Académique Documents
Professionnel Documents
Culture Documents
Prepared by:
PRADEEP KUMAR
Roll No.-21-‘V’
PGP
ACADEMIC SESSION
2008 – 2010
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ACKNOWLEDGEMENT
I take this opportunity to express my deep sense of gratitude to all those who have
contributed significantly by sharing their knowledge and experience in the
completion of this project work.
My first word of gratitude is due to Mr. ANKUR VAISHNAV, Cluster and Sales
Manager, INDIA INFOLINE PVT.LTD. LOHIA IT JAIN PARK, CHANDANI CHOWK,
KOTHRUD, PUNE, my corporate guide, for his kind help and support and for his
valuable guidance throughout the project. I am thankful to him for providing me with
necessary insights and helping me out at every single step.
PRADEEP KUMAR
ROLL NO-21’V’
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TABLE OF CONTENT
1 EXECUTIVE SUMMARY 04
2 INTRODUCTION 06
3 COMPANY PROFILE 13
4 SWOT ANALYSIS 20
5 PRODUCT PROFILE 21
6 OBJECTIVE OF THE STUDY 38
7 SCOPE 39
8 RESEARCH METHODOLOGY 41
10 CONCLUSIONS 74
11 RECOMMENDATIONS 75
12 LIMITATIONS 76
14 BIBLIOGRAPHY 77
15 ANNEXURE 78
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Executive Summary
The objective of the project was to comparatively analyze various insurance
company and find the market potential of ULIP’s (UNIT LINKED INSURANCE
PLANS) in Pune. India Info line got the research carried out to find what the current
trends are in the market and what the competitor’s product offerings are. Also,
market share of different Insurance was to be found and the recommendations to
increase the market share for ICICI Prudential were to be given.
The purpose of the study is to find out the market potential of ULIP’s and position of
ICICI Prudential as compared to other Insurance company. ICICI Prudential is
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interested in finding out the sales potential of its ULIP’s. Specifically, the research
objectives are to:
• Gauge the consumer sentiment on the various services provided by the
various Insurance company in the city.
• Identify areas of improvement on the various services provided by the
Insurance company.
• Determine the type of services needed by the consumers.
• Identify the important and attractive attributes in services to retain the existing
consumers.
• Determine the type of Insurance parameters most popular with the consumer.
• Evaluate the sales potential of ICICI Prudential ULIP’s by the year 2010.
• Gather and analyze the future aspirations of the customers with respect to the
insurance services and ULIP’s plan.
• Rank and evaluate the relative importance the various insurance parameters.
For this purpose a primary research was conducted in the region of Pune regions.
The target consumers were of various age –group, sex, monthly income and
occupation. The total field work was done for 60 days in which a total sample size of
100 consumers was covered. The questions cover a wide range of issues including:
• Identifying the types of Investments maintained by a consumer and whether
he or she is happy with the services.
• Obtain the likelihood of the respondent applying for a specific type of
services while investing the money.
• Determine the characteristics of the various insurance features that are
important for customer
For the purpose of this research it was absolutely imperative for me to find out what
the consumers want from their insurance company. It was also necessary to find out
the consumer’s profile, i.e. his age, monthly income, occupation and sex . This
required me to get a detailed questionnaire filled by the concerned person. All the
analysis in the report is drawn out of these questionnaires. For carrying out the
competitor analysis further help was taken from insurance company websites and
journals. This research will provide ICICI Prudential with information like the current
market share and also a detailed analysis of the services offered by other insurance
companies and what are the most important criteria for selecting a particular
insurance company. The insurance company can also get data on prospective
customers by designing its product offerings and marketing strategy in a way so as
to attract more clients in the near future.
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• Trust needs to be developed among the customers both as far as the ULIP as
a product is concerned and also regarding private players (ICICI Prudential)
particularly in our study.
• Some respondents despite of knowing about ULIP were hesitant to talk on it
because they were not too confident about their knowledge. This very fact
completely declines the concept of providing switches as a lucrative feature in
ULIP (which is done by most of the companies). The reason is that very rarely
people have the ability or time to use these features.
• Awareness was missing.
• Mainly all income groups, business class people and corporate employee
have invest in ICICI Prudential.
INTRODUCTION
INTRODUCTION TO ULIP
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Unit linked insurance plan (ULIP )is the Product Innovation of the
conventional Insurance product. With the decline in the popularity of traditional
Insurance products & changing Investor needs in terms of life protection, periodicity,
returns & liquidity, it was need of the hour to have an Instrument that offers all these
features bundled into one.
ULIP is life insurance solution that provides for the benefits of protection and
flexibility in investment. The investment is denoted as units and is represented by
the value that it has attained called as Net Asset Value (NAV). The policy value at
any time varies according to the value of the underlying assets at the time. ULIPs
attempt to fulfill investment needs of an investor with protection/insurance needs of
an insurance seeker.
ULIPs work on the premise that there is class of investors who regularly
invest their savings in products like fixed deposits (FDs), coupon-bearing bonds,
debt funds, diversified equity funds and stocks. There is another class of individuals
who take insurance to provide for their family in case of an eventuality. So typically
both these categories of individuals (which also overlap to a large extent) have a
portfolio of investments as well as life insurance. ULIP as a product combines both
these products (investments and life insurance) into a single product. This saves the
investor/insurance-seeker the hassles of managing and tracking a portfolio of
products. Presently there are 200 plus ULIP Schemes in the market.
ULIPs offer a variety of options to the individual depending on his risk profile.
For instance, an individual with an above-average risk appetite can choose a ULIP
option that invests upto 60% of premium in equities. Likewise, an individual with a
lower risk appetite can select a ULIP that invests up to 20% of premium in equities.
INTRODUCTION OF INSURANCE
First of al the word ‘insurance’ is derived from the Latin word for ‘security’. A quick
and simple definition of the insurance can be as follows.
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“Life insurance is a plan in themselves which large number of people associate and
transfer to the shoulders of all, risk that attach to individuals.” JOHN MAGEE
We all hope to live a full till old age. To do the very last for our parents and watch out
children stand on their own feet. But, what if fate cuts life short? Who would pay for
our children’s education? Their marriage?
Ensure life’s continuity for them. Why not plan for life’s adversities? What if a sudden
disability of illness puts us out of action? If we were unable to attend office for a
while y would take care of all the medical expenses? Who would pay the mounting
bills?
Should these adversities occur, are we equipped to face the situation? Where would
we get the money to face the crisis? Would life continue smoothly for our children?
Since we have no control over life’s ebbs and flows, why not do something over
which we do have control.
Life is most valuable asst. this is easily proved if we were to assign a monetary value
to life. This value depends on income-earning potential or Human Life Value. our
income supports our family. Helps them to get the most out of life.
