SUMMER TRAINING PROJECT REPORT

ON

“Mediclaim Insurance(group health insurance)

AT IFFCO TOKIO General Insurance Dehradun”

SUBMITTED IN PARTIAL FULFILLMENT OF THE

REQUIREMENTS FOR THE POST GRADUATION DIPLOMA IN
MANAGEMENT
OF

INSTITUTE OF MANAGEMENT STUDIES, DEHRADUN

SUBMITTED TO:
INTERNAL GUIDE EXTERNAL GUIDE
Dr. SHRUTI NAGAR Mr.AMRISH SINGH
Sr.lecturer Area manager
IMS IFFCO TOKIO
Dehradun Dehradun

SUBMITTED BY:

INSTITUTE OF MANAGEMENT STUDIES-DEHRADUN

BATCH 2008-2010
 ACKNOWLEDGEMENT

This project is an acknowledgement to the intensity, drive and competence of

several individuals who have contributed immensely to the completion of this

project The making of any project calls

or contribution and cooperation of inputs by many. It is the result of meticulous effort

put in by one with contribution of inputs by many that led to the formation of the

final report.

Before I go into a deep insight of my project, I would like to add few

heartfelt words for the people who were a part of the project in many ways,

who gave me support right from the beginning till the end.

I duly acknowledge my sincere gratitude to each of them.

This project report could not have been completed without the guidance of our

Programme Coordinator, my faculty guide Mr. AMRISH KUMAR SINGH. Lastly,

I sincerely thank all others who have supported and helped me directly or

indirectly in making this project successful and meaningful.

 CERTIFICATE

I have the pleasure in certifying that Mr./Ms. ...…………..…………………………..is

a bonafide student of IInd Semester of the Post Graduate Diploma in Management
(Batch 2008-2010), of Institute of Management Studies, Dehradun under Institute
Roll No. ………..……. .

He/She has completed his/her project work entitled …………………………………

… …………………………………………………………….. under my guidance.

I certify that this is his/her original effort & has not been copied from any other
source. This project has also not been submitted in any other Institute / University for
the purpose of award of any Diploma.

This project fulfils the requirement of the curriculum prescribed by this Institute for
the said course. I recommend this project work for evaluation & consideration for the
award of Diploma to the student.

Signature : ……………………………………
Name of the Guide : ……………………………………
Designation :…………………………………….
Date : ……………………………………
 (To be made on Company Letter Head)

CERTIFICATE

This is to certify that Mr. / Ms. ________________________ (Institute ID No.),

S/o. / D/o. Shri ______________________________, student of Post
Graduate Diploma in Management (Batch 2008 – 2010), at Institute of
Management Studies, Dehradun has successfully completed his / her
compulsory Summer Training with us, as part of his / her Course Curriculum.

The duration of his / her training was from _____________ to _____________

on the project
_______________________________________________________
______________________________________________________________
__
*under the supervision of Mr. / Ms.………………………, Designation …………
….

During the training we found him / her quite sincere, hard working and his /
her conduct & behavior was good.

We wish him / her all success in his / her academic endeavours and in life.

Signature : ____________________
** (HR Manager)
Name : __________________
Designation : __________________

*, ** : To be used only when the certificate is given by HR Department.

 TABLE OF CONTENTS

1. TITLE PAGE.

2. ACKNOWLEDGEMENT.

3. INTERNAL GUIDE CERTIFICATE.

4. COMPANY TRAINING CERTIFICATE.( Scanned /photocopy)

5. EXECUTIVE SUMMARY.

6. LIST OF CONTENTS.(mentioning page numbers)

7. LIST OF TABLES AND FIGURES. (mentioning page numbers)

8. OBJECTIVE OF THE STUDY.

9. INTRODUCTION.

10.METHODOLOGY.

11.FINDINGS.

12.ANALYSIS OF FINDINGS.

13.CONCLUSION.

14. RECOMMENDATIONS.

15.BIBLIOGRAPHY OR REFERENCES.

16. ANNEXURES.( Eg.Questionnaire , Addresses of contacted

persons, Company literature , Product literature etc. )
 OBJECTIVE OF THE STUDY

The project deals with the customer survey on medical insurance, detailed study of

the general insurance industry, evaluating prospects of cross sales & selling health

insurance & issues regarding rollover business. It also studies the individual Health

Insurance.

The study was to determine present scenario regarding

• The awareness about the basic IRDA laid guidelines for medical insurance.

For individual as well as groups.

• To design a questionnaire to assess customer behavior.

• To have a brief idea about the general insurance.

 INTRODUCTION

Insurance has a long history in India. Life Insurance in its current form was

introduced in 1818 when Oriental Life Insurance Company began its operations in

India. General Insurance was however a comparatively late entrant in 1850 when

Triton Insurance company set up its base in Kolkata.

History of Insurance in India can be broadly bifurcated into three eras: a) Pre

Nationalization b) Nationalization and c) Post Nationalization. Life Insurance

Corporation of India was formed by consolidating the operations of various insurance

companies.

General Insurance followed suit and was nationalized in 1973. General Insurance

Corporation of India was set up as the controlling body with New India, United India,

National and Oriental as its subsidiaries. The process of opening up the insurance

sector was initiated against the background of Economic Reform process which

commenced from 1991. For this purpose Malhotra Committee was formed during this

year who submitted their report in 1994 and Insurance Regulatory Development Act

(IRDA) was passed in 1999. Resultantly Indian Insurance was opened for private

companies and Private Insurance Company effectively started operations from 2001.
 INDUSTRY PRODUCT COMPOSITION

PREMIUM (100 % = USD 4.2 BILLION )

8%
21% MISC
4%
FIRE
ENGG
MARINE HULL
20% MOTOR
40%
MARINE CARGO
4%
HEALTH
3%

40 % MOTOR

21 % MISC

20 % FIRE

8 % HEALTH

4 % ENGG

4 % MARINE CARGO

3 % MARINE HULL
INSURANCE MARKET – PRESENT

The insurance sector was opened up for private participation few years ago. For years

now, the private players are active in the liberalized environment. The insurance

markets have witnessed dynamic changes which includes presence of a fairly large

number of insurers both life and non-life segment. Most of the private insurance

companies have formed joint venture partnering well recognized foreign players

across the globe.

