SUMMER TRAINING PROJECT REPORT

On
Future Generali India Life Insurance Company Ltd.

At

NESTKEYS INFRATECH PRIVATE LIMITED

Gurgaon
SUBMITTED IN THE PARTIAL FULFILLMENT TOWARDS THE AWARD
OF
MASTER OF BUSINESS ADMINISTRATION (MBA)
2016-2017

SUBMITTED TO: SUBMITTED BY:

CONTROLLER OF EXAMINATION
M.D.UNIVERSITY, ROHTAK REGN. NO:

KIIT COLLEGE OF ENGINEERING GURGAON

 ACKNOWLEDGEMENT

First a fall I would like to thank the management of NESTKEYS INFRATECH

PVT.LTD. Life insurance co. for giving me the opportunity to do my two month
project training esteemed organisation. I am highly obliged to MR. ABHINAV SIR
(franchisee development), MR.SHITIJ SIR (direct sales support team) and my
mentor MR. KULDEEP SIR for granting me to undertake my training at Gurgaon
branch.

I express my thanks to all sales managers under whose able guidance and
direction, I was able to give shape to my training. Their constant review and
excellent suggestions throughout the project are highly commendable.

My heartfelt thanks go to all the executive who helped me gain knowledge about
the actual working and the process involved in various department.
 PREFACE
The liberalization of the insurance sector has been the subject of much heated
Debate for some years. The policy makers where in the 22 situation where in for
one they wanted competition, development And growth of this insurance sector
which is extremely essential for Channelling the investment into the
infrastructure sector. At the other end policy makers had the fares that the
insurance premier, which are substantial, would seep out the country; and
wanted to have cautious approach opening for foreign participation in the
sector. As one of the rare occurrence the entire debate was put on the back
burner and the IRDA saw the day of the light thanks to the maturity polity
emerging Consensus among faction of different political parties. Thought
changes of some restrictive clauses as regards to the foreign participation were
included The IRDA has open the doors for the private entry into insurance.
Whether the insurer is old or new. Private or public, expanding the market will
present multitude of challenges and opportunity. But the of issue, possible
Trends opportunities and challenges that insurance sector will have still remain
Under the realms of the possibility and speculation what is the likely impact of
Opening the Indias insurance sector?
The large scale of operations, public sector bureaucracies and cumber some
Procedures hampers nationalized insurers. Therefore, potential private Entrants
expect to score in the area of customer services, speed and flexibility.
 EXECUTIVE SUMMARY
In todays corporate and competitive world, I find that insurance sector has the
maximum growth and potential as compared to the other sector. Insurance has
the maximum growth rate of 70-80 % while as FMCG sector has maximum 12-15%
of growth rate. This growth potential attracts me to enter in the sector and
FUTURE GENERALI LIFE INSURANCE Company Ltd has given me the opportunity
to work and get experience in highly and enhancing sector.

The success story of good market share of different market organization

depends upon the availability of the product and services near to the
customer, which can be distribute through a distribution channel .in
insurance sector , distribution channel include only agents or agency holder
of the company. If a company like RELINCE LIFE INSURANCE ,TATA AIG ,MAX
etc. have adequate agents in the market they can capture big market as
compare to the other company
Agents are only way for a company of insurance sector through which
policies and benefits of the company can explained to the customer.
 CONTENT
pages

ACKNOWLEDGEMENT 1
PREFACE
EXECUTIVE SUMMARY
About nestkeys company
Industry Profile
Introduction of the company
Product of the company
Comparison of Ulips with Traditional plan
Research Methodology
Data analysis and Interpretation
SWOT analysis
Conclusion
 About Nestkeys Infratech Private Limited
Nestkeys Infratech Private Limited is a Private incorporated on 16 January 2014.
It is classified as Non-govt. Company and is registered at Registrar of Companies,
Delhi. Its authorized share capital is Rs. 100,000 and its paid up capital is Rs.
100,000.It is involved in Real estate activities with own or leased property. [This
class includes buying, selling, renting and operating of self-owned or leased real
estate such as apartment building and dwellings, non-residential buildings,
developing and subdividing real estate into lots etc. Also included are
development and sale of land and cemetery lots, operating of apartment hotels
and residential mobile home sites. (Development on own account involving
construction is classified in class 4520).]

Goods and Services Description: Insurance, financial affairs; monetary affairs;

real estate affairs.
Our core values are the backbone to our company which resonate with our
vision:
People:- We must be caring, show respect, compassion and humanity for our
colleagues, associates and customers around the world, and always work for the
benefit of the communities we serve.
Integrity:- Conducting our operations with integrity and with the respect for the
each people, business associate whom we touch in different juncture of our
business journey.
Customer Delight:- We are committed to foster customer centric culture where
our processes, services and innovations are aligned around
customer/franchisee/business associate expectations.
Excellence:- We must constantly strive to achieve the highest possible standards
in our execution and in the quality of the services we provide at affordable cost
and need based solutions.
Trust:- We as team believe that the trust is the foundation of our relationship with
our associates, franchisee, customer and employees and we cultivate it every day
by being accountable of every single property transaction we offer.
Industry Profile
 INSURANCE

DEFINITION OF INSURANCE- Insurance is a contract

between two parties - the insurer (the insurance company) and
the insured (the person or entity seeking the cover) - wherein the
insurer agrees to pay the insured for financial losses arising out
of any unforeseen events in return for a regular payment of
"premium".

INTRODUCTION TO INSURANCE- Insurance is defined as

the equitable transfer of the risk of a loss, from one entity to
another, is exchange for a premium. The Act, system or business
of insuring property, life, ones person etc. against loss or harm
arising in specified contingencies as fire, accident, death
,disablement ,or the like in consideration of a payment
proportionate to the risk involved. The business of insurance is
related to the protection of the economic value of assets. Every
asset has a value. The asset would have been created through
the efforts of the owner, because he expects to get some benefits
from it. It is a benefit because it meets some of his needs. The
benefit may be an income or in some other form. In the case of a
factory or a cow, the product generated by it is sold and income is
generated. In the case of a motor car, it provides comfort and
convenience in transportation. There is no direct income. Both are
assets and provide benefits.

BRIEF HISTORY OF INSURANCE

Some of the important milestones in the life insurance business in

India are:
 1912 - The Indian Life Assurance Companies Act enacted as the first
statute to regulate the life insurance business.

1928 - The Indian Insurance Companies Act enacted to enable the

government to collect statistical information about both life and non-
life insurance businesses.

1938 - Earlier legislation consolidated and amended to by the Insurance

Act with the objective of protecting the interests of the insuring public.

1956 - 245 Indian and foreign insurers and provident societies taken
over by the central government and nationalized. LIC formed by an Act
of Parliament, viz. LIC Act, 1956, with a capital contribution of Rs. 5
crore from the Government of India.

The General insurance business in India, on the other hand, can trace its
roots to the Triton Insurance Company Ltd., the first general insurance
company established in the year 1850 in Calcutta by the British.

BEGINNING OF INSURANCE IN INDIA

Insurance regulation formally began in India with the passing of

the Life Insurance Companies Act of 1912 and the provident fund
Act of 1912. Several frauds during 20's and 30's sullied insurance
business in India. By 1938 there were 176 insurance companies.
The first comprehensive legislation was introduced with the
Insurance Act of 1938 that provided strict State Control over
insurance business. The insurance business grew at a faster pace
after independence. Indian companies strengthened their hold on
this business but despite the growth that was witnessed,
insurance remained an urban phenomenon.
The Government of India in 1956, brought together over 240
private life insurers and provident societies under one
nationalized monopoly corporation and LIC was born.
Nationalization was justified on the grounds that it would create
much-needed funds for rapid industrialization. This was in
conformity with the Government's chosen path of State led
planning and development. The (non-life) insurance business,
however, continued to thrive with the private sector till 1972. Their
operations were restricted to organized trade and industry in large
cities. The general insurance industry was nationalized in 1972.
With this, nearly 107 insurers were amalgamated and grouped
into four companies- National Insurance Company, New India
Assurance Company, Oriental Insurance Company and United
India Insurance Company. These were subsidiaries of the
General Insurance Company (GIC).

