laskar |first1=Anirudh |title=LIC plans makeover of investment strategy |url=https://www.livemint.com/companies/news/lic-plans-makeover-of-investment-strategy-11653068977999.html |access-date=10 February 2023 |work=mint |date=20 May 2022 |language=en}}</ref> It is under the ownership of [[Government of India]] and administrative control of the [[Ministry of Finance (India)|Ministry of Finance]].
The '''Life Insurance Corporation of India''' ('''LIC''') is an Indian [[Public Sector Undertakings in India|public sector]] [[life insurance]] company headquartered in [[Mumbai]]. It is India's largest insurance company and its largest [[institutional investor]] with total [[assets under management]] worth {{INRconvert|54.52|lc|lk=on|year=2024}} as of March 2025.<ref>{{cite news |last1=Laskar |first1=Anirudh |title=LIC plans makeover of investment strategy |url=https://www.livemint.com/companies/news/lic-plans-makeover-of-investment-strategy-11653068977999.html |access-date=10 February 2023 |work=mint |date=20 May 2022 |language=en}}</ref> It is under the ownership of [[Government of India]] and administrative control of the [[Ministry of Finance (India)|Ministry of Finance]].<ref>{{cite web |title=Stock Market Today: LIC Beats SBI To Become The Most Valuable PSU |url=https://www.brutimes.com/news/business/stock-market-today-lic-beats-sbi-to-become-the-most-valuable-psu |website=Bru Times News |language=en}}</ref>


The Life Insurance Corporation of India was established on 1 September 1956, when the [[Parliament of India]] passed the Life Insurance of India Act, nationalizing the insurance industry in India. Over 245 insurance companies and provident societies were merged together.<ref>{{Cite web|url=https://www.mylicindia.com/lic-life-insurance-corporation-of-india/|title=LIC – Life Insurance Corporation Of India|last=Anushka|website=My LIC India|language=en-US|access-date=2020-02-18}}</ref><ref name="licindia.in">https://www.licindia.in/getattachment/Bottom-Links/annual-report/LIC-Annual-Report-2015-16.pdf.aspx {{Bare URL PDF|date=March 2022}}</ref>
The Life Insurance Corporation of India was established on 1 September 1956, when the [[Parliament of India]] passed the Life Insurance of India Act, nationalising the insurance industry in India. Over 245 insurance companies and provident societies were merged.<ref>{{Cite web|url=https://www.mylicindia.com/lic-life-insurance-corporation-of-india/|title=LIC – Life Insurance Corporation Of India|last=Anushka|website=My LIC India|language=en-US|access-date=2020-02-18|archive-date=18 February 2020|archive-url=https://web.archive.org/web/20200218071744/https://www.mylicindia.com/lic-life-insurance-corporation-of-india/|url-status=dead}}</ref><ref name="licindia.in">{{Cite web |title=59th Annual Report |url=http://licindia.in/getattachment/Bottom-Links/annual-report/LIC-Annual-Report-2015-16.pdf.aspx |url-status=deviated |archive-url=https://web.archive.org/web/20160826051607/http://licindia.in/getattachment/Bottom-Links/annual-report/LIC-Annual-Report-2015-16.pdf.aspx |archive-date=2016-08-26 |access-date=2023-09-10 |website=licindia.in}}</ref>


LIC reported 290 million policyholders as of 2019, a total life fund of ₹28.3 trillion, and a total value of sold policies in the year 2018–19 of ₹21.4 million. The company also reported having settled 26 million claims in 2018–19. It ranked 98th on the 2022 [[Fortune Global 500]] list with a revenue of {{INRConvert|775283|c|lk=on|year=2022}} and a profit of {{INRConvert|4415|c|lk=on|year=2022}}.<ref>{{Cite web |date=2022-08-04 |title=LIC breaks into Fortune 500 list, Reliance jumps 51 places |url=https://indianexpress.com/article/india/lic-breaks-into-fortune-500-list-reliance-51-8069514/ |access-date=2022-09-03 |website=The Indian Express |language=en}}</ref>
LIC reported 290 million policyholders as of 2019, a total life fund of {{INRconvert|28.3|lc|lk=off|year=2019|mode=historical}}. The company also reported having settled 26 million claims in 2018–19. It ranked 98th on the 2022 [[Fortune Global 500]] list with a revenue of {{INRConvert|775283|c|lk=off|year=2022|mode=historical}} and a profit of {{INRConvert|4415|c|lk=off|year=2022|mode=historical}}.<ref>{{Cite web |date=2022-08-04 |title=LIC breaks into Fortune 500 list, Reliance jumps 51 places |url=https://indianexpress.com/article/india/lic-breaks-into-fortune-500-list-reliance-51-8069514/ |access-date=2022-09-03 |website=The Indian Express |language=en}}</ref>


