INTRODUCTION

People in all values of life are faces with risk and contingencies an unexpected death, loss
of goods due to theft and natural uncertainties, earthquake floods are some examples of
the rise that every body on earth faces. A time passes life faces more dangers from both
natural and ma made. Insurance is the best plan for surviving from such risky and
contingencies. Insurance does not avoid loss, but it compensates to some extent, the loss
that arise from uncertainties.
Insurance is essentially cooperate effort under any insurance arrangement a large
number of persons in persons in effect a to share a loss which a few of them are like to
insure in future when the sharing is dome amongst a large no. of persons, the individual
share remains fairly steady from year to year. Such association of persons for sharing
anticipated losses may be brought about voluntarily by all participants or may be
organized by a few individuals or by an insurance organizations.
The function of insurance in various is to protect the few against the heavy
financial impact of anticipated misfortune by spreading the loss among many who are
exposed to the risk of similar nature while it is not possible to predict which individual
amongst too many participants are likely to be the victims of future. It is often possible to
forecast the loss which the groups a whole may suffer.
The sharing to such loss among the participants ensures that the victims are
compensated for the loss suffered by them. As a consequence for heavy and uncertain
loss to some is neutralized by the definite contribution of moderate amounts which every
participant is required to make.

COMPANY PROFILE
HISTORY OF LIFE INSURANCE
In the early time men who engaged in trade by sea attempted to minimize losses
which amongst a large number of persons who were similarly engaged. Naturally many
ships were arrived safely in port and it was only a few that survived loss. The many who
did not sufferer loss contributed to mitigate the sufferings of the few who did. So many
goods followed from this arrangement that the traders adopted the idea in many lands and
gradually they come into existence groups of men who specialized in managing the funds
and studying the rates of loss which occurred in the different types of marine ventures.
This was the beginning of marine insurance.
The evidence in available about crude form of marine contracts made by the Babylonians.
Rhodesians and the Greeks about the middle of the third millennium BC. However, the
early history of insurance is hidden in the mists of antiquity. The earliest available
reference to some form of Insurance is found in the codes of Hammurabi and Manu
(Manav Dharma Shastra). The team YOGAKSHEMA is used in Rig-Vedas suggesting
that some form of community insurance was practiced by the Aryans in India over 3000
years ago.
In India, Burial societies are known to have existed during the Buddhist period,
which were invariably mutual in their character. The village community came to the help
of the families by building up house, protecting the children and apprenticing the boys in
business.

LIC remained for a long time, largely in the lands of foreign companies but, with
the intense of Nationalism that permitted Indians to enter the sector through 20 centrureis,
Indian offices began to take their due where of the countrys business. From then
onwards, Indian life insurance Business has never looked back and every passing year
has witnessed a slow but a steady rise in the per-capita insurance of the country.

It was in the wake of freedom movement that such companies as the New India.
Industrial and prudential, Jupiter, the Lakshmi, etc., came to be established. A further
spurt in the formation of new companies was

Witnessed during Second World War when inflationary pressure tended to

increase the volume of business written in the country. From then onwards, the Indian
Insurance Business continuously progressed and every passing year witnessed a slow and
steady rise in per-capita insurance in country. At the close of Second World War, the
proportionate share of the business written by the Indian insurers had increased to over
90% of the total new business written in India.
The Government began to exercise a closer supervision and control in matters of funds
of expenditure and general management of insurance business in the insurance Act of
1938. The Department of Insurance under to authority of Superintendent of Insurance
was established. This act was established amended in 1950. The controller of insurance
currently is responsible for the administration of this act.
The Early development of Insurance was spasmodic and was restricted mostly to fields
other than life. Scientific Life Assurance is a heritage from England, where the first life

policy, providing the temporary cover for a period of twelve months, was issued as early
as Ad. The Amicable Society (1705) granted fluctuating sum on death till this society
had accumulated sufficient funds to grant a fixed sum on death (1757).
The development of mortality tables was a landmark in the history of life assurance. With
this development, life assurance acquired a scientific character. The Equitable society,
founded in 1762, was the first to be founded on scientific basis with premiums computed
according to the age and period of insurance.