HOW INSURANCE WORKS

There are certain principles, which make it possible for insurance

to remain a preferred and fair arrangement. The first is that it is
difficult for any one individual to bear the consequences of the
risks that he is exposed to. It will become bearable when the
community shares the burden. The second is that the peril should
occur in an accidental manner. Nobody should be in a position to
make the risk happen. In other words none in the group should
set fire to his assets and ask others to share the loss. This would
be taking unfair advantage of an arrangement put into place to
protect people from the accident risks they are exposed to. The
occurrence has to be random, accidental and not the deliberate
creation of the insured person.
example: In a village ,there are 400 houses ,each valued at
Rs.20000.every year, on an average ,4 houses get burnt
,resulting into a total loss of Rs. 80000. if all the 400 owners come
together and contribute Rs.200 each, the common fund would be
Rs.80000. this would be enough to pay Rs.20000 to each of the
4 owners whose houses got burnt. Thus the loss of Rs. 20000
each of 4 owners is shared by 400 house owners of the village,
bearing Rs.200each. This works out to 1% of the value of the
house which is the same as the probability of risks (4 out of 400
houses).

ROLE OF INSURANCE IN ECONOMIC DEVELOPMENT

For economic development investments are necessary.

Investments are made out of savings. A life insurance company is
major instruments for the mobilization of savings of people,
particularly from the middle and lower income groups. These
savings are channelled into investments for economic growth.
All good life insurance companies have huge funds,
accumulated through the payments of small amounts of premier
of individuals. These funds are invested in ways that contribute
substantially for the economic development of the countries in
which they do business. Apart from investments, business and
trade benefit through insurance. Without insurance trade &
commerce will find it difficult to face the impact of major perils like
fire, earthquake, floods, etc. financiers, like banks, would collapse
if the factory, financed by it is reduced to ashes by a terrible fire.
Insurers cover also the loss to financiers if their debtors default.

ADVANTAGE OF LIFE INSURANCE

1. SUPERIOR TO ANY OTHER SAVINGS PLAN -

Unlike any other savings plan, a life insurance policy affords full
protection against risk of death. In the event of death of a
policyholder, the insurance company makes available the full sum
assured to the policyholders' near and dear ones. In comparison,
any other savings plan would amount to the total savings
accumulated till date. If the death occurs prematurely, such
savings can be much lesser than the sum assured. Evidently, the
potential financial loss to the family of the policyholder is sizable.

2. ENCOURAGES AND FORCES THRIFT- A savings deposit

can easily be withdrawn. The payment of life insurance premiums,
however, is considered sacrosanct and is viewed with the same
seriousness as the payment of interest on a mortgage.

3. EASY SETTLEMENT AND PROTECTION AGAINST

CREDITOR- A life insurance policy is the only financial instrument
the proceeds of which can be protected against the claims of a
creditor of the assured by effecting a valid assignment of the
policy.

4. ADMINISTERING THE LEGACY FOR

BENEFICIARIES - Speculative or unwise expenses can quickly
cause the proceeds to be squandered. Several policies have
foreseen this possibility and provide for payments over a period
of years or in a combination of instalments and lump sum
amounts.

5. READY MARKETABILITY AND SUITABILITY FOR

QUICK BORROWING- A life insurance policy can, after a
certain time period (generally three years), be surrendered for a
cash value. The policy is also acceptable as a security for a
commercial loan, for example, a student loan. It is particularly
advisable for housing loans when an acceptable LIC policy may
also cause the lending institution to give loan at lower interest
rates.

6. DISABILITY BENEFITS- Death is not the only hazard that

is insured; many polices also include disability benefits. Typically,
these provide for waiver of future premiums and payment of
monthly installments spread over certain time period.

7. ACCIDENTAL DEATH BENEFITS- Many policies can

also provide for an extra sum to be paid (typically equal to the sum
assured) if death occurs as a result of accident.

8. TAX RELIEF
Under the Indian Income Tax Act, the following tax relief is
available
a) 20 % of the premium paid can be deducted from your total
income tax liability.
b) 100 % of the premium paid is deductible from your total taxable
income. When these benefits are factored in, it is found that most
polices offer returns that are comparable or even better than other
saving modes such as PPF, NSC etc. Moreover, the cost of
insurance is a very negligible.

Assets are insured, because they are likely to be destroyed,

through accidental occurrences. Such possible occurrences are
called perils. Fire, floods, breakdowns, lightning, earthquakes,
etc., are perils. If such perils cab case damage it the asset, we
say that the asset is exposed to that risk. Perils are the events.
Risks are the consequential losses or damages. The risk to an
owner of a building, because of the peril of an earthquake, may
be a few lakhs or a few crores of rupees, depending on the cost
of the building and the contents in it.

The risk only means that there is a possibility of loss or damage.

The damage may or may not happen. Insurance is done against
the contingence that it may happen. There has to be an
uncertainty about the risk. Insurance is relevant only if there are
uncertainties. If there is no uncertainty about the occurrence of an
event, it cannot be insured against. In the case of a human being,
death is certain, but the time of death is uncertain. In the case of
a person who is terminally ill, the time of earth is not uncertain,
though not exactly known. He cannot be insured.

Insurance does not protect the asset. It does not prevent its loss
due to the peril. The peril cannot be avoided through insurance.
The peril can sometimes be avoided, through better safety and
damage control management. Insurance only tries to reduce the
impact of the risk on the owner of the asset and those who depend
on that asset. It only compensates the losses- and that too, not
fully. Only economic consequences can be insured. If the loss is
not financial, insurance may not be possible. Examples of non-
economic losses are love and affection of parents, leadership of
managers, sentimental attachments to family heirlooms,
innovative and creative abilities, etc.

The mechanism of insurance is very simple. People who are

exposed to the same risks come together and agree that, if any
one of them suffers a loss, the others will share the loss and make
good to the person who lost. All people who send goods by ship
are exposed to these risks, which are related to water damage,
ship sinking, piracy, etc. Those owning factors are not exposed to
these risks, but they are exposed to different kinds of risks like,
fire, hailstorms, earthquakes, lightning, burglary, etc. Like this,
different kinds of risks can be identified and separate groups
made, including those exposed to such risks. By this method, the
heavy loss that any one of them may suffer (all of them may such
losses at the same time) is divided into bearable small losses by
all. In other words, the risk is spread among the community and
the likely big impact on one is reduced to smaller manageable
impacts on all. If a Jumbo Jet with more than 350 passenger's
crashes, the loss would run into crores of rupees. No airline would
be able to bear such a loss. It is unlikely that many Jumbo Jets
will crash at the same time. If 100 airline companies flying Jumbo
Jets, come together into an insurance pool, whenever one of the
Jumbo Jets in the pool crashes, the loss to be borne by each
airline would come down to a few lakhs of rupees. Thus, insurance
is a business of "haring".
There are certain principles, which make it possible for insurance
to remain a fair arrangement. The first is that it is difficult for any
one individual to bear the consequences of the risks that he is
exposed to. It will become bearable when the community shares
the burden. The second is that the peril should occur in an
accidental manner. Nobody should be in a position to make the
risk happen. In other words, none in the group should set fire to
his assets and ask others to share the costs of damage. This
would be taking unfair advantage of an arrangement put into place
to protect people from the risks they are exposed to. The
occurrence has to be random, accidental, and not the deliberate
creation of the insured person.

The manner in which the loss is to be shared can be determined

before-hand. It may be proportional to the risk that each person is
exposed to. This would be indicative of the benefit he would
receive if he the peril befell him. The share could be collected from
the members after the loss has occurred or the likely shares may
be collected in advance, at the time of admission to the group.
Insurance companies collect in advance and create a fund from
which the losses are paid.

The collection to be made from each person in advance is

determined on assumption. While it may not be possible to tell
beforehand, which person will suffer, it may be possible to tell, on
the basis of past experiences, how many person, on an average,
may suffer losses.

INSURANCE AS A SECURITY TOOLS

The United Nations Declaration of human Rights 1948 provides

that "Everyone has a right to a standard of living adequate for the
health and wellbeing of himself and his family, including food,
clothing, housing and medical care and necessary social services
and the right to security the event of unemployment, sickness,
disability, widowhood or other lack of livelihood in circumstances
beyond the control."

When the bread winner dies, to that extent, the family's income
dies. The economic condition of the family is affected, unless
other arrangements come into being to restore the situation. Life
insurance provides if this did not happen, another family would be
pushed into the lower strata creates a cost on society. The lower
strata create a cost on society. Poor people cost the nation by way
of subsidies and doles and so on. Poor people also cost by way
of larger growth in population, poor education and 13
Vagaries in behaviour of children. Life insurance tends to reduce
such costs. In this sense life insurance business is
complementary to the state's efforts in social management.
Under a socialistic system the responsibility of full security would
be placed upon the state to find resources for providing social
security. In the capitalistic society, provisions of security are
largely left to the individuals. The society provides instruments,
which can be used in security this aim. Insurance is one of them.
In a capitalistic society too, there is a tendency to provide some
social security by the state under some schemes, where members
are required to contribute e.g. Social Security Schemes in U.K.
In India, social security finds a place in our constitution. Article 41
requires state, within the limits of its economic capacity and
development, to make effective provisions for security right to
work, to education and to provide public assistance in case of
unemployment, old age, sickness, and disablement and in other
cases of undeserved want. Part of the state's obligations to the
poorer sections is met through the mechanism of life insurance.

