Page 12 - Insurance Times July 2021

LIC of India News

LIC launches web portal customers and will change the face of "We will invite anchor investors after
customer servicing on group business the embedded valuation exercise is
for group business ops platform. The new system is capable of done and the pricing for the IPO is
Life Insurance Corporation (LIC) has high-level integration with customers' ready," the government official said.
launched a new centralized web-based technology systems for seamless "There may be more than two dozen
work-flow-based IT platform, e-PGS, transfer of data and services," said anchor investors in LIC's IPO," the
for its group business operations. Vipin Anand, Managing Director, LIC. other person said.
M R Kumar, Chairman of LIC, LIC will soon launch a customer Anchor investors are essentially
inaugurated the project e-PGS at the awareness campaign for new IT system brought in to enhance the confidence
Central Office, Mumbai in the presence capabilities so that the benefits can be of investors and gauge the demand for
of Managing Directors Vipin Anand, reaped by all customers to save time the IPO in the market. Having anchor
Mukesh Gupta, Raj Kumar and S and energy, Anand added. Some of the investors may be critical for LIC
Mohanty. Rakesh Sharma, Managing services will be launched on green because of the size of the state-run
Director and Chief Executive Officer of channel with end-to-end processing at insurer and the changes being adopted
IDBI Bank received the first digital customer level itself without manual by it, which may make IPO investors
receipt, generated on new IT platform intervention from insurer's office. All the concerned about the ability of the
to the bank as Master Policy Holder in features and services will be launched insurer to sustain its growth under the
one of its group policies from M R Kumar. in a phased manner spread over next restructured avatar of LIC. A mere
three months. 10% stake in the company is estimated
The new technology platform is to be worth at least Rs. 1 trillion, which
designed to provide for centralized LIC looks to raise up to Rs. is unconventionally high for the Indian
collection and payment accounting with 25,000 crore from anchor equity market.
high level of bank integration through
host to host connectivity and provide investors "Anchor investors will buy LIC's shares
very innovative features of seamless and The government plans to bring in a to help measure market demand. They
integrated banking with automatic clutch of anchor investors to invest up will buy a portion of the shares meant
reconciliations. The new system, e-PGS, to Rs. 25,000 crore in the shares of Life for qualified institutional buyers (QIBs).
If anchor investors pay a certain
is capable of providing comprehensive Insurance Corp. of India (LIC) in its amount and the market is ready to pay
self-servicing capabilities through planned mega initial public offering
more than that on the day of IPO, the
customer portal where corporate (IPO), said two people, including a top anchor investors will have to bring in
customers will be able to view their central government official.
the extra amount to match the
data, initiate actionable processes, The country's largest insurer will also market price. If the market shows a
lodge and track claims. undergo a change in its board demand of less, we don't have to
"The new technology platform is structure and adopt new accounting refund the extra amount to anchor
designed to cater to the expectations norms before the IPO, the two said on investors. This is the benefit of having
of technology intensive corporate condition of anonymity. anchor investors," the official said. T

12 The Insurance Times, July 2021