==History==
==History==
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===Founding organisations===
===Founding organisations===
The Oriental Life Insurance Company, the first company in India to offer life insurance coverage, was established in [[Kolkata]] in 1818 by Bipin Das Gupta. Its primary target market was India.<ref name="History">{{cite web|url=http://www.licindia.in/history.htm |title=History |publisher=LIC |access-date=15 December 2013 |url-status=dead |archive-url=https://web.archive.org/web/20131216111317/http://www.licindia.in/history.htm |archive-date=16 December 2013 |df=dmy }}</ref>  
The Oriental Life Insurance Company, the first company in India to offer life insurance coverage, was established in [[Kolkata]] in 1818 by Bipin Das Gupta. Its primary target market was India.<ref name="History">{{cite web|url=http://www.licindia.in/history.htm |title=History |publisher=LIC |access-date=15 December 2013 |url-status=dead |archive-url=https://web.archive.org/web/20131216111317/http://www.licindia.in/history.htm |archive-date=16 December 2013 |df=dmy }}</ref>


[[Surendranath Tagore]] had founded Hindustan Insurance Society in the same time period, which later became the Life Insurance Corporation.<ref>{{cite web|url=https://www.telegraphindia.com/west-bengal/lunch-on-lotus-leaves/cid/1265929|title=Lunch on lotus leaves|website=www.telegraphindia.com|access-date=19 December 2018}}</ref>
[[Surendranath Tagore]] had founded Hindustan Insurance Society around the same time, which later became the Life Insurance Corporation.<ref>{{cite web|url=https://www.telegraphindia.com/west-bengal/lunch-on-lotus-leaves/cid/1265929|title=Lunch on lotus leaves|website=www.telegraphindia.com|access-date=19 December 2018}}</ref>


The Bombay Mutual Life Assurance Society was formed in 1870, almost half a century later. It was the first native insurance provider of Western India. Other insurance companies established in the pre-independence era include:
The Bombay Mutual Life Assurance Society was formed in 1870, almost half a century later. It was the first native insurance provider of Western India. Other insurance companies established in the pre-independence era include:
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These companies were established when India was marked mostly by turbulent economic and political conditions including the [[Indian rebellion of 1857]], [[World War I]] and [[World War II]]. The effect of these events led to a high liquidation rate of life insurance companies in India and adversely affected the faith of the general public in the value of obtaining life insurance.
These companies were established when India was marked mostly by turbulent economic and political conditions including the [[Indian rebellion of 1857]], [[World War I]] and [[World War II]]. The effect of these events led to a high liquidation rate of life insurance companies in India and adversely affected the faith of the general public in the value of obtaining life insurance.