LIFE INSURANCE VERSUS OTHER INVESTMENTS

Most investment options make your money work harder, but

there are no substitutes to life insurance. Because only a life
insurance policy gives you both - risk cover against your life, as
well as returns on your money invested.

Life insurance allows long tem savings to be made in a relatively

painless manner because of the low and convenient investments
made through premiums. Moreover, it encourages 'forced thrift'
which means the insured is made to pay premiums and save
money, which he/she may not do in the regular course of life.

Life insurance cannot be compared with any other form of

investment as life insurance gives you a lifelong benefit and
returns on your money when it is most required.
 Insurance premiums are linked to age of the life insured and the
earlier you buy, the lower are the premium requirements. Besides,
the money stays invested for a longer time and thereby
maximizing your returns through the power of rupee
compounding. So, a life insurance policy is an ideal tool to gain
security and ensure savings.

Most importantly it provides you with that unique sense of

security and peace of mind that no other form of investment
provides.

In the event of death, the settlement is easy.

There is a certain amount of compulsion to go through the plan

of savings.

Creditors cannot claim the life insurance moneys. They can be

protected against attachments by courts.

There are tax benefits, both in income tax and in capital gains.

Marketability and liquidity are better. A life insurance policy is

property and can be transferred or mortgaged. Loans can be
raised against the policy

It is possible to protect a life insurance policy from being attached

by debtors.

It enhances the existing standards of living.

It helps people live financially solvent lives.

LAWS AND REGULATIONS

1. The Insurance Act 1938, which came into effect from 1st July
1939 and was amended in 1950 and later in 1999, is the principal
enactment relating to the business of insurance in India.

2. The constitution of the IRDA by the IRDA Act in 1999, the

Controller of Insurance was responsible for the administration of
the insurance Act. Since 1999 the IRDA has replaced the
Controller of Insurance .The Insurance Act vests the IRDA with
powers to
register insurance companies and also cancel their
registrations.
Monitor & certify the soundness of the term of life insurance
business.
Inspect documents of insurers.
Appoint additional directors.
Issue directions
Take over the management of an insurer and appoint
administrators

3. By the end of December 2006,the IRDA had issued more than

25 regulations and also issued several guidelines to insurers on a
variety of matters.

4. This Act was the basis for the establishment of the L.I.C as a
body corporate consisting of not more than 16 member appointed
by the Central Government, one of them being Chairman.

5. This Act passed in December 1999,provided for the

establishment of the IRDA to protect the interest of holder of
insurance policies to regulate promote and ensure orderly growth
of the insurance industry and for matters connected therewith or
incidental thereto. It also sought to amend the insurance Act, 1938
the life insurance corporation act, 1956 & the general insurance
business act, 1972.

6. The IRDA is a corporate body. It is advised by an Insurance

Advisory Committee consisting of not more than 25 members to
represent the interests of commerce, industry, transport,
agriculture, agents, intermediaries etc. It replaces the Controller
of Insurance to administer the provisions of the Insurance Act.

7. The Regulation framed by the IRDA in so far as they affect the

working of the agents.

8. Under this act, a consumer as an individual or along with other

individual or through a consumer organization can approach the
various forums prescribed under the Act for redress in case he is
not satisfied with goods or service provided.

9. The tax laws in India \have always encouraged people to save

through life insurance or other instrument by providing relief from
tax liabilities. The details provided herein are as on August 2007
when the course was being written. These could change at any
time through budget provision or otherwise. The agent should
keep himself up-to-date with changes.

10. Any sum received under a life insurance policy including the
bonus addition is exempt from income tax. That means that
income tax does not have to be paid on policy claim and surrender
amounts. This is subject to the premium being not more than 20%
of the SA on any policy during any year.
11. The income of an assessed is reduced by the aggregate of
amounts paid towards insurance premiums contribution to
Provident Fund or approved Superannuation Fund, National
Savings Certificates etc. up to a maximum of Rs.1 lakh. If
premium during any year under any policy exceeds 20% of SA
only 20% will be taken into account for this rebate.

12. Commuted values of pensions are exempt from income tax.

13. The wealth tax act exempts life insurance policies totally
provided premiums are payable for a period of 10 years or more.
If the policy term is less than 10 years, proportionate value of the
right or interest of the assesse in the policy will be exempted.

14. Insurance premiums paid under partnership or key man

insurances are allowed as expenses.

15. Section 6 of the Married Women Property Act provides that a

policy of insurance effected by any married man on his own life
and expressed on the face of it for the benefit of his wife &
children, shall be deemed to be a trust for the benefit of his wife &
children and shall not be subject to the control if the life assured
or his creditors or form part of his estate.

16. The Government of India ever since nationalization of the life

insurance business in 1956 has been concerned with the question
of providing life insurance cover for people in the rural areas and
in the weaker sections of society.

17. People below the poverty line are included in the expression
economically vulnerable or backward classes. The expression
other categories of person includes person with disability as
defined in the persons and disability act,1995 and who may not
be gainfully employed and also includes guardian who need
insurance to protect spastic persons with disability.

18. The IRDA Regulations 2005 provide for the transaction of both
general and life micro insurance products for the benefit of small
families comprising of husband, wife, dependant parents and a
maximum of 3 children. A general micro insurance product is
defined as a contract covering health insurance, hut, livestock or
tools or any personal accident either on individual or group basis.

An agreement that guarantees the payment of a stated

amount of monetary benefits upon the death of the insured. Risk
insurance intended as protection against the financial
consequences of the death of the insured person, which takes the
form of payment of a previously agreed lump sum or pension to a
beneficiary, if the insured person dies during the term of
insurance. In the case of pure life insurance, without any
endowment insurance component, no payments are due if the
insured person survives the term of insurance. Insurance is that
which provides protection against the economic loss caused by
the death of the person insured.

List of Insurance Companies Listed in Different Years

List of Life Insurance Companies

S.NO. Registration Date of Name of the Company
Number Reg.

1 101 23.10.2000 HDFC Standard Life Insurance Company Ltd.

2 104 15.11.2000 Max New York Life Insurance Co. Ltd.
3 105 24.11.2000 ICICI Prudential Life Insurance Company Ltd.
4 107 10.01.2001 Kotak Mahindra Old Mutual Life Insurance
Limited
5 109 31.01.2001 Birla Sun Life Insurance Company Ltd.
6 110 12.02.2001 Tata AIG Life Insurance Company Ltd.
7 111 30.03.2001 SBI Life Insurance Company Limited.
8 114 02.08.2001 ING Vysya Life Insurance Company Private
Limited
9 116 03.08.2001 Bajaj Allianz Life Insurance Company Limited
10 117 06.08.2001 MetLife India Insurance Company Ltd.
11 133 04.09.2007 Future Generali India Life Insurance Company Limited
12 135 19.12.2007 IDBI Fortis Life Insurance Company Ltd.
13 102 23.10.2000 Royal Sundaram Alliance Insurance Company Limit
14 103 23.10.2000 Reliance General Insurance Company Limited
15 106 04.12.2000 IFFCO Tokio General Insurance Co. Ltd
16 108 22.01.2001 TATA AIG General Insurance Company Ltd
17 113 02.05.2001 Bajaj Allianz General Insurance Company Limited
18 115 03.08.2001 ICICI Lombard General Insurance Company Limited
19 131 03.08.2007 Apollo DKV Insurance Company Limited
20 132 04.09.2007 Future Generali India Insurance Company Limited
21 134 16.11.2007 Universal Sompo General Insurance Company Ltd
22 121 03.01.2002 Reliance Life Insurance company Ltd
23 122 14.05.2002 Aviva Life Insurance Co. India Pvt. Ltd.
24 127 06.02.2004 Sahara India Insurance Company Ltd.
25 128 17.11.2005 Shriram Life Insurance Company Ltd.
26 130 14.07.2006 Bharti AXA Life Insurance Company Ltd.
27 133 04.09.2007 Future general India life Insurance Co.Ltd.
28 135 19.12.2007 IDBI Fortis Life Insurance Company Ltd.
29 136 08.05.2008 Canara HSBC Oriental Bank of Commerce Life
Insurance Company Ltd.
30 138 27.06.2008 Aegon Religare Life Insurance Company Ltd.
31 140 27.06.2008 DLF Pramerica Life Insurance Company Ltd.

