A project on Customer Relationship Management

With respect to
IDBI Federal Life Insurance Company Limited

SIP project report submitted in partial fulfillment of the requirements for the
PGDM Programme

By
Abhijit Kundu
Roll: 2013002

Supervisors
1. Company Guide:
Mrs. Shanthi Yagyanath,
Asst. Branch Head,
IDBI Federal Life Insurance Co. Ltd.

2. Faculty Guide
Dr. Vipul Kumar Singh
 Acknowledgements

I would like to express my sincere gratitude to my company guide Mrs C. Shanthi Yagyanath,
Asst. Branch Head, IDBI Federal Life Insurance Company, Coimbatore for guiding me
throughout my summer internship and research project. I could not have done this work without
her help and inspiration. I also want to thank Jaya Mam and Sunitha Mam for their constant
support throughout my project. I once again thank IDBI Federal Life Insurance Co. Ltd. for
giving me the opportunity of doing the internship.

I would then like to thank my faculty guide, Dr. Vipul Kumar Singh, for all his valuable inputs
and constant support towards me throughout my internship. I also want to thank Institute of
Management Technology, Nagpur for providing me the opportunity to learn outside the
classroom. It was a great learning experience for me.

I would also like to thank all my friends for their constant support and valuable suggestions. Last
but not the least, I would like thank all the people who has participated in the survey contacted
by me and for their valuable suggestions to improve myself.

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 Table of Contents

Contents Page No

Executive Summary 3-4

1. Introduction 5

2. Introduction to Industry 6-10

3. Company Profile 11-12

4. Products in Brief 13

5. Customer Relationship Management 14-15

6. Research Methodology 16

7. Data Analysis 17-26

8. Findings 27

9. Recommendations 28

10. Conclusion 29

11. References 30

Questionnaire 31-32

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 Executive Summary

My summer internship in IDBI Federal Life Insurance as a part of the PGDM program in
Institute of Management Technology, Nagpur was very helpful as it gave me the first experience
of the corporate world. My work during internship was to sell policies as well as to do a project
simultaneously. My project was ‘Customer Relationship Management with respect to IDBI
Federal Life Insurance Co. Ltd.’ Customer Relationship Management in insurance sector is the
integration of sales, marketing, service, process, people, technology and strategy to maximize
customer base, maintain relationships, improve customer retention and loyalty of the customers.
So I tried to gather some insights through my project which can be helpful to understand the
company strategies and provide suggestions.

I collected primary data for the project. I requested the people in my surroundings to fill the
survey questionnaire made by me and gathered responses of 100 people who are mostly based in
West Bengal. I have also tried to build a relationship between the people and IDBI Federal while
taking the survey.

The result of the project is the outcome of the analysis of collected primary data through the
survey. The data collected through the survey was analyzed by the help of a statistical tool called
as Statistical Package for Social Sciences. The analysis was done to find what influence the
customers to buy insurance policies and various other factors to improve relationship with the
customer.

The internship also helped me to understand how an insurance company runs its business. The
success of an insurance company largely depends on their agents as the insurance policies are not
bought, they are sold. The success also depends on the advertisements and the design of the
policy offered by the company. It is very important to know the mindset of the customer before
introducing the customer to the insurance policy. Having a better understanding of the mindset of
the customer will help to main a good relationship with the customer. A good understanding of
the customer will help to discover the preferences or need of the customer. So it will be easy to
introduce the policy as per the requirement of the customer.

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While working in the internship period some difficulties also have been faced by me. They are:

 Insurance sector has a large no of competitors. It is very difficult to differentiate between

the products offered by us and the products offered by the different companies.
 Time is a big factor in this sector. Target customers are too busy to give time to the
agents.
 The requirement of each customer is different. So it is difficult to satisfy the need of the
customers through the existing policies. This also shows the importance of the design of
the policy.

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1. Introduction
1.1 Purpose:
The project with respect to IDBI Federal Life Insurance Co. Ltd. is being done as a part of
summer internship program of Institute of Management Technology, Nagpur. This project is
required for the successful completion of the PGDM program of the institute.

