INTRODUCTION

Insurance is bought in order to hedge the possible risks of the future which may or may
not take place. This is a mode of financially insuring that if such a incident happens then
the loss does not affect the present well-being of the person or the property insured. Thus,
through insurance, a persons buys a security and protection.

A simple example will make the meaning of insurance easy to understand. A biker is
always subjected to the risk of head injury. But it is not certain that the accident causing
him the head injury would definitely occur. Still, people riding bikes covers their heads
with helmets. This helmet in such cases act as insurance by protecting him/her from any
possible danger. The price paid was the possible inconvenience or act of wearing the
helmet; this ie equivalent to the insurance premiums paid.

Though loss of life or injuries incurred cannot be measured in financial terms, insurance
attempts to quantify such losses financially. Insurance can be defined as the process of
reimbursing or protecting a person from contingent risk of losses through financial
means, in return for relatively small, regular payments to the insuring body or insurance
company.

LIFE INSURANCE

Life insurance or life assurance is a contract between the policy owner and the insurer,
where the insurer agrees to pay a sum of money upon the occurrence of the insured
individual’s death or other event, such a terminal illness or critical illness. In return, the
policy owner agrees to pay a stipulated amount called a premium at regular intervals or in
lump sums. There may be designs in some in some countries where bills and death
expenses plus catering for after funeral expenses should be included in policy premium.
In the united states, the predominant form simply specifies a lump sum to be paid on the
insured’s demise.

1
As with most insurance policies, life insurance is a contract between the insurer and the
policy owner whereby a benefit is paid to the designated beneficiaries if an insured event
occurs which is covered by the policy.

The value for the policyholder is derived, not from an actual claim event, rather it is the
value derived from the ‘peace of mind’ experienced by the policyholder, due to the
negating of adverse financial consequences caused by the death of the Life Assured.

2
 INDUSTRY PROFILE

HISTORY OF INSURANCE INDUSTRY IN INDIA

The insurance industry in India over the past century has gone through big
changes. In India this industry reveals the 360 degree turn. 360 degree turn means that it
started in India from being an open competitive market to nationalization and back to a
liberalized market again.

Insurance industry in India started as a fully private system with no restriction on

foreign participation in the Nineteenth Century. Before independence, a few British
insurance companies dominated the Market. Life insurance was first set up in India
through a British company called the Oriental Life Insurance Company in 1818, followed
by the Bombay Assurance Company in 1823 and the Madras Equitable Life Insurance
Society in 1829.

All of these companies operated in India but did not insure the lives of Indians.
They were there insuring the lives of Europeans living in India. Some of the companies
that started later did provide insurance for Indians. But, they were treated as
"substandard" and therefore had to pay an extra premium of 20% or more. The first
company that had policies that could be bought by Indians with "fair value" was the
Bombay Mutual Life Assurance Society starting in 1871.

The first general insurance company, Triton Insurance Company Ltd., was
established in 1850. It was owned and operated by the British. The first general insurance
company was the Indian Mercantile Insurance Company Limited set up in Bombay in
1907.By 1938; the insurance market in India had nearly 176 companies (both life and
non-life).

After the independence, the industry went to the other extreme. It became a state-
owned monopoly. The industry started to witness a problem like fraud. Hence many

3
regulations were put in place to reduce and control the problems in the industry. After
which Insurance was nationalized. In 1956, the then finance minister S. D. Deshmukh
announced nationalization of the life insurance business and then the general insurance
business was nationalized in 1972. Only in 1999 private insurance companies have been
allowed back into the business of insurance with a maximum of 26% of foreign holding.

INDIAN SCENARIO

INDIAN
INSURANCE INDUSTRY

LIFE NON LIFE

INSURANCE INSURANCE

Public Private Public Private

Sector (1) Sector (15) Sector (4) Sector (9)

4
 COMPANY PROFILE:

IDBI Fortis Life Insurance Co. Ltd, a joint venture life insurance company promoted by
IDBI. Federal Bank, India and Fortis Insurance International, Netherlands has been
registered as a life insurer. The Certificate of registration has been issued by the
insurance regulator IRDA on the December 2007. IDBI Fortis Life Insurance becomes
18th life insurer in India

IDBI Bank, Federal Bank and Fortis had signed a joint venture agreement last year.
IDBI will have a 48-per cent stake in the venture while Fortis and Federal Bank would
have 26-per cent stake each.

While IDBI and Federal Bank are major India banks. Fortis has the expertise of
bancasurance across global markets.

Fortis, which signed an agreement with the IDBI last year, is one of the largest players in
the insurance business in Europe and has successfully joint ventures in various Asian
countries.

With this registration, the total numbers of life insurers in India has gone up to 18.

Competition is hotting up in the life insurance segments, with the entry of more players.
Life Insurance segment has great potential as 80% of the population in India without life
insurance coverage.

IDBI Ltd. Continues to be, since its inception, India’s premier industrial development
bank. Created in 1956 to support India’s industrial backbone, IDBI has since evolved into
a powerhouse of industrial and retail finance. Today, it is amongst India’s foremost
commercial banks, with the wide range of innovative products and services, serving retail
and corporate customers in all corners of the country from over 490 branches and more

5
Federal Bank is one of India’s leading private sector banks, with the national network
and dominant presence in the state of kerala. It has a strong network of over 550 branches
And 450 ATMs spread across India. They provides over four million retail customers
with the wide variety of financial products. Federal Bank is one of the large Indian banks
to have an entirely automated and interconnected branch network. They operate on the
core banking platform and are RTGS/NEFT enabled through which the bank offers state-
of-the-art technology enabled products and services.

Fortis, a European financial services provider engaged in banking and insurance with a
presence in over 50 countries, offers its personal, business and institutional customers a
comprehensive package of products and services through its own channels, in
collaboration with intermediaries and through other distribution partners. With the market
capitalization of over EURO 40 billion, Fortis ranks among the 20 largest financial
institution in Europe. Fortis’ sound solvency position and dedicated, professional
workforce of over 80,000, enables it to combine global strength with local flexibility to
provide its clients with optimum support and service.

IDBI Fortis Life Insurance Co Ltd, is a joint venture between three leading financial
conglomerates – India’s premier development and commercial bank, IDBI, India’s
leading private sector bank, Federal Bank and Europe’s premier Bancassurer, Fortis, each
of which enjoys a significant status in their respective business segments. In this venture,
IDBI owns 48% equity while Federal Bank and Fortis own 26% equity each.
IDBI Fortis launched its first set of products across India in March 2008, after receiving
the requisite approvals from the Insurance Regulatory Development Authority (IRDA).
Today we offer our services through a vast nationwide network across the branches of
IDBI Bank and Federal Bank in addition to a sizeable network of advisors and partners.
At IDBI Fortis we endeavor to deliver products that provide value and convenience to the
customer. Through a continuous process of innovation in products and service delivery
we intend to deliver world- class wealth management, protection and retirement solutions
to Indian customers.

6
 PRODUCT PROFILE

The wealthsurance foundation plan enables you to save and build wealth to meet your
financial goals. However, unlike other investment alternatives, it also enables you to
achieve your wealth goals even in the event of unexpected death, accidents, disablement
or serious illness.

The wealthsurance foundation plan can ensure that your plans for wealth creating are
achieved by protecting that plan with insurance benefits.

Wealthsurance foundation plan:

• Save into the plan as much as your want whether at one time, at regular intervals
or as per your convenience
• Build your wealth by choosing the investments your savings go into and change
them from time to time as you wish

• Get adequate life insurance cover with a unique built-in terminal illness benefit,
so that the financial security of your loved ones is assured and your plans are
always realized
• Get health, accident and disablement by unexpected medical expenses or loss of
earning capacity in case of serious ailments or disablement

PRODUCTS OF IDBI FORTIS ARE,

 Wealthsurance
 Homesurance
 Termsurance
 Retirementsurance

7
  Bondsurance
Investment and Insurance in a 2-in-1 Account

Wealthsurance is a wealth-management account with sub-accounts for investments and

insurance. It is designed to meet twin goals of wealth-building and insurance protection.

 Wealth building – The Wealthsurance Investment Account holds all the

investment you chosen. The investment made out of your premium allow you to
manage and build your wealth

 Insurance Protection – The Wealthsurance Insurance Account holds the insurance

benefits you have chosen, which allows you to claim benefits in the event of a
serious ailment, disablement, accident or death

Investment Account:

All the premium you pay go into your Investment Account. After deduction of the
Premium Allocation charge which is like an entry load, the balance amount of premium
is invested as per the options you chosen. Under the IDBI Fortis Investment Basket, you
can choose a wide choice of investment options to suits your stage of life, risk appetite
and liquidity needs. The return you get depend upon the options you select. There are
options that give fixed, assured returns and that carry low risk, as also option where the
returns are linked to market performance and thus carry higher risk.

The balance in your Investment Account is called Fund Value. At any time, the fund
value represents the wealth you have built over time. The Fund Value is paid to you upon
maturity. Your Fund Value grows from the premiums you contribute as also the returns
which accrue in the investment options you chosen. You also have the facility of pre-
mature withdrawals from your Fund Value to meet any financial needs.

