LIC gains after Q1 PAT jumps 23% YoY to Rs 13,492 cr; VNB surges 61% YoY
LIC's total premium income grew 6.75% YoY to Rs 1,27,250 crore. Group business premium rose 8.61% to Rs 51,834 crore, while individual business premium increased 5.52% to Rs 75,416 crore during the period under review.
The insurer sold 31.02 lakh individual policies during the quarter, up 2.06% from 30.40 lakh policies in the year-ago period, reflecting steady growth in its retail business.
On an Annualized Premium Equivalent (APE) basis, total premium stood at Rs 13,692 crore. Individual business contributed Rs 7,532 crore, accounting for 55.01% of APE, while group business contributed Rs 6,160 crore, or 44.99%.
The Value of New Business (VNB) surged 61.32% YoY to Rs 3,136 crore, while the net VNB margin expanded 750 basis points to 22.9% from 15.4% a year earlier, indicating improved product mix and stronger business quality.
The Assets Under Management (AUM) increased to Rs 59,39,384 crore as on June 30th, 2026 as compared to Rs 57,05,341 crore on June 30th, 2025 registering an increase of 4.10% year on year.
Persistency ratios on a premium basis stood at 75.33% for the 13th month and 61.12% for the 61st month, compared with 75.63% and 63.85%, respectively, in the corresponding quarter of the previous year.
R Doraiswamy, chief executive officer and managing director (CEO) & (MD), LIC said: ?We are happy to maintain our leadership in both Individual and Group Business during the first quarter of this financial year, despite increasing competitive intensity in the life insurance industry. Our overall market share by First Year Premium Income was 60.10% for the first quarter of FY 2026-27 and this fits in well with our market share strategy. What gives us even more happiness is that our VNB has grown by 61% plus and our VNB margin has expanded by 7.5% to 22.90% this year. This is a direct outcome of our product diversification and distribution strategy.
Just very recently the Government of India has sold an additional 6.5% of shares through an OFS which has been well received by the markets. I want to welcome the new shareholders through the OFS into the LIC shareholder family and also thank the existing shareholders who have participated in the OFS for their continued faith in LIC. This year on 1st September 2026 LIC shall complete 70 years of existence and we hope we will bring many occasions of joy to our customers through innovative product launches and other initiatives.?
Recently, the Government of India divested an additional 6.5% stake in LIC through an Offer for Sale (OFS), selling 82.22 crore equity shares. The issue was subscribed 2.27 times at the close of bidding on 5 August 2026, with the floor price set at Rs 382 per share.
Life Insurance Corporation of India (LIC) is engaged in the business of life insurance in and outside India. It offers a range of individual and group insurance solutions including participating, non-participating and unit linked business. The portfolio comprises of various insurance and investment products such as protection, pension, savings, investment, annuity, health, variable and CRAC. As on June 2026, the Government of India held 96.50% stake in LIC.
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