List of General Insurance Companies

1 123 15.07.2002 Cholamandalam General Insurance Company Ltd.
2 124 27.08.2002 Export Credit Guarantee Corporation Ltd.
3 125 27.08.2002 HDFC-Chubb General Insurance Co. Ltd.
4 139 27.06.2008 Bharti Axa General Insurance Company Ltd.
5 141 15.12.2008 Raheja QBE General Insurance Co. Ltd
 INTRODUCTION OF
THE COMPANY

Future Generali is a joint venture between the India-

based Future Group and the Italy-based Generali Group. Future
Generali is present in India in both the Life and Non-Life
businesses as Future Generali India Life Insurance Co. Ltd. and
Future Generali India Insurance Co. Ltd.

Future Group
Future Group, led by Mr. Kishore Biyani, is positioned to cater to the
entire Indian consumption space. The Future Group operates through
six verticals: Future Retail (encompassing all lines of retail business),
Future Capital (financial products and services), Future Brands (all
brands owned or managed by group companies), Future Space
(management of retail real estate), Future Logistics (management of
supply chain and distribution) and Future Media (development and
management of retail media spaces). The groups flagship enterprise,
Pantaloon Retail, is Indias leading retail company with presence in
food, fashion and footwear, home solutions and consumer electronics,
books and music, health, wellness and beauty, general merchandise,
communication products, E-tailing and leisure and entertainment. The
company owns and manages multiple retail formats catering to a wide
cross-section of the Indian society and its width and depth of
merchandise helps it capture almost the entire consumption basket of
the Indian consumer. Headquartered in Mumbai (Bombay), the
company operates through 4 million square feet of retail space, has
over 150 stores across 35 cities in India and employs over 15,000
people. The companys revenues for FY 05-06 were Rs. 2017 crore
Founded in 1987, as a garment manufacturing company, Pantaloon
Retail forayed into modern retail in 1997 with the opening up of a chain
of department stores, Pantaloons. In 2001, it launched Big Bazaar, a
hypermarket chain, followed by Food Bazaar, a supermarket chain and
went on to launch Central, a first of its kind, seamless mall located in
the heart of major Indian cities. Some of its other formats include,
Collection I (home improvement products), E-Zone (consumer
electronics), Depot (books, music, gifts and stationaries), all (fashion
apparel for plus-size individuals), Shoe Factory (footwear) and Blue Sky
(fashion accessories). It has recently launched its entailing venture,
futurebazaar.com.
Some of the groups subsidiaries include Home Solutions Retail India
Ltd, Future Bazaar India Ltd and Converge Retail India Ltd, which leads
the groups foray into home improvement, entailing and
communication products, respectively. Other group companies include,
Pantaloon Industries Ltd, Galaxy Entertainment and Indus League
Clothing. It has also entered joint venture agreements with a number
of companies including ETAM group, Gini & Jony, Liberty Shoes, Staples
and Planet Sports, a company that owns the franchisee of international
brands like Marks & Spencer, Debenhams, Guess and The Body Shop in
India.
Future Capital Holdings, the groups financial arm, focuses on asset
management through real estate investment funds (Horizon and
Kshitij) and consumer-related private equity fund, Indivision. It also
plans to get into insurance, consumer credit and offer other financial
products and services. Future Groups vision is to, "deliver Everything,
Everywhere, Every time to Every Indian Consumer in the most
profitable manner." One of the core values at Future Group is,
Indianess and its corporate credo is Rewrite rules, Retain values.

GENERALI GROUP
Established in Trieste on December 26, 1831, Generali is an
international group present in more than 40 countries with insurance
companies and companies mostly operating in the financial and real
 estate sectors. Over the years, the Generali Group has reconstructed a
significant presence in Central Eastern Europe and has started to
develop business in the principal markets of the Far East, including
China and India.
Identity Card
Generali Group ranks among the top three insurance groups in Europe
and the 30th largest company in the Fortune 500 international ranking,
with a 2007 premium income of over 66 billions
High rating assigned by the international rating agencies: o A.M. BEST
A+ o Standard & Poors AA o Fitch AA o Moodys Aa3
It is present in more than 40 countries
It has over 50 million clients worldwide
It has 80,555 employees
It has over 398 billion of total assets under management

Vision, Values & Mission

Vision Statement:
"Pledged to provide financial security to all people & enterprises
through total insurance solutions"
Actively: We play a proactive and leading role in improving people's
lives through insurance.
Protect: We are dedicated towards managing and mitigating risks of
individuals and institutions.
Enhance: Future Generali is also committed to creating value.
People: We deeply care about our customer and our employee lives
and their future.
 Lives: Ultimately, we have an impact on the quality of people's lives -
wealth, safety, advice and service are instrumental in improving a
person's chosen way of life in the long term.

Values:
Respect: for all our stakeholders- employees, customers, for all rules
and regulations both internal and external.
Indianess: We understand India in all its diversity and different facets
and will use for our local understanding to respond to our specific
markets, design our products and craft our processes.
Deliver on the promise: we tie a long-term contract of mutual trust
with our people, customers and stakeholders; all of our work is about
improving the lives of our customers.
We commit with discipline and integrity to bringing this promise to life
and making an impact within a long-lasting relationship.
Value our people: We value our people, encourage diversity and
invest in continuous learning and growth by creating a transparent,
cohesive and accessible working environment. Developing our people
will ensure our Company's long-term future.
Live the community: We are proud to belong to a global Group with
strong, sustainable and long-lasting relationships in every market in
which we operate. Our markets are our homes.
Be open: We are curious, approachable and empowered people with
open and diverse mind-sets who want to look at things from a different
perspective.

Mission
First choice: Logical and natural action that acknowledges the best
offer in the market, based on clear advantages and benefits.
 Delivering: We ensure achievement striving towards better
performance.
Relevant: Anticipating or fulfilling a real-life need or opportunity,
tailored to local and personal needs and habits, perceived as valuable.
Accessible: Simple and easy to find, understand and use; always
available, at a competitive value for money.
Insurance solutions: We aim to offer and tailor a combination of
protection, advice and service.

Mall assurance Store

Big Bazaar
E zone
Food Bazaar
Furniture Bazaar
Home Town
KB Fair Price
 Pantaloons

Positioning & Objective

Positioning
Knowledge Organization with Leadership Approach
One Stop Total Insurance Solutions & Services Provider
Customer Centric Model embracing Passion, Convenience and Service
Excellence

Objective
To provide superior customer service through our knowledge-based
business partners and employees supported by innovative products
and services.

PEOPLE THAT MAKE THE DIFFERENCE

1. MR. G.N. BAJPAI- Chairman-Future Generali Vast experience in
capital markets and insurance industry; ex-chairman SEBI, LIC, recipient
of many awards including Outstanding contribution to the
development of finance from PM Manmohan Singh.
2. Dr. Kim Chai Ooi-Country Manager- Future Generali He is the
Country Manager of Future Generali. His previous assignments and
important career events include setting up Generali China Joint Venture
operations in 2001 and leading it towards achieving the status of
Chinas No. 1 Foreign Insurer in 2005.
3. MR. JAYANT KHOSLA-MD & CEO Future Generali Life An IIM
Ahmedabad alumnus having diverse experience of more than 23 years
in MNCs both in India and abroad, held leadership positions at India
DHL, Cadbury Schweppes, Coca Cola and Bharti Airtel
4. MR. G.N. AGARWAL- Chief Actuary-Future Generali Life 35 years
experience in Life Insurance & Investment. Earlier Executive Director
 (Actuarial) at LIC, currently President of Institute of Actuaries of India
since last 2 years.
5. DR. NIRAKAR PRADHAN, CIO- Future Generali Life PHD and FRM
certified, he has over 25 years experience in Banking and Investment
management both in India and abroad with SBI group

PRODUCTS OF FUTURE GENERALI INDIA

LIFE INSURANCE

Future Generali Assured Income Plan:-

Future Generali Assured Income Plan provides guaranteed returns on your

investments with added benefit of protection. You have 2 Premium
payment Options (11 pay and 15 pay). You get a guaranteed Benefit from
this plan for a term equal to the premium payment Term. Unlike other
traditional plans in the market, this plan is different in providing maturity
benefit. The returns in this plan is guaranteed. Death Benefit under this plan
is not given as Lump sum benefit. Death Benefit is paid as instalments for
the next 11 years and 15 years.

