A Project Report On Performance of ICICI PRUDENTIAL life insurance.

At ICICI Life Insurance Co. Gwalior Submitted to Jiwaji University Gwalior For the fulfillment of the award of Bachelor of Business Administration (2011-2014) Submitted by Ankush Jain

PREFACE
Now a days in this dynamic era Insurance is coming as an important tool for reducing the effect of uncertainty and risks. It becomes an integral part and indispensable part of human life. There are various types of Insurance Plans to provide protection from loss and uncertainties. The Pension Plans is an important one of them.

So it is a great opportunity for me to study on PERFORMANCE OF ICICI LIFE INSURANCE. The purpose of this research is to know the growth rate of ICICI as well as the people perception about the ICICI Life Insurance Corporation.

DECLARATION
I ANKUSH JAIN student of BBA V semester Prestige Institute Of

Management, Gwalior declare that all the information, facts and figures presented in this report are actually based on my experience & my open market research during the project performance of icici prudential life insurance with special references to -ICICI-PRUDENTIAL. I assure that this project is the result of my own sincere efforts and has not been submitted in any other institute for the award of any degree or diploma.

Date: Place: -

ANKUSH JAIN

BBA VTH SEM

ACKNOWLEDGEMENT
Project Report is a combined effort including this one also, so I

would like to thank all who have helped me completion of this report purposeful. I am cardinally grateful to Mr. Ankit Dubey, Training Manager Gwalior. I also want to thank Prof. Amitabh Maheshwari assisting me incompletion of this survey. Further I would like to thanks to all of my Teachers, Staff Members, Library Members, and Friends for their valuable support and advices which helps me a lot to completing this survey purposeful.

Date: -

ANKUSH JAIN

Place: -

BBA VTH SEM

CERTIFICATE OF FACULTY GUIDE

This is to certify that Mr. ANKUSH JAIN student of BBA V| program has completed his/her summer training of .4 weeks (from. 01ST SEP 2013 TO 30TH SEP 2013) and prepared this report under my guidance. (Performance of ICICI PRUDENTIAL life insurance).

(signature.) Name:Prof. Amitabh Maheshwari Faculty guide

TABLE OF CONTENTS
TOPIC
1.1 History of the organization & its objectives 1.2 Organization Structure 1.3 Financial Performance 1.4 Personnel Polices 1.5 Product and Operations 1.6 1.7 Layout and Quality Control Marketing

1.8 Strength and Weakness 1.9 Special Points Chapter -1 introduction Introduction of the concept Chapter -2 object of the study Chapter-3results and discussion Chapter -4 suggestion and implication Chapter-5 conclusion Reference

Annexure

1.1 History of the organization & its objectives

Beginning operations in December 2000, ICICI Prudentials success has been meteoric, becoming the number one private life insurer within months of launch. Today, it has one of the largest distribution networks amongst private life insurers in India, with branches in 54 cities. The total number of policies issued stands at more than 780,000 with a total sum assured in excess of Rs.160 billion. From its early days, ICICI Prudential seemed to have the wherewithal for a large-scale business. By March 31, 2002, a little over a year since its launch, the company had issued 100,000 policies translating into premium income of approximately Rs. 1,200 million on a sum assured of over Rs.23 billion. When the company began its operations, the need was to build a brand that was relatable to, symbolized trust and was easily recognized and understood. It launched a corporate campaign ICICI Prudential also made using the theme of Sindoor to epitomize protection, trust, togetherness and all that is Indian; endearing itself to the masses. The success of the campaign, the calling card of the company saw the brand awareness scores almost at par with its 40 year old competitor. The theme of protection was also extended to subsequent product and category specific campaigns from child plans to retirement solutions which highlight how the company will be with its customers at every step of life. From day one, the company has unflinchingly focused on being mass-market player, developing products, creating a distribution network and deploying resources that would further its goal. Apart from ramping up thoroughly training its advisors, the company has twelve Bancasurance partners the largest in the country. It swiftly revised and added to its initial range of products, pioneering market-linked products and pension plans, to offer customers the most flexible life insurance policies in the country. In February 2004, ICICI Prudential increased its capital base

by Rs. 500 million, its ninth capital hike, bringing the total paid up equity capital to Rs. 6,750 million. With the authorized capital of the company standing at Rs. 12 billion, ICICI Prudential continues to have the highest capital base amongst all life insurers in the country. The challenge ICICI Prudential now faces is to retain its top-notch position and continue to deliver the finest life insurance and pension solutions to its ever-growing customer base. ICICI Prudentials equity base stands at Rs. 1185 crore with ICICI Bank and Prudential plc holding 74% and 26% stake respectively. For the year ended March 31, 2006, the company garnered Rs.2, 412 crore of weighted new business premium and wrote 837,963 policies. The sum assured in force stands at Rs.45, 888 crore. The company has a network of over 72,000 advisors; as well as 9 bancasurance partners and over 200 corporate agent and broker tie-ups. ICICI Prudential is also the only private life insurer in India to receive a National Insurer Financial Strength rating of AAA (Ind) from Fitch ratings. The AAA rating is the highest credit rating, and is a clear assurance of ICICI Prudentials ability to meet its obligations to customers at the time of maturity or claims. For the past five years, ICICI Prudential has retained its position as the No.1 private insurer in the country, with a wide range of flexible products that meet the needs of the Indian customer at every step in life. ICICI Prudential closed the financial year ended march 31, 2004 with a total received premium income of Rs. 9.9 billion; up 135% last years total premium income of Rs.4.20 billion. New business premium income shows a 106% growth at Rs. 7.5 billion, driven mainly by the companys range of unique unit-linked policies and pension plans. The companys retail market share amongst private companies stood at 36%, making it clear leader in the segment. To add to its achievements, in the year 2003/04 it was adjudged Most Trusted Private Life Insurer (Economic Times Most Trusted Brand Survey by AC Nielsen ORG-MARG). It was also conferred the Outlook Money-Best Life Insurer award for the second year running. The company is also proud to have won Silver at EFFIES 2003 for its Retire from work, not life campaign. Notably, ICICI Prudential was also short-listed to the final round for its Sindoor campaign in EFFIES 2002.

