Infosys to lay groundwork for LIC's digital transformation

State-owned Life Insurance Corporation (LIC) announced on Monday that it had signed up tech giant Infosys to develop a next-generation digital platform that will act as the foundation for new high-value business applications, such as customer and sales super apps, portals, and digital branches.

The financial terms of the deal remain undisclosed.

The tie-up with Infosys is part of LIC’s “long-drawn” strategy, said a senior executive of India’s biggest insurer, who noted that the IT giant “won the bid to develop the next-generation platform through a request for proposal (RFP) process”.

However, the executive did not disclose details of the other bidders.

LIC previously received IT support from industry majors such as Tata Consultancy Services (TCS) and Tech Mahindra.

This collaboration is part of LIC’s broader digital transformation initiative known as DIVE (Digital Innovation and Value Enhancement), which aims to enhance the life insurer’s digital infrastructure and improve the experience for customers, partners, and employees.

In its 2023-24 annual report, the public sector insurer highlighted that DIVE is already in progress, and it is expected to transform the company’s operations across the value chain — from customer onboarding to claims settlement — and provide a “best-in-class” experience for both sales and customer service.

Siddhartha Mohanty, LIC’s managing director and CEO, stated that the corporation’s vision is to evolve into a technology-driven organisation offering comprehensive life insurance solutions.

He emphasised that in today’s digitally connected world, customers expect instant service, and technology will allow LIC to gain deeper insights into customer needs, improving its ability to serve them.

“We look forward to our partnership with Infosys in creating world class digital solutions and providing best-in-class experience for all our stakeholders, including customers and sales intermediaries,” Mohanty said.

The new digital platform will be an integrated end-to-end insurance solution.

It will offer superior service for customers, facilitate lifecycle management for sales intermediaries, and provide a digital front-end platform for branch employees.

LIC said the platform would be modular, cloud-native, and capable of adapting to emerging technologies, products, and features.

In Q1FT25, LIC posted a 9.61 per cent increase in net profit, reaching Rs 10,461 crore, driven by robust growth in group business premiums.

The insurer for this period reported a premium income of Rs 1.13 trillion, a 15.66 per cent rise year-on-year.

Individual premiums grew by 7.04 per cent to Rs 67,192 crore, while group premiums’ total surged by 30.87 per cent year-on-year to Rs 46,578 crore.