Eligibility Criteria for Future Generali Assured Income Plan

7 years for 11 year policy

Minimum entry age
5 years for 15 year policy

Maximum entry age 50 years

Minimum age at maturity 18 years

 Maximum age at maturity 65 years

Minimum premium Rs 35,000 per year

Key Features of Future Generali Assured Income Plan

Non-linked, Non-participating Endowment

Plan type
Scheme

Plan basis Single/Individual

11 years
Policy term
15 years

Premium payment term Equal to policy term

Ranges between 17.5 to 34.5 times the

Maturity benefit
annualised premium

Premium payment
Annual payment
frequency

Loans can be availed once the policy acquires

Loan
surrender value

Policies which have been in force for a

Surrender value minimum of 3 years are eligible for a
surrender value

Policies purchased through distance

Free look period marketing can be returned within 30 days
of purchase
 All other policies have a free look period of
15 days

Grace period 30 days

Revival is possible within two years of first

Revival/Renewal
unpaid due

Sum assured Depends on entry age and premium cost

Policy coverage Death Benefit, Maturity Benefit

Benefits/Advantages of Future Generali Assured Income Plan

Future Generali Assured Income Plan comes with a number of benefits, a

few of which are mentioned below.

Tax gains Policyholders are eligible for tax exemptions under Section
80C of the Income Tax Act.
Assured income Policyholders are entitled to an assured pay out after
premiums have been paid.
Maturity benefit A maturity benefit will be paid after the policy
matures. This benefit will be paid in annual instalments, for a period
equivalent to the policy term.
Your Benefits 11-year Term 15-year Term

Maturity Benefits A:11 annual instalments of 1.5 times A:15 annual instalments of 2
your annualised premium from the times your annualised premium
end of the 12th year to the end of from the end of the 16th year to
22nd year the end of 30th year
+ +
B:Additional Benefits at the end
 B:Additional Benefits at the end of
the 22nd year (based on age at entry)
Total Benefits 17.5 to 21 times of annualised
premium (depending upon the age
when you purchased the policy )
Option To Receive Available
Maturity Benefits In
Monthly Instalments
of the 30th year (based on age
at entry)
31 to 34.5 times of annualised
premium (depending upon the
age when you purchased the
policy)
Available

Death benefit The nominee will receive a death benefit in the event of
demise of policyholder. The Death Sum Assured shall be highest of the
following:
10 times annualised premium (excluding taxes and extra premiums, if any), or
105% of total premiums paid (excluding taxes and extra premiums, if any) as
on date of death, or
Maturity Sum Assured
In case of your unfortunate demise any time during the Policy Term, the Death
Sum Assured will be payable to your nominee as under:
Your Benefits 11-year Term 15-year Term

Death Benefits A: 11 annual instalments of 1.5 A: 15 annual instalments of 2

times your annualised premium.
The first instalment will be paid to
the nominee after the settlement
of claim and the remaining 10
instalments will be paid on each
subsequent death anniversary of
the Life Assured.
times your annualised premium.
The first instalment will be paid
to the nominee after the
settlement of claim and the
remaining 14 instalments will be
paid on each subsequent death
anniversary of the Life Assured.

+ +
B: Additional Benefits shall be
payable along with the last B: Additional Benefits shall be
annual instalment. payable along with the last
annual instalment.
 Total Benefits 17.5 to 21 times of annualised 31 to 34.5 times of annualised
premium (depending upon the premium (depending upon the
age when you purchased the age when you purchased the
policy) policy)

Auto cover Post the payment of 3 premiums, policyholders will be

eligible for auto cover, wherein they get an automatic cover of 1 year if
they are unable to pay the premium within the grace period.
Loan Policyholders can avail a loan against their policy, ensuring they
have a contingency plan to meet emergencies.

Working of Future Generali Assured Income Plan

Eligible individuals need to follow a few simple steps to activate this plan,
which is explained through the example of Mr.Ravi, an animation artist.
Jacob decides to buy this policy for himself on his 40th birthday. He chooses
a policy term of 15 years, paying an annual premium during this period. The
sum assured opted by him is Rs 10 lakhs.

Let us consider the following scenarios to understand how this Future

Generali Guaranteed plan works.

Scenario 1: Ravi pays the premium regularly, with the policy maturing after
15 years. In this case, he will receive 15 annual instalments equivalent to
two times the annualised premium paid by him. These instalments will be
paid from the 16th year onwards. In addition to this, he will also receive an
additional benefit after these instalments have been paid.
 Scenario 2: Ravi passes away 5 years after purchasing the plan. In this case,
his nominee will receive an immediate death benefit equivalent to two times
the annual premium paid. In addition to this, the nominee will also receive
annual payments for 14 years after his death.

Premium Payment
Policy term Premium payment Premium payment
term frequency

11 years 11 years Annual

15 years 15 years Annual

Riders

This plan doesnt come with any riders.

GST of 18% is applicable on life insurance effective from the 1st of July,
2017

Future Generali Assure Plus Plan:-

Securing the financial needs of our loved ones is a primary concern for most of us,
with the unpredictability surrounding life making it necessary to invest in a good
plan. Future Generali Assure Plus is a specialised product which offers an
insurance cover to ensure that the future of your family is secure, regardless of
what happens in life. This is a participating, non-linked endowment plan which
offers peace of mind and financial stability to individuals.
Eligibility Criteria for Future Generali Assure Plus

Minimum entry age 3 years

Maximum entry age 55 years

Minimum age at maturity 18 years

Maximum age at maturity 70 years

Minimum premium Rs 12,000 per year

Key Features of Future Generali Assure Plus

Plan type Participating, non-linked, endowment policy

Plan basis Single/Individual

15 years
Policy term 20 years
25 years

7/10/12 years for 15 year term

Premium payment term 10/12/15/17 years for 20 year term
12/15/17/20 years for 25 year term

A maturity benefit equivalent to the sum assured plus

Maturity benefit
all bonuses accrued will be paid
 Premium payment
Monthly, quarterly, half-yearly or yearly
frequency

Loan No loan facility available

Surrender value will be paid after policy has been in

Surrender value
force for a specific time period

Policies sold through distance marketing have a 30

Free look period day free look period
All other policies have a free look period of 15 days

30 days for quarterly, half-yearly or yearly payment

Grace period modes
15 days for monthly payment mode

A lapsed policy can be revived by paying all premiums

Revival/Renewal and any fine/interest. Revival is possible only within 2
years of first unpaid premium

Minimum Rs 1 lakh
Sum assured
Maximum Rs 5 crore

Policy coverage Death Benefit, Maturity Benefit

Benefits/Advantages of Future Generali Assure Plus

Some of the benefits of Future Generali Assure Plus are listed below.

Flexibility Individuals can choose a policy term which matches their needs,
having additional flexibility in terms of premium payment modes, premium
payment terms and the amount they wish to invest every year.
High sum assured One can avail cover to the tune of Rs 5 crore under this
policy.
 Tax benefits Policyholders are entitled to tax benefits under Section 80C of
the Income Tax Act.
Maturity benefits A maturity benefit equivalent to the sum assured plus all
accrued bonuses will be paid once the policy completes its term.
- In case the Life Assured survives till the end of the Policy Term, provided all due
premiums have been paid, the Sum Assured plus accrued bonus and Terminal
Bonus, (if any) will be payable. The policy terminates on the payment of Maturity
Benefit.
Death benefit In the event of unfortunate demise of a policyholder during the
policy term, his/her nominee will receive a death benefit comprising the death
sum assured and all bonuses accrued.
In case of an unfortunate demise of the Life Assured during the Policy Term,
provided all due premiums have been paid till the date of death, the benefit
payable to the nominee is the higher of:

- Death Sum Assured plus vested bonus plus Terminal Bonus, if any.
- 105% of total premiums paid (excluding Goods & Services Tax, extra

premiums, if any).
Where Death Sum Assured is higher of:

- Sum Assured, or
- 10 times the annualized premium if age of the Life Assured is less than 45

years or 7 times the annualized premium if age of the Life Assured is greater
than or equal to 45 years
Discounts Individuals who opt for a high sum assured are entitled to discounts
on their premiums.
Bonus Each policy is eligible to earn a bonus, thereby offering higher returns.
Working of Future Generali Assure Plus
Let us consider the example of Mr. Rakesh to understand the working of this plan.
Rakesh is a software engineer working for a reputed firm. He is married and has
two children aged 4 and 5 year. He decides to opt for this plan on his 40th
birthday, choosing a 20 year policy, with the sum assured being Rs 25 lakhs. He
pays an annual premium for 10 years towards this policy.