===Nationalization in 1956===
===Nationalisation in 1956===
In 1956, parliamentarian [[Feroze Gandhi]] raised the matter of insurance fraud via owners of private insurance agencies. In the ensuing investigations, one of India's wealthiest businessmen, [[The Times of India|''Times of India'']] owner Sachin Devkekar, was sent to prison for two years.<ref name="Sasi Bhushan">{{cite web |last1=Bhushan |first1=Sasi |title=Excerpts: Feroze Gandhi: A Political Biography by Shashi Bhushan |url=https://www.cse.iitk.ac.in/users/amit/books/bhushan-1977-feroze-gandhi-political.html |website=www.cse.iitk.ac.in |access-date=10 March 2021}}</ref>
In 1956, parliamentarian [[Feroze Gandhi]] raised the matter of insurance fraud via owners of private insurance agencies. In the ensuing investigations, one of India's wealthiest businessmen, [[The Times of India|Times of India]] owner Seth Ramkrishna Dalmia, was sent to prison for two years.<ref name="Sasi Bhushan">{{cite web |last1=Bhushan |first1=Sasi |title=Excerpts: Feroze Gandhi: A Political Biography by Shashi Bhushan |url=https://www.cse.iitk.ac.in/users/amit/books/bhushan-1977-feroze-gandhi-political.html |website=www.cse.iitk.ac.in |access-date=10 March 2021}}</ref>


===Initial public offering===
===Initial public offering===
Finance Minister [[Nirmala Sitharaman]] announced a proposal to conduct an [[initial public offering]] for LIC in the [[2021 Union budget of India|2021 Union Budget]].<ref>{{cite web |title=LIC IPO: Good news for LIC insurance policy holders! Modi government confirms this big development |url=https://www.zeebiz.com/market-news/news-lic-ipo-good-news-for-lic-insurance-policy-holders-modi-government-confirms-this-big-development-149083 |website=Zee Business |access-date=7 March 2021 |date=10 February 2021}}</ref> The IPO is expected to occur in 2022, and the Government of India will remain the majority shareholder after the public listing. Ten percent of shares are proposed to be allotted to existing LIC policyholders.<ref>{{cite news |title=Government proposes to hike LIC authorised capital to Rs 25,000 crore |url=https://economictimes.indiatimes.com/markets/ipos/fpos/government-proposes-to-hike-lic-authorised-capital-to-rs-25000-crore/articleshow/81375724.cms |website=The Economic Times |access-date=7 March 2021}}</ref> In year 2021, the government of India had proposed to enhance the authorized capital of the LIC of India, to {{INRConvert|250|b}} to facilitate its public listing scheduled for the next fiscal year which will begin on 1 April.<ref>{{cite news |title=India: Govt plans to increase authorized capital of LIC by 2.5x to prepare for IPO |url=https://www.asiainsurancereview.com/News/View-NewsLetter-Article/id/75834/Type/eDaily/India-Govt-plans-to-increase-authorised-capital-of-LIC-by-2-5x-to-prepare-for-IPO |access-date=22 April 2021 |publisher=Asia Insurance Review |date=8 March 2021}}</ref>
{{Update|part=section|date=February 2024|reason=IPO has happened}}
 
[[Finance minister of india|Finance Minister]] [[Nirmala Sitharaman]] announced a proposal for an [[initial public offering]] (IPO) for the Life Insurance Corporation of India (LIC) in the [[2021 Union budget of India]].<ref>{{cite web |date=10 February 2021 |title=LIC IPO: Good news for LIC insurance policy holders! Modi government confirms this big development |url=https://www.zeebiz.com/market-news/news-lic-ipo-good-news-for-lic-insurance-policy-holders-modi-government-confirms-this-big-development-149083 |access-date=7 March 2021 |website=Zee Business}}</ref> The IPO was expected to occur in 2022, and the Government of India planned to remain the majority shareholder post-listing, with 10% of shares proposed to be allotted to existing LIC policyholders.<ref>{{cite news |title=Government proposes to hike LIC authorised capital to Rs 25,000 crore |url=https://economictimes.indiatimes.com/markets/ipos/fpos/government-proposes-to-hike-lic-authorised-capital-to-rs-25000-crore/articleshow/81375724.cms |access-date=7 March 2021 |website=The Economic Times}}</ref> In 2021, the Indian government also proposed to enhance LIC's authorised capital to {{INRConvert|25000|c|lk=off|year=2021|mode=historical}} to facilitate its public listing.<ref>{{cite news |date=8 March 2021 |title=India: Govt plans to increase authorized capital of LIC by 2.5x to prepare for IPO |url=https://www.asiainsurancereview.com/News/View-NewsLetter-Article/id/75834/Type/eDaily/India-Govt-plans-to-increase-authorised-capital-of-LIC-by-2-5x-to-prepare-for-IPO |access-date=22 April 2021 |publisher=Asia Insurance Review}}</ref>
 
