Kathmandu. Indian government company Life Insurance Corporation of India (LIC India) is going to enter the health insurance sector soon. For this, LIC India is going to buy a stake in a health insurance company.
LIC Managing Director and Senior Executive Officer Siddharth Mohanty informed that the company may announce the acquisition of a stake in a standalone health insurance company by March 31. However, he did not want to disclose the name of the company. “We have a plan and the final stages of work are underway for the agreement to buy the stake in that company.”
Entering health insurance is a natural plan for LIC. “It takes time to get approval from the regulatory body,” Mohanty said, “so a decision on this matter will be taken before March 31.”
Currently, there are seven standalone health insurance companies in the Indian market. These include Star Health & Allied Insurance, Niva Bupa Health Insurance, Care Health Insurance, Aditya Birla Health Insurance, Manipal Cigna Health Insurance, Narayan Health Insurance and Galaxy Health Insurance.
LIC will buy a stake in one of these seven companies. Mohanty has made it clear that the majority stake in the health insurance company will not be acquired initially.
Earlier, LIC had said that it would start the health insurance business in the first quarter of fiscal year 2025.