Month after month, year after year, we and our dependent live the best way we can
use the money we earn. This money enables our household to run smoothly, our
children to go to college, takes care of the medical bills, our vacations and helps
maintain our life style. On the basis of our income or earning potential.
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How much insurance do I need?
The main purpose of life insurance is to provide a financial cushion to your loved
ones in the event that something unfortunate should happen to you. One must
provide enough, so as to generate a future income stream that will take care of the
financial needs of their dependants.
How much insurance you need depends on your annual income, your expenses and
your existing assets. Use our Insurance Calculator to get a rough estimate of how
much you should insure yourself for.
Benefits of Insurance
If you are married without children or single, then you may need life insurance
to protect your partner or surviving family members against the costs
associated with your death. Funeral expenses, probate and administrative
fees, outstanding debts, special obligations to charities, and federal and state
taxes are costs that all of us must consider.
Disability Benefits Death is not the only hazard that is insured; many polices
also include disability benefits. Typically, these provide for waiver of future
premiums and payment of monthly installments spread over certain time
period.
Many policies can also provide for an extra sum to be paid. (Typically equal to
the sum assured) if death occurs as a result of accident)
Tax Relief
Under the Indian Income Tax Act, the following tax relief is available
1) 20 % of the premium paid can be deducted from your total income tax
liability.
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2) 100 % of the premium paid is deductible from your total taxable income.
When these benefits are factored in, it is found that most polices offer returns
that are comparable or even better than other saving modes such as PPF,
NSC etc. Moreover, the cost of insurance is a very negligible.
A life insurance policy can, after a certain time period (generally three years), be
surrendered for a cash value. The policy is also acceptable as a security for a
commercial loan, for example, a student loan. It is particularly advisable for housing
loans when an acceptable LIC policy may also cause the lending institution to give
loan at lower interest rates.
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HISTORY OF INSURANCE
Early insurance goes back to the Egyptians times. It was known that around 3000
B.C., Chinese merchants dispersed their shipments among several vessels to avoid
the possibility of damages or loss. There are some insurance companies around
today in the united states that provide insurance back in mid 1970’s as well as some
that provided relief to banks during the 1930’s had the great depression.
The insurance industry can accurately trace its formation to the great fire of London
on Sept. 2, 1966. Most industries evolve overtime. While there have been risk-
sharing mechanisms dating back to the days of Phoenician ship captains splitting up
their cargoes at the mouth of the then raging Nile river, the insurance industry.
Insurance industry can accurately trace its beginning to one event. The event was
the great fire of London, on sept.2, 1966.
The city of London began the long and arduous task of rebuilding. It was a task that
would take many years. As new buildings began springing up from the ruins, so did
something else. The following year, 1667, rising from the ashes of London like the
mythical Phoenix bird, was the worlds first insurance company. The 1966 the great
fire of London finally and forcibly demonstrated the need of life insurance.
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INSURANCE IN INDIA
The business of life insurance in India in its existing form started in India in the year
1818 with the establishment of the oriental life insurance company in Calcutta.
1870:
The first Indian insurance company, the Bombay mutual life insurance was started.
1912:
The Indian life insurance companies Act enacted as the first statute to regulate the
life insurance business.
1928:
The Indian insurance companies act enacted to enable the government to collect
statistical information about both life and non-life insurance business.
1938:
Earlier legislation consolidated and amended to by the insurance act with the
objective of protecting the interest of the insuring public.
1956:
245 Indian and foreign insurers and provident societies were taken over by the
central government and nationalized. LIC formed by an act, 1956, with a capital
contribution of 5crore from the government of India.
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CLASSIFICATION OF INSURANCES
Insurance
Life insurance
Life insurance is related with the human life. Basically life insurance is taken for the
head or breadwinner of the house. It gives the security to the whole family and
avoids the risk or the uncertainty of any person or it is also taken for the other
objectives also e.g. Children’s future, retirement etc.
Non life insurance is related with the physical damages or loss of any property or
business losses. For E.g. motor insurance, fire insurance, shipment insurance etc.
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COMPANY PROFILE
The India Info line group, comprising the holding company, India Info line Ltd (NSE:
INDIAINFO, BSE: 532636) and its subsidiaries, is one of the leading players in the
Indian financial services space. India Info line offers the entire gamut of financial
deposits, Loans, Investment Banking, Goo bonds and other small savings
of India’s leading online destinations for personal finance, stock markets, economy
and business.
acknowledged by none other than Forbes as ‘Best of the Web’ and ‘…a must read
for investors in Asia’. India Info line’s research is available not just over the internet
but also on international wire services like Bloomberg (Code: IILL), Thomson First
Call and Internet Securities where it is amongst the most read Indian brokers.
A network of 753 business locations spread over 346 cities across India, facilitates
the smooth acquisition and servicing of a large customer base. All these offices are
connected with the corporate office in Mumbai with cutting edge networking
technology. The group caters to a customer base of over 500,000 over a variety of
mediums viz. online, over the phone and at our branches. The Group is
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strengthening its institutional broking and investment banking services and has built
India Info line refers to India Info line Ltd and its subsidiaries. The consolidated
figures will give a more meaningful picture of the Company to the investors.
Reference to the company or India Info line is to the business done by the company
and its subsidiaries, unless otherwise specified. We are a one-stop financial services
shop, most respected for quality of its advice, personalized service and cutting-edge
technology.
Vision
Our vision is to be the most respected company in the financial services space.
The India Info line group, comprising the holding company, India Info line Limited
and its wholly-owned subsidiaries, straddle the entire financial services space with
Fixed deposits, GoI bonds and other small savings instruments to loan products and
Investment banking. India Info line also owns and manages the websites
branches spread across 345 cities and towns. It has more than 500,000 customers.
India Info line Limited is listed on both the leading stock exchanges in India, viz. the
Stock Exchange, Mumbai (BSE) and the National Stock Exchange (NSE) and is also
depository participant, providing a one-stop solution for clients trading in the equities
market. It has recently launched its Investment banking and Institutional Broking
business.
The content services represent a strong support that drives the broking,
generation is through the sale of content to financial and media houses, Indian as
than Forbes as 'Best of the Web' and '…a must read for investors in Asia'. India Info
line’s research is available not just over the internet but also on international wire
services like Bloomberg (Code: IILL), Thomson First Call and Internet Securities
where India Info line is amongst the most read Indian brokers.