ICICI Prudentials success is rooted in its philosophy to always offer the customer a choice. This has been the driving force behind its multi-channel distribution strategy, which includes advisors, banks, direct marketing and corporate agents. In fact, ICICI Prudential was the first life insurer to invest in multiple channels and offer the customer choice and access; thus reducing dependency on any one channel, great strides in the retirement solutions and pensions market. The Companys penetration of the retirement market was driven by the focused approach towards creating awareness through sustained campaign; Retire from work, not life. Within six months, the campaign rewarded ICICI Prudential with an increased share of 23% of the total pensions market and 78% amongst private players.ICICI Prudential has one of the largest distribution networks amongst private life insurers in India, having commenced operations in 132 cities and towns in India, stretching from Bhuj in the west to Guwahati in the east, and Jammu in the north to Trivandrum in the south. The company has 9 bank partnerships for distribution, having agreements with ICICI Bank, Bank of India, Federal Bank, South Indian Bank, Lord Krishna Bank, and some co-operative banks, as well as over 200 corporate agents and brokers, it has also tied up with NGOs, MFIs and corporates for the distribution of rural policies. ICICI Prudential has recruited and trained more than 72,000 insurance advisors to interface with and advise customers. Further, it leverages its state-of-the-art IT infrastructure to provide superior quality of service to customers. ICICI Bank: ICICI Bank (BSE: 532174, NYSE: IBN) (formerly Industrial Credit and Investment Corporation of India) is a major banking and financial services organization in India. It is the second-largest bank by revenue, profit and assets (behind State Bank of India) and the largest private sector bank in India by market capitalization. The bank also has a network of 1,700+ branches (as on 31 March, 2010) and about 4,721 ATMs in India and presence in 18 countries, as well as some 24 million customers (at the end of July 2007). ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and specialization subsidiaries and affiliates in the areas of investment

banking, life and non-life insurance, venture capital and asset management. (These data are dynamic.) ICICI Bank is also the largest issuer of credit cards in India. ICICI Bank has got its equity shares listed on the stock exchanges at Kolkata and Vadodara, Mumbai and the National Stock Exchange of India Limited, and its ADRs on the New York Stock Exchange (NYSE). The Bank is expanding in overseas markets and has the largest international balance sheet among Indian banks. ICICI Bank now has wholly-owned subsidiaries, branches and representatives offices in 18 countries, including an offshore unit in Mumbai. This includes wholly owned subsidiaries in Canada, Russia and the UK (the subsidiary through which the HI SAVE savings brand is operated), offshore banking units in Bahrain and Singapore, an advisory branch in Dubai, branches in Belgium, Hong Kong and Sri Lanka, and representative offices in Bangladesh, China, Malaysia, Indonesia, South Africa, Thailand, the United Arab Emirates and USA. Overseas, the Bank is targeting the NRI (Non-Resident Indian) population in particular. ICICI reported a 1.15% rise in net profit to Rs. 1,014.21 crore on a 1.29% increase in total income to Rs. 9,712.31 crore in Q2 September 2008 over Q2 September 2007. The bank's current and savings account (CASA) ratio increased to 30% in 2008 from 25% in 2007. ICICI Bank is one of the Big Four Banks of India, along with State Bank of India, Axis Bank and HDFC Bank its main competitors. TypePublic (BSE: 532174, NYSE: IBN) Industry : BankingFinancial services Founded :1955 Headquarters:Mumbai, India Key people: K.V. Kamath (Chairman) ChandaKochhar (MD&CEO) N. S. Kannan (CFO) Products: Investment Banking Commercial Banking Retail Banking Private Banking Asset Management

Mortgage Credit Cards Revenue US$ 12.467 billion (2009) Operating income US$ 3.236 billion (2009)[ Profit US$ 664 million (2009) Total assets US$ 93.508 billion (2009) Total equity US$ 9.376 billion (2009) Employees 35,000+ (2009) 3.4.2. Prudential plc: Established in London in 1848, Prudential plc is an international retail financial services group with significant operations in Asia, the US and the UK serving around 25 million customers, policyholder and unit holders worldwide. The company has 290 billion of assets under management and it is one of the best-capitalised insurers in the world with an Insurance Groups Directive (IGD) capital surplus estimated at 3.4 billion (at 31 December 2009). Prudential is a leading life insurer in Asia with a presence in 12 markets and have the top three position in seven key locations of Hong Kong, India, Indonesia, Malaysia, Singapore, the Philippines and Vietnam. Prudentialplc (LSE: PRU, NYSE: PUK) is a British financial services company. The company has over 21 million customers worldwide. As well as the UK arm of its operations it has operations in 12 countries in Asia and owns Jackson National Life in the United States. It founded the Egg internet bank, which it sold to Citigroup in 2007. It is listed on the London Stock Exchange and is a constituent of the FTSE 100 Index. Type: Public (LSE: PRU, NYSE: PUK) Industry: Financial services Founded: 1848 Headquarters:London, England, UK Key people: Harvey McGrath, (Chairman) TidjaneThiam, (CEO) Products: Life insurance Revenue20,299 million (2009)

Operating income1,564 million (2009) Net income677 million (2009) Employees 25,000 (2010)

1.2 Organization Structure

Head Office General Manager

Manager

Assistant Manager

Accountant

Assistant Accountant

Senior Clerk

Junior Clerk

Attenders

Branch structure

Manager

Accountant (1) Assistant accountant

Accountant (2) Assistant accountant Senior Clerk Junior Clerk Assistant Accountant

