SUMMITTED BY:

NIKIT GUPTA

NIILM-CMS

ACKNOWLEDGEMENT

I would like to thanks to all those who have helped me tremendously during the course of the project.

My heartiest thanks are due to many persons for assistance in this project to present state. The profound gratitude to our faculties especially;

Mr. Mohit Maurya for being my guide throughout the completion of this project.

Mr. Ashish Jaswani ,sales manager of HDFC standard life Insurance corporation ,Rohini NEW DELHI for clarifying the project which I encountered during the preparation of this project .

I would also like to thanks Mr. Deepesh Pal Sr. Channel Manager, for guiding me throughout my project. I also extend my gratitude to other employer of HDFC Standard Life Insurance Corporation and my friends who have me directly or indirectly to complete my project.

I also acknowledge the knowledge that I have gained during the preparation of this project.

NIKIT GUPTA

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DECLARATION

I, NIKIT GUPTA a student of PGDM OF NIILM-CMS,GREATER NOIDA, here by solemnly declare that the project title “SEGREGATION OF HDFC STANDARD LIFE INSURANCE CORPORATION” with special reference to HDFC-LIFE ( Rohini Branch, NEW DELHI ) is my original work as all the information and facts & figure produced in this report is based on my own experience & study during my summer training under the department of MKT in HDFC-LIFE (Rohini , NEW DELHI).

Further I also declare that I have tried to my best to complete this project with sincerity, honesty and accuracy .Even then if .any mistake or error has crept in I shall most humble request to reader to point out those error. Any suggestion regarding this project Report will be most welcome.

TABLE CONTENt

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Topics Page no.

INTRODUCTION 4

PURPOSE OF THE PROJECT 5

Review of literature 6-12

COMPANY PROFILE 13-20

AWARDS & ACCOLATES AND VALUE/VISION

21-30

METHODOLOGY 36-42

BIBLIOGRAPHY 43-44

INTRODUCTION

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In spite of theoretical knowledge gained through classroom study, a person is incomplete if not subjected to practical exposure of real corporate world and the challenges and problems that one has to face at the actual work place.

In this context the study has been taken to make the person aware of happening of the real business world. The project entitled “SEGREGATION OF HDFC STANDARD LIFE INSURANCE CORPORATION” with the special reference to HDFC-LIFE INSURANCE has been done in NEW DELHI as a summer training part of MBA program and it helped me in understanding about the policies and procedures of a company and how these should be formulate together so that they solve the real purpose. It also gave me a chance to have an interaction with people at real workplace who are working at different positions with different authorities and responsibilities.

The generosity & the patience of these people for spending their valuable time for having discussions and interactions has also been a great experience for me. The study was made to formulate a manual by collecting relevant information about the contents with the help of Questionnaire survey and face to face interaction with the sales Development managers, Business development managers & other HDFC-LIFE branches employer. The valuable information & suggestions provided by the members of HDFC-LIFE itself. Secondary data was collected from the other manuals provided by the marketing department and website of the company.

PURPOSE OF THE PROJECt

The main purpose of the project is to do comparative analysis of different insurance products, check the awareness level and

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perception of insurance by the individuals. The project would also help in understanding preference of people regarding private and public insurance companies.

The main objective of the research is

Making comparative analysis between:-

HDFC life insurance with life insurance Corporation of India.

HDFC LIFE insurance with Tata AIG life insurance.

HDFC-LIFE with Birla Sun Life.

HDFC-Life with Bajaj Allianz.

To find out the awareness level of insurance .

To determine customer preference towards private insurance.

Private Companies and public insurance companies.

Marketing of different insurance products.

Review of literature

INSURANCE

“Insurance is a contract between two parties whereby one party called insurer undertakes in exchange for a fixed sum called premiums, to

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pay the other party called insured a fixed amount of money on the happening of a certain event”. Insurance is a protection against financial loss arising on the happening of an unexpected event. Insurance companies collect premiums to provide for this protection. A loss is paid out of the premiums collected from the insuring public and the Insurance Companies act as trustees to the amount collected. For Example, in a Life Policy, by paying a premium to the Insurer, the family of the insured person receives a fixed compensation on the death of the insured. Similarly, in a car insurance, in the event of the car meeting with an accident, the insured receives the compensation to the extent of damage. It is a system by which the losses suffered by a few are spread over many, exposed to similar risks.