1.2 Scope of Study:

The focus of the study is to know the customer perception about IDBI Federal Life Insurance.
The study also aims to know the customer mindset and perception towards insurance policies.
The data is collected from different parts of West Bengal. The study also focuses to know the
possible ways to maintain a long term relationship with the customers.

1.3 Objective of the Project:

 To maintain relationship between customers and IDBI Federal Life Insurance.
 To have better understanding of customer mindset.
 To know the features considered by the people while taking an insurance policy.
 Segmentation of customer on the basis of various factors.

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2. Introduction to the Insurance Industry

2.1 What is insurance?

In the simple terms, insurance means you pay a lump sum amount to get a leverage or protection
against sudden unpredictable incident. In case of any unexpected misfortune insurance company
can help to survive the distressful situation if you are insured.

There has several kind of insurance. A person can have life insurance, health insurance, property
insurance and many more. This protection is for the other people- people dependent upon you for
one thing or another. Property insurance is the protection procurement against any damage to
your home items like unexpected loss under floods, earthquake, fire or other natural calamities.
Insurance is actually the fuel, allowing the powerful countries (like USA) economic engine to
keep running. Insurance not only provides protection to the person insured, but lends security to
all and everybody near the person. The premium amounts collected periodically in insurance
helps to float the economy, and at same time ensure that banks have enough moving cash. The
liquidity in the market help to keep running insurance and other industries. Insurance is a mutual
interest between the person and the bank. The insured person gets back complete recovery plan
and coverage in case of any kind of accident.

2.2 Industry Overview

Insurance sector in India is a flourishing industry. The industry consist of both Govt. and private
sector companies. The sector which stood at a strong US$ 72 billion in 2012 has the potential to
grow to US$ 280 billion by 2020. The favorable regulatory environment which guarantees
stability and fair play in India has helped in the growth of the industry. This environment has
given rise to an insurance market which encourages foreign investors to tap into the sector’s
massive potential. After the liberalization in the insurance sector in 2000, Indian Govt. opened
the market for private companies. This helped the sector to grow rapidly. The competition in the
sector increased day by day. As a result of this competition service provided to the customers
improved significantly and customer also have an opportunity to choose the suitable policy from
a long range of products available in the market.

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The health of the insurance sector reflects the economy of a country. Insurance sector generates
long-term funds for infrastructure development and also increases country’s risk-taking capacity.
So booming insurance industry has a significant part in the growth of the Indian economy. The
consistent growth of the insurance sector is dependent on few factors. Some of the factors are:

 Distribution channels: The cost and efficiency of the various distribution strategies used
by insurance companies are significant to the success in their business.
 The main objective of the companies to offer a broad range of products to a wide range of
population is significantly effective for the growth of the insurance sector.
 Consumer needs: The growth of the Indian insurance industry can be attributed to
innovation in product and dynamic distribution channels. The vibrant publicity and
promotional campaigns run by insurance companies also have significant contribution in
the growth. Product delivery manner and products benefits have drawn the customer and
the companies closer to each other.

Health insurance is also growing in India. Currently, health insurance caters for 10 per cent of
the overall US$ 30 billion healthcare expenditure in India. So it is clearly visible that there is
plenty of scope for players in this area.

The life insurance segment contributes about 4 per cent to India’s gross domestic product (GDP)
in terms of total premiums underwritten annually. In India, there are 23 private companies in the
segment. Life Insurance Corporation (LIC), which is owned by state, dominates the field.
According to Insurance Regulatory and Development Authority (IRDA) the market share of LIC
is about 71 per cent of the insurance market.

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 Figure: 1 Market share of major companies in terms of total life insurance premium collected

2.3 Key Statistics

 India’s life insurance segment collected new business premiums worth Rs 11,742.7 crore
(US$ 1.84 billion) for April–May 2013. Indian insurance companies collected a
combined Rs 107,010.7 crore (US$ 16.85 billion) worth of new premiums for FY 2012–
13, according to data released by IRDA.
 Meanwhile, the general insurance industry grew by 19.6 per cent in April–May period of
FY 2013–14. Non-life insurers collected premiums worth Rs 13,552.46 crore (US$ 2.13
billion) in the first two months of the current year, as compared to Rs 11,333.54 crore
(US$ 1.78 billion) during the corresponding period of the previous year.