BACKGROUND OF LIC IN INDIA

In India, LIC had its beginning in 1870 when two British Life Corporations
started in India. They first organized to effort to establish with the formation of Bombay
Mutural life insurance Society Ltd. But, it was not extended largely. After a few years, it
left to oriental Government security life Assurance Co. Ltd., to expand the business in
organized manner all over the India. The Bharath and the Empire were established.

The Swedish Movement of 1950 saw the formation of several large companies
such as the Hindustan Co- operative, The United India, The Bombay Life, The National,
The Asian and the Indian Mercantile with the passing of the First Insurance Act in 1912,
a measure control bean to be exercised by the Government.
In the year 1955, approximately the Insurance office has so provident societies
had been registered for transacting the Life Assurance Business in India. A few of these
were foreign companies with their Head Offices outside India. In addition to these
insurance, a large number other insurers who had registered themselves for transaction or
had been taken over by the existing insurers.
During that period it was found out that many mall practices were prevalent
among the insurance companies and the need to bring the insurance companies under a
single fold was widely felt. Hence the Government of Indian decided to nationalize the
Insurance Business

NATIONALISATION OF INSURANCE INDUSTRY

The LIC Act (Act XXXXI of 1956) was passed by the parliament in June 1956
and it came into force of July 1 st, 1956.

By this Act all the assets and liabilities

apprenticing to the Life Assurance Business in India. Of all registered companies in

Indian and outside the India, all registered Indian insurance were to be transfer to and
vested in the LIC of Indian as from the appointed day. The LIC of India came into
existence of September 1st 1956.

LICS ORGANISAITON STRUCTURE

The Central office of LIC is situated at Mumbai, the Economic Capital of India.
Its activities are decentralized further in 3 types.
* The 7 zonal offices are situated at Mumbai, Delhi, Calcutta, Chennai, and Bhopal.
Hyderabad and Kanpur respectively.
* These zonal offices further decentralized into 100 divisional office and 2048 branches.
The corporation is headed by the Chairman. It will be assisted by LIC Board,
which contains 15 members in various activities like investment planning, marketing, etc.
The Zonal office is headed by the zonal manager and zones advisory committee
assists the zonal manager to conduct the working of each zone. Divisional manager is the
in charge of each division and of each division and the assistant division manger helps
him to monitor the activities of branch office.

Branch office is the independent cost center of corporation, which generates

actual revenue. It is headed by the Branch Manager and assisted by the Assistant Branch
Manager, Administrative officers and Assistant Administrative Officers.
LIC has wide network of branches in every hook and corner of the country
spreading the gospel of insurance even in remotest rural areas.
What is life insurance?
Life Insurance is a contract for payment of a sum of money to the person assured
(or failing him/ her, to the person entitled to receive the same) on the happening of the
event insured against. Usually the contact provinces for the payment of an amount on the
date of maturity or at specified dates at periodic intervals or on unfortunate death, if it
occurs earlier. Among other things, the contract also provides for the payment of
premium periodically to the Corporation by the assured. Life insurance is universally
acknowledged to be an institution which eliminates risks, substituting certainty for
uncertainty and comes to the timely aid of the family in the unfortunate event of the death
or of total permanent disability of the breadwinner. By and large, life insurance is
civilizations partial solution to financial uncertainties caused by untimely death.

Why is superior to other forms of savings?

(i) Protection:
Savings through life insurance guarantee financial protection against risk of death
of the policy holder. In life insurance, on death, the full sum assured is payable (with
bonuses wherever applicable) whereas in other savings schemes, only the amount saved
(with interest) is payable
ii) Aid to thrift:
Life insurance encourages thrift. Long term saving can be made in a relatively
painless manner because of the easy installment facility premiums can be paid through
monthly, quarterly, half-yearly or yearly installments).

The salary savings scheme,

popularly known as SSS, provides a convenient method of paying premium each moth
through deduction from ones salary. The employer remits the deducted to the LIC. The
salary savings scheme can be introduced in an institution or establishment subject to
specified terms and conditions.
iii) Liquidity:
Loans can be raised on endowment type & whole life Policies as per policy
conditions on the sole security of a policy which has acquired a paid-up value. Besides,
a life insurance policy is also generally accepted as security for even a commercial loan /
housing loan.

