The Life Insurance Corporation of India (LICI) policyholders will be paid a bonus of $8.8 million this year.

This will be the highest amount paid in any year so far, confirmed LICI general manager, Vimlesh Dhar, during a press conference in Suva yesterday.

In announcing the 2014 financial year results, Mr Dhar said LICI has been paying consistently high bonuses to its customers over the years.

He said this was in spite of a sharp decline in interest rates in the past few years.

Mr Dhar said LICI pays out 95 per cent of its distributable surplus to its policyholders.

“In addition to the bonus, LICI also pays Final Additional bonus for policies of 15 years or more duration to its policyholders,” he said.

LICI paid out $40 million to its policyholders in respect of various claims in the year 2014 which include Death Claim payment to nominees of 146 policyholders who passed away during the year.

Another major highlight for 2014 was that LICI Investment $82.5 million in the Fiji Infrastructure Bonds issued by the Reserve Bank of Fiji which was one third of the total amount issued by the RBF.

LICI’s total investment stood at $457 million as at December 31, 2014, doubling in the last four years and its assets crossed the $500 million mark in 2014 reaching $524 million.

Growth and plans

On the business front, LICI had another good year registering year-on-year  growth of over 10 per cent in the number of policies sold (8335 new policies sold) and Sum Assured ($181.7 million).

The agency force of LICI also grew by 30 per cent in 2014.

Regarding the future plans of LICI, Mr Dhar said the company would be looking at Inclusive insurance by bringing in small ticket Group Insurance policies.

He said it would also play its role in further spreading insurance in remote corners of Fiji though a special recruitment drive of agents in outer islands.

LICI is having a portfolio of 54016 policies under individual assurance and 4278 lives are covered under its group insurance schemes.

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