8
 STATEMENT OF THE PROBLEM

For a company to succeed in their business, they have to make sure that their

customer are satisfied. Customer satisfaction is given vital importance

especially in this competitive scenario; as wining & retaining a customer

alone make the company to stay in business

9
 NEED FOR THE STUDY

Today there are many company’s started to emerge in the field of life

insurance. So it is necessary for the company to know the customer

satisfaction and their expectation. This project is done with the objectives

of knowing the satisfaction level among customers, their awareness about

different companies and factors preferred for choosing an insurance

company & their expectation from the company. The study will be

helpful to the management to find out the ways to stay competitive &

also to increase the satisfaction level and to retain the existing customers.

10
 OBJECTIVES OF THE STUDY

PRIIMARY:
 To study the customer satisfaction regarding the services provided by IDBI Fortis
life insurance.
SECONDARY:
 To understand the level of awareness among public regarding life insurance
company.
 To know about the factors that induce people to choose life insurance policy.
 To identify the factors that motivate people to choose a particular life insurance
company.
 To know the expectations of customer from an insurance company.
 To know the opinions of IDBI customers regarding the product/service offered in
comparison with other insurance company.
 To identify & suggest measures to improve the existing level of satisfaction
among customers of IDBI Fortis.

11
 SCOPE OF THE STUDY

 The study is useful to understand the customer expectations from a

life insurance company.

 The study reveals the various aspects that the customer expects from

the life insurance company.

 . The study suggests the way in which company can improve based on

the following factors:

o ADVERTISING

o SERVICE LEVEL

o RESOLVE THE COMPLAINTS.

12
 CUSTOMER SATISFACTION

The need for empowerment of customer as a class cannot be over emphasized and is
already well recognized all over the world. The advancement of technology and advent of
sophisticated gadgets in the market and aggressive marketing strategies in the era of
globalization have not only thrown open a wide choice, for the customer but all the same
also rendered the customer vulnerable to a plethora of problems concomitant to such
rapid changes. There is an urgent and increasing necessity to educate and motivate the
customer to be vary of the quality of the products, and also the possible deficiencies in
the services of the growing sector of public utilities.
In short, the customer should be empowered with respect to his rights as a customer. He
should be equipped to be vigilant with the discerning eye so as to be able to protect
himself from any wrongful act on the part of the trader. In order to be able to position the
customer in such a state, there is every need not only to evolve legal remedies but also
provide reliable and exhaustive information, which he can access without much effect
and expense. Recognizing the importance of the problem, the government of India and
state government initiated steps to introduce disputes redressal mechanism by way of
consumer protection act, but a lot more has to be done in the area of creating satisfaction
on the part of the customer to facilitate his seeking suitable remedy wherever there is a
need. This becomes more important in the rural areas, where there is wide spread
illiteracy.
The insurance industry in India has seen an array of changes in the past one decade. The
year saw an uprise in the Indian insurance sector as major structural changes took place
with the ending of the government monopoly and the route of the Insurance Regulatory
and Development Authority (IRDA) Bill lifting all entry restriction for private players
and allowing foreign players with the fast changing liberalization, globalization and
privatization policies, the changing and growing needs and demands of people having the
insurance industry more competitive. Both public and private players now offer greater
choice in terms of products and services. They also make valuable efforts to create

13
satisfactionary level about the benefits and significance of insurance although there is still
a blocking point among the people. This paper analysis and rates all the life insurance
companies by analyzing certain variables, the effect of privatization, and measuring the
customer perception, purchase behavior, and customer satisfaction regarding the life
insurance industry.

STEPS IN CREATING CUSTOMER SATISFACTION:

1. Promote General Satisfaction of the rights of the customer by encouraging customer
education and supplying information.

2. Publish periodical and product specific booklets, pamphlets, cassettes, CDs, slides,
documentary films, and other devices of mass communication for promoting customer
satisfaction in English and regional languages, highlighting the problem in specified areas
like real estate, public utilities, non-banking financial agencies etc.

3. Enlighten the business community on its ethical obligation to maintain quality of the
products or services and to be transparent in dealing with customer.

4. Encourage customer activities to strength the existing institutional set up of customer

disputes redressal by acting as a facilitator between customer and the institution.

5. Study the available legal remedies, analyze and suggest new measures for the effective
and better customer protection.

6. Bring together the customer, traders, and policy makers to exchange information of
mutual interest for better co-ordination. Bring together the NGO’s/Customer activities
operating in different areas and equip them with suitable and required information and
knowledge to enable them to act as nodal agents of change in rural areas.

7. Organize and conduct seminars, workshops and group discussion and thus provide a
platform for threadbare discussion of the issues and evolve suitable remedial action.

14
Conduct motivational campaign for groups of potential customers both in urban and rural
areas.
RESEARCH METHODOLOGY

INTRODUCTION

Business research is a systematic enquiry that provides information to guide business

decision and aimed to solve managerial problems. Business research is of recent origin
and it is largely supported by business organizations that hopes to achieve competitive
advantages.

Research methodology is a way to systematically solve the problems. It may be

understood as a science of studying how research is done scientifically. It include the
overall research design, the sampling procedure, data collection method and analysis
procedure.

RESEARCH DESIGN

The research design stands for advance planning of the method to be adopted for
collection the relevant data and the techniques to be used in adopted for collecting the
relevant data and the techniques to be used in analysis , keeping the view the objectives
of the research and the availability time.
In general, research design is the conceptual structure within which research is
conducted: it constitutes the blue print for the collection, measurement and analysis of
data.

DESCRIPTIVE RESEARCH

Descriptive research study includes surveys and fact-finding enquires of different kinds,
which help the researchers to describe the present situation that makes the analysis about

15
the effectiveness of employee satisfaction among the employees and helps to reach the
objective.

SAMPLING DESIGN/TECHNIQUES

Sampling design is to clearly define set of objective, technically called the universe to be
studied. This research has infinite set of universe and the sampling design used in the
study is non-probability sampling – convenience sampling

SAMPLE UNIT/SAMPLE SIZE

The item selected from the population constitutes the sample size. The study covers the
customers of IDBI fortis life insurance company.

Total sample size for the study is 150.

DATA COLLECTION METHOD

Source of Data:-
Both Primary and Secondary data are used for the data collection.

Primary data:-
The primary data is collected from the respondents through questionnaire. The
questionnaire consists of various questions focusing on the internal communication
process between employer and employee relationship in the company. The responses are
collected from them and used for analysis. The questionnaire is constructed as the art of
survey operation.

Secondary data:-

16
The research collected the secondary data from books, web sites etc. the data relating to
the history of the company is collected from the personal manual and the records of the
company.
DATA ANALYSIS TOOLS
To arrange and interpret the collected data the following statistical tools were used.
1. Percentage Method
2. Weighted Average Method
3. Chi – square Analysis
4. Rank Correlation

PERCENTAGE METHOD
The percentage method was extensively used for findings various details. It is
used for making comparison between two or more series of data. It can be generally
calculated.

Percentage of respondents is given by

(Number of respondents favorable/total respondents) × 100

WEIGHTED AVERAGE METHOD

In the Weighted Average Method, the weighted average can be calculated by the
following formula

XW = ∑WX/∑X

Here
XW represents the weighted average
“X1,X2,X3………….Xn” represents the value for variable values
“W1,W2,W3………..Wn” represent the weightage given to the variable.
Steps:-

17
 • Multiply the weighted(W) by the variables(X) to obtain WX
• Add all WX to obtain ∑WX
Divide ∑WX by sum of the weights (∑X) to get weighted average

RANK CORRELATION

=1 - 6∑D2
n (n2 -1)

CHI-SQUARE

Chi-square analysis in statistics to test the goodness of fit to verify the distribution of
observed data with assumed theoretical distribution. Therefore, it is a measure to study
the divergence of actual and expected frequencies. It makes no assumption about the
population being sampled. The quantity χ2 (chi-square) describes the magnitude of
discrepancy between theory and observation. If χ2 is zero, it means the observed and
expected frequency completely coincides. The greater the value of χ2, the greater would
be the discrepancy between observed and expected frequencies.

The formula for computing chi – square(χ2) is as follows

(Oij-Eij)2
χ2 = ∑
Eij
Where,
Oij = Observed frequency of the cell in ith row and jth column.
Eij = Expected frequency of the cell in ith row and jth column.

The calculated value of χ2 is compared with the table of χ2 for given degrees of
freedom at specified level of significance. If the calculated value of χ2 is greater than
the table value then the difference between the theory and observation is considered to
be significant. On the other hand, if the calculated value of χ2 less than the table value

18
then the difference between theory and observation is not considered to be significant.
The degrees of freedom is (n – 1) where ‘n’ is number of observed frequencies.

LIMITATIONS OF THE STUDY

 This study was conducted with less sample size due to time constraint

and the survey was conducted only in Chennai, so the research

findings may not be generalized.

 Some of the customers are reluctant to give full information, this leads

to bias & may not reflect the true picture.

 The observations are only based on current scenario, as it could

change in future.

19
 TABLE: 1

AWARENESS ABOUT IDBI

PERCENTAGE
FACTORS NO OF RESPONDENTS

ADVERTISEMENT 64 43

RELATIVES/FRIENDS 50 33

AGENT/EMPLOYEE 24 16

OTHERS 12 8

TOTAL 150 100

INTERPRETATION:

• From the above table it is inferred that the way of knowing the insurance policy,
enumerated as order
1. 43% of the respondents have said that they are aware through advertisement.
2. 33% of the respondents have said that they are aware through
relatives/friends.
3. 16% of the respondents have said that they are aware through agent/employee.
4. Only 8%of the respondents have said that they are aware through neighbours,
colleagues, etc….

