1.1 INTRODUCTION: A historical financial performance engagement is an analysis of a companys past and current financial performance and compares such performance to similar sized companies within its industry providing insight into a companys historical growth, profitability, debt capacity and overall liquidity. All such factors can be important indicators of a companys ultimate value. To calculate current ratio of the company from the balance sheet of past two years. A financial performance analysis may provide the following benefits: Identify financial strengths and weaknesses and evaluate financial performance in relation to the industry performance as a whole, and acquire useful information concerning competitors. Historical financial ratio analysis can be used as an effective preliminary step in preparing a budget or in making a forecast. Evaluate past performance and set objectives for future performance. Also provides an ongoing means to evaluate a companys performance financially. A greater awareness of financial statements and their interrelationship can lead to improved profitability or cash flow.

1.2 OBJECTIVES OF THE STUDY: To know the detail about the functions of insurance sector. To conduct SWOT analysis for IDBI FEDERAL INSURANCE CO LTD. To learn about the Organization structure of IDBI FEDERAL INSURANCE CO LTD. To know about the sales structure of the company. To know about the method of recruitment process.

1.3 SCOPE OF THE STUDY: This study helps to understand the practical exposure of the organization. This study helps to find the extend level of divisions in Tamilnadu. This study is about the processing and activities of the Insurance Company.

2 .1 INDUSTRIAL PROFILE: Almost 4,500 years ago, in the ancient land of Babylonia, traders used to bear risk of the caraan trade by giving loans that had to be later repaid with interest when the goods arrived safely. In 2100 BC, the Code of Hammurabi granted legal status to the practice. That, perhaps, was how insurance made its beginning.Life insurance had its origins in ancient Rome, where citizens formed burial clubs that would meet the funeral expenses of its members as well as help survivors by making some payments. As European civilization progressed, its social institutions and welfare practices also got more and more refined. With the discovery of new lands, sea routes and the consequent growth in trade, medieval guilds took it upon themselves to protect their member traders from loss on account of fire, shipwrecks and the like. Since most of the trade took place by sea, there was also the fear of pirates. So these guilds even offered ransom for members held captive by pirates. Burial expenses and support in times of sickness and poverty were other services offered. Essentially, all these revolved around the concept of insurance or risk coverage. Thats how old these concepts are, really. In 1347, in Genoa, European maritime nations entered into the earliest known insurance contract and decided to accept marine insurance as a practice.The first Step Insurance owes its existence to 17th century in England. In fact, it began taking shape in 1688 at a rather interesting place called Lloyds Coffee House in London, where merchants, ship-owners and underwriters met to discuss and transact business. By the end of the 18th century, Lloyds had brewed enough business to become one of the first modern insurance companies.

Insurance and MythBack to the 17th century, In 1693, astronomer Edmond Halley constructed the first mortality table to provide a link between the life insurance premium and the average life spans based on statistical laws of mortality and compound interest. In 1756, Joseph Dodson reworked the table, linking premium rate to age.2.2 Life Insurance in IndiaInsurance in India can be traced to the Vedas. For instance, Yogakshema, the name of Life Insurance Corporation of Indias corporate headquarters, is derived from the Rig Veda. The term suggests that a form of community insurance was prevalent around 1000 BC and practiced by the Aryans. Burial societies of the kind found in ancient Rome were formed in the Buddhist period to help families build houses, protect widows and children.Bombay Mutual Assurance Society, the first Indian life assurance society, was formed in 1870. Other companies like Oriental, Bharat and Empire of India were also set up in the 1870-90s.It was during the Swadeshri movement in the early 20th century that insurance witnessed a big boom in India with several more companies being set up. As these companies grew, the government began to exercise control on them. The Insurance Act was passed in 1912, followed by a detailed and amended Insurance Act of 1938 that looked into investments, expenditure and management of these companies funds.By the mid-1950s, there were around 170 insurance companies and 80 provident fund societies in the countrys life insurance scene. However, in the absence of regulatory systems, scams and irregularities were almost a way of life at most of these companies. As a result, the government decided nationalizes the life assurance business in India. The Life Insurance Corporation of India was set up in 1956 to take over around 250 life companies.

For years thereafter, insurance remained a monopoly of the public sector. It was only after seven years of deliberation and debate - after the RN Malhotra Committee report of 1994 became the first serious document calling for the re-opening up of the insurance sector to private players -- that the sector was finally opened up to private players in 2001.The Insurance Regulatory & Development Authority, an autonomous insurance regulator set up in 2000, has extensive powers to oversee the insurance business and regulate in a manner that will safeguard the interests of the insured. Insurance is a federal subject in India and has history dating back till 1818. Life and general insurance in India is still a nascent sector with huge potential for various global players with the life insurance premiums accounting to 2.5% of the country's GDP while general insurance premiums to 0.65% of India's GDP. The Insurance sector in India has gone through a number of phases and changes, particularly in the recent years when the Govt. of India in 1999 opened up the insurance sector by allowing private companies to solicit insurance and also allowing FDI up to 26%. Ever since, the Indian insurance sector is considered as a booming market with every other global insurance company wanting to have a lion's share. Currently, the largest life insurance companys in India is still owned by the government Insurance in India has its history dating back till 1818, when Oriental Life Insurance Company started was started by Europeans in Kolkata to cater to the needs of European community. Pre-independent era in India saw discrimination among the life of foreigners and Indians with higher premiums being charged for the latter. It was only in the year 1870, Bombay Mutual Life Assurance Society, the first Indian insurance company covered Indian lives at normal rates.

