“Naturally, to meet the need for modernization and especially to bring innovation, we are involving both fintech and insurtech players and we are seeing a lot of new things being developed by such players,” Doraiswamy told PTI in an interview.
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On the other hand, he said, “We are a large financial institution investing in multiple organizations and we also consider strategic investment in a particular player as a way of improving returns on policyholders’ funds.”
talking about Life Insurance Corporation of IndiaIT Yatra was one of the early adopters of digital technologies, he said.
He said, “We have built our core capability in developing our business applications by building a software development centre. We have a large number of people working in our IT department who are designing IT solutions for us but that does not mean that we can be completely self-reliant. We employ several IT service providers for new infrastructure and platforms.”
Doraiswamy, who as executive director had led the modernization of the IT infrastructure and business applications of LIC’s individual business, said the corporation needs the support of its own core development teams as well as the support of IT players. Be as agile as possible to stay relevant in the competition,” he said.
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He said that LIC is currently evaluating the value proposition of various options.
Asked if LIC was ready for further stake dilution by the Centre, Doraiswami said, “We are ready from day one. When we started preparing for the IPO, we were also ready for such subsequent actions. So the decision is taken by the government.”
As and when a decision is taken on the timing and quantum of further stake dilution, LIC will be fully prepared to work closely with the Government to ensure that this initiative achieves the success it deserves.
LIC came out with an initial public offering, the biggest in terms of size till 2022, which resulted in the government raising around Rs 21,000 crore by diluting just 3.5 per cent stake in the insurance giant.
Before 2022, LIC was completely owned by the Government of India.
He further said that the government is focusing on compliance with the listing requirements under which any listed company will have a public float of 10 per cent or 15 per cent at different schedules and timings.
He said the government is focused on achieving this target, but due to current market volatility it is waiting for the right time to launch the next public offering.
After the IPO, Doraiswami said, LIC has done quite a good amount of activity to reward shareholders.
He said, in the last quarter, LIC announced 1:1 bonus followed by a good dividend, which is 67 per cent higher than last year.
While finalizing the FY26 figures, LIC’s board recommended a final dividend of Rs 10 per equity share (equivalent to Rs 20 per equity share on pre-bonus issue basis) subject to shareholders’ approval.
Earlier this month, LIC reported a 23 per cent rise in net profit to Rs 23,420 crore in the March quarter, the highest by any financial services firm in the country.