Gajendra Pandey (1).doc

7/24/2019 Gajendra Pandey (1).doc

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A SUMMER TRAINING REPORT

ON

LIFE INSURANCE INDUSTRY IN

INDIAAT

BAJAJ ALLIANZ

In the partial fulfillment for the awar of the e!ree of

MASTER

O"

BUSINESS A#MINISTRATION

Uner the Guian$e of Su%mitte B&'

MR(MANIS) SING) GAJEN#RA PAN#E*

"a$ult& Guie Roll no(' +,-././/+,

MBA 0 Mar1etin!2"inan$e

Lu$1now Moel In3titute of Mana!ement4 Lu$1now

Affiliated to Gautam Budha Technical University

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(formely U.P.T.U)

,/+50,/+6

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#E7LARATION

I here by certify that the or! hich is bein" #resented in the #ro$ect

entitled% & LI"E INSURAN7E IN#USTR* IN IN#IA AT BAJAJ ALLIANZ' in

#artial fulfillment of the re(uirements for the aard de"ree of )aster of

Business Administration at *uc!no )odel Institute of )ana"ement% *uc!no

is an authentic record of my or! carried out under the matter #resented in this

#ro$ect +e#ort has not been submitted by me for the aard of any other de"ree

of this or any university.

GAJEN#RA PAN#E*

MBA 8Mar1etin!9 6th Sem(

Roll No( +,-././/+,

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A7:NO;LE#GEMENT

Iam than!ful to mana"ement of Ba$a$ Allian- r. as.( Branch

ana"er) . for "rantin" the #ermission% co/o#eration and valuable information

for com#letin" this #ro$ect.

I also e0#ress my heart felt than!s to r.anish in"h % ( Internal Guide) for

his valuable "uidance and continuous su##ort in better understandin" the

study ith his e0cellent ideas throu"hout the #ro$ect.

I e0#ress my dee# "ratitude to my internal #ro$ect Guide Mr( Mani3h Sin!h%

(3)) ho as a source of continuous "uidance and ins#iration to me.

In s#ite of heavy res#onsibilities and busy schedules% they alays

mana"ed time to #rovide #ro#er "uidance.

*ast but not the least% I ould li!e to say that my #arents and friends

for "ivin" me their constant su##ort and encoura"ement in com#letion of my

#ro$ect.

GAJEN#RA PAN#E*

MBA 8Mar1etin!9 6th Sem(

Roll No( +,-././/+,

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PRE"A7E

Trainin" is an inte"ral #art of the BA course curriculum. The main ob$ective

of this trainin" is to su##lement the student5s theoretical !noled"e ith a

#ractical e0#osure to the or!in" environment of an or"ani-ation.

This #ro"ram enhances the student5s ca#ability to co#e u# ith the

uncertainties and challen"es hich are the #art and #arcel of every

or"ani-ation.

The com#etition in the insurance sector is hi"hly volatile in nature.

3ver the decade only "overnment underta!in" com#any as o#eratin" in

India but ith the o#enin" u# of the economy several ne #layers li!e #rivate

sector 6 multinational insurance entered in Indian hori-on.

In the "ivin" #ro$ect I made the im#ortance of 7inancial Advisor in

accelerative the service of the com#any. Advisors are #layin" a very im#ortant

role for ma!in" a bri"ht future of BA8A8 A**IA9: .

+esearch desi"n method used as descri#tive research. The

sam#lin" method used as sim#le random sam#lin". I have ta!en a si-e of ;ha#ter I C

ata Analysis

=. >ha#ter DC

>onclusion

;. >ha#ter I C1

u""estion

. >ha#ter II C2

Biblio"ra#hy

D. >ha#ter III C,

Anne0ure

Euestionnaire
http://www.iloveindia.com/finance/insurance/companies/hdfc-standard-life-insurance.htmlhttp://www.iloveindia.com/finance/insurance/companies/hdfc-standard-life-insurance.html


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7)APTER I

INTRO#U7TION

*ife insurance or life assurance is a contract beteen the #olicy oner and

the insurer% here the insurer a"rees to #ay a desi"nated beneficiary a sum of

money u#on the occurrence of the insured individual?s or individuals? deathor

other event% such as terminal illness or critical illness. In return% the #olicy

oner a"rees to #ay a sti#ulated amount at re"ular intervals or in lum# sums.

There may be desi"ns in some countries here bills and death e0#enses #lus

caterin" for after funeral e0#enses should be included in Policy Premium. In

the United tates% the #redominant form sim#ly s#ecifies a lum# sum to be

#aid on the insured?s demise.

As ith most insurance#olicies% life insurance is a contract beteen the

insurer and thepolicy ownerhereby a benefit is #aid to the

desi"natedbeneficiariesif an insured eventoccurs hich is covered by the

#olicy.

The value for the #olicyholder is derived% not from an actual claim event%

rather it is the value derived from the ?#eace of mind? e0#erienced by the#olicyholder% due to the ne"atin" of adverse financial conseuences caused by

the death of the *ife Assured.

D
http://en.wikipedia.org/wiki/Insurancehttp://en.wikipedia.org/wiki/Deathhttp://en.wikipedia.org/wiki/Insurancehttp://en.wikipedia.org/wiki/Beneficiaryhttp://en.wikipedia.org/wiki/Insurancehttp://en.wikipedia.org/wiki/Deathhttp://en.wikipedia.org/wiki/Insurancehttp://en.wikipedia.org/wiki/Beneficiary


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To be a life #olicy the insured eventmust be based u#on the lives of the

#eo#le named in the #olicy.

Insured eventsthat may be covered includeF

Seriou3 illne33

*ife #olicies are le"al contracts and the terms of the contract describe the

limitations of the insured events. #ecific e0clusions are often ritten into the

contract to limit the liability of the insurer for e0am#le claims relatin" to

suicide% fraud% ar% riot and civil commotion.

*ife/based contracts tend to fall into to ma$or cate"oriesF

Prote$tionpoli$ie3 / desi"ned to #rovide a benefit in the event of

s#ecified event% ty#ically a lum# sum #ayment. A common form of this

desi"n is term insurance.

In>e3tmentpoli$ie3 / here the main ob$ective is to facilitate the

"roth of ca#ital by re"ular or sin"le #remiums. >ommon forms (in the

U anyay) are hole life% universal lifeand variable life#olicies.

O>er>iew

Partie3 to $ontra$t

There is a difference beteen the insured and the #olicy oner (#olicy

holder)% althou"h the oner and the insured are often the same #erson. 7or

e0am#le% if 8oe buys a #olicy on his on life% he is both the oner and the

insured. But if 8ane% his ife% buys a #olicy on 8oe?s life% she is the oner and

he is the insured. The #olicy oner is the "uarantee and he or she ill be the

#erson ho ill #ay for the #olicy. The insured is a #artici#ant in the contract%

but not necessarily a #arty to it. oever% &insurable interest& is reuired to

C
http://en.wikipedia.org/wiki/Illnesshttp://en.wikipedia.org/wiki/Protectionhttp://en.wikipedia.org/wiki/Investmenthttp://en.wikipedia.org/wiki/Whole_life_insurancehttp://en.wikipedia.org/wiki/Universal_life_insurancehttp://en.wikipedia.org/wiki/Variable_universal_life_insurancehttp://en.wikipedia.org/wiki/Insurable_interesthttp://en.wikipedia.org/wiki/Illnesshttp://en.wikipedia.org/wiki/Protectionhttp://en.wikipedia.org/wiki/Investmenthttp://en.wikipedia.org/wiki/Whole_life_insurancehttp://en.wikipedia.org/wiki/Universal_life_insurancehttp://en.wikipedia.org/wiki/Variable_universal_life_insurancehttp://en.wikipedia.org/wiki/Insurable_interest


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limit an unrelated #arty from ta!in" life insurance on% for e0am#le% 8ane or

8oe.

The beneficiary receives #olicy #roceeds u#on the insured?s death. The oner

desi"nates the beneficiary% but the beneficiary is not a #arty to the #olicy. The

oner can chan"e the beneficiary unless the #olicy has an irrevocable

beneficiary desi"nation. Hith an irrevocable beneficiary% that beneficiary must

a"ree to any beneficiary chan"es% #olicy assi"nments% or cash value

borroin".

In cases here the #olicy oner is not the insured (also referred to as the celui

qui vitor >E)% insurance com#anies have sou"ht to limit #olicy #urchases to

those ith an &insurable interest& in the >E. 7or life insurance #olicies% close

family members and business #artners ill usually be found to have an

insurable interest. The &insurable interest& reuirement usually demonstrates

that the #urchaser ill actually suffer some !ind of loss if the >E dies. uch

a reuirement #revents #eo#le from benefitin" from the #urchase of #urely

s#eculative #olicies on #eo#le they e0#ect to die. Hith no insurable interest

reuirement% the ris! that a #urchaser ould murder the >E for insurance

#roceeds ould be "reat. In at least one case% an insurance com#any hich

sold a #olicy to a #urchaser ith no insurable interest (ho later murdered the

>E for the #roceeds)% as found liable in court for contributin" to

the ron"ful deathof the victim (*iberty 9ational *ife v. Heldon% 2;

Ala.11 (1C=)).

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7ontra$t term3

#ecial #rovisions may a##ly% such as suicide clauses herein the #olicy

becomes null if the insured commits suicideithin a s#ecified time (usually

to years after the #urchase date some states #rovide a statutory one/year

suicide clause). Any misre#resentations by the insured on the a##lication is

also "rounds for nullification. ost U states s#ecify that the contestability

#eriod cannot be lon"er than to years only if the insured dies ithin this

#eriod ill the insurer have a le"al ri"ht to contest the claim on the basis of

misre#resentation and reuest additional information before decidin" to #ay or

deny the claim.

