SUMMER TRAINING REPORT

ON
A COMPARATIVE STUDY
OF
FAVORABLE AND UNFAVORABLE ASPECTS OF
“RELIANCE LIFE INSURANCE COMPANY”
AND
“LIC”
Undertaken At
RELIANCE LIFE INSURANCE COMPANY Ltd.
Submitted In the Partial Fulfillment for the Award of the Degree
Of
BACHELOR OF BUSINESS ADMINISTRATION
Submitted by
Ankit Jain
Enrollment no. 0011701707
BBA 5th Semester (morning)
SESSION: 2009 – 2010

Under the Supervision Under the supervision

and guidance of and guidance of
Prof. Rajesh Bajaj Mr. Nimit Verma
Mr. Vipul Sharma
(Faculty guide) (Industry guide

TECNIA INSTITUTE OF ADVANCED STUDIES

(Approved by AICTE, Ministry of HRD, Govt. of India)
Affiliated To Guru Gobind Singh Indraprastha University, Delhi
INSTITUTIONAL AREA, MADHUBAN CHOWK, ROHINI, DELHI- 110085
 ACKNOWLEDGEMENT

I would like to express my gratitude to all those who made it possible for me to complete this report. It is
my pleasure to thank the Reliance Life Insurance for giving me permission to commence this project in
the first instance, to do the necessary research work and to use departmental data. I would furthermore like
to thank the Sales manager of Reliance Life Insurance Barakhamba branch, Mr Nimit Verma who gave
this permission and encouraged me throughout my project.
I am deeply indebted to my supervisor Mr. Rajesh Bajaj from Tecnia Institute of Advanced Studies, Delhi
whose help, stimulating suggestions and encouragement helped me throughout the research and the
writing of this report.
Last but not the least; I would like to give my special thanks to my family and friends, for their constant
support and encouragement to complete this research.

Date:

Submitted by:

JYOTI SINGH
(0151701707)
DECLARATION

I ANKIT JAIN Enrolment No: 0011701707 Class: BBA (5th sem) morning of the Tecnia Institute of
Advanced Studies, Delhi hereby declare that the Summer Training Report entitled. A Comparative study
of favorable and unfavorable aspect in term of RLIC and LIC is an original work and the same has
not been submitted to any other Institute for the award of any other degree. A seminar presentation of the
Summer Training Report was made on and the suggestions as approved by the faculty were duly
incorporated.

Signature of Researcher

Countersigned
Signature of faculty Guide
Table of cont
TABLE OF CONTANT
S.NO. TOPIC PAGE SIGN.
NO.
1. Chapter-1 1-31
RESEARCH PROBLEM & PURPOSE
a) Company profile 2-8
b) Ulip plans of the companies (PRODUCTS) 9-17
c) Industry profile 18-28
d) Swot analysis 29
e) Significance of the study 30
f) Objectives of the study 31
2. CHAPTER-2 32-37
CURRENT SCENERIO
a) Insurance Industry 34-35
b) Reliance Life Insurance 36-37
3. CHAPTER-3 38-53
RESEARCH METHODOLOGY
a) Data Analysis and Interpretations 41-52
b) Limitations of the Study 53
4. CHAPTER-4 54-62
DISCUSSION AND FINDINGS OF THE STUDY
a) Findings of the Study 56
b) Recommendation and Suggestions 57
c) Conclusion 58
d) Questionnaire 59-61
e) Bibliography 62

ER
 CHAPTER : RESEARCH PROBLEM & PURPOSE

 COMPANY PROFILE
I. RELIANCE LIFE INSURANCE
 ULIP PLANS OF THE COMPANY
I. RELIANCE LIFE INSURANCE
II. LIC
 INDUSTARY PROFILE
 SIGNIFICANCE OF THE STUDY
 OBJECTIVE OF THE STUDY
 COMPANY PROFILE
RELIANCE LIFE INSURANCE

Reliance Life Insurance Company Limited is a part of Reliance Capital Ltd. of the Reliance
- Anil Dhirubhai Ambani Group . Reliance Capital is one of India’s
leading private sector financial services companies, and ranks among the top 3 private
sector financial services and banking companies, in terms of net worth. Reliance Capital
has interests in asset management and mutual funds, stock broking, life and general
insurance, proprietary investments, private equity and other activities in financial
services.

Reliance Capital Limited (RCL) is a Non-Banking Financial Company (NBFC)

registered with the Reserve Bank of India under section 45-IA of the Reserve Bank of
India Act, 1934.

Reliance Capital sees immense potential in the rapidly growing financial services sector
in India and aims to become a dominant player in this industry and offer fully integrated
financial services.
Reliance Life Insurance is another step forward for Reliance Capital Limited to offer need based
Life Insurance solutions to individuals and Corporates.
Reliance
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ISO 9001-2000
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Reliance started from scratch, only to become

India’s largest private sector company in ~40
years
 INTRODUCTION
Reliance Life Insurance offers you products that fulfill your savings and
protection needs. Our aim is to emerge as a transnational Life Insurer of global scale
and standard.

Reliance Life Insurance is an associate company of Reliance Capital Ltd., a part

of Reliance - Anil Dhirubhai Ambani Group. Reliance Capital is one of India’s leading
private sector financial services companies, and ranks among the top 3 private sector
financial services and banking companies, in terms of net worth. Reliance Capital has
interests in asset management and mutual funds, stock broking, life and general
insurance, proprietary investments, private equity and other activities in financial
services.

Insurance industry employees and executives are indoctrinated with the

philosophy that insurance is good and that policyholders, claimants and lawyers are
bad. According to the insurance industry, nearly 50% of policyholders are actual or
potential crooks. One recent article, written by the President of the Insurance
Information Institute, finds that the perpetrators of insurance fraud are. . . "For the most
part, the people we live and work among -- our neighbors. . . .” Moreover, the "rampant"
corruption of otherwise honest, "seemingly law-abiding people" is something that those
in the insurance industry "have known for sometime." Insurance company claims
adjusters view themselves as underpaid, overworked vigilantes protecting an
unappreciative American public from a horde of thieving, conniving robbers’ intent on
pillage and plunder.

Reliance Life Insurance Company Limited is a wholly-owned subsidiary of

Reliance Capital Limited of the Reliance ADAG. After acquisition of AMP Sanmar Life
Insurance Company in 2005, Reliance Life Insurance Co had a pre-established
infrastructure and a product portfolio to develop further. The research and marketing
had been done by AMP Sanmar making it somewhat easier for a glamorous name like
Reliance by continuing the legacy further.