(iv) Tax Relief:

Tax relief in Income tax as available for amounts paid by way of premium for life
insurance subjects to the Income Tax rules in force. Assesses can avail themselves of
provisions in the law for tax relief. In such cases the assured in effect pays a lower
premium for his insurance than he would have to pay otherwise.
(V) Money when you need it:
A suitable insurance plan or a combination of different plans can be taken to meet
specific needs that are likely to arise in future, such as childrens education, start- in- life
or marriage provision or even periodical needs for cash over a predetermined stretch of
time. Alternatively, policy moneys can be so arranged to be made available at the time of
ones retirement from service to be used for any specific purpose, such as for the
purchase of a house or for other investment. LIC pension plans also offer regular income
in the form of annuity when you retire from active work or in later part of life at your
choice leaving lump sum purchase price for your heirs. Subjects to certain conditions,
loans are granted to policyholders for house buildings for purchase of flats.

VARIOUS PLANS OF INSURANCE

The majority of the insurance plans are offered on both with profits without profit
basis the important plans of insurance are

KNOW YOUR LIFE INSURANCE

Life insurance made its debut in India well over 100 years ago. Today, it is the widely
accepted as one of the most attractive financial instruments in an individuals portfolio
that provide on assurance of security with attractive returns. What follows is an attempt to
acquaint readers with some of the concepts of life insurance with special reference to
LIC. It should, however, be understood that the following information is by no means an
exhaustive description of the terms and conditions of an LIC policy or its benefits or
privileges. For more details, please conduct any of our Branch or divisional offices. Any
LIC agent will be glad to help you choose the life insurance plan to meet your needs and
provide other necessary assistance.

Who can buy a life insurance policy?

Any person who has attained majority and is eligible to enter into a valid contract can
take out a life insurance policy for himself/herself and for those in whom he/she has
insurable interest. policies can also take out, subject to certain condition on the life of
ones spouse or children. While underwriting proposal, factors such as the state of health
of the life to be assured the proponents income and other relevant factors are considered
by Corporation.

Medical and Non-medical Schemes

Life insurance is normally offered after a medical examination of the life to be assured.
However, to facilitate greater spread of insurance and also as a measure of relaxation,
subject to certain conditions.

With Profits and Without-Profits Plans

An insurance policy can be with or without profit. In a With-Profit Policy, bonuses
declared, if any, after periodical valuations are allotted to the policy and are payable
along with the contracted amount at the time of the final claim payment. In a Without
Profit Policy, only the contracted amounts are paid. Without any addition. Under some
new plans guaranteed additions & Loyalty Addition are paid in lieu of bonuses.

Keyman Insurance
Keyman Insurance is taken by a business firm on lives of key employees(s) to protect the
firm against the financial loss which may occur owing to the premature demise of the
Key employees.
Plans marketed by Life Insurance Corporation of India
(Plans in force as at 1.10.2003)
LIC offers a basket of schemes to meet the various needs of individual and his family.

I. Basic Life Insurance Plans

1) Whole Life Assurance plan:

A low cost insurance plan where the Sum assured is payable on the death of the
life assured, wherever it occurs.

2) Endowment Assurance Plan:

Under this plan the sum assured is payable on maturity or on death of the life
assured, if earlier.

3) Jeeven Anand:
This is a unique with profits plan which combines the features of the Endowment
and whole Life Plans. This basic sum assured plus accrued bonus is payable to the
policyholder on his survival till the end of the premium paying term. An additional sum
assured is payable to the nominee on death of the Policy holder after expiry of premium

paying term. On dead the premium paying term, the basic sum assured plus accrued
bonus is payable to the nominee and the policy comes to an end.
II. Term Assurance Plans
1) Anmol Jeevan-I :
This is a pure Term assurance plan for terms varying from 5 to 25 years and
provides for payment of Sum Assured on death of policy holder during the term of the
policy.