K. V. Kamath Managing Director and Chief Executive Officer

Lalita Gupte Joint Managing Director

Kalpana Morparia Joint Managing Director

Chanda Kochhar Deputy Managing Director

Nachiket Mor Deputy Managing Director

1.3 Financial Performance

Assets Under Management (AUM) as at the end of Feb-2007 (Rs in Lakhs)
AUM Mutual Fund Name Average AUM For The Month

1. ABN AMRO Mutual Fund 2. AIG Global Investment Group Mutual Fund 3. Benchmark Mutual Fund 4. Birla Sun Life Mutual Fund 5. BOB Mutual Fund 6. Canbank Mutual Fund 7. DBS Chola Mutual Fund 8. Deutsche Mutual Fund 9. DSP Merrill Lynch Mutual Fund 10. Escorts Mutual Fund 11. Fidelity Mutual Fund 12. Franklin Templeton Mutual Fund 13. 14. 15. 16. 17. 18. 19. 20. 21. 22. 23. 24. 25. 26. 27. HDFC Mutual Fund HSBC Mutual Fund ING Vysya Mutual Fund JM Financial Mutual Fund JPMorgan Mutual Fund Kotak Mahindra Mutual Fund LIC Mutual Fund Lotus India Mutual Fund Morgan Stanley Mutual Fund PRINCIPAL Mutual Fund ICICI PRUDENTIAL Mutual Fund Quantum Mutual Fund Reliance Mutual Fund Sahara Mutual Fund SBI Mutual Fund

Excluding Fund Of Excluding Fund Of Fund Of Funds Fund Of Funds Funds Funds 527298.61 34793.7 520357.41 35962.1 N/A 493459.19 2107032.33 13189.46 220055.55 267272.69 632738.66 1363796.81 11892.52 567052.22 2210219.06 3107988.05 1196159.48 465070.34 382811.94 N/A 1340625.72 1149722.96 123858.99 287119.9 1060032.69 4328067.51 5380.17 4221591.34 17596.99 1847383.96 1299706.71 780107.96 1419829.99 23543.31 3860299.44 35330904.55 N/A 0 1901.45 0 0 0 0 0 0 7885.48 32939.41 0 0 91168.93 0 N/A 55835.13 0 0 0 0 3731.96 0 0 0 0 2886.65 0 0 0 0 231142.71 N/A 565300.47 2276874.74 12710.58 224400.85 236941.15 643309.79 1337579 9857 594872.17 2343907.4 3222873.02 1219830.8 469516.87 386731.37 N/A 1335816.27 1197068.82 84093.35 310427.14 1094027.66 3907924.85 5818.48 4359281.53 16987.98 1874050.79 1381960.47 793897.25 1448329.74 25362.02 3926014.55 35826123.52 N/A 0 2016.87 0 0 0 0 0 0 8669.47 33551.3 0 0 97905.45 0 N/A 59243.32 0 0 0 0 3982.85 0 0 0 0 2861.86 0 0 0 0 244193.22

28. Standard Chartered Mutual Fund 29. Sundaram BNP Paribas Mutual Fund 30. Tata Mutual Fund 31. Taurus Mutual Fund 32. UTI Mutual Fund Grand Total

Asset Under Management Mutual Fund Name ABN AMRO Mutual Fund Alliance Capital Mutual Fund Birla Sun Life Mutual Fund Canbank Mutual Fund Chola Mutual Fund Deutsche Mutual Fund DSP Merrill Lynch Mutual Fund Fidelity Mutual Fund Franklin Templeton Mutual Fund HDFC Mutual Fund HSBC Mutual Fund ING Vysya Mutual Fund JM Financial Mutual Fund Kotak Mahindra Mutual Fund LIC Mutual Fund PRINCIPAL Mutual Fund Prudential ICICI Mutual Fund Reliance Mutual Fund Sahara Mutual Fund SBI Mutual Fund Standard Charted Mutual Fund Sundaram Mutual Fund Tata Mutual Fund Taurus Mutual Fund UTI Mutual Fund AUM 1580.36 1431.46 10049.66 1565.19 1004.62 2366.72 6472.80 1628.06 16704.74 15707.82 7250.63 2072.86 3780.83 6501.52 2959.15 6264.96 17095.89 9907.89 565.50 7189.35 7636.86 2035.21 8713.95 170.76 21975.57 Equity & Balance 464.589. 589.48 1668.77 224.35 232.63 96.57 1462.33 1628.06 6965.36 6126.04 1987.93 337.25 85.52 1065.12 277.46 1682.48 2169.46 4226.40 25.74 2311.54 0.00 997.91 2629.09 157.53 8791.81 Debt & MIP 1115.92 841.98 8380.89 1340.84 771.99 2270.15 5010.47 0.00 9739.38 9581.78 5262.70 1735.62 3694.51 5436.41 2681.69 4582.48 14926.44 5681.49 539.76 4877.81 7636.86 1037.31 6084.86 13.23 13183.77 Equity % 29.39 41.18 16.61 14.33 23.16 4.08 22.59 100.00 41.70 39.00 27.42 16.27 2.26 16.38 9.38 26.86 12.69 42.66 455 32.15 0.00 49.03 30.17 92.25 40.01 Debt % 70.61 58.82 83.39 85.67 76.84 95.92 77.41 0.00 58.30 61.00 72.58 83.73 97.74 83.62 90.62 73.14 87.31 57.34 95.45 67.85 100.00 50.97 69.83 7.75 59.99

List of Assets Management Companies and their assets under management As on June 2008 (In Crores.) ICICI PRUDENTIAL 1593.8546 47.9336 2.0978 179.0116 2107.78 1551.236 823.2623 479.4336 3778.4525 6932.384 469.6412 412.9397 150.5677 563.5074 6961.6842 17095..89

Particulars Diversified Tax Planning Index Sector Total Equity FMP MIP Debt ST Income Total Debt Balanced Gilt LT Gilt ST Total Gilt Liquid Total

(Above Table showing Acquisition and Utilization of fund of ICICI PRUDENTIAL) Fund Manager does utilization of fund, ICICI PRUDENTIAL AMC has variety of scheme and each scheme has different Fund Manager who is responsible of investing money into market and also responsible to give return to investors.

