Life Insurance Corporation Of India (LICI)
Large CapFinancial Services stocks · Large cap · NSE
Life Insurance Corporation of India (LICI) is India's largest life insurer by First Year Premium and market share, with over 69 years of presence. It operates a pan-India agency-led distribution network, complemented by growing bancassurance and digital channels, offering a robust product suite with an increasing focus on non-participating products.
One read, four checks
75+ is strong, 60-74 is usable, 45-59 is mixed, and below 45 needs caution. These are research lenses, not buy/sell instructions.
Investable fundamentals, management trust is acceptable, price trend argues for patience, and recent execution is consistent.
Fundamental lens: valuation, quality, growth, balance sheet, and cash flow.
low confidence · 1/4 claims checked
Timing lens: price trend and sector relative strength.
Rolling lens: recent quarterly delivery, not the latest single-result score.
Quarter ended 30 Jun 2026
Good · 60/100Rev +7% YoY · PAT +24% YoY · margin expansion · operating leverage
| Metric | This quarter | YoY | QoQ |
|---|---|---|---|
| Revenue | ₹2,39,866 Cr | +6.8% | -13.3% |
| EBITDA | ₹14,012 Cr | +33.8% | +24.9% |
| Operating margin | 6.0% | +130 bps | +190 bps |
| PAT | ₹13,584 Cr | +24.0% | -42.1% |
| PAT margin | 5.7% | +78 bps | -282 bps |
NDF means not disclosed in the current structured filing feed. It is intentionally not treated as zero.
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Business & thesis
Growth engines, tailwinds/headwinds, and risk radar from management commentary
Where growth can come from, and what can break the case
LICI reports strong FY26 performance with PAT up 19.2%, Net VNB up 41.6%, and AUM growing 5.1% YoY. Solvency ratio improved to 235%, and overall expense ratio declined to 11.9%, driven by a favorable business mix shift.
LICI demonstrated significant growth in profitability and efficiency in FY26, driven by a strategic shift towards higher-margin Non-Participating products and improved operational metrics. The company maintains a robust capital position and continues to expand its distribution reach, supporting its market leadership.
Shift to Non-Participating Products
Non-Participating products' share in Individual New Business by Premium increased to 60.8% in FY26 from 53.3% in FY25, driving VNB margin expansion.
Bancassurance & Alternate Channels
Share of Bancassurance, Alternates & Others in Individual New Business by Premium increased to 8.2% in FY26 from 6.1% in FY25.
Pan-India Distribution Franchise
Company maintains India's largest agency force (~1.5 Mn agents) and 3,636 branch/satellite offices, covering 92% of districts.
Digital Transformation
Accelerating digital journey with 'LIC Super Sales Sathi App' for agents and 'MY LIC App' for customers to enhance experience and efficiency.
Bima Sakhi Yojana
0.35 Mn Mahila Career Agents (MCAs) appointed, procuring 2.19 Mn policies and USD 300.9 Mn NBP, covering 59% of Gram Panchayats.
Bancassurance Partnerships
Expanded bancassurance network to 92 partnerships, contributing to increased premium from alternate channels.
Underpenetrated Indian Insurance Market
India's life insurance penetration (2.7% of GDP in FY24) and density (USD 72 in FY24) are significantly lower than major economies, indicating substantial growth potential.
Growing Economy
Indian market is underinsured compared to major economies, providing a large addressable market for life insurance products.
Management accountability
What management said, and what results must prove
Management accountability
What management said, and what results must prove
What management said, and what results must prove
Issuer guidance and extracted claims are tracked against later reported outcomes. Treat these as management statements, not IndiaPulse forecasts.
The provided data is annual (FY22, FY24, FY25, FY26), making year-over-year comparison appropriate to assess long-term trends and annual performance across key financial and operational metrics.
Total Premium Income
Total Premium Income increased to USD 56,625 Mn in FY26 from USD 51,572 Mn in FY25, a growth of 9.8% YoY.
PAT
Profit After Tax (PAT) grew to USD 6,066 Mn in FY26 from USD 5,087 Mn in FY25, an increase of 19.2% YoY.
Net VNB
Net Value of New Business (VNB) increased to USD 1,498 Mn in FY26 from USD 1,058 Mn in FY25, a growth of 41.6% YoY.
Net VNB Margin %
Net VNB Margin % improved to 21.2% in FY26 from 17.6% in FY25, an increase of 360 basis points YoY.
Consolidate Non-Par Business Gains
Management aims to consolidate the gains achieved in enhancing the share of Non-Participating products within individual businesses.
Strengthen Alternate Distribution
Management intends to consolidate distribution gains achieved via Bancassurance and Alternate Channels.
Digital and Agency Transformation
Management focuses on digital and agency transformation projects to align with new skills and emerging market demands.
Investment Yield Maximization
Management's strategy includes focusing on investment yield maximization while balancing risk.
Numbers and claims to verify in the next filings
| Checkpoint | Current evidence | What to verify next |
|---|---|---|
| Non-Participating Product Mix (Individual New Business Premium) | 60.8% in FY26 | Continued increase in the share of Non-Participating products to sustain VNB margin expansion. |
| Bancassurance & Alternates Share (Individual New Business Premium) | 8.2% in FY26 | Sustained growth in contribution from bancassurance and alternate channels to diversify distribution. |
| Net VNB Margin % | 21.2% in FY26 | Maintenance or further improvement in Net VNB Margin % as a key indicator of profitability and product strategy effectiveness. |
| Overall Expense Ratio | 11.9% in FY26 | Continued efficiency gains and reduction in the overall expense ratio. |
Verification checkpoints are IndiaPulse research interpretation, not investment advice.