2) Two-Year Temporary Assurance Plan:

Term assurance for period 2 years is available under this plan. the sum assured is
payable only on death of the life assured during the policy term
3) Convertible term Assurance Plan:
The plan provides for term assurance from 5 to 7 years with an option to covert to
a Limited payment whole life policy or an Endowment Assurance Policy without having
to undergo fresh medical examination (I) the option for conversion may be exercised at
anytime during the specified term except during last 2 years provided the policy is in full
force.
4) New Bima Kiran :
In Additions to return of premium paid, this plan provides for Loyalty addition if any, inbuilt lf accident cover and a Term cover after maturity, if the Policy is in full force on the
date of maturity.

III. Specific Plans for children

Various childrens plans are available, viz. Childrens Deferred Endowment
Assurance Jeevan Balya, Komal Jeeven and Jeeval Kishore. Jeevan Sukanya is a plan
specifically designed for female children.
IV. Pension Plans:
New Jeevan Akshay-I: Single Premium immediate annuity. New Jeeven Dhara-I
& new Jeevan Suraksha I: deferred annuities. The annuitant has five options of annuity
payment to choose from including annuity for life with return of purchase price on death.
Risk cover by way of Term rider option available. Premiums paid under new Jeevan
Suraksha-I up to Rs. 10,000/- are exempted form income tax undersection 80CCC.
V. Plans for Handicapped Dependants
1) Jeevan Aadhar: This is a limited payment whole life policy with guaranteed
addition at the rate of Rs. 100/- per thousand sums Assured p.a. where the claim
amount is paid partly in a lump sum and partly in the form of an annuity. Income
Tax Act, 1961 is available.
2) Jeevan Vishwas this is an Endowment type plan designed for handicapped
dependants whose degree of handicap may not fulfill the definitions of disability
laud down for the Jeevan Aadhar Plan. The benefit is payable partly in a lump
sum and partly in the form of an annuity (pension). The plan also provide for
Guaranteed and loyalty additions.
VI. Other Plans
1) Mortgage Redemption:

Suitable for borrowers repaying a loan in installments as it ensures that the

outstanding loan is repaid in the event of the borrowers death.

2) Bhavishya Jeevan:
A special plan ideally suited for professionals Film Actors, Artists etc. with a
limited span of high income.
3) New Jana Raksha:
Ideal for people with no regular income. It provides for option of premium
holidays up to 3 years during witch period death cover will be variable from the firs
unpaid premium, provided at least 2 full years premiums have been paid.
4) Fixed Tem (Marriage) Educational Annuity:
An ideal plan for making provision for education, start-in-life or marriage of
children. Claim/Annuity is after expiry of policy term.
5) Money Back Plans:
Besides providing life cover during the term of the policy, survival benefits linked
to sum assured during the term of the policy will be available.
6) Jeevan Surabhi:
A money Back plan where premiums are payable for a limited period, with
periodical increases in insurance cover.
7) Jeevan Rekha:
This plan is a combination of a whole life and Money Back plan 10% of sum
assured is payable on survival after every five years from the date of commencement.
sum assured at any point of time without deduction of survival benefit paid earlier.

8) Jeevan Samriddhi:
This is a money Back type plan with provision for Guaranteed Addition of Rs.65
per thousand sum Assured and Loyalty Addition, if any, payable on maturity or death
earlier. The plan is available for terms 12, 15, 20, 25 years.
9) Jeevan Saathi:
A double cover joint Life Endowment Assurance plan for husband and wife.
10) Jeevan Saathi:
An ideal plan to provide for a childs higher education even during or after of
policy holder.
11) Jeevan Mira:
A Double-or Triple risk cover Endowment Assurance plan providing for twice or
thrice the sum assured payable on the death of the life assured during the policy.
12) LICs Jeevan Shree-1:
A limited payment Endowment Assurance plan with Guaranteed Additions for
first five years and bonus additions thereafter. A policy designed for short careerists,
professionals and agriculturists.
13) Asha Deep-II:
The plan provides, besides death and maturity payments, contingent benefits in
case the life assured suffers from any of the four defined ailments.
14) Jeevan Asha-II:
The plan provides, besides death and maturity benefits, payment towards the cost
of certain surgical procedures and periodical survival benefit payment. There is also a
provision for Guaranteed Additions @ Ra.70 per thousand S.A

15)Jeevan Bharati:
Money Back plan exclusively for ladies with Guaranteed Addition for first five
years and bonus there after with additional benefits as female critical illness benefit and
congenital disability benefit.
16) Varishtha Pension Bima Yojana:
A Government subsidized pension scheme for senior citizens with Assured
Return of 9% p.a. payable monthly.
17) Bima Nivesh Triple Cover:
A singe premium five and ten years plan with compounding guaranteed additions
of rs.60 per thousand S.A payable on death or maturity.