CAPITAL REQUIREMENTS & FOREIGN PARTICIPATION

Minimum capital requirement for direct life and Non-life Insurance company is

INR1000 million and that for reinsurance company is INR2000 million. A maximum

26% foreign equity stake is allowed in direct insurance and reinsurance companies. In

the 2004-05 budgets, the Government proposed for increasing the foreign equity stake

to 49%, this is yet to be effected.

There are currently twenty one non-life insurance companies, out of which two are

specialized Insurance companies viz. Agricultural Insurance Co, who handles Crop

Insurance business and Export Credit Guarantee Corporation, which only transacts

export Credit Insurance.

SPECIAL PROVISIONS

PAYMENT OF PREMIUM BY INSURED

Section 64 VB of the Insurance Act 1938 prohibits insurance companies from

extending credit so that in effect all insurance in India is on a “cash before cover”

basis.

INSURANCE DISTRIBUTION CHANNELS

AGENTS

Agency has been the traditional way in which insurance was transacted in the Indian

market. Agents act as the representatives of insurance companies. In the nationalized

era, agents were a very important source of business for the Public Sector Insurance

Companies, as broking was not allowed. Agents still hold a very large book of

insurance business mainly in the personal lines.

CORPORATE AGENTS

Corporate Agents are corporate entities who acted as representative of insurance

companies and procured business on their behalf. However this concept of corporate

agency was done away with by the IRDA after broking was introduced in the market
INSURANCE BROKERS

Brokers have been allowed to operate in the market from April 2003. To ensure

presence of serious players in the market, IRDA has stipulated a capital requirement

of INR 5 million for direct insurance brokers, INR 20million for reinsurance brokers

and INR 25 million for composite brokers. The rule for foreign equity participation is

applied similarly as for insurance companies. Broking was relatively a late entrant in

the market in 2002 when IRDA allowed insurance broking in India. In a very short

span of few years, broking has gained good momentum. This is evident from the fact

that the number of brokers has increased to 163 within this short span. Prominent

Insurance brokers have widened the typical role of an insurance broker, offering

various value added services such as Risk Management and Performance manuals.

BANKASSURANCE

Bank assurance as well is gaining momentum in the Indian market. Insurance

companies are increasingly using the banking network to improve their distribution

system.

INSURANCE ANCILLARY SERVICES

A) SURVEYORS & LOSS ADJUSTERS

Several steps were initiated by IRDA to ensure improved services by Surveyors and

Loss Adjusters. IRDA took upon themselves the task of categorizing them on the

basis of a minimum qualification, practical training and past experience to be eligible

to take up Surveyors/Loss Assessors work besides ensuring their adherence to a

course of conduct. The authority categorized the surveyors into three categories- “A”
“B” and ”C” and had indicated the monetary limits up to which each individual

category surveyor would carry out a survey.

B) THIRD PARTY ADMINISTRATORS

This provision of cashless health service to the clients is another introduction in the

Indian market. As on date 25 intermediaries have been registered by the IRDA. The

idea is to propagate the health insurance in the country. The Third Party Administrator

ideally takes over the payment of the medical charges on behalf of the insured who in

turn is then reimbursed by the insurer. The minimum capital requirement for a TPA is

INR 10 million.

TARIFF ADVISOR COMMITEE (TAC)

Tariff Advisory Committee, Statutory Body under Insurance Act 1938, controls and

regulates the rates, advantages, terms and conditions that may be offered by insurers

in respect of General Insurance Business relating to Fire, Marine (Hull), Motor, Engg.

and Workmen Compensation.

LOSS PREVENTION ASSOCIATION OF INDIA (LPA)

LPA is promoted by GIC and other Public Sector companies whose aim is to spread

risk management awareness amongst the masses.

INSURANCE OMBUDSMAN

The institute of Insurance Ombudsman was created in 1988 with the purpose of quick

disposal of the grievances of the insured customers and to mitigate their problems.

The insurance ombudsman is empowered to consider the complaint relate to any

grievances against insurer i.e.(a) repudiation of Claim (b) dispute with regard to

premium to be paid or payable in terms of the policy, (c)dispute on policy wording

(d)delay in settlement of claims (e)non-issuance of insurance document.

Indian insurance industry has Ombudsmen in 12 cities empowered to reduce

customer's grievances in respect of insurance contracts on personal lives where the

insured amount is less than INR 2 million.

INSURANCE ASSOCIATION OF INDIA

Insurance Association of India was established according to the provision of

Insurance Act and all insurers incorporated or domiciled in India are the members of

the Association. After formation of IRDA, it has established two councils of the

Insurance Association of India.

(1) The Life Insurance Council consisting of all members of the IAI, who carry on life

insurance business in India.

(2) The General Insurance Council consisting of all members of the IAI, who carry on

general insurance business in India.

IRDA nominates members and chairmen to Executive Committee of both the

councils. The functions of the Executive Committee of the Council are:

(a) To advise and assist insurers in setting up standards of conduct and sound practice

and in the matter of rendering efficient service to policy holders

(b) To advice the Authority in the matter of controlling the expenses of insurers

(c) To inform the Authority of any insurer acting in a manner prejudicial to the

interests of policy holders

COMPANY PROFILE

IFFCO-Tokio General Insurance (ITGI) was incorporated on 4th December 2000

with a vision of being industry leader by building customer satisfaction through

fairness, transparency, and quick response. It is a joint venture between the Indian

Farmers Fertilizer Co-operative (IFFCO) and its associate and Tokio Marine and

Nichido Fire Group, the largest listed insurance group in Japan.