Industry profile

Almost 4,500 years ago, in the ancient land of Babylonia, traders used to bear risk of the caraan trade by giving loans that had to be later repaid with interest when the goods arrived safely. In 2100 BC, the Code of Hammurabi granted legal status to the practice. That, perhaps, was how insurance made its beginning. Life insurance had its origins in ancient Rome, where citizens formed burial clubs that would meet the funeral expenses of its members as well as help survivors by making some payments. As European civilization progressed, its social institutions and welfare practices also got more and more refined. With the discovery of new lands, sea routes and the consequent grouwth in trade, Medieval guilds took it upon themselves to protect their member traders from loss on account of fire, shipwrecks and the like. Since most of the trade took place by sea, there was also the fear of pirates. So these guilds even offered ransom for members held captive by pirates. Burial expenses and support in times of sickness and poverty were other services offered. Essentially, all these revolved around the concept of insurance or risk coverage. Thats how old these concepts are, really. In 1347, in Genoa, European maritime nations entered into the earliest known insurance contract and decided to accept marine insurance as a practice. The first Step... Insurance as we know it owes its existence to 17th century England. In fact, it began taking shape in 1688 at a rather interesting place called Lloyds Coffee House in London, where mechants, ship-owners and underwriters met to to discuss and transact business. By the end of the 18th century, Lloyds had brewed enough business to become one of the first modern insurance companies. Insurance and Myth... Back to the 17th century. In 1693, astronmer Edmond Halley constructed the first mortality table to provide a link between the life insurance premium and the average life spans based on statistical laws of mortality and compound interest. In 1756, Joseph Dodson reworked the table, linking premium rate to age. in India... Insurance in India can be traced to the Vedas. For instance, yogakshema, the name of Life Insurance Corporation of Indias corporate headquarters, is derived from the Rig Veda. The term suggests that a form of community insurance was prevalent around 1000 BC and practised by the Aryans. Burial societies of the kind found in ancient Rome were formed in the Buddhist period to help families build houses, protect widows ands children. Bombay Mutual Assurance Society, the first Indian life assurance society, was formed in 1870. Other companies like Oriental, Bharat and Empire of India were also set up in the 1870-90s. It was during the swadeshri movemnt in the early 20th century that insurance witnessed a big boom in India with several more companies being set up. As these companies grew, the government began to exercise control on them. The Insurance Act was passed in 1912, followed by a detailed and amended Insurance Act of 1938 that looked into investments, expenditure and management of these companies funds. By the mid-1950s, there were around 170 insurance companies and 80 provident fund societies in the countrys life insurance scene. However, in the absence of regulatory systems, scams and irregularities were almost a way of life at most of these companies. As a result, the government decided nationalise the life assurance business in India. The Life Insurance Corporation of India was set up in 1956 to take over around 250 life companies. For years thereafter, insurance remained a monopoly of the public sector. It was only after seven years of deliberation and debate - after the RN Malhotra Committee report of 1994 became the first serious document calling for the re-opening up of the insurance sector to private players -- that the sector was finally opened up to private players in 2001. The Insurance Regulatory & Development Authority, an autonomous insurance regulator set up in 2000, has extensive powers to oversee the insurance business and regulate in a manner that will safeguard the interests of the insured.

Enter companies... The first stock companies to get into the business of insurance were chartered in England in 1720. The year 1735 saw the birth of the first insurance company in the Amercan colonies in Charleston, SC.

In 1759, the Presbyterian Synod of Philadelphia sponsored the first life insurance corporation in America for the benefit of ministers and their dependents. However, it was after 1840 that life insurance really took off in a big way. The trigger. reducing opposition from religious groups.