INFORMATION TECHNOLOGY IN LIC

Life Insurance Corporation of India is of the very first and largest users of IT in
terms of hardware and in-house developed software. it is forefront in deriving optimum
benefits of latest technological advancements for better and efficiency customer
servicing.

1.

2048 Branches are equipped with Front End Application programmers Modules

conversing all policy servicing aspects to give prompt service to our customer from
introduction of policies, acceptance of premium, revival, loan, alterations, etc. up to final
claims settlement.

2. LIC has wide Area Network covering 1801 Branches. This has helped its customer to
pay his premium or get his policy status report as well as quotations for revival, loan,
surrender, etc. from any of the branches to the network.

3. LIC has its own website www.licindia.com which is very attractive and user friendly.
Customer gets policy status report on-line as well as knows about L I Cs products,
services, branch office address, etc. He can get information about L I Cs Grievance
Redressal machinery and can take benefit of other features by NRI etc.
4. LIC has tied up with eight banks and three service providers to give on-line premium
payment facility in all cities covered under its network.

5.

LIC has installed about 150iosks at prominent places across the country given

information about its products, service and customers policy status report. It has provided
IVRS at 59 locations for routine queries of the customer.

6. LIC has set up Info-Centers in Mumbai, Pune, Bangalore, Kolkatta, Delhi, Hyderabad,
Chennai, Ahmedabad which are equipped with state of fart technology and manned by
trained persons to give any information regarding life insurance products, suitable plans
for every customers and need, etc.

Some of the projects being undertaken this years are:

1. Web enabling various policies servicing on our website and providing value services
on mobile devices to out customers and filed force.

2. Adopting mobile technology for enhancing promptness and scope of customer service
from any branch.

3. Installation of data warehouse and providing data mining tools for enhancement of
quality of service level product development and other CRM activities.

4. Expansion of internet premium payment services by adopting use of smart card, credit
card.

INTRODUCTION TO COMPANY

OBJECTIVES OF THE STUDY

Primary Objective :
1.

Analysis of Insurance Sector as a whole taking LIC

Secondary Objectives
2.

To know about the financial position of LIC .

3.

To know the Current market position of the LIC .

4.

To know the impact of Advertisement of LIC.

5.

To Know the Products and policies of LIC .

6.

To know the preference of the customers.

7.

To invite suggestions from the customers.

8.

To know about the customers awareness regarding the company.

RESEARCH METHODOLOGY
Research Methodology has many dimensions, it include not only research methods but
also considers the logic behind the methods used in the context of the study and explains
why only a particular method of technique had been used so that research lend
themselves to proper evaluations. Thus in a way it is a written game plan for concluding
research therefore in order to solve research problem it is necessary to design a research
methodology for the problem as the same differ from problem to problem.
3.2 Research Design:
Scope of Study : Research design in the conceptual structure within which the
research is conducted. Their function is to provide for the collection of relevant
evidence with minimum expenditure of effort, time and money. But, how this can be
achieved depends on the research purpose.
The scope has been limited to smoke size of 100 respondents due to time & cost
constraints. However, the area of study with respect to geographical city of Yamuna
Nagar.

3.3 Data Collection

After the research problem has been defied and the research design has been chalked
out, the task of date collection begins. Data can be collected from other primary or
secondary sources.
For the collection of primary data the respondents were contacted personally and the
tool for gathering the data was the questionnaire and tally calling.
For the collection of secondary data the internet, out look magazine (15 May 2013) &
the newspaper are used.