The face amount on the #olicy is the initial amount that the #olicy ill #ay at

the death of the insured or hen the #olicy matures% althou"h the actual death

benefit can #rovide for "reater or lesser than the face amount. The #olicy

matures hen the insured dies or reaches a s#ecified a"e (such as 1


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The three main variables in a mortality table have been a"e% "ender% and use

of tobacco. ore recently in the U% #referred class s#ecific tables ere

introduced. The mortality tables #rovide a baseline for the cost of insurance.

In #ractice% these mortality tables are used in con$unction ith the health and

family history of the individual a##lyin" for a #olicy in order to determine

#remiums and insurability. ortality tables currently in use by life insurance

com#anies in the United tates are individually modified by each com#any

usin" #ooled industry e0#erience studies as a startin" #oint. In the 1CD


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life insurance com#any ould have to collect a##ro0imately J=< a year from

each of a lar"e "rou# to cover the relatively fe e0#ected claims. (


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Bureau (IB) % hich is a clearin"house of information on #ersons ho have

a##lied for life insurance ith #artici#atin" com#anies in the last seven years.

As #art of the a##lication% the insurer receives #ermission to obtain

information from the #ro#osed insured?s #hysicians.

Underriters ill determine the #ur#ose of insurance. The most common is to

#rotect the oner?s family or financial interests in the event of the insurer?s

demise. 3ther #ur#oses include estate #lannin" or% in the case of cash/value

contracts% investment for retirement #lannin". Ban! loans or buy/sell

#rovisions of business a"reements are another acce#table #ur#ose.

*ife insurance com#anies are never reuired by la to underrite or to

#rovide covera"e to anyone% ith the e0ce#tion of >ivil +i"hts Act

com#liance reuirements. Insurance com#anies alone determine insurability%

and some #eo#le% for their on health or lifestyle reasons% are deemed

uninsurable. The #olicy can be declined (turned don) or rated +atin"

increases the #remiums to #rovide for additional ris!s relative to the #articular

insured.

any com#anies use four "eneral health cate"ories for those evaluated for a

life insurance #olicy. These cate"ories are Preferred Best% Preferred% tandard%

and Tobacco.Lcitation neededMPreferred Best is reserved only for the healthiest

individuals in the "eneral #o#ulation. This means% for instance% that the

#ro#osed insured has no adverse medical history% is not under medication for

any condition% and his family (immediate and e0tended) have no history of

early cancer% diabetes% or other conditions.L=MPreferred means that the

#ro#osed insured is currently under medication for a medical condition and

14
http://en.wikipedia.org/wiki/Civil_Rights_Acthttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Cancerhttp://en.wikipedia.org/wiki/Diabeteshttp://www.lifeinsure.com/lifeinsurance/Insurance-Rating-Classifications.asphttp://en.wikipedia.org/wiki/Civil_Rights_Acthttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Cancerhttp://en.wikipedia.org/wiki/Diabeteshttp://www.lifeinsure.com/lifeinsurance/Insurance-Rating-Classifications.asp


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has a family history of #articular illnesses.Lcitation neededMost #eo#le are in the

tandard cate"ory.Lcitation neededMProfession% travel% and lifestyle factor into

hether the #ro#osed insured ill be "ranted a #olicy% and hich cate"ory the

insured falls. 7or e0am#le% a #erson ho ould otherise be classified as

Preferred Best may be denied a #olicy if he or she travels to a hi"h ris!

country.Lcitation neededM Underritin" #ractices can vary from insurer to insurer

hich #rovide for more com#etitive offers in certain circumstances.

In3uran$e >3 A33uran$e

The s#ecific uses of the terms &insurance& and &assurance& are sometimes

confused. In "eneral% in these $urisdictions &insurance& refers to #rovidin"

cover for an event that mi"ht ha##en (fire% theft% flood% etc.)% hile

&assurance& is the #rovision of cover for an event that is certain to ha##en.

&Insurance& is the "enerally acce#ted term% but #eo#le usin" this descri#tion

are liable to be corrected. In the United tates both forms of covera"e are

called &insurance&% #rinci#ally due to many com#anies offerin" both ty#es of

#olicy% and rather than refer to themselves usin" both insurance and assurance

titles% they instead use $ust one.

)i3tor&

Insurance be"an as a ay of reducin" the ris! of traders% as early as =hinaand 4= in Babylon. *ife insurance dates only to ancient +ome

&burial clubs& covered the cost of members? funeral e0#enses and hel#ed

survivors monetarily. odern life insurance started in 1th century Nn"land%

ori"inally as insurance for tradersLMF merchants% shi# oners and underriters

met to discuss deals at *loyd?s >offee ouse% #redecessor to the

famous *loyd?s of *ondon.

1=
http://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/Babylonhttp://en.wikipedia.org/wiki/Englandhttp://en.wikipedia.org/wiki/Life_insurance#cite_note-6http://en.wikipedia.org/wiki/Lloyd's_of_Londonhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Wikipedia:Citation_neededhttp://en.wikipedia.org/wiki/Chinahttp://en.wikipedia.org/wiki/Babylonhttp://en.wikipedia.org/wiki/Englandhttp://en.wikipedia.org/wiki/Life_insurance#cite_note-6http://en.wikipedia.org/wiki/Lloyd's_of_London


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The first insurance com#any in the United tatesas formed in >harleston%

outh >arolinain 1,2% but it #rovided only fire insurance. The sale of life

insurance in the U.. be"an in the late 1;or#oration for +elief of Poor and

istressed Hidos and >hildren of Presbyterian inisters in

1=C N#isco#alian#riests or"ani-ed a similar fund in 1;C. Beteen 1D

and 1D, more than to do-en life insurance com#anies ere started% but

feer than half a do-en survived.

Prior to the American >ivil Har% many insurance com#anies in the United

tates insured the lives of slavesfor their oners. In res#onse to bills #assed

in >aliforniain 2


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1D1D sa the a>ent of life in3uran$e %u3ine33 in Iniaith the

establishment of the 3riental *ife Insurance >om#any in >alcutta. This

>om#any hoever failed in 1D,4. In 1D2C% the adras Nuitable had be"un

transactin" life insurance business in the adras Presidency. 1D< sa the

enactment of the British Insurance Act and in the last three decades of the

nineteenth century% the Bombay utual (1D1)% 3riental (1D4) and Nm#ire of

India (1DC) ere started in the Bombay +esidency. This era% hoever% as

dominated by forei"n insurance offices hich did "ood business in India%

namely Albert *ife Assurance% +oyal Insurance% *iver#ool and *ondon Globe

Insurance and the Indian offices ere u# for hard com#etition from the

forei"n com#anies.

In 1C14% the Government of India started #ublishin" returns of Insurance

>om#anies in India. The Indian *ife Assurance >om#anies Act% 1C12 as the

first statutory measure to re"ulate life business. In 1C2D% the Indian Insurance

>om#anies Act as enacted to enable the Government to collect statistical

information about both life and non/life business transacted in India by Indian

and forei"n insurers includin" #rovident insurance societies. In 1C,D% ith a

vie to #rotectin" the interest of the Insurance #ublic% the earlier le"islation

as consolidated and amended by the Insurance Act% 1C,D ith

com#rehensive #rovisions for effective control over the activities of insurers.

The Insurance Amendment Act of 1C=< abolished Princi#al A"encies.

oever% there ere a lar"e number of insurance com#anies and the level of

com#etition as hi"h. There ere also alle"ations of unfair trade #ractices.

The Government of India% therefore% decided to nationali-e insurance

business.

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An 3rdinance as issued on 1Cth8anuary% 1C=; nationalisin" the *ife

Insurance sector and *ife Insurance >or#oration came into e0istence in the

same year. The *I> absorbed 1=4 Indian% 1; non/Indian insurers as also =

#rovident societiesQ24= Indian and forei"n insurers in all. The *I> had

mono#oly till the late C


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The I+A o#ened u# the mar!et in Au"ust 2or#oration of India and 14 life insurance com#anies

o#eratin" in the country.

The in3uran$e 3e$tor i3 a $olo33al oneand is "roin" at a s#eedy rate of 1=/

2


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Term In3uran$e

Term assurance #rovides life insurance covera"e for a s#ecified term of years

in e0chan"e for a s#ecified#remium. The #olicy does not accumulate cash

value. Term is "enerally considered ure& insurance% here the #remium

buys #rotection in the event of death and nothin" else.

There are three !ey factors to be considered in term insuranceF

1. 7ace amount (#rotection or death benefit)%

2. Premium to be #aid (cost to the insured)% and

,. *en"th of covera"e (term).

arious insurance com#anies sell term insurance ith many different

combinations of these three #arameters. The face amount can remain constant

or decline. The term can be for one or more years. The #remium can remain

level or increase. >ommon ty#es of term insurance include *evel% Annual

+eneable and ort"a"e insurance.

*evel Term #olicy has the #remium fi0ed for a #eriod of time lon"er than a

year. These terms are commonly =% 1


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that may be terminal). +eneal that reuires #roof of insurability often

includes a conversion o#tions that allos the insured to convert the term

#ro"ram to a #ermanent one that the insurance com#any ma!es available. This

can force clients into a more e0#ensive #ermanent #ro"ram because of anti

selection if they need to continue covera"e. +eneal and conversion o#tions

can be very im#ortant hen selectin" a #ro"ram.

Annual reneable term is a one year #olicy but the insurance com#any

"uarantees it ill issue a #olicy of eual or lesser amount ithout re"ard to

the insurability of the insured and ith a #remium set for the insured?s a"e at

that time.

Another common ty#e of term insurance is mort"a"e insurance% hich is

usually a level #remium% declinin" face value #olicy. The face amount is

intended to eual the amount of the mort"a"e on the #olicy oner5s residence

so the mort"a"e ill be #aid if the insured dies.