Type of Insurance

Generally insurance is divided into 2 categories

1. Life Insurance2. Non Life Insurance

Life Insurance:

Life insurance provides a monetary benefit to a decedent's family or other designated beneficiary, and may specifically provide for income to an insured person's family, burial, funeral and other final expenses. Life insurance policies often allow the option of having the proceeds paid to the beneficiary either in a lump sum cash payment or an annuity.

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Non-Life Insurance or General Insurance:

General insurance or non-life insurance policies, including automobile and homeowners policies, provide payments depending on the loss from a particular financial event. General insurance typically comprises any insurance that is not determined to be life insurance.

ADVANTAGES OF INSURANCE:

Following advantages of Insurance are:

ADVANTAGES OF LIFE INSURANCE

1. Protection against risk of untimely death

Life insurance is a product, which offers protection against the risk of death the full sum assured is made available under a life assurance policy, whereas under other savings schemes, the total accumulated savings alone will be available.

2. Educational requirements and charity

The object of insurance may be to serve as a security to educational funds in respect of loans advanced for educational purpose or to provide donations to charitable institutions like hospital and school.

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3. Nomination and assignment

The life insured can name the person or persons to whom the policy money would be payable in the event of his death .the proceeds of a life insurance policy can be protected against the claims of the creditors of the life insured by effecting a valid assignment of the policy. The beneficiaries are fully protected from creditors expect to the extent of any interest in the policy retained by the insured.

4. Loans from the insurance company

A policy holder can take a loan from his insurance company against the Security of his life insurance policy provided the terms of the terms of his policy allow such a loan. This loan can be taken usually after a period of 3 years from Commencement of the policy and is a percentage of its surrender value.

5. Investment options

The unit link products gives comprehensive insurance solutions that cater to an Individual’s dual need of earning potentially high returns as well as stay for life. Thus, there is an option to invest money in the products that combine the best of insurance and investment. In a volatile market conditions it is possible to secure both as one can hedge the investment with saver investment vehicles that provide a diversified portfolio.

6. Tax benefits

The Indian income tax act provides tax concessions to the policyholder both on payment of premium and on the maturity amount. Under sec 88 the tax benefits on premium paid by an individual for life insurance policies on his own life\on the life of spouse \children minor or major, including married daughters. Under sec 6 of the married women’s property act if a married man takes a policy of life insurance on his own life and expenses on the face of it to be for the benefit of his wife or of his wife and children or any of them, then it shall be deemed to be a trust for the benefit of his wife and children or any of them.

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DIFFERENT INSURANCE COMPANIES:

Insurance is an upcoming sector, in India the year 2000 was a landmark year for life insurance industry, in this year the life insurance industry was liberalized after more than fifty years. Insurance sector was once a monopoly, with LIC as the only company, a public sector enterprise. But nowadays the market opened up and there are many private players competing in the market. There are fifteen private life insurance companies has entered the industry. After the entry of these private players, the market share of LIC has been considerably reduced. In the last five years the private players is able to expand the market (growing at 30% per annum) and also has improved their market share to 18%.For the past five years private players have launched many innovations in the industry in terms of products, market channels and advertisement of products, agent training and customer services etc. The various life insurers entered India:-

1. Bajaj Allianz Life Insurance Company Limited

2. Birla Sun Life Insurance Co. Ltd

3. HDFC Standard life Insurance Co. Ltd

4. ICICI Prudential Life Insurance Co. Ltd.

5. ING Vysya Life Insurance Company Ltd.

6. Max New York Life Insurance Co. Ltd

7. Met Life India Insurance Company Ltd.

8. Kotak Mahindra Old Mutual Life Insurance Limited

9. SBI Life Insurance Co. Ltd

10. Tata AIG Life Insurance Company Limited

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11. Reliance Life Insurance Company Limited.