20
 PERCENTAGE OF RESPONDENTS

0
5
10
15
20
25
30
35
40
45
50
AD
V
ER
TI
SE
M
E
N
T

43
R
EL
A
TI
VE
S/
FR
IE
N
DS

33
AG
EN
T/
EM
P

FACTORS
LO
Y
EE

16
CHART: 1

O
TH
E
R
S

8
AWARENESS ABOUT IDBI

21
 TABLE: 2

SUM ASSURED WITH IDBI

SUM ASSURED NO OF RESPONDENT PERCENTAGE

52
LESSTHAN Rs.1,00,000 35
64
Rs.1,00,000-Rs.2,00,000 43

ABOVE Rs.2,00,000 34 22

TOTAL 150 100

INTERPRETATION:

• Out of 150 respondents, 35% said that the sum assured IDBI is less than
Rs.1,00,000 and 43% said that the sum assured with IDBI is between Rs.1 lakh to
Rs.2 lakhs and 22% said that the sum assured with IDBI is above Rs.2 lakhs.

22
 CHART: 2
SUM ASSURED WITH IDBI

50

45 43

40
PERCENTAGE OF RESPONDENTS

35
35

30

25 22
20

15

10

0
LESSTHAN Rs.1,00,000- ABOVE
Rs.1,00,000 Rs.2,00,000 Rs.2,00,000

SUM ASSURED

23
 TABLE: 3
TYPE OF POLICY OPTED

TYPE OF POLICY NO OF RESPONDENTS PERCENTAGE

INCOMESURANCE 47 31

WEALTHSURANCE 56 38

BONDSURANCE 27 18

RETIREMENT SCHEME 20 13

TOTAL 150 100

INFERENCE:

• Out of 150 respondents, it is inferred that 31% of the respondents have said that
they are holding incomesurance, whereas 38% hold wealthsurance, 18% are hold
bondsurance, and 13% hold retirement scheme.

24
 PERCENTAGE OF RESPONDENTS

10
15
20
25
30
35
40

0
5
IN
C
O
M
ES
U
R
A
NC
E
31

W
E
AL
TH
SU
R
AN
C
E
38

BO
N
D
SU

TABLE- 4
CHART: 3

TYPE OF POLICY
AN
C
E
18

R
TYPE OF POLICY OPTED

ET
IR
EM
EN
T
SC
H
EM
E
13

25
 TERM OF INVESTMENT

TERM OF INVEST NO OF RESPONDENTS PERCENTAGE

LONG TERM 82 55

SHORT TERM 68 45

TOTAL 150 100

INFERENCE:

• Out of 150 respondents, it is inferred that 55% of the respondents have invested in
long term policies; &
• And 45% of the respondents have invested in short term policies.

CHART- 4

26
 TERM OF INVESTMENT

60
55

50
45
PERCENTAGE OF RESPONDENTS

40

30

20

10

0
LONG TERM SHORT TERM

TERM OF INVESTMENT

TABLE-5

27
 ANY OTHER FAMILY MEMBER HOLD POLICY WITH IDBI

OPTIONS NO OF PERCENTAGE
RESPONDENTS

YES 63 42

NO 87 58

TOTAL 150 100

INFERENCE:

• Out of 150 respondents; it is inferred that 42% of the respondents have said
that their family members do hold a policy with IDBI and 58% of the respondents
have said that nobody else in their family hold policy with IDBI.

CHART-5

28
 ANY OTHER FAMILY MEMBER HOLD POLICY WITH IDBI

70

60 58
PERCENTAGE OF RESPONDENTS

50
42
40

30

20

10

0
YES NO

OPTIONS

TABLE-6

REASON FOR INVESTING IN INSURANCE POLICY

29
 FACTORS NO OF PERCENTAGE
RESPONDENTS

CAPITAL GUARANTEE 56 37

TAX BENEFIT 28 19

SHORT TERM RETURN 32 21

LONG TERM RETURN 34 23

OTHERS - -

TOTAL 150 100

INFERENCE:

o Out of 150 respondents; it is inferred that 37% of the respondents said that
they opted the insurance policy for capital guarantee;
o 19% said that they have taken policy for tax benefit;
o 21% said that they have taken policy for short term return; &
o 23% said that they have taken policy for long term return.

CHART- 6

30
 PERCENTAGE OF RESPONDENTS

0
5
10
15
20
25
30
35
40
C
AP
IT
A
L
G
U
A
R
AN
TE
E
37

TA
X
B
EN
EF
IT

SH
19
O
R
T
TE
R
M
R
ET
U
R
N
21

FACTORS
LO

TABLE-7
N
G
TE
R
M
RE
TU
R
N
23

O
TH
E
RS
0
REASON FOR INVESTING IN INSURANCE POLICY

31
 SATISFACTION LEVEL REGARDING THE SERVICE OF IDBI

FACTORS NO. OF RESPONDENTS PERCENTAGE

HIGHLY SATISFIED 24 16

SATISFIED 22 15

NEUTRAL 54 36

DISSATISFIED 38 25

HIGHLY DISSATISFIED 12 8

TOTAL 150 100

INFERENCE:

o Out of 150 respondents; it is inferred that 16% said that they are highly satisfied
with the services of IDBI;
o 15% said that they are satisfied with the services of IDBI;
o 36% said that they are neutral with the services of IDBI;
o 25% said that they are dissatisfied with the services of IDBI; &
o 8% said that they are highly dissatisfied with the services of IDBI.

CHART- 7

SATISFACTION LEVEL REGARDING THE SERVICE OF IDBI

32
 PERCENTAGE OF RESPONDENTS

0
5
10
15
20
25
30
35
40

H
IG
H
LY
SA
TI
S
FI
ED

16
SA
TI
S
FI
ED

15

N
EU
TR
AL
36

FACTORS

TABLE- 8
D
IS
S
AT
I SF
IE
D
25

H
IG
H
LY
D
IS
S
AT
IS
FI
ED
8

SATISFIED WITH THE SCHEMES OFFERED BY IDBI

33
 OPTIONS NO OF RESPONDENTS PERCENTAGE

YES 112 75

NO 38 25

TOTAL 150 100

INFERENCE:

• Out of 150 respondents, it is inferred that 75% of the respondents said that they
are satisfied with the schemes offered by IDBI;
• Whereas 25% of the respondents said that they are not satisfied with the
schemes offered by IDBI.

CHART- 8

SATISFIED WITH THE SCHEMES OFFERED BY IDBI

34
 80 75

70
PERCENTAGE OF RESPONDENTS

60

50

40

30 25

20

10

0
YES NO

OPTIONS

TABLE- 9

FACTORS TAKEN INTO CONSIDERATION FOR CHOOSING A INSURANCE

COMPANY

35
 FACTORS NO. OF RESPONDENTS PERCENTAGE

BRAND NAME 63 42

RELIABILITY 40 27

SERVICE 47 31

TOTAL 150 100

INTERPRETATION:

• Out of 150 respondents, it was found that 42% of the respondents said that they
have chosen a insurance company based on the Brand name, whereas 27% & 31%
of the respondents said that they have chosen a insurance company based on
reliability & service respectively.

CHART- 9

FACTORS TAKEN INTO CONSIDERATION FOR CHOOSING A INSURANCE

COMPANY

36
 45
42

40

35
PERCENTAGE OF RESPONDENTS

31
30
27

25

20

15

10

0
BRAND NAME RELIABILITY SERVICE

FACTORS

TABLE-10

THE AGENT PROVIDES COMPLETE KNOWLEDGE ABOUT THE SCHEMES

OF IDBI

37
 PARTICULARS NO. OF RESPONDENTS PERCENTAGE

YES 119 79

NO 31 21

TOTAL 150 100

INTERPRETATION:

• Out of 150 respondents it is inferred that 79% of the respondents agreed that the
agent provides complete knowledge about the schemes of IDBI; &
• Whereas 21% of the respondents do not agree with the same..

CHART- 10

THE AGENT PROVIDES COMPLETE KNOWLEDGE ABOUT THE SCHEME

OF IDBI

38
 90
79
80

70
PERCENTAGE OF RESPONDENTS

60

50

40

30
21
20

10

0
YES NO

OPTIONS

TABLE-11

RECOMMEND IDBI TO FRIENDS/RELATIVES

39
 FACTORS NO. OF RESPONDENTS PERCENTAGE

DEFINITELY 57 38

NOT SURE 37 25

DEFINITELY NOT 56 37

TOTAL 150 100

INTERPRETATION:

o Out of 150 respondents, it was found that 38% of the respondents have said that they
definitely recommend the IDBI to their friends/relatives;
o 25% said that they are not sure whether they recommend IDBI to their
friends/relatives;&
o 37% said that definitely they will not recommend about IDBI to their
friends/relatives.