RATIO ANALYSIS Growth Fund Ratio Current ratio EPS Div payout to unit holders Div. payout Div. to total income Profit on sales redemption to total income Formula Current asset/current liability Total profit/unit capital Div. paid/unit capital Div. paid/net profit Dividend/total income Profit/sales redemption 2008 2438.37/1818.15=1.34 23311.45/7700.63=3.02 941.81/7700.63=0.12(12%)Div. paid/unit capital 941.81/23311.45=0.04(4%) 428.45/18041.54=0.24(2.4%) 2007 1275.46/1066.90=1.19 14126.20/9981.01=1.41 621.86/9981.01=0.62(6.2% ) 621.86/14126.20=0.04(4% ) 717.53/14882.68=0.48(4.8 %) 12074.52/14882.68=0.81(8 1%)

13834.17/18041.54=0.77(77%)

(Above Table Showing - Ratio analysis of ICICI PRUDENTIAL AMC)

1.4 Personnel Polices

One of your most important responsibilities as a parent is to ensure that your child gets the best possible education that can be provided. ICICI Prudential offers a wide portfolio of education insurance plans that are designed to provide peace of mind to you, as a parent, that your child's education will be secure. These plans ensure that money is made available at the crucial junctures in a child's education - Class X, Class XII, graduation and post-graduation - to fund crucial commitments for the child's future. Importantly, education insurance plans ensure that in the unfortunate event of the death of a parent, the child's education continues unhampered. Under the education insurance plans platform, ICICI Prudential brings the following products to you. Please click on the product name to know more about the plans.

Plan Name

Plan Type

SmartKid New Unit-linked Regular SmartKid New Unit-linked Single SmartKid Regular Premium Premium Premium

Unit Linked

Unit Linked

Traditional

Wealth Creation Plans

Wealth Creation Plans give the customer the dual benefit of protection along with the potentially higher returns of market-linked instruments. The most important benefit of ULIPs is the flexibility they give the customer in choosing the premium amount and also choosing the underlying fund in which this money is to be invested. Wealth creation plans also offer the customer more liquidity options as compared to traditional plans. As such, ULIPs are ideal for customers who want the protection of a life cover to be allied to the returns of market linked instrument giving them an unmatched combination of benefits.

Under the wealth creation platform, ICICI Prudential brings the following products to you. Please click on the product name to know more about the plans.

Plan Name

Plan Type

ICICI Pru SecureSave ICICI Pru Wealth Advantage ICICI Pru LifeStage Assure ICICI Pru LifeTime Gold ICICI Pru PremierLife Gold ICICI Pru LifeLink Super ICICI Pru LifeStage RP

Unit Linked Unit Linked Unit Linked Unit Linked Unit Linked Unit Linked Unit Linked

Why ICICI Pru Secure Save

Life is full of uncertainties and a safety net that will protect us from any fall is what we always strive for. The same is true for our investments where we would love to enjoy the upside of our investments while keeping our downside safe. Presenting ICICI Pru SecureSave which aims to grow the value of customers hard earned savings over time with an assurance of a minimum guaranteed maturity amount to protect you from the downside of equity markets.

Features and benefits of ICICI Pru SecureSave

Guaranteed Maturity Benefit: The SecureSave Guarantee fund provides a Guaranteed Maturity Benefit (GMB). It applies only at maturity, not on death, partial withdrawal or surrender. The GMB for the various policy terms offered under the policy are shown below.

Premium Payment Term Term of the Policy Guaranteed Maturity Benefit

5 yrs 10 yrs

7 yrs 15 yrs

10 yrs 20 yrs

110% (As a % of Aggregate Investment Premium)*

125%

150%

* This Guarantee is on the Investment Premiums, i.e., your annual premiums less the Mortality charge

1.5 Product and Operation

ICICI PRUDENTIALS PRODUCTS.

Insurance solution for individuals.. ICICI Prudential Life Insurance offers a range of innovative, customer-centric products that meet the needs of customers at every life stage. Its 17 products cab is enhanced with up to 6 riders, to create a customized solution for each policyholder.

Savings Solutions.. Secure Plus is a transparent and feature-packed savings plan that offers 3 levels of protection. Cash Plus is a transparent, feature-packed savings plan that offers 3 levels of protection as well as liquidity options. Save n Protect is a traditional endowment savings plan that offers life protection along with adequate returns. Cash Back is an anticipated endowment policy ideal for meeting milestone expenses like a childs marriage, expenses for a childs higher education or purchase of an asset.

Protection Solutions. LifeGuard is a protection plan, which offers life cover at very low cost. It is available in 3 coupons level term assurance, level term assurance with return or premium and single premium.

Child Solutions. Smart kid child plans provide guaranteed educational benefits to a child along with life insurance cover for the parent who purchases the policy. The policy is designed to provide money at important milestones in the childs life. SmartKid child planed are also available with in unit-linked form both single premium and regular premium. Market-linked Solutions LifeLink is a single premium Market Linked Insurance Plan, which combines life insurance cover with the opportunity to stay, invested in the stock market. Life Time offers customers the flexibility and control to customize the policy to meet the changing needs at different life stages. It offers 3 investment options Growth Plan, Income plan and Balance plan.