The growing years... The 19th century saw huge developments in the field of insurance, with newer products being devised to meet the growing needs of urbanization and industrialization. In 1835, the infamous New York fire drew peoples attention to the need to provide for sudden and large losses. Tow years later, Massachusetts became the first state to require companies by law to maintain such reserves. The great Chicago fire of 1871 further emphasized how fires can cause huge losses in densely populated modern cities The practice of reinsurance, wherein the risks are spread amount several companies, was devised specifically for such situations. There were more offshoots of the process of industrialization. In 1897, the British government passed the Workmens Compensation Act, which made it mandatory for a company to insure its employees against industrial accidents. With the advent of the automobile, public liability insurance, which first made its appearance in the 1880s, gained importance and acceptance. In the 19th century, many societies were founded to insure the life and health of their members, while fraternal orders provided low-cost, members-only insurance. Even today, such fraternal orders continue to provide insurance coverage to members as do most labour organizations. Many employers sponsor group insurance policies for their employees, providing not just life insurance, but sickness and accident benefits and old-age pensions. Employees contribute a certain percentage of the premium for these policies. At the dawn of the twentieth century, insurance companies started mushrooming up. In the year 1912, the Life Insurance Companies Act, and the Provident Fund Act were passed to regulate the insurance business. The Life Insurance Companies Act, 1912 made it necessary that the premium rate tables and periodical valuations of companies should be certified by an actuary. However, the disparage still existed as discrimination between Indian and foreign companies. Major Players In Indian Insurance Life Insurance Public Life Insurance Corporation of India Private HDFC Standard Life Insurance Max New York Life Insurance ICICI Prudential Life Insurance Om Kotak Mahindra Life Insurance Birla Sun-Life Insurance TATA AIG Life Insurance SBI Life Insurance ING Vysya Life Insurance Bajaj Allianz Life Insurance MetLife Insurance Reliance Life Insurance Company Limited Bharti AXA Aviva Life Insurance Sahara India Insurance Shriram Life At the dawn of the twentieth century, insurance companies started mushrooming up. In the year 1912, the Life Insurance Companies Act, and the Provident Fund Act were passed to regulate the insurance business. The Life Insurance Companies Act, 1912 made it necessary that the premium rate tables and periodical valuations of companies should be certified by an actuary.

Major Players in Indian Life InsurancePublic Life Insurance Corporation of IndiaPrivate IDBI Federal Life insurance HDFC Standard Life Insurance Max New York Life Insurance ICICI Prudential Life Insurance Om Kotak Mahindra Life Insurance Birla Sun-Life Insurance TATA AIG Life Insurance SBI Life Insurance ING Vysya Life Insurance Bajaj Allianz Life Insurance Reliance Life Insurance Company Limited Bharti AXA Aviva Life Insurance Sahara India Insurance Shriram Life Insurance At the dawn of the twentieth century, insurance companies started mushrooming up. In the year 1912, the Life Insurance Companies Act, and the Provident Fund Act were passed to regulate the insurance business. The Life Insurance Companies Act, 1912 made it necessary that the premium rate tables and periodical valuations of companies should be certified by an actuary. However, the disparage still existed as discrimination between Indian and foreign. Life insurance reflects one of the best parts of human beings; caring for others. One buys life insurance because he or she loves their spouse and children. There are benefits while living but the real reason is to make sure others are financially taken care of. One of the first records of life insurance was in Rome. There, groups came together called Fratres (burial clubs). These were set up by the poor to pay for the funerals of the members and to help the surviving family members financially. The middle ages had guilds for the various types of highly skilled labor. There are accounts that show that these guilds helped their members with various types of insurance including life insurance and disability insurance. Life insurance came into its own in England in the late1600's and became popular from that time on. During this time period Lloyd's of London was growing. Lloyd's whose name came from Lloyd's Coffee House where insurance was transacted by ship owners with the underwriters (backers) who met to put together insurance contracts and other shipping and merchant related business. Some people think of insurance as gambling. It really isn't gambling even though it has the similarities of probability and odds. Insurance serves a public good of sharing the financial risks of existence and life and death among many to serve those who have experienced a loss. The first life insurance company in the United States started in 1735. This company was started for the benefit of Presbyterian ministers' families. Life insurance was originally dominated by the mutual life insurance companies. These are life insurance companies that are owned by the policyholders and thus those policy owners receive their pro-rata share of the company's profits. There are also stock life insurance companies where the profits are made for the benefit of the stockholders.

Similar to the mutual life insurance companies are fraternal life insurance companies which were started by the various fraternal orders to assist their members. Today the insurance business has evolved to a multi-faceted business with various programs and numerous distribution methods. There are choices today that differ greatly from the choices of even a few years ago. Insurance is system by which the losses suffered by a few are spread over many, exposed to similar risks. Insurance is a protection against financial loss arising on the happening of an unexpected event. Insurance policy helps in not only mitigating risks but also provides a financial cushion against adverse financial burdens suffered. Insurance policies cover the risk of life as well as other assets and valuables such as home, automobiles, jewelry etc... On the basis of the risk they cover, insurance policies can be classified into two categories. Life Insurance General InsuranceLife Insurance: Life insurance is a written contract between the insured and the insurer, which provides for the payment of the insured sum on the date of the maturity of the contract or on the unfortunate death of the insured, whichever occurs earlier.Types of Insurance policies: Endowment Policy Whole Life Policy Term Life Policy Money-back Policy Joint Life Policy Group Insurance Policy Loan Cover Term Assurance Policy Pension Plan or Annuities Unit Linked Insurance Plan