Figure 2. Life insurance density. Life insurance density expanded from US$ 13.4 in FY04 to US$ 42.7 in
FY13 at a CAGR of 13.7 per cent.

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2.4 Government Initiatives
 The Government of India has passed the Pension Fund Regulatory and Development
Authority (PFRDA) bill that allows foreign investors to hold 26 per cent stake in the
insurance sector. A greater percentage of the population in the country is targeted to
provide pension cover under the bill. PFRDA bill would also provide subscribers a wider
range of investment choices. According to Mr. Yogesh Agarwal, Chairman, PFRDA, this
bill will provide better regulation of the sector and provide more confidence to investors.
 Aviation insurance is likely to emerge as an important segment in the near future with
new players in the market operations and existing players seeking to increase fleet size.
Right now, the current market size of aviation insurance hovers around Rs 500 crore
(US$ 78.76 million). There is a huge possibility that this figure will grow as the industry
develops further.
 IRDA has facilitated banks to sell insurance policies in order to enhance financial
inclusion in the country and develop banc assurance as a business. Application for the
license required to act an insurance broker can only be obtained after prior approval from
the Reserve Bank of India (RBI). Banks would be required to apply under the direct
broker category. The license will be valid for three years.

2.5 Road Ahead

The insurance industry in India is expected to reach Rs 4 trillion (US$ 63.01 billion) in FY
2013–14, according to Mr. TS Vijayan, Chairman, IRDA. The total premiums collected by the
general and the life insurance industry in FY 2012–2013 amounted to Rs 3.75 trillion (US$ 59.07
billion). Currently insurance penetration in India is near about 3.86 per cent. The chairman
believes that insurance penetration in India has the potential to rise to 5–6 per cent.

The industry body of life insurers in the country, Life Insurance Council, has projected a
compounded annual growth rate (CAGR) of 12–15 per cent over the next five years for the
segment. The insurable population in India is expected to grow to 750 million by 2020.The life
expectancy is projected to reach 74 years around this time. It is believed by the council that this
favorable Indian demography would result in more people seeking out life insurance. The life

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insurance penetration – percentage of insurance premium to GDP is currently 3.2 per cent. It is
expected to reach 5 per cent by 2020.

Confederation of Indian Industry (CII) projects the growth rate for India’s insurance industry in
FY 2013–14 to be around 5 per cent. There is another anticipation that 60 per cent of non-life
insurance companies to record an average growth of more than 10 per cent. Foreign direct
investment (FDI) limit from 26 per cent to 49 per cent is raised in the sector and it is viewed as a
key element to promote the insurance industry in India.

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3. Company Profile
3.1 About IDBI Federal Life Insurance Company Limited
IDBI Federal Life Insurance Co Ltd. is a joint-venture of IDBI Bank, Federal Bank, and Ageas, a
multinational insurance giant based out of Europe. In this joint venture, the equity owned by
IDBI Bank is 48% and the equity owned by Federal Bank and Ageas are 26% each. The
company started in March 2008.Within just five months IDBI Federal became one of the fastest
growing new insurance companies by garnering Rs.100 Cr in premiums. The aim of the
company is to deliver world-class wealth management, protection and retirement solutions to
provide value and convenience to the Indian customers. To achieve this they follow a continuous
process of innovation in product and service delivery. The company operates the functions
through 2,308 bank branches of IDBI Bank and Federal Bank. With this they have a huge
network of advisors and partners. As on 31st December 2013, the company has issued nearly 5.5
lakh policies with a sum assured of over Rs. 32,110.48 crores.