Retirement Solutions Forever Life is a retirement products targeted at individual in there thirties. Secure Plus Pension is a flexible pension plan that allows one to select between 3 levels of cover. Market-linked retirement products Life Time Pension is a regular premium market-linked pension plan. Life Link Pension is a single premium market linked pension plan. ICICI Prudential also launched Salaam Zindagi, a social sector group insurance policy targeted at the economically underprivileged sections of the society. Group Insurance Solutions ICICI Prudential also offers Group Insurance Solutions for companies seeking to enhance benefits to their employees.

Group Gratuity Plan ICICI Prus group gratuity plan helps employers fund their statutory gratuity obligation in a scientific manner. The plan can also customize to structure schemes that can provide benefits beyond the statutory obligations. Group Superannuation Plan ICICI Bank offers flexible defined contribution superannuation scheme to provide a retirement kitty for each member of the group. Employees have the option of choosing from various annuity options or opting for partial commutation of the annuity at the time of retirement.

Group Term Plan

ICICI Prus flexible group term solution helps provides affordable cover to members of group. The cover could be uniform or based on designation/rank or a multiple of salary. The benefit under the policy is paid to the beneficiary nominated by the member on his/her death. Flexible Rider Options ICICI Pru Life offers flexible riders, which can be added to the basic policy at marginal cost, depending on the specific of the customer. Accident & disability benefit: If death occurs as the result of an accident during the term of the policy, the beneficiary receives an additional amount equal to the sum assured under the policy. If the death occurs while traveling in an authorized mass transport vehicle, the beneficiary will be entitled to twice the sum assured as additional benefit. Accident benefit: This rider option pays the sum assured the rider on death due to accidents. Critical Illness Benefit: protects the insured against financial loss in the event of 9 specified critical illnesses. Benefits are payable to the insured for medical prior to death. Major Surgical Assistance Benefits: provides financial support in the event of medical emergencies, ensuring that benefits are payable to the life assured for medical expenses Incurred for surgical procedures. Cove is offered against 43 different surgical procedures. Income Benefit: This rider pays the 10% of the sum assured to the nominee every year, till maturity, in the event of the death of the life assured. It is available on SmartKid, SecurePlus and Cashplus.

1.6

Layout and Quality Control

ICICI Prudential Life was awarded the Life Insurance Company of the Year at the 12 th Asia Insurance Industry Award 2008.

. ICICI Prudential Life won the Award for Brand Excellence in the Banking and Financial services category at the Asia Brand Congress 2008.

. ICICI Prudential Life won the ICICI Group Marketing Excellence Award 2008 in three key categories for its marketing initiative

ICICI Prudential Lifes, retirement solutions campaign for the year 2006-07 was awarded the Bronze Effy trophy in the services category. It also won the Brand Equity Bravery Award 2007, instituted by Ad club.

Best Life Insurer 2003. Outlook Money Awards 2003 & 2004 IMM Award for Excellence.Institute of Marketing & Management Organization with Innovative HR Practices Indira Group of Institutes.

1.7 Marketing
MARKETING AND SALES DEPARTMENT:
A product is anything that can be offered to satisfy a need or want. So, asocial and managerial process by which individuals and groups obtain what they need and want through creating, offering and exchanging products of value with others that is called marketing. Marketing starts with human needs, wants, demands and human satisfaction. People satisfy their needs and wants withproducts.Actually, selling is preoccupied with the sellers need to convert his product into cash, but marketing is the idea of satisfying the needs of the customer by means of the product and the whole cluster of things associated with creating, delivering and finally consuming it. STRUCTURE OF MARKETING DEPARTMENT:

GENERAL MANAGER MANAGER (MARKETING) ASSISTANT MANAGER MARKETING OFFICER ASSISTANT MARKETING OFFICER

MARKETING ASSISTANTS
MARKETING ORGANIZERS

4.3.4Relationship Marketing in Insurance:

It is five times more expensive to acquire a new customer then to retain an old one. Relationship Marketing is the practice of building long term satisfying relationship with key parties, customers and suppliers. They accomplish this by promoting and delivering high quality goods services and fair prices to other parties. Relationship marketing results in strong economic, technical and social ties among the parties. The important objectives of relationship marketing is to acquire new customers, maintain and enhance relationship with existing customers, re-activities of ex-customers and handling of customers terminations. The key objective of relationship marketing is to establish one to one relationship with all customers.

How to add value through relationship Marketing Identify loyal customers Recognize their special needs Provide special reward for loyalty Establish continuing relationship Ensure increase in customer value

Relationship marketing is one of the hottest trends in the present marketing scenario. Satisfied customers not only stay with a company but they are also walking talking advertisement for the companys product

1.8 Strength and Weakness

Strengths 1. 200 years record of profitability 2. Entire range of products for corporate and retail customers 3. Market segmentation and products for niche segment 4. Significant presence in Credit cards, Insurance, Mutual funds, Investment banking, Personal loans and SME sector 5. 54 overseas offices spanning 28 countries 6. 21 banking and non-banking subsidiaries and associates 7. Over 80% of top corporate in India have strong relationships with SBI 8. Largest individual customer base in the country 9. Leading provider of financial services across retail and wholesale segments Weaknesses 1. Constrained by the norms of public sector status 2. Large size has its impact on swiftness of response 3. Comparatively large number of employees 4. Lack of innovation 5. Inability to implement proper individual reward schemes to motivate and enhance productivity due to industry wide implications Opportunities 1. Improvement in the economic conditions 2. Increasing purchasing power of large number of middle class ------------3. Indias stature as leading IT power 4. Retail finance and insurance sector 5. Low penetration of credit cards 6. Cross-selling 7. Infrastructure development

Threats 1. Asset Quality 2. Interest Rate risk 3. Operations risk in view of increasing use of technology in day to day operations 4. Fleet-footed foreign banks and private banks 5. Pressure on margins

1.9 Special Points

CHAPTER -1 INTRODUCTION

INTRODUCTION
Since my last report, this employee has reached rock bottom and shows signs of starting to dig. I would not allow this employee to breed. Works well under constant supervision and cornered like a rat in a trap. He sets low personal standards and then consistently fails to achieve them. This associate is really not so much of a has-been, but more of a definitely wont be. The above quotes are actual comments made by managers on employees performance review forms although humorous, they illustrate what performance is NOT!

