Indian government eyes life insurer public listing

It could change the law to make this happen

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One of India’s biggest life insurance companies, Life Insurance Corporation (LIC), which is also state owned, could go public, according to local news channel ETNow.

LIC commands two thirds of the life insurance market in the country.

The government is believed to be reviewing the situation.

If the public listing were to go ahead, the LIC Act – the piece of legislation that allowed LIC to function as a corporate body in 1956 – would need to be amended.

In the past, the government had floated shares of two state owned insurance companies, namely GIC Re and New India Assurance.

But if LIC gets the green light, it would become India’s top listed company in terms of capitalisation, and the move would also make it more transparent and better run.

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