LIC of India was incorporated on 1st September 1956 by amalgamating 243 Companies by the Act of Parliament called Insurance Act, 1956. LIC is governed by the Insurance Act 1938, LIC Act 1956, LIC Regulations 1959, and Insurance Regulatory and Development Authority Act 1999. As on 31st March 2016, LIC has 8 Zonal Offices, 113 Divisional Offices, 2048 Branch Offices, 73 Customer Zones, 1401 Satellite Offices, and 1240 Mini Offices in India. The finance minister, announced in the budget 2020 that the government is contemplating listing Life Insurance Corporation of India in the secondary markets by the second half of this year. LIC is the largest insurance company in India with about 28 crore policies in force, equalling a sum assured of Rs. 45 lac crores. The annual premium receivable by LIC was Rs. 2 lac crores in the financial year 2018-19. LIC had investments valued at Rs. 30 lac crores as on March 31st, 2019.
"Policyholder" is a new category introduced for the LIC IPO, this category will have up to 10% of the issue reserved for the customers who hold policies of LIC. To be eligible for making an application under the policyholder’s category;
- Your PAN has to be updated in the LIC records. The PAN used for LIC policies has to be the same as that registered with your trading account.
The Cabinet Committee on Economic Affairs approved the IPO in July 2021. The center is set to list LIC on the stock exchanges to help meet disinvestment targets for the year. The GOI is planning to raise funds up to Rs 1 lakh crore through this IPO. The listing of LIC is expected in the third or fourth quarter of 2021-2022.
According to D IPAM, the Life Insurance Corporation of India (LIC) IPO can be expected during the fourth quarter (January to March) of the financial year 2021-22. The pre-IPO process is already underway. Actual LIC IPO date has not been announced yet.
Policyholders have to link their PAN card with their LIC policy to be eligible for the LIC IPO. They can link their PAN with LIC policy on LIC website or by contacting LIC agents. Apart from that, everyone applies in IPO should have a DEM AT account and an active UPI ID linked to a bank account having sufficient funds.
It is expected that LIC may reserve a certain portion of shares for its policyholders. In such cases, chances of getting an allotment may increase on applying as a policyholder. It is also possible that policyholders may end up getting the shares at a discounted price. However, this is not official yet and will be confirmed only after IPO dates are announced.
The Government of India will ensure that the sovereign guarantee that made LIC popular is maintained. However, since the government is also making changes to the Life Insurance Corporation Act, 1956, we will have to wait to see the changes to assess the impact on policyholders.
This along with other LIC IPO details are yet to be announced.
LIC IPO issue date and allotment date is not available right now.
Details of LIC IPO registrar is not available right now.
LIC IPO share price and other listing details are not available right now.
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