Employee costs fell 56.88% YoY to Rs 5,928.48 crore in Q4 FY25, largely due to a normalization in salary expenses after the one-off impact of a wage revision in the same quarter last year. LIC revises wages for its employees every five years.

Net premium income came in at Rs 1,47,585.56 crore, down 3.09% YoY but up 38.07% from the previous quarter.

Policy sales took a hit as new IRDAI rules on surrender values, effective from 1 October 2024, impacted buyer sentiment. The updated guidelines now allow policyholders to receive higher payouts if they exit their policies early, even after just one premium payment. In case of early termination, the payout includes a portion of the earnings and savings, making early surrender more attractive.

LIC's Profit after Tax (PAT) for the year ended March 31st 2025 was Rs 48,151 crore as compared to Rs 40,676 crore for the year ended March 31st 2024, thereby registering an increase of 18.38%. The total premium income for the year ended March 31st, 2025, was Rs 4,88,148 crore, up 2.75% compared to Rs 4,75,070 crore for the year ended March 31st, 2024. The total individual business premium for the year ended March 31st, 2025, increased 5.04% to Rs 3,19,036 crore from Rs 3,03,768 crore in the same period of the previous year.

A total of 1,77,82,975 policies were sold in the individual segment during the year ended March 31st, 2025 as compared to 2,03,92,973 policies sold during the year ended March 31st, 2024. On an Annualized Premium Equivalent (APE) basis, the total premium was Rs 56,828 crore for the year ended March 31st 2025.

The Value of New Business (VNB) for the year ended March 31st, 2025 was Rs 10,011 crore as compared to Rs 9,583 crore for the year ended March 31st, 2024, registering a growth of 4.47%. The net VNB margin for the year ended March 31st, 2025 increased by 80 bps to 17.6% as compared to 16.8% for the year ended March 31st, 2024. The Solvency Ratio as on March 31st 2025 increased to 2.11 as against 1.98 on March 31st, 2024.

For the year ended March 31st 2025, the persistency ratios on premium basis for the 13th month and 61st month were 74.84% and 63.12% respectively. The comparable persistency ratios for the corresponding year ended March 31st, 2024 were 77.66% and 60.88% respectively.

The Assets Under Management (AUM) increased to Rs. 54,52,297 crore as on March 31st 2025 as compared to Rs. 51,21,887 crore on March 31st, 2024 registering an increase of 6.45% year on year.

The Yield on Investments on policyholders funds excluding unrealized gains was 8.65% for the year ended March 31st, 2025 as against 8.93% for year ended March 31st, 2024.

LICI's board recommended a final dividend of Rs 12 per share for the financial year 2024-25, subject to approval of shareholders.

Siddhartha Mohanty, CEO & M D, LIC said: "The year 2024-25 was a very exciting and challenging year for our business. After registering a very strong performance in the first six months, we had to redesign and relaunch products to comply with regulatory changes. However, we are very happy to state that this year, we have achieved many milestones. First, we have achieved Individual New Business Premium of Rs 62,495 crore, in a single year. Second, our Net VNB for the year is Rs 10,011 crore, i.e. over Rs 10,000 crore for the first time. Third, our VNB margin is steadily on the rise, reaching 17.6% as at 31st March 2025. Fourth, our strategy to increase Non Par share is further getting consolidated. This year, Non Par APE share within the individual business has risen to 27.69%. Finally, we are proud to say that we have declared bonus of Rs 56,190.24 crore to policyholders."

LIC has been providing life insurance in India for more than 65 years and is the largest life insurer in the country.