ITGI has Pan India presence with 51 ‘Strategic Business Units’ and a wide network of

over 110 offices. It offers a wide range of uniquely customized policies covering a

wide range of customers, from farmers to some of India's largest automobile

manufacturers. From a modest Rs 2130 Million of GWP (Gross Written Premium) in

2001-02 it has achieved an impressive Rs 12350 Million in 2007-08, thereby

becoming one of India’s leading private players.

ITGI has got the Technical Support for underwriting and reinsurance from Tokio

Marine and on Risk Management from Tokio Risk Consulting (TRC). It is the first

company in India to underwrite mega policies for a fertilizer and an automobile

company. This comprehensive policy is based on international rates and optimizes the

premium outflow for clients even as it offers a one-stop, all-risk cover. Other than the

conventional products, it has been able to come out niche products like Credit

Insurance, Fine Arts Insurance, P & I Insurance, Errors & Omissions Policy for the IT

Sector etc. At the same time it has steadfastly carried out its rural centric initiatives by
launching products like Sankat Haran Bima Yojana, Mausam Bima Yojana, Mahila

Suraksha Bima Yojana and Janata Bima Yojana for the masses.

It is also the only insurance company in the country to have a 100%-owned

distribution channel to service its retail customers called IFFCO-TOKIO Insurance

Services Ltd (ITIS). Today, ITIS has a highly motivated workforce of over a 1000

employees in over 200 towns.

As a customer focused company, it conducts bi-annual customer satisfaction surveys

through independent agencies to gauge its operational efficiencies. This is backed by a

robust IT infrastructure, which has enabled, among other things, speedy settlement of

claims.

IFFCO TOKIO is one of the leading insurance companies of India. It offers products

and services to the individuals to make their life simplified and easy. IFFCO TOKIO

General Insurance is a joint undertaking between Tokio Marine and Nichido Fire

Group and The Indian Farmers Fertilizer Co-operative (IFFCO).

IFFCO TOKIO was established on December 4, 2000. It has its head office at

Gurgaon, Haryana. It is counted amongst the three leading private insurance

companies. There are almost 100 branch offices that are spread all over the country.

This General Insurance company offers a range of 40 policies that are made keeping

in mind the requirements of all types of customers. IFFCO TOKIO is basically a

people’s company. It offers simplified services to help even a layman with best quality

insurance products.
IFFCO TOKIO General Insurance maintains the financial principles of the Millea

Group. Efficient financial management accounts for the rapid growth of this insurance

company. It is the only insurance company that made profit for five consecutive years.

Customer satisfaction is the main aim of IFFCO TOKIO. To satisfy the retail

customers, this company has 100%-owned distribution channel. IFFCO-TOKIO has

over 700 employees working at different branches.

This company offers a wide range of products and policies. The products can be

categorized under three broad heads: Specialty, Retail and Commercial.

Some of the policies that are included among the Specialty products are credit

insurance, jeweler’s block, Sagar Bandhu Bima Policy, Multi Modal transport,

aviation insurance policy and many others.

Retail line products include motor private car, office professional establishment,

Home Suvidha, Trade suvidha, industry protector, group personal accident, surgery

protector, travel protector and all risk insurance.

The policies of the Commercial products are consequential loss, marine cargo,

burglary insurance, bankers blanket, fidelity guarantee, industrial all risk, money

insurance and workmen’s compensation.

Operating offices of IFFCO TOKIO are spread all over the country. Some of the

places, where it is located are Ahmadabad, Aurangabad, Agra, Allahabad, Akola,

Belapur, Bhopal, Bhuvaneshwar, Bangalore, Bellary, Coimbatore, Chennai,

Chandigarh, Dehradun, Delhi, Faridabad, Maninagar, Nasik, Faizabad, Vadodara,

Khandwa, , Kochi, Gurgaon, Kolkata, Lucknow, Hyderabad, Indore, Mumbai,

Nagpur, Noida, Pune, Surat, Udaipur, Haldwani, Jalandhar, Hubli, Gwalior, Vapi,

Madurai , Patiala, Varanasi, Jabalpur, Jaipur, Ludhiana, Mangalore, Goa, Rajkot,

Shimla, Sambhalpur, Thiruvananthapuram and Guwahati.

IFFCO Tokio General Insurance is a customer-centric company aiming to be easily

accessible and approachable to all sections of society. It offers products and services

that provide quality at reasonable cost. The organization has the deep knowledge of

IFFCO and thus developed a business plan that has both stability and integrity.

It has set global standards for itself and is the only private general insurance company

in India to make 5 consecutive years of experience. ITGI has been one of the few

companies to show underwriting profits within four years of operations. The company

focuses on delivering creative solutions to its customers.

IFFCO Tokio General Insurance has 700 employees present in 68 cities, dedicated to

give full satisfaction to the customers. It is the first company to underwrite mega

policies for a fertilizer and automobile client.

IFFCO - TOKIO GENERAL INSURANCE

Vision

 To be industry leader by Building customer satisfaction through fairness,

transparency, and quick response

Mission

 To win TRUST of individuals, trade, industry and commerce and protect citizens,

corporate, and international investors in India.

26%

74%

 JV between IFFCO & its associates; and Tokio Marine and Nichido Fire Group,

the largest listed insurance group in Japan.

 Incorporated on December 4, 2000 with its Corporate Office in Gurgaon,

Haryana.