Show extracted source claims
LIC aims to appoint at least one Bima Sakhi in every gram panchayat.
"Our objective is to appoint at least one Bima Sakhi in every gram panchayat"
LIC is confident of accelerating its efforts towards achieving “Insurance for All by 2047” through customer-friendly initiatives.
"confident that we'll be able to accelerate our efforts towards “Insurance for All by 2047”"
LIC is very confident of catching up and showing a good performance on the number of policies sold by the end of the current financial year.
"we are very confident by the end of the current financial year, we will be able to completely catch up"
Outcome check: Revenue YoY averaged 14.8% across 2 later quarter(s).
The full impact of the GST exemption on life insurance products will be seen in the coming quarters.
"believe that the full impact will be seen in the coming quarters"
Trend score and candlestick chart
41NeutralSMA20 -1.8% / mo · MACD + · near 52W low
Technical chart
LICIdaily · 1Y · AUTO-50.1%Daily technical trend read
Bearish setupTrend is weak — long-term trend down. RSI 48.
- Price below SMA200 (long-term downtrend) — short-term bounces likely countertrend.
- SMA20 falling (~1.8% over last month) — short-term momentum negative.
- RSI(14) at 48 — falling, no extreme reading.
- MACD above signal but histogram contracting — bullish momentum cooling.
- 56% off 52W high · 8% above 52W low.
Mechanical read from the price + indicator series above. Not a recommendation — technical setups can reverse without warning, especially around earnings and macro events.
Relative Strength & Trend Stage
- Price is 33.6% below the 30-week proxy.
- The 50-DMA is below the 30-week proxy and its slope is falling -8.0%.
Valuation & score drivers
U-Score 66 · UNDERVALUED · pillar breakdown, sector model, fair-value anchor
Valuation & score drivers
U-Score 66 · UNDERVALUED · pillar breakdown, sector model, fair-value anchor
Fundamental score breakdown
UNDERVALUEDWhy this score?
Top U-Score contributors and drags from the latest stored fundamentals.
Positive drivers
- Fair-value margin of safety is positive at 68.5%.
- Quality contributes 18/20 to the score.
- Valuation contributes 21/30 to the score.
Main drags
- Altman Z is 0.3, in distress territory.
- Balance sheet is weaker at 6/15; verify the latest quarterly trend.
- Cash flow is weaker at 4/10; verify the latest quarterly trend.
Insurance valuation: embedded value and VNB quality
Insurance economics depend on long-duration book value and new-business profitability.
Stored run vs live recompute
This shows the stored score trend when snapshots exist, and also compares the latest stored nightly score with a live recompute from current fundamentals and price.
Score history
12 stored score snapshots. Latest stored move: +0 points.
Factor attribution
Modelled fair value
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust score
Does management behaviour match later outcomes? Claim delivery, forensic breakdown, evidence depth
Trust asks: does management behaviour match later outcomes? Higher is better, but confidence and evidence depth matter as much as the number.
Healthy Trust: Management has 100% delivered/partly-delivered outcomes on 1 checked claims. It ranks around the 72nd percentile of the scored universe and 85th percentile within Financial Services. No major sub-score weakness stands out.
Healthy Trust Lite: Promoter holding is 96.5%. Key concern: Operating cash flow is negative at ₹-26211 Cr.
Generally investable credibility. Look for weak sub-scores before increasing position size.
overall median 67 · Financial Services: 85th pctile, median 62 · Large: 51st pctile, median 73
106 documents have extracted text, but claim history is not strong enough yet.
1/4 claims checked · No contradicted claim yet
How to read this Trust Score
Healthy Trust · low confidenceRead Trust alongside U-Score, result consistency, and technical trend. A cheap stock with weak Trust needs a larger margin of safety; a high Trust score does not make an expensive stock attractive by itself.
Forensic breakdown
Read low sub-scores as due-diligence warnings, not automatic sell signals.
Trust positives
- ▸Promoter holding is 96.5%.
- ▸Promoter pledge is zero.
- ▸FCF yield is positive at 2%.
- ▸8 years of positive FCF.
Trust risks
- ▸Operating cash flow is negative at ₹-26211 Cr.
- ▸Altman Z is 0.30.
- ▸ROCE trend is -18.6%.
Trust Lite uses financial behaviour only. Prefer claim-tested Trust when enough concall claims have later outcomes.
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Financials
Full fundamentals table and 10-year revenue / profit / ROE history
Fundamentals
Valuation
- P/E
- 8.75
- P/B
- —
- EV/EBITDA
- 11.16
- Market Cap
- 525418.00Cr
Profitability
- ROE
- 37.80%
- ROCE
- 35.10%
- ROA
- 1.01%
- Dividend Y
- 2.41%
Growth (CAGR)
- Revenue 5Y
- 7.00%
- EPS 5Y
- 81.00%
- Revenue 3Y
- 8.00%
- EPS 3Y
- 17.00%
Balance Sheet
- Debt/Equity
- 0.00
- Interest Coverage
- —
- Altman Z
- 0.30
- Book Value
- —
Cash Flow
- FCF Yield
- 1.99%
- FCF Positive Y
- 8/5
- OCF
- -26211.00 Cr
- EPS TTM
- 47.49
Shareholding
- Promoter Hold
- 96.50%
- Promoter Pledge
- 0.00%
- Momentum 52W
- 50%
Financial History
Updated 5/9/2026
Revenue
₹ CrNet Profit
₹ CrReturn on Equity
%Peers
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Peers
Business-comparable names in Financial Services, ranked by similarity
Peers
Business-comparable peers in Financial Services — ranked by industry, sub-sector, theme-tag overlap, market cap, and U-Score similarity. Green cells mark the best available peer metric in this table.