Endowment Policy:An endowment policy covers risk for a specified period, at the end of which the sum assured is paid back to the policyholder, along with the bonus accumulated during the term of the policy. An endowment life insurance policy is designed primarily to provide a living benefit and only secondarily to provide life insurance protection. Therefore, it is more of an investment than a whole life policy.Whole Life Insurance Policy: Whole life policy runs as long as the policyholder is alive. As risk is covered for the entire life of the policyholder, therefore, such policies are known as whole life policies. A simple whole life policy requires the insurer to pay regular premiums throughout the life. In a whole life policy, the insured amount and the bonus is payable only to the nominee of the beneficiary upon the death of the policyholder. There is no survival benefit as the policyholder is not entitled to any money during his / her own lifetime.Term Life Insurance Policy:Term life insurance policy covers risk only during the selected term period. If the policyholder survives the term, the risk cover comes to an end. Term life policies are primarily designed to meet the needs of those people who are initially unable to pay the larger premium required for a whole life or an endowment assurance policy.Money Back Policy:Money back policy provides for periodic payments of partial survival benefits during the term of the policy, as long as the policyholder is alive. They differ from endowment policy in the sense that in endowment policy survival benefits are payable only at the end of the endowment period.Joint Life Insurance Policy:Joint life insurance policies are similar to endowment policies as they too offer maturity benefits to the policyholders, apart from covering risks like all life insurance policies. But joint life policies are categorized separately as they cover two lives simultaneously, thus offering a unique advantage in some cases, notably, for a married couple or for partners in a business firm.

Group Insurance:Group insurance offers life insurance protection under group policies to various groups such as employers-employees, professionals, co-operatives, weaker sections of society, etc. It also provides insurance coverage for people in certain approved occupations at the lowest possible premium cost.Loan Cover Term Assurance Policy:Loan cover term assurance policy is an insurance policy, which covers a home loan. Such a policy covers the individual's home loan amount in case of an eventuality. The cover on such a policy keeps reducing with the passage of time as individuals keep paying their EMIs (equated monthly installments) regularly, which reduces the loan amount.Various insurance companies offering loan repayment protection insurance policy are HDFC Standard Life Insurance Tata AIG ING Vysya LIC

Pension Plan:Annuities differ from all the other forms of life insurance in that an annuity does not provide any life insurance cover but, instead, offers a guaranteed income either for life or a certain period. Typically annuities are bought to generate income during one's retired life, which is why they are also called pension plans. By buying an annuity or a pension plan the annuitant receives guaranteed income throughout his life. He also receives lump sum benefits for the annuitant's estate in addition to the payments during the annuitant's lifetime.

Unit Linked Insurance Plans (ULIP)Unit linked insurance plan (ULIP) is life insurance solution that provides for the benefits of protection and flexibility in investment. The investment is denoted as units and is represented by the value that it has attained called as Net Asset Value (NAV). The policy value at any time varies according to the value of the underlying assets at the time.

2.3 General Insurance:General Insurance provides much-needed protection against unforeseen events such as accidents, illness, fire, burglary et al. Unlike Life Insurance, General Insurance is not meant to offer returns but is a protection against contingencies. Almost everything that has a financial value in life and has a probability of getting lost, stolen or damaged can be covered through General Insurance policy. Property (both movable and immovable), vehicle, cash, household goods, health, dishonesty and also one's liability towards others can be covered under general insurance policy. Under certain Acts of Parliament, some types of insurance like Motor Insurance and Public Liability Insurance have been made compulsory.

Major insurance policies that are covered under General Insurance are: 1. Home Insurance 2. Health Insurance 3. Motor Insurance 4. Travel InsuranceHealth Insurance:It is said that a healthy mind resides in a healthy body. Hence it is very important to stay healthy. These days life is very fast and stressful. No matter how much you care one can always fall ill. Health treatment nowadays is very costly. More than the disease it is the cost of treatment that takes its toll. To get rid of health worries health / medical insurance is the answer. Health insurance policy not only covers expenses incurred during hospitalization but also during the pre as well as post hospitalization stages like money spent for conducting medical tests and buying medicines. The cover will be to the extent of the sum insured.

Home Insurance:Every man has a dream to own a house one day. For an ordinary person it takes a whole lifetime of savings to build a house. And one cannot predict a natural calamity like earthquake. In recent times we have seen what havoc an earthquake or any other natural calamity such as floods, landslides and torrential rains can wreck. Hence home insurance is very important. Home insurance policy also protects against other hazards like gas cylinder explosion, fire due to electric short circuit as well as man-made disaster like burglary.Home insurance policy available in the market covers broadly two things: Building structure Contents inside the home

Motor Insurance:Legally, no motor vehicle is allowed to be driven on the road without valid insurance. Hence, it is obligatory to get the vehicle insured. Motor insurance policies cover against any loss or damage caused to the vehicle or its accessories due to the natural and man made calamities. Motor insurance provides compulsory personal accident cover for individual owners of the vehicle while driving. One can also opt for a personal accident cover for passengers and third party legal liability. Third party legal liability protects against legal liability arising due to accidental damages. It includes any permanent injury / death of a person and damage caused to the property.