Reliance Life Insurance Company Ltd. has made buying a life insurance product prompt
and convenient. Targeting boot individual employees and employing multinationals,
Reliance Life Insurance India offers a mixed bag of Insurance schemes that include
both individual and group employee benefit plans. Reliance Life employs individual
brokers and insurance agents for direct sale and marketing of the various Life insurance
policy and plan.

The company provides you complete product details and the helps you calculate
the insurance premiums through their customer care executives or online through the
Reliance Life Insurance Website. Some of the popular Life Insurance schemes in the
Insurance Sector in India include:

o Reliance Total Investments Plans

o Reliance Wealth + Health Plan
o Reliance Secure Child Plan
o Reliance Money Guarantee Plan
o Reliance Endowment Plan
o Reliance Golden Years Pension Plan
o Reliance Credit Guardian Plan
o Reliance Connect 2 Life Plan
o Reliance Group Term Assurance Policy
o Reliance EDLI Scheme
o Superannuation Policy
o Leave Encashment Plan

These and many more life insurance products providing convenient insurance solutions
to individuals and groups have answered the requirement questions for all. The
application procedure includes either direct insurance quotes from the brokers or agents
or online instant Reliance Life Insurance Company Limited quotes through their website.
The initial documents required while buying a policy has been reduced to just the
mandatory process as per the IRDA specifications. Even the Claim procedure has been
simplified and you can file claims for deaths, critical illness and disability online as well.
Besides this, Reliance Life Insurance offers Survival and maturity benefits on the
insurance policies.
 BOARD OF DIRECTORS & PROMOTERRS OF

ADAG
 Gautam Doshi - Director
Gautam is the Group Managing Director of Reliance Anil Dhirubhai Ambani Group and
Director of Reliance Life Insurance Company Limited.

 Saumen Ghosh - Group C.E.O

Saumen is currently the Group President of Reliance Capital Limited.

 Malay Ghosh – C.E.O.

Malay leads all activities at Reliance Life Insurance Company Limited Life and his key focus is on rapid expansion of all
channels and accelerating the company’s growth trajectory.

Manoranjan sahoo - HOS

Pankaj Ghera - North zone Head
Sanjeev Bharadwaj - Regional Manager (c.p.)
Honey Nagar - Branch Manager (cp)
Nimit Verma - Sales Manager (cp)
  UNIT LINKED INSURANCE PLANS

Unit linked insurance plan (ULIP) is a life insurance

solution that provides the client with the benefits of protection
and flexibility in investment. It is a solution which provides for
life insurance where the policy value at any time varies
according to the value of the underlying assets at the time. The
investment is denoted as unit and is represented by the value
that it has attained called as Net Asset Value (NAV). ULIPs are
a category of goal-based financial solutions that combine the
safety of insurance protection with wealth creation
opportunities. In ULIPs, a part of the investment goes towards
providing a life cover. The residual portion of the ULIP is
invested in a fund which in turn invests in stocks or bonds; the
value of investments alters with the performance of the
underlying fund opted by the customer. Simply put, ULIPs are
structured in such that the protection element and the savings
element are distinguishable, and hence managed according to
your specific needs. In this way, the ULIP plan offers
unprecedented flexibility and transparency. ULIPs came into
play in 1960s and became very popular in Western Europe and
America. The reason that is attributed to the wide spread
popularity of ULIP is because of the transparency and the
flexibility which it offers to the clients.
As time progressed the plans were also successfully
mapped along with life insurance needs to retirement
planning .In today’s times ULIP provides solution for all the
needs of a client like insurance planning, financial needs,
financial planning for children’s future and retirement
planning.
  STRUCTURE OF ULIPs
ULIPs offered by different insurers have varying charge structures. Broadly the
different types of fees and charges are given below. However the insurers have the right to
revise or cancel the fees and charges over a period of time

Premium Allocation charges: - This is a percentage of the premium appropriated towards

charges before allocating the units under the policy. This charge normally includes initial and
renewal expenses apart from commission expenses.
  ADVANTAGES OF ULIPS
ULIP distinguishes itself through the multiple benefits that it provides to the
consumer. The plan is a one stop solution for everything the customers want. Unit Linked
Insurance Plans (ULIPs) are different from traditional plans purely because, they are much more
transparent, various charges are shared with the customer before the sale of the product, so as
to enable the customer to make an informed decision.
Customers have the flexibility to choose their life cover. Also the customers have
the choice of multiple fund options based on their risk appetite, thereby enabling an investor to
make the desired returns from the investment. The following are some of the advantages of
Unit linked plans:

a. Life protection

b. Investment and Savings

Market linked fund based on risk profile
Switch option
Premium redirection
Automatic Transfer Plan(ATP)

c. Tax Planning

d. Flexibility of cover continuance

e. Transparency

f. Extra protection with riders

Death due to accident
Disability
Critical illness

g. Liquidity
Partial withdrawals during the term
At maturity

h. Variable investment options

I. Premium holiday
 j. Allow Top-ups

FACTORS INFLUENCING THE BUYING OF UNIT LINKEDINSURANCE

PLAN (ULIPs)

The degree of buying of ULIPs insurance varies from person to person. It depends
upon many factors. The factors can be classified into personal, social, economic, psychological
and company related variables. Age and experience of policyholder are personal factors, while
the co- education is a social factor. Economic factors include occupation, income and wealth,
and the psychological factors consist of perception, satisfaction about the services rendered by
insurance companies, the impact of advertisement and personal selling made by insurance
companies on policyholders. The company related variables are the promotional efforts to sell
the policies to prospective buyers. These include advertisement and personal selling too.
Reliance Products
Reliance Children Plans

What could make you happier than knowing, that your child's future is secure?
Nothing, we suppose. Which is why, Reliance Life Insurance brings to you Reliance
Secure Child Plan, a unit-linked Insurance Plan, that gives you the freedom to enjoy
today with your child, because his tomorrow is in safe hands.

 Do you see your child becoming a trailblazer?

 Will they create the ultimate symphony or give sports a new dimension?

Our children may just be the ones to end the arms race and wipe out poverty
from the face of the Earth. But for them to be able to aim for the skies, YOU NEED TO
ACT NOW!

Introducing Reliance Secure Child Plan - a unique life insurance cum savings
plan. secure the future of your child.

Key Features
Insurance cover on the life of child
Your child is completely protected - we will continue to pay the
premiums even if you are not alive
Life time income to child in the event of disability
Return Shield option to protect your investment returns
Liquidity in the form of partial withdrawals
Capital guarantee available on maturity and on death of the child
for basic and top-up premiums
Option to package with Accidental Death and Total and
Permanent Disablement Rider, Critical Conditions Rider and
Term Life Insurance Benefit Rider.

(2)Reliance Health + Wealth Policy

UNDER THIS PLAN THE INVESTMENT RISK IN THE INVESTMENT
PORTFOLIO IS BORNE BY THE POLICYHOLDER.