India Info line Commodities Pvt. Limited is engaged in the business of commodities
broking. Our experience in securities broking empowered us with the requisite skills
alternative to equities broking. We enjoy memberships with the MCX and NCDEX,
DGCX. We have a multi-channel delivery model, making it among the select few to
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India Info line Marketing & Services
India Info line Marketing and Services Limited is the holding company of India
Infoline Insurance Services Limited and India Info line Insurance Brokers Limited.
largest Corporate Agent for ICICI Prudential Life Insurance Co Limited, which
is India's largest private Life Insurance Company. India Info line was the first
India Info line Insurance Brokers Limited India Info line Insurance Brokers
Limited is a newly formed subsidiary which will carry out the business of
license and the clearance for the same is awaited. Post the grant of license,
based investment institution invested USD 76.7 million for a 22.5% stake in India
Info line Investment Services. This will help focused expansion and capital raising in
the said subsidiaries for various lending businesses like loans against securities,
SME financing, distribution of retail loan products, consumer finance business and
housing finance business. India Info line Investment Services Private Limited
(a) India Info line Distribution Company Limited (distribution of retail loan products)
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(b) Money line Credit Limited (consumer finance)
The Management
Board of
Directors
Nirmal Jain, MBA (IIM, Ahmadabad) and a Chartered and Cost Accountant, founded
India’s leading financial services company India Info line Ltd. in 1995, providing
insurance and mutual funds distribution, among others. Mr. Jain began his career in
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to its growth. He was also associated with Inquire-Indian Equity Research, which he
Mr. R Venkataraman
an MBA (IIM Bangalore). He joined the India Info line board in July 1999. He
Securities Limited, their investment banking joint venture with J P Morgan of USA
and with BZW and Tibia Capital Corporation Limited. He was also Assistant Vice
President with G E Capital Services India Limited in their private equity division,
sector.
Apart from Nirmal Jain and R Venkataraman, the Board of Directors of India Info line
comprises:
Mr. Sat Pal Khattar, - Board member since April 2001 - Presidential Council of
Federation, is also a life trustee of SINDA, a nonprofit body, helping the under-
privileged Indians in Singapore. He joined the India Info line board in April 2001. Mr.
Khattar is a Director of public and private companies in Singapore, India and Hong
Kong; Chairman of Guocoland Limited listed in Singapore and its parent Guoco
Group Ltd listed in Hong Kong, a leading property company of Singapore, China and
Malaysia. A Board member of India Info line Ltd, Gateway Distriparks Ltd — both
listed — and a number of other companies he is also the Chairman of the Khattar
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Holding Group of Companies with investments in Singapore, India, UK and across
the world.
Accountant and partner (Khimji Kunverji & Co., Chartered Accountants), a member
firm of HLB International, headed the audit department till 1990 and thereafter also
valuations etc; an ICAI study group member for Proposed Accounting Standard —
Merchants’ Chamber (IMC) and Insurance Committee and Legal Affairs Committee
Mr. Kranti Sinha — Board member since January 2005 — completed his masters
from the Agra University and started his career as a Class I officer with Life
Insurance Corporation of India. He served as the Director and Chief Executive of LIC
Housing Finance Limited from August 1998 to December 2002 and concurrently as
the Managing Director of LICHFL Care Homes (a wholly owned subsidiary of LIC
Housing Finance Limited). He retired from the permanent cadre of the Executive
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Insurance Academy, Pune apart from various other such bodies. Mr. Sinha is also
on the Board of Directors of Hindustan Motors Limited, Larsen & Toubro Limited.
SWOT ANALYSIS
Strengths:
• Flexible products
• Partners having experience in different markets of the world
• Synergy with their existing operations
• Expertise in the field of insurance
• Professional management
• Good customer service
• Create a brand name
Weakness:
• Yet to build strong distribution networks
• Cannot tap rural markets
Opportunity:
• Untapped market
• Company ready to tie up for as a readymade distribution network for a small
fee.
Threat:
• Large distribution network of LIC
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PRODUCT PROFILE
ICICI Prudential Life Insurance offers a range of innovative, customer-centric
products that meet the needs of customer at every life stage. Its various
products can be enhanced with top riders, to create a customized solution for
each policyholder.
Saving Benefit
Protections Benefit
LSA Plans
ISCB Plans
Child Plans
Retirement Plans
Health Plans
ICICI Pru Life Stage Assure, A ULIP plan giving guaranteed returns (maturity
additions) on first year premium – which means that investment, gets an unmatched
start to long term wealth creation.
ICICI Pru Life Stage Assure also comes with an option of life cycle based portfolio
strategy that re-distributes money across various assets classes based on life stage
and risk tolerance. Thus, with this policy investor can look forward to a great start to
realize all aspirations.
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Key Benefits of ICICI Pru Life Stage Assure
15 180% 140%
20 270% 180%
25 350% 250%
30 450% 300%
Charges:
Charge 5% 2% 1% 0%
2. Mortality Charges:
Age(Yrs)-Male 20 30 40 50
Age(Yrs)-Female 22 32 42 52
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Funds R.I.C. Flexi Multipli Flexi Balanc Protect Preserv
H. Growt er Balanc er or er
IV h IV ed IV IV IV
IV IV
Charg 1.50% 1.50 1.50% 1.00% 1.00% 0.75% 0.75%
es %
5. Switching Charges:
4 free switches are allowed every policy year. Subsequent switches would
charges at
Rs.100/- per switches.
As parents, your biggest concern is that of securing the future of your child. In
today's world, with ever-increasing competition, escalating cost of education and
uncertain financial markets, it is very important to plan for your child's future.
Key Benefits:
Premium Guarantee: Sum of all premiums paid minus the partial withdrawals is
guaranteed on maturity of the policy or death of the policyholder. This value is
referred to as Guaranteed Value. The Guaranteed Value will come into play only if
all the premiums due from the policyholder have been paid.
Partial Withdrawals: From the 6th year onwards, you are allowed one partial
withdrawal per year, up to a maximum of 10% of your fund value till the end of the
term
Maturity Benefit: On completion of term of the policy, the higher of the fund value or
guaranteed value is paid to the policyholder
Death Benefit: On death of the policyholder, Sum Assured PLUS higher of fund
value or guaranteed value at the time of death, will be paid out to the nominee of the
life assured.
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Tax Benefits: The premiums paid towards this policy are eligible for tax deductions
u/s 80 C. Maturity proceeds and death benefits are eligible for tax exemption u/s 10
(10 d) as per prevailing tax laws.
As per the changes there is also the option of settlement i.e. on maturity of the
policy, you can choose to take the fund value as a structured benefit. With this
facility, you can opt to get payments on a yearly, half yearly quarterly or monthly
basis for a period of 1,2,3,4 or 5 years. any time during the settlement period you
have the option to withdraw the entire fund value.
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Life Time Super Pension
You can switch between the various fund options at any time. There is a provision of
4 free switches every policy year, subject to the condition that the minimum switch
amount is Rs.2000.
RIDERS/ADD-ON
ICICI Prudential offers one the unique opportunity of designing one’s own life
insurance policy. The freedom of selecting from any of the add-on benefits that one
may need. One can choose to take all, some or none at all.