 Leader in Commercial lines, trusted partner of PSU’s and large corporates

 Special thrust on the Fertilizer, Power, Oil & Energy Sector

 ITGI’S RURAL CENTRIC INITIATIVES

Sankat Haran Bima Yojana

–Launched in October 2001

–Free PA cover of Rs 4,000/bag (Max. of Rs. 1 Lac), on purchase of fertilizer

Salient Features -
–Largest single policy issued in the world

–More than 2.5 Cr. farmers covered every year (5 th

year running)

–Over 4,500 claims settled & Rs. 27 Cr disbursed till date

Launch of Sankat Haran on 30 Sep 2001, by Claim cheque distribution ceremony

Mr. Ajit Singh, then Minister of Agriculture at organized by IFFCO
Khurja

ITGI’S RURAL CENTRIC INITIATIVES

Barish Bima Yojana
–A weather insurance product, introduced in April 2004

–Index based product, covers anticipated deficiency in crop yield due to

deficient rainfall during monsoon

–Sold as a Group policy through Co-op societies / banks / NGOs etc.

Salient Features -

–Available in 7 states, covering 100 districts; & 16,000 farmers

ITGI’S RURAL CENTRIC INITIATIVES

Mahila Suraksha Bima Yojana

–Launched on September 2005 on International Women’s Day

–Through IFFCO foundation with a membership of nearly 21,000 people

(mostly women)

–Coverage against all accidental occurrences, incl. death & injury

–Cover of Rs. 50,000 with a premium of only Rs. 20 per annum

Genhu Mausam Bima Yojana

–Covers Frost Injury & Heat Stress to crops

–Cover for low temp. during the flowering stage

–Cover for high temp. during the grain filling stage

INDIAN PROMOTERS

Indian Farmers Fertiliser Cooperative Limited (IFFCO) is the world's largest

fertilizer manufacturer & marketer in cooperative sector. It was incorporated on 3rd

November, 1967 and since then is committed to achieve its prime role of providing

quality fertilisers and agricultural services to India's farming community. Over the

years, the cooperative society has evolved into a gigantic Indian Multinational and set

records for excellent and consistent performance in the filed of production, marketing

and services to farmers. As a society "of the farmers, by the farmers and for the

farmers", IFFCO has firmly established itself as a true Cooperative and perfect role

model for others to emulate on the path of economic development.

IFFCO has steadily grown from strength to strength-from a modest membership of 57

societies in 1967-68 to more than 40,000 societies at present. The initial equity capital

of Rs.6 lakh contributed by cooperatives in 1967-68 has also risen to Rs. 4.23 Million

in 2007-08. Having the Largest Market share of Fertilisers Production in India with

25% in Complex Fertilsers and 20% in Urea it has also become the First Cooperative

in India to set-up first ever Kisan SEZ (Special Economic Zone) at Nellore, Andhra

Pradesh.

IFFCO holds 72.64% shareholding and its Associate M/s Indian Potash Ltd. holds

1.36% shareholding in ITGI.

FOREIGN PROMOTERS

TOKIO Marine Asia Pte. Ltd holds 26% shareholding in ITGI. TOKIO Marine

Asia is a subsidiary company of Millea Holding Inc Japan; a holding company for

Tokio Marine & Nichido Fire (TMNF) Insurance Company.

TOKIO Marine Asia has non life operations in 9 Asian countries

Tokio Marine & Nichido Fire Insurance Company has over 120 years of experience

in the general insurance business and is the largest and oldest general insurance

company of Japan. It is a member of the highly diversified Mitsubishi group

comprising over 1,500 companies.

The company is rated 'AA' (indicating strong financial security characteristics) by

international rating agency Standard & Poor's.

Tokio Marine has been continuously serving as one of the important reinsurance

companies to the nationalized Indian insurance market. TMNF has also been

chosen as Asia’s General Insurance Company of the year by Asia Insurance Review

in December 2008.
KEY PEOPLE

S. Narayanan | MD and CEO

M K Tandon | Financial Advisor

N K Kedia | Director – Marketing

Y. Fukuda | Director - Operations

H.O.Suri | Executive Director

Mr V.S.Rao | Executive Director

PRODUCTS

Our product development team is constantly working to introduce products which are

competent in meeting the customer needs. At IFFCO Tokio, we emphasize on

understanding the need from the market and offering the best possible products across

the product lines. We approach the market with products that have differentiated

features / benefits / service offerings. IFFCO Tokio offers a wide range of uniquely

customized policies covering a wide range of customers, from farmers to some of

India's largest automobile manufacturers.

Our Endeavour is to spread the benefits of insurance to the masses through our

specially designed insurance products like Sankat Haran Yojana, Barish Bima Yojana,

etc. The company has made a genuine attempt to understand the rural and low-income
segment of the Indian market, to tap the potential of this largely unexplored segment

and make the benefits of insurance available to the masses.

We are also making constant efforts to reach out the entire general insurance spectrum

i.e. Commercial Lines, Retail lines and Specialty Lines. Innovations will keep on

expanding to include customised offerings for various market segments and

geographies.

COMMERCIAL LINES

IFFCO-TOKIO provides a wide variety of policies that are customized to your needs.
For your convenience, we have grouped them. To access information on any of the
policies, simply click on the link you want.

1. Standard Fire & Special Perils

2. Consequential Loss

3. Contractors All Risk

4. Contractors Plnt & Machn

5. Boiler & Pressure Plant

6. Erection All Risks

7. Industrial All Risks

8. Machinery Breakdown

9. Machinery Loss of Profit

10.Product Liability

11.Public Lia Industrial

12.Public Lia Non-Industrial

13.Marine Cargo

14.Electronic Equipment

15.Bankers Blanket

16.Burglary Insurance

17.Fidelity Guarantee

18.Money Insurance

19.Workmen's Compensation

RETAIL LINES

IFFCO-TOKIO provides a wide variety of policies that are customized to your

needs.
For your convenience, we have grouped them. To access information on any of the
policies,
simply click on the link you want.
SPECIALTY LINES

IFFCO-TOKIO provides a wide variety of policies that are customized to your needs.

For your convenience, we have grouped them. To access information on any of the

policies, simply click on the link you want.