CHART-11

RECOMMEND IDBI TO FRIENDS/RELATIVES

40
 40 38
37

35
PERCENTAGE OF RESPONDENTS

30

25
25

20

15

10

0
DEFINITELY NOT SURE DEFINITELY
NOT

FACTORS

TABLE-12

OPINION ABOUT IDBI PRODUCT & SERVICE IN COMPARISON WITH

OTHER COMPANY’S PRODUCT & SERVICE

41
 FACTORS NO. OF PERCENTAGE
RESPONDENTS

VERY GOOD 21
32

GOOD 44
66

BETTER 20
30

BAD 12
18

WORSE 3
4

TOTAL 100
150

INTERPRETATION:

o Out of 150 respondents,21% of the respondents said that IDBI product &
service are very good compared to other company’s product/service;
o 44% said as good;
o 20% said as better;
o 12% said as bad; &
o 3% of the respondents said that IDBI product & service are worse
compared to other company’s product/service.
CHART-12

OPINION ABOUT IDBI PRODUCT & SERVICE IN COMPARISON WITH

OTHER COMPANY’S PRODUCT & SERVICE

42
 50

45 44

40
PERCENTAGE OF RESPONDENTS

35

30

25
21
20
20

15
12

10

5 3

0
VERY GOOD BETTER BAD WORSE
GOOD

FACTORS

TABLE-13

IDBI FULFILLS EXPECTATION

43
 FACTORS NO. OF RESPONDENTS PERCENTAGE

YES 103 69

NO 47 31

TOTAL 150 100

INTERPRETATION:

• Out of 150 respondents, 69% of the respondents said that IDBI fulfills their
expectation; &
• Whereas 31% of the respondents have said that their expectations are not fulfilled
by IDBI.

CHART-13

IDBI FULFILLS EXPECTATION

44
 80

69
70
PERCENTAGE OF RESPONDENTS

60

50

40
31
30

20

10

0
YES NO

OPTIONS

TABLE-14

LEVEL OF SATISFACTION REGARDING IDBI FORTIS

45
 PARTICULARS NO. OF PERCENTAGE
RESPONDENTS

EXTREMELY
SATISFIED 27 18

SATISFIED 59 40

NEITHER SATISFIED
NOR DISSATISFIED 38 25

DISSATISFIED 20 13

EXTREMELY
DISSATISFIED 6 4

TOTAL 150 100

INTERPRETATION:

• Out of 150 respondents, 18% of the respondents said that they are extremely
satisfied with IDBI and 40% said that they are satisfied with IDBI; 25% said that
they are neither satisfied nor dissatisfied with IDBI; 13% said that they are
dissatisfied with IDBI; & 4% said that they are extremely dissatisfied with IDBI.

CHART-14

LEVEL OF SATISFACTION REGARDING IDBI FORTIS

46
 PERCENTAGE
OF RESPONDENTS
EX
TR
EM

0
5
10
15
20
25
30
35
40
45

EL
Y
SA
TI
SF
IE
NE D
I TH
ER
18

SA
T IS SA
FI TI
ED S
FI
NO ED
R
40

DI
S SA
T IS
FI
E D

FACTORS
25

TABLE-15
DI
EX S SA
TR T IS
EM FI
EL ED
Y
D
13

IS
S AT
IS
FI
ED
4

TIME TAKEN BY IDBI TO RESOLVE COMPLAINTS

47
 FACTORS NO. OF RESPONDENTS PERCENTAGE

WITHIN 1day 64 43

WITHIN 1week 62 41

WITHIN 1month 20 13

NOT AT ALL SOLVED 4 3

TOTAL 150 100

INTERPRETATION:

• Out of 150 respondents, 43% of the respondents have said that the complaints
made by them are resolved by IDBI within 1day, 41% specified as within 1week,
13% specified as within 1month and 3% of the respondents reported that the
complaints made to IDBI are not at all resolved.

CHART-15

TIME TAKEN BY IDBI TO RESOLVE COMPLAINTS

48
 50
45 43
41
PERCENTAGE OF RESPONDENTS

40
35
30
25
20
15 13

10
5 3

0
WITHIN WITHIN WITHIN NOT AT
1day 1w eek 1month ALL
SOLVED

FACTORS

TABLE- 16

1.1 ANALYSIS OF THE DEMOGRAPHIC CHARACTERISTICS-

CLASSIFICATION OF THE RESPONDENTS BY GENDER

49
 PARTICULARS NO. OF RESPONDENTS PERCENTAGE

MALE 108 72

FEMALE 42 28

TOTAL 150 100

INTERPRETATION:

• Out of 150 respondents, it is inferred that 72% of the respondents are male and 28%
are female.

CHART-16

ANALYSIS OF THE DEMOGRAPHIC CHARACTERISTICS-

CLASSIFICATION OF THE RESPONDENTS BY GENDER

50
 80
72
70
PERECNTAGE OF RESPONDENTS

60

50

40

30 28

20

10

0
MALE FEMALE

GENDER

TABLE-17

1.2 CLASSIFICATION OF THE RESPONDENTS BY AGE

51
 AGE NO. OF RESPONDENTS PERCENTAGE

20-30 years 36 24

31-40 years 70 47

41-50 years 38 25

50-60 years 6 4

TOTAL 150 100

INFERENCE:

• Out of 150 respondents, it is inferred that 24% of the respondents are between the
age group of 20-30;
• 47% of the respondents are between the age group 31-40;
• 25% of the respondents are between the age of 41-50; &
• 4% of the respondents are above 50 years

CHART-17

CLASSIFICATION OF THE RESPONDENTS BY AGE

52
 50 47
45
40
PERCENTAGE OF RESPONDENTS

35
30
24 25
25
20
15
10
4
5
0
20-30 31-40 41-50 50-60
years years years years

AGE GROUP

TABLE-18

1.3 CLASSIFICATION OF THE RESPONDENTS BY MARITAL STATUS

53
 MARTIAL STATUS
NO.OF RESPONDENTS PERCENTAGE

MARRIED 125 83

UNMARRIED 25 17

TOTAL 150 100

INFERENCE:

• Out of 150 respondents, it is inferred that 83% of the respondents are married and
17% of the respondents are unmarried.

CHART-18

CLASSIFICATION OF THE RESPONDENTS BY MARITAL STATUS

54
 90 83
80

70
PERCENTAGE OF RESPONDENTS

60

50

40

30

20 17

10

0
MARRIED UNMARRIED

MARTIAL STATUS

TABLE-19

1.4 CLASSIFICATION OF THE RESPONDENTS BY EDUCATIONAL

QUALIFICATION

55
 QUALIFICATION NO. OF RESPONDENTS PERCENTAGE

UNDER GRADUATION 62 41

POST GRADUATION 57 38

OTHERS 31 21

TOTAL 150 100

INFERENCE:

• Out of 150 respondents, 41% of them are graduates;

• 38% of them are post graduates; &
• And 21% of them have completed Diploma, ITI, Professional courses, etc…

CHART-19

CLASSIFICATION OF THE RESPONDENTS BY EDUCATIONAL

QUALIFICATION

56
 45
41
40 38
PERCENTAGE OF RESPONDENTS

35

30

25
21
20

15

10

0
UNDER POST OTHERS
GRADUATION GRADUATION

QUALIFICATION

TABLE- 20

1.5 CLASSIFICATION OF THE RESPONDENTS BY OCCUPATION

57
 OCCUPATION NO. OF PERCENTAGE
RESPONDENTS

PRIVATE 41 27

GOVERNMENT 57 38

BUSINESS 45 30

AGRICULTURE 7 5

TOTAL 150 100

INFERENCE:

• Out of 150 respondents, 27% of them are private employees;

• 38% of them are government employees;
• 30% of them are doing business; &
• 5% of them are doing agriculture.

CHART-20

CLASSIFICATION OF THE RESPONDENTS BY OCCUPATION

58
 40 38

35
30
PERCENTAGE OF RESPONDENTS

30 27
25

20

15

10
5
5

E
T

S
E

EN

R
ES
AT

TU
M

IN
IV

UL
RN

S
PR

BU

IC
VE

R
O

AG
G

OCCUPATION

TABLE-21

1.6 CLASSIFICATION OF THE RESPONDENTS BY ANNUAL INCOME

59
 ANNUAL INCOME NO. OF PERCENTAGE
RESPONDENTS

BELOW Rs.1,00,000 25 17

Rs.1,00,000-Rs.2,00,000 62 41

Rs.2,00,000-Rs.5,00,000 50 33

ABOVE Rs.5,00,000 13 9

TOTAL 150 100

INFERENCE:

• Out of 150 respondents, 17% of them said that their annual income is below
Rs.1,00,000;
• 41% of them said that their annual income is Rs.1,00,000-Rs.2,00,000;
• 33% of them said that their annual income is Rs.2,00,000-Rs.5,00,000; &
• 9% of them said that their annual income is above Rs.5,00,000.

CHART- 21

CLASSIFICATION OF THE RESPONDENTS BY ANNUAL INCOME

60
 PERCENTAGE OF RESPONDENTS

10
15
20
25
30
35
40
45

0
5
BE
LO
W
R
s.
1,
00
,0
00

17
R
s.
1,
00
,0
00
-R
s.
2,
00
,0
00
41

R
s.
2,
00
,0
00
-R
s.
5,

TABLE: 22
ANNUAL INCOME
00
,0

CHI-SQUARE
00
33

AB
O
V
E
R
s.
5,
00
,0
00
9

61
 TO TEST THE DEPENDENCE BETWEEN SUM ASSURED AND
SATISFACTION LEVEL OF SERVICE

H0: there is no significant relationship between the sum assured and the satisfaction
level among respondents regarding service.
H1: there is significant relationship between the sum assured and the satisfaction level
among respondents regarding service.