A #olicy holder insures his life for a s#ecified term. If he dies before that

s#ecified term is u# (ith the e0ce#tion of suicide see belo)% his estate or

named beneficiary receives a #ayout. If he does not die before the term is u#%

he receives nothin". uicide used to be e0cluded from A** insurance

#oliciesLwhen?M% hoever% after a number of court $ud"ments a"ainst the industry%

#ayouts do occur on death by suicide (#resumably e0ce#t for in the unli!ely

case that it can be shon that the suicide as $ust to benefit from the #olicy).

Generally% if an insured #erson commits suicide ithin the first to #olicy

years% the insurer ill return the #remiums #aid. oever% a death benefit ill

usually be #aid if the suicide occurs after the to year #eriod.

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Permanent Life In3uran$e

Permanent life insuranceis life insurance that remains in force (in/line) until

the #olicy matures (#ays out)% unless the oner fails to #ay the #remium hen

due (the #olicy e0#ires 3+ #olicies la#se). The #olicy cannot be canceled by

the insurer for any reason e0ce#t fraud in the a##lication% and that cancellation

must occur ithin a #eriod of time defined by la (usually to years).

Permanent insurance builds a cash value that reduces the amount at ris! to the

insurance com#any and thus the insurance e0#ense over time. This means that

a #olicy ith a million dollar face value can be relatively e0#ensive to a era!e

Hhole life insurance#rovides for a level #remium% and a cash value table

included in the #olicy "uaranteed by the com#any. The #rimary advanta"es of

hole life are "uaranteed death benefits% "uaranteed cash values% fi0ed and

!non annual #remiums% and mortality and e0#ense char"es ill not reduce

the cash value shon in the #olicy. The #rimary disadvanta"es of hole life

are #remium infle0ibility% and the internal rate of return in the #olicy may not

be com#etitive ith other savin"s alternatives. Also% the cash values are

"enerally !e#t by the insurance com#any at the time of death% the death

benefit only to the beneficiaries. +iders are available that can allo one to

increase the death benefit by #ayin" additional #remium. The death benefit

22
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can also be increased throu"h the use of #olicy dividends. ividends cannot

be "uaranteed and may be hi"her or loer than historical rates over time.

Premiums are much hi"her than term insurance in the short/term% but

cumulative #remiums are rou"hly eual if #olicies are !e#t in force until

avera"e life e0#ectancy.

>ash value can be accessed at any time throu"h #olicy &loans& and are

received &income/ta0 free&. ince these loans decrease the death benefit if not

#aid bac!% #aybac! is o#tional. >ash values su##ort the death benefit so only

the death benefit is #aid out.

ividends can be utili-ed in many ays. 7irst% if Paid u# additions is elected%

dividend cash values ill #urchase additional death benefit hich ill

increase the death benefit of the #olicy to the named beneficiary. Another

alternative is to o#t in for ?reduced #remiums? on some #olicies. This reduces

the oed #remiums by the un"uaranteed dividends amount. A third o#tion

allos the oner to ta!e the dividends as they are #aid out. (Althou"h some

#olicies #rovide otherdifferentless o#tions than these / it de#ends on the

com#any for some cases)

Uni>er3al life $o>era!e

Universal life insurance(U*) is a relatively ne insurance #roduct intended to

#rovide #ermanent insurance covera"e ith "reater fle0ibility in #remium

#ayment and the #otential for a hi"her internal rate of return. There are several

ty#es of universal life insurance #olicies hich include &interest sensitive&

(also !non as &traditional fi0ed universal life insurance&)% variable universal

life insurance% and euity inde0ed universal life insurance.

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oner can discontinue #remiums if the cash value allos it. And universal life

has a more fle0ible death benefit because the oner can select one of to

death benefit o#tions% 3#tion A and 3#tion B.

3#tion A #ays the face amount at death as it?s desi"ned to have the cash value

eual the death benefit at maturity (usually at a"e C= or 1ommon limited #ay #eriods

include 1


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commences is !non as the endoment a"e. Nndoments are considerably

more e0#ensive (in terms of annual #remiums) than either hole life or

universal life because the #remium #ayin" #eriod is shortened and the

endoment date is earlier.

In the United tates% the Technical >orrections Act of 1CDDti"htened the rules

on ta0 shelters (creatin" modified endoments). These follo ta0 rules

as annuitiesand I+As do.

Nndoment Insurance is #aid out hether the insured lives or dies% after a

s#ecific #eriod (e.". 1= years) or a s#ecific a"e (e.". ;=).

A$$iental #eath

Accidental death is a limited life insurance that is desi"ned to cover the

insured hen they #ass aay due to an accident. Accidents include anythin"

from an in$ury% but do not ty#ically cover any deaths resultin" from health

#roblems or suicide. Because they only cover accidents% these #olicies are

much less e0#ensive than other life insurances.

It is also very commonly offered as &accidental death and dismemberment

insurance&% also !non as anAD&D#olicy. In anAD&D#olicy% benefits are

available not only for accidental death% but also for loss of limbs or bodily

functions such as si"ht and hearin"% etc.

Accidental death andAD&D#olicies very rarely #ay a benefit either the

cause of death is not covered% or the covera"e is not maintained after the

accident until death occurs. To be aare of hat covera"e they have% an

insured should alays revie their #olicy for hat it covers and hat it

2;
http://en.wikipedia.org/w/index.php?title=Technical_Corrections_Act_of_1988&action=edit&redlink=1http://en.wikipedia.org/wiki/Endowment_policyhttp://en.wikipedia.org/wiki/Annuity_(US_financial_products)http://en.wikipedia.org/wiki/Accidental_death_and_dismemberment_insurancehttp://en.wikipedia.org/wiki/Accidental_death_and_dismemberment_insurancehttp://en.wikipedia.org/w/index.php?title=Technical_Corrections_Act_of_1988&action=edit&redlink=1http://en.wikipedia.org/wiki/Endowment_policyhttp://en.wikipedia.org/wiki/Annuity_(US_financial_products)http://en.wikipedia.org/wiki/Accidental_death_and_dismemberment_insurancehttp://en.wikipedia.org/wiki/Accidental_death_and_dismemberment_insurance


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e0cludes. 3ften% it does not cover an insured ho #uts themselves at ris! in

activities such asF #arachutin"% flyin" an air#lane% #rofessional s#orts% or

involvement in a ar (military or not). Also% some insurers ill e0clude death

and in$ury caused by #ro0imate causes due to (but not limited to) racin" on

heels and mountaineerin".

Accidental death benefits can also be added to a standard life insurance #olicy

as a rider. If this rider is #urchased% the #olicy ill "enerally #ay double the

face amount if the insured dies due to an accident. This used to be commonly

referred to as a double indemnitycovera"e. In some cases% some com#anies

may even offer a tri#le indemnity cover.

Life In3uran$e Prou$t3

+iders are modifications to the insurance #olicy added at the same time the

#olicy is issued. These riders chan"e the basic #olicy to #rovide some feature

desired by the #olicy oner. A common rider is accidental death% hich used

to be commonly referred to as &double indemnity&% hich #ays tice the

amount of the #olicy face value if death results from accidental causes% as if

both a full covera"e #olicy and an accidental death #olicy ere in effect on

the insured. Another common rider is #remium aiver% hich aives future

#remiums if the insured becomes disabled.

8oint life insurance is either a term or #ermanent #olicy insurin" to or more

lives ith the #roceeds #ayable on the first death or second death.

urvivorshi# lifeF is a hole life #olicy insurin" to lives ith the #roceeds

#ayable on the second (later) death.

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in"le #remium hole lifeF is a #olicy ith only one #remium hich is

#ayable at the time the #olicy is issued.

odified hole lifeF is a hole life #olicy that char"es smaller #remiums for

a s#ecified #eriod of time after hich the #remiums increase for the remainder

of the #olicy.

Grou# life insuranceF is term insurance coverin" a "rou# of #eo#le% usually

em#loyees of a com#any or members of a union or association. Individual

#roof of insurability is not normally a consideration in the underritin".

+ather% the underriter considers the si-e and turnover of the "rou#% and the

financial stren"th of the "rou#. >ontract #rovisions ill attem#t to e0clude the

#ossibility of adverse selection. Grou# life insurance often has a #rovision that

a member e0itin" the "rou# has the ri"ht to buy individual insurance

covera"e.

enior and #reneed #roductsF Insurance com#anies have in recent years

develo#ed #roducts to offer to niche mar!ets% most notably tar"etin"

the senior mar!et to address needs of an a"in" #o#ulation. any com#anies

offer #olicies tailored to the needs of senior a##licants. These are often lo to

moderate face value hole life insurance #olicies% to allo a senior citi-en

#urchasin" insurance at an older issue a"e an o##ortunity to buy affordable

insurance. This may also be mar!eted as final e0#ense insurance% and an a"ent

or com#any may su""est (but not reuire) that the #olicy #roceeds could be

used for end/of/life e0#enses.

2D


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Preneed (or #re#aid) insurance #oliciesF are hole life #olicies that% althou"h

available at any a"e% are usually offered to older a##licants as ell. This ty#e

of insurance is desi"ned s#ecifically to cover funerale0#enses hen the

insured #erson dies. In many cases% the a##licant si"ns a #refunded funeral

arran"ement ith a funeral homeat the time the #olicy is a##lied for. The

death #roceeds are then "uaranteed to be directed first to the funeral services

#rovider for #ayment of services rendered. ost contracts dictate that any

e0cess #roceeds ill "o either to the insured?s estate or a desi"nated

beneficiary.