There are times when late working hours take precedence over your health
check-ups. And there are times when a visit to the doctor seems more important than
dividends on your shares. In the rat race to make money, we often forget to take care of
ourselves.
 We understand this predicament. Here is a plan that will ensure that your wealth
keeps increasing constantly and yet your health does not take a backseat. The Reliance
Wealth Health Plan. A plan that gives you the benefits of wealth bhi. health bhi.

Life changes. And as it does, so do your priorities. After all, the circumstances of
your life can determine the type of health coverage you need.

India has made rapid strides in the health sector. Since Independence, life
expectancy has gone up markedly and survival rates have also increased, still critical
health issues remain. Infectious diseases continue to claim a large number of lives.

Reliance Wealth + Health Plan, a health insurance plan underwritten by Reliance

Life Insurance Company Limited, is designed to work in conjunction with contributions
towards savings.

Key Feature
 A Unit Linked plan with Unique Savings Component
 Twin benefit of market linked return and health protection
 Choose from two different plan options
 Flexibility to take care of your family’s health
 Flexibility to switch between funds / plan options
 Option to pay Top-ups

(3) Reliance Pension Policy

UNDER THIS PLAN THE INVESTMENT RISK IN THE INVESTMENT PORTFOLIO IS
BORNE BY THE POLICYHOLDER.

Retirement means different things to different people, while some want to relax
and take a trip around the world, some want to start up a venture of their own, and
pursue a dream harnessed for years. The power to make your autumn years special lies
only with you. The Reliance Super Golden Years Plan gives you the power and the right
kind of solution - A retirement plan that allows you to save systematically and generate
the much-needed corpus to make your olden years look golden.

Key Features – Reliance Pension Policy :

 Invest systematically and secure your golden years

 A flexible unit-linked pension product that is different from

traditional life insurance products with Vesting Age between 45
& 70 years
 Eight different investment funds to choose from
 Flexibility to switch between funds
  Option to pay Regular, Single as well as Top-up premiums
 Flexibility to advance / extend your Vesting Age
 Tax free commutation up to one third of Fund Value at Vesting
Age

(4) Reliance Whole life insurance policy

You’ve always loved your family. As a loving person you want to be rest assured
that they will be happy, even if something were to happen to you. With Reliance Whole
Life Plan you can be sure that your family will receive that timely financial support they
need.

Go ahead, live your today to the fullest, without a worry about tomorrow.

Key Features
 Insurance protection till age 85
 Choice of extending your insurance coverage till age 99
 Convenient Premium Payment Term
 Wealth creation through bonus additions
 More value for your money by way of High Sum Assured
Rebate Get Sum Assured plus Bonuses in case of your
unfortunate death
 Option to add two Riders – Critical Illness and Accidental Death
Benefit and Total and Permanent Disablement Rider
 Policy Loan available after three full years premium payment
LIFE INSURANCE CORPORTAION (LIC) OF INDIA

LIC OFFERS THREE DIFFERENT TYPES OF ULIPS

a. MARKET PLUS
b. PROFIT PLUS (RP & SP)
c. FORTUNE PLUS

MARKET PLUS

Min entry age 18 yrs

Max entry age 70 yrs
Max Maturity age 75 yrs
Min premium 5000 RP 10000 SP

No of funds 4
Riders ADBR
Min premium payment 5 yrs
term

 Key Features

I. Premium allocation charge is 16.5% in this product where as Wealthsurance has a

charge of Max 4%.

II. In Wealthsurance there is unlimited switching redirection and partial withdrawal

allowed absolutely free of charge.

III. There are no riders available in this product as against Wealthsurance has a host of
riders to choose from.
IV. After 3 years we can go for unlimited partial withdrawals as against in this product
there are no partial withdrawal available
 PROFIT PLUS(RP&SP)

Min entry age 0 yrs

Max entry age 65 yrs
Max Maturity age 70,75 yrs
Min premium 1000 RP 20000 SP

No of funds 4
Riders ADBR,CIBR
Min premium payment 3 yrs
term

 Key Features

I. Premium allocation charge is 15% min in this product where as Wealthsurance has a
charge of Max 4%.

II. In Wealthsurance there is unlimited switching redirection and partial withdrawal

allowed absolutely free of charge.

III. There are no riders available in this product as against Wealthsurance has a host of
riders to choose from.
FORTUNE PLUS

Min entry age 12 yrs

Max entry age 60 yrs
Max Maturity age 65 yrs
Min premium 20000
No of funds 4
Riders ADBR
Min premium payment 5 yrs
term

 Key Features

I. Min Entry age in Wealthsurance is 0 years as against in this product it is 12 years

II. Max entry age in Wealthsurance is 65 years as against in this product it is 60 years
only.
INDUSTRY
PROFILE
 MEANING OF INSURANCE

Insurance may be described as a social device to reduce or eliminate risk of loss to life and
property. Insurance is a collective bearing of risk. Insurance is a financial device to spread the
risks and losses of few people among a large number of people, as people prefer small fixed
liability instead of big uncertain and changing liability.

Insurance can be defined as a “legal contract between two parties whereby one party called
insurer undertakes to pay a fixed amount of money on the happening of a particular event, which
may be certain or uncertain.” The other party called insured pays in exchange a fixed sum known
as premium.
Insurance is desired to safeguard oneself and one’s family against possible losses on account of
risks and perils. It provides financial compensation for the losses suffered due to the happening
of any unforeseen events.
 IMPORTANCE OF INSURANCE

Insurance constitutes one of the major segments of the financial market.

Insurance services play predominant role in the process of financial Intermediary. Today
insurance industry is one of the most growing sectors in India. There is lot of potential in the
Indian Insurance Industry.

There are many issues, which require study. The scope of the study of Insurance industry of
India would be very great as there are ongoing Developments in the industry after the opening of
the sector.
One of the major issues is the effects on LIC after the entry of private players in the market.
Though market share of LIC has been affected, it has improved in terms of efficiency.

There are number of other hot topics like penetration of Health Insurance, Rural marketing of
insurance, new distribution channels, new product ranges, insurance brokers’ regulation,
incentive scheme of development officers of LIC etc. So it offers lot of scope for studying the
insurance industry.
Right now the insurance industry has great opportunities in a country like India or China which
huge population. Also the penetration of insurance in India is very low in both life and non-life
segment so there is lot potential to be tapped. Before starting the discussion on insurance
industry and related issues, we have to start with the basics of insurance. So first we understand
what is insurance? How the word ‘insurance’ is different from the word ‘assurance’? Etc.
 DIFFERENCE BETWEEN INSURANCE AND ASSURANCE

Assurance is older in history and it was used to describe all types of insurances. From 1826, the
term assurance came to be used only for the risks covered by life insurance and the term
insurance was exclusively used to denote the risks covered by marine, fire, etc.
The word assurance indicated certainty. In life insurance, there is an assurance from the
insurance company to make payment under the policy either on the maturity or at earlier death.
On the other hand the word insurance was used to denote indemnity type of insurances where the
insurance company was liable to pay only in case of the loss damage the property.
The insured event was bound to happen sooner or later under assurance but the event insured
against may or may not happen under insurance.
The principle of “indemnity” applies to “insurance contract”(non-life) only. The scope of the
word, insurance is wider.