NEUTRAL

TOTAL
SATISFIED

SATISFIED

DISSATISFIED

DISSATISFIED
HIGHLY

HIGHLY
SERVICE
LEVEL

NO. OF 24 22 54 38 12 150
RESPONDENTS

SUM ASSURED LESSTHAN Rs.1,00,000- ABOVE TOTAL

Rs.1,00,000 Rs.2,00,000 Rs.2,00,000

NO. OF 52 64 34 150
RESPONDENTS

62
 NEUTRAL

TOTAL
SATISFIED

DISSATISFIED
HIGHLY
SATISFIED

DISSATISFIED
SERVICE

HIGHLY
LEVEL/
SUM
ASSURED

LESSTHAN 12 7 22 8 3 52
Rs.1,00,000
Rs.1,00,000
–Rs.2,00,000 10 5 22 21 6 64

ABOVE
Rs.2,00,000 2 10 10 9 3 34

TOTAL 24 22 54 38 12 150

(As the value in some cells is <10, regroup of data is done for analysis purpose)

SERVICE SATISFIED NEUTRAL DISSATISFIED TOTAL

LEVEL/ SUM
ASSURED
LESSTHAN
1,00,000 19 22 11 52
1,00,000 –
2,00,000 15 22 27 64
ABOVE
2,00,000 12 10 12 34

TOTAL 46 54 50 150

63
Eij=Rij*Cij/N

Row total*column total /Grand total

Oi Ei (Oi-Ei) (Oi-Ei) 2 (Oi-Ei) 2 /Ei

12 8.3 3.7 13.69 1.65

7 7.5 0.5 0.25 0.03

22 18.7 3.3 10.89 0.58

8 13.2 5.2 27.04 2.05

3 4.2 1.2 1.44 0.34

10 10.2 0.2 0.04 0.004

5 9.4 4.4 19.36 2.06

22 23.5 1.5 2.25 0.09

21 15.2 5.8 33.64 2.21

6 5.1 0.9 0.81 0.16

2 5.4 3.4 11.56 2.14

10 4.4 5.6 31.36 7.12

10 12.2 2.2 4.84 0.39

9 8.5 0.5 0.25 0.03

3 2.7 0.3 0.09 0.03

TOTAL 18.884

CALCULATED VALUE FROM CHI-SQUARE = 18.884

64
DEGREE OF FREEDOM=(R-1) (C-1)

= (3-1) (3-1)

=4

LEVEL OF SIGNIFICANCE = 5%

Tabulated value of ψ2 for 6 degree of freedom at 5% level of significance is

9.49

INFERENCE:

• As the table value is lesser than the calculated, H1 is accepted

Calculated value > table value
18.884 > 12.59
H1: there is significant relationship between the sum assured and the satisfaction level
among respondents regarding service.

RANK CORRELATION

65
 TABLE: 23
CORRELATING GENDER OF RESPONDENTS AND THEIR PREFERENCE
FOR INSURANCE COMPANY
MALE RESPONDENTS:

RANKING
PREFERENCE/ 1 2 3 4 5 TOTAL
COMPANY’S
IDBI FORTIS 25 30 20 15 18 108
LIFE
INSURANCE
SBI LIFE 15 25 12 35 21 108
INSURANCE
ICICI LIFE 30 20 15 20 23 108
INSURANCE
HDFC LIFE 18 20 33 15 22 108
INSURANCE
LIC 20 13 28 23 24 108
INSURANCE
COMPANY
TOTAL 108 108 108 108 108 540

FEMALE RESPONDENTS:

RANKING
PREFERENCE/ 1 2 3 4 5 TOTAL
COMPANY’S
IDBI FORTIS 15 9 8 6 4 42
LIFE
INSURANCE
SBI LIFE 6 13 12 8 3 42
INSURANCE
ICICI LIFE 6 10 10 7 9 42
INSURANCE
HDFC LIFE 5 5 6 15 11 42
INSURANCE
LIC 10 5 6 6 15 42
INSURANCE
COMPANY
TOTAL 42 42 42 42 42 210

66
 MALE RESPONDENTS:

RANKING/ 1 2 3 4 5 INDEX
COMPANY’S VALUE
IDBI FORTIS 25×5 30×4 20×3 15×2 18×1 353
LIFE
INSURANCE
SBI LIFE 15×5 25×4 12×3 35×2 21×1 302
INSURANCE
ICICI LIFE 30×5 20×4 15×3 20×2 23×1 338
INSURANCE
HDFC LIFE 18×5 20×4 33×3 15×2 22×1 321
INSURANCE
LIC 20×5 13×4 28×3 23×2 24×1 306
INSURANCE
COMPANY

FEMALE RESPONDENTS:

PREFERENCE/ 1 2 3 4 5 INDEX
COMPANY’S VALUE
IDBI FORTIS 15×5 9×4 8×3 6×2 4×1 151
LIFE
INSURANCE
SBI LIFE 6×5 13×4 12×3 8×2 3×1 137
INSURANCE
ICICI LIFE 6×5 10×4 10×3 7×2 9×1 123
INSURANCE
HDFC LIFE 5×5 5×4 6×3 15×2 11×1 104
INSURANCE
LIC 10×5 5×4 6×3 6×2 15×1 115
INSURANCE
COMPANY

67
 • Weightage of 5 is given for Rank 1
• Weightage of 4 is given for Rank 2
• Weightage of 3 is given for Rank 3
• Weightage of 2 is given for Rank 4
• Weightage of 1 is given for Rank 5

SPEARMAN’S METHOD

S.NO MALE FEMALE R1 R2 D=(R1-R2) D2=

RESPONDENTS RESPONDENTS (R1-R2) 2
1 353 151 1 1 0 0

2 302 137 5 2 3 9

3 338 123 2 3 1 1

4 321 104 3 5 2 2

5 306 115 4 4 0 0

TOTAL 12

RANK CORRELATION= 1 - 6∑D2 , D = different of the rank between variables.

n(n2 -1) n = number of observations.

= 1 – 6(12)
5(52-1)

=1 – 0.6

= 0.4
INFERENCE:
The value is positive, Hence we can say that there is a correlation
between gender & their preference for insurance company.
TABLE: 24

68
 TO CHECK THE CORRELATION BETWEEN GENDER OF RESPONDENTS
AND THEIR PREFERRED ATTRIBUTES
MALE RESPONDENTS:

RANKING
EXPECTATION/ 1 2 3 4 5 TOTAL
ATTRIBUTES
CAPITAL 35 20 15 18 20 108
GUARANTEE
HIGH RETURN 25 25 30 12 16 108

TAX BENEFIT 32 28 22 18 8 108

LOWER RISK 10 20 18 32 28 108

FUTURE 6 15 23 28 36 108
CONTINGENCY
TOTAL 108 108 108 108 108 540

FEMALE RESPONDENTS:

RANKING
EXPECTATION/ 1 2 3 4 5 TOTAL
ATTRIBUTES

CAPITAL 18 8 10 4 2 42
GUARANTEE

HIGH RETURN 8 7 7 12 8 42

TAX BENEFIT 6 10 10 9 7 42

LOWER RISK 4 8 5 15 10 42

FUTURE 6 9 10 2 15 42
CONTINGENCY

TOTAL 42 42 42 42 42 210

69
 MALE RESPONDENTS:
EXPECTATION/ 1 2 3 4 5 INDEX
ATTRIBUTES VALUE
CAPITAL 35×5 20×4 15×3 18×2 20×1 356
GUARANTEE
HIGH RETURN 25×5 25×4 30×3 12×2 16×1 355

TAX BENEFIT 32×5 28×4 22×3 18×2 8×1 382

LOWER RISK 10×5 20×4 18×3 32×2 28×1 286

FUTURE 6×5 15×4 23×3 28×2 36×1 251

CONTINGENCY

FEMALE RESPONDENTS:

EXPECTATION/ 1 2 3 4 5 INDEX
ATTRIBUTES VALUE

CAPITAL 18×5 8×4 10×3 4×2 2×1 162

GUARANTEE

HIGH RETURN 8×5 7×4 7×3 12×2 8×1 113

TAX BENEFIT 6×5 10×4 10×3 9×2 7×1 125

LOWER RISK 4×5 8×4 5×3 15×2 10×1 107

FUTURE 6×5 9×4 10×3 2×2 15×1 115

CONTINGENCY

• Weightage of 5 is given for Rank 1

• Weightage of 4 is given for Rank 2

70
 • Weightage of 3 is given for Rank 3
• Weightage of 2 is given for Rank 4
• Weightage of 1 is given for Rank 5

SPEARMAN’S METHOD

S.NO MALE FEMALE R1 R2 D=(R1-R2) D2=

RESPONDENTS RESPONDENTS (R1-R2) 2
1 356 162 2 1 1 1
2 355 113 3 4 1 1
3 382 125 1 2 1 1
4 286 107 4 5 1 1
5 251 115 5 3 2 4
TOTAL 8

RANK CORRELATION= 1 - 6∑D2 , D = different of the rank between variables.