12. Aviva Life Insurance Co. India Pvt. Ltd.

13. Sahara India Life Insurance Co, Ltd.

14. Shriram Life Insurance Co, Ltd.

15. Bharti AXA Life Insurance Company Ltd.

16. Future General Life Insurance Company Ltd.

17. IDBI Fortis Life Insurance Company Ltd.

18. Canara HSBC Oriental Bank of Commerce Life Insurance Co. Ltd

19. AEGON Religare Life Insurance Company Limited.

20. DLF Pramerica Life Insurance Co. Ltd.

21. Star Union Dai-ichi Life Insurance Comp. Ltd.

The various other general Insurance Companies are as under:-

1. National Insurance Company Limited.

2. Reliance General Insurance.

3. Star Health Plus Insurance.

4. Oriental Insurance Company.

5. United India Insurance Company Ltd.

6. Bajaj Allianz General Insurance Company Ltd.

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Top companies in insurance sector

LIC: LIC has the strongest market base in comparison with all the life insurance companies in India, with a total share of about 70% of market share. It is still the leader in life insurance market extending its services to more than 200 million people in India.

Birla Sun Life: Birla Sun Life Insurance today holds the highest market share in private life insurance companies in India. Its market share is 8% with various life insurance policies to support.

Bajaj Allianz: Bajaj Allianz is the second life insurance company to capture a market share of about 6.8%. The company provides various life insurance policies such as term life, whole life, ULIPs, Pension plans, children plans, etc.

ICICI Prudential Life: ICICI Prudential Life is one of the top private life insurance companies in India with a market share of 5.9% offering various life insurance policies.

HDFC Standard Life: HDFC Standard Life is yet another private life insurance company in India. Its current market share is 3.65% of the whole life insurance market in India.

Tata AIG Life: Tata AIG Life is also one of the private life insurance companies in India. Its market share is 2.1% of Indian life insurance market.

Market share of different companies

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70%8%

7% 6%

4% 2% 4%

LICBirla Sun LifeBajaj AllianzICICI Prudential LifeHDFC Standard LifeTATA AIGOthers

Market Share of Dif-ferent Companies

S.NO COMPANY NAME PERCENTAGE

1 LIC 70%

2 BIRLA SUN LIFE 8%

3 BAJAJA ALLIANZ 6.80%

4 ICICI PRUDENTIAL LIFE

5.90%

5 HDFC STANDARD LIFE

3.65%

6 TATA AIG 2.10%

7 OTHERS 3.55%

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COMPANY PROFILE OF HDFC STANDARD LIFE INSURANCE COMPANY LTD

ABOUT HDFC STANDARD LIFE INSURANCE

HDFC Standard Life Insurance Company Ltd. is one of India's

leading private insurance companies, which offers a range of

individual and group insurance solutions. It is a joint venture between

Housing Development Finance Corporation Limited (HDFC Ltd.),

India's leading housing finance institution and a Group Company of

the Standard Life, UK. HDFC as on December 31, 2007 holds 72.38

per cent of equity in the joint venture.

HDFC STANDARD LIFE INSURANCE PARENTAGE

HDFC Limited.

HDFC is India leading housing finance institution and has

helped build more than   23,00,000 houses since its

incorporation in 1977.

In Financial Year 2003-04 its assets under management crossed

Rs. 36,000 Cr.

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As at March 31, 2004, outstanding deposits stood at Rs. 7,840

crores. The depositor   base now stands at around 1 million

depositors.

Rated AAA by CRISIL and ICRA for the 10th consecutive year

Stable and experienced management

High service standards

Awarded The Economic Times Corporate Citizen of the year

Award long-standing commitment to community development.

Presented the Dream Homeâ award for the best housing finance

provider in 2004 at   the third Annual Outlook Money Awards.

Standard Life Group (Standard Life plc and its subsidiaries)

Standard Life Group (Standard Life plc and its subsidiaries)

The Standard Life group has been looking after the financial

needs of customers for   over 180 years

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It currently has a customer base of around 7 million people who

rely on the company   for their insurance, pension, investment,

banking and health-care needs

Its investment manager currently administers £125 billion in

assets

It is a leading pensions provider in the UK, and is rated by

Standard & Poor's as   'strong' with a rating of A+ and as 'good'

with a rating of A1 by Moody's

Standard Life was awarded the 'Best Pension Provider' in 2004,

2005 and 2006 at the Money Marketing Awards, and it was

voted a 5 star life and pensions provider at    the Financial

Adviser Service Awards for the last 10 years running. The '5

Star'    accolade has also been awarded to Standard Life

Investments for the last 10 years,    and to Standard Life Bank

since its inception in 1998. Standard Life Bank was    awarded

the 'Best Flexible Mortgage Lender' at the Mortgage Magazine

Awards in   2006.

