LIC's embedded value stood at Rs 5.41 lakh crore at end of March

Life Insurance Corporation of India on Thursday said its embedded value stood at Rs 5,41,492 crore at the end of March this year compared to Rs 95,605 crore in the year-ago period.

At the end of September 2021, the Indian Embedded Value (IEV) stood at Rs 5,39,686 crore at the end of September 2021.

The embedded value is a measure of the consolidated value of shareholders' interest in the life insurance business.

The IEV as of September 30, 2021 was significantly higher than the IEV of March 2021 due to the bifurcation of funds that was carried out by LIC following changes in the LIC Act during the FY 2021-22, the insurer said in a release. The Value of New Business (VNB) for the year ended March 2022 has been determined at Rs 7,619 crore as compared to Rs 4,167 crore for the year ended March 2021.

For the year ended March 2022, the VNB margin was 15.1 per cent as compared to 9.9 per cent in the same period a year ago.