LIC to pump in Rs 40,000 cr in equities in 2009

Life Insurance Corporation of India today said it expects to pump in around Rs 40,000 crore in equities in 2009-10.

"Last year, we infused Rs 40,000 crore in equities. We expect to do the same this year," LIC Chairman T S Vijayan told reporters here.

As per exposure norms, LIC was also investing in government papers and corporate debt.

During the current financial year, LIC is eyeing a premium income growth of 20 per cent, Vijayan said, adding that premium collection had shown a good growth in the first three months of 2009-10.

LIC had suffered a setback in terms of premium income in last fiscal, he said, adding that LIC collected a premium income of Rs 1,55,000 crore, which included first premium income of Rs 52,000 crore.

Vijayan said that LIC would evenly sell both linked and non-linked products.

Asked if LIC needed to shore up its capital base as the paid-up capital was only Rs 5 crore, Vijayan said that there was no need for that.