PRINCIPLES OF INSURANCE

An insurance contract is based on some basic principles of insurance.

(1) Principle of “Uberrima Fides” or Principle of utmost good faith
It means “maximum truth”. Both the parties should disclose all material information regarding
the subject matter of insurance.

(2) Principle of indemnity

This means that if the insured suffers a loss against which the policy has been made, he shall be
fully indemnified only to the extent of loss. In other words, the insured is not entitled to make a
profit on his loss.

(3) Principle of subrogation

This means the insurer has the right to stand in the place of the insured after settlement of claims
in so far as the insured’s right of recovery from an alternative source is involved. The insurer
before the settlement of the claim may exercise the right. In other words, the insurer is entitled to
recover from a negligent third party any loss payments made to the insured. The purposes of
subrogation are to hold the negligent person responsible for the loss and prevent the insured from
collecting twice for the same loss. The concept of ‘Third Party Claims’ is based on the same
principle.

(4) Principle of causa proxima

The cause of loss must be direct and an insured one in order to claim of compensation.

(5) Principle of insurable interest

The assured must have insurance interest in the life or property insured.
Insurable interest is that interest which considerably alters the position of the assured in the event
of loss taking place and if the event does not take placed, he remains in the same old position
 HISTORY OF INSURANCE

The concept of insurance is believed to have emerged almost 4500 years ago in the ancient land
of Babylonia where traders used to bear risk of the carvan by giving loans, which were later
repaid with interest when the goods arrived safely.
The concept of insurance as we know today took shape in 1688 at a place called Lloyd’s Coffee
House in London where risk bearers used to meet to transact business. This coffee house became
so popular that Lloyd’s became the one of the first modern insurance companies by the end of
the eighteenth century.
Marine insurance companies came into existence by the end of the eighteenth century. These
companies were empowered to write fire and life insurance as well as marine. The Great Fire of
London in 1966 caused huge loss of property and life. With a view to providing fire insurance
facilities,
Dr. Nicholas Barbon set up in 1967 the first fire insurance company known as the Fire office.
The early history of insurance in India can be traced back to the Vedas. The
Sanskrit term ‘Yogakshema’ (meaning well being), the name of Life
Insurance Corporation of India’s corporate head quarters, is found in the Rig Veda. The Aryans
practiced some form of ‘community insurance’ around
1000 BC.

Life insurance in its modern form came to India from England in 1818. The Oriental Life
Insurance Company was the first insurance company to be set up in India to help the widows of
European community. The insurance companies, which came into existence between 1818 and
1869, treated
Indian lives as subnormal and charged an extra premium of 15 to 20 per cent. The first Indian
insurance company, the Bombay Mutual Life
Assurance Society came into existence in 1870 to cover Indian lives at normal rates.

The Insurance Act, 1938, the first comprehensive legislation governing both life and non-life
branches of insurance were enacted to provide strict state control over insurance business. This
amended insurance Act looked into investments, expenditure and management of these
companies.
By the mid- 1950s there were 154 Indian insurers, 16 foreign insurers, and 75 provident societies
carrying on life insurance business in India. Insurance business flourished and so did scams,
irregularities and dubious investment practices by scores of companies. As a result the
government decided to nationalize the life assurance business in India. The Life Insurance
Corporation of India (LIC) was set up in 1956. The nationalization of life insurance was
followed by general insurance in 1972.
 MEANING OF LIFE INSURANCE

There are three parties in a life insurance transaction: the insurer, the insured, and the owner of
the policy (policyholder), although the owner and the insured are often the same person.

Another important person involved in a life insurance policy is the beneficiary. The beneficiary
is the person or persons who will receive the policy proceeds upon the death of the insured.

Life insurance may be divided into two basic classes – term and permanent.

 Term life insurance provides for life insurance coverage for a specified term of years for
a specified premium. The policy does not accumulate cash value.

 Permanent life insurance is life insurance that remains in force until the policy matures,
unless the owner fails to pay the premium when due.

 Whole life insurance provides for a level premium, and a cash value table included in the
policy guaranteed by the company. The primary advantages of whole life are guaranteed
death benefits; guaranteed cash values, fixed and known annual premiums, and mortality
and expense charges will not reduce the cash value shown in the policy.

 Universal life insurance (UL) is a relatively new insurance product intended to provide
permanent insurance coverage with greater flexibility in premium payment and the
potential for a higher internal rate of return. A universal life policy includes a cash
account. Premiums increase the cash account. If you want insurance protection only, and
not a savings and investment product, buy a term life insurance policy.

If you want to buy a whole life, universal life, or other cash value policy, plan to hold it for at
least 15 years. Canceling these policies after only a few years can more than double your life
insurance costs.
 HISTORY OF LIFE INSURANCE

Risk protection has been a primary goal of humans and institutions throughout history.
Protecting against risk is what insurance is all about.
Over 5000 years ago, in China, insurance was seen as a preventative measure against piracy on
the sea. Piracy, in fact, was so prevalent, that as a way of spreading the risk, a number of ships
would carry a portion of another ship's cargo so that if one ship was captured, the entire shipment
would not be lost.
In another part of the world, nearly 4,500 years ago, in the ancient land of Babylonia, traders
used to bear risk of the caravan trade by giving loans that had to be later repaid with interest
when the goods arrived safely. In 2100
BC, the Code of Hammurabi granted legal status to the practice. It Formalized concepts of
“bottomry” referring to vessel bottoms and “Respondent” referring to cargo. These provided the
underpinning of Marine insurance contracts. Such contracts contained three elements: a loan on
the vessel, cargo, or freight; an interest rate; and a surcharge to cover the Possibility of loss. In
effect, ship owners were the insured and lenders were the underwriters.

Life insurance came about a little later in ancient Rome, where burial clubs were formed to cover
the funeral expenses of its members, as well as help survivors monetarily. With Rome's fall,
around 450 A.D., most of the concepts of insurance were abandoned, but aspects of it did
continue through the Middle Ages, particularly with merchant and artisan guilds. These provided
forms of member insurance covering risks like fire, flood, theft, disability, death, and even
imprisonment.

