LIC share price drops 3.5% as November premiums decline 27% YoY | Stock Market News
LIC share price: The share price of Life Insurance Corporation (LIC) dropped by 3.5% during Tuesday’s trading session as the life insurer encountered a tough month, with its premiums for November declining by 27% compared to the previous year. Despite reporting a 16% rise in premiums over the first eight months of FY25, according to reports, both total and retail annual premium equivalent (APE) for LIC fell in November by 19% and 12%, respectively.
LIC share price today opened at an intraday high of ₹982.95 apiece, the stock touched an intraday low of ₹951 per share. According to Rajesh Bhosale, Equity Technical and Derivative Analyst at Angel One, after failing to breach the 200 SMA yesterday, prices are undergoing a correction in today’s session. The 1,000 level, aligning with the 200 SMA, remains a critical resistance. Unless surpassed, the upside is likely to stay subdued. On the downside, 940 serves as a strong support for the counter.
Nevertheless, as per reports, although LIC faced challenges, the robust growth from private insurers contributed to balancing the overall decline, highlighting the differing fortunes within the industry.
Nuvama Institutional Equities highlighted the impressive performance of private life insurers, which have shown a robust year-over-year growth of 15.4% in individual APE for the fiscal year 2025 to date (FY25TD), now reaching 21.2%. This growth is particularly noteworthy when compared to Life Insurance Corporation (LIC), which faced challenges, showing a decrease of 12.4% YoY with FY25TD growth at 7.3%.
The individual APE market share for private insurers has increased significantly to 68.9% for FY25TD, marking a substantial gain largely due to LIC’s performance in November 2024. Among private insurers, ICICI Prudential Life Insurance Company Ltd and HDFC Life Insurance Company Ltd have made notable strides in expanding their market shares. Furthermore, private insurers have demonstrated resilience, achieving a five-year compound annual growth rate (CAGR) of 14.1% in individual APE, according to Nuvama.
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