Performance Management is a key process in any organisation and should assist the management and staff to focus on the key issues and business objectives to ensure sustainability.

Performance Management is therefore much more than merely telling a person what to do and policing them until it is done. Rather, it is an integral part of the manager and the employees job it is a joint process.

The bottom-line reality is that we all need to know what is expected in a specific role if that is lacking, uncertainty and frustration, resulting in demotivation and ineffectiveness, is created. This in turn impacts negatively on company performance and long-term sustainability of the organisation. To avoid this, clear goals and objectives need to be defined and that is the crux of an effective Performance Management system.

PERFORMANCE MANAGEMENT WHAT IS HAPPENING IN SA?

Some perspectives (Deloitte and Touche HCC Survey, 2001):

85% of SA companies have a Performance Management System (PMS). 95% of these companies have a strong commitment of the CEO. In 94% of these organisations, there is a formal communication strategy1 regarding the Performance Management System and Process. Only 51% of the surveyed companies believe employees and managers are adequately educated and trained in PMS. 37% use the Balanced Scorecard methodology. 86% allow employees to jointly set targets and objectives with the manager. 91% have clear PMS policies, procedures and systems in place. Most companies measure performance using hard and soft measures. Hard measures are quantitative, and often include profit targets, numerical targets, etc. Soft measures are less quantitative and more qualitative and refer to behaviours, service levels, etc.

PERFORMANCE MANAGEMENT DEFINED

Performance Management is the process of defining clear objectives and targets for individuals and teams, and the regular review of actual achievement and eventual rewarding for target achievement.

The process should ensure that individual and team effort support the organisational objectives and that key stakeholder expectations are realised by focusing on key value drivers. Thus: Planning is crucial Stakeholder expectations are key drivers of Performance Management Management and employee buy-in and involvement are paramount Key objectives and targets should be linked to corporate strategy

These factors are often not addressed in organisations and as a result the process is often destructive and draws a tremendous amount of energy from the organisation leading to a situation where value-add and benefits are minimal. Performance Management should be a process that incorporates the following: Planning Performance: setting Key Performance Areas (KPAs), objectives and standards that are linked to corporate strategy, development plans Maintaining Performance: monitoring, feedback, coaching and mentoring and regular interactions regarding goal achievement Reviewing Performance: formal feedback and ratings evaluating performance Rewarding of Performance: increases, bonuses, incentives, etc

Planning Performance:

Performance Management Model

Reward Performance:

-Setting objectives -Outlining development plans -Getting commitment

-Link to pay -Results = performance

PERFORMANCE MANAGEMENT PROCESS

Reviewing Performance:

Maintaining Performance:

-Formal reviews -Assess against objectives

-Monitoring performance -Coaching -Feedback

Business strategy, stakeholders, key economic wealth drivers

The Planning Phase is crucial - 80% of time and effort should be allocated to this phase. If the focus is on inappropriate aspects of the organisation (i.e. the goals do not contribute to longterm strategy achievement and stakeholder requirements), none of the subsequent phases will

be worthwhile. If the focus is inappropriate, it often leads to demotivation, lack of credibility and failure of the business.

Planning typically should include the identifying Key Value Drivers of stakeholders (stakeholders typically are the shareholders, customers and employees of the organisation).

Schematically the process can be depicted as follows:

Shareholders

STRATEGY

Customers

Employees

KEY VALUE DRIVERS

Once the key value drivers are identified (value drivers are the key aspects that create economic wealth for the key stakeholders, and can include profitability, quality service, training, etc), the following is required:

CHAPTER -2 OBJECT OF THE STUDY

OBJECTIVE OF THE STUDY

For every problem there is a research. As all the researches are based on some and my study is also based upon some objective and these are as follows. 1. To understand the insurance business and products of ICICI Prudential life insurance co ltd. 2. To find out the peoples perception about life insurance. 3. To find out whether people were really aware of life insurance. 4. To find out how people think about private life insurance. 5. To find out what respondents expect from life insurance. 6. To understand Consumer buying behavior 7. To come out with conclusion and suggestions based on the analysis and the Interpretation of data.

RESEARCH METHODOLOGY

Research in common parlance refers to a search for knowledge. One can also define research as a scientific and systematic search for pertinent information on a specific topic. The word research has been derived from French word Researcher means to search. FRANCIES RUMMER defined Research: It is a careful inquiry or examination to discover new information or relationship and to expand or verify existing knowledge. Research is the solution of the problem, whether created or already generated. When research is done, some new out come, so that the problem (created or generated) to be solved. RESEARCH DESIGN: Research Design is the conceptual structure within which research is conducted. It constitutes the blueprint for collection, measurement and analysis of data. The design used for carrying out this research is Descriptive.

DATA TYPE: In this research the type of data collection is Primary data Secondary data

DATA SOURCE: The sources of collection of secondary data are: Questionnaire Books Websites Magazine Brochure

SAMPLING PLAN: It is very difficult to collect information from every member of a population .As time and costs are the major limitation that the researcher faces.

A sample of 100 was taken the sample size of 100 individuals were selected on the basis of convenient sampling technique. The individuals were selected in the random manner to form sample and data were collected from them for the research study.