During the feudal period, early forms of insurance ebbed with the decline of travel and long-
distance trade. But during the 14th to 16th centuries, transportation, commerce, and insurance
would again reemerge.
Insurance in India can be traced back to the Vedas. For instance,
yogakshema, the name of Life Insurance Corporation of India's corporate headquarters, is
derived from the Rig Veda. The term suggests that a form of "community insurance" was
prevalent around 1000 BC and practiced by the Aryans.

And similar to ancient Rome, burial societies were formed in the Buddhist period to help
families build houses, and to protect widows and children.
Modern Insurance
Illegal almost everywhere else in Europe, life insurance in England was vigorously promoted in
the three decades following the Glorious Revolution of 1688. The type of insurance we see today
owes it's roots to 17th century England. Lloyd's of London, or as they were known then, Lloyd's
Coffee House, was the location where merchants, ship owners and underwriters met to discuss
and transact business deals.
While serving as a means of risk-avoidance, life insurance also appealed strongly to the
gambling instincts of England's burgeoning middle class.
Gambling was so rampant, in fact, that when newspapers published names of prominent people
who were seriously ill, bets were placed at Lloyd’s on their anticipated dates of death. Reacting
against such practices, 79 merchant underwriters broke away in 1769 and two years later formed
a “New Lloyd’s
Coffee House” that became known as the “real Lloyd’s.” Making wagers on people's deaths
ceased in 1774 when parliament forbade the practice.

Insurance moves to America

The U.S. insurance industry was built on the British model. The year 1735 saw the birth of the
first insurance company in the American colonies in Charleston, SC. The Presbyterian Synod of
Philadelphia in 1759, sponsored the first life insurance corporation in America for the benefit of
ministers and their dependents. And the first life insurance policy for the general public in the
United States was issued, in Philadelphia, on May 22, 1761.
But it wasn't until 80 years later (after 1840), that life insurance really tookoff in a big way. The
key to its success was reducing the opposition from religious groups.

In 1835, the infamous New York fire drew people's attention to the need to provide for sudden
and large losses. Two years later, Massachusetts became the first state to require companies by
law to maintain such reserves. The great Chicago fire of 1871 further emphasized how fires can
cause huge losses in densely populated modern cities. The practice of reinsurance, wherein the
risks are spread among several companies, was devised specifically for such situations.

With the creation of the automobile, public liability insurance, which first made its appearance in
the 1880s, gained importance and acceptance?
More advancement was made to insurance during the process of industrialization. In 1897, the
British government passed the Workmen's Compensation Act, which made it mandatory for a
company to insure its employees against industrial accidents.

During the 19th century, many societies were founded to insure the life and health of their
members, while fraternal orders provided low-cost, members only insurance. Even today, such
fraternal orders continue to provide insurance coverage to members, as do most labor
organizations. Many employers sponsor group insurance policies for their employees, providing
not just life insurance, but sickness and accident benefits and old-age pensions. Employees
contribute a certain percentage of the premium for these policies.
Final Thoughts
Even though the American insurance industry was greatly influenced by
Britain, the US market developed somewhat differently from that of the
United Kingdom. Contributing to that was America's size; land diversity and the overwhelming
desire to be independent. As America moved from a colonial outpost to an independent force,
from a farming country to an industrial nation, the insurance business developed from a small
number of companies to a large industry. Insurance became more sophisticated, offering new
types of coverage and diversified services for an increasingly complex country.

KEY FEATURES OF LIFE INSURANCE

1) Nomination: -
When one makes a nomination, as the policyholder you continue to be the owner of the policy
and the nominee does not have any right under the policy so long as you are alive. The nominee
has only the right to receive the policy monies in case of your death within the term of the policy.

2) Assignment: -
If your intention is that your policy monies should go only to a particular person, you need to
assign the policy in favor of that person.

3) Death Benefit: -
The primary feature of a life insurance policy is the death benefit it provides.
Permanent policies provide a death benefit that is guaranteed for the life of the insured, provided
the premiums have been paid and the policy has not been surrendered.

4) Cash Value: -
The cash value of a permanent life insurance policy is accumulated throughout the life of the
policy. It equals the amount a policy owner would receive, after any applicable surrender
charges, if the policy were surrendered before the insured's death.

5) Dividends: -
Many life insurance companies issue life insurance policies that entitle the policy owner to share
in the company's divisible surplus.

6) Paid-Up Additions: -
Dividends paid to a policy owner of a participating policy can be used in numerous ways, one of
which is toward the purchase of additional coverage, called paid-up additions.

7) Policy Loans: -
Some life insurance policies allow a policy owner to apply for a loan against the value of their
policy. Either a fixed or variable rate of interest is charged.
This feature allows the policy owner an easily accessible loan in times of need or opportunity.

8) Conversion from Term to Permanent: -

When in need of temporary protection, individuals often purchase term life insurance. If one
owns a term policy, sometimes a provision is available that will allow her to convert her policy
to a permanent one without providing additional proof of insurability.

9) Disability Waiver of Premium

Waiver of Premium is an option or benefit that can be attached to a life insurance policy at an
additional cost. It guarantees that coverage will stay in force and continue to gr
 BENEFITS OF LIFE INSURANCE

1) Risk cover: -
Life Insurance contracts allow an individual to have a risk cover against any unfortunate event of
the future.

2) Tax Deduction: -
Under section 80C of the Income Tax Act of 1961 one can get tax deduction on premiums up to
one lakh rupees. Life Insurance policies thus decrease the total taxable income of an individual.

3) Loans: -
An individual can easily access loans from different financial institutions by pledging his
insurance policies.

4) Retirement Planning: -
What had provided protection against the financial consequences of premature death may now be
used to help them enjoy their retirement years.
Moreover the cash value can be used as an additional income in the old age.

5) Educational Needs: -
Similar to retirement planning the cash values that flow from ones life insurance schemes can be
utilized for educational needs of the insurer or his children.
 ROLE OF LIFE INSURANCE IN THE GROWTH OF THE ECONOMY

The Life Insurance Industry has an enviable track record among public sector units. It has a
Consistent profit and dividend paying record accompanied by a steady growth in its financial
resources. Through investments in the Government sector and socially- oriented sectors the
Industry has contributed immensely to the nation's development. The industry is recognized as
one of the largest financial Institutions in the country. The ventures initiated by the industry in
the areas of Mutual Fund,

Housing Finance has done exceedingly well in recent years. To protect the country's foreign
exchange reserves, the reinsurance arrangement are so organized that maximum retention is
made possible within the country while at the same time protecting interests of the policy
holders.
 SWOT ANALYSIS

Strengths:

a. Dedicated Employees.
b. Well Efficient Management.
c. Technology.
d. Diversification of funds.
e. Strong and popular brand name.
f. Adaptability to changes.