Travel Insurance:Travel and tourism is one of the most fast growing sectors around the world. With rise in standards of living, more and more people are embarking on journeys and exploring new places. Before going on a trip you need to address all your travel worries. Travel insurance policy takes care of all your travel worries. It secures you and your loved ones in their sojourn abroad. Travel insurance plans offer host of benefits such as medical expenses, loss or delay of baggage or passport, personal accident, financial emergency assistance and hijack distress allowance.

3.1 COMPANY PROFILE:IDBI Federal Life Insurance Co Ltdis a joint-venture of IDBI Bank, Indias premier development and commercial bank, Federal Bank, one of Indias leading private sector banks and Ageas, a multinational insurance giant based out of Europe. In this venture, IDBI Bank owns 48% equity while Federal Bank and Ageas own 26% equity each. At IDBI Federal, we endeavor to deliver products that provide value and convenience to the customer. Through a continuous process of innovation in product and service delivery we intend to deliver world-class wealth management, protection and retirement solutions to Indian customers. Having started in March 2008, in just five months of inception we became one of the fastest growing new insurance companies to garner Rs100Cr in premiums. The company offers its services through a vast nationwide network across the branches of IDBI Bank and Federal Bank in addition to a sizeable network of advisors and partners. As on 29th February, 2012, the company has issued over 3.56 lakh policies with over Rs 20220 Cr in Sum Assured.IDBI Bank Ltd:Continues to be, since its inception, Indias premier industrial development bank. It came into being as on July 01, 1964 (under the Companies Act, 1956) to support Indias industrial backbone. Today, it is amongst Indias foremost commercial banks, with a wide range of innovative products and services, serving retail and corporate customers in all corners of the country from 973 branches and 1535 ATMs. The Bank offers its customers an extensive range of diversified services including project financing, term lending, working capital facilities, lease finance, venture capital, loan syndication, corporate advisory services and legal and technical advisory services to its corporate clients as well as mortgages and personal loans to its retail clients. As part of its development activities, IDBI Bank has been instrumental in sponsoring the development of key institutions involved in Indias financial sector National Stock Exchange of India Limited (NSE) and National Securities Depository Ltd, SHCIL (Stock Holding Corporation of India Ltd), CARE (Credit Analysis and Research Ltd).

FEDERAL BANK: It is one of Indias leading private sector banks, with a dominant presence in the state of Kerala. It has a strong network of over 950 branches and 1002 ATMs spread across India. The bank provides over four million retail customers with a wide variety of financial products. Federal Bank is one of the first large Indian banks to have an entirely automated and interconnected branch network. In addition to interconnected branches and ATMs, the Bank has a wide range of services like Internet Banking, Mobile Banking, Tele Banking, Any Where Banking, debit cards, online bill payment and call centre facilities to offer round the clock banking convenience to its customers. The Bank has been a pioneer in providing innovative technological solutions to its customers and the Bank has won several awards and recommendations.Ageas: Ageas is an international insurance company with a heritage spanning more than 180 years. Ranked among the top 20 insurance companies in Europe, Ageas has chosen to concentrate its business activities in Europe and Asia, which together make up the largest share of the global insurance market. These are grouped around four segments: Belgium, United Kingdom, Continental Europe and Asia and served through a combination of wholly owned subsidiaries and partnerships with strong financial institutions and key distributors around the world. Ageas operates successful partnerships in Belgium, UK, Luxembourg, Italy, Portugal, Turkey, China, Malaysia, India and Thailand and has subsidiaries in France, Germany, Hong Kong and UK. It is the market leader in Belgium for individual life and employee benefits, as well as a leading non-life player, through AG Insurance, and in the UK, it has a strong presence as the third largest player in private car insurance and the over 50s market. It has annual inflows of more than EUR 17 billion.

3.2 VISION,MISSION,VALUES:VISION :To be the leading provider of wealth management, protection and retirement solutions that meets the needs of our customers and adds value to their lives. MISSION: To continually strive to enhance customer experience through innovative product offerings, dedicated relationship management and superior service delivery while striving to interact with our customers in the most convenient and cost effective manner. To be transparent in the way we deal with our customers and to act with integrity. To invest in and build quality human capital in order to achieve our mission.VALUES : Transparency: Crystal Clear communication to our partners and stakeholders Value to Customers: A product and service offering in which customers perceive value Rock Solid and Delivery on Promise: This translates into being financially strong, operationally robust and having clarity in claims Customer-friendly: Advice and support in working with customers and partners Profit to Stakeholders: Balance the interests of customers, partners, employees, shareholders and the community at large.

MD & CEO OF IDBI FEDERAL LIFE INSURANCE CO LTD

Mr. G. V. Nageswara Rao serves as Chief Executive Officer and Managing Director of IDBI Fortis Life Insurance Company Ltd. Mr.Rao served as the Chief executive officer of Commercial Banking Strategic Business Unit of Industrial Development Bank of India Limited since April 4, 2005. Mr. Rao served as the Managing Director of IDBI Capital Market Services Ltd., and IDBI Bank Ltd. (Industrial Development Bank of India). He serves as a Director of IDBI Capital Market Services ... Mr.Rao is connected to 13 board members in 1 different organizations across 4 different industries.