Let us consider the following scenarios to understand how this Future Generali
life plan works.

Scenario 1: Rakesh passes away 15 years after buying the policy. All premiums
were paid by him before his death. In this case, his nominee will receive a death
benefit which is equal to the death sum assured plus all bonuses accrued until
death.

Scenario 2: The policy matures after 20 years, with Rakesh and his family leading
an eventful life. In this case, he will receive a maturity benefit which includes the
sum assured and bonuses accrued over the policy term.

Premium Payment

Premium Payment
Policy Term Premium Payment Frequency
Terms

Yearly, half-yearly, quarterly or

15 years 7, 10 or 12 years
monthly

Yearly, half-yearly, quarterly or

20 years 10, 12, 15 or 17 years
monthly
 Yearly, half-yearly, quarterly or
25 years 12, 15, 17 or 20 years
monthly

Riders
No riders available with this plan.

GST of 18% is applicable on life insurance effective from the 1st

of July, 2017

UNIT LINK INSURANCE PLAN

FUTURE GENERALI
Easy Invest Online Plan

A Unit Linked Insurance Plan (ULIP) is a product offered by insurance companies

that, unlike a pure insurance policy, gives investors both insurance and
investment under a single integrated plan.
A Unit Link Insurance Plan is basically a combination of insurance as well as
investment. A part of the premium paid is utilized to provide insurance cover to
the policy holder while the remaining portion is invested in various equity and
debt schemes. The money collected by the insurance provider is utilized to form
a pool of fund that is used to invest in various markets instruments (debt and
equity) in varying proportions just the way it is done for mutual funds. Policy
holders have the option of selecting the type of funds (debt or equity) or a mix of
both based on their investment need and appetite. Just the way it is for mutual
funds, ULIP policy holders are also allotted units and each unit has a net asset
value (NAV) that is declared on a daily basis. The NAV is the value based on which
the net rate of returns on ULIPs are determined. The NAV varies from one ULIP to
another based on market conditions and the funds performance.

Maturity benefit:-
On maturity of the policy, the Fund Value (market value of the investment) is paid

Let's understand this benefit with the help of an example:

Ankit aged 35 years has purchased a Future Generali Easy Invest Online Plan for
a Policy Term of 15 years. He decided to pay 50,000 as annual premium for 15
years. His Sum Assured coverage would be
5, 00,000. The illustration below shows his Maturity Benet.

Note:
Settlement Option is an option to receive the proceeds of Maturity Benefit in
periodical payments, instead of Lump Sum.
Target Group
For customers looking for a tax saving systematic investment solution which
helps to get market linked returns along with benefits of insurance
 Death benefit:-
Higher of:
Sum Assured less deductible Partial Withdrawals, if any, OR

Fund Value under the policy OR

105% of the total premiums paid till date of death

Let's understand this benefit with the help of an example:

Ankit aged 35 years has purchased a Future Generali Easy Invest Online Plan for
a Policy Term of 15 years. He decided to pay 50,000 as annual premium for 15
years. His Sum Assured coverage would be
5, 00,000. In case of Ankits unfortunate death after he has paid 5 premiums,
the below illustration shows what his nominee gets:

Note: Deductible Partial Withdrawals are Partial Withdrawals made 2 years prior
to the date of death of the Life Assured, in case of death before 60 years. In case
of death after attaining 60 years, Partial Withdrawals made under the policy two
years before attaining 60 years as well as all Partial Withdrawals after attaining
60 years will be considered as deductible Partial Withdrawal.
Target Group
For customers looking for a tax saving systematic investment solution which
helps to get market linked returns along with benefits of insurance
Loyalty Addition:-
Staying invested throughout the Policy Term will help you get Loyalty Additions
as a percentage of average Fund Value. All you need to do is to ensure that you
have paid all your due premiums on time and your policy is active on the date of
payment of Loyalty Additions. Loyalty Additions shall be added to the Fund Value
on the applicable Policy Anniversary. However, the last (nal) Loyalty Addtion
shall be payable on date of maturity.

Policy Term

Loyalty Additions as % of average Fund value payable on the last 5 Policy Anniversaries.

For the purpose of calculation of Loyalty Additions, except the last Loyalty
Addition, the average Fund Value shall be simple average of Fund Values on the
last day of previous eight calendar quarters, prior to the Policy Anniversary in
which the Loyalty Additions are payable.
For the purpose of calculation of last loyalty addition, the average fund value
shall be simple average of fund values on the last day of previous eight calendar
quarters, prior to the date of Maturity.
Target Group
For customers looking for a tax saving systematic investment solution which
helps to get market linked returns along with benefits of insurance
 ELIGIBILITY:-

PARAMETER CRITERION
Entry Age (as on last Minimum: 0 years
birthday) Maximum: 50 years
Maturity Age Minimum: 18 years
Maximum: 70 years
Premium to be paid Minimum:
Annual Mode - 40,000
Monthly Mode - 4,000
Maximum: No Limit
Policy Term 10 to 20 years
Premium Payment Term Same as Policy Term
Sum Assured Sum Assured = 10 x Annual Premium
Premium Payment Annual/Monthly. Monthly premiums can only be paid by
Frequency Auto Pay System. Auto Pay methods of payment are
available in all premium modes.

OPTION OF FUNDS
Insurers offer policyholders a choice of funds in which their moneys may be invested
like
Equity Funds: In this type funds, sometimes also called growth funds, there would
be more investments in equities which are shares/stocks traded in the stock market.
Debt Funds: In this type of funds, also called bond fund, the investments are
primarily in Government and Government guaranteed securities and such safe debts
and other high investment grade corporate bonds.
 Money Market Funds: In this type of fund, sometimes also called liquid fund, the
investment may be more in short-term money market instruments such as treasury
bills, commercial papers, etc.
Balanced funds: In this type of funds, the investments are in both equity as well as
debts.
All these funds will remain invested in a mix of instruments, the differences being
mainly in the proportions in various kind of instruments. One fund may have more of
debt instruments, which guarantee a certain fixed return, while another fund will
have a larger proportion of equity shares, which may appreciate in value more than
debt instruments. Insurers use different names to differentiate between the funds.
Insurers allow policyholders to switch their moneys from one fund to another during
the term of the policy. Some insurers charge a fee for every such switch. Some others
allow a certain numbers of switches free and then charge a fee for every switch
thereafter.

The things we must know about 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.

- Charges of ULIPs:

Policy/ Administration Charges:- The Policy Administration Charges expressed

as a percentage of premium is 0.1% of Annualised Premium per month subject
to a minimum of 50 p.m. and maximum of 500 p.m. The Policy Administration
Charges given above are deducted from the unit account on monthly basis at
the beginning of each monthly anniversary (including the policy commencement
date) of a policy by cancellation of units.
Mortality Charges:- These are charges to provide for the cost of insurance
coverage under the plan. Mortality charges depend on number of factors such as
age, amount of coverage, state of health etc.
 Premium Allocation charges:-The Premium Allocation Charge as a percentage
of Annualised Premium is as per the table below: Premium Allocation Charges
are deducted from premiums paid and the premiums, net of premium allocation
charges, are used to purchase units in any of the ve underlying funds.

Fund Management Charges:- Fund Management Charges are deducted on a

daily basis at 1/365th of the annual charge in determining the unit price.

FUND MANAGEMENT CHARGE (% PER ANNUM)

Future Income Fund 1.35%

Future Balance Fund 1.35%

Future Apex Fund 1.35%

Future Opportunity Fund 1.35%

Future Maximise Fund 1.35%

Surrender Charges:- A surrender charge may be deducted for premature partial

or full encashment of units wherever applicable, as mentioned in the policy
conditions. Insurers levy certain charges if the policy is surrendered
prematurely. This levy varies between insurers and could be around 75 per cent
in the first year, 60 percent in the second year, and 40 per cent in the third year
and nil after the fourth year.
PARTIAL WITHDRAWAL CHARGE:-Four free Partial Withdrawals are allowed
each policy year. Subsequent Partial Withdrawal in a policy year shall attract a
charge of 200 per withdrawal.
Service Tax Deductions
 Before allotment of the units the applicable service taxis deducted from the risk
portion of the premium.
Risk charges:
The charges are broadly comparable across insurers.
Asset management fees:
Fund management charges vary from 0.6 per cent to0.75 per cent for a money
market fund, and around 1.5 per cent for an equity-oriented scheme. Fund
management expenses and the brokerage are built into the daily net asset
value.
Top-ups:- Usually attracts 1 per cent of the top-up amount. Top-up normally
goes directly into your investment account (units) unless you specifically ask for
an increase in the risk cover.