Weakness:
a. Lack of good services.
b. Lack of awareness about insurance among people.
c. Less coverage in Rural Areas.

Opportunities:

a. Fast growing economy.

b. Increasing per –capita income in India.
c. Saving behavior.
d. High growth of ULIP industry.

Threats:

a. Arrival of new entrants in the insurance industry.

b. Cut throat competition within the industry
 Scope of the study:

 This study can be conducted by comparing the performances & products of three private
& government insurance players in insurance industry.
 The number of respondents to be surveyed can be improved.
 The study can be conducted in DELHI city only.
 This study can be conducted to analyze the market stand of Reliance life insurance
Company limited and Life insurance Corporation of India insurance companies.
 RESEARCH OBJECTIVES
Objectives of this are:

 To study about the insurance industry in India.

 To compare the services offered by RLIC (private) and LIC
(Government) in term of customer’s satisfaction.

 To study the promotional and marketing strategies of RLIC.

 To Study the impact of a customer centric approach being followed
by the insurance industry.

 To study the satisfaction level of users of RLIC and LIC

 To draw the various conclusion and recommendations on the
basis of the study conducted on specifically taking to consideration
the services, advertising and marketing strategies of the insurance
industry.
CHAPTER : CURRENT SCENARIO

 INSURANCE INDUSTRY
 RELIANCE LIFE INSURANCE
CURRENT SCENARIO
  CURRENT SCENERIO OF THE INSURANCE INDUSTRY

With largest number of life insurance policies in force in the world, insurance happens to
be a mega opportunity in India. It’s a business growing at the rate of 15-20 per cent annually and
presently is of the order of Rs. 450 billion. Together with banking services, it adds about 7 per
cent to the country’s GDP. Gross premium collection is nearly 2 per cent of GDP and funds
available with LIC for investment are 8 per cent of GDP.

Yet, nearly 80 percent of Indian population is without life insurance cover while health
insurance and non-life insurance continues to be below international standards. And this part of
the population is also subject to weak social security and pension systems with hardly any old
age income security. This it is an indicator that growth potential for the insurance sector is
immense. A well-develop and evolved insurance sector is needed for economic development as it
provides long term funds for infrastructure development and at the same time strengthens the risk
taking ability. It is estimated that over the next ten years India would require investments of the
order of one trillion US dollar. The insurance sector, to some extent, can enable investment in
infrastructure development to sustain economic growth of the country. Insurance is a federal
subject in India. There are two legislation that govern the sector - The Insurance Act-1938 and
The IRDA Act-1999.

In India, insurance is generally considered as a tax-saving device instead of its other

implied long term financial benefits. Indian people are prone to investing in properties and gold
followed by bank deposits. They selectively invest in shares also but the percentage is very
small. Even to this day, Life Insurance Corporation of India dominates India insurance sector.
With the entry of private sector players backed by foreign expertise, Indian insurance market has
become more vibrant. Business is becoming increasingly vulnerable due to wide variety of risk
particularly after September 11, 2001 disaster in which twin tower located in the hearts of New
York city were crashed by terrorist attack resulting in loss of 6000 human lives as well as
financial loss to the extent of $45 billion. The impact of this terrorist attack has created new
horizon of risk to the business world today.

However, rapid changes in the global economy, development of technology and e-

business already gathered momentum. Increased dependency on technology has originated new
risks that have resulted in well-published incidents. Computer hackers obtaining credit card
information from visa and Power-Gen, the love bug virus, cyber extortion, web content liability,
professional errors and omissions, computers and other crimes and activities such as terrorism,
kidnapping and company’s executive and extortion of money, commercial liability etc have
significant impact on business resulting in extreme financial loss, commercial embarrassment or
regulatory implications.

Corporation insurance/risk managers, under the circumstances, have to demand

increasingly complex insurance products. They have to be more attentive and knowledgeable
about emerging risks, how those risks are managed effectively and efficiently, and how they
could ultimately affect a company’s financial situation and therefore its position in the market
place. In short, how such risks are managed and can give to an insured a competitive advantage.
 In the changing times, adoption of e-commerce into business models, the integration of
web-based communication and data transfer capabilities into the business operations, and
leveraging of advanced network and technology architecture for maximum benefit are the new
horizon of the risks. For the corporate insurance/risks managers, these new exposure-cyber-risks-
can lead to cyber losses, widening the interpretation of what constitute insure property damage,
particularly as it relates to information technology and data.

All the while, organizations are tremendous pressure to reduce expenses and increase
profit margin, and cannot afford to suffer a property loss of business interruption due to any
cause (risk). How a company identifies, quantifies, qualifies and manages these new risks
exposure, in addition to the well-known tradition risks, is becoming an important factor in
creating shareholders value. This often means changing the way. Everyone in the organization
have to think about risk.

Insurance managers are seeing price levels (premium) continue to rise-albeit modestly-in
today’s primarily commercial property and reinsurance markets. They are demanding that
insurers improve their risk assessment and quantification offerings so that an insured may avail
the benefit in cost (premium rate) on account of well-managed risk.
The good news for insurance managers is that as the economy evolves, insurers are
increasingly matching that evaluation with new products, services and capabilities due to
opening up the insurance market to the private players.

Insurers who are truly listening to their customers and striving to be more in tune with
their needs are responding to the fast changing corporate insurance and risk management
landscape. They are listening to their customers. They are making fresh approaches to address
the new challenges faced by insured organization by designing the new products as per the
needs. Insurers are providing value added services to insured to protect the value created by the
business.

Insurers are increasingly required to develop and expand their information technology
platforms to ensure that the vast amount of data they collect about their customers. Insurance/risk
portfolio can easily and seamlessly be transformed into valuable risk management information.
To help their customers, insurers should make better-informed decisions. They must be able to
swiftly deliver this data to their customers (insured) anywhere in the world. Insurer are also
discovering that risk assessment have to be customized to meet policyholders’ new exposures
and needs. The insurance industry is stepping up and addressing these challenges in several
different ways.


  CURRENT SCENARIO OF RELIANCE LIFE INSURANCE

Reliance Life Insurance Company Limited (RLIC) is amongst the fastest growing life insurance companies
in India. It is also amongst the top four private sector life insurance companies in India. (as on FY 2008-
2009)

As on March 31, 2009, RLIC has an annualized premium of Rs. 30 billion with a market share of 10.3%. It
has leapfrogged on the growth path and has reached the 4 million policy mark, in a short span of within 3
years. RLIC has a strong distribution network of 1,145 branches with more than 149,000 agents.