In>e3tment Poli$ie3

;ith0profit3 poli$ie3'

ome #olicies allo the #olicyholder to #artici#ate in the #rofits of the

insurance com#any these are ith/#rofits #olicies. 3ther #olicies have no

ri"hts to #artici#ate in the #rofits of the com#any% these are non-profit#olicies.

Hith/#rofits #olicies are used as a form of collective investmentto achieve

ca#ital "roth. 3ther #olicies offer a "uaranteed return not de#endent on the

com#any?s underlyin" investment #erformance these are often referred to

as without-profit#olicies hich may be construed as a misnomer.

In>e3tment Bon3

PensionsF Pensions are a form of life assurance. oever% hilst basic life

assurance%#ermanent health insuranceand non/#ensions annuity business

includes an amount of mortalityor morbidity ris!for the insurer% for #ensions

there is a lon"evity ris!.

2C
http://en.wikipedia.org/wiki/Funeralhttp://en.wikipedia.org/wiki/Funeral_homehttp://en.wikipedia.org/wiki/With-profits_policyhttp://en.wikipedia.org/wiki/Collective_investmenthttp://en.wikipedia.org/wiki/Permanent_health_insurancehttp://en.wikipedia.org/w/index.php?title=Mortality_risk&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Morbidity_risk&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Longevity_risk&action=edit&redlink=1http://en.wikipedia.org/wiki/Funeralhttp://en.wikipedia.org/wiki/Funeral_homehttp://en.wikipedia.org/wiki/With-profits_policyhttp://en.wikipedia.org/wiki/Collective_investmenthttp://en.wikipedia.org/wiki/Permanent_health_insurancehttp://en.wikipedia.org/w/index.php?title=Mortality_risk&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Morbidity_risk&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Longevity_risk&action=edit&redlink=1


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A #ension fund ill be built u# throu"hout a #erson?s or!in" life. Hhen the

#erson retires% the #ension ill become in payment,and at some sta"e the

#ensioner ill buy an annuity contract% hich ill "uarantee a certain #ay/out

each month until death.

Annuitie3

An annuity is a contract ith an insurance com#any hereby the insured #ays

an initial #remium or #remiums into a ta0/deferred account% hich #ays out a

sum at #re/determined intervals. There are to #eriodsF the accumulation

(hen #ayments are #aid into the account) and the annuiti-ation (hen the

insurance com#any #ays out). I+ rules restrict ho you ta!e money out of an

annuity. istributions may beta0able andor #enali-ed.

Life In3uran$e >3( other Sa>in!3

7ontra$t Of In3uran$eF

A contract of insurance is a contract of utmost "ood faith technically !non as

uberrima fides. The doctrine of disclosin" all material facts is embodied in

this im#ortant #rinci#le% hich a##lies to all forms of insurance.

At the time of ta!in" a #olicy% #olicyholder should ensure that all uestions in

the #ro#osal form are correctly ansered. Any misre#resentation% non/

disclosure or fraud in any document leadin" to the acce#tance of the ris!

ould render the insurance contract null and void.

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Prote$tion'

avin"s throu"h life insurance "uarantee full #rotection a"ainst ris! of death

of the saver. Also% in case of demise% life insurance assures #ayment of the

entire amount assured (ith bonuses herever a##licable) hereas in other

savin"s schemes% only the amount saved (ith interest) is #ayable.

Ai To Thrift'

*ife insurance encoura"es ?thrift?. It allos lon"/term savin"s since #ayments

can be made effortlessly because of the ?easy instalment? facility built into the

scheme. (Premium #ayment for insurance is either monthly% uarterly% half

yearly or yearly).

7or e0am#leF The alary avin" cheme #o#ularly !non as % #rovides a

convenient method of #ayin" #remium each month by deduction from one?s

salary.

In this case the em#loyer directly #ays the deducted #remium to *I>. The

alary avin" cheme is ideal for any institution or establishment sub$ect to

s#ecified terms and conditions.

Li?uiit&'

In case of insurance% it is easy to acuire loans on the sole security of any

#olicy that has acuired loan value. Besides% a life insurance #olicy is also

"enerally acce#ted as security% even for a commercial loan.

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Ta@ Relief'

*ife Insurance is the best ay to en$oy ta0 deductions on income ta0 and

ealth ta0. This is available for amounts #aid by ay of #remium for life

insurance sub$ect to income ta0 rates in force.

Assessees can also avail of #rovisions in the la for ta0 relief. In such cases

the assured in effect #ays a loer #remium for insurance than otherise.

Mone& ;hen *ou Nee It'

A #olicy that has a suitable insurance #lan or a combination of different #lans

can be effectively used to meet certain monetary needs that may arise from

time/to/time.

>hildren?s education% start/in/life or marria"e #rovision or even #eriodical

needs for cash over a stretch of time can be less stressful ith the hel# of these

#olicies.

Alternatively% #olicy money can be made available at the time of one?s

retirement from service and used for any s#ecific #ur#ose% such as% #urchase

of a house or for other investments. Also% loans are "ranted to #olicyholders

for house buildin" or for #urchase of flats (sub$ect to certain conditions).

In3uran$e 7ompanie3 in Inia

In India% Insurance is a national matter% in hich life and "eneral insurance is

yet a boomin" sector ith hu"e #ossibilities for different "lobal com#anies% as

life insurance #remiums account to 2.=@ and "eneral insurance #remiums

account to


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India o#ened u# the insurance sector for #rivate com#anies to solicit

insurance% alloin" 7I u# to 2;@. ince then% the Insurance sector in India is

considered as a flourishin" mar!et amon"st "lobal insurance com#anies.

oever% the lar"est life insurance com#any in India is still oned by the

"overnment.

The history of Insurance in India dates bac! to 1D1D% hen 3riental *ife

Insurance >om#any as established by Nuro#eans in ol!ata to cater to their

reuirements. 9evertheless% there as discrimination amon" the life of

forei"ners and Indians% as hi"her #remiums ere char"ed from the latter. In

1Dom#any *td% founded in 1C


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Ba$a$ Allian- *ife Insurance >om#any *imited

Ba$a$ Allian- *ife Insurance is a union beteen Allian- N% one of the lar"est

Insurance >om#any and Ba$a$ 7inserv.

Allian- N is a leadin" insurance con"lomerate "lobally and one of the lar"est

asset mana"ers in the orld% mana"in" assets orth over a Trillion (3ver I9+.

==% anada. Hith an e0#erience of over a

decade% B*I has contributed to the "roth and develo#ment of the

Indian life insurance industry and currently is one of the leadin" life

insurance com#anies in the country.

,4
http://www.iloveindia.com/finance/insurance/companies/bajaj-allianz.htmlhttp://www.iloveindia.com/finance/insurance/companies/birla-sun-life-insurance.htmlhttp://www.iloveindia.com/finance/insurance/companies/bajaj-allianz.htmlhttp://www.iloveindia.com/finance/insurance/companies/birla-sun-life-insurance.html


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7)APTER II

BAJAJALLIANZ

Oou have alays tried your best to fulfill all your res#onsibilities and ta!e

care of your family. oever% life comes ith ris!s and unforeseen incidents

that can #ut your family?s financial security in $eo#ardy. Presentin" the Ba$a$

Allian- iecure Insurance Plan a level cover term assurance #lan that secures

your family?s financial needs by "ivin" you a level term cover for hi"h sum

assured% but at a lo cost.

Best Term Insurance Plan revie by i/save.com as featured in The NconomicTimes Health% Ba$a$ Allian-i ecure scores a 4 star ratin"

in Price% 7eatures% ervicin" and 3verall Performance.

Ta0 N0em#tion us D and 1


36/94

7le0ibilityto select your #olicy term of 1hoose either an individual or a $oint life cover

te# 2 F >hoose your sum assured(s)% i.e% life cover

te# , F >hoose your #olicy term and #remium #ayment freuency

,;
http://www.bajajallianz.com/Corp/term-insurance/isecure-insurance-plan.jsp?utm_source=homepage&utm_medium=isecicon&utm_campaign=homeex#flexibilitieshttp://www.bajajallianz.com/Corp/term-insurance/isecure-insurance-plan.jsp?utm_source=homepage&utm_medium=isecicon&utm_campaign=homeex#flexibilities


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te# 4 F If sum assured chosen is +s.2%


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=ISION MISSION

=i3ion

To be the first choice insurer for customer5s

To is the #referred em#loyer for staff in the insurance industry.

To be the number one insurer for creatin" shareholder value

Mi33ion

As a res#onsible% customer focused mar!et leader% e ill strive to understand

the insurance needs of the consumers and translate it into affordable #roducts

that deliver value for money.

Allian Group

Allian- Grou# is one of the orld?s leadin" insurers and financial services

#roviders.

7ounded in 1DC< in Berlin% Allian- is no #resent in over < countries ith

almost 14%


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Pro#erty and >asualty Insurance%

*ife and ealth Insurance%

Asset ana"ement and Ban!in".

Nasy access and reach across the country R

Ba$a$ Allian- *ife has offices no in over =1< tons across the country/

enablin" customer to buy our #roducts and "et uality efficient service almost

anyhere across the country

ALLIANZ AG0 A GLOBAL "INAN7IAL PO;ER)OUSE

Horldide 2nd by Gross Hritten Premiums / +s.4% 4;%;=4 cr.

,rd lar"est Assets Under ana"ement (AU) 6 lar"est amon"st Insurance

cos. / AU of +s.=1% C;%C=C cr.

12th lar"est cor#oration in the orld

4C.D @ of "lobal business from *ife Insurance

Nstablished in 1DClaim re#udiation ratio R 4.2@

>laim re$ection ratio R 1.;=@

,C


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He have one of the loest re#udiation re$ection #ercenta"e amon" #rivate

insurers.

Account value is refunded for re#udiated unit lin!ed #olicies.

