LIC profit soars 16.36% to Rs. 21,040 Cr in H1 FY26; VNB margin expands to 17.6%
Mumbai: The Life Insurance Corporation of India (LIC) has announced a robust 16.36% increase in its Profit After Tax (PAT) for the first half of the 2026 fiscal year.
The state-owned insurer reported a PAT of Rs. 21,040 crore for the six months ending September 30, 2025, up from Rs. 18,082 crore during the same period last year.
The strong performance was supported by a 12.30% growth in the Value of New Business (VNB), which reached Rs. 5,111 crore. The company's net VNB margin also expanded by 140 basis points, rising to 17.6% from 16.2% in the previous year.
LIC's total premium income saw a 5.14% rise, reaching Rs. 2,45,680 crore for H1 FY26. Its Assets Under Management (AUM) also grew by 3.31% year-on-year to Rs. 57.23 lakh crore.
A key driver of profitability appears to be the corporation's strategic diversification into non-participating (non-par) products. The Annualized Premium Equivalent (APE) from individual non-par products surged by 30.47% to Rs. 6,234 crore. This shift increased the non-par share within the individual business to 36.31% for the half-year, a significant jump from 26.31% in the previous year.
Despite the strong profit growth, LIC reported a 20.83% decrease in the total number of individual policies sold, which fell to 72.61 lakh from 91.70 lakh in the prior year. The Individual New Business Premium income also saw a 3.54% decline.
However, this was offset by a 6.14% increase in Individual Renewal Premium, which grew to Rs. 1,22,224 crore, and a 6.73% rise in Total Group Business Premium. LIC maintains its position as the market leader with an overall market share of 59.41% based on First Year Premium Income (FYPI).
CEO Outlook and Operational Efficiency
LIC also demonstrated improved operational efficiency, with its overall expense ratio decreasing by 146 basis points to 11.28% for the half-year.
Shri R Doraiswamy, CEO & MD of LIC, attributed the results to the successful implementation of the company's strategy regarding product and channel diversification.
"While we have seen the VNB increase by 12.30% in H1 FY26 to Rs 5,111 crore, our VNB margin has also expanded by 140 bps to 17.6% in H1 FY26," Doraiswamy stated.
He also highlighted growth in alternate sales channels, noting that the "Banca and Alternate Channels share of Individual NBP is now 7.12% for H1 FY26 as compared to 4.10% last year, demonstrating a growth of 67.62%". The CEO expressed optimism about recent GST changes for the industry and reaffirmed LIC's commitment to achieving "Insurance for All by 2047".
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345 Indian fishermen stranded in Iran return home via Armenia
New Delhi (PTI): A group of 345 Indian fishermen, who were stranded in Iran amid escalating regional tensions, returned to India via Armenia on Saturday, officials said.
External Affairs Minister S Jaishankar thanked his Armenian counterpart Ararat Mirzoyan for assistance in return of the Indian nationals.
The Indian nationals arrived in Chennai this evening, the officials cited above said.
The circumstances that led to them being stranded in Iran were not immediately known.
"Thank FM @AraratMirzoyan and the Government of Armenia for facilitating the evacuation of Indian fishermen today from Iran, through Armenia to India," Jaishankar said on social media.
Over 1,500 Indian nationals have left Iran through land border crossings in Armenia and Azerbaijan since the start of the West Asia conflict over a month ago.
"A group of Indian fishermen, stranded in Iran, are returning home via Armenia today; their flight is expected to reach India this evening," a government statement said.
It said the Ministry of External Affairs continues to closely monitor the evolving situation in the West Asian region, with the safety, security and welfare of the Indian community being accorded the highest priority.
It also made a mention of five Indians being injured in Abu Dhabi on Friday.
According to Abu Dhabi authorities, the Indian nationals were among the 12 people injured by debris from an intercepted missile.
"In an attack in Abu Dhabi, five Indian nationals were injured; four have been discharged, one remains under treatment," the Indian government's statement said.
It said the Indian mission in Abu Dhabi is extending "full" assistance and coordinating with local authorities, adding that their flight is expected to reach India this evening.