1. Credit Insurance

2. Multi Modal transport (MTO)

3. Marine Hull & Machinery

4. Jeweller's Block

5. Barish Bima Yojna (Weather Insurance)

6. Sagar Bandhu Bima Policy

7. Aviation Insurance Policy

8. Errors and Omissions (Technology) Policy

9. Fine Art Insurance – Private Collectors

10. Fine Art Insurance – Art Dealers & Gallery Owners

 TARGETS

• Groups such as Employer- Employees and dependants, Members of Clubs,

Holders of Credit Cards and Members, Shareholders of Banks/Public limited

Cos.

• SCOPE OF COVER

• The policy covers Hospitalisation and /or domiciliary hospitalisation expenses

viz.

• Room rent

• Nursing expenses

• Surgeon,anaesthetist, consultant’s fee

• Diagnostic,OT,blood ,oxygen, medicines,radiotherapy,chemotherapy charges

CONDITIONS

1. Hospitals/Nursing Home – Definition.

2. Minimum Hospitalisation – 24 hours.

3. Indemnity – In Indian rupee,payment for treatment in India

4. Pre-Existing disease is not covered.

5. No coverage in the first month and certain other exclusions for first year

EXCLUSIONS

Treatment of preexisting diseases such as -:

• Cataract,Hysterectomy

• Hernia Hydrocele, Cogenital Internal Diseases

• Piles, Sinusitus
• Circumcision

• Vaccination or Inoculation

• Cost of spectacles, Contact Lens,hearing Aids

• HIV/ AIDS

• Maternity Related Expenditure

• Domiciliary Hospitalisation in respect of -:

• Asthama

• Bronchitis

• Chronic Nephritis

• Diarrhoea

• Diabetes Mellitus

• Epilepsy,POU

• Influenza,Cough and Cold

• Dental Treatment or Surgery

• SPECIAL - ADD-ON COVERS

1. Education Cost – School going and college going.

2. Ambulance charges

3. Cost of Travel

a. For any kin – to and fro RS.15000

b. For Insured person himself return Rs.7500

4. Cost of supporting Equipments.

5. Discounts for pre and post hospitalization period.

6. Hospital daily Cash

7. Boarding & lodging Expenses

8. Family floater

9. Deletion of Domiciliary hospitalisation benefit

10. Maternity cover available for the group.

11. Organisational floater

CLAIM MANAGEMENT

1. T.P.A’s Involvement

2. Doctors Empanelment

RELAXATION FOR RURAL AREA

1. Surgical Policy

2. No criteria of hospitals to be applied for Surgery and also if the treatment at

Distt. Health Centre.

EDUCATION COSTCOVERS-:

TUTION FEES

EXAMINATION FEES

MONTHLY LODGING /BOARDING EXPENSES – 0.5 %

& 1%

Maximum Amount -: Rs . 60,000 – College

Rs. 30,000 – Schools

AMBULANCE CHARGES

Actual Charges Subject to a Maximum of Rs.1,000 / person –group –all or none

FAMILY FLOATER

Available depending upon family size, Sum Insured per member , age profile and

suitable loading of the premium.

CLAIM PROCEDURE

GENERALCLAIMSPROCEDURE

All insurance contracts are based on the information provided by the insured in

the proposal form. The proposal form forms the basis of insurance contracts.

Some important points, which would help you in the claims procedure.

• The loss or damage should be reported to the insurer immediately.

• On receipt of claim intimation, the insurer will forward a claim form.

• Submit the completed claim form along with an estimate of the loss to the

insurer. It is preferable to submit an itemized estimate with separate values.

• The insurer will arrange for inspection of the damaged items to assess the loss.

In case of major losses, a specialist-licensed surveyor is deputed.

• The insured has to provide the required documents to substantiate the extent of

loss.

• In case the cause of loss is not established, it is for the insured to prove that the

loss or damage has occurred due to an insured peril.

• On agreement of claim amount between the insured and the insurer, the claim

is settled. Excess as stated as per the Policy terms and condition will be

deducted from the claim payable.

In view of varied nature of policies, certain points distinct to individual policies, in

addition to the above, are listed below: (Please note that the documents mentioned are

indicative and based on the circumstances of the claim, insurer may request for

additional documents).
 MEDISHIELD (FOR NON-CASHLESS CLAIMS)

• Notice of claim should be lodged within 24 hours to the nearest

Branch/concerned Branch.

• The insured should submit 'discharge summary' of the hospital/nursing home

along with original hospital/medical bills, reports of the labs and investigation

reports. In other words every item in the claim bill should be supported.

• Leave certificate from the employer, wherever needed.

• Fitness certificate from the Doctor.

THE IFFCO TOKIO NEWS LETTER

IFFCO Tokio has initiated digital adversiting of its products (Motor, Health,

Travel) on various high traffic websites like Rediff, Yahoo, in.com, IBN live,

cricbuzz etc. The same was done during Elections and IPL. To ensure consistency

in the initiative, the ads are continously on Carewale.com, Yahoo.com and Google

search. A huge hit, the website is attracting over 1,5000 visitors and generating

200 prospective leads everyday. Renewals and new policies are also issued

directly from our website.

IFFCO Tokio launches Micro Insurance month

ITGI has decided to dedicate every month to a new aspect of insurance. The first

three month of the year were celebrated as micro insurance months to motivate the

agents and create awareness amongst the masses about various micro insurance

products. Tamil Nadu, firmly established itself as the Leader in this phase of the

celebration.
 BARISH BIMA YOJNA RELAUNCHED

ITGI has relaunched its successful weather inslurance policy for Kharif crops-

Barish Bima Yojna (BBY) to protect farmers against anticipated deficiencty in

crop yield due to both deficit and excess rainfall.

Previously, the product covered the risk from both deficit and excess rainfall in

the six States or Orissa, West Bengal, Tamil Nadu, Gujarat, Maharashtra and

Rajasthan (Kota, Jhalawar and Baran). In Punjab, UP, MP< Chhattisgarh, Andhra

Pradesh and some districts of Rajasthan, BBY will cover farmers from deficit

rainfall alone.