The LIC IPO opened to the public on 4 May 2022, and concluded on 9 May 2022. The Government of India aimed to raise ₹21,000 crore through the IPO, which was significantly lower than the initially expected ₹65,000 to ₹70,000 crore by diluting a 5% equity stake.<ref>{{Cite web |date=12 April 2022 |title=LIC IPO size cut by one-third, valuation by half |url=https://www.fortuneindia.com/investing/lic-ipo-size-cut-by-one-third-valuation-by-half/107911 |access-date=2022-04-26 |website=www.fortuneindia.com |language=en}}</ref> Instead, the IPO offered a 3.5% stake, valuing the company at approximately ₹6 lakh crore.<ref>{{cite news |last=Kar |first=Sharmita |date=4 May 2022 |title=LIC IPO: India's biggest IPO has opened - Here are 10 things you should know |url=https://www.hindustantimes.com/business/lic-ipo-india-s-biggest-ipo-opens-tomorrow-here-are-10-things-you-should-know-101651562549844.html |work=Hindustan Times |access-date=1 September 2024}}</ref><ref>{{cite news |last=Ranjan |first=Abhinav |date=10 May 2022 |title=LIC IPO closes: Allotment on May 12, check grey market premium |url=https://www.indiatvnews.com/business/markets/lic-ipo-allotment-subscription-status-link-date-may-12-lic-share-price-listing-date-gmp-grey-market-premium-2022-05-10-775393 |work=India TV |access-date=1 September 2024}}</ref>


Due to the scale of the offering and the LIC's ownership structure, the deal has been referred to as "India's Aramco moment" in reference to the comparable [[Saudi Aramco#2019 Initial public offering (IPO)|2019 IPO of Saudi Aramco]].<ref>{{cite news |last1=Ghosh |first1=Suvashree |last2=Beniwal |first2=Vrishti |last3=Kalesh |first3=Baiju |title=Inside the All-Out Campaign to Prepare India's Biggest-Ever IPO |url=https://www.bloomberg.com/news/articles/2022-01-17/inside-the-all-out-campaign-to-prepare-india-s-biggest-ever-ipo?sref=CIpmV6x8 |access-date=18 January 2022 |work=Bloomberg |date=17 January 2022}}</ref>
Since the IPO, LIC's market value has seen substantial growth. As of 2024, LIC's shares have reached record highs, with the company's market value increasing by $30 billion over two years.<ref>{{cite news |last=Sinha |first=Vaishnawi |date=30 January 2024 |title=LIC shares touch record high two years after IPO, market value spikes by $30 billion |url=https://www.hindustantimes.com/business/lic-shares-touch-record-high-two-years-after-ipo-market-value-spikes-by-30-billion-101706625712379.html |work=Hindustan Times |access-date=1 September 2024}}</ref>


The LIC announced it would open its IPO to the public on 4 May 2022, and the process would be concluded on May 9. Through this IPO, the [[Government of India]] is now aiming to raise ₹21,000 crore, as opposed to raising between ₹65,000 crore to ₹70,000 crore by diluting the 5% equity earlier.<ref>{{Cite web |title=LIC IPO size cut by one-third, valuation by half |url=https://www.fortuneindia.com/investing/lic-ipo-size-cut-by-one-third-valuation-by-half/107911 |access-date=2022-04-26 |website=www.fortuneindia.com |date=12 April 2022 |language=en}}</ref> As per the IPO price band for 3.5% stakes for ₹21,000 crore, the valuation comes to around ₹6 lakh crore.
As of December 2024, LIC’s listed holdings were valued at approximately $177 billion. By February 18, 2025, they declined to $166.5 billion, reflecting a 5.7% mark-to-market loss of $10.1 billion.<ref>{{Cite web|url=https://www.business-standard.com/markets/news/lic-suffers-rs-84-000-crore-dent-in-portfolio-amid-stock-market-crash-125021900240_1.html|title=LIC suffers Rs 84,000 crore dent in portfolio amid stock market crash|first=Business|last=Standard|website=www.business-standard.com}}</ref>