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HISTORY

HDFC Standard Life Insurance Co. Ltd was incorporated on 14th

august 2000. It is a joint venture between Housing Development

Finance Corporation Limited (HDFC Ltd.) India and UK based

Standard Life Company. Both the joint venture partners being one of

the leaders in their respective areas came together in this 81.4:18.6

joint Venture to form HDFC standard life insurance company limited.

The MD and CEO of HDFC Standard Life Mr. Deepak S. Parekh ,

has given the company new directions and has helped the company

achieve the status it currently enjoys. HDFC Standard Life brings to

you a whole range of insurance solutions be it group or individual or

NAV services for corporations, they can be easily customized as per

specific needs.

HDFC Standard Life Insurance India boasts of covering around 8.7

lakh lives by March'2007. The gross incomes standing at a whopping

Rs. 2, 856 crores, HDFC Standard Life Insurance Corporation is sure

to become one of the leaders and the first Preference for any life

insurance customer.

The Bancassurance partners of HDFC Standard Life Insurance Co Ltd

are HDFC, HDFC Bank India Limited, Union Bank of India, Indian

Bank, Bank of Baroda, Sarawat Bank and Bajaj Capital.

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The premium payment options available to the customers vary from

online payment to direct desk payments at the HDFC Standard Life

Branches, by courier services or in drop boxes provided. You can also

pay by ECS or Automatic Debit System or credit cards or standing

instruction mandate. HDFC Standard Life Insurance Company is a

customer oriented corporation and aim at complete customer

satisfaction.

The lapsation and renewal policy of HDFC Standard Life are clearly

defined on the official website. Online renewal forms are also

available. For any change in personal details like the contact details or

the nominee of the policy or policy benefits, online servicing is also

available. Even the claim procedure has been simplified since affect

of the loss life is irreparable and is thus fully understandable at HDFC

Standard Life. A completely hassle-free process has been formulated

to provide maximum convenience.

HDFC Standard Life first came together for a possible joint venture,

to enter the Life Insurance market, in January 1995. It was clear from

the outset that both companies shared similar values and beliefs and a

strong relationship quickly formed. In October 1995 the companies

signed a 3 year joint venture agreement.

Around this time Standard Life purchased a 5% stake in HDFC,

further strengthening the relationship.

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The next three years were filled with uncertainty, due to changes in

government and ongoing delays in getting the IRDA (Insurance

Regulatory and Development authority) Act passed in parliament.

Despite this both companies remained firmly committed to the

venture.

In October 1998, the joint venture agreement was renewed and

additional resource made available. Around this time Standard Life

purchased 2% of Infrastructure Development Finance Company Ltd.

(IDFC). Standard Life also started to use the services of the HDFC

Treasury department to advise them upon their investments in India.

Towards the end of 1999, the opening of the market looked very

promising and both companies agreed the time was right to move the

operation to the next level. Therefore, in January 2000 an expert team

from the UK joined a hand picked team from HDFC to form the core

project team, based in Mumbai. 

Around this time Standard Life purchased a further 5% stake in

HDFC and a 5% stake in HDFC Bank.

In a further development Standard Life agreed to participate in the

Asset Management Company promoted by HDFC to enter the mutual

fund market. The Mutual Fund was Launched on 20th july 2000.

Incorporation of HDFC Standard Life Insurance Company Limited:

The company was incorporated on 14th August 2000 under the name

of HDFC Standard life insurance company limited.

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Their ambition from the beginning was to be the first private company

to re-enter the life insurance market in India. On the 23rd of October

2000, this ambition was realised when HDFC Standard Life was the

first life company to be granted a certificate of registration.

HDFC are the main shareholders in HDFC Standard Life, with 81.4%,

while Standard Life owns 18.6%. Given Standard Life's existing

investment in the HDFC Group, this is the maximum investment

allowed under current regulations.

HDFC and Standard Life have a long and close relationship built

upon shared values and trust. The ambition of HDFC Standard Life is

to mirror the success of the parent companies and be the yardstick by

which all other insurance companies in India are measured.

HDFC Standard Life Insurance Company Limited is one of India's

leading private life insurance companies offering a range of individual

and group insurance solutions. It is a joint venture between Housing

Development Finance Corporation Limited (HDFC Ltd), India's

leading housing finance institution and Standard Life plc, the leading

providers of financial services in the United Kingdom.

