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Informist, Thursday, Feb. 5, 2026

--LIC: To acquire stake in health insurance co to foray into health segment

--CONTEXT: Comments by LIC's mgmt in media call after fincl results for Q3

--LIC: Not looking to cut commission fee as yet

MUMBAI/NEW DELHI – Life Insurance Corp. of India Ltd. will acquire a health insurance company to foray into the health insurance business, the company's management said in a post-earnings press conference. However, the company has not yet set a timeline for this and will take the decision based on market conditions.

The state-owned insurance company had expected that the Insurance Bill 2025 would include provisions for composite licence and said that it was awaiting Parliament to approve the bill. But the government did not include the provision in the bill. A composite licence allows an insurance company to provide multiple types of products, such as life, general, or health, under one roof.

LIC reported its December quarter net profit at INR 129.58 billion, up over 17% on year and nearly 29% on quarter. The insurer's net premium income for the reporting quarter was INR 1.26 trillion, up nearly 18% on year but marginally lower sequentially. LIC earned INR 60.11 billion from net commissions in the reporting quarter, only marginally higher than INR 59.66 billion in the corresponding period a year ago.

On questions from journalists about whether the state-owned insurer planned to cut commission fees, LIC's management declined. The company was not looking to cut commission fee and "have done the realignment of commission to a great extent", according to its management. "And hence, we are self-compliant."

"We are more or less at the optimum level of commission structure. But if the regulator gives some other direction, we will be fully compliant with that as well," the management said. "As of now, we are waiting, and we are watching for what the regulator is going to talk about."

Media also asked if LIC was looking to offload its stake in the National Stock Exchange's initial public offer. The management said it has not made up its mind on it. Currently, LIC holds a 10.7% stake in the National Stock Exchange.  End

Reported by Shweta and Krity Ambey

Edited by Akul Nishant Akhoury

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