Life Insurance Corporation of India reported an 11-fold jump in its net profit for Q2 FY23 to ₹15,952 crore, led by a surge in its other income. In the previous quarter, the state-owned life insurer had posted a profit after tax of ₹683 crore.
Other income for the quarter was at ₹6,795 crore, much higher than ₹46 crore in the year-ago period. This was because other income for Q2 included interest amounting to ₹6,626 crore received during the quarter towards refund of income tax for the earlier financial years, the insurer said in the notes to accounts.
LIC’s net premium income for the reporting quarter was at ₹1.32-lakh crore, up 27 per cent from the year-ago period. The first-year premium — indicative of new business growth — was at ₹9,125 crore, up 11 per cent year-on-year. Renewal premium income rose to ₹56,156 crore from ₹54,910 crore in the year-ago period. Single premium income was up 62 per cent at ₹66,901 crore.
During the quarter, LIC made additional provisions of ₹11,544 crore for employee retirement benefits due to wage revision which became due from August 1.