RLIC offers wide range of innovative life insurance products, targeted at individuals and groups. It offers
need based products that caters to four distinct segments namely protection, child, retirement and
investment plans. RLIC is committed to emerge as a transnational Life Insurer of global scale and standard.
Insurance’s Market Share in Comparison of Other Private company
If we look at the status of Reliance Life Insurance’s market share in comparison of other private
company in comparison of premium earned:-
CHAPTER: RESEARCH METHODOLOGY

DATA ANALYSIS AND INTERPRETATIONS

LIMITATIONS OF THE STUDY
  REASEARCH METHODOLOGY

As the tithe of the project suggests the purpose to study the access of
prudential in area like Pitampura.
Research comprise defining and redefining problems, formulating
hypothesis or suggested solutions; collecting, organizing and evaluating
data; making deductions and reaching conclusions; and at last carefully
testing the conclusions to determine whether they fit the formulating
Hypothesis.

In short, the search for Knowledge through Objective and Systematic

method of finding solutions to a problem is Research.

METHODOLOGY:
The methodology adopted in conducting this survey was quite simple. First
there was collection of data from various sources including personal
interview. Then after scanning and properly analyzing and interpreting the
information available on hand, a final report was prepared.
SOURCES OF DATA
1. PRIMARY DATA: Primary data was collected from the sample by a self-
administered questionnaire in presence of the interviewer.

2. SECONDARY DATA: The chief sources of secondary data were

magazines, newspaper, journals etc.
RESEARCH DESIGN
Type of Research: - Descriptive research
Descriptive research includes Surveys and fact-finding enquiries of different
kinds. The main characteristic of this method is that the researcher has no
control over the variables; he can only report what has happened or what is
happening.
RESEARCH INSTRUMENTS
Selected instrument for Data Collection for Survey is Questionnaire.

SAMPLE SIZE:
The survey is conducted among 100 respondents.
Simple statistical tools have been used in the present study to analyze and
interpret the data collected from the field. The study has used percentage
method and the data are presented in the form of diagrams.

SAMPLE AREA:
Different customer of sahadra districts which covered many areas like
seelampur.

Sampling Area:

Different customers of sahadra district which covered many areas like seelampur.
RESULT ANALYSIS

&

INTERPRETATION
 1) AGE:

AGE NO. OF RESPONDENTS PERCENTAGE

18-30 43 43%
31-50 37 37%
51-65 20 20%
TOTAL 100 100%

AGE WISE CLASSIFICATION

RESPONDENTS

45
40
NO. OF

35
30
25 43
20 37
15
20
10
5
0
18 to 30 31 to 50 51 to 65
AGE (in ye ars)

INTERPRETATION:-The bar graph reveals that 43% of the respondents belong to

the age group of 18-30 years, 37% lies in the age group of 31-50 years and 20% of
them lie in the age group of 51-65 years.
2) OCCUPATION:

OPTION NO. OF RESPONDENTS PERCENTAGE

Service 32 32%
Business 28 28%
Profession 10 10%
Housewife 17 17%
Retired 13 13%
TOTAL 100 100%

OCCUPATION WISE CLASSIFICATION

35 32

30 28

25

20 17

15 13
10
10

0
s ervice b usines s p ro fess io n ho us ewife retired
OC C U P A TION

INTERPRETATION:-The above bar graph reveals that 32% of the total respondents
were servicemen, 28% of them belonged to the business class, 10% were professionals,
17% were housewives and 13% of the total respondents fall in the retired category.
3) INCOME:

OPTION NO. OF RESPONDENTS PERCENTAGE

150000-300000 48 48%
300000-500000 29 29%
Above 500000 23 23%
TOTAL 100 100%

INCOME WISE CLASSIFICATION

50
RESPONDENTS

40
30
NO. OF

48
20 29 23
10
0
150000- 300000- ABOVE
300000 500000 500000
INCOME( in RS.)

INTERPRETATION:-The above bar graph reveals that out of the total respondents 48% lie
in the income group of 150000-300000, 29% of the total respondents belonged to the income
group of 300000-500000 and 23% lie in the income group of people earning an income of
above Rs. 500000p.a.
  DATA SHOWS PEOPLES HAVING INSURANCE

RESPONSE NO. OF SHARE (%)

RESPONDENTS

Yes 90 90%

No 10 10%

Total 100 100%

100.00% 90%
90.00%
80.00%
70.00%
60.00%
50.00%
40.00%
30.00%
20.00% 10%
10.00%
0.00%
Yes No

INTERPRETATION

 Of the sample size of 100 surveyed respondents 100% of the respondents are

having Insurance policy.

 00% of the respondents are either not having any Insurance policy at present or

their policy is already matured.

 DATA GIVES PREFERENCE OF RESPONDENTS OF INSURANCE

COMPANIES
 NO.OF
COMPANY’S NAME SHARE (%)
RESPONDENT

L.I.C. 68 78

RELIANCE LIFE
3 3
INSURANCE
ICICI PRUDENTIAL 10 10

SBI LIFE 7 7

HDFC 2 2
TOTAL 100 100

80

70

60

50

40

30 East

20

10

0
LIC
REL
ICICI
SBI
HDFC

INTERPRETATION

 78% of the people contacted prefer LIC policy to any other and therefore it is

ranked no.1 by that percent of respondents.

  DATA SHOWS WHIS POLICY most frequently
FOR CUSTOMER

POLICY RESPONDEN SHARE

T
MGP 65 65%

SAIP 35 35%

70%

60%

50%

40%

30%

20%

10%

0%
1
2

INTERPRETATION

 65% of the respondents as with the view that MGP is the best for
get return with return shield option.

 35% of the respondents as with the view that SAIP is the best for
get the high return
 DATA SHOWS WHAT PEOPLE INTENT TO GAIN FROM THEIR INVESTMENT

RESPONSE NO. OF SHARE (%)

RESPONDENTS
Saving & Returns 100 100%

Security 90 90%

Tax benefits 71. 71.%

100

100 90
80 71
60
40
Tax benefits
20
0
Saving & Returns
Security
Tax benefits

INTERPRETATION

 100% of the respondents intent to gain saving and returns from their investment.

 90% of the respondent’s intent to gain security from their investments.

 Whereas, 71.75% of the respondent’s intent to gain tax benefits from their

investments.
 DATA PROVIDES FEATURES OF INSURANCE POLICY THAT ATTRACTED

RESPONDENTS

FEATURE NO.OF SHARE (%)

RESPONDENTS
Money Back Guarantee 15 15
Larger Risk Coverance 37 37
Easy Access to Agents 7 7
Low Premium 30 30
Company’s Reputation 11 11
TOTAL 100 100

FEATURES OF INSURANCE POLICY

MONEY BACK GUAARENTEE

15% LARGER RISK COVERANCE

11%

30% EASY ACCESS TO AGENTS

37%
LOW PREMIUM
7%

REPUTATION OF COMPANY

INTERPRETATION

 Majority of the respondent (37%) found Larger risk coverance as the most

attracted feature of the all.