3.4 Sampling Plan

The following factors have to be decided within the scope of sampling plan.
(1)

Sampling unit : It defines the target population that will be sampled i.e. it answers
who is to be surveyed.

(2)

Sampling size: It indicates the no of people to be surveyed through large sample

given more reliable results than small samples but due to constraints of time and
money the sample size was restricted to 100 which are related to Yamuna Nagar .

(3)

Sample technique : This refers to the procedure by which the respondent should
be chosen.

In this study simple random sampling has been used a sample of 100 respondents.

DATA ANALYSIS &

INTERPRETATION

Marketing Performance
The insurance sector in India has come a full circle from being an open competitive
market to nationalization and back to a liberalized market again. Following data
shows the marketing performance of marketing scenario.

Life Insurance Companies Premium

upto April 2013 (Fig In Rs. Cr.)
Company

Premium

Market Share (%)

LIC

996.93

63.95

BAJAJ

138.77

8.90

ICICI

120.66

7.74

HDFC

51.34

3.29

MAX NEW YORK

41.40

2.66

ING VYSYA

37.91

2.43

RELIANCE LIFE

35.50

2.28

TATA-AIG

33.33

2.14

AVIVA

26.14

1.68

SBI

25.41

1.63

BIRLA

22.71

1.46

KOTAK Life

15.38

0.99

METLIFE

06.71

0.43

0.75

0.05

SHRIRAM LIFE
SAHARA

0.61

0.04

Market Share (%)

LIC
BAJAJ
ICICI
HDFC
MAX NEW YORK
ING VYSYA
RELIANCE LIFE
TATA-AIG
AVIVA
SBI
BIRLA
KOTAK LIFE
MET LIFE
SHRIRAM LIFE
SHARA

FUND PERFORMANCE

Debt to total fund ratio

This ratio is a variation of the debt equity ratio and gives the same indication as the debt
equity ratio. In this ratio debt is expressed in relation to total funds.
Debt to total fund ratio =

debt /equity + debt

YEAR
Debt
Capitaliz

2009-10
12195
32741

2010-11
49269
75616

2011-12
100454
130250

2012-13
167568
207107

ation
ratio

.37

.61

.77

.80

INTERPRETATION
Generally debt to total fund ratio of .67:1 is considered satisfactory. A higher ratio than
this is generally treated an indicator of risky financial position. Here ratio is exceeding
67% so we can say that company will face in payment.
SUGGESTION
1. Company should reduce the ratio
2. It should use proper debt equity mix.

4.25 POLICY IMPLICATIONS

By implementing the above mentioned suggestions the company will able to
perform better in the market by making their good recognition among customers. The
effect of policy implication would be:
1. Increase in no. of customers.
2. Variety of options for customers.
3. Reduction in risk in allocation of funds.
4. Diversified portfolio will give stable returns.
5. More trust among customers regarding life insurance.
6. Helpful in long run to build goodwill.
7. Helpful in making effective marketing strategy.
There are many advantages other than these. The impact will be of long term
and help the company to grow & diversify itself in a different way.

MARKET POSITION OF COMPANY

LIC .:
LIC displaces Birla sunlife and take no. 2 slot with the under written premium of Rs.
49405.12 lakh and with the growth rate of 333.50 growth rate and premium market shares
2086%.

This market position shows that LIC still leads the private insurance co. the growth
rate of LIC (333.50%) is more. LIC out of the most fastest growing co. in insurance
field.

FINANCIAL POSITION OF CO.

LIC :
LIC life Insurance co. ltd made a net profit of Rs. 1637 crore for the first nine month
of current fiscal compassed with 221 cr. Profit made in fiscal year 2012.
Since 2012 , it has made total cases of Rs. 658 crore.