==Structure==
==Structure==
The Central Office of LIC is based out of Mumbai. There are a total of 8 zonal offices, located in [[Delhi]], [[Chennai]], [[Mumbai]], [[Hyderabad]], [[Kanpur]], [[Kolkata]], [[Bhopal]] and [[Patna]].[[File:LIC Zonal Office.jpg|thumb|right|LIC Zonal Office, 'Night View From Connaught Place Park']]
The Central Office of LIC is based out of [[Mumbai]]. There are a total of 8 zonal offices, located in [[Delhi]], [[Chennai]], [[Mumbai]], [[Hyderabad]], [[Kanpur]], [[Kolkata]], [[Bhopal]] and [[Patna]].


===Liberalisation post 2000s===
===Liberalisation post 2000s===
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==Golden Jubilee Foundation==
==Golden Jubilee Foundation==
The LIC Golden Jubilee Foundation was established in 2006 as a charity organization. The entity has the aim of promoting education, alleviating poverty, and providing better living conditions for the underprivileged. The Golden Jubilee Scholarship award is one of the best known parts of the foundation. Each year, this award is given to the meritorious students in the 12th standard who wish to continue their studies, and have a parental income less than {{INRConvert|200000}}.<ref>{{cite web|url=https://www.kcgmckarnal.org/lic-scholarship/ |title=LIC Scholarship|date=22 December 2021}}</ref>
The LIC Golden Jubilee Foundation was established in 2006 as a charity organisation. The entity has the aim of promoting education, alleviating poverty, and providing better living conditions for the underprivileged. The Golden Jubilee Scholarship award is one of the best known parts of the foundation. Each year, this award is given to the meritorious students in the 12th standard who wish to continue their studies, and have a parental income less than {{INRConvert|2|l|lk=l}}.<ref>{{cite web|url=https://www.kcgmckarnal.org/lic-scholarship/|title=LIC Scholarship|date=22 December 2021|access-date=26 December 2021|archive-date=25 January 2023|archive-url=https://web.archive.org/web/20230125162219/https://www.kcgmckarnal.org/lic-scholarship/|url-status=dead}}</ref>


==Holdings==
==Holdings==
The LIC invests in sectors such as banks, cement, chemicals and fertilizers, electricity and transmission, electrical and electronics, engineering, construction and infrastructure, fast-moving consumer goods, finance and investments, healthcare, hotels, information technology, metals and mining, motor vehicles, and ancillaries, oil and natural resources, retail, textiles, transportation, and logistics.<ref>{{Cite news |title=Union government, LIC to divest over 60 per cent stake in IDBI Bank |work=The Economic Times |url=https://economictimes.indiatimes.com/industry/banking/finance/union-government-lic-to-divest-over-60-per-cent-stake-in-idbi-bank/articleshow/94706287.cms?from=mdr |access-date=2022-11-10}}</ref>
The LIC invests in sectors such as banks, cement, chemicals and fertilisers, electricity and transmission, electrical and electronics, engineering, construction and infrastructure, fast-moving consumer goods, finance and investments, healthcare, hotels, information technology, metals and mining, motor vehicles, and ancillaries, oil and natural resources, retail, textiles, transportation, and logistics.<ref>{{Cite news |title=Union government, LIC to divest over 60 per cent stake in IDBI Bank |work=The Economic Times |url=https://economictimes.indiatimes.com/industry/banking/finance/union-government-lic-to-divest-over-60-per-cent-stake-in-idbi-bank/articleshow/94706287.cms?from=mdr |access-date=2022-11-10}}</ref>
 