MEDICLAIM INSURANCE IN INDIA

Mediclaim for family

Everybody is well known the profits of having a mediclaim policy. A sudden

sickness or accident can ruin your financial budget and at this stage mediclaim

policy is always helpful.

In the current scenario, medical expenses are very high and its increasing

everyday. The latest family mediclaim insurance is ideal solution to save money

and cover entire family under single sum insured. This means no more multiple

premiums and no more financial strain.

This policy is available in two variants - short term and long term and the coverage

level is similar like other traditional mediclaim policies. It provides covers for

hospitalization expenses for illness and diseases. It includes expenses for doctors fees,

nursing expenses, medicines, blood, surgical appliances and other related expenses.
Mediclaim Premium Calculator

Mediclaim policy is a essential for the peoples because it saves financial loss in case

of hospitalization for any sickness, disease or accident. But it costs is much higher

than other insurance and still it is rising.

Mediclaim premium calculator is very useful tool in such a condition because it helps

to calculate the your mediclaim costs. This online service is absolute free and

specially designed for customer convenience.

There are various mediclaim premium calculators are offered by insurance companies

and private websites. You can easily determine the cost of plan that you go for by

doing just simple work on such a calculator. Private websites also allows you to

compare various insurance companies and their plans.

Must-know-the-types-of-coverage-mediclaim

You may have come across many a time with the short forms in mediclaim

articles/quotes like HMO,PPO,POS,HSA, but could not make it, what the

abbreviation stands for?

There are many types of health/mediclaim policy.

A) HMO (Health Maintenance Organization).

You go to your family doctor for any health services. If there is an urgency in going to

a specialist, your family care doctor will help you in referring one. Mediclaim

companies will not insure you without the referral from your family doctor and

therefore, you will have to pay yourself for such specialist services

B) PPO (Preferred Provider Organization Plan).

Through this plan you can analysis to any primary, specialist, or medical facility

without referral and get totally covered. It is the Mediclaim companies that covers you
when your child breaks a bone accidentally and you approach directly to the

orthopedic doctor, without consulting your primary doctor.

C) POS (Point of Service).

This plan essentially includes both an HMO and a PPO plan. Mediclaim companies

give you the option from the two plans for every medical case. The plan offers extra

covered preventative programs, however, you may have to pay more from your

pocket, if you choose a doctor outside your plan.

D) HSA (Health Savings Account).

This plan is much more superior than the above mentioned mediclaim plans. The plan

covers eyeglasses, dental, cosmetic procedures, over-the-counter medications, etc. It

is a tax-deferred savings account as long as withdrawals are concern for medical

expenses. Funds outstanding at the end of the year are carried forward into an IRA

account.

What does mediclaim policy cover!

Day-care Treatment- The Medical disbursement through serious technologically

advanced day-care surgeries with no 24 hour hospitalisation is required.

Ambulance Charges for shifting the insured patient from home to hospital are been

covered up to the limits mentioned in the policy.

Ayurvedic / Homeopathic system of medicine are covered to the extent of 25% of

Sum Insured provided the treatment is taken in the Government Hospital.

Pre-existing diseases are covered only after 4 continuous and claim free renewals

with our Company.

Exclusions:

1. Diseases contracted within 30 days of insurance.

2. Dental treatment except arising out of accident.

3. Debility and General Run Down Conditions.

4. Sexually transmitted diseases and HIV (AIDS).

5. Circumcision, Cosmetic surgery, Plastic surgery unless required to treat injury or

illness.

6. Vaccination and Inoculation.

7. Pregnancy and child-birth.

8. War, Act of foreign enemy, ionising radiation and nuclear weapon.

9. Treatment outside India.

10. Naturopathy.

11. Domiciliary Treatment.

12. Experimental or unproven treatment.

13. All external equipments such as contact lenses, cochlear implants etc.

Premium:

Mediclaim Premium is based on age of the proposer and geographical area of

treatment.

Features:

1. Discount in premium for family cover.

2. Loyalty Discount.

3. Good Health Discount.

4. Cumulative Bonus.

5. Cost of Health Check up.

6. Income Tax Benefit under Section 80D of IT Act.

Short Term Mediclaim Policy

Mediclaim insurance is a meant to covers all medical expenses in the case of

hospitalization due to certain serious sickness, disease or an accident. For this reason

mediclaim insurance is always advisable for yourself and your family members. But

some times you can not require that the purchase of high cost mediclaim insurance

policy. Short term mediclaim insurance have been formulated for such a conditions to

get the considerable medical coverage.

Short term mediclaim insurance policy is a temporary solution and purchased for only

short period of time that is three months to one year. Generally, it covers all major

health problems like other standard health plans. This gives you freedom to choose

doctor or specialist you wish and the expenses are covered under this policy like

doctors fees, hospital charge, surgery, medicine, diagnostic test and other emergency

service.

This short term plan is affordable plan and it doesn’t cover any pre-existing disease,

because the premium costs are considerably ow and paid on monthly basis. It provides

only cover for the conditions stands which itself within the span of the policy.

Short term medical insurance cover is ideal for those under the jobs, temporary

employee, college students or just graduates.

Mediclaim for senior citizens

Special mediclaim policy for senior citizens is specially designed to cater the needs of

senior citizens. It covers all hospitalization and domiciliary hospitalization expenses

for illness and disease. It includes expenses for doctors fees, hospital charge,

anesthetist, nursing expenses, blood, cost of medicine, drugs, oxygen, surgical

appliances, etc.
This mediclaim policy is generally issued to peoples between the age of 60 to 80

years. It provides the benefits of cumulative bonus, no claim bonus, cashless service

and also tax benefit is consider on insurance premium under section 80D of the

income tax act.