HDFC Ltd. as on December 31, 2007 holds 72.38 per cent of equity

in the joint venture. HDFC Standard Life's Product portfolio

comprises solutions, which meet various customer needs such as

Protection, Pension, Savings, and Investment.

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Customers have the added advantage of customizing the Plans, by

adding optional benefits called riders, at a nominal price. The

company currently has 21 retail and 6 group products in its portfolio.

HDFC Standard Life maintains very high professional standards

during product offerings by providing sound financial advice,

efficient post-sale service, and immaculate financial security.

Ongoing training for conventional products, and specialized training,

for unit-linked products, for its financial consultants, has also helped

its customers choose the product, best suited for their needs.

HDFC Standard Life operates across more than 726 cities and towns

of the country supported by its strong network of more than 1,45,000

Financial Consultants. HDFC Standard Life also has more than 383

corporate agents and other sales intermediaries including banks for

distribution of insurance products

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AWARDS & ACCOLADES

In 2012

BestPrax Benchmark 2012 Award

Best Product Innovation Award at Indian

Insurance Award 2012

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HDFC Life has won the BestPrax Benchmark Award 2012 for Leadership Governance in the Service category at the recently held BestPrax Conclave. This award recognizes our efforts inbuilding  world class practices at HDFC Life. This is  an ongoing journey at creating a culture of  excellence .

Received the Best Product Innovation Award for its Product –SAMPOORN SAMRIDDHI The company has received Award for the second consecutive year. This award seeks to honour a life insurer that has launched an innovation product that has set the benchmark in terms of fulfilling an un-met customer need in domain.

Celent Model Insurer Global Award

5th Loyalty Awards 2012 - Insurance Sector (Life)

Century International Quality ERA Award

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HDFC Life has been selected, among the 23 Insurance Companies Worldwide, as a Model Insurer 2012, for the use of Enterprise Wide Learning via the Internet by Celent USA. HDFC Life has also won the Celent Model Insurer Asia 2012 award.

Declared as the winner for Customer & Brand Loyalty in 'Insurance Sector - Life. These awards recognize Customer loyalty efforts of Companies across various sectors. The Theme of this year's Summit was 'Driving Loyalty through Customer Experience Management.

My FM Star of the Industry Awards Excellence in Life Insurance

In 2011

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Received the award in Gold Category. Century International Quality ERA is based on Excellence in Leadership and Business Management, Quality and Excellence, Business and Brand name Prestige, and Technology, Innovation and Expansion.

HDFC Life won the Silver award for Excellence in Life Insurance.The Stars of the Industry Awards recognises individual and corporate excellence across the banking and financial services sector. These Awards were decided by an eminent Jury comprising senior professionals. The Awards were given away in 17 categories.

Amaron Quanta - Express Uptime Champion Awards 2011

Power Brands Hall Of Fame Most Dynamic Marketing Professional of the Year

Master Brand Award

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These awards recognize reliability of IT infrastructure with solutions that guarantee optimal infrastructure uptime 24*7. HDFC Life won the award in the BFSI category

Power Brands Hall Of Fame is a ceremony that seeks to honour the leaders in the marketing & communications fraternity who have carved a niche for themselves with their remarkable strategies that have channelized growth and have been

Best Marketing Strategy - Asian Leadership Awards

India's Most Trusted Service Brand 2011

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Master Brand Award is conferred upon those brands which appeal to a large set of consumers from premium to masses while constantly keeping in mind a consumer centric approach. It is conferred on brands based on research, market data and consumer centric approach as key parameters.

The Asian Leadership Awards is about Achievers, Super Achievers and Future Business Leaders. It recognizes and rewards their ability to steer their businesses through turbulent times, applying the best of business modules to manage and keep their missions afloat.

Ranked India's Most Trusted Private Life Insurance Brand in 2011 in a survey conducted by Economic Times-Brand Equity and the Nielsen Company.

Golden Peacock HR Excellence Award

Best Companies to Work for in India in 2010

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Received the Golden Peacock HR Excellence Award’ for the year 2011 in the 'Banking Financial & Insurance Sector.’ This award acknowledges HDFC Life’s efforts towards innovative people management processes and talent engagement and development initiatives in the highly dynamic Indian life insurance industry.