2
n(n -1) n = number of observations.
= 1 – 6(8)
5(52-1)

=1 – 0.4

= 0.6

INFERENCE:
The value is positive, Hence we can say that there is a correlation
between gender & their preferred attributes.
WEIGHTED AVERAGE

TABLE: 25

OPINION ABOUT OUR PRODUCT/SERVICE IN COMPARISON TO OTHER

COMPANIES PRODUCTS/SERVICE

71
 PARTICULARS NO. OF WEIGHT(Wi) WiXi
RESPONDENTS
(Xi)
VERY GOOD 32 5 160

GOOD 66 4 264

BETTER 30 3 90

BAD 18 2 36

WORSE 4 1 4

TOTAL 150 554

WEIGHTED AVERAGE=∑ WiXi/∑ Xi

=554/150
=3.69
INFERENCE:

• Since the weighted average score is 3.69, we can understand that the customers of
IDBI Fortis have a good opinion about the products & service in comparison with
the products & service of other insurance company.

TABLE: 26

CLASSIFICATON OF THE RESPONDENTS TOWARDS RECOMMEND TO

FRIENDS/RELATIVES

72
PARTICULARS NO. OF WEIGHT WiXi
RESPONDENTS (Wi)
(Xi)
DEFINITELY 30 5 150

PROBABLY 55 4 220

NOT SURE 40 3 120

PROBABLY NOT 17 2 34

DEFINITELY NOT 8 1 8

TOTAL 150 532

WEIGHTED AVERAGE=∑ WiXi/∑ Xi

=532/150
=3.55

INFERENCE:
• From the estimation it is inferred that the weighted average score on
recommending to friends/relatives by the respondents about IDBI is
commendably appreciable.

TABLE-27

OPINION OF THE RESPONDENTS REGARDING SERVICES OFFERED BY

IDBI FORTIS IN COMPARISON WITH OTHER COMPANIES

SERVICE/ 1 2 3 4 5 TOTAL
COMPANY’S
73
 IDBI 52 30 28 25 15 150
FORTIS
LIFE
INSURANCE
SBI LIFE 25 18 30 37 40 150
INSURANCE
ICICI LIFE 30 42 38 22 18 150
INSURANCE
HDFC LIFE 18 23 30 35 44 150
INSURANCE
LIC 25 37 24 31 33 150
INSURANCE
COMPANY
TOTAL 150 150 150 150 150 750

INDEX VALUE OF SERVICE RATING:

SERVICE/ 1 2 3 4 5 INDEX
COMPANY’S VALUE
(∑wx)
IDBI FORTIS 52×5 30×4 28×3 25×2 15×1 529
LIFE
INSURANCE
SBI LIFE 25×5 18×4 30×3 37×2 40×1 401
INSURANCE
ICICI LIFE 30×5 42×4 38×3 22×2 18×1 494
INSURANCE
HDFC LIFE 18×5 23×4 30×3 35×2 44×1 386
INSURANCE
LIC 25×5 37×4 24×3 31×2 33×1 440
INSURANCE
COMPANY

• Weightage of 5 is given for Rank 1

• Weightage of 4 is given for Rank 2
• Weightage of 3 is given for Rank 3
• Weightage of 2 is given for Rank 4
• Weightage of 1 is given for Rank 5

74
 SERVICE NO. OF ∑wx/∑w WEIGHTED RANK
(∑wx) VARIABLES AVERAGE
(∑w) VALUE

150 529/150 3.5 1

529

150 401/150 2.7 4

401

150 494/150 3.3 2

494

150 386/150 2.6 5

386

150 440/150 2.9 3

440

INFERENCE:
• From the estimation it is inferred that the weighted average score is 3.5 for IDBI
FORTIS, 3.3 for ICICI, 2.9 for LIC, 2.7 for SBI, & 2.6 for HDFC regarding the
services offered, We can find that the services of IDBI and ICICI is commendably
appreciable, when compared to other companies.

TABLE-28

OPINION OF THE RESPONDENTS TOWARDS PREMIUM RATE OFFERED

BY VARIOUS COMPANIES

PREMIUM/ 1 2 3 4 5 TOTAL
COMPANY’S
IDBI 35 25 30 38 22 150
FORTIS

75
 LIFE
INSURANCE
SBI LIFE 15 30 35 30 40 150
INSURANCE
ICICI LIFE 30 42 35 32 11 150
INSURANCE
HDFC LIFE 15 18 20 30 67 150
INSURANCE
LIC 55 35 30 20 10 150
INSURANCE
COMPANY
TOTAL 150 150 150 150 150 750

INDEX VALUE OF PREMIUM RATING:

PREMIUM/ 1 2 3 4 5 INDEX
COMPANY’S VALUE
IDBI FORTIS 35×5 25×4 30×3 38×2 22×1 463
LIFE
INSURANCE
SBI LIFE 15×5 30×4 35×3 30×2 40×1 400
INSURANCE
ICICI LIFE 30×5 42×4 35×3 32×2 11×1 498
INSURANCE
HDFC LIFE 15×5 18×4 20×3 30×2 67×1 334
INSURANCE
LIC 55×5 35×4 30×3 20×2 10×1 555
INSURANCE
COMPANY

• Weightage of 5 is given for Rank 1

• Weightage of 4 is given for Rank 2
• Weightage of 3 is given for Rank 3
• Weightage of 2 is given for Rank 4
• Weightage of 1 is given for Rank 5

76
 PREMIUM NO. OF ∑wx/∑w WEIGHTED RANK
RATE VARIABLES AVERAGE
(∑wx) (∑w) VALUE

150 463/150 3.09 3

463

150 400/150 2.67 4

400

150 498/150 3.32 2

498

150 334/150 2.22 5

334

150 555/150 3.7 1

555

INFERENCE:
• From the estimation it is inferred that the weighted average score is 3.7 for LIC
insurance; 3.3 for ICICI; 3.09 for IDBI FORTIS; 2.67 for SBI; & 2.22 for HDFC
regarding the premium rate, We can found that the ratings of LIC & ICICI and
IDBI is commendably appreciable, when compared to other companies.

TABLE-29

OPINION OF THE RESPONDENTS TOWARDS MATURITY PERIOD

OFFERED BY VARIOUS COMPANIES

MATURITY/ 1 2 3 4 5 TOTAL
COMPANY’S
IDBI 40 30 28 32 20 150
FORTIS

77
 LIFE
INSURANCE
SBI LIFE 25 40 30 24 31 150
INSURANCE
ICICI LIFE 30 32 32 30 26 150
INSURANCE
HDFC LIFE 25 25 37 32 31 150
INSURANCE
LIC 30 23 23 32 42 150
INSURANCE
COMPANY
TOTAL 150 150 150 150 150 750

INDEX VALUE OF MATURITY RATING:

MATURITY/ 1 2 3 4 5 INDEX
COMPANY’S VALUE
IDBI FORTIS 40×5 30×4 28×3 32×2 20×1 508
LIFE
INSURANCE
SBI LIFE 25×5 40×4 30×3 24×2 31×1 454
INSURANCE
ICICI LIFE 30×5 32×4 32×3 30×2 26×1 460
INSURANCE
HDFC LIFE 25×5 25×4 37×3 32×2 31×1 431
INSURANCE
LIC 30×5 23×4 23×3 32×2 42×1 417
INSURANCE
COMPANY

• Weightage of 5 is given for Rank 1

• Weightage of 4 is given for Rank 2
• Weightage of 3 is given for Rank 3
• Weightage of 2 is given for Rank 4
• Weightage of 1 is given for Rank 5

78
 MATURITY NO. OF ∑wx/∑w WEIGHTED RANK
(∑wx) VARIABLES AVERAGE
(∑w) VALUE

150 508/150 3.4 1

508

150 454/150 3.03 3

454

150 460/150 3.06 2

460

150 431/150 2.9 4

431

150 417/150 2.7 5

417

INFERENCE:
• From the estimation it is inferred that the weighted average score is 3.4 for IDBI
FORTIS; 3.06 for ICICI; 3.03 for SBI; 2.9 for HDFC; & 2.7 for LIC regarding the
maturity period. And the rating of IDBI, ICICI and SBI is commendably
appreciable, when compared to other companies.

TABLE-30

OPINION OF THE RESPONDENTS TOWARDS VARIETY OF SCHEME

ABOUT VARIOUS COMPANIES

VARIETY 1 2 3 4 5 TOTAL
OF
SCHEME/
COMPANY’S

79
 IDBI 35 42 35 27 11 150
FORTIS
LIFE
INSURANCE
SBI LIFE 18 22 41 30 39 150
INSURANCE
ICICI LIFE 52 35 32 20 11 150
INSURANCE
HDFC LIFE 25 25 28 33 39 150
INSURANCE
LIC 20 26 14 40 50 150
INSURANCE
COMPANY
TOTAL 150 150 150 150 150 750

INDEX VALUE FOR VARIETY OF SCHEME:

VARIETY OF 1 2 3 4 51 INDEX
SCHEME/ VALUE
COMPANY’S
IDBI FORTIS 35×5 42×4 35×3 27×2 11×1 513
LIFE
INSURANCE
SBI LIFE 18×5 22×4 41×3 30×2 39×1 400
INSURANCE
ICICI LIFE 52×5 35×4 32×3 20×2 11×1 547
INSURANCE
HDFC LIFE 25×5 25×4 28×3 33×2 39×1 414
INSURANCE
LIC 20×5 26×4 14×3 40×2 50×1 376
INSURANCE
COMPANY

• Weightage of 5 is given for Rank 1

• Weightage of 4 is given for Rank 2
• Weightage of 3 is given for Rank 3
• Weightage of 2 is given for Rank 4
• Weightage of 1 is given for Rank 5

80
 VARIETY OF NO. OF ∑wx/∑w WEIGHTED RANK
SCHEME VARIABLES AVERAGE
(∑wx) (∑w) VALUE

150 513/150 3.42 2

513

150 400/150 2.67 4

400

150 547/150 3.64 1

547

150 414/150 2.76 3

414

150 376/150 2.51 5

376

INFERENCE:
• From the estimation it is inferred that the weighted average score is 3.64 for ICICI;
3.42 for IDBI FORTIS; 2.76 for HDFC; 2.67 for SBI; 2.51 for LIC regarding the
variety of schemes offered & found that the ratings of ICICI and IDBI FORTIS is
commendably appreciable, when compared to other companies.

