Mumbai: Life Insurance Corporation of India (LIC), the country’s largest insurance company, announced its unaudited financial results for the third quarter (Q3) and nine months ended December 31, 2025. The insurer reported a robust 17.2% year-on-year (YoY) rise in standalone net profit, driven by strong premium income and healthy investment performance.
Strong Profit Growth in Q3 FY26
LIC’s standalone net profit for Q3 FY26 rose to ₹12,958 crore, up from ₹11,056 crore in the same period last year. For the nine-month period (9MFY26), net profit stood at ₹33,998 crore. On a consolidated basis, including subsidiaries and associates, LIC reported a net profit of ₹12,930 crore, supported by a ₹1,651 crore share of profits from strategic investments such as IDBI Bank and LIC Housing Finance.
Premium Income and Investment Performance
LIC’s total net premium income grew 17.5% YoY to ₹1,25,613 crore in Q3 FY26. Key highlights include:
- First-Year Premium: ₹10,605 crore, up 45.6%
- Single Premium: ₹45,873 crore, up 30.5%
- Net Investment Income: ₹1,07,608 crore, up 14.1%
For the nine-month period, net premium income reached ₹3,72,537 crore, while net investment income was ₹3,22,363 crore, reflecting LIC’s strong investment management and business growth.
Segment-Wise Performance
LIC’s performance across segments showed mixed results:
- Life Non-Participating Segment: Largest contributor, generating ₹11,257 crore in surplus
- Life Participating (Par) Segment: Reported a net deficit of ₹39 crore, impacted by regulatory adjustments including pension liabilities and past expense replenishments
The company also reported continued stability in persistency ratios, with the 13th-month persistency at 69.36%.
Regulatory Adjustments and Approvals
The financial results incorporated several regulatory approvals:
- Amortisation of family pension contributions totaling ₹9,280 crore over 20 quarters
- Replenishment of excess expenses in the Par segment, totaling ₹7,230 crore from shareholders’ funds
- Additional pension liability of ₹5,477 crore charged to shareholders’ account
Auditors issued an unmodified review conclusion, confirming the results are free from material misstatements.
Key Ratios and Operational Metrics
LIC maintained a healthy solvency ratio of 2.19, up from 2.02 in December 2024. Other metrics included:
- Expenses of Management Ratio: 12.38% (improved from 13.47% YoY)
- Gross NPA Ratio: 1.31% (down from 1.64%)
- Earnings Per Share (EPS): ₹20.49
Management Commentary
LIC Managing Director Mr. Dinesh Pant said, “The results for the quarter and nine months reflect the continued trust of our policyholders and the resilience of our business model. Growth in first-year and single premiums, along with robust investment yields, underscores our focus on product diversification and financial stability.”
LIC’s Market Position
LIC continues to be a dominant player in India’s life insurance sector, holding a 96.5% stake by the Government of India. With strong financial performance, stable solvency, and continued focus on innovation and policyholder trust, LIC remains well-positioned for long-term growth in both traditional and emerging insurance segments.
About LIC
Life Insurance Corporation of India (LIC) is India’s largest insurance company, offering life, pension, and health insurance products. Founded in 1956, LIC has consistently been a market leader with a vast distribution network and strong financial performance, serving millions of policyholders across India.
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