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Major Surgical Assistance Rider
A rider added to a life insurance policy to provide financial support in the event of
medical emergencies. 43 specified surgical procedures are covered under this rider.
This benefit is payable on more than one occasion when the life assured undergoes
surgery. However the total benefit payable in case of all the procedures is restricted
to a maximum of 50% of the sum assured.
Accident Benefit:
This benefit is payable in case of death that occurs as a result of an accident.
The death must have occurred:
• When the policy is in force for the full sum assured any time before the expiry
of the policy
• Before the age of 65 (whichever is earlier.)
Disability Benefit:
An amount equal to sum assured under the rider is payable in the event of death of
the Life assured due to accident.
The following terms and conditions are applicable to Accident Benefit Rider.
• The life assured should be in the age group of minimum 18 years and
maximum 55 years.
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• Maximum cover ceasing age is 65 years.
All premiums paid under this rider are eligible for tax benefits under Sec.88.
This rider is available with Seven’s' Protect, Cash Bak, Secure Plus, Cash Plus,
Smart Kid Child Plans, Life Guard (Regular Premium plans), Assure Invest and
Reassure.
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COMPETITORS DETAILS
Spread Life Insurance widely and in particular to the rural areas and to the
socially and economically backward classes with a view to reaching all
insurable persons in the country and providing them adequate financial cover
against death at a reasonable cost.
Maximize mobilization of people's savings by making insurance-linked
savings adequately attractive.
Bear in mind, in the investment of funds, the primary obligation to its
policyholders, whose money it holds in trust, without losing sight of the
interest of the community as a whole; the funds to be deployed to the best
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advantage of the investors as well as the community as a whole, keeping in
view national priorities and obligations of attractive return.
Conduct business with utmost economy and with the full realization that the
moneys belong to the policyholders.
Act as trustees of the insured public in their individual and collective
capacities.
Bajaj Allianz Life Insurance Co. Ltd. is a joint venture between two leading
conglomerates-, Bajaj Auto, one of the biggest 2 and 3 wheeler manufacturers in the
world and Allianz AG, one of the world's largest insurance companies.
Bajaj Allianz Life Insurance Is the fastest growing private life insurance company
in India.
Currently has over 3,00,000 satisfied customer.
We have customer care centers in 155 cities with 28000 Insurance. Consultants
providing the finest customer service.
One of India's leading private life insurance companies.
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Max India Limited is a multi-business corporate, driven by the spirit of Enterprise,
focused on Knowledge, People and Service oriented businesses of Healthcare and
Life Insurance. Max also maintains interests in Clinical Research, IT and Telecom
Services, and Specialty Plastic Products businesses.
Healthcare
Life insurance
Uncial Research
IT & Telecom Services
Specialty Plastic Products
Max India is led by a skilled team of professional managers and is recognized for
commercially successful manufacturing and service delivery businesses.
Max has created enviable history marked by tremendous growth in various fields
and has been ranked among the "Top Two Hundred Most Valuable Indian
Companies" by Business India (October 2000).
The over 137 years of experience, the MetLife companies serve millions of
customers in the Americas and Asia with one goal in mind – to build financial
freedom for everyone.
The MetLife companies are a leader in-group benefits that serve 88 of the top one
hundred FORTUNE 500®* companies, and provide benefits to 37 million employees
and family members through its plans sponsors in the U.S. The MetLife companies
are also ranked #1 in-group life and #1 in commercial dental in the U.S. The MetLife
companies are the number one life insurer in the U.S. with approximately US $2.8
trillion of life insurance in force.
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In India, MetLife was incorporated in 2001, and aims to differentiate itself through
customized need based selling, simple and innovative products, and technology-
backed service experience, to tread its path to build financial freedom for everyone.
ING Vysya Life Insurance Company Private Limited (the Company) entered the
private life insurance industry in India in September 2001, and in a short span of 3
years has established itself as a distinctive life insurance brand with an innovative,
attractive and customer friendly product portfolio and a professional advisor force. It
also distributes products in close cooperation with the ING Vysya Bank network.
Currently, it has over 10,000 active advisors working from 46 branches (in 30 cities)
across the country and over 1200 employees.
The Company’s portfolio offers products that cater to every financial requirement, at
any life stage. We believe in continuously developing customer-driven products and
services and value being accessible and responsive to the needs of our customers.
Aviva Plc is UK’s largest and the world’s fifth largest insurance Group. It is one of the
leading providers of life and pensions products to Europe and has substantial
businesses elsewhere around the world. With a history dating back to 1696, Aviva
has a 30 million-customer base worldwide. It has more than £273 billion of assets
under management.
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In India, Aviva has a joint venture with Dabur, one of India's oldest, and largest
Group of companies. A professionally managed company, Dabur is the country's
leading producer of traditional healthcare products.
Aviva pioneered the concept of Bancassurance in India, and has leveraged its global
expertise in Bancassurance successfully in India. Currently, Aviva has
Bancassurance tie-ups with ABN Amro Bank, American Express Bank, Canara
Bank, The Lakshmi Vilas Bank Ltd. and Punjab & Sind Bank.
Aviva has 34 Branches (including rural branches) in India supporting its distribution
network. Through its Branches and its Bancassurance partner locations, Aviva
products are available in 165 towns and cities across India. Aviva has also opened
four rural branches in Faridkot, Udaipur, Nasik and Nagpur.
REGULATORY FRAMEWORK
HISTORY
Prior to 1912, the Indian Companies Act governed Insurance Companies. In 1912,
the Insurance Act was passed which set down rules and regulations specific to the
insurance industry. Amendments to the act were made in 1919 and 1928 but the
most fundamental shake up came in 1938 and many of the rules introduced are still
valid today.
To protect the interest of insuring public, earlier legislation was consolidated and
amended by the Insurance Act 1938. Comprehensive provision for detailed and
effective control over the activities of insurers’ is provided. In order to administer the
aforesaid legislation, an insurance wing was established and attached with
the Ministry of Finance. This
wing was responsible for deciding policy matters pertaining to insurance. The
Controller of Insurance looked after the actuarial and operational matters relating to
insurance. The Act was amended in 1950, making far-reaching changes, such as:
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• Requirement of equity capital for companies carrying on life insurance business,
• Ceiling on share holding in such companies
• Stricter controls on investments of life insurance companies
• Submission of periodical returns relating to investments and such other
information the controller as he may call for.
• Appointment of administrators for mismanaged companies,
• Ceiling on expenses of management and agency commission,
• Incorporation of the Insurance Association of India and formation of councils and
committees thereof,
LIC ACT, 1956
The next significant piece of legislation was the introduction of the LIC Act 1956.