3.3 History of the company : 2006: IDBI Bank, Federal Bank and Belgian-Dutch insurance major Fortis Insurance International NV signed a MOU to start a life insurance company. 2008: IDBI Fortis Life Insurance Co. Ltd., which started its operations in March. 2008: IDBI Fortis opens its second branch in Andhra Pradesh in Vijayawada. 2008: IDBI Fortis Life positive on assured return products. 2008: IDBI Fortis launches the Bondsurance Plan. 2009: IDBI Fortis announces Rs 250cr capital infusion. 2009: Nimbus ropes in IDBI Fortis as title sponsor of IndiaSri Lanka series. 2009: 'IDBI Fortis' Boss-Ka-Boss receives PRCI Award. 2009: IDBI Fortis launches Retiresurance Pension Plan. 2009: IDBI Fortis scores with Goalsurance. 2009: IDBI Fortis reaches the banks of Hoogly. 2009: IDBI Fortis launches Incomesurance Immediate Annuity. 2009: IDBI Fortis Life Insurance uses an interactive application to help users easily calculate their taxes. 2009: IDBI Fortis reaches the City of Eastern Light. 2009: IDBI Fortis receives bronze Dragon at 'PMAA 2009. 2009: IDBI Fortis Life Insurance introduces financial inclusion plan in rural Orissa. 2009: IDBI Fortis launches Termsurance Protection Plan. 2009: IDBI Fortis redefines endowment & money back with Incomesurance. 2009: IDBI Fortis to open 65 more branches; raise headcount by 1,000. 2010: IDBI Fortis now renamed as IDBI Federal Life Insurance Company.

4.1 ORGANIZATION STRUCTURE:

4.2 AGENCY STRUCTURE MADURAI BRANCH:

4.3 OPERATIONS MANAGEMENT: Insurance industries are service industries. Products are generally intangible in nature. Various products sold by the company are Childsurance Healthsurance Homesurance Incomesurance Lifesurance Wealthsurance

WEALTHSURANCE: Wealthsurance plans combine wealth creation with insurance protection into one powerful financial solution. Unlike other investment alternatives, it allows you to ensure that your goals of wealth creation are achieved even in the event of serious illness, accidents, disablement or death.Wealthsurance offers you Insured Wealth Plans. They allow you to create, build and manage wealth by giving several choices and great flexibility so that your plan meets your specific needs. You can decide how you wish to save so that it suits your savings habit. You can choose how your money is invested so that you can grow wealth as per your investment preferences. What is even better, Wealthsurance protects your wealth plans with life insurance benefits so that your wealth-building efforts remain unaffected in unforeseen events and your financial goals canstill be achieved. As a seasoned investor, you recognize the ability of the equity markets to build wealth over the long term. But you also appreciate the fact that the growth potential of the market comes with the accompanying risk of volatility.

HOMESURANCE: Your new home is the fulfillment of a long-cherished dream. Only you know the careful planning that went into its choice. And only you understand the hard work that went into arranging the financing including the home loan. Truly, your home is your best gift to your family. Just imagine what would happen, if due to an unfortunate event, you were not around.

The entire burden of your home loan would have to be borne by your family. But you can ensure that they inherit a home and not a home loan. We understand the importance of protecting your home loan and the powerful IDBI Federal Homesurance Protection Plan can help you insureyour home loan at a reasonable cost.

INCOMESURANCE:

Grow your Guaranteed Annual Income each time you pay premium some goals cannot be left to chance. Like educating your child, or planning for her marriage, or providing financial security to a loved one, or ensuring a comfortable retirement income. Or you may just want to ensurea future additional income stream.How can you be confident of achieving these goals?1. You need a plan that allows you to save regularly to reach your objective2. You want the plan to give you assured income payments that are not dependent upon vagaries such as the stock market3. You want the plan to work and your goals to be achieved even if anything happens to you Financial security for your parentsWhat better gift can you give your parents when you start earning yourself? You can gift them a secure, regular income to ensure acomfortable life. Regular income payments can help them enjoy their senior years doing things they had always wanted to but never found the time for Child's Education You can save regularly and get guaranteed payouts to meet your child's education. You can be rest assured that your goal will be achieved even if anything were to happen to you.

Daughters MarriageYou can withdraw your guaranteed income when the time comes for marriage. You can meet the wedding expenses or give her a regular income. It is the best present you can give when she is setting up her home.Get additional income from time to timeOver and above your normal income, IDBI Federal Incomesurance Endowment & Money Back Plan can help you get additional income from time to time. You can indulge in a purchase of your choice, take a vacation or just gift it to your loved ones, the choice is yours. At the same time, you can also ensure life insurance protection for your family's security.

