Type of Lic Policies
Project report LIC House loans and othe type of policies
Submitted By: Raju Somani
Life Insurance Corporation
Company Brief
LIC Housing Finance Ltd. (LICHFL) is one of the largest housing finance companies in India. Almost 93% of the company’s loans are to retail customers and the balance 7% to project developers. The promoter, namely LIC of India, meets 8% of the total fund requirements, whereas 80% is funded by term loans from banks, bonds and debentures, and the remaining 12% in the form of refinance from NHB and others.
Company profile
LIC Housing Finance Ltd. is one of the largest Housing Finance companies in India. The main objective of the Company is providing long term finance to individuals for purchase, construction, repair and renovation of new and existing houses. The Company also provides finance on existing property for both business and personal needs and gives loans to professionals for purchase, construction of Clinics, Nursing Homes, Diagnostic Centres, Office Space etc. The mission of the company is to provide secured housing finance at affordable cost, maximizing shareholders value with higher customer sensitivity.
The asset quality has shown improvement over the period with GNPA of 1.69% and NNPA of 0.73% as on Dec 2008. LICHF’s funds are sourced from term loans from banks, bonds and debentures constituting 80% of borrowing and term loans from the promoter of the Company, LIC of India, contributing 8% of the total borrowing and the remaining 12% in form of refinance from NHB and others. The weighted average cost of total funds as on Dec 08 is 9.65%.
On the asset front, 93% of outstanding loan is in the individual segment, yielding 11.5% and the balance is towards builder loans, yielding 15% - 16%. LICHF’s average loan size has increased to around Rs 12 lakh as compared to around Rs 10.6 lakh last year.
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Submitted By: Raju Somani
Life Insurance Corporation
Company Brief
LIC Housing Finance Ltd. (LICHFL) is one of the largest housing finance companies in India. Almost 93% of the company’s loans are to retail customers and the balance 7% to project developers. The promoter, namely LIC of India, meets 8% of the total fund requirements, whereas 80% is funded by term loans from banks, bonds and debentures, and the remaining 12% in the form of refinance from NHB and others.
Company profile
LIC Housing Finance Ltd. is one of the largest Housing Finance companies in India. The main objective of the Company is providing long term finance to individuals for purchase, construction, repair and renovation of new and existing houses. The Company also provides finance on existing property for both business and personal needs and gives loans to professionals for purchase, construction of Clinics, Nursing Homes, Diagnostic Centres, Office Space etc. The mission of the company is to provide secured housing finance at affordable cost, maximizing shareholders value with higher customer sensitivity.
The asset quality has shown improvement over the period with GNPA of 1.69% and NNPA of 0.73% as on Dec 2008. LICHF’s funds are sourced from term loans from banks, bonds and debentures constituting 80% of borrowing and term loans from the promoter of the Company, LIC of India, contributing 8% of the total borrowing and the remaining 12% in form of refinance from NHB and others. The weighted average cost of total funds as on Dec 08 is 9.65%.
On the asset front, 93% of outstanding loan is in the individual segment, yielding 11.5% and the balance is towards builder loans, yielding 15% - 16%. LICHF’s average loan size has increased to around Rs 12 lakh as compared to around Rs 10.6 lakh last year.
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