TABLE-31

RESPONDENTS ORDER OF PREFERENCES FOR INSURANCE COMPANIES

PREFERENCE/ 1 2 3 4 5 TOTAL
COMPANY’S
IDBI FORTIS 40 39 28 21 22 150
LIFE
INSURANCE

81
 SBI LIFE 21 38 24 43 24 150
INSURANCE
ICICI LIFE 36 30 25 27 32 150
INSURANCE
HDFC LIFE 23 25 39 30 33 150
INSURANCE
LIC 30 18 34 29 49 150
INSURANCE
COMPANY
TOTAL 150 150 150 150 150 750

INDEX VALUE OF PREFERENCE FOR INSURANCE:

PREFERENCE/ 1 2 3 4 51 INDEX
COMPANY’S VALUE
IDBI FORTIS 40×5 39×4 28×3 21×2 22×1 504
LIFE
INSURANCE
SBI LIFE 21×5 38×4 24×3 43×2 24×1 439
INSURANCE
ICICI LIFE 36×5 30×4 25×3 27×2 32×1 461
INSURANCE
HDFC LIFE 23×5 25×4 39×3 30×2 33×1 464
INSURANCE
LIC INSURANCE 30×5 18×4 34×3 29×2 49×1 431
COMPANY

• Weightage of 5 is given for Rank 1

• Weightage of 4 is given for Rank 2
• Weightage of 3 is given for Rank 3
• Weightage of 2 is given for Rank 4
• Weightage of 1 is given for Rank 5

82
PREFERENCE
FOR NO. OF ∑wx/∑w WEIGHTED RANK
INSURANCE VARIABLES AVERAGE
(∑wx) (∑w) VALUE

150 504/150 3.36 1

504

150 439/150 2.9 4

439

150 461/150 3.1 3

461

150 464/150 3.1 2

464

150 431/150 2.8 5

431

INFERENCE:
• From the estimation, it is inferred that the weighted average score is 3.36 for IDBI;
3.1 for ICICI; 3.1 for HDFC; 2.9 for SBI; & 2.8 for LIC.
Therefore, it is understand that the most preferred insurance company is IDBI
followed by ICICI and HDFC.

TABLE-32

EXPECTATION OF RESPONDENTS FROM INSURANCE COMPANY WITH

REGARD TO THE FOLLOWING ATTRIBUTES

83
EXPECTATION/ 1 2 3 4 5 TOTAL
ATTRIBUTES
CAPITAL 53 28 25 22 22 150
GUARANTEE
HIGH RETURN 33 32 37 24 24 150

TAX BENEFIT 38 38 32 27 15 150

LOWER RISK 14 28 23 47 38 150

FUTURE 12 24 33 30 51 150
CONTINGENCY
TOTAL 150 150 150 150 150 750

INDEX VALUE OF PREFERRED ATTRIBUTES:

EXPECTATION/ 1 2 3 4 51 INDEX
ATTRIBUTES VALUE
CAPITAL 53×5 28×4 25×3 22×2 22×1 518
GUARANTEE
HIGH RETURN 33×5 32×4 37×3 24×2 24×1 476

TAX BENEFIT 38×5 38×4 32×3 27×2 15×1 507

LOWER RISK 14×5 28×4 23×3 47×2 38×1 383

FUTURE 12×5 24×4 33×3 30×2 51×1 366

CONTINGENCY

• Weightage of 5 is given for Rank 1

• Weightage of 4 is given for Rank 2
• Weightage of 3 is given for Rank 3
• Weightage of 2 is given for Rank 4
• Weightage of 1 is given for Rank 5
•

84
 PREFERRED NO. OF ∑wx/∑w WEIGHTED RANK
ATTRIBUTES VARIABLES AVERAGE
(∑wx) (∑w) VALUE

150 518/150 3.45 1

518

150 476/150 3.17 3

476

150 507/150 3.38 2

507

150 383/150 2.55 4

383

150 366/150 2.44 5

366

INFERENCE:
• From the estimation, it is inferred that the weighted average score 3.45 for IDBI;
3.38 for ICICI; 3.17 for HDFC; 2.55 for SBI; 2.44 for LIC.
Therefore, it is understand that the most preferred attributes among respondents is
Capital Guarantee, Tax Benefit & High Return. And they give least preference for
Lower Risk & Future Contingency.

CONSOLIDATED INFERENCE

 From the above table it is inferred that the way of knowing the insurance company,
enumerated as order
43% of the respondents have said that they are aware through advertisement.
33% of the respondents have said that they are aware through relatives/friends.

85
 16% of the respondents have said that they are aware through agent/employee.
Only 8%of the respondents have said that they are aware through neighbours,
Colleagues, etc….

 Out of 150 respondents, 35% said that the sum assured IDBI is less than
Rs.1,00,000 and 43% said that the sum assured with IDBI is between Rs.1 lakh to
Rs.2 lakhs and 22% said that the sum assured with IDBI is above Rs.2 lakhs.
.

 Out of 150 respondents, it is inferred that 31% of the respondents have

said that they are holding incomesurance, whereas 38% hold wealthsurance, 18%
hold bondsurance, and 13% hold retirement scheme.

 Out of 150 respondents, it is inferred that 55% of the respondents have

invested in long term policies; &
And 45% of the respondents have invested in short term policies.

 Out of 150 respondents; it is inferred that 42% of the respondents have

said that their family members do hold a policy with IDBI and 58% of the
respondents have said that there is nobody else hold policy with IDBI in their
family
 Out of 150 respondents; it is inferred that 37% of the respondents said that they
Opted insurance policy for capital guarantee;
19% said that they have taken policy for tax benefit;
21% said that they have taken policy for short term return; &
23% said that they have taken policy for long term return.

 Out of 150 respondents; it is inferred that 16% said that they are highly satisfied
with the services of IDBI;
15% said that they are satisfied with the services of IDBI;

86
 36% said that they are neutral with the services of IDBI;
25% said that they are dissatisfied with the services of IDBI; &
8% said that they are highly dissatisfied with the services of IDBI

 Out of 150 respondents, it is inferred that 75% of the respondents said that
they are satisfied with the scheme offered by IDBI;
Whereas 25% of the respondents have said that they are not satisfied with the
scheme offered by IDBI.
 Out of 150 respondents, it was found that 42% of the respondents have chosen
insurance company based on the Brand name, whereas 27% based on reliability
& 31% based on service.

 Out of 150 respondents it is inferred that 79% of the respondents agreed that
whereas 21% of the respondents do not agree with the same.

 Out of 150 respondents, it was found that 38% of the respondents have said that they
definitely recommend the IDBI to their friends/relatives;
25% said that they are not sure whether they recommend IDBI to their
friends/relatives; & 37% said that definitely they will not recommend about IDBI
to their friends/relatives.

 Out of 150 respondents,21% prefer for very good to IDBI product/service

towards other company’s product/service;
44% said that it is good to compare with other company’s product/service;
20% said that it is better than other company’s product/service;
12% said that it was bad to compare with other company’s product/service; &
3% said that it was worse when compare with other company’s product/service.

 Out of 150 respondents, 69% of the respondents said that IDBI fulfills their
expectation; & whereas 31% of the respondents have said that their expectations
are not fulfilled by IDBI..

87
 Out of 150 respondents, it is inferred that 18% are extremely satisfied with the IDBI
and 40% are said that they are satisfied with IDBI; 25% are said that they are
somewhat satisfied with IDBI; 13% said that they extremely dissatisfied with
IDBI; & 4% said that they are extremely dissatisfied with IDBI..

 Out of 150 respondents, 43% of the respondents have said that the
complaints made by them are resolved by IDBI within 1day, 41% specified as
within 1week, 13% specified as within 1month and 3% of the respondents reported
that the complaints made to IDBI are not at all resolved.

 Out of 150 respondents, it is inferred that 72% of the respondents are male and
28% are female category.

 Out of 150 respondents, it is inferred that 24% of the respondents are between the
age group of 20-30yrs;
47% of the respondents are between the age group of 31-40yrs;
25% of the respondents are between the age of 41-50yrs; &
4% of the respondents are above 50 years of age.

 Out of 150 respondents, it is inferred that 83% of the respondents are married and
17% of the respondents are unmarried.

 Out of 150 respondents, 41% of them are graduates;

38% of them are post graduates; &
21% of them have completed Diploma, ITI, Professional courses, etc…

 Out of 150 respondents, 27% of them are private employees;

38% of them are government employees;
30% of them are doing business; &
5% of them are doing agriculture.

88
  Out of 150 respondents, 17% of them said that their annual income is below
Rs.100000;
41% of them are Rs.100000-200000;
33% of them are Rs.200000-500000; &
9% of them are above Rs.500000.