YoungStar Super' Voted 'Product of the Year 2010

In 2009

Received Diamond EDGE Award 2009

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HDFC Standard Life has been adjudged one of the Best Companies to Work for in India in 2010. The company participated in the Great Places to Work study for the first time and ranked first in the insurance category. It ranked 34th on the Top 50 Best Companies to Work for, in India 2010 list. The company was also awarded for its unique employee initiative - Mission –in-Genius national quiz.

HDFC Standard Life’s Young Star Super has been voted ‘Product of the Year 2010’ in the 'Insurance' category by more than 30,000 consumers nationwide across 36 markets. Young Star Super is an unit linked Children Plan with unique benefits such as bumper additions, double and triple benefits, attractive allocations rates, and seven different funds.

Received CIO 'The Ingenius 100 2009' Award

In 2008

Sar Utha Ke Jiyo Among India's 60 Glorious Advertising Moments

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HDFC Standard Life has received the Diamond EDGE Award 2009 for its mobile workforce portal - Consultant Corner. EDGE - Enterprises Driving Growth and Excellence (using IT) is an initiative by the ,Network Computing magazine to identify, recognise, and honour end-user companies in India that have demonstrated the best use of technology to solve a business problem, improve business competitiveness, and deliver quantifiable ROI to stakeholders.

HDFC Standard Life has received the CIO 'The Ingenious 100 - 2009 Award,' for ATLAS (Agency Training Licensing and Servicing System). Additionally, the company has received the CIO 100 'Security Award 2009' for pioneering LANDesk Management and Security Suite security implementation and taking its security to a higher level of technological excellence.

HDFC Standard Life's advertising slogan honoured as one of '60 Glorious Advertising & Marketing Moments' over the last 60 years in India,' by 4Ps Business and Marketing

Silver Abby at Goafest 2008

HDFC Standard Life's radio spot for Pension Plans won a Silver Abby in the radio writing craft category at the Goafest 2008 organised by the Advertising Agencies Association of India (AAAI). The radio commercial 'Pata nahin chala' touched several changes in life in the blink of an eye through an old man’s perspective. The objective was drive awareness and ask people to invest in a pension plan to live life to the fullest even after retirement, without compromising on one's self-respect.

OUR VISION

'The most successful and admired life insurance company, which

means that we are the most trusted company, the easiest to deal with,

offer the best value for money, and

set the standards in the industry’.

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HDFC Standard Life's advertising slogan honoured as one of '60 Glorious Advertising & Marketing Moments' over the last 60 years in India,' by 4Ps Business and Marketing

'The most obvious choice for all'.

OUR VALUES

Values that we observe while we work:

Integrity

Innovation

Customer centric

People Care One for all and all for ones€ � Teamwork

Joy and Simplicity

BOARD MEMBERS

Brief profile of the Board of Directors

Mr. Deepak S Parekh is the Chairman of the Company. He is

also the Executive Chairman of Housing Development Finance

Corporation Limited (HDFC Limited). He joined HDFC

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Limited in a senior management position in 1978. He was

inducted as a whole-time director of HDFC Limited in 1985 and

was appointed as its Executive Chairman in 1993. He is the

Chief Executive Officer of HDFC Limited. Mr. Parekh is a

Fellow of the Institute of Chartered Accountants (England &

Wales).

Mr. Keki M Mistry joined the Board of Directors of the

Company in December, 2000. He is currently the Managing

Director of HDFC Limited. He joined HDFC Limited in 1981

and became an Executive Director in 1993. He was appointed as

its Managing Director in November, 2000. Mr. Mistry is a

Fellow of the Institute of Chartered Accountants of India and a

member of the Michigan Association of Certified Public

Accountants.

Mr. Alexander M Crombie joined the Board of Directors of

the Company in April, 2002. He has been with the Standard Life

Group for 34 years holding various senior management

positions. He was appointed as the Group Chief Executive of the

Standard Life Group in March 2004. Mr. Crombie is a fellow of

the Faculty of Actuaries in Scotland.

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Ms. Marcia D Campbell is currently the Group Operations

Director in the Standard Life group and is responsible for Group

Operations, Asia Pacific Development, Strategy & Planning,

Corporate Responsibility and Shared Services Centre. Ms.

Campbell joined the Board of Directors in November 2005.

Mr. Keith N Skeoch is currently the Chief Executive in

Standard Life Investments Limited and is responsible for

overseeing Investment Process & Chief Executive Officer

Function. Prior to this, Mr. Skeoch was working with M/s.

