LIC welcomes GST exemption on life insurance premiums

The Life Insurance Corporation of India (LIC) announced its endorsement of the Indian government's decision to exempt Goods and Service Tax (GST) on individual life insurance premiums and re-insurance. This reform is expected to provide financial relief to customers, making insurance more affordable, and contribute significantly to the objective of "Insurance for All by 2047."

LIC believes this reform will broaden its customer base and foster long-term sustainable value creation for stakeholders. The corporation forecasts a nominal impact of less than 0.5% on its Embedded Value, indicating a positive outlook.

With a diversified product portfolio, LIC is confident that this customer-centric GST relief will lead to increased business volumes and an improved Value of New Business (VNB), aligning with the corporation's strategic objectives.