3.2 About the sponsors of IDBI Federal Life Insurance Co Ltd

3.2.1 IDBI Bank
IDBI Bank Ltd. is India's premier industrial development bank. The bank started its journey on
July 01, 1964 to support the industrial backbone of India. Currently, it is one of the foremost
commercial banks in India, with a wide range of innovative products and services. The bank
serves retail and corporate customers through the country through 1201 branches and 2156
ATMs. The Bank offers its customers an extensive range of diversified services including project
finance, term lending, working capital facilities, lease finance, venture capital, loan syndication,
corporate advisory services and legal and technical advisory services to its corporate clients as
well as mortgages and personal loans to its retail clients. As part of its development activities,
IDBI Bank has been instrumental in sponsoring the development of key institutions involved in
India's financial sector - National Stock Exchange of India Limited (NSE) and National
Securities Depository Ltd, SHCIL (Stock Holding Corporation of India Ltd), CARE (Credit
Analysis and Research Ltd).

(Source: www.idbifederal.com)

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3.2.2 Federal Bank
Federal Bank is one of the leading private sector banks in India. The bank has a dominant
presence in the state of Kerala. The network of the bank is very strong as they have over 1,142
branches and 1,312 ATMs spread across India. The bank offer a wide variety of financial
products to more than four million retail customers. Federal Bank is one of the first large Indian
banks to have an entirely automated and interconnected branch network. In addition to
interconnected branches and ATMs, the Bank has a wide range of services like Internet Banking,
Mobile Banking, Tele Banking, anywhere banking, debit cards, online bill payment and call
center facilities to offer round the clock banking convenience to its customers. In providing
innovative technological solutions to its customers the bank has been a pioneer in the industry.
Federal Bank has won several awards and recommendations.

3.2.3 Ageas
Ageas is an international insurance group. They are present in the industry over 180 years. The
company is ranked among the top 20 insurance companies in Europe. Ageas has chosen to
concentrate its business activities in Europe and Asia, which together make up the largest share
of the global insurance market. The Market is divided into four segments: Belgium, United
Kingdom, Continental Europe and Asia. These segments are served through a combination of
wholly owned subsidiaries and partnerships with strong financial institutions and key distributors
around the world. The company is functioning through successful partnerships in Belgium, UK,
Luxembourg, Italy, Portugal, Turkey, China, Malaysia, India and Thailand. The company also
has subsidiaries in France, Hong Kong and UK. Ageas is the market leader in Belgium for
individual life and employee benefits, as well as a leading non-life player through AG Insurance.
In the UK, Ageas has a strong presence as the fourth largest player in private car insurance and
the over 50's market. Ageas employs more than 13,000 people and has annual inflows of more
than EUR 21 billion.

(Source: www.idbifederal.com)

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4. Products in brief
IDBI Federal Life Insurance Co. Ltd. offers a long range of product to the population of India.
The products offered by IDBI Federal Life Insurance are ‘Childsurance’, ‘Incomesurance’,
‘Lifesurance’, ‘Loansurance’, ‘Termsurance’, ‘Group Microsurance’, and ‘Wealthsurance’. But
here the details of only two products will be given.

4.1 Lifesurance
IDBI Federal Lifesurance Savings Insurance Plan is a
fixed term non-linked participating plan that provides you
the twin benefits of long-term savings and life cover.
With Lifesurance Savings, your small savings will help
you realize the big dreams that you have for yourself and
your family. This plan also offers you the benefit of life
cover that will provide financial security to your family in
your absence.

(Source: www.idbifederal.com)

4.2 Childsurance
IDBI Federal Childsurance® Savings Protection
Insurance Plan; a non-linked participating endowment
plan that ensures your child’s future financial needs are
fulfilled. Childsurance® Savings, is designed to give you
guaranteed annual payouts and aid the important
milestones in your child’s life. What’s more, this plan
also provides financial protection to your child’s future
by ensuring plan continuity with waiver.

(Source: www.idbifederal.com)

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5. Customer Relationship Management
Customer Relationship Management (CRM) is a managerial philosophy that focuses to build
long term relationships with customers.Customer relationship management (CRM) is a system
for managing a company’s interactions with current and future customers. This process involves
technology to organize. The technology is also used to automate and synchronize sales and
marketing. It also helps in customer service and technical support.

It is clearly visible that customer expectations are changing throughout the world. Due to this
changes in expectation and changes in the nature of market, customer relationship management
is gaining importance worldwide. It is very important to the managers in any organization as this
helps to build policies. Customer relationship management is most important to develop
relationship with the strategically significant customers.

