LIC, the country’s largest life insurer, on Thursday reported a 32 per cent jump in net profit to ₹10,053 crore for the second quarter ended September 30 (Q2FY26) against ₹7,621 crore in the year-ago period (Q2FY25) on the back of better premium income and growth in investment income.
LIC’s net premium income increased to ₹1,26,479 crore in Q2FY26 from ₹1,19,901 crore in the same period a year ago. Net income from investments during Q2FY26 was ₹1,12,147.16 crore compared with ₹1,08,972.43 crore in Q2FY25.
LIC’s net value of new business (VNB) margin was 17.6 per cent in the first six months of FY26 compared with 16.2 per cent in the corresponding period of the previous year.
The total expenses rose to ₹2,30,160 crore in Q2FY26 against ₹2,22,366 crore in Q2FY25. The insurer made provisions on account of non-availability of input tax credit after the exemption of individual life insurance policies from GST.
“In terms of market share measured by first-year premium income, LIC continues to be the market leader in the Indian life insurance business with an overall market share of 59.41 per cent for the half year ended September 30, 2025,” said R. Doraiswamy, CEO and MD, LIC.
Better H2
Doraiswamy said that following the changes applicable for the insurance industry after GST exemption, the life insurer is optimistic of a better topline growth in the second half of the ongoing fiscal.
“We have ensured that all intended benefits of GST changes are passed on to the customers. We are not considering passing on any liability of the GST cut to the agents. We hope that the exemption of life insurance business from GST is going to result in a substantial increase in business volumes and the topline growth. Along with our continuous effort to optimise expenses, we will be able to take care of the pressure on the margins,” Doraiswamy said.