Life Insurance Corporation (LIC) declared a surplus of Rs 23,478 crore for the last financial year announcing a record dividend of 1029 crore to the central administration.

Mr. T. S. Vijayan, LIC Chairman, said that the entire premium for the last fiscal surged by 18.32% at 1,85,985 crore as against 1,57,186 crore.

Mr. Vijayan stated that Life Insurance Corporation (LIC) would invest approximately Rs 2 lakh crore in the local equity and bond markets in the existing fiscal.

Mr. Vijayan stated, "Our investment plan will be dictated by the premium flow."

"If the premium flow is more in unit-linked insurance policies, our incremental investment into equities will be higher and if the premiums are coming more from the traditional plans, naturally the incremental investment will be more in government securities, corporate bonds, debt etc.," he added.

Unit-linked plans are popular instruments, which provide both a life cover and an alternative to make investment of the premium in stock or debt markets. (With Inputs from Agencies)