Life Insurance Corporation of India (LIC) proposes to maintain its annual investments in the equity market at last financial year’s levels at Rs 40,000 crore. This was announced by LIC chairman TS Vijayan here on Tuesday.
LIC, however, aims to grow its premium income by 20% to Rs 1.80 lakh crore in 2009-10 compared with Rs 1.55 lakh crore in the preceding fiscal. The insurer expects to grow its first year premium income by 25% over Rs 52,000 crore in 2008-09. Incidentally, its first premium income fell by nearly 10% during 2008-09. According to the LIC chairman, the country’s largest insurer has done good business during April to June, this year. Talking to the media on the sidelines of an event organised by Ficci’s eastern regional council, Mr Vijayan said: "Last year, we invested Rs 40,000 crore in equities. We plan to keep our equity investment around this level or may be a little more than this." As per LIC’s exposure norms, it invests in government papers and corporate debt too. The LIC chief added that he expected the company to perform better this fiscal as the economy is showing signs of a revival. "Last year, growth in new premium income was hit largely by the economic slowdown. Now, the economy is doing well and more importantly, it has shown stability. This would prompt people to take more risk cover," he said. Improvement in GDP has typically fuel demand for insurance in developing economies. While delivering his address at the event, Mr Vijayan said India happens to be one of the more sought after destinations for global insurance companies. Going forward, he observed the economy would emerge as the most ’s attractive destination. B.Karthick Research Analyst. --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "Kences1" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [email protected] For more options, visit this group at http://groups.google.com/group/kences1?hl=en -~----------~----~----~----~------~----~------~--~---