Narly claims ith com#lete documents are settled ithin ,< days.

eaths in calamities are settled ith minimum documents and at less TAT.

e.". an"lore Air crash.

Ima"e R based #rocessin" introduced hich has reduced the turn around time

for claim settlement.

He settle @ of claims throu"h electronic mode for faster reali-ation of the

claim #roceeds.

He have a very broad based >laim +evie >ommittee.

In "* ,/+,0+5

3ur death settlement is the hi"hest amon" #rivate insurers.

>laim settlement ratio R C,.;,@

>laim re#udiation ratio R 4.2@

>laim re$ection ratio R 1.;=@

He have one of the loest re#udiation re$ection #ercenta"e amon" #rivate

insurers.

Account value is refunded for re#udiated unit lin!ed #olicies.

4


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Narly claims ith com#lete documents are settled ithin ,< days.

eaths in calamities are settled ith minimum documents and at less TAT.

e.". an"lore Air crash.

Ima"e R based #rocessin" introduced hich has reduced the turn around time

for claim settlement.

He settle @ of claims throu"h electronic mode for faster reali-ation of the

claim #roceeds.

He have a very broad based >laim +evie >ommittee.

Ba$a$ Allian- iecure Insurance Plan #rovides se#arate sets of #remium rates

for sum assured less than +s.2%


42/94

mo!ers

PRO#U7TS SER=I7ES

a9 Aitional Rier Benefit3

Oou can en$oy e0tra covera"e by choosin" the o#tional additional rider

benefits at a nominal e0tra cost. The riders available ith Ba$a$ Allian-

iecure Insurance Plan areF

Ba$a$ Allian- >om#rehensive Accidental Protection BenefitSBa$a$ Allian- >ritical Illness BenefitSS

Ba$a$ Allian- os#ital >ash BenefitSS

(Please refer to Additional +ider Benefit brochuresfor more details)

S The Ba$a$ Allian- >om#rehensive Accidental Protection (>AP) rider

includes the accidental death benefit% accidental #ermanent total#artial

disability benefit and aiver of #remium benefit.

SSos#ital >ash Benefit and >ritical Illness Benefit riders can be ta!en only

at ince#tion of the #olicy.

b) 3#tion to Ta!e an Individual or a 8oint *ife Policy

If you are married at #olicy ince#tion% then your s#ouse can be included only

at the ince#tion of the #olicy.

42
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43/94

If you ere not married at #olicy ince#tion% you may include your s#ouse after

your marria"e in your e0istin" individual #olicy. uch inclusion can ha##en at

any #olicy anniversary sub$ect toF

all the necessary #rocedures ith res#ect to the inclusion bein" com#leted

#rior to the #olicy anniversary.

the #olicy term #ost inclusion of your s#ouse (i) has to be eual to the

outstandin" term of your #olicy and (ii) sub$ect to such #olicy term bein"

available under the #lan% and satisfactory evidence of insurability% bein"

submitted as s#ecified by the com#any.

In a $oint life #olicy% on annulment of marria"e% the s#ouse ill be e0cluded

from the #olicy. oever% you can continue the #olicy on your life by

informin" the com#any and #ayin" #remiums ith res#ect to your life this

ill be calculated based on the a"e% lifestyle cate"ory (if a##licable)% sum

assured and #olicy term as at the ince#tion of the #olicy. 3nce e0cluded% the

second life cannot be included in the #olicy a"ain. If the annulment is not

informed to the >om#any% on the death of the second life% only the sum total

of the #remiums #aid from the date of se#aration (over and above the

#remium reuired for your individual #olicy)% ill be refunded. But the #olicy

may be continued on your life.

c) Alteration of Premium Payment 7reuency

Oou can chan"e the #remium #ayment freuency at any #olicy anniversary

durin" the term of the #olicy% sub$ect to the minimum #remium limits under

the #lan.

4,


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d) 3#tion to Ta!e eath Benefit in Annual Installments

Oour loved ones may not be in a #osition to determine the best suitable

financial #lan or to invest the #olicy #roceeds to su##ort their lifestyle% in case

of your unfortunate demise. He offer your nominee (both under the individual

and $oint life o#tion) the o#tion to receive the #olicy #roceeds in annual

installments over a settlement #eriod of 1< years from the date of death This

o#tion needs to be informed in ritin" to the com#any at the time of fillin"

the &eath >laim 7orm.&

The annual installment ill be an amount euivalent to (1


45/94

4=

Parameter Nli"ibility

inimum

Nntry A"e1D years

a0imumNntry A"e

;< years

inimum

um

Assured

+s.2=


46/94

The #lan offers attractive #remium rebates to you for choosin" hi"h sum assured. The hi"h

sum assured rebates (A+)% hich ill be a##lied on the tabular #remium varyin" by the

sum assured bands and the lifestyle cate"ories Preferred 9on/mo!er% 9on/mo!er and

mo!er. A#art from the A+ mentioned above% for a $oint life #olicy% $oint life rebate

(8*+) as mentioned belo is also availableF

X Total Gross #remium is the total of the

calculated #remiums for each individual life

after alloin" for any A+ for each

individual life

Term Insurance

Premiums #aid are eli"ible for ta0 benefits as #er ection D of the Income

Ta0 Act

eath benefit(s) are eli"ible for ta0 benefits as #er ection 1< (1


47/94

confidence and #eace of mind. All this is bac!ed by our su#erior claims

servicin" ca#ability and fast settlement record for vehicles insured by us.

>ashless settlement in over 1=ar Insurance #olicy #rovides the folloin" !ey benefitsF

Get your >ar Insurance or >ar Insurance +eneal in easy ste#s.

>ashless claims at over 1=laims Assistance and u#dates on your motor claim status

throu"h our 240 call/centers.

Ba$a$ Allian-?s #referred or!sho#s "ive you access to hassle/free

ins#ection and brin" to you hi"h service standards.

Roa3ie A33i3tan$e

4


48/94

This slideshare has been vieed &2;;C2;& times% vie no

+oadside assistance is a free add/on feature hich is available to all online

#olicies hen 24 assistance is o#ted for.

*oss or dama"e to your car and to/heeler a"ainst natural calamities

7ire% e0#losion% self/i"nition or li"htnin"% earthua!e% flood% ty#hoon%

hurricane% storm% tem#est% inundation% cyclone% hailstorm% frost% landslide and

roc!slide.

*oss or dama"e to your car and to/heeler a"ainst man/made calamities

Bur"lary% theft% riot% stri!e% malicious act% accident by e0ternal means% terrorist

activity% any dama"e in transit by road% rail% inland ateray% lift% elevator or

air.

Per3onal A$$ient 7o>er

>overa"e of +s. 1 la!h for the individual onerdriver of the vehicle hile

drivin" or travellin" and mountin" or dismountin" from the to/heeler.

4D
http://www.bajajallianz.com/Corp/motor-insurance/car-insurance.jsp?utm_source=homepage&utm_medium=caricon&utm_campaign=homeex#roadsidehttp://www.bajajallianz.com/Corp/motor-insurance/car-insurance.jsp?utm_source=homepage&utm_medium=caricon&utm_campaign=homeex#roadsidehttp://www.bajajallianz.com/Corp/motor-insurance/car-insurance.jsp?utm_source=homepage&utm_medium=caricon&utm_campaign=homeex#roadside


49/94

3#tional #ersonal accident covers for co/#assen"ers available.

Thir Part& Le!al Lia%ilit&

Protection a"ainst le"al liability due to accidental dama"es resultin" in the

#ermanent in$ury or death of a #erson% and dama"e caused to the surroundin"

#ro#erty

In these times of risin" medical costs% Ba$a$ Allian-?s ealth Guard 7amily

7loater 3#tion is the #erfect health #rotection for you and your family. It ta!es

care of the e0#ensive medical treatment incurred durin" hos#itali-ation

resultin" from serious illness or accident.

Oou ant to #rotect your family% but risin" medical e0#enses mean that an

unforeseen accident or illness can #ut your savin"s / and their future / in

$eo#ardy. Protect your family ith the Ba$a$ Allian- 7amily 7loater ealth

Guard. This all/round health insurance #olicy covers you and your family

a"ainst medical e0#enses such as hos#itali-ation% doctor?s consultation%

dia"nostic tests% medicines% ambulance% etc. 9o you never have to orry

about runnin" out of cash hen it comes to your family?s treatment.

Be3t )ealth In3uran$e in Inia

on?t "o only by #remium% The claim settlement record of the com#any is also

im#ortant.

4C


50/94

alue Added ervices refers to advanced andor additional services "iven to

customers. Oou can save u#to ,ard ma!es you eli"ible for a number of discounts at

health and fitness centers across the country.

OP# i3$ount3 at 3ele$t outlet3(

#i3$ount3 on Patholo!ie3 at 3ele$t outlet3(

#i3$ount on Raiolo!& at 3ele$t outlet3(

#i3$ount3 on ;ellne33 Te3t at 3ele$t outlet3(

#i3$ount3 on Pharma$&(

Man& more lu$rati>e health relate offer3 at 3ele$t outlet3(

=


51/94

>umulative bonus of =@ to your *imit of Indemnity for every claim free year.

=@ cumulative bonus benefit for each claim free year% ma0imum u# to =


52/94

ealth chec!/u# at desi"nated Ba$a$ Allian- dia"nostic centers or

reimbursement u#to +s.1ontrol over >laims ettlement and >ustomer service.

eet the best ealth Administration Team

It?s common !noled"e that buyin" health insurance hel#s you to save ta0.