(01/07/1956) Section 30 of the act provided the Life Corporation of India Exclusive
rights to carry out life insurance business in India.
As per the section 4 of IRDA Act' 1999, Insurance Regulatory and Development
Authority (IRDA, which was constituted by an act of parliament) specify the
compositionofAuthority.
The Authority is a ten-member team consisting of Chairman; five whole-time
members; four part-time members, (all appointed by the Government of India)
MISSION OF IRDA
To protect the interests of the policyholders, to regulate, promote and ensure orderly
growth of the insurance industry and for matters connected therewith or incidental
thereto.
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Section 14 of IRDA Act, 1999 lays down the duties, powers and functions of IRDA.
Subject to the provisions of this Act and any other law for the time being in
force, the Authority shall have the duty to regulate, promote and ensure
orderly growth of the insurance business and re-insurance business.
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10) Specifying the form and manner in which books of account shall be
maintained and statement of accounts shall be rendered by insurers and
other insurance intermediaries;
11) Regulating investment of funds by insurance companies;
12) Regulating maintenance of margin of solvency;
13) Adjudication of disputes between insurers and intermediaries or insurance
intermediaries;
14) Supervising the functioning of the Tariff Advisory Committee;
15) Specifying the percentage of premium income of the insurer to finance
schemes for promoting and regulating professional organizations referred to
in clause
16) Specifying the percentage of life insurance business and general insurance
business to be undertaken by the insurer in the rural or social sector.
Insurance sector has been opened up for competition from Indian private insurance
companies with the enactment of Insurance Regulatory and Development Authority
Act, 1999 (IRDA Act). As per the provisions of IRDA Act, 1999, Insurance
Regulatory and Development Authority (IRDA) was established on 19th April 2000 to
protect the interests of holder of insurance policy and to regulate, promote and
ensure orderly growth of the insurance industry.
IRDA Act 1999 paved the way for the entry of private players into the insurance
market that was hitherto the exclusive privilege of public sector insurance
companies/ corporations. Under the new dispensation Indian insurance companies
in private sector were permitted to operate in India with the following conditions:
Page 37 of 82
The company’s sole purpose is to carry on life insurance business or general
insurance business or reinsurance business.
The minimum paid up equity capital for life or general insurance business is
Rs.100 cr.
The minimum paid up equity capital for carrying on reinsurance business has
been prescribed as Rs.200 cr.
Insurance companies:
The insurers are required to maintain solvency margins so that they are in a
position to meet their obligations towards policyholders with regard to
payment of claims.
It is obligatory on the part of the insurance companies to disclose clearly the
benefits, terms and conditions under the policy. The advertisements issued by
the insurers should not mislead the insuring public.
All insurers are required to set up proper grievance redress machinery in their
head office and at their other offices.
The Authority takes up with the insurers any complaint received from the
policyholders in connection with services provided by them under the
insurance contract.
Problems
The main problem faced by the company was these time economy crisis .The
companies own product had very less market as compare to its third party selling.
The insurance company does a third party selling for all the investment products.
So, the study which I had done has the following problems:
4. To analyze the consumer perception about the quality of the product, so that
the steps can be taken to maximize the consumer satisfaction.
Page 39 of 82
7. To maintain and enhance the position further, the company decided to have a
thorough insight into Its Insurance products. As this industry depends upon
the Investor perception of the product and their views towards the service
provider, thus, the feedbacks from the customers become all the more
important.
The Research project has been carried out to aid the ICICI Prudential in offering
services that the customer needs and also to improve on some of the existing
services of the company.
Analyzing the data as per the given objectives and finally reaching a conclusion and
the factors that the insurance company should consider in case of improving the
investment.
Page 40 of 82
SCOPE
The Scope of the Research study would include the Geographic & Demographic
region of Pune.
The Sample of 100 has been taken from areas such as Commercial Complex &
Offices in Hinjewadi(Rajiv Gandhi IT Park,Phase-1,2 & 3), Yarwada,Shivajee
Nagar,Sangavi,Anudh e.t.c. These areas have been identified to give the actual
picture of the investment behavior of the Office goers who invest in such
Instruments.
Page 41 of 82
PURPOSE OF THE STUDY
To maintain and enhance the position further, the company decided to have a
thorough insight into the investment in ULIP’s. As it is service industry, which
depends upon the customer perception of the product conception and their views
towards the service provider, thus ,the feedback from the customers thus become s
all the more important.
The purpose of the undergone study is to study the ULIP services and its rates of
different insurance company and evaluate the competitive position of ICICI Pru. so
as to suggest ways to increase it’s market share.
Page 42 of 82
RESEARCH OBJECTIVES
• Primary Objectives:
• Secondary Objectives:
RESEARCH METHODOLOGY
The projected objectives were considered and as per the requirement a market
survey was done.
Procedure:
Process adopted:
Evaluation of questions.
Page 44 of 82
The Questionnaire format is being finalized.
3. Customer Survey:
The people play an important part as a clear perception of people about the
product can be estimated and known. Studying the need levels of the people
regarding the Insurance product can be observed. It was very useful in knowing
about the requirements of the people.
Research Design:
A two stage Research was conducted:
1. Secondary Research:
Data was collected from websites and catalogues to understand the product of
the different players
2. Primary Research:
A Primary Research was conducted:
The questionnaire was prepared for the companies and following areas covered:
• Competitors
• Features of competitors
• Consumer profile
• Level of satisfaction
• Reasons behind the investment
• Valuable features of the product.
Page 45 of 82
Sampling Plan:
Elements:
The target population of the study included the general population above the
age of 21 yrs. It will further be based on Stratified Random Sampling.
Sample size: 100 people.
The first of Research consisted of secondary data search from the following sources:
• Catalogues
• Websites
In this, information about different players, their features were collected.
The final draft of the questionnaire (see Appendix) was then prepared on the basis
of the observations from the pilot study. These were then finally filled by 200
consumers, for the conclusive study.
• Attitudes/Opinions:
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Through the questionnaire we have tried to get hold of individual’s preference,
inclination and requirement from the products that the company delivers to its
Investors. Attitude is an important notion in the marketing literature, since it is
generally thought that the attitudes are related to the behavior of individual.
• Awareness/Knowledge:
• Intentions:
• Motivation:
Through the questionnaire we have tried to find the hidden need or want of an
individual and have tried to find if these people can be tapped as the potential
customer for ICICI Prudential.
• Behavior:
Behavior concerns what subjects have done or are doing. Through the questionnaire
we have tried to find out the behavior of the individuals regarding the product and
their responses. If the responses are favorable then the person can be said to be our
potential customer. The primary data serves as an important tool to measure the
behavioral trend of the customer. It helps in answering some of the vital Questions.