MARKET SHARE OF DIFFERENT INSURANCE

COMPANIES
NAME OF THE PLAYER

MARKET SHARE (%)

BAJAJ ALLIANZ

34

LIC

22

BIRLA SUN LIFE

13

HDFC STANDARD

TATA AIG

Others

15

Market Share

Bajaj
Allianz
15%

34%

9%

LIC
HDFC
Birla Sun

13%
7%

Tata AIG

22%

Others

SWOT ANALYSIS

STRENGHTS
1. Rich experience of management
2. Stability
3. Skilled and tactful staff
4. Entrepreneurship quality
5. Innovative Product training on financial market
WEAKNESS
1. Insufficient chairs in office equipments
2. Employee do not have his/her private cabin
3. Workplace had back office very congested
OPPURTUNITY
1. Stability through increase brand awareness
2. Market penetration
3. Increase in customers wallet share
4. leverages the latest technology for providing the and clients
5. Growth in economy would lead to higher demand for credit.
THREATS
1. Increased interest rate scenario
2. Competition from local and multinational players
3. Risking inflation would reduce saving and investment
4. Rising crude oil prices
5. Attrition rate in insurance industry

DATA ANALYSIS & INTERPRETATION OF AWARENESS

Do you know about the LIC insurance co.?

Interpretation
The graph shows that the 74% of persons are know about the LIC .

Which company Policies you are having ?

Other
, 8%
Bajaj
Allianz ,
22%
LIC , 70%

Interpretation
This graph shows that the 20% of people have Bajaj allianz, 8% have other policy
and 70% have LIC policy.

Which insurance companys add you see?

No, 1%

, Bajaj Alianz 7%

Both , 3%

LIC ,
89%

Interpretation
This graph shows that the 89% of people seen add of LIC policy, 7% have seen add
of LIC

Which Insurance Company you prefer ?

Bajaj Allianz
, 12%
Other
,
LIC , 66%

22%

Interpretation
This graph shows that the 22% of people prefer Bajaj allianz policy, 12% prefer
other and LIC preferred by 66%.

Which type of people exists in the corporate world who prefer the life insurance
policy ?
Respondent category

%age of person

SERVICEMAN

25

BUSINESSMAN

30

SHOP-KEEPER

25

HOUSE-WIFE

15

OTHER

TOTAL

100

Interpretation
The graph shows that the maximum number of persons are serviceman,
shopkeeper, businessman, housewifes and other respectively.

PEOPLE PREFRENCE FOR SAVING TOOL

Saving instrument

%age of person

Bank

45%

Post office

25%

P.P.F.

8%

Insurance

14%

Others

8%

TOTAL

100

Interpretation
This table shows that people mainly prefer banking for investment, then post
office, then insurance, and lastly p.p.f and other option.

AGE COMPOSITION:

AGE COMPOSITION

NO. OF PEOPLE

LESS THAN 25YRS

26YRS TO 35YRS
36YRS TO 45YRS
46YRS TO 55YRS
MORE THAN 55YRS
TOTAL

6
25
40
19
10
100

INTERPRETATION
In this market survey most of the people are between the age group of 26-55yrs which
indicates that this report has most of the emphasis (84%) on those people who are well
established in their related field i.e. business, profession, job,

etc..

MOST IMPORTANT CRITERIA WHILE INVESTMENT:

MOST

IMPORTANT

CRITERIA PERCENTAGE

WHILE INVESTMENT
High returns
Liquidity
Security
Insurance cover
Tax benefits
TOTAL

14
20
20
22
24
100

INTERPRETATION
Nowadays people are equally concerned for tax benefits, insurance, security, liquidity and
high returns. Hence life insurance is the only source of investment which cover all these
criteria so now people are getting aware of life insurance sector and gradually it will be
the top most priority for the general public to invest.

BRAND RELIABILITY :

BRAND RELIABILITY
LIC
Bajaj Alianz
HDFC Standard Life
Max New York Life
TATA AIG
TOTAL

PERCENTAGE
40
24
15
12
9
100

BRAND RELIABILITY
45
40
40
35
PERCENTAGE
30
25
20
15
10
5
0
LIC

24
15

Bajaj alianz

HDFC
Standard

12

Max New York

Life

TATA AIG

INTERPRETATION
This survey has shown that LIC with 40% of preference votes still and will remain No.1
private life insurance company in year to comes as it offer the widest range of products or
plans with more and more features of flexibility, liquidity , safety, higher returns,
transparency and tax benefits. It also indicates that this repot have proved that now
people are aware of private life insurance companies as they are satisfying their needs.

