LIC of India Performance 2020-2025: In-Depth Analysis and Future Outlook
The Life Insurance Corporation of India (LIC), founded in 1956, remains India’s largest life insurer, commanding a significant market share. This report analyzes LIC’s financial and operational performance from 2020 to 2025, including revenue, profitability, AUM, IPO, market share, digital transformation, and future prospects.
Financial Performance (2020–2025)
Revenue Growth
- 2020: ₹614,443.29 crore
- 2021: ₹681,628.48 crore (11.0% YoY growth)
- 2022: ₹720,514.89 crore (5.7%)
- 2023: ₹781,542.56 crore (8.4%)
- 2024: ₹842,708.13 crore (7.8%)
- 2025 Q4: ₹243,134.49 crore (1.85% YoY for the quarter)
Net Profit
- 2020: ₹2,712.71 crore
- 2021: ₹2,900.57 crore
- 2022: ₹4,043.12 crore
- 2023: ₹36,397.39 crore
- 2024: ₹40,675.79 crore
- 2025 Q4: ₹19,012.79 crore
Assets Under Management (AUM)
- 2020: ~₹31 lakh crore
- 2021: ~₹36 lakh crore
- 2022: ₹28.3 lakh crore
- 2023: ~₹45 lakh crore
- 2024: ₹51.21 lakh crore
- 2025: ₹54.52 lakh crore
Earnings Per Share (EPS) & Book Value Per Share (BVPS)
EPS: 2020: ₹271.27, 2021: ₹4.59, 2022: ₹6.39, 2023: ₹57.55, 2024: ₹64.69, 2025 Q4: ₹30.10
BVPS: 2020: ₹73.95, 2021: ₹636.07, 2022: ₹16.46, 2023: ₹72.20, 2024: ₹129.55
Market Performance and IPO
LIC's IPO in May 2022 raised ₹21,000 crore. By July 2025, market capitalization stood at ₹5.95 lakh crore with share price ₹940.70. Despite underperforming the Nifty 50, LIC’s brand value increased by 35.1% to $13.6 billion.
Operational Highlights
Market Share
Despite competition, LIC maintained leadership. Premium share dropped from 63.25% in FY22 to 61.07% in H1 FY25.
Product Strategy
Focus on non-participating products boosted margins. FY25 VNB margin was 17.6% with VNB of ₹10,011 crore. Popular plans include New Jeevan Anand, Jeevan Labh, and ULIPs.
Digital Transformation
- e-Services, eKYC, and online payments
- LIC Customer App and Ananda App
- Data analytics for better customer targeting
Customer Service and Strategic Moves
LIC settled claims quickly during crises. High claim ratio of 98.74% in FY25. CEO R Doraiswamy appointed in 2025. Plans for health insurance expansion are underway.
Social Responsibility
LIC supported over 10,000 students via Golden Jubilee Foundation scholarships. Focus on education, healthcare, and poverty alleviation.
Challenges and Future Outlook
- Regulatory Impact: New IRDAI surrender rules hit policy sales.
- Competition: Private players gaining urban ground.
- Security: June 2025 phishing incident managed quickly.
- Investment Risks: Q4 FY25 saw 5.7% mark-to-market loss.
Looking ahead, LIC plans to expand into health insurance, improve digital capabilities, and explore global markets. AUM is projected to reach ₹60 lakh crore by 2027.
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