Thus, it helps to draw a comparison between the Purchase and the observed
behavior of the individuals.
Page 47 of 82
The data collection was primarily done through communication. Communication
involves questioning respondents to secure the desired information, using a
data collection instrument called questionnaire. The questions were in writing
and so were the responses.
Versatility:
It is the ability of a technique to collect the information on the many types of
primary data of interest to marketers. It has also been found that some of the
people do not answer truthfully to all the questions especially in the case of the
personal details.
Analysis and Findings
V/S
Features ICICI Prudential Lifetime Birla Sun Life Classic Life
Age 0 - 60 years 1 - 65 years
Term Choice rests with the Choice rests with the consumer with a
consumer with a minimum minimum premium payment term of 3
premium payment term of years
3years
Sum Choose your sum assured, Depends on the contribution.
Assured subject to a minimum sum
assured of Rs. 1 lakh
Survival Value of units (3rd year Value of units
benefit onwards)
Death Higher of Sum Assured or Higher of Sum Assured or value of
benefit value of units. However, units. However, the value of units will
the value of units will be be treated as death benefit if the Life
treated as death benefit if Assured is less than 7 years of age.
the Life Assured is less
than 7 years of age or
more than 70 years of age.
Page 48 of 82
Withdrawal Partial or complete Partial or complete withdrawals are
Benefit withdrawals are available available from the 3rd year onwards. In
from the 3rd year onwards a year 2 withdrawals are free of
charge. For every additional withdrawal
a charge of Rs. 100 will be levied.
Contribution Minimum : Rs. 18,000 p.a. Minimum premium of Rs. 25,000 p.a.
Page 49 of 82
Bonus units Declared as a % of unit Loyalty additions in the form of
value. Paid at the end of additional units will be credited to the
4th, 8th and 12th policy policy fund at the end of the 10th policy
year. The allocation of the year and at the end of every 5th year
units would only be made if thereafter.
the annual contribution till
that date were made in
total.
<=75,000 : 0.20%
75,001 - 5,00,000 : 0.25%
5,00,001 - 10,00,00 :
0.30%
10,00,01 - 50,00,00 :
0.35%
50,00,01 and above: 0.40%
Top-up Available. Minimum top-up Available (Charges: 1.5% of the top-
of Rs. 5000. Charges - 1% up)
of top-up.
Switch 4 free switches a year, with In a year 2 switches are free. Every
the minimum switch additional switch will be charged at
amount being Rs. 2000. 0.25% of the funds transferred.
Surrender The policy will acquire a The surrender charges levied will differ
Value surrender value after 3 from year - year: Year 1 - 75%; Year 2
complete premium paying - 60%; Year 3 - 40%; Year 4 - 20%.
years. The surrender value From year 5 onwards there will not be
is 100% of the value of any surrender charges.
investments.
Premium Post 3 years premium Available
Holiday payment , the policy will not
lapse on non-payment of
subsequent premiums. The
cover will continue.
Initial % Allocation of the Charges
Charge premium
18000- 49,999 : 1st year - Rs. 25,000 to Rs.49,999: 1st year:
80% ; 2nd year - 92.5% ; 15%; Subsequent years: 4%
Page 50 of 82
3rd year onwards - 96%.
Page 51 of 82
ICICI Prudential Life Time HDFC Linked
Features
Age 0 – 60 years 18 - 60 years
Term Choice rests with the 10 - 30 years
consumer with a minimum
premium payment term of
3years
Sum Assured Choose your sum assured, Only 5,10 ,20 (age-based) multiples
subject to a minimum sum are allowed as Sum Assured.
assured of Rs. 1 lakh
Survival Value of units (3rd year Value of units
benefit onwards)
Death benefit Higher of Sum Assured or Higher of Sum Assured or value of
value of units. However, the units. However, the value of units
value of units will be treated will be treated as death benefit if the
as death benefit if the Life Life Assured is more than 70 years
Assured is less than 7 years of age.
of age or more than 70
years of age.
Withdrawal Partial or complete Partial withdrawal available from the
Benefit withdrawals are available 3rd year onwards, provided that the
from the 3rd year onwards Value of Units does not go below the
Sum Assured.
Contribution Minimum : Rs. 18,000 p.a. Minimum: Rs. 10,000 p.a.
Flexibility to The maximum decrease in Available
increase or the premiums can be up to
decrease your 20% of the initial premium
contribution chosen by the policyholder
at the time of inception of
the policy. However, in no
circumstances can the
premium be reduced to
below Rs. 18, 000 or 80% of
the initial chosen premium
Investment Maxi miser, Balancer, 5 Fund Options- Balancer,
options Protector & Preserver. Defensive Managed, Safe Managed,
Liquid & Growth
Increase / Available. Life Time lets you Not available
Decrease of increase your death benefit
death benefit during special events 3
times or every 3rd year up to Page 52 of 82
Page 54 of 82
Increase / Available. LifeTime lets you Not available
Decrease of increase your death benefit
death benefit during special events 3
times or every 3rd year up to
3 times. The increase is
@25% of original death
benefit or Rs. 1 lakh
whichever is lower, each
time. Any additional increase
in Sum Assured, is
Increase / <=75,000 : 0.20%
Decrease of
death benefit
<=75,000 : 0.20%
75,001 - 5,00,000 : 0.25%
5,00,001 - 10,00,00 : 0.30%
10,00,01 - 50,00,00 : 0.35%
50,00,01 and above: 0.40%
Switch 4 free switches a year, with Four free switches every policy year.
the minimum switch amount Subsequent switches would be
being Rs. 2000. charged Rs. 1000 plus: 0.5% of fund
value transferred into the Equity
Fund, 0.4% of fund value transferred
into the Growth Fund, 0.3% of fund
value transferred into the Balanced
Fund, 0.25
Switch 4 free switches a year, with Four free switches every policy year.
the minimum switch amount Subsequent switches would be
being Rs. 2000. charged Rs. 1000 plus: 0.5% of fund
value transferred into the Equity
Fund, 0.4% of fund value transferred
into the Growth Fund, 0.3% of fund
value transferred into the Balanced
Fund, 0.25
Page 55 of 82
Premium Post 3 years premium Available after the 2nd policy year.
Holiday payment , the policy will not However, a there will be a small
lapse on non-payment of charge on the automatic cover
subsequent premiums. The continuance facility.
cover will continue.
18000- 49,999 : 1st year - 30 year term: First year - 50 %;
80% ; 2nd year - 92.5% ; 3rd Second year - 25%; Third year
year onwards - 96%. onwards - 1%.
50000 and above : 1st year - 20 year term: 0 - 45 years - First
82% ; 2nd year - 92.5% ; 3rd year - 50 %; 46 - 54 years - First
year onwards - 96%. year - 50 % less 2.5% each age; 55
years - First year - 25 %; Second
year - 25%; Third year onwards -
1%.