The four public sector general insurance companies are offering these policies-

1. National Insurance Company (Varishta-Mediclaim for senior citizens)

2. New India Insurance Company ( Mediclaim for senior citizens)

3. Oriental Insurance Company ( Senior Citizen Specified Disease Insurance)

4. Star Health & Allied Insurance ( Red Carpet Health Insurance)

And private sector insurance company Bajaj Allianz General Insurance Company also

offer ‘Silver Health’ product for senior citizens.

Mediclaim Premium Rates

When you have decided to go for mediclaim policy, you will pay the premium on

your mediclaim policy to continue the coverage against any untoward situation. The

premium paid is annually, half annually or monthly.

Generally, the premium rates are vary from company to company and also depends on

various factors like age of the person, sum assured and policy coverage. The

insurance companies also determine the factors like advertising, selling, paying for

health care service, investment of premium payment and profit margin from the

insurance policy.

The premium rates are different for smokers, the insurance companies charge

additional premium on their mediclaim policy.

Premium charged on individual plan is much higher compared to group plans due to

adverse selection. Because under group plans, company gets the more customer under
one roof and company determine the customers will generally be in good health

condition.

Basic Mediclaim Policy

Basic mediclaim insurance is a different comared to other traditional mediclaim

policy. It is a specified mediclaim policy which provides coverage against medical

expenses that are outcome of the sickness or accident. In this plan, coverage is limited

and pays for only one or two expenses which are specified by the insured. This is the

reason, policy is known as basic mediclaim policy.

This insurance policy is different compared to other comprehensive mediclaim policy.

Because-

1. Doesn’t covers critical illness and surgeries.

2. Low cost insurance cause less coverage.

3. Specified coverage from the list.

Mediclaim protects from the monetary and financial problems when one is

hospitalized by sickness. But choice is yours to choose between comprehensive health

coverage and specified health coverage.

MEDICLAIM INSURANCE

Mediclaim Insurance is a policy that covers hospitalisation expenses gathered in

course of illness or accidental injuries.

Benefits:

1. Hospitalization Cover: Overall patient hospital-care expenses for 1Day. Which

Includes room rent and boarding @ 2% of sum insured.

2. Nursing disbursal.

3. Doctor’s fees

4. medicines and drugs charges.

5. Emergency ambulance charges.

No-Claim Discount:

1. 5% to 25% of discount for every claim-free year.

Eligibility:

1. A persons ageing 5 months and 80 years, is a resident of India,can opt this

insurance.

Tax Benefits:

1. Credit card or cheque pay premium for this insurance is eligible for relief

under Section 80D of the Income Tax Act.

Claims Procedure:

1. Inform the ID number to the insurer for easy acknowledgment.

2. In case of getting hospitalized,should inform within 24 hours before getting

admitted into the hospital.

3. If the case is emergency, information to be given within 24 hours after

hospitalization.
Tax benefits on your Mediclaim Policy

There is no way anyone can save themselves from paying tax. But yes we can sure

use various tax-saving instruments to lower down our tax payment burden and get

maximum benefit from these.

Mediclaim is one way of saving our huge heap of tax burden, we just need to be smart

enough to grab the right opportunity.

1. Insurance premium paybale on health insurance policy is tax deductible under

Section 80 (D) of the Income Tax Act 1961.

2. Rs. 15000 can be claimed to be deducted on health insurance under Section 80 (D)

3. Deduct premium paid towards a critical illness rider on your life insurance policy

under Section 80 (D). Deductions under Section 80 (D) are over and above the

deductions under Section 80(C) of Rs. 1 lakh.

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 RESEARCH METHODOLOGY

The research undertaken was that of a descriptive type. Descriptive research

aims at fact finding and more often is based on surveys. Its purpose is to

describe the present state of affairs of the topic of study.

It is often referred to as post-facto study.

DATA COLLECTION

PRIMARY DATA

In case of primary sources the information was retrieved directly from the

customers and sales consultants. We have done the analysis with the help of the

inputs provided by the customers of the products of the insurance companies.

The primary data is collected through conducting a survey with the help of a

questionnaire designed by me. In the Bank, customers were approached and

detailed responses were taken and their future interest in insurance and

suggestions for the company were duly recorded. For the other subsidiary

projects, the promotion and sales were done at the showroom itself while the

interaction that took place for filling the questionnaire. The prospective

customers for health insurance were contacted through Tele-calling and

thereafter converting the call into sales.

DATA COLLECTION TECHNIQUES

SURVEY

By this method of data collection more accurate and reliable information on the

subject can be obtained. In order to get aware of the customer behavior, we

designed a questionnaire which would help us extract maximum information so

as to analyze the factors that play a decisive role in customer’s choice of an

insurance company.

CALLING

After getting the customer details from the questionnaires filled them, the

prospective customers for health insurance were called & sales were done.

SECONDARY DATA

Secondary data was collected from books and the internet.

RESEARCH APPROACH

The product portfolio of IFFCO TOKIO is wide.

Following are some methods, which have been taken in order to complete the

project and make it successful:

Understanding the basics of insurance Business and getting familiar with the

product range of IFFCO TOKIO.

Assessing the present situation of IFFCO TOKIO in motor insurance Business.

 MAJOR COMPETITORS OF IFFCO TOKIO:

 NEW INDIA

 NATIONAL

 UNITED INDIA

 ORIENTAL

 ICICI LOMBARD

 BAJAJ ALLIANZ

Customer relationship management (CRM) is a customer-centric business

strategy with the goal of maximizing profitability, revenue, and customer

satisfaction. technologies that support this business purpose include the capture,

storage and analysis of customer, vendon, partner, and internal process

information. functions that support this business purpose include Sales,

Marketing and Customer Service, Training Professional Development,

Performance management, Human Resource Development and Compensation.

Technology to support CRM initiatives must be integrated as part of an overall

customer-centric strategy.
SWOT ANALYSIS OF IFFCO TOKIO G.I.C LTD.

SWOT analysis (Strengths, Weaknesses, Opportunities, and Threats) is a well-

established means of thinking critically about a business, its resources, and its

environment. Doing an analysis of this type is a good way to assess a business and its

markets.