The implementation of the customer relationship management is becoming important to the

organizations due to the benefits occurring from the strategies. The strategies are helping to
increase loyalty of the customers resulting into more profitability.

5.1 Characteristics of CRM

 Customer relationship management is a customer oriented feature. The service is
provided in different ways. The services are based on customer input. Solutions are
customized according to customers’ requirements. Customer service centers and direct
online communications with customers can be used to solve the problems faced by the
customers.
 Sales force automation is another characteristics of CRM. This function can implement
sales promotion analysis and automate tracking of a client’s account history for repeated
sales or future sales. It can also coordinate marketing, sales and services in order to
realize the sales force automation.
 Another feature of the CRM is the use of technology. Modern technology is used to keep
up to date, providing services and delivering value. The data warehouse technology is
used in order to aggregate transaction information. It is used to merge the information
with CRM solutions and to provide key performance indicators (KPI).

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  Another characteristics of CRM opportunity management helps the company to manage
unpredictable growth and demand and implement a good forecasting model to integrate
sales history with sales projections.

In financial services implementation of the customer relationship management can be very

helpful. Financial services require the detailed information of the customer as the need of the
customers differ significantly. The reason behind this is that the financial circumstances of the
customers are different. So it is important for the financial institutions to tailor their packages to
make them customer specific. Talking specifically about insurance company like IDBI Federal
Life Insurance Co. Ltd., different customers has different needs. Some customers are interested
in investment plans, some are interested in income schemes, and some are interested in pension
schemes and many more. So it is necessary to differentiate and separate the customers into
segments according to their needs and requirements. So marketers are required to understand the
financial condition of the customers and offer the products accordingly to that.

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6. Research Methodology
6.1 Objective:
The main objective the project is to determine the possible effects of the implementation of
customer relationship management. The focus is to find how the relationship between IDBI
Federal Life Insurance Co. Ltd. and the clients will improve by the implementation of the CRM
which will give the company competitive advantage over others. So it was very important to get
into touch with common people to know their mindset and perception about insurance. Apart
from that what are the features they look for while selecting an insurance policy. So the
necessary steps are taken to fulfil the objective by keeping all the factors in mind.

6.2 Approaches:
A questionnaire has been framed by keeping the objective in mind. I have approached the people
with this questionnaire to collect primary data. The survey is contacted both in person and
online. People of different age groups have been approached and data has been collected from
them.

6.3 Sampling Technique

 Target Population: The target population is the people residing or working in different
parts of West Bengal. A few people residing or working in Bangalore are also there.
 Sample Frame: The people of age 21 and above is being studied in this research.
 Sample Size: Sample size in this study is 100.
 Sampling method: Convenience sampling method is used in this study.

The method used in the study is quantitative. The study is exploratory and descriptive. The
primary data collected in the study is analyzed by the help of a statistical tool called Statistical
Package for Social Sciences (SPSS).

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7. Data Analysis

7.1 Gender:

Percent

Valid Male 77.0

Female 23.0

Total 100.0

Inference: The majority of the people who participated in the survey was male. 77% of the
participants were male whereas 23% were female.

7.2 Age group:

Percent

Valid below 25 58.0

25-30 24.0

30-40 5.0

40-50 4.0

50-60 7.0

Above 60 2.0

Total 100.0

Inference: The majority of the people who took part in the survey lies in the age group of 21-25.
After that a significant no of people lies in the age group of 25-30 followed by the people of 50-
60. Other age groups are not very high in no.

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7.3 Educational Qualification:

Percent

Valid Post Graduate 34.0

Graduate 62.0

Higher Secondary 4.0

Total 100.0

Inference: Most of the participants were graduate (62%) and also a large no of participants were
post graduate (34%). Only a few people of the participants are high school graduates.

7.4 Monthly Income:

Percent

Valid below 20000 68.0

20000-30000 3.0

30000-40000 8.0

40000-50000 4.0

Above 50000 17.0

Total 100.0

Inference: The survey revealed that majority of the participants earn less than or equal to
Rs.20000 per month. A large no of people in this group are below 25 years of age. So in future
there is a huge possibility for them to invest more. We can also see that a significant no of people

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earn between Rs.40000-50000 per month. This gives a hint that a huge possibility of investment
lies in the market.