Under ection D


53/94

benefit of +s.1=


54/94

The health insurance #remium must be #aid from your ta0able income of that

year only if you ant to claim a deduction. If you have #aid the #remium from

your savin"s or from "ifts of money received by you% then you ill not be

eli"ible to claim ta0 benefit under ection Dovers e0#enses of hos#itali-ation% loss of ba""a"e and other incidental

e0#enses

>overs you a"ainst tri# cancellation% tri# curtailment and bur"lary of your

homeS

Cui$1 i3%ur3ement of $laim3

Global e0#ertise matched ith local !noled"e

Innovative #ac!a"es to match individual needs

3nly insurance com#any ith in/house international toll/free numbers and fa0

numbers

S3ffered only ith Travel Nlite

oes your travel #olicy offer cashless serviceY

Oes. 3ur travel #olicy offers direct settlement for in/hos#ital medical e0#enses

abroad (sub$ect to #olicy terms and conditions and sub/limits).

=4


55/94

Travel >om#anion Plan

Travel Nlite Plan

The Travel >om#anion and overseas travel insurance #olicy is a

com#rehensive #ac!a"e hich #rovides com#lete medical and health cover to

the international traveller.

Travel >are Travel ecure Travel alue>overa"es Benefit in UJ Benefit in UJ Benefit in UJ

edical

N0#enses%Nvacuatio

n

and +e#atriation

=


56/94

um Assured in

res#ect of the death

of the insured #erson

belo the a"e of 1D

years

*oss of #ass#ort 2=< 2=< 2=ashGain / >hild Insurance ill hel# you ta!e on any

such o##ortunities that come your child?s ayZ

Plannin" Better for Oour >hild?s 7utureZ

=C
http://www.slideshare.net/slideshow/embed_code/15097064


60/94

Plan ariants

Oou need to choose your sum assured (life cover) as a multi#le of the base

sum assured% from the folloin" four (4) #lan variantsF

ilver / ith sum assured eual to the base sum assured

Gold / ith sum assured eual to tice the base sum assured

iamond / ith sum assured eual to thrice the base sum assured

Platinum / ith sum assured eual to uadru#le the base sum assured

The surrender value% survival benefit and the maturity benefit ill be

determined on the basis of only the base sum assured under your #olicy.

Planariants

ilver Gold iamond Platinum

um

Assured is

eual to

Base um

Assured

ouble the Base

um Assured

Tri#le the Base

um Assured

Euadru#le the

Base um Assured

Ta@ E@emption u23 D/879 +/8+/9#

elect u# to 4 times your base sum assured as life cover/u#er

>ashGain / Platinum

;


61/94

3#tion to select #olicy term of 12% 1;% 2< or 24 years.

Benefit from shorter #remium #ayment term as no #remiums are

#ayable for the last five #olicy years.

Get 2


62/94

+s.1%=< #er Euarterly Installment

+s.;ash/Bac! 2nd >ash/Bac! ,rd >ash/Bac!

12 ,rd Oear ;th Oear Cth Oear

1; 4th Oear Dth Oear 12th Oear

2< =th Oear 1


63/94

Oou ill have the o#tion to surrender your #olicy anytime after , years%

#rovided at least , year?s #remiums have been #aid.

Plannin" Better for Oour >hild?s 7utureZ

>hildren are the "reatest "ift from God and

e elcome them ith "reat $oy and enthusiasm....

Premium Pa&ment fle@i%ilit&

Oou may ad$ust your cash/bac!s a"ainst your immediate 6 future #remium.

Oou may% also% #ay your #remiums in advance in lum# sums and "et discount

on #remiums that are #aid in advance.

Aitional Rier Benefit3

Oou can en$oy e0tra covera"e by choosin" the o#tional additional rider

benefits at a nominal e0tra cost.

The riders available ith Ba$a$ Allian- u#er >ashGain Insurance Plan areF

Ba$a$ Allian- u##lementary eath Benefit

Ba$a$ Allian- >om#rehensive Accidental Protection BenefitS

Ba$a$ Allian- 7amily Income Benefit

;,
http://investmentinsights.bajajallianz.com/insights/index.php/articles/planning-better-for-your-childs-future/?utm_source=supercashgain&utm_medium=articlelink&utm_campaign=contentonpage


64/94

Ba$a$ Allian- >ritical Illness Benefit

Ba$a$ Allian- os#ital >ash Benefit

(Please refer to Additional +ider Benefit brochures for more details)

SThe Ba$a$ Allian- >om#rehensive Accidental Protection (>AP) rider

includes the accidental death benefit% accidental #ermanent total#artial

disability benefit and aiver of #remium benefit

Ba$a$ Allian- *ife Insurance >o. *td. is a $oint venture beteen to leadin"

con"lomerates/% Ba$a$ Auto% one of the bi""est 2 and , heeler manufacturers

in the orld and Allian- AG% one of the orld?s lar"est insurance com#anies.

Baa Allian Life In3uran$e

Is the fastest "roin" #rivate life insurance com#any in India

>urrently has over 4%4om#any has an authori-ed and #aid u# ca#ital of +s

;4


65/94

11< crores. Ba$a$ Auto holds 4@ and Allian-% AG% holds the remainin" 2;@

Germany.

In its first year of o#erations% the com#any has acuired the 9o. 1 status

amon" the #rivate non/life insurers. As on ,1st arch 2


66/94

BAJAJ GROUP

Ba$a$ Auto *td% the fla"shi# com#any of the +s. D


67/94

7OMPETITORS

I7I7I Pruential Life In3uran$e 7o( Lt(

O>er>iew

I>I>I Prudential *ife Insurance >om#any is a $oint venture beteen I>I>I

Ban!% a #remier financial #oerhouse% and Prudential #lc% a leadin"

international financial services "rou# headuartered in the United in"dom.I>I>I Prudential as amon"st the first #rivate sector insurance com#anies to

be"in o#erations in ecember 2I>I Prudential *ife?s ca#ital stands at +s. 4%C, crores (as of arch ,1%

2I>I Ban! and Prudential #lc holdin" 4@ and 2;@ sta!e

res#ectively. 7or the financial year 2


68/94

This e ho#e to achieve byF

Understandin" the needs of customers and offerin" them su#erior #roducts

and service

*evera"in" technolo"y to service customers uic!ly% efficiently and

conveniently

evelo#in" and im#lementin" su#erior ris! mana"ement and investment

strate"ies to offer sustainable and stable returns to our #olicyholders

Providin" an enablin" environment to foster "roth and learnin" for our

em#loyees

And above all% buildin" trans#arency in all our dealin"s

The success of the com#any ill be founded in its unflinchin" commitment to

= core values // Inte"rity% >ustomer 7irst% Boundaryless% 3nershi# and

Passion. Nach of the values describe hat the com#any stands for% the

ualities of our #eo#le and the ay e or!.

He do believe that e are on the threshold of an e0citin" ne o##ortunity%

here e can #lay a si"nificant role in redefinin" and resha#in" the sector.

Given the uality of our #arenta"e and the commitment of our team% there are

no limits to our "roth.

=alue3 '

Nvery member of the I>I>I Prudential team is committed to = core valuesF

Inte"rity% >ustomer 7irst% Boundaryless% umility% and Passion. These values

shine forth in all e do% and have become the !eystones of our success.

PROMOTERS

I7I7I Ban1 8ta1en from the pre33 relea3e of I7I7I Ban19

I>I>I Ban! *imited (9ONFIB9) is India?s one of the leadin" #rivate sector

ban! and the second lar"est ban! in the country% ith consolidated total assets

;D


69/94

of UJ 111 billion at 8une ,I Ban!?s subsidiaries include India?s

one of the leadin" #rivate sector insurance com#anies and amon" its lar"est

securities bro!era"e firms% mutual funds and #rivate euity firms. I>I>I

Ban!?s #resence currently s#ans 1C countries% includin" India.

A%out Pruential Pl$ 8ta1en from the pre33 relea3e of Pruential Pl$9

Prudential #lc is incor#orated in Nn"land and Hales% and its affiliated

com#anies constitute one of the orld?s leadin" financial services "rou#s. It

#rovides insurance and financial services throu"h its subsidiaries and affiliates

throu"hout the orld. It has been in e0istence for over 1;< years and has [,;,

billion in assets under mana"ement (as at ,< 8une 2


70/94

ING =&3&a Life In3uran$e 7ompan& Lt(

A%out the $ompan&

I9G ysya *ife Insurance >om#any *imited is an established life insurance

com#any ith over a decade of e0#erience servin" over I million customers in

over 2om#any% are also the leadin" battery brands in the country.


71/94

Life In3uran$e 7orporation of Inia

The story of insurance is #robably as old as the story of man!ind. The same

instinct that #rom#ts modern businessmen today to secure themselves a"ainst

loss and disaster e0isted in #rimitive men also. They too sou"ht to avert the

evil conseuences of fire and flood and loss of life and ere illin" to ma!e

some sort of sacrifice in order to achieve security. Thou"h the conce#t of

insurance is lar"ely a develo#ment of the recent #ast% #articularly after the

industrial era R #ast fe centuries R yet its be"innin"s date bac! almost ;om#any (1DC;) as

also one of such com#anies ins#ired by nationalism. The adeshi movement

of 1C


72/94

adras% 9ational Indian and 9ational Insurance in >alcutta and the >o/

o#erative Assurance at *ahore ere established in 1Com#any too! its birth in one of the rooms of the

8orasan!o% house of the "reat #oet +abindranath Ta"ore% in >alcutta. The

Indian ercantile% General Assurance and adeshi *ife (later Bombay *ife)

ere some of the com#anies established durin" the same #eriod. Prior to 1C12

India had no le"islation to re"ulate insurance business. In the year 1C12% the

*ife Insurance >om#anies Act% and the Provident 7und Act ere #assed. The

*ife Insurance >om#anies Act% 1C12 made it necessary that the #remium rate

tables and #eriodical valuations of com#anies should be certified by an

actuary. But the Act discriminated beteen forei"n and Indian com#anies on

many accounts% #uttin" the Indian com#anies at a disadvanta"e.