ANALYSIS AND INTERPRETATION: Data collection through questionnaire and personnel interview resulted in availability of the desired information but these were useless until there were analyzed. Various steps required for this purpose were editing, coding and tabulating. Tabulating refers to bringing together similar data and compiling them in an accurate and meaningful manner. The data collected by questionnaire was analyzed, interpreted with the help of table, bar chart and pie chart

DATA ANALYSIS AND INTERPRETATION 1. Age of the respondents

PARTICTULARS Less than 25 25 - 35 35 - 45 Above 45 TOTAL

NO.OF.RESPONDENT 11 40 20 29 100

PERCENTAGE 11% 40% 20% 29% 100

Age of the Respondents

NO.OF.RESPONDENT 100 80 60 40 20 0 Less 25 - 35 35 - 45 than 25 Above 45 TOTAL PERCENTAGE

ANALYSIS: From the survey it was found that amongst 100 respondents a) b) c) d) 11% of the respondents are less than 25 years old. 40% of the respondents are between 25 and 35 years of age. 20% of the respondents are between 35 and 45 years of age. 29% of the respondents are more than 45 years of age.

2. Qualification of the respondents. PARTICUALR Graduate Post Graduate Diploma Other discipline TOTAL NO.OF.RESPONDENT 52 29 8 11 100 PERCENTAGE 52% 29% 8% 11% 100%

Qualification of the Respondents

Graduate Other discipline 100 80 60 40 20 0 PERCENTAGE NO.OF.RESPONDENT Post Graduate TOTAL Diploma

ANALYSIS: From the survey it was found that amongst 100 respondents a) b) c) d) 52% of the respondents were graduate 29% of the respondents were post graduate 8% of the respondents were diploma 10% of the respondents were other discipline

3) Occupation of the respondents PARTICULARS Business man Professionals Job holders Others TOTAL NO.OF.RESPONDENT 34 18 37 11 100 PERCENTAGE 34% 18% 37% 11% 100%

Occupation of the Respondents

Business man Others 100 80 60 40 20 0 NO.OF.RESPONDENT Professionals TOTAL Job holders

ANALYSIS: From the survey it was found that amongst 100 respondents a) b) c) d) 34% of the respondents are businessmen. 18% of the respondents are professionals. 37% of the respondents are job holders. 11% of the respondents are background.

4) Average annual income of respondents. PARTICULARS Up to 1 lakh 1 lakh - 3 lakh 3 lakh - 5 lakh 5 lakh & above TOTAL NO.OF.RESPONDENT 33 43 20 4 100 PERCENTAGE 33% 43% 20% 4% 100%

Average annual income of respondents.

100 80 Up to 1 lakh 1 lakh - 3 lakh 3 lakh - 5 lakh 5 lakh & above TOTAL 60 40 20 0 NO.OF.RESPONDENT

ANALYSIS: From the survey it was found that amongst 100 respondents a) 33% of the respondents have an average annual income up to 1 lakh b) 43% of the respondents have an average annual income from 1 lakh to 3 lakh c) 20% of the respondents have an average annual income from 3 lakh to 5 lakh d) 4% of the respondents have an average annual income above 5 lakh

5) Family size of respondents PARTICULARS Below 5 members 5 - 10 members Above 10 members TOTAL NO.OF.RESPONDENT 50 32 28 100 PERCENTAGE 50% 32% 28% 100%

FAMILY SIZE

28% 50% below 5 members 5- 10 member above 10 member 32%

ANANLYSIS: From the survey it was found that amongst 100 respondents a) 50% of the respondents are below 5 members. b) 32% of the respondents are between 5 to 10 members. c) 28% of the respondents are above 10 members.

6) According to life insurance is. PARTICULARS Risk Coverage Tax Savings Good return Security All the above TOTAL NO.OF.RESPONDENT 10 3 4 3 80 100 PERCENTAGE 10% 3% 4% 3% 80%

Life Insurance is
Risk Coverage Security 100 80 60 40 20 0 NO.OF.RESPONDENT Tax Savings All the above Good return TOTAL

ANALYSIS: From the survey it was found that amongst 100 respondents a) b) c) d) e) 10% of the respondents say risk coverage. 3% of the respondents say tax savings. 4% of the respondents say good returns. 3% of the respondents say financial security. 80% of the respondents say all of the above.

7) Awareness of ICICI Prudential life insurance

PARTICULARS Yes No TOTAL NO.OF.RESPONDENT PERCENTAGE 17 83 100 17% 83% 100%

Awareness of ICICI Pru

Yes No TOTAL

100 80 60 40 20 0 NO.OF.RESPONDENT

ANALYSIS: From the survey it was found that amongst 100 respondents a) 83% of the respondents say that they are aware of ICICI Prudential life insurance co. b) 17% of the say that they are unaware of ICICI Prudential life insurance co

8) Awareness regarding insurance. PARTICULARS Yes No TOTAL NO.OF.RESPONDENT 2 98 100 PERCENTAGE 2% 98% 100%

INSURANCE AWARENESS
100 90 80 70 60 50 40 30 20 10 0 Yes No TOTAL

NO.OF.RESPONDENT PERCENTAGE

ANALYSIS: From the survey it was found that amongst 100 respondents a) 98% of the respondents say that they are aware of insurance. b) Only 2% are unaware of insurance.