15 year term: 0 - 45 years - First
year - 40 %; 46 - 49 years - First
year - 40 % less 2.5% each age; 50
years - First year - 27.5 %; Second
year - 20%; Third year onwards -
1%; 51 - 54 years - First year - 27.5
% less 1.5% each age; Second year
- 20% les
Admin Charge None A monthly admin fee of Rs. 38 per
month.
Other charges Not applicable Not applicable
Bid-Offer Not applicable Not applicable
spread
Fund The annual adminstrative Fund Management Charges are as
management and fund management given below: Equity - 1.75%, Growth
Charge charge is 2.25% for - 1.60%, Balanced - 1.40%, Income
Maximiser, 2.25% for - 1.25% and Liquid - 0.90%.
Balancer, 1.50% for
Protector & 0.75% for
Preserver.
Riders ADBR, CIBR & MSAR Not available
Page 56 of 82
Page 57 of 82
Conclusions
Birla Sun Life Classic Life does not provide flexibility to opt for a Sum Assured
due to the restricted SA limits. This would mean that consumer desirous of higher
cover couldn’t opt for this product.
Life Time offers a much lower premium than Birla Sun Life Classic Life.
Life Time gives you the additional protection of increase or decrease of death
benefit at various stages of your life, wherein your liabilities may increase
such as marriage, children, a new home, children's higher studies etc.
Life Time levies lower charges on top-ups as compared to Birla Sun Life
Classic Life.
Life Time has other charges on the sum assured chosen. So, for a sum
assured of Rs. 10 lakhs, the charge works out to Rs. 2000.
Lifetime can even be taken for a child and can be continued throughout his
life.
Lifetime does not have a restriction on the term of the policy.
Page 58 of 82
HDFC does not provide flexibility to opt for a Sum Assured due to the
restricted SA limits. This would mean that consumer desirous of higher cover
cannot opt for this product.
HDFC does not provide flexibility in withdrawals. Firstly, the consumer cannot
make a partial withdrawal for quite many years till the time VOU>SA, also the fact
that the withdrawals would be limited to a maximum of VOU-SA. This severely
restricts the flexibility and usage of the plan.
We do not have as many fund choices as HDFC, but the asset allocation of
our three funds also range from 100% debt to 100% equity gives you investment
options. Additionally a mix of our two funds can give the almost the desired asset
mix in the funds of HDFC.
HDFC does not provide the flexibility of changing the SA. Thus a consumer
can't change SA with a change in his lifestyle / life stage. This also means that if
the consumer wants more insurance later, he will have to buy a new product and
pay the initial charges once more. While Life Time gives you increase or
decrease death benefit.
Although switches are free (as of now) with HDFC, the consumer does not do
many switches in a year. In such a scenario 4 free switches would not be
disadvantageous to the consumer.
Life Time does not have any entry age restrictions based on the term chosen.
Life Time gives you the option to choose your own term based on your
requirements. Life Time also gives you the flexibility to choose your premium paying
term and still continue the policy as long as you wish to.
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Life Time gives you the flexibility to completely withdraw the units from the 3rd
year onwards, in case of any eventuality.
Page 60 of 82
FINDINGS OF THE STUDY
• GENDERWISE DISTRIBUTION
Among the 100 respondents, females represented 28% only. The reason being
females are generally less active and aware about insurance services and
investment options. Moreover, during the survey it was revealed that females are
less responsive for such surveys.
• AGEWISE DISTRIBUTION:
Among the 100 respondents, maximum respondents are from age group 21-30yrs
they cover around 22% of total population. This is because people in this age group
do not more responsive.
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• OCCUPATION WISE:
In total 100 respondents 48% are in private service and 20% of them are in
business, th24% of the total pie is owned by the government servant and
professional hold the least i.e 8% of the total sample.
Page 62 of 82
• PEOPLE WITH LIFE POLICY:
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The survey shows that the LIC is the most preferred insurance company, covering
30% of the total population. The next preferred insurance company is ICICI (16%)
and the third most preferred bank is HDFC.
When I ask about how many amount invest in insurance sector after that many
person do not invest money because do not aware about insurance. It’s main cause
death rate is very low in India.
Company name
Annual premium
Premium paying options
Tax benefits
Advertisements
Agent
Page 64 of 82
• IMPORTANCE OF INSURANCE:
Page 65 of 82
Inference: Life insurance is seen most importantly as a financial protection of
family of policy holder by nearly half of the people. A major slice of the sample
also values it as a tax saving option
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Inference:
LIC and ICICI banks upon a good brand name.
LIC is most trusted for reliability
ICICI is able to satisfy customers through great customer
service.
Bajaj Alliance takes the highest share in ease of processes
and faster claims settlement.
Cumulative Ranking
LIC 1
ICICI Prudential 2
HDFC Standard 3
Bajaj Alliance 4
TATA AIG 5
Reliance 6
Aviva 7
Any other 8
Page 67 of 82
• SATISFACTION OF PEOPLE:
Satisfactionof people
100
80
60
40
20
0
Yes No Can't Say
In general it is seen that people are satisfied with the services of the ICICI Pru.
Very few are not satisfied with services provided by their company.
Page 68 of 82
• AWARENESS ABOUT THE PRODUCTS OF ICICI PRUDENTIAL:
The ICICI Pru has very strong market coverage and most of the populations know
about the products. ICICI is strong brand image and it’ service is also good.
Page 69 of 82
• RISK PREFERNCE OF SAMPLE :
Moderate risk takers are 50%, this shows that they benefit from the Bull Run as well
as safe capital.
26% represents low risk takers which are due to their old fixated mindset.
High risk takers are mostly those in Business who are willing to go an extra mile for
Returns. They hold 16% market share.
Page 70 of 82
• DISTRIBUTION OF SAMPLE IN ACCORDANCE WITH THE
PREFERNCE FOR TIME HORIZON OF INVESTMENT:
Only 2% of the total respondents wants to invest for the period of 10-15 yrs.
Respondents belong to new breed who do not want to block their money that long.
Mostly (50%) they invest for 4-7 yrs to get maximum benefits. It is here that they
double their amount paid on required first 3 premiums, even after not paying any
more premiums.
Those investing for just 3 yrs want to reap benefits from current Bull Run.
Investors for 7-10 yrs (8%) have to some obligation materializing in that maturity
period like daughter marriage etc.
Page 71 of 82
• VARIOUS AVENUES OF INVESTMENT :
• Survey shows that FDs are most popular among the respondents,
around 24% of the total sample population invest in them. In case of
ULIPs, only 11% of the total respondents are investing, and that
investment is also due to its tax benefit.
