The country’s largest insurance company Life Insurance Corporation of India ie LIC is preparing vigorously to bring its IPO in the stock market. Investors are eagerly waiting for LIC’s Mega IPO. It is believed that the IPO is likely to come by March. The company has submitted the necessary documents for the IPO with the country’s market regulator Securities and Exchange Board of India (SEBI). According to a report, the country’s largest insurance company Life Insurance Corporation of India is not only the world’s largest company in home-market share but also the company number-1 in return on assets.
According to the report, Indian company LIC is also included in the top 10 insurance companies of the world. In this list, 5 insurance companies from China are included, two from America and one company each from France, Germany and India. LIC, India’s biggest share seller, is the country’s strongest and largest brand with a valuation of $8.656 billion (approximately Rs 64,722 crore). It is also the third strongest insurance brand in the world. As of the year 2020, LIC’s share in the gross retail premium was 64.1%. Whereas the company is giving 82% return in return on assets. Along with this, LIC is the third largest company in the world in terms of life insurance premiums.
However, the market share of LIC has been declining in the last few years. Before 2000, the company’s market share was around 100%, which has come down to 71.8% by 2016 and 64.1% by 2020. LIC’s gross retail premium is 64.1% i.e. $56.405 billion. According to the report, no insurance company in the world has such a market share. Life insurance in its modern form came to India in 1818 from England. India’s first life insurance company was started in Calcutta by the Europeans named Oriental Life Insurance. The foundation of India’s first life insurance company was laid in the name of Mumbai Mutual Life Insurance Society in 1870, which also started insuring Indians at similar rates. These companies completely indigenous started with the feeling of patriotism. These companies had come out with the message of protection and insurance of different sections of the society. Today L. IC is fully commuted with 2048 branch offices, 113 divisional offices, 8 zonal offices and one corporate office. Ale. IC’s wide area network connects 113 divisional offices and metro area network connects all branch offices. Ale. IC has also tied up with some banks and service providers to provide online premium payment facility in select cities.