COMPARISION OF ULIPs WITH TRADITIONAL PLANS

Unit Linked Insurance Plan:

ULIPs have gained high acceptance due to attractive features they offer. These
include:

Flexibility
o Flexibility to choose Sum Assured.
o Flexibility to choose premium amount.
o Option to change level of Premium /Sum Assured even after the plan has
started.
o Flexibility to change asset allocation by switching between funds
Transparency
o Charges in the plan & net amount invested are known to the customer
o Convenience of tracking ones investment performance on a daily basis.
Liquidity
o Option to withdraw money after few years (comfort required in caseof
exigency)
o Low minimum tenure.
o Partial / Systematic withdrawal allowed
Fund Options
o A choice of funds (ranging from equity, debt, cash or a combination)
o Option to choose your fund mix based on desired asset allocation
 Traditional Plans:

Point of difference ULIP Traditional Policy

Investment Market related (May be IRDA? Determined

stock market or debt investments
market)
Transparency in costs Yes No

Flexibility in payment Yes No

Assured Bonus No Yes

Assured Sum on survival No Yes

Option to increase Yes No

investment/premium
These are the oldest types of plans available. These plans cater to customers
with a low risk appetite. Some of the common features of traditional plans are:

Steady Investment
o Major chunk of investible funds are in debt instruments
o Steady and almost assured returns over the long term
Features
o Death benefit is Sum Assured + guaranteed & vested bonus
o Helps in asset creation as they are for a long tenure
o Premium to Sum Assured ratios are fixed for each plan and age.
o Generally withdrawals are not allowed before maturity.

Comparison of ULIPs and Traditional Policy

ULIPs are better than traditional policies in following respects:

Until a couple of years ago, when ULIPs were a rare commodity, nobody knew
how life insurance companies charged policyholders for expenses. And nobody
seemed to want to know either, and then came the ULIPs with good intentions
to make policyholders aware of how much they would pay as expenses. But that
move backfired. Policyholders were taken aback by the high amount of fees that
ULIPs charged.
While the charge structure on ULIPs is something that is open to debate, the
issue is that ULIPs alone cannot be isolated. Traditional policies too charge high
administrative and management expenses. In ULIPs, the first year charges range
from 20-70%, one does not know how much traditional policies charge.

This can have a bearing on returns as well. A ULIP may charge you upfront but
thereafter, all the returns on the fund are yours while a traditional policy may
charge less but share a smaller portion of returns with you.

So if you were substituting a traditional endowment with a ULIP, you would be

better off with the latter since you would know your charges and your returns.

RESEARCH METHODOLOGY

Research methodology
Research is common parlance refer to a search of knowledge. One can also
define research as a scientific and systematic search for pertinent knowledge or
information on specific topic.

According to Redman and Mary

Research is a systematic effort to gain new knowledge.

Methodology forms a core of all research study. It refers to the procedure for
the collection of data & its analysis. This chapter deals with the various
methodological details in the present study. The methodology of the present
investigation includes the following steps

1) OBJECTIVE OF THE STUDY

To find out the knowledge of ULIPS among the customers of Future Generali
Life Insurance Co. Ltd.

2) RESEARCH DESIGN
A research design is the arrangement of the conditions for collection & analysis
of data. Actually it is the blue print of research project. The research design is as
follows Exploratory Research

3) SOURCES OF DATA
Sound marketing research depends upon the existence of facts or directly
related to problem studied. To fulfil aforesaid objectives of the study, the
information gathered from the primary as well as secondary sources & the same
is also used.
A. Primary Sources: I have used Primary Sources for finding out customers
knowledge. The following sources are used.
Method of obtaining data: Questionnaire
B. Secondary Sources: I have used Secondary Sources for making People aware
about unit linked insurance plans. The following sources are used for gathering
information.
1) Website
2) Broachers

4) SAMPLE DESIGN
Sample design refers to the technique as the procedure that a researcher would
adopt in selective item for the sample.

5) DATA COLLECTION TECHNIQUE

The data was collected through close-ended questionnaire.
1. Questionnaires: The data was collected through questionnaire, in which
different questions were asked.
2. Telephone Calling: By making telephonic calls to the respondents
appointment with them is being taken first and then I meet them personally at
the appointment time and then I give them the questionnaire and after filling
the questionnaire they give me the filled questionnaire.

6) AREA OF THE STUDY

The study had been conducted in GURGAON CITY

7) SAMPLING TECHNIQUE
For the purpose of my study I had used: Convenient Sampling.
 DATA ANALYSIS AND INTERPRETATION

1. INCOME LEVEL (ANNUALLY)

INCOME LEVEL NO. OF CUSTOMERS PERCENTAGE
Below 2 lakh 24 30
2-5 lakh 48 60
5 lakh & above 8 10

INCOME LEVEL (ANNUALLY)

70
60
50
40
30
20
10
0
Below 2 lakh 2-5 lakh 5 lakh & above

NO. OF CUSTOMERS PERCENTAGE

Interpretation: It shows that 30% customers are within the income group of
below 2 lakh, 60% are in the income group of 2-5 lakh, 10% in 5 lakh. This graph
shows about income level of the people and most of the people earn between
2-5 lakh annually.

2. How did you come to know about of future generali life insurance Company limited?
PARTICULAR NO. OF CUSTOMERS PERCENTAGE
Advertisement 8 10
Agent 64 80
Friend 8 10
 NO. OF CUSTOMERS PERCENTAGE

90
80
70
60
50
40
30
20
10
0
Advertisement Agent Friend

Interpretation: It shows that 80 % customers were come to know about ULIPs

through agents and 10% through advertisement and friends. Company does not
invested in promotional activity. They sell their product through agents.
3. Which ULIP Product Of The Company Have You Taken? Please Provide Name
Of The Plan?
ULIP PRODUCT NO. OF CUSTOMERS PERCENTAGE
Future secure 8 10
Future income 10 12
Future balance 48 60
Future maximize 14 18

ULIP Product
70
60
50
40
30
20
10
0
Future secure Future income Future balance Future maximize

NO. OF CUSTOMERS PERCENTAGE

Interpretation: It shows that 60% of customers prefer future balance because it
gives better return in the future and another fund prefer by customers is future
maximize because in the more risk more return.
4. Do you know about the key features of ULIP which you have taken?

PARTICULAR NO. OF CUSTOMERS PERCENTAGE

Yes 52 65
No 28 35

70

60

50
Yes
40

30
No
20

10

0
NO. OF CUSTOMERS PERCENTAGE

Interpretation: It shows that only 65% customers are know about the key
features of ULIP which they have taken and 35% customers are dont know
about key features.
5. Do you know about the administrative charges & other charges in ULIP?
PARTICULAR NO. OF CUSTOMERS PERCENTAGE
YES 60 70
No 20 25

80
70
60
50 YES
40
No
30
20
10
0
NO. OF CUSTOMERS PERCENTAGE
Interpretation: It shows that only 75% customers are know about the
administrative charges and other charges in ULIP which they have taken and
25% customers are dont know about it.
6. How long do you intend to remain invested in ULIP?

PARTICULAR NO. OF CUSTOMERS PERCENTAGE

3 years 20 25
Between 3-5 years 40 50
Between 5-10 years 15 19
Above 10 years 5 6
60

50

40
NO. OF CUSTOMERS
30

20 PERCENTAGE
10

0
3 years Between 3-5 Between 5-10 Above 10 years
years years

Interpretation: It shows that 50% people are interested to invest their money
between 3-5 years for the better return, according IRDA people can withdraw
their money 3 years so 25% customers are interested to invest money in this
duration.
7. Rate the factor that you consider before investing in ULIP?
PARTICULAR NO. OF CUSTOMERS PERCENTAGE
Flexibility 8 10
Return 48 48
Tax Saving 16 20
Risk Cover 8 10
 60

50

40
NO. OF CUSTOMERS
30

20
PERCENTAGE
10

0
Flexibility Return Tax Saving Risk Cover

Interpretation: It shows that 48% customers interested in ULIP because of the

return, 20% people invest money because of the tax saving, and 10% people
invest money because of the flexibility and risk cover.