RETIRESURANCE It is difficult to predict the future but with more of us living longer, the possibility ofoutliving our savings could become a harsh reality. In fact, you could easily spend almost20-25% of your life in retirement. This is the time in your life when you will face the retirement challenge. As time goes by, your responsibilities grow aswell, increasing your expenses. Also lets not forget the effect of inflation. Inflation increases the cost of living. Take the following increases in basic amenities over the last 20 years and you can understand what you could be upagainst after 20 years. These are approximate rates based on market sources and are presented for illustrative purposes only

LOANSURANCE Loansurance is a cost-effective way to ensure that the outstanding debt is settled in the unfortunate event of death of the insured member. This term assurance plan provides cover to a person directly liable for loan repayment (and the partners, in case of a partnership), as per the benefit schedule.

5. VARIOUS DEPARTMENTS: Marketing Human Resource Finance Team Bancaa

5.1Marketing:Marketing Strategies used:The main ways in which IDBI Federal life Insurance company ltd promotes its products/services and creates awareness in the market. PRINT MEDIA: IDBI Federal has attained notice through many articles and advertisements published in various national and regional newspapers in India like the Economic Times, Times of India, The Hindu. IDBI Federal spends around Rs 1040 per sq.cm for promotional activities through newspapers. They position the ads and articles in such a way that it catches the eye of the reader as soon as they start reading the newspaper. HOARDINGS: IDBI Federal has also tried making their potential customer aware of their products and policies through billboards and hoardings by positioning them in strategic locations. PAMPHLETS: Pamphlets are distributed across India at least 5 times in a month without any cost. Its done to create maximum awareness about the products/services. MAGAZINES: There is no specific magazine in which advertisement is given. Its given in magazines depending upon their sales and reputed magazines like Outlook, Money etc. The advertisement is given every month at least once in any magazine.

TELEVISION: Mainly, the advertisement is shown on cricket channels, Star channels. The main promotions were done during FEB & MARCH to:i. Highlight the tax benefitsii. To combat competition as all the insurance companies would advertise during this time at a great frequency. Also the company will soon start displaying their advertisements on Satellite TV like SUN network, etc. DISTRIBUTORS: A strong network of distributors and parent advisors also helps a lot in promoting products/services of IDBI Federal by word of mouth. A Viral campaign is also run on the Internet by wherein flash videos of working of products are explained in a very humorous manner. LOCAL EVENTS: The overall costs associated with such events totals to Rs. 2,00,000 per annum such events are mainly conducted in Apartments, Schools, etc. Building an engagement process around the solution being offered gives an additional boost to this cause. Spelling Bee was a specially created spelling contest created to connect with children. The engagement started with the spelling contest for kids and gave their IRMs a natural opening for a discussion with parents about financial planning for their childrens future needs like education. This is a sort of channel marketing which IDBI Federal had adopted to create awareness as well as to educate the future generation about the company and the importance of saving. Also IDBI Federal involved them in developing their business by joining hands with SAMHITA, a community development organization based out of Bhopal which works towards bringing financial literacy to the underprivileged population in Madhya Pradesh. They believe that such financial literacy among the under banked population will help bring a holistic change in the way people perceive and understand financial products and their utility at various stages in their life. This will ultimately help bring them closer to financial inclusion.

5.2 Human Resource Department:RECRUITMENT METHOD:There are 2 forms of interview that a candidate can appear for: Personal Interview. Telephonic Interview. PERSONAL INTERVIEW This is regarded to be the BEST FORM of interview. In such form of an interview the candidate personally appears in front of the interviewer and gives his interview. This is regarded to be the best form of interview as the interviewee has the best chances of making his points clear in front of the interviewer. TELEPHONIC INTERVIEW Sometimes an interview is taken on the phone. A telephonic conversation is done between the interviewer and the interviewee where the interviewer calls up the candidate via phone and conducts the interview.QUALIFICATION OF EMPLOYEES

Selling insurance and building customerrelations.Qualification Entry Entry Level: Graduates in any stream preferred can be. 10th or 12th standard pass, according to the IRDA stipulation, depending on region of operation. Additional communication skills and ability to interact with people will help. Middle level Entry: Professional in finance or marketing with the experience in service industry. (As asst sales manager)Senior sales Entry level:Senior professional with experience of handling junior staff preferred.

5.3 FINANCE DEPARTMENT:BALANCESHEET FOR PAST TWO YEARS:

Balance sheet for 2011-2012:

CURRENT RATIO:

Definition of Current RatioA liquidity ratio that measures a company's ability to pay short-term obligations.

The Current Ratio formula is:

Current Ratio of IDBI Federal Insurance Co. Ltd for the year 2012-2013:Current Assets = 2,636,583Current Liabilities = 1,782,261Current Ratio = 1.4 timesCurrent Ratio of IDBI Federal Insurance Co. Ltd for the year 2011-2012:Current Assets = 2,804,141

Current Liabilities = 2,242,705

Current Ratio = 1.2 timesInterpretation:As the current ratio for the company is more than 1 the financial position of the company is good for both the years.