STRENGTH WEAKNESS OPPORTUNITY &THREAT

STRENGTH WEAKNESS OPPORTUNITY THREAT

Brand Name Lacking in To reach the good Competitive Prices

customer retention services
to high premium
rate.
Continuous Lack customer Huge untapped leads to higher
Innovation orientation Potential. competition.
Wide product Lack in Follow-ups Customers value Cut throat
portfolio. quality the most. competition with
Bajaj Allianz &
ICICI LOMBARD.
COMPARISON OF RATES OF IFFCO TOKIO WITH OTHER COMPANIES.
 CONCLUSION

• Continued strength in the broader economy and gradual reform in the non life

sector are expected to combine to produce strong premium growth in the

Indian market over the next few years.

• Whilst India currently remains a medium sized non -life market, the growth

predicted over the medium to long term is attracting increasing levels of

foreign investment and competition. Many of the world’s largest insurers such

as AIG, IFFCO TOKIO & ALLIANZ are present in the market. The new

private insurers are growing fast and have already developed a combined

market share of 40 %.

• As the market is liberalized and becomes more mature the private firms are

considered well placed to capture an even greater share of a fast growing

market. The main risk to private insurers is the high likelihood of sustained

price competition as tariffs are removed from some classes of business such as

fire, engineering motor etc.

In the end, notions about exactly what constitutes good customer service are

evolving, driven by increasingly knowledgeable customers who have become

empowered by their own willingness to embrace technology and use it to their

benefit. As insurers begin to demonstrate a commensurate willingness to

capitalize on technological advances, advisory, transactional and informational

services will be adapted to deliver service that not only offers higher levels of

customer satisfaction, but delivers opportunities for insurers to grow revenue

and profitability.

Self-service may be expected to become the customer’s avenue of first

transactional choice, as Web-based channels provide 24 X 7 availability, security

is tightened and interactions become faster, easier to initiate and more tailored to

personal needs Successful insurers will define good customer service

strategically, not tactically. Each customer service event will be seen as a way to

increase loyalty, anticipate related client needs for the benefit of cross-selling

and increase revenue. In addition, insurers will have the ability to understand a

customer’s long-term value and provide personalized service to help realize it.
 RECOMMENDATIONS

During my course of training, I have observed few leaps at the company’s end

so will like to recommend the following:

 COMPETITIVE PRICING :

 IFFCO TOKIO should keep its rates in accordance to the market so as to

pull more customers, without compromising the quality & making the

product more saleable.

 In order to have a grab in market, IFFCO TOKIO should provide quick &

timely service specifically to its premium customers. It can adopt the

strategy of providing premium service to premium customers.

 STRATEGIES FOR IMPROVING SALES PROMOTION OF IFFCO

TOKIO :

 IFFCO TOKIO should air it advertisements in the prime business channels

like CNBC TV 18 and NDTV PROFIT.The company instead of having a

full fledged commercial can also use a running marquee on the new

channels like NDTV,TIMES NOW and CNN IBN which will promote the

company.

 The company needs to become more buyer friendly and should revamp its

customer grievances redressal system.

 Work on gaining the untapped potential which is due to :

• Lack of product knowledge & brand recall –the company should make

the customer aware about its product portfolio by having an effective Tele

calling service system.

 • Absence of a customer centric approach- the company should work on

being more buyer friendly.

 Marketing support should be provided to distribution channels.

 Strengthen Banc assurance – An integrated Banking & Insurance business.

 Organize advertising campaigns emphasizing on policy features, benefits

& service levels rather than price.

 Improve its Process Efficiency. This can be done by shortening the policy

issuance cycle.

 Expanding the business through effective agents ,advertisements

 Agents form a crucial link between the insurer and the insured thus, they

should be given additional benefits other than commissions.

 Spreading insurance knowledge among the people, focus on rural areas.

There lies a huge potential in rural areas with increase in agri business and

their purchasing power.

 Technology can play a crucial role in delivering the highest standards set

by the company an it will be imperative for any serious player to excel in

all this.

 Bringing new innovative product offerings in the market with good

benefits and service standards.

 LIMITATION OF THE STUDY

As each study do we have some benefit and some scope , there is one more

thing which is mostly found in any research work and that is limitation

.Limitation are the restricting factor encountered during the research study , it

does have some limitation , which was present during the course of study and

are the following:

• Due to some of the customer was not ready to respond.

• The degree of brand awareness is not the mark.

• Allowances of the and the cost as well.

• Reserve nature of customer.

• Transparency.

• Penetration.
 BIBLIOGRAPHY:

• www.iffco-tokio.com

• www.google.com

• The Economic Times

• www.gicofindia.in

• www.irdaindia.org

• www.insuranceage.com

• www.itgi.in
QUESTIONNAIRE

COMPANY NAME-

NAME -

ADDRESS-

TELEPHONE NO-

AGE OCCUPATION INCOME

15-25 student 0-5000

25-35 Employee 5000-1000

35-45 Businessmen 1000-15000

45-above Professional 15000-above

Q.1 Have you heard the name of IFFCO TOKIO ?

(a) Yes ( ) (b) No ( )

Q.2 Whether Insurance Taken ?

(a) Yes ( ) (b) No ( )

Q.3 If yes who is the insurer ?

(a) ICICI (b) Bajaj Allianz (c) National

(d) IFFCO TOKIO (e) New India (f) Any Other

(g) United Insurance

Q.4 Policies taken ?

(a) Fire ( ) (b) Buglury ( )

(c) Medisheild ( ) (d) Personal Accident ( )

(e) Any Other ( )

Q.5 Have you ever had any claim ?

(a) Yes ( ) (b) No ( ) Reason……

……………………..

Q.6 Would you like to change your insurer ?

(a) Yes ( ) (b) No ( )

Q.7 What is your expectation from the non-life

Insurance company?