The first to decades of the tentieth century sa lot of "roth in insurance

business. 7rom 44 com#anies ith total business/in/force as +s.22.44 crore% it

rose to 1; com#anies ith total business/in/force as +s.2CD crore in 1C,D.

urin" the mushroomin" of insurance com#anies many financially unsound

concerns ere also floated hich failed miserably. The Insurance Act 1C,D

as the first le"islation "overnin" not only life insurance but also non/life

insurance to #rovide strict state control over insurance business. The demand

for nationali-ation of life insurance industry as made re#eatedly in the #ast

but it "athered momentum in 1C44 hen a bill to amend the *ife Insurance

Act 1C,D as introduced in the *e"islative Assembly. oever% it as much

later on the 1Cth of 8anuary% 1C=;% that life insurance in India as

nationali-ed. About 1=4 Indian insurance com#anies% 1; non/Indian

com#anies and = #rovident ere o#eratin" in India at the time of

nationali-ation. 9ationali-ation as accom#lished in to sta"es initially the

2


73/94

mana"ement of the com#anies as ta!en over by means of an 3rdinance% and

later% the onershi# too by means of a com#rehensive bill. The Parliament of

India #assed the *ife Insurance >or#oration Act on the 1Cth of 8une 1C=;% and

the *ife Insurance >or#oration of India as created on 1st e#tember% 1C=;%

ith the ob$ective of s#readin" life insurance much more idely and in

#articular to the rural areas ith a vie to reach all insurable #ersons in the

country% #rovidin" them adeuate financial cover at a reasonable cost.

*I> had = -onal offices% ,, divisional offices and 212 branch offices% a#art

from its cor#orate office in the year 1C=;. ince life insurance contracts are

lon" term contracts and durin" the currency of the #olicy it reuires a variety

of services need as felt in the later years to e0#and the o#erations and #lace

a branch office at each district headuarter. +e/or"ani-ation of *I> too! #lace

and lar"e numbers of ne branch offices ere o#ened. As a result of re/

or"anisation servicin" functions ere transferred to the branches% and

branches ere made accountin" units. It or!ed onders ith the

#erformance of the cor#oration. It may be seen that from about 2 has tied u# ith some

Ban!s and ervice #roviders to offer on/line #remium collection facility in

selected cities. *I>5s N> and AT #remium #ayment facility is an addition

,


74/94

to customer convenience. A#art from on/line ios!s and I+% Info >entres

have been commissioned at umbai% Ahmedabad% Ban"alore% >hennai%

yderabad% ol!ata% 9e elhi% Pune and many other cities. Hith a vision of

#rovidin" easy access to its #olicyholders% *I> has launched its ATN**ITN

APA+ offices. The satellite offices are smaller% leaner and closer to the

customer. The di"itali-ed records of the satellite offices ill facilitate

anyhere servicin" and many other conveniences in the future.

*I> continues to be the dominant life insurer even in the liberali-ed scenario

of Indian insurance and is movin" fast on a ne "roth tra$ectory sur#assin"

its on #ast records. *I> has issued over one crore #olicies durin" the current

year. It has crossed the milestone of issuin" 1% to ta!e this messa"e of

#rotection to li"ht the lam#s of security in as many homes as #ossible and to

hel# the #eo#le in #rovidin" security to their families.

ome of the im#ortant milestones in the life insurance business in India areF

1D1DF 3riental *ife Insurance >om#any% the first life insurance com#any on

Indian soil started functionin".

1D


75/94

1C12F The Indian *ife Assurance >om#anies Act enacted as the first statute to

re"ulate the life insurance business.

1C2DF The Indian Insurance >om#anies Act enacted to enable the "overnment

to collect statistical information about both life and non/life insurance

businesses.

1C,DF Narlier le"islation consolidated and amended to by the Insurance Act

ith the ob$ective of #rotectin" the interests of the insurin" #ublic.

1C=;F 24= Indian and forei"n insurers and #rovident societies are ta!en over

by the central "overnment and nationalised. *I> formed by an Act of

Parliament% vi-. *I> Act% 1C=;% ith a ca#ital contribution of +s. = crore from

the Government of India.

The General insurance business in India% on the other hand% can trace its roots

to the Triton Insurance >om#any *td.% the first "eneral insurance com#any

established in the year 1D=< in >alcutta by the British.

ome of the im#ortant milestones in the "eneral insurance business in India

areF

1C


76/94

1C2F The General Insurance Business (9ationalisation) Act% 1C2

nationalised the

"eneral insurance business in India ith effect from 1st 8anuary 1C,.

1om#any *td.% the 9e India Assurance >om#any *td.% the

3riental Insurance >om#any *td. and the United India Insurance >om#any

*td. GI> incor#orated as a com#any.

O%e$ti>e3 of LI7

#read *ife Insurance idely and in #articular to the rural areas and to

the socially and economically bac!ard classes ith a vie to reachin"

all insurable #ersons in the country and #rovidin" them adeuate

financial cover a"ainst death at a reasonable cost.

a0imi-e mobili-ation of #eo#le?s savin"s by ma!in" insurance/lin!ed

savin"s adeuately attractive.

Bear in mind% in the investment of funds% the #rimary obli"ation to its

#olicyholders% hose money it holds in trust% ithout losin" si"ht of the

interest of the community as a hole the funds to be de#loyed to the

best advanta"e of the investors as ell as the community as a hole%

!ee#in" in vie national #riorities and obli"ations of attractive return.

>onduct business ith utmost economy and ith the full reali-ation

that the moneys belon" to the #olicyholders.

Act as trustees of the insured #ublic in their individual and collective

ca#acities.

eet the various life insurance needs of the community that ould arise

in the chan"in" social and economic environment.

;


77/94

7)APTER III

RESEAR7) MET)O#OLOG*

The +esearch methodolo"y ado#ted in the study/1 is >onclusive in nature

and the collection of the data is done throu"h the secondary source i.e.

internet% com#anies broachers etc.

#ES7RIPTI=E RESEAR7) STU#*'(

In this ty#e of research study the researcher must able to define clearly%

hat he ants to measure and must find adeuate methods measurin" it

alon" ith the clear cut definition of #o#ulation he ants to study. ince

the aim of study is to obtain com#lete and accurate information% the

#rocedure must be carefully #lanned .The desi"n in such studies must be

ri"id and ri"id.In #lannin" and desi"nin" a s#ecific research #ro$ect it is

necessary to antici#ate all the ste#s that must be under ta!en if the #ro$ect

is to be successful in collectin" valid 6 reliable information. If it ere

bro!en don into very small #arts or activities% the mar!etin" research

#rocess ould consist of a "reat no of ste#s ////

Spe$if&in! re3ear$h o%e$ti>e3(

Pre#arin" a list of the needed information.

esi"nin" the data collection #ro$ect.

electin" a sam#le ty#e.


78/94

eterminin" a sam#le si-e.

3r"ani-in" and carryin" out the fieldor!.

Analy-in" the collected data and re#ortin" the findin"s.

The com#arison is shon throu"h the table on the ne0t #a"e

In that study hat e found is that there is no restriction in the entry

a"e of the U*IP offered by the BA8A8 A**IA9: life insurance

com#any but on all other ( e0ce#t I>I>I P+U ) there is some restriction

on the loer a"e. The maturity #eriod of the U*IP is differs from com#any to com#any

but it is hi"hest in case of Birla sun life as far as the #ayment of

#remium is concerned BA8A8 A**IA9: life insurance has all the

o#tion hereas Birla sun life doesn5t ant any ty#e of fle0ibility in the

#ayment of #remium and I>I>I has only yearly #remium #ayment term. The >eilin" on the loer level of #remium is lo in case of all e0ce#t

icici #rudential. 3n account of death benefit all the com#anies is "ivin"

different ty#es of benefits to their U*IP holders. The #re/matured

ithdraal is also alloed in all the cases but in case of Birla sun lifethe customer needs to #ay some char"es on account of #re/matured

ithdraal hich they called as surrender char"es. In case of Ba$a$

Allian- life Insurance and Birla sun life% #olicy fund is "iven to the

#olicy holder on maturity. The "uaranteed benefits of Ba$a$ Allian- *ife Insurance >om#any have

no other substitute. The hos#ital cash benefit ma!e the com#any

different from others and also some ta0 benefits are also their us D)

and 1< 1


79/94

After collection the data the most im#ortant #art comes hich is data analysis.

It is the most si"nificant #art of the research. Hhole or! re"ardin" data de#e

nds u#on the data collection. urin" the #eriod of summer trainin" I have

collected my data in the area of *uc!no 6 some #arts of *uc!no. 7or the

collection of data I had "one to the mar!et% "athered #laces li!e malls% fun

>inema halls% and the other "athered #laces here I can "et the #otential

customer. As the #lans of Ba$a$ Allian- tar"et medium income level in the

urban area. The minimum #remium of the #olicy is 12%


80/94

I have "otten mostly #erson ithin 1 because

it is #ublic sector industry and from lots of years it is connected ith the

#ublic. o #ublic believe it more than other insurance com#any.

As in the mar!et out of hundred #eo#le = then 1D @ #eo#le say about I>I>I and

then1@ #eo#le recall 7> tandard life and rest #eo#le recall other.

C,()ow man& time3 &ou ha>e in>e3te &our mone& in in3uran$e

3e$tor without $on3ultin! to an& "inan$ial 7on3ultant.

D

Ba$a$Alian-

I>I>I

7>


81/94

An30$on3ultin! with Baa Allian

In this survey I have analyses that mostly #eo#le de#endent u#on financial

consultant for the investment of their money in the insurance sector. 7inancial

>onsultant #ays main role in the insurance sector re"ardin" sales

of #olicies. 7or the distribution enhancement of the #olicy Ba$a$ Allian- it is

most im#ortant that it should "ive more #reference to its financial consultant.