== Controversy ==
After the release of the critical [[Hindenburg Research|Hindenburg]] report against the [[Adani Group]], the value of LIC holdings in seven key listed Adani Group companies (excluding ACC Ltd and Ambuja Cements) has fallen to ₹26,862 crore (US$3.23 billion) – down 11% from the purchase value of ₹30,127 crore (US$3.62 billion), as of 23 February 2023. Hindenburg Research accused Adani Group of [[money laundering]] and [[stock manipulation]] which pushed the Adani Group’s m-cap to fall over 60%.<ref>{{Cite web |title=LIC's Adani group share holdings fall below purchase value, tank 11% from cost to below Rs 27,000 crore |url=https://www.financialexpress.com/industry/banking-finance/lics-adani-group-share-holdings-fall-below-purchase-value-tank-11-from-cost-to-below-rs-27000-crore/2991753/ |access-date=2023-02-26 |website=Financialexpress |date=24 February 2023 |language=en}}</ref><ref>{{Cite web |last=Livemint |date=2023-02-24 |title=Hindenburg rout: LIC's ₹30,000 crore investment in Adani stocks in a loss |url=https://www.livemint.com/market/stock-market-news/gautam-adani-hindenburg-row-how-much-lic-has-lost-in-investments-market-value-in-adani-group-stocks-11677208773690.html |access-date=2023-02-26 |website=mint |language=en}}</ref>


==See also==
==See also==
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== External links ==
== External links ==
 
{{commons category|Life Insurance Corporation of India}}
<!--Do not add unnecessary websites. Wikipedia is not a collection of links!-->
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* {{Official}}
* {{Official website}}


{{Insurance in India}}
{{Insurance in India}}
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[[Category:Indian companies established in 1956]]
[[Category:Indian companies established in 1956]]
[[Category:Life Insurance Corporation| ]]
[[Category:Life Insurance Corporation| ]]
[[Category:Mutual funds of India]]
[[Category:Exchange-traded funds]]
[[Category:Investment management companies of India]]
[[Category:1956 establishments in Bombay State]]
[[Category:1956 establishments in Bombay State]]
[[Category:Companies listed on the National Stock Exchange of India]]
[[Category:Companies listed on the National Stock Exchange of India]]
[[Category:Companies listed on the Bombay Stock Exchange]]
[[Category:Companies listed on the Bombay Stock Exchange]]

Latest revision as of 22:57, 5 October 2025


Life Insurance Corporation of India
Traded as
IndustryFinancial services
Founded1 September 1956 (69 years ago) (1956-09-01)
HeadquartersMumbai, Maharashtra, India
Key people
  • R. Doraiswamy (CEO & MD)
  • Ratnakar Patnaik (MD)
  • Dinesh Pant (MD)
Products
RevenueIncrease ₹8.88 lakh crore (US$124.5 billion) (2025)
Increase ₹56,267 crore (US$7.9 billion) (2025)
Increase ₹48,320 crore (US$6.8 billion) (2025)
Total assetsIncrease ₹56.12 lakh crore (US$790 billion) (2025)
Total equityIncrease ₹1.28 lakh crore (US$18 billion) (2025)
Owner Government of India (96.5%)[1][2]
Number of employees
98,661 (2024)[3]
Subsidiaries
Websitelicindia.in
Footnotes / references
Financials as of 31 March 2025.[4]

The Life Insurance Corporation of India (LIC) is an Indian public sector life insurance company headquartered in Mumbai. It is India's largest insurance company and its largest institutional investor with total assets under management worth ₹54.52 lakh crore (US$760 billion) as of March 2025.[5] It is under the ownership of Government of India and administrative control of the Ministry of Finance.[6]

The Life Insurance Corporation of India was established on 1 September 1956, when the Parliament of India passed the Life Insurance of India Act, nationalising the insurance industry in India. Over 245 insurance companies and provident societies were merged.[7][8]

LIC reported 290 million policyholders as of 2019, a total life fund of ₹28.3 lakh crore (US$401.87 billion). The company also reported having settled 26 million claims in 2018–19. It ranked 98th on the 2022 Fortune Global 500 list with a revenue of ₹775,283 crore (US$Expression error: Unexpected < operator.) and a profit of ₹4,415 crore (US$Expression error: Unexpected < operator.).[9]