  DATA GIVES BENEFITS OF INSURANCE PERCEIVED BY RESPONDENTS

NO.OF
BENEFITS SHARE (%)
RESPONDENTS

Cover Future Uncertainty 55 55

Tax Deductions 20 20

Future Investment 25 25

TOTAL 100 100

25%
Cover Future
Uncertainty
INTERPRETATION
Tax Deductions
55%
 attracted feature of the all.
Future Investment
20%

INTERPRETATION

 55% of the respondents believe that covering future uncertainty is the biggest

benefit of an insurance policy.

 Whereas, 20% and 25% of them believe that the other benefits are Tax

deduction and future investments respectively.

 DATA SHOWS SATISFACTION OF RESPONDENTS WITH RESPECT TO

POLICY SERVICE

RESPONSE NO. OF SHARE (%)

RESPONDENTS

Satisfied 45 45%

Not satisfied 55 55%

Not Responded 0 0.0%

Total 100 100%

Chart Title

60.00%
Not satisfied
50.00% Satisfied

40.00%

30.00%

20.00%

10.00%

0.00%
Satisfied
Not satisfied

INTERPRETATION

 60% of the respondents are more or less satisfied with their existing policy.

 40% of the respondents are not satisfied with their existing policy.

 In this case all of those who have taken a policy have responded.
  DATA SHOWS RESPONDENTS PERCEPTION ABOUT BEST FORM OF

INVESTMENT FOR SECURING THEIR FUTURE

NO. OF SHARE (%)

RESPONDENTS
Fixed Assets 75 75%

Bank deposits 11 11%

Jewellery 25 25%
Securities i.e. bonds, MFs 40. 40%
Shares 10 10%
Insurance 70 70%

80
70
60
50
40
75
30 70 Insurance
20
40
10 25
11
0 10

INTERPRETATION

 75.25% of the respondents as with the view that Fixed Assets is the best
form of investment for securing their future.

 70.5% of the respondents are with the perception that Insurance is the best
form of investment for securing their future, which is one of the highest and this
shows that insurance is an important key for securing your future.
 LIMITATIONS
 
The study could not be made that comprehensive due to time constraints.
Some customers feel uncomfortable to reveal some personal information
relating to income etc. it might have happened that some more essential
information could have been collected.
 
 Time constraint.
 Biases and non-cooperation of the respondents.
 Financial constraint.
 Geographical selectivity in study limiting to Delhi city only.
 People are not interested in giving personal opinion.
DISCUSSIONS
AND
FINDINGS
OF
THE STUDY
 Findings

The survey reveals that in the total population 70% people have the
insurance and only 30% people have no any insurance . Basically
people make varied form of investment for creating wealth to protect
their families against premature death and to protect income against
disabilities, sickness , critical illness.

The main motive of the individual investing in recives long term

returns. people generally consider insurance as a saving and
investments device.

Most people prefer to invest in LIC (Government)as compared to

making in investment in other insurance company.

The most preferred ULIP plans of reliance life Insurance is Money

Guarantee Plan.

In the Society large risk coverage of insurance policy attract to take

the policy for the future and the company reputation in not the big
point for the costumers to buy the policy

The people are like to want to investment in fixed assets and after
they choice the insurance because in the insurance the risk is very
high.

In the society more than 50% people are not satisfied from the policy
services and most people are not satisfied with their existing services
.
 Suggestions and recommendations

Based on the observations of the study some suggestions for the

organizations are made as follows .

1. Company should increase its budget on publicity so that

awareness can be increased
2. Quality of advisor is also important as the quantity. The
company should go mainly for qualifying professionals.
3. Clarity and transparency should be provided to costumers
regarding various products .
4. Infrastructure has to be built properly because an office is the
face of the company
5. Apart from the brand positioning in urban area, a strategy
should be adopted by r eliance to make its brand also near to
middle level, or high aspirant people because the are the main
source of the business in india .
6. Some innovative technique or product is required in order to
attract the costumer
 Conclusions

1. The result of the survey conducted shows that lic is the lader in
the insurance industry but reliance life insurane and other
private players are given it to close competetion.
2. The customers are very much sensitive towards their
investment they would like to invest only in that insurance
company which enjoys good public image along with good
quality services.
3. The motive of the people behind investing in life insurance is
the savings and returns that they would receive high returns in
the future.
4. In life insurance industry the after sale support of the company
is as important so as the quality of the life advisors.
  QUESTIONNAIRE

 NAME ___________________________________________

 ADDRESS ________________________________________

 AGE
18-30 31-50 51-65

 OCCUPATION
Business Professional Service Housewife Retired

 ANNUAL INCOME
150000-300000 300000-500000 500000 and above

1. Do you have any insurance policy?

Yes No

2. WHICH CO’S INSURANCE POLICY YOU PREFER THE MOST?

a) LIC

b) ICICIPRUDENTIAL
 c) SBI LIFE INSURANCE

d) ING VYSYA LIFE

e) RELIANCE LIFE INSURANCE

f) TATA AIG LIFE

g) ANY OTHER ________

3. OUT OF THE ABOVE POLICIES WHICH DO YOU MOST FREQUENTLY?

MONEY GAURNTEE PLAN (MGP)

SUPER AUTOMATIC INVESTMENT PLAN (SAIP)

4. WHAT DO YOU INTENT TO GAIN FROM INVESTMENTS?

a) SAVING & RETURNS

b) SECURITY

c) TAX BENIFITS

5. WHICH FEATURE OF YOUR POLICY ATTRACTED YOU TO BUY IT?

(RANK THEM)

a) LOW PREMIUM

b) LARGER RISK COVERANCE

c) MONEY BACK GUARNTEE

d) REPUTATION OF COMPANY

e) EASY ACCESS TO AGENTS

 f) ANY OTHER _________ (Specify)

6. WHAT DO YOU THINK ARE THE BENEFITS OF INSURANCE COVER?

(RANK THEM)

a) COVER FUTURE UNCERTAINITY

b) TAX DEDUCTIONS

c) FUTURE INVESTMENT

d) ANY OTHER _________(Specify)

7. ARE YOU SATISFIED WITH THE POLICY SERVICE?

a) SATISFIED SAVING TOOL

b) NOT SATISFIED

c) NOT RESPONDIN

8. WHICH IS THE BEST FORM OF INVESTMENTS?

a) FIXED ASSETS

b) BANK DEPOSITS

c) JEWELLERY

d) SECURITIES, i.e. Bonds, MFs

e) SHARES