7.5 Policy holder:

Percent

Valid Yes 72.0

No 28.0

Total 100.0

Inference: A majority of the participants (72%) are already policy holders. But 28% is still not
insured. This is a significant no to focus. We have to make these people realize the value of
getting insured so that we can increase our market shares.

7.6 Preferred Company:

Percent

Valid No response 28.0

LIC 58.0

SBI Life 5.0

ICICI Prudential 4.0

Bajaj Allianz 2.0

Birla Sunlife 1.0

Others 2.0

Total 100.0

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Inference: From the survey it is clearly visible that LIC is the market leader in the industry. LIC
has achieved this because of their long presence in the market and their huge network of
insurance agents. Apart of LIC, SBI Life Insurance and ICICI Prudential has a very few
customers, whereas others are not very significant in no. If we specifically talk about IDBI
Federal Life Insurance, it is discovered that it has not been able to penetrate the market in the
eastern India. The market of eastern India is very big and huge opportunities lies in this region.

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7.7 Reason behind taking an insurance policy:

Percent

Valid No response 19.0

Risk coverage with 53.0

Investment

Pension schemes 1.0

Tax Benefit 22.0

Others 5.0

Total 100.0

Inference: From the survey it is discovered that most of the people are interested in the
investment through insurance policies. A large no of people is also interested in the tax benefit
part. So we have to consider this points while designing our policies.

7.8 Awareness about IDBI Federal Life Insurance:

Percent

Valid Yes 55.0

No 45.0

Total 100.0

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Inference: From the survey it is clearly visible that a large no of people is unaware of IDBI
Federal Life Insurance Co. Ltd. It gives an indication that we have to improve our promotional
strategies in the eastern region to penetrate the market and increase our market share.

7.9 Marketing and Promotion:

Percent

Valid No Response 44.0

Insurance Agents 1.0

IDBI bank 7.0

Advertisements 26.0

Friends 11.0

Management trainees 11.0

Total 100.0

Inference: From the survey it is visible that advertisements are a good medium to spread
information. The management trainees and the word of mouth also helped to spread awareness
about IDBI Federal Life Insurance. But still a large no is unaware about the company. So we
have to increase the effort to spread awareness about the company.

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7.10 Preferable Mode of Premium Payment

Percent

Valid Monthly 22.0

Quarterly 14.0

Half-yearly 10.0

Annually 54.0

Total 100.0

Inference: From the survey it is clearly visible that almost 50% of the people are interested to
pay the premium amount in the annual basis. Also we can see that a significant percentage is
interested in monthly and quarterly option.

7.11 Preferable Choice for Premium Collection:

Percent

Valid Agents 22.0

IDBI Bank 14.0

Online 64.0

Total 100.0

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Inference: From the survey we can find that most of the people are interested to pay the
premium amount online. But also a good no of people want to pay through the agents and banks.
So we cannot eliminate the human touch and assurance from the premium collection process.

7.12 Satisfaction level of existing policy:

Percent

Valid No response 23.0

Highly satisfied 6.0

Satisfied 52.0

Neutral 19.0

Total 100.0

Inference: We can see from the survey that a large no of people is satisfied and highly satisfied
with their existing policies. But we can also see that a significant percentage of people is neutral.
So we have to grab these opportunity to introduce ourselves and show them the benefits given by
IDBI Federal. This can be helpful to increase our customer base.

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7.13 Policy Updates of IDBI Federal Life Insurance:

Percent

Valid Yes 36.0

No 64.0

Total 100.0

Inference: The survey shows that most of the people are not interested to get updates from the
company. The reason behind this is may be that people are unaware about the company. Also the
agents have to be very careful while approaching the people so that the people do not get
uncomfortable. We can also see that 34% of the people is interested to get updates. So we should
be grabbing this opportunity to send them updates through mail or messages. This may increase
the sell as well as market share.