8. After sales service?

PARTICULAR NO. OF CUSTOMERS PERCENTAGE

Yes 68 85
No 12 15

90
80
70
60
50
40 Yes
30
No
20
10
0
NO. OF CUSTOMERS PERCENTAGE

Interpretation: It shows that 85% customers satisfy after sales Service Company
switch the fund according to the customers preference, and solve the problem
time to time, and give details to customers on the maturity date.
 SWOT ANALYSIS
STRENGTHS:
The strengths are:
Future Generali is the third largest player in the insurance industry in India
Generali is a 176 years old company (founded in Italy)
The Future Group operates through five verticals:
1. Future Retail
2. Future Capital
3. Future Brands
4. Future Space
5. Future Logistics
6. Future Media

Generali is an international group present in more than 40 countries

with insurance companies

WEAKNESSES:
The weaknesses are:
Some customers are not satisfied with the service of Future Generali
Only 24 branches all over India
High insurance-period duration
High premium
Low awareness of Future Generali in rural areas

OPPORTUNITY:
The opportunities are:
Huge opportunity in insurance market.
Better products as compared to other industries.
Due to increase in literacy rates, literate people prefer Future Generali.
Future Generali gives opportunity to other businesses to grow in the market.
THREATS
The threats are:
Tough competition from LIC, ICICI, BAJAJ ALLIANCE, HDFC SLIC and BIRLA
SUNLIFE
Due to low premium, rural markets prefer LIC
Threat for Future Generali because over 12 new companies are entering the
market Currently, HDFC SLIC is the 7th player in the market, and the major
threat is to sustain that position in the face of competition

CONCLUSIONS

1. From income analysis we can conclude that most of customers are belong to high income
group which is beneficial for the company.
2. 80% customers were come to know about the company through agents which shows
that most of customers were get attracted through agents.
3. Return objective analysis says that most of customers give very importance to return.
4. Tax Saving is also very important for customers.
5. From the ULIPs analysis we can conclude that most of customers have Future Balance and
Future Maximise which shows that these products are more demandable and popular
among customers.
6. From the analysis of key features of ULIP we can conclude that 35 percentage customers
dont know about the key features of ULIP which they have taken, which shows customers
carelessness about their own product.
7. Fund analysis says that approx. 75% customers know the different kinds of funds available
in their plan, it so because investment is always made by customers own choice for the
funds.
8. Many customers have knowledge about administrative charges and other charges.
 SAMPLE QUESTIONNAIRE

Please (Tick Any One)

1. Do you have knowledge about insurance?

No knowledge Below Average Average Good

2. Do you think insurance is necessary?

Yes No Cant Say

3. How do you think insurance as a saving/investment option?

Not Good Good Very Good

4. Where do you prefer to invest your money?

Bank MF/Share Market Insurance

5. What type of insurance do you think is good?

Short Term (less than 5 years) Long-Term (greater than 5 years)

6. Do you have any insurance policy?

Yes No
7. What do you expect in terms of benefit from your insurance policy?

Safety of money invested Return Risk covered

Questionnaire

Name: __________________________
Age: ____________________________
Occupation: Private________ Public___________
Business________ Others___________
1. Income level (annually)
Below 2 lakh______
Between 2-5 lakh______
5 lakh & above_________
2. How Did You Come To Know About Of FUTURE GENERALI LIFE
INSURANCE CO. LTD.?
Advertisement_________ Agent________ Friend__________
3. Which ULIP Product Of The Company Have You Taken? Please Provide Name
Of The Plan?
Future Secure__________ Future Income_____________
Future Balance__________ Future Maximise____________
4. Do You Know About The Key Features Of ULIP Which You Have Taken?
Yes____________ No____________
5. Do You Know About The Administrative Charges & Other Charges In ULIP?
Yes_____________ No_____________
6. How Long Do You Intend To Remain Invested In ULIP?
3 years______________ between 3-5 years________
Between 5-10 years________ Above 10 years_________
7. Rate The Factor That You Consider Before Investing In ULIP?
Flexibility__________ Returns______________
Tax Saving_________ Risk cover___________
8. After Sales Service?
Yes______________ No___________________
Insurance Glossary
Insurable Interest:An insurance term referring to the relationship between apolicyh
older and the potential beneficiary

Insurance: Guarding against property loss or damage making payments in the form of
premiums to an insurance company, which pays an agreed-upon sum to the insured in
the event of loss.

Insurance Claim: A claim for reimbursement from the insurance company when the
insured event is occurred.

Insured: The Policyholder

Insurer: The insurance company

Switching: Liquidating a position and simultaneously reinstating a position in another future

contract or fund.

Allocation Rate: The percentage of premium which is to be invested in market

after deducting initial charges.

Accident Benefit: An add-on with a life policy. It compensates a policyholder in the

event of death or injury by accident.

Annuity:An investment option that makes a series of regular payments to an individual

in exchange for a premium or series of premium.
Bonus: The amount paid as return in a with-profit policy. The bonus expressed
as percentages of the sum assured, is declared every year.

Compound Interest: Interest compounded on principal plus interest accrued duringthe

previous periods of the investment

Corpus: The amount of money available with a scheme for investing. If

Already invested, the corpus is the current value of the schemes portfolio.

Cover: It refers to the amount of insurance.

Critical Illness Rider: A rider that provides a policyholder financial protection in
the event of a critical illness.

Death Benefit: The amount payable to the nominee on death of policyholder.

The amount paid is the sum assured plus benefits applicable (if any) less outstanding loans.

Deferred Annuity:An annuity plan where the first annuity payment becomesp
ayable after a chosen period that exceeds one year.

Endowment Plans: An insurance that provides a policyholder risk cover and

some return on investment. Usually suitable for the risk-averse

Equity: The actual ownership interest in a specific asset or group of asset.

Liquidity: The quality of assets that can be easily and quickly converted into cash
without any loss, or significant loss in value.
Lock-in-period: The period of time for which investment made in as
investment option cannot be withdrawn.

Market Value: The monetary value an asset will fetch if sold in the market today.

Maturity Date: The date on which a policy term comes to an end.

Net Asset Value (NAV): The simplest measure of how a scheme is

performing, it tells how much each unit of it is worth at any point in time. A
schemes NAV is its net assets (the market value of the financial securities
it owns minus whatever it owes) divided by the number of units it has issued.

Nominee: The person(s) nominated by the policyholder to receive the policy

benefits in the event of his death.

Riders: Additional covers that can be added to a life policy, for a cost.

Nominee: Any person to who surrender benefit is to be given in case of death.

Beneficiary: The person to whom benefits is paid.

Market: Share Market.

Net Asset Value (NAV): The price or value of one unit of a fund. It is calculated
by summing the current market values of all securities held by the fund, adding
in cash an any accrued income, then subtracting liabilities and dividing the result
by the number of units outstanding.

Policy: The legal document issued by an insurance company to a policyholder

terms and conditions of an insurance contract.

Policy term: The period for which an insurance policy provides cover.

Premium: The amount paid by the insured to the insurer to buy cover.

Sum assured: The amount of cover taken under a life insurance policy,
it is the minimum that will be paid on death of the policyholder during the policy term.

Surrender value: The amount payable by the insurer to the owner of an investment-
based plan in case he opts to terminate the policy after three years (the mandatory lock-in-
period).

Survival Benefit: The amount payable to a policyholder under an investment-based plan

if he survives the policy term.

Vesting Date: It is a date signifying a milestone in a policy. In pension

plan it is a date from which the policyholder starts receiving pension.

With-profit-policy: An insurance plan in which the policyholder gets a share

of the insurers profit (in the form of guaranteed additions/bonus) along with the Sum
Assured.
Assurance: To ensure an event is which is certain to happen.

Risk: Often defined as the standard deviation of the return on total investment.
Degree of uncertainty of return on an asset.
Returns: The change in the value of portfolio over an evaluation period, including any
distributions made from the portfolio during that period.

GDP: The market value of goods and services produced over time, generally one year, in the
country.

Top-Ups: One time investment made above and over regular premium.

Portfolio: A group of securities in a common account. The term is used as a

synonym for fund.

Mortality Charges: Charges deducted against providing life cover.

Fund value: Net Assets Value on particular date and multiplied by number of
units available in the fund.

Redirection: A facility by which investor can redirect his future

premium in different selection of funds.

Lapse: The temporary termination of policy due to inability to pay

premium within grace period.

Revival: Amount charged to renew the lapsed policy.

BIBLIOGRAPHY AND REFERENCES

BOOKS:

Financial Management, I M Pandey

Marketing of Insurance Products, V K Badya, Rustagi
publishers
Life Insurance (Insurance Institute of India)

WEBSITE:

www.futuregenerali.in
www.insurance.ind.com
www.irda.org
www.insuranceworld.com