James Capel & Co. holding the positions of UK Economist,

Chief Economist, Executive Director, Director of Controls and

Strategy HSBS Securities and Managing Director International

Equities. He was also responsible for Economic and Investment

Strategy research produced on a worldwide basis. Mr. Skeoch

joined the Board of Directors in November 2005.

Mr. Gautam R Divan is a practising Chartered Accountant and

is a Fellow of the Institute of Chartered Accountants of India.

Mr. Divan was the Former Chairman and Managing Committee

Member of Midsnell Group International, an International

Association of Independent Accounting Firms and has authored

several papers of professional interest. Mr. Divan has wide

experience in auditing accounts of large public limited

companies and nationalised banks, financial and taxation

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planning of individuals and limited companies and also has

substantial experience in structuring overseas investments to and

from India.

Mr. Ranjan Pant is a global Management Consultant advising

CEO/Boards on Strategy and Change Management. Mr. Pant,

until 2002 was a Partner & Vice-President at Bain & Company,

Inc., Boston, where he led the worldwide Utility Practice. He

was also Director, Corporate Business Development at General

Electric headquarters in Fairfield, USA. Mr. Pant has an MBA

from The Wharton School and BE (Honours) from Birla

Institute of Technology and Sciences.

Mr. Ravi Narain is the Managing Director & CEO of National Stock

Exchange of India Limited. Mr. Ravi Narain was a member of the core

team to set-up the Securities & Exchange Board of India (SEBI) and is

also associated with various committees of SEBI and the Reserve Bank of

India (RBI).

Mr. Deepak M Satwalekar is the Managing Director and

CEO of the Company since November, 2000. Prior to this, he

was the Managing Director of HDFC Limited since 1993. Mr.

Satwalekar obtained a Bachelors Degree in Technology from the

Indian Institute of Technology, Bombay and a Masters Degree

in Business Administration from The American University,

Washington DC.

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Ms. Renu S. Karnad is the Executive director of HDFC

Limited, is a graduate in law and holds a Master's degree in

economics from Delhi University. She has been employed with

HDFC Limited since 1978 and was appointed as the Executive

Director in 2000. She is responsible for overseeing all aspects of

lending operations of HDFC Limited.

RESEARCH METHODOLOGY

Sources

The success of any Insurance company depends on how well they are able to align with the objectives and needs of individual customers, and is able to provide proper solutions to them. To know how a company is performing and whether they have any cutting edge advantage over competitors, an intensive study of the market is absolutely necessary. In order to understand the performance of different companies in the market, we did two types of surveys, primary survey and secondary survey.

Primary survey

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Primary survey included:-

➢ Visiting websites and fixing appointments with their agents.

➢ Creation of database of prospective clients from different sourcescalling them up to fix appointment and then visiting them.

➢ Prepare a questionnaire for the market survey .

➢ Meeting different people to know their views, perception andpreference of different insurance companies.

_

Secondary surveySecondary survey included of consulting books, magazines, journals, internet and also taking reference from:-library.

Internet.

R.L.I. reports

Methodology

We would go in for a qualitative research as our objective is to judge the perception and preference of different insurance products. The research would be done from primary data.

Sample DesignTarget population: The target population for the research would be people who are in the age group beyond 40 and age group between 25 to 40.We targeted this group of population because these populations are the potential customers of insurance.

Sampling Frame :

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The research would be conducted in Varanasi. The survey has been conducted among the potential customers of R.L.I. from different sectors as Reliance deals in many sectors of business.

Sampling Technique :

The sampling technique that is adopted is the simple random sampling wherein every element in the target population has an equal chance or probability of getting selected in the sample. That means every unit of the population who is more is in the above mentioned age group, have an equal chance of getting selected

Sample Size:

I did a survey among 100 people by taking two categories in consideration of50 each; that is

1.Age group beyond 40

2) Age group between 25 to 40_

Data Collection :

The research would be conducted from the source of primary data collection. Secondary data would help us in knowing the trends prevailing in the insurance market and would help us in analyzing and interpretation of the primary data.

Findings and Interpretations

We have presented below the findings and analysis of the questionnaire addressed to the respondents to gauge the attitude and perception of the people towards insurance._

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Respondents having life Insurance

The question was asked to the respondents to know how many of the respondents had a life insurance policy

85

15

YESNO

Life insurance pol-icy

No.of respondentYes 85no 15

From the survey it was found out that 85% of the respondents had a life insurance policy whereas 15% of the respondents didn’t had a life insurance policy.