INFERENCES BASED ON THE STATISTICAL TOOLS

 As the table value is lesser than the calculated, H1 is accepted

Calculated value > table value
18.884 > 12.59
H1: there is significant relationship between the sum assured and the satisfaction
level among respondents regarding service.

 The value is positive, Hence we can say that there is a correlation between
gender & their preference for insurance company.

 The value is positive, Hence we can say that there is a correlation

between gender & their preferred attributes.

 From the estimation, it is inferred that the weighted average score 3.45 for
IDBI; 3.38 for ICICI; 3.17 for HDFC; 2.55 for SBI; 2.44 for LIC.
Therefore, it is understand that the most preferred attributes among respondents is
Capital Guarantee, Tax Benefit & High Return. And they give least preference for
Lower Risk & Future Contingency.

 From the estimation it is inferred that the weighted average score on recommending
to friends/relatives by the respondents about IDBI is commendably appreciable.

 From the estimation it is inferred that the weighted average score is 3.5 for IDBI

89
 FORTIS, 3.3 for ICICI, 2.9 for LIC, 2.7 for SBI, & 2.6 for HDFC regarding the
services offered, We can find that the services of IDBI and ICICI is commendably
appreciable, when compared to other companies.

 From the estimation it is inferred that the weighted average score is 3.7 for LIC
insurance; 3.3 for ICICI; 3.09 for IDBI FORTIS; 2.67 for SBI; & 2.22 for HDFC
regarding the premium rate, We can found that the ratings of LIC & ICICI and
IDBI is commendably appreciable, when compared to other companies.

 From the estimation it is inferred that the weighted average score is 3.4 for IDBI
FORTIS; 3.06 for ICICI; 3.03 for SBI; 2.9 for HDFC; & 2.7 for LIC regarding the
maturity period. And the rating of IDBI, ICICI and SBI is commendably
appreciable, when compared to other companies.

 From the estimation it is inferred that the weighted average score is 3.64 for ICICI;
3.42 for IDBI FORTIS; 2.76 for HDFC; 2.67 for SBI; 2.51 for LIC regarding the
variety of schemes offered & found that the ratings of ICICI and IDBI FORTIS is
commendably appreciable, when compared to other companies.

 From the estimation, it is inferred that the weighted average score is 3.36 for IDBI;
3.1 for ICICI; 3.1 for HDFC; 2.9 for SBI; & 2.8 for LIC.
Therefore, it is understand that the most preferred insurance company is IDBI
followed by ICICI and HDFC.
 Since the weighted average score is 3.69, we can understand that the customers of
IDBI Fortis have a good opinion about the products & service in comparison with
the products & service of other insurance company.

BASED ON THE INFERENCES THE FOLLOWING FINDINGS ARE

INCORPORATED:

90
 From the demographic analysis, it can be inferred that majority of the respondents
are middle aged & they are also well educated.
 When enquired with the respondents regarding the sources of information about
insurance company, majority of the respondents have indicated that their
awareness about insurance company are through television & through the
reference by friends / relatives.
 Majority of the respondents said that they have chosen insurance company based
on the brand name, followed by reliability & service.
 Based on the weighted average, we can also interpret most preferred attributes
among respondents is Capital Guarantee, Tax Benefit & High Return. And they
give least preferences for Lower Risk & Future Contingency.
 When opined about agents of IDBI, majority of the respondents have said that the
agents explain the schemes properly & provide a good knowledge. But they have
also specified that the agents also make some false promises at the time of policy
making.
 Majority of the respondents have also specified that they are satisfied with the
scheme & service offered by IDBI, and they also specified that refer IDBI to their
friends.
 we can understand that the customers of IDBI Fortis have a good opinion about
the products & service in comparison with the products & service of other
insurance company.
 Therefore, it is understand that the most preferred insurance company is IDBI
followed by ICICI and HDFC.

SUGGESTIONS

91
 Based on the findings the following suggestions are given to the company:

 As mass media plays a major role in creating awareness among general public, the
company should locate its advertisement in some of the prime channels / networks.
 The customer have also specified that organizing campaigns/road shows will also
helps in increasing the awareness level about IDBI among general public.
 These in turn, will help the company in increasing its brand name, among all the
segments of population irrespective of their age or literacy rate.
 As word of mouth plays a major role in creating awareness & also in making a
choice of insurance company, the IDBI should make sure that its customers are well
satisfied.
 By utilizing the funds mobilized from the investor in a proper manner, will help
the company in providing adequate capital guarantee & also higher return for the invested
funds; these were the most preferred attributes while selecting an insurance company.
 IDBI has to provide behavioral and attitude training to the sales executives to
emphasize on ethical values and fairness in the business, so that they do not give
any false promises to the customers..

CONCLUSION

92
The sowed seeds have become a plant by now: IDBI Fortis is just a one year

baby. If the company has to stabilize itself and establish in this competitive

field, they have to: The company has to concentrate on advertisement and

the company has to campaign about the product and its features.

BIBLIOGRAPHY
BOOK REFERENCE:

 Dr.C.R.kothari, “Research Methodology”, New Age International Publishers,

second revised edition, 2006. Pg.191.

93
  Kotler Philip, “Marketing Management”, 8 th edition, june, 1995, Pg.172-197.

 Robert A. Krueger, “Business Forecasting: A Practical, Comprehensive Resource

for Managers and Practitioners.” BookSurge Publishing, 2008. Pg. 130.

WEBSITES:

1. www.wikipedia.org

QUESTIONNAIRE
LIFE INSURANCE DETAILS

1. How do you come to know about IDBI ?

94
 ADVERTISEMENT RELATIVES/FRIENDS
AGENT/EMPLOYEE OTHERS

2. Total sum assured with IDBI.

LESS THAN 100000 200000-100000

ABOVE 200000

3. The type of policy opted with IDBI.

INCOMESURANCE WEALTHSURANCE
BONDSURANCE RETIREMENT SCHEME

4. The term of invest with IDBI.

LONG TERM SHORT TERM

2. Apart from you , Do any of your family member hold a insurance policy with
IDBI ?

YES NO

6. Do you hold policy with any other company ?

YES NO

If Yes, with which company ?

LIC KOTAK MAHINDRA

ING vysya ICICI
BAJAJ ALLIANZ BHARATI AXA

7. Reason for investing in insurance policies ?

CAPITAL GUARANTEE TAX BENEFIT

SHORT TERM RETURN LONG TERM RETURN
OTHERS(specify)

95
8. How much you have been satisfied with the service level of IDBI ?

HIGHLY SATISFIED SATISFIED

NEUTRAL DISSATISFIED
HIGHLY DISSATISFIED

9. Are you satisfied with the scheme offered by IDBI ?

YES NO

10. What factors you take into consideration while choosing a insurance company to
invest ?

Brand name
Reliability
Service

11. Do the agent provides you complete knowledge about the scheme of IDBI
insurance ?

YES NO

12. Would you recommend IDBI to your Friends/ Relatives ?

DEFINITELY
NOT SURE
DEFINITELY NOT

13. Rank the insurance companies on the basis of the following factors:

FACTORS/ SERVICE PREMIUM MATURITY VARIETY

COMPANY RATE OF
SCHEME

96
IDBI FORTIS
LIFE
INSURANCE
SBI LIFE
INSURANCE
ICICI
PRUDENTIAL
LIFE
INSURANCE
HDFC
STANDARD
LIFE
INSURANCE
LIC
INSURANCE
COMPANY

14. Rank the following insurance companies, as per your order of preference.

FACTOR / PREFERENCE
COMPANY

IDBI FORTIS LIFE

INSURANCE

SBI LIFE INSURANCE

ICICI PRUDENTIAL
LIFE INSURANCE

HDFC STANDARD
LIFE INSURANCE

LIC INSURANCE
COMPANY

15. Rank the following attributes as per your expectation from a insurance
company.
(1 for the most desired & so, on)

97
 ATTRIBUTES EXPECTATION

CAPITAL
GUARANTEE
HIGH RETURN

TAX BENEFIT

LOWER RISK

FUTURE
CONTINGENCY

16. Thinking of similar Product/Services offered by other companies, How would

you compare our Product/Service ?

VERY GOOD GOOD

BETTER BAD
WORSE

17. Is IDBI fulfills your expectation ?

YES NO

18. Have you ever encounter any problem’s with IDBI ?

YES NO
19. Are you satisfied with IDBI ?

EXTREMELY SATISFIED
SATISFIED
NEITHER SATISIFIED NOR DISSATISFIED
DISSATISFIED
EXTREMELY DISSATISFIED

98
20. The time taken by IDBI to resolve your complaints ?

WITHIN 1day WITHIN 1week

WITHIN 1 month NOT AT ALL SOLVED

21. Give your valuable feedback & suggestion to enable IDBI Fortis in providing
better Service.

PERSONAL DETAILS

22. Gender.

Male
Female

23. Age.

20 - 30 31 - 40 41 - 50 Above 50

24. Marital Status.

Married
Unmarried

99
25. Educational qualification.

Under Graduation.

Post Graduation.

Others.

26. Occupation.

Private. Government. Business. Agriculture.

27. Annual income.

Below Rs. 1, 00,000 Rs. 1, 00,000 - Rs. 2, 00,000

Rs. 2, 00,000 - 5, 00,000 Rs. Above 5, 00,000

100