Page 72 of 82
• REASONS FOR INVESTMENT :
Survey shows that income growth is the prime reason for the investment, 44% of the
respondents invest for income growth, the second next reason for the investment is
tax rebate, comprises of 33% of the total respondents. Thus, these two benefits can
act as strong motivator for attracting people for investment for ULIPs
Page 73 of 82
• AGEWISE PREFERNCE OF THE REASONS FOR THE
INVESTMENT :
In the age group 21-30 yrs, most of the respondents want Tax rebate & Income
growth.Other benefits come second in importance.
Age group 31-40 yrs prefer besides above two also child’s education. This shows
that investors in this age group are more family oriented & value ULIP investment
crucial for social obligations. For them pension is least fanciful. This age group is
well dispersed (excluding pension).
Age group 41-50 yrs also prefers Tax rebate & Income growth with little of all others
also as per respondent’s preference of benefits.
Respondents over 50 yrs stick to tax rebate or pension and child education as
benefit alsoshows family responsibility as a major motivator for investment.
Page 74 of 82
CONCLUSION ABOUT MARKET POTENTIAL OF ULIPS
1. Trust needs to be developed among the customers both as far as the ULIP as
a product is concerned and also regarding private players (ICICI Prudential)
particularly in our study.
2. Some respondents despite of knowing about ULIP were hesitant to talk on it
because they were not too confident about their knowledge. This very fact
completely declines the concept of providing switches as a lucrative feature in
ULIP (which is done by most of the companies). The reason is that very rarely
people have the ability or time to use these features.
3. The important facts which we could conclude from our data regarding the
buying behavior of individuals are that people give maximum importance to
the tax benefit that they receive after investing in the unit linked insurance
plan .Further the next most attractive benefit that people look forward to most
as per our sample is that of income growth. In fact most of the unmarried
chunk of our population who has no liabilities like child education or marriage
goes in for a ULIP product just to multiply the money in a couple of years.
Other benefits are important as well but these two take away most of the
attention.
5. Another important finding was that time horizon was one of the factors of
concern while investing in ULIP and as per the analysis of the questionnaire
we found that a large proportion of our sample was convenient with the time
period of 4-7 years and then others were in favor of a period not beyond 3
years. This implies that very less number of people were comfortable with
long time horizons.
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6. Another very interesting finding from our data is that when we talk about risk
as an investment criterion then the female population which already has or is
interested in investing would favor either no risk at all or low risk and low gain.
Whereas the customers’ businessmen by occupation and specifically from
age group 21- 30 would favor either moderate risk and moderate gain or
rather go for a high risk and high gain strategy. This result came completely in
line with our expectations.
7. Considering the market share of the leading players it was found that LIC
rules when it comes to an age group of 50 plus due to the credibility and trust
it has gained in all past years. Where the other age groups prefer to explore
the leading private players where in our sample Standard Chartered (Bajaj
Allianz) and ICICI prudential make a clean sweep. Other company like HDFC
was found with a limited proportion only according to our findings.
8. Our analysis shows that though the product has been able to cater to a
number of benefits but still a lot of brand awareness is lacking and LIC is
posing the biggest threat followed by SBI life to the private players.
Page 76 of 82
CONCLUSIONS
Competitor’s Analysis
1. Almost all the insurance company offer similar features and facilities with their
insurance, therefore for existing customers of insurance of any company to
shift to another insurance company; this is very rarely the criteria or reason.
5. Aggressive Marketing is the key to increasing the market share in this area,
since the market has a lot of potential both in terms of untapped market .
Page 77 of 82
RECOMMENDATIONS FOR INCREASING MARKET SHARE
OF
RECOMMENDATIONS FOR ULIPS
1. Various branches of ICICI should try to tap their own customers first
depending on the various profiles they have, rather than the other set of
customers which they primarily focus upon.
2. Most of the customers as per our sample are inclined towards HDFC because
of the strong policy base and easy accessibility. So other competitors really
need to make a new brand awareness policy. But on the other hand some of
them are really unhappy with the service provisions done by HDFC after
acquiring the customers. In their view it deteriorates. So it should be taken
care of.
3. Building trust by providing the customers with adequate knowledge about the
company and then the product.
4. Enhancing the level of awareness in terms of the company, their Partners and
the product and special emphasis among the female chunk of the population.
5. Using the Brand equity of ICICI Pru to promote ICICI Bank rather than doing it
other way since brands like ICICI are not enjoying the same image today
what they did years back.
6. The private players should try to establish Brand awareness and credibility
especially among the senior customers so as to divert their interest from the
clean sweep made by LIC and UTI.
7. The companies should target more of female consumers as they have money
to invest but are completely unaware about the options available to them and
ULIP should be made to look more attractive to them.
8. Adequate advertisement via appropriate media should be done by the various
companies as is done in the case of mutual Funds.
.
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9. Certain discount charges should be made available because of the severe
competition within the private players as well as the biggest threat posed by
LIC and SBI.
10. ULIP is a highly untapped market and here the right strategies and hitting the
bulls eye by propagating the most sought after benefit among the customers
will attract most of the customers.
LIMITATIONS
1. It was difficult to break the ice with the common people initially. It was a
daunting task to convince them to fill in the personal details of the
questionnaire where they have to mention the monthly income, occupation
etc.
3. Due to the financial and time constraints a cluster analysis of the population
so as to get better results was not feasible.
5. The competitor analysis in the manual could only be compiled for a rough
idea to the nature of the product. The product features and NAVs keep on
changing on a daily basis.
Page 79 of 82
BIBLIOGRAPH & REFRENCES
Books:
Websites:
• 5paisa.com
• www.indiainfoline.com
• www.wikipedia.org
• www.financeindiamart.com
• www.google.com
• www.icici.com
• www.birlasunlife.com
• www.reliancemoney.com
• www.hdfcbank.com
Personnel:
Page 80 of 82
2. Mr. KRISHNA TIWARI
ANNEXURE
1. Questionnaire
3. NAME:
4. GENDER:
a) Male b) Female
5. MARTIAL STATUS:
a) Single b) Married
6. AGE:
a) <20 yrs b) 21-30 yrs
c) 31- 40 yrs d) 41-50 yrs
e) >50 yrs
7. OCCUPATION:
a) Government b) Private Service
c) Business c) Other
8. ANNUAL INCOME:
a) Up to 2 lacks b) Between 2-3 lacks
c) 3-5 lacks d) Above 5 lacks
11. Are you aware about Unit Linked Insurance Plan (ULIP)?
a) Yes b) No
13. Are you satisfied with the service provided by your insurance company?
a. a)Yes b) No c) ______________
14.If No, then which of the following service are you looking for?
a) Fast Service b) As Soon as claim
c) Easily pay premium d) Attractive Plan
Page 82 of 82