7.14 Preferable Choice to Get Updates:

Percent

Valid Agents 18.0

Online 59.0

Advertisements 20.0

Others 3.0

Total 100.0

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Inference: From the survey we can find that most of the people are interested to get updates
through online. Also a significant no is interested to get updates through agents and
advertisements.

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8. Findings

 Most of the people are interested in Govt. organizations when it comes to financial
decisions. The people feel secure to invest in public companies.
 People are more interested in investment options as well as tax benefit options.
 Many people are still not insured even though they are employed. It is very important to
make them realize the importance of getting insured.
 Many people are not aware of the company. This is preventing to increase the market
share.
 People of young generation is more comfortable to complete all the procedures through
online whereas the older generation rely on the agents to get information and to complete
the formalities.
 Nowadays many people are interested to explore new policies offered by different
companies. So it can be useful to promote new policies through various mediums to reach
maximum no of people.

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9. Recommendations

 The new policies should be designed by keeping in mind various factors. People are very
much interested in investment options as well as tax benefits. These two factors should be
covered by the policies.
 The contact with customer should be increased either through online or phone or
personally. The success of the insurance companies depends mainly on the network.
 The company has to take several steps to increase awareness in the market. The company
should look collaboration with other companies. They can also think about sponsoring
different events as that is a very effective way to reach large no of people.
 The existing customers should be given maximum priority and excellent service so that
they remain loyal. Also they will help to increase awareness about the company through
word of mouth technique.
 The company should increase contact with the college students. College students are
unaware about insurance policies and its benefits. So awareness campaigns in the
colleges can help to increase awareness and it can also create a good impression about the
company.

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10. Conclusion

The insurance industry in India is crowded with many companies. The competition in the market
is cutthroat competition. In spite of the competition LIC is undoubtedly leading the sector
leaving all the other company way behind. So a new company like IDBI Federal Life Insurance
Co. Ltd. has to focus on its strategies to penetrate the market. So far the company has done a
great job and they have achieved breakeven in only 5 years. To go further to increase the market
share company has to work hard. Customer relationship management can be a very important
factor at present and in the coming days. The brand awareness has to be improved. The company
has to provide the feeling of security in the mind of the customers so that they can invest without
any hesitation. The company should be technologically up to date to provide the best possible
service to the customers in the least possible time. There is a huge opportunity in the market.
With proper strategies the company will be able to sustain and grow with time.

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11. References

www.idbifederal.com

http://whatisinsurance.org/

http://www.ibef.org/industry/insurance-sector-india.aspx

http://en.wikipedia.org/wiki/Customer_relationship_management

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 Questionnaire

1. Gender: Male Female

2. Age Group:
< 25 25-30
30-40 40-50
50-60 >60
3. Educational Qualification:
Post Graduate Graduate
Completed Higher Secondary Completed Secondary
Did not attend school
4. Monthly income:
≤ 20000 20000- 30000
30000-40000 40000- 50000
≥ 50000
5. Do you own an insurance policy?
Yes No
6. Name the company of your insurance policy:
LIC SBI Life Ins.
IDBI Federal ICICI Prudential
Bajaj Allianz Birla Sunlife
ING Vysya Others. Specify_________________
7. The reason behind taking an insurance policy:
Risk coverage with investment purpose
Pension schemes
Tax benefit
Any other. Specify_______________________________
8. Do you know about IDBI Federal Life Insurance Co. Ltd?

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 Yes No
9. How do you came to know about IDBI Federal?
Insurance agents IDBI Bank
Advertisements Friends
Management Trainees Others. Specify______________________
10. What would be your preferable mode of premium payment?
Monthly Quarterly
Half-yearly Annually
11. What would be your preferable choice for premium payment?
Collection by agents
Payment in IDBI Bank branches
Courier
Online
12. What is your satisfaction level of your current insurance policy?
Highly Satisfied Satisfied
Neutral Dissatisfied
Highly Dissatisfied
13. Will you like to get updates about new policies introduced by IDBI Federal?
Yes No
14. What is your preferable choice to get updates about new insurance policies?
Agents Online
Advertisements Others. Specify_________________

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