Mumbai: LIC has reported higher profits this time, has decided to pay 40% higher bonus and dividends to government and its customer, respectively in F.Y. 2016-17.

“The Corporation has allocated Rs 47,387.44 crore as reversionary bonuses with profit to policyholders and paid Rs 2,494.08 crore to the government towards its share of surplus on within the country business, against Rs 34,207.58 crore and Rs 1,800.40 crore, respectively, a year ago,” LIC sources said.

Being able to maintain solvency ratio of 154.65% for the statutory requirement of 150%, LIC has been applauded by government in order to share this higher profits. Policies like Jeevan Shree, Jeevan Pramukh, Jeevan Nidhi plan and Jeevan Amrit have received higher bonuses during 2016-17 and they are the perfect game changer for investors who seek safe investments in India.

The bonus will also be applicable to newly introduced schemes such as Jeevan Tarun, Jeevan Labh, Jeevan Pragati.

Bonus ranging from Rs 5 to Rs 60 per thousand will be given in sum assured when applicable/eligible to customers as a part of One-time Diamond Jubilee year special reversionary.

“2016-2017 was a great year business-wise though we had to face an extremely competitive scenario. We not only need to understand the competition but be two steps ahead,” VK Sharma, LIC chairman, said, addressing the corporation’s 57th annual senior divisional managers’ conference here recently.

“If we do not think out of the box now, it will become extremely difficult for us to maintain our position as a market leader in future,” he said.

With the inputs of PTI.