History[edit | edit source]

LIC Building at Chennai, was the tallest building in India when it was inaugurated in 1959

Founding organisations[edit | edit source]

The Oriental Life Insurance Company, the first company in India to offer life insurance coverage, was established in Kolkata in 1818 by Bipin Das Gupta. Its primary target market was India.[10]

Surendranath Tagore had founded Hindustan Insurance Society around the same time, which later became the Life Insurance Corporation.[11]

The Bombay Mutual Life Assurance Society was formed in 1870, almost half a century later. It was the first native insurance provider of Western India. Other insurance companies established in the pre-independence era include:

  • Postal Life Insurance (PLI) was introduced on 1 February 1884
  • Bharat Insurance Company (1896)
  • United India (1906)
  • National Indian (1906)
  • National Insurance (1906)
  • Co-operative Assurance (1906)
  • Hindustan Co-operatives (1907)
  • The New India Assurance Co Ltd (1919)
  • Indian Mercantile
  • General Assurance
  • Swadeshi Life (later Bombay Life)
  • Sahyadri Insurance (Merged into LIC, 1986)

These companies were established when India was marked mostly by turbulent economic and political conditions including the Indian rebellion of 1857, World War I and World War II. The effect of these events led to a high liquidation rate of life insurance companies in India and adversely affected the faith of the general public in the value of obtaining life insurance.

Nationalisation in 1956[edit | edit source]

In 1956, parliamentarian Feroze Gandhi raised the matter of insurance fraud via owners of private insurance agencies. In the ensuing investigations, one of India's wealthiest businessmen, Times of India owner Seth Ramkrishna Dalmia, was sent to prison for two years.[12]

Initial public offering[edit | edit source]

Finance Minister Nirmala Sitharaman announced a proposal for an initial public offering (IPO) for the Life Insurance Corporation of India (LIC) in the 2021 Union budget of India.[13] The IPO was expected to occur in 2022, and the Government of India planned to remain the majority shareholder post-listing, with 10% of shares proposed to be allotted to existing LIC policyholders.[14] In 2021, the Indian government also proposed to enhance LIC's authorised capital to ₹25,000 crore (US$Expression error: Unexpected < operator.) to facilitate its public listing.[15]

The LIC IPO opened to the public on 4 May 2022, and concluded on 9 May 2022. The Government of India aimed to raise ₹21,000 crore through the IPO, which was significantly lower than the initially expected ₹65,000 to ₹70,000 crore by diluting a 5% equity stake.[16] Instead, the IPO offered a 3.5% stake, valuing the company at approximately ₹6 lakh crore.[17][18]

Since the IPO, LIC's market value has seen substantial growth. As of 2024, LIC's shares have reached record highs, with the company's market value increasing by $30 billion over two years.[19]

As of December 2024, LIC’s listed holdings were valued at approximately $177 billion. By February 18, 2025, they declined to $166.5 billion, reflecting a 5.7% mark-to-market loss of $10.1 billion.[20]

Structure[edit | edit source]

The Central Office of LIC is based out of Mumbai. There are a total of 8 zonal offices, located in Delhi, Chennai, Mumbai, Hyderabad, Kanpur, Kolkata, Bhopal and Patna.

Liberalisation post 2000s[edit | edit source]

In August 2000, the Indian Government embarked on a program to liberalise the insurance sector and opened it up to the private sector. The LIC benefited from this process and in 2013 reported that the first year premium compound annual growth rate (CAGR) was 24.53% while total life premium CAGR was 19.28%, matching the growth of the life insurance industry and outperforming general economic growth.[21]

Golden Jubilee Foundation[edit | edit source]

The LIC Golden Jubilee Foundation was established in 2006 as a charity organisation. The entity has the aim of promoting education, alleviating poverty, and providing better living conditions for the underprivileged. The Golden Jubilee Scholarship award is one of the best known parts of the foundation. Each year, this award is given to the meritorious students in the 12th standard who wish to continue their studies, and have a parental income less than ₹2 lakh (US$2,800).[22]

