State-owned insurer Life Insurance Corporation of India (LIC) is exploring the establishment of a dedicated fintech arm, either through strategic investments or organic development, the chief executive and managing director R Doraiswamy said. He said the move forms part of efforts to strengthen the corporation's digital capabilities and to drive innovation across its businesses. The plan is intended to modernise operations and improve returns on policyholders' funds.\n\nDoraiswamy said LIC is actively engaging with fintech and insurtech firms to modernise applications and develop innovative solutions, while leveraging its strong in-house software development capabilities. He noted that the insurer continues to work closely with IT service providers for new infrastructure and platforms, combining internal expertise with external support. As a large financial institution with investments across sectors, LIC is also evaluating strategic stakes in specialised players.\n\nThe chief executive said the corporation is assessing multiple options including partnerships with fintech firms as it seeks to remain agile in an increasingly competitive market. On the government’s plans to dilute its stake further, he said LIC has remained prepared since its 2022 initial public offering and would coordinate with the Centre on the timing and size of any sale. The government raised about Rs 210 billion (bn) by selling a three point five per cent stake in LIC through the 2022 offer, and the Centre continues to await favourable market conditions before launching another public offer.\n\nDoraiswamy highlighted recent shareholder rewards, noting a one-for-one bonus issue and a dividend that was materially higher than the previous year, and the board has recommended a final dividend of Rs 10 per share for FY26 subject to shareholder approval. Results for the quarter showed net profit up 23 per cent to Rs 234.2 billion (bn), which he described as the highest quarterly profit posted by any financial services firm in the country. He said LIC will balance internal development with targeted strategic investments to modernise systems and enhance returns for policyholders.