LIC LIFE INSURANCE CO. LTD.

LIC still lead the Insurance sector.

Financial Position of LIC are good because since 2012, it has made cases of Rs.
658 crore

More people known about the LIC than others major players .

More people prefer LIC Life Insurance Co.

SUGGESTIONS
Company should emphasis on insurance plan advertisement, because at
present company main focus on conventional product advertisement.
Company also segment for small income people. Because company
mainly plan for middle and high income people group. If company
enters in this segment then company can capture a large part of rural
market.

Company should launch new schemes

For investment for short term duration

Company should introduce a combination of tax saving and insurance with monthly
annually payback schemes

CONCLUSION

CONCLUSION

LIC . leads the Insurance Sector 74% people know about the co. but since 2012,
it has made the total cases of Rs. 658 crore because of the high expenditure in
Advertisement.

LIC Life Insurance Co. Ltd. is good in quality services but at present the preference of
people to co. is less only 36% know about the LIC life Insurance Co. Ltd. The reason
behind it is not regular add and not the more relationship with the people but now it is
one of the fastest.

LIMITATIONS OF THE STUDY

The limitation of the study includes the weak points that are not covered during the study.
A person cant analyze all aspects of the study. Sometimes he forgot some factors or
sometimes he is not able to study the impact of these factors because of time constraints
or limited recourses.
So, the main limitations of my study are as follows:
1. Time period of six weeks is not sufficient to conduct that study.
2. Various possible cases are ignored such as switching, surrender, death case
etc.
3. proper information is not given by employees
4. less co-ordination with trainer
5. insufficient data
6. we have not cover all aspects of insurance

BIBLIOGRAPHY
WEBSITES

http://www.blackwell-synergy.com/links/doi/10.1111/0022-1082.00304
http://www.lifeinscouncil.org/member.htm
http://business.mapsofindia.com/insurance/
http://www.allbankingsolutions.com/insuremain.htm
http://www.lic.com/lic_GroupSite/groupcos/lic.htm
www.allianzbajaj.com
Study Material of LIC
de Albuquerque, Martim (1855). Notes and Queries. London: George Bell, 431.
Matyszak, Philip (2007). Ancient Rome on Five Denarii a Day. New York:
Thames & Hudson, 144. ISBN 050005147X.

 United Dominions Trust Ltd v Kirkwood, 1966, English Court of Appeal, 2 QB

431

Insurance Ordinance, Section 2, Interpretation, Hong Kong) Note that in this case
the definition is extended to include accepting any deposits repayable in less than
3 months, companies that accept deposits of greater than HK$100 000 for periods
of greater than 3 months are regulated as deposit taking companies rather than as
banks in Hong Kong).
Tyree's Insurance Law in New Zealand, A L Tyree, LexisNexis 2003, page 70.

http://en.wikipedia.org/wiki/Debits_and_credits
http://www.ifsl.org.uk/upload/CBS_Insurance_2008.pdfPDF (638 KB) chart 7,
page 3

http://www.ifsl.org.uk/upload/CBS_ Insurance _2008.pdfPDF (638 KB) chart 8,

page 4

"Knowledge, the most valuable intangible" by Anju Bhargava. The RMA Journal,
June 2001;

ANNEXURE
Q1. Do you know about the LIC?
YES

NO

Q2. Which company Policies you are having ?

BAJAJ ALLIANZ

LIC

OTHERS

Q3. Which insurance companys add you see?

LIC
OTHERS

BAJAJ ALLIANZ

BOTH

5. Which Insurance Company you prefer ?

BAJAJ ALLIANZ

Q. 6

LIC

OTHERS

Which type of people exists in the corporate world who prefer the life

insurance policy ?
SERVICEMAN

BUSINESSMAN

SHOP-KEEPER

HOUSE-WIFE

OTHER

Q. 7

What is People preference for saving tool ?

BANK

POST OFFICE

INSURANCE

OTHERS

Q. 8

P.P.F.

Which is the most important criteria while investment ?

HIGH RETURNS

LIQUIDITY

INSURANCE COVER

TAX BENEFITS

SECURITY