Holdings[edit | edit source]

The LIC invests in sectors such as banks, cement, chemicals and fertilisers, electricity and transmission, electrical and electronics, engineering, construction and infrastructure, fast-moving consumer goods, finance and investments, healthcare, hotels, information technology, metals and mining, motor vehicles, and ancillaries, oil and natural resources, retail, textiles, transportation, and logistics.[23]

See also[edit | edit source]

References[edit | edit source]

  1. ↑ "How LIC's IPO, India's biggest, ended in a downbeat debut". Live Mint. 17 May 2022. Retrieved 17 May 2022.
  2. ↑ "Shareholding Pattern". licindia.in. 18 July 2024. Retrieved 1 September 2024.
  3. ↑ "Life Insurance Corporation Ltd. Financial Statements" (PDF). bseindia.com.
  4. ↑ "Statement of Consolidated Audited Financial Results for the Quarter and Year ended March 31, 2025". LIC. Retrieved 30 May 2025.
  5. ↑ Laskar, Anirudh (20 May 2022). "LIC plans makeover of investment strategy". mint. Retrieved 10 February 2023.
  6. ↑ "Stock Market Today: LIC Beats SBI To Become The Most Valuable PSU". Bru Times News.
  7. ↑ Anushka. "LIC – Life Insurance Corporation Of India". My LIC India. Archived from the original on 18 February 2020. Retrieved 18 February 2020.
  8. ↑ "59th Annual Report". licindia.in. Archived from the original on 26 August 2016. Retrieved 10 September 2023.
  9. ↑ "LIC breaks into Fortune 500 list, Reliance jumps 51 places". The Indian Express. 4 August 2022. Retrieved 3 September 2022.
  10. ↑ "History". LIC. Archived from the original on 16 December 2013. Retrieved 15 December 2013.
  11. ↑ "Lunch on lotus leaves". www.telegraphindia.com. Retrieved 19 December 2018.
  12. ↑ Bhushan, Sasi. "Excerpts: Feroze Gandhi: A Political Biography by Shashi Bhushan". www.cse.iitk.ac.in. Retrieved 10 March 2021.
  13. ↑ "LIC IPO: Good news for LIC insurance policy holders! Modi government confirms this big development". Zee Business. 10 February 2021. Retrieved 7 March 2021.
  14. ↑ "Government proposes to hike LIC authorised capital to Rs 25,000 crore". The Economic Times. Retrieved 7 March 2021.
  15. ↑ "India: Govt plans to increase authorized capital of LIC by 2.5x to prepare for IPO". Asia Insurance Review. 8 March 2021. Retrieved 22 April 2021.
  16. ↑ "LIC IPO size cut by one-third, valuation by half". www.fortuneindia.com. 12 April 2022. Retrieved 26 April 2022.
  17. ↑ Kar, Sharmita (4 May 2022). "LIC IPO: India's biggest IPO has opened - Here are 10 things you should know". Hindustan Times. Retrieved 1 September 2024.
  18. ↑ Ranjan, Abhinav (10 May 2022). "LIC IPO closes: Allotment on May 12, check grey market premium". India TV. Retrieved 1 September 2024.
  19. ↑ Sinha, Vaishnawi (30 January 2024). "LIC shares touch record high two years after IPO, market value spikes by $30 billion". Hindustan Times. Retrieved 1 September 2024.
  20. ↑ Standard, Business. "LIC suffers Rs 84,000 crore dent in portfolio amid stock market crash". www.business-standard.com. {{cite web}}: |first= has generic name (help)
  21. ↑ CA. Nirmal Ghorawat (31 January 2013). "Perspectives on Life Insurance Industry in India « CA. Nirmal Ghorawat's Blog". Canirmalg.wordpress.com. Retrieved 14 June 2013.
  22. ↑ "LIC Scholarship". 22 December 2021. Archived from the original on 25 January 2023. Retrieved 26 December 2021.
  23. ↑ "Union government, LIC to divest over 60 per cent stake in IDBI Bank". The Economic Times. Retrieved 10 November 2022.

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