It should offer attractive commission to the financial consultant so that they

or! for the or"ani-ation by heart. It is financial consultant ho consults ith

the #eo#le and convinces them for investin" their money in the res#ective

insurance com#any. In the mar!et there is certainly I>I>I

#rudential have more financial consultant than Ba$a$ Allian- There are 1

insurance com#anies in the mar!et and they are tryin" to increase their mar!et

share and for this #ur#ose they ill definitely "ive more benefit to #ublic so

that they may a"ree to become financial consultant.

C5(Are &ou aware of the a>erti3ement of )ealt In3uran$e Poli$&HF if

&e3 then are &ou a%le to uner3tan what it a$tuall& want to 3a&F

D1


82/94

Ans F/hen I tal!ed to the #eo#le in this re"ard then he re#lied that they

areaare about the this Policy and I am tal!in" about Ba$a$ Allian-. It shos

our advertisement is ma!in" #lace in the mind of the customer. They are

aare of our insurance com#any. It ill develo# faith on

the industry and hel# to the financial consultant of the Ba$a$ Allian- to

convince them because advertisement have maid their or! to tell them itis a

renounce com#any and they ill not cheated by this com#any.

69"or the in>e3tment in in3uran$e 3e$tor &ou $hoo3e $ompan& or

&our in>e3tment %a3e upon the finan$ial $on3ultant(

D2


83/94

AnsF/Throu"h this uestion I ill be able to !no that role of the financial

consultant.

7> chooself

Throu"h the "ra#h I can analy-e that most of the investment is done throu"h

financial consultant. ,2 #ersons out of 1


84/94

A9/ because Ba$a$ Allian- "ives only commission to the financial consultant

on each #olicy. ostly #erson don5t ant to or! on commission basis. He

all !no that insurance sector have lots of money and here you can earn

enou"h money but it is a challen"in" $ob. If com#any ill "ive fi0 salary to

the financial consultant then it ill "et more financial consultant. A financial

consultant "ets minimum 2er in>e3te &our mone& in Baa AllianF

AnsF/7rom 1ertainly the mar!et share of this com#any is not com#arable to the

D4


85/94

*I> but hen e tal! about #rivate sector com#anies all com#anies are

movin" around this minimum value. Till today mostly #eo#le ant to invest in

#ublic sector ban! li!e *I>. >ustomer is loyal for *I>. But Ba$a$ Allian- e is

also tryin" to increase its mar!et share.

.9)a>e &ou !otten $all3 for the in>e3tment in Baa Allian for in3uran$eF

AnsF/

Oes 9o

3ut of hundred #eo#le only ,2 #eo#le have "otten calls for investment in

Ba$a$ Allian-. This data shoin" that #eo#le is "ettin" call for investment but

only fe invest their money. It shos that It has to im#rove its mar!etin"

system and the recruit more financial >onsultant for #rovidin" better service

so that more #erson ta!e interest in it. Analysis of the recruitment of 7inancial

>onsultant

In the recruitment of financial consultant I have recruited 12 financial

consultants. In the #rocess of recruitment of financial consultant I found that

most of the #erson "enerally doesn5t ant to or! on commission basis. I

have recruited him havin" shon the dream li!e thisF/I have divide mar!et on

D=


86/94

to #arts. In the first #art I have divided #eo#le into to #arts 1st ho are

businessman and 2nd em#loy or student.

1st Business manF/There are certain benefits if any businessman $oins

insurance sector li!e Ba$a$ Allian- as a financial consultant. The table is "iven

belo.

2nd Nm#loy or tudentF/7or the recruitment of em#loy and student I have

made dreams hich suit them. The benefits re"ardin" 7> if they ill be a

7> are "iven belo.

a. Performance a##raisal of the em#loy

b. Ta0 savin"c. 1=


87/94

them better #resentation and try to understand him ho it ill hel# you then

they ill definitely $oin it. In the mar!et there are 1 insurance

com#anies. All these com#any are recruitin" financial consultant but

Ba$a$ Allian- * is "ivin" a normal tar"et to their financial to their 7> hich

can be easily achieved by 7>. That5s hy ta!in" more interest in this Ba$a$

Allian- hile the char"es for ma!in" 7> is +s.C2= and +s.D2=. urin" the

recruitment of financial consultant I have recruited 12financial consultants. In

these consultants 4 #eo#le is doin" BA% 1 #eo#le is doin" A. and C are the

em#loy of different or"ani-ation hile the other are doin" 1 are doin" B>A. I

have tried to fulfill score of 7>. urin" the recruitment of financial

consultant I have recruited 12 7> hile . The main com#etitor of Ba$a$ Allian- is I>I>I P+UN9>IA* and *I>.

Today Ba$a$ Allian- is no. one #osition in insurance. It has also "otten most

trusted com#any aard of 2 "ives only 1= @ #remium

to their 7>. Ba$a$ Allian- "ives #riority to uality only. Euantity doesn5t

matter for it% but other com#any li!e I>I>I "ives #riority to uantity then

uality. I can say that the criteria% vie% vision% mission of Ba$a$ Allian- is

not com#arable to the other com#any and because of these it "ives more

reliability% and benefits to their em#loy and their customer. In elhi and 9>+

re"ion is s#readin" their branch for more and more mar!et share and hel# in

"ettin" business.

D


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7)APTER =

7ON7LUSION

DD


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Ba$a$ Allian- is the renounce industry in the insurance sector. It believes in

uality not in uantity. Ba$a$ Allian- have total 12 "rou# com#aniesany.In the

insurance sector main or! is done by the financial consultant ho brin"s

business to the industry. It "ives more #riority for the recruitment of financial

consultant that5s hy it has setu# =/s core. It "ives #riority that is

#rofessional li!e as BA% >A% N9GI9NN+% 3>T3+% *AON+% A9

3TN+ P+37NI39A*.

urin" summer trainin" I have "iven #resentation I try to contact

those #erson to hom I !no and contact them for the #ur#ose of financial

consultant. In this #rocess I have recruited 12 #eo#le ho are either >A%

BA% 37THA+N N9GI9NN+% TUN9T .It "ives more facilities to their

em#loy and #rovides better o##ortunity to their em#loy for #romotion because

it has minimum tar"et for fulfillment. 7> have to "ive ,; #olicy or ,;< lac!

#remium ith in si0 months hich less in com#arison to the other insurance

industry and for elhi re"ion here the transaction of money is too hi"h. 7>

has chances to become sales develo#ment mana"er ith in si0 month months

hen he fulfills the tar"et. The #ost of is based on #ayroll. e ill "et

#ac!a"e of 2.= lac! #er year. India is one of the most lucrative financial

services mar!et in the orld. The insurance mar!et in India is estimated to be

around 4


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ran!ed loest in terms of consumer interest. >onsumers may not be even

aare of either the need or e0istence of this #roduct. istorically% Indian

insurance #roducts are sold for ron" reasons. Peo#le buy insurance to avail

the ta0 benefit and not to ensure #rotection and *I> as ha##y to obli"e.

ence most of the sales tal!s start ith the uestion & o much do you #ay

ta0Y& . *ittle money as s#ent on brand buildin" because there as no

com#etition for *I>. Thin"s have no chan"ed. Hith the increasin" financial

literacy% volatilee conomy and uncertain future are #rom#tin" Indians to loo!

seriously at insurance as a means for #rotection rather than ta0 savin"

instrument. Hith more #rivate #layers enterin" the domain% the issues of

differentiation and brandin" became im#ortant. Ba$a$ Allian- is one of the

ma$or #layers in the insurance mar!et. 3ne of the first #rivate insurers to enter

the mar!et% Ba$a$ Allian- entered the scene in 2I>I fi"htin" at ,rd #lace ith around .=@. Ba$a$

Allian- is currently focusin" on The Pension Plan and the >hild Plan aimin"to

cash in on the #otential of these se"ments. The #ension mar!et in India is

estimated to be around 1


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Hhen e tal! about su""estion I thin! I have small e0#erience of

this sector but hatever I have #ointed out hich are thus.

In the recruitment of financial consultant I found that mostly #erson don5t

ant to "ive rs.C2= or rs.D2=. I have faced some difficulties hen they don5t

a"ree to "ive this much amount. If the com#any ill less this char"e then it

ill "et more 7>.

It should or"ani-e ea!ly meetin" ith 7> for the business and "ive

a##raisal trainin" to 7>. It or!s as a #erformance a##raisal of the 7>.

It should "ive monthly #arty to the 7> for the attachment ith the industry.

It should "ive cano#y facility to > or +> for the recruitment of 7> and

if it ill "ive cano#y facility to 7> then they can "ive more facility.

Generally e buy only that thin" hatever e see. It means that its hould

s#end more on advertisement. 3ther insurance industry li!e *I> and I>I>I

advertise mostly throu"h banner on metro station% on road and advertise in the

cinema hall. Add more and more movie hall for the advertisement.

7)APTER =II

BIBLIOGRAP)*

C1


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Boo!s 3ne

author Phili# otler5s mar!etin" mana"ement%

identifyin" mar!et se"ment and tar"ets. Pa"e2onnectin" ith customer

value #a"e 11;a"a-inesBroser "iven by 7>*a"a-ine related ith

7> Internet 9ame of si"ht on netF/ hdfcstandard life insurance.

comhtt#F.I+A .com

(htt#F.#ersmin.nic.in)

htt#F.irdaindia.or"ins]ombusman.htm

(U+*Fhtt#F.irdaindia.or")

adite^icfdc.com)

L.ba$a$allian-.comM

7)APTER =III

C2
http://www.persmin.nic.in/http://www.irdaindia.org/ins_ombusm

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