9) % of respondents who are under different plans of ICICI Prudential life insurance co. PARTICULARS Invest gain plan Unit gain plan Child gain plan Whole life plan Pension plan TOTAL NO.OF.RESPONDENT 41 36 8 15 No 100 PERCENTAGE 41% 36% 8% 15% No 100%

INSURANCE PLANS OF ICICI PRUDENTIAL

15% 8% 41%

36%

Invest gain plan Unit gain plan Child gain plan Whole life plan Pension plan

ANALYSIS: From the survey it was found that amongst 100 respondents a) b) c) d) e) 41% of the respondents are under invest gain plan 36% of the respondents are under unit gain plan 8% of the respondents are child gain plan 15% of the respondents are whole life plan No body under pension plan

10)

% of respondents benefits of choosing the particular products

PARTICULARS Risk coverage Additional benefit Maturity date Sum Assured TOTAL

NO.OF.RESPONDENT 60 20 12 8 100

PERCENTAGE 60% 20% 12% 8% 100%

Benefits of Particular Products

100 90 80 70 60 50 40 30 20 10 0 1 2

Risk coverage Additional benefit Maturity date Sum Assured TOTAL

ANALYSIS: a) 36% of the respondents say that a benefit of choosing the particular Product is for Safety of life. b) 20% of the respondents say that a benefit of choosing the particular products is for additional benefit to family c) 12% of the respondents say that a benefit of choosing the particular products is for maturity date d) 8% of the respondents say that a benefit of choosing the particular products is for sum assured

11)

% of disadvantages in insurance plan NO.OF.RESPONDENT 35 20 19 14 12 100 PERCENTAGE 35% 20% 19% 14% 12% 100%

PARTICUALRS Liquidity Lapsation Unable to decide premium High risk coverage Fixed Term TOTAL

Disadvantages in Insurance Plans

100 80 60 40 20 0 NO.OF.RESPONDENT Liquidity Unable to decide premium Fixed Term Lapsation High risk coverage TOTAL

ANALYSIS: From the survey it was found that amongst 100 respondents a) 35% of the respondents say that disadvantages in insurance plan are liquidity. b) 20% of the respondents say that disadvantages in insurance plan are lapsation. c) 19% of the respondents say that disadvantages in insurance plan is unable decide premium. d) 14% of the respondents say that disadvantages in insurance plan are high risk coverage at high premium. e) 12% of the respondents say that disadvantages in insurance plan is fixed term

12)

% of respondents who want to invest in these different avenues.

PARTICUALRS Recurring Deposit Equity Fund Balanced Fund Mutual Fund Debt Fund Cash Fund TOTAL

NO.OF.RESPONDENT 40 25 10 11 5 9 100

PERCENTAGE 40% 25% 10% 11% 5% 9% 100%

INVESTMENT AVENUES
9% 40% R.D Equity Balanced fund Mutual Fund 10% 25% Debt Fund Cash Fund

5% 11%

ANALYSIS: From the survey it was found amongst 100 respondents a) b) c) d) e) f) 40% of respondents say that they want to invest in R.D 25% of respondents say that they want to invest in equity 10% of respondents say that they want to invest in balanced fund 11% of respondents say that they want to invest in mutual fund 5% of respondents say that they want to invest in debt market 9% of respondents say that they want to invest in cash

CHAPTER -4 SUGGESTION AND IMPLICATION

SUGGESTION
On an analysis and evaluation of the data collected from the respondents the following findings were found.

Before establishment of private concerns the share of LIC was 22% hence there is a wide scope for private concerns to enter in to market.

Total 100 respondents have been approached out of which 75 are the potential respondents who have shown interest for investment and finance plan Above 20% of respondents are shown interest for investment and financial plan About 33.33% of respondents are not interest to give their personal records. About 12.67% of respondents have already been covered by other insurance companies. About 10% of respondents have given invalid records. About 10% of respondents are newly employed or trainees. About 10% of respondents interested for investment plan after knowing ICICI PRUDENTIAL LIFE INSURANCE products.

CHAPTER-5 CONCLUSION

CONCLUSION
Since ICICI Prudential Life Insurance co. ltd is the largest in terms of FDI invested, in terms of work force, in terms of market share, in terms of no. of customers. All these positive stands of the company place at the number one position. On second aspect whatever amount of money ICICI Prudential save, can be used to increase the no. of policies, which will helpful to increase the market share of the company. Since the customers think about the companies in the industry, when they invest money in the life insurance industry. So its necessary to increase the market share of the company. There are some recommendations. Open some more branches in semi urban and rural area.

ICICI Prudential has almost its branches in urban area or metros. So in order to increase the no. of customer, ICICI Prudential should increase the approach towards potential customers. For that it has to increase the branches in the semi

Reference
www.iciciprulife.com www.google.co.in/indian insurance industry www.irdaindia.org ICICI Prudential Company magazines Newspaper and Business magazines

Annexure
1. Name 2. _________________________________ Address _________________________________ _________________________________ _________________________________

3.

Age a. Less than 25 b. 25 35 c. 35-45 d. 45 and above

4. Qualification a. Graduate b. Postgraduate 5. Occupation a. Business b. Professional 6. c. Job holder d. Other c. Diploma d. Other discipline

What is your average annual income? a. b. c. d. Up to 1 lakh 1 lakh to 3 lakhs 3 lakhs to 5 lakhs 5 lakhs and more

7. Your family size a. Below 5 members b. 5 10 members c. Above 10 members

7.

According to you life insurance is, a. A tax saving plan b. A saving scheme with good return c. A financial security for the family d. Risk coverage e. All the above Have you taken any life insurance product of ICICI Prudential Life insurance? YES NO

8.

If yes 9. Which are in these? a. Unit gain plan b. Invest gain plan c. Whole life plan d. Children plan e. Pension plan f. Others __________________ 10. Are you aware of the benefits in your policy? Yes No If yes what are they? Sum assured Additional benefits Maturity date Risk coverage 11. According to you what are the disadvantages in an insurance plan? Lapsation Liquidity Fixed term Unable to decide your premium Unable to decide the sum assured High risk coverage at high premiums Other disadvantages 12. In which of the following would you like to invest? Equity fund Debt fund Balanced fund Cash fund Mutual fund Recurring deposits 13. Any suggestion for ICICI Prudential Life Insurance ______________________________________________________ ______________________________________________________ Thank you for sparing your valuable time