5.4 Team Bancaa: Bancassurance draws synergies from banking and insurance products. It brings together strong distribution strength and customer interface capabilities of the bank and risk management capabilities of the insurance company. The Bancassurance model is mutually beneficial for both; the bank and the life insurance company. Advantages for the Banks (IDBI & Federal) who also are our stakeholders Opportunity to increase revenue per customer Building customer loyalty one stop shop for all financial needs of the customers Increasing fee income for the bank Minimizing overall credit risk for the bank Aiding customer acquisition & retention Building a sales culture Advantages for IDBI Federal Warm & captive customer base individual & corporate Low cost distribution Higher persistency levels Bank brand image Opportunity to build scale in a short span of time Distribution reach & fulfilling rural and social sector obligations Structure: Team Bancaa The structure of the channel is very simple. There is a sales and a support team which together look after sales through the Banks and support thereon in terms of operations, processes, MIS, rewards and recognition and training related activities. Vision: Team Bancaa Adopt a unique combination of best practices across channels, across industry and across countries to develop a scalable, successful, sustainable and profitable model of Bancassurance in IndiaThe Bancassurance team branded themselves as Team Bancaa Rainmakers with key focus on driving growth with efficiency, building a scalable and sustainable business model and leveraging Bank resources to achieve higher synergies. Milestones & Achievements: Team Bancaa The only Bancassurance channel to break even in the second year of business Highest Bank branch activation in the fastest time with the lowest number of employees Highest bank branch productivity in the relevant category Highest Housing loan penetration of insurance, across the industry and banks, in the fastest time Lowest direct cost of acquisition of business Highest IRM (Insurance company employee) productivity in the country amongst the bank category Only company to have integrated processes for application sourcing leading to low operational costs Maximum trainings conducted with a lean team: over 16000 participants trained in 2009 2010

6. SALES/DISTRBUTION STRUCTURE RELATED TO TAMILNADU BRANCHES:

AGENCY HEAD :Mr. Ashley Kennedy ZONAL HEAD (SOUTH): Mr.Balaji ZONAL HEAD (NORTH):Mr.Lokesh REGIONAL MANAGER (TAMILNADU) :Mr.Vijaya Kumar

LEVEL OF COMPUTERIZATION AND INFORMATION SYSTEM:To monitor and manage its network equipment across 34 sites, IDBI Federal uses Tulip Proactive Managed CE solution. The solution includes device management, proactive troubleshooting and notification support. With the implementation of the solution, IDBI has reported improvement of network performance and availability, with a faster, more effective change and configuration management.AWARDS:Wealthsurance Made Easy (WME), a knowledge aid by IDBI Federal for its sales force, won The Bronze Dragon in the category for Best Dealer/Sales Force activity at the Promotion Marketing Awards of Asia (PMAA).Other details :IDBI Federal breaks-even in Five years; posts maiden profit of Rs 9.24 Crore New Business Premium (APR1) grows by 23%, compared to industrys negative growth of -15%. Achieves 44% increase in the number of new business policies sold. Product mix further shifts to long-term traditional products, thereby driving profitability through product-mix. Traditional products account for 83% of new business premium. 13thmonth persistency improves to 76%. Among top 5 companies in persistency experience. AUM (Assets under Management) up by 24% to Rs 2,732 Crore. For the calendar year 2012, IDBI Federals Equity Fund ranked No 1 among 72 ULIP funds bearing testimony to the companys fund management expertise.

7. SWOT ANALYSIS:STRENGTH: Superior customer service vs. competitors. Products have required accreditations. High degree of customer satisfaction. Good place to work Lower response time with efficient and effective service. Dedicated workforceaiming atmakingalong-termcareer inthe field. Large pool of technically skilled manpower with in depth knowledge and understanding of the market WEAKNESSES: Some gaps in range for certainsectors. Customer service staff needs training. Processes and systems. Management cover insufficient Sectoralgrowthisconstrainedbylowunemploymentlevelsandcompetition forstaff. Low customer confidence on theprivate players.

OPPORTUNITIES : Insurable population: According to IRDA only 10% of the population is insured which representaround 30% of the insurable population. This suggests more than 300mpeople, with the potential to buy insurance, remain uninsured. International companies will help in building world class expertise inlocal market by introducing the best global practice. Could extend to overseas broadly. New specialist applications. Could seek better customer deals. Fast-track career development opportunities on an industry-wide basis. An applied research centre to create opportunities for developing techniques to provide added-value services. THREATS: Big public sector insurance companies likeLife Insurance Corporation (LIC) of India,National Insurance Company Limited, Oriental Insurance Limited, New India Assurance Company Limited and United India InsuranceCompany Limited. People trust and go to them more. Legislation could impact and Great risk involved. Very high competition prevailing in the industry. Vulnerable to reactive attack by majorcompetitors. Lack of infrastructure in rural areas could constrain investment.

8. Limitations of the Study: Lack of availability of time Financial details are kept confidential in the company For collecting each data it is necessary to get approval from each officials

9. Findings and Conclusion:In this above study I have learnt about the complete processing and activities of IDBI Federal insurance company limited and also I came to know that the insurance consider to be an important needs and requirement of every people. I have also learnt how the environment of the organization depends upon the employee and various insurance policies which have been undertaken by the company. I hope this study will help me to gain a proper knowledge for my future career.

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