In which company you believe most ?

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38%

62%

no of respodent

privatepublic

sector No. Of respodentPrivate 38%public 62%

Most of the people want to invest his money in public insurance company and in private insurance company only 22 respondent want to invest their money. Most of the people buy insurance from LIC and there are 24 private

Insurance policy taken from which companyThe question was asked to the respondents so as to get to know from which insurance company they have bought the policy.

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LIC

HDFC-LI

FE

BIRLA SU

N LIFE

TATA

AIG

AVIVA LIFE I

NSURANCE

0102030405060

no .of respodent

no .of respodent

COMPANIES NO .OF RESPODENTLIC 55HDFC-LIFE 20BIRLA SUN LIFE 10TATA AIG 10AVIVA LIFE INSURANC 5

The finding which came out from the survey was that 40% of the respondents who have a life insurance cover bought life insurance from Life Insurance Corporation of India (LIC). LIC is the most preferred brand in the insurance industry because it is the only government company which offers insurance. People prefer to buy insurance from LIC because of the security being one of the prime factors. In the figure we can also see that nowadays people mindset have changed towards insurance.

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ResultsAfter the survey it was found that still major portion of customers go for public insurance companies, but with the entry of more and more private companies the scenario is changing rapidly, people with a need of more and better returns are opting for privatecompanies, and this can be justified by the increasing market share of private companies in the Indian insurance sector.There are various ways in which private companies are found much more lucrative than public companies and the facts which support this statement are as follows:-1. Versatility of products.2. Efficient fund managers.3. Better customer services.4. More returns.5. Regular follow up.6. Quicker settlement_Suggestions and recommendation✔ People are not aware of the life insurance. Most of them know only one company which provides life insurance i.e. LIC. So awareness campaign should be run so that people are aware of different life insurance companies in India.

✔ People should be educated about the different types of products or plans offered by the life insurance companies. Most of them don’t know much of the different types of plan or products.

✔ It was felt that most of the people took life for tax savings or just to cover up their life, not as an investment avenue. Life Insurance companies need to advertise in such a manner that people start investing in life insurance like the way they invest in the stock market

✔ Now at the time of global turmoil insurance company had to

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hold on to the policyholders trust which might lead the company to the path of success✔ Insurance companies should try to adopt different strategies to market their products or plan. Companies should not primarily focus on the agents for their business._ Conclusion

Insurance is one sector that witnessed continuous growth owing to thereforms in 2000. The insurance sector is likely to attain a size of Rs.2,00,000 crore ($ 51.2 billion) in 2009-10. In life insurance, the business grew by 23.3% to Rs. 93,000 crore in 2007-08 (Source:Assocham). The sector alone employs close to 30 lakh people (including agents and direct employees).A well-functioning insurance market plays an important role in economic development and financial stability of developing economies such as India’s. First, it inculcates and encourages the habit of saving. Second, it provides a safety net to rural and urban enterprise and productive individuals.The life insurance market in India is on a growth path. In spite of this, the country lags far behind the others in awareness about life insurance. The challenge is to spread awareness about life insurance and it true benefits. The industry has to convince people to park their hard earned money in long-term insurance and not just look at it as a tax saving instrument.

Limitations

1. Useful Financial insights are not easily available.

2. Due to time constraint sufficient research on all the investment tools is difficult.

3. The survey sample is not very large for analysis

4. Properly convincing people to invest in insurance products is challenging.

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5. Due to recession there is liquidity crunch in the market.

6. There might have been tendencies among the respondents to amplify or filter their responses under the testing conditions.

7. The research is confined to Varanasi and does not necessarily shows a pattern applicable to other parts of the country.

_

BIBLIOGRAPHY

Marketing Management- Philip Kotlor, edition-twelth edition….April 2004,.

Publisher- Prentice Hall of India (p) Ltd, Analyzing Consumer Markets & Buyer behavior & consumer behaviour.

Broachers from Reliance Life Insurence

WEBSITES

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www.hdfclifeinsurance.com

www. irda india.org

wikipedia.org

www.selling-well.com

www.insureme.com

www.advisortoday.com

www.unlockthegame.comwww.lic.com

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