Presenter to: presented by:

Dr.maninder Singh gill Maninder Singh

Ms. Ridhim pathak mba 3rd
 What is Life Insurance?
 Life insurance is a contract between you and a life insurance
company, which provides you a risk cover against death during the
contract term.
 Buying insurance is extremely useful if you are the principal earning
member in the family as in unfortunate premature demise, your
family can remain financially secure because of the life that you have
purchased.

3/3/2018 Tolani Institute of Management Studies 2

 History of Life Insurance
 Bombay Mutual Assurance Society, the first Indian life assurance
society, was formed in 1870.
 Other companies like Oriental, Bharat
and Empire of India were also set up
in the 1870-90s.
 The oldest existing company in India is National Insurance
Company Ltd, which was founded in
1906 and even doing business today.

3/3/2018 Tolani Institute of Management Studies 3

  It was during the swadeshi movement in the early 20th century that
insurance witnessed a big boom in India with several more companies
being set up.

 By the mid-1950s, there were around 170 insurance companies and 80

provident fund societies in the country's life insurance scene. However, in
the absence of regulatory systems, scams and irregularities were
prevalent in most of these companies.

 As a result, the government decided to nationalize the life assurance

business in India. The Life Insurance Corporation (LIC) of India was set
up in 1956 to take over around 250 life insurance companies.

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  For years thereafter, insurance remained a monopoly of the
public sector. The sector was finally opened up to private
players in 2001.

 The Insurance Regulatory & Development Authority (IRDA),

an autonomous insurance regulator set up in 2000, has
extensive powers to oversee the insurance business and
regulate in a manner that will safeguard the interests of the
insured.

3/3/2018 Tolani Institute of Management Studies 5

  Protection
 Liquidity
 Tax Relief
 Money when you need it

3/3/2018 Tolani Institute of Management Studies 6

INTRODUCTION TO
DHFL PRAMERICA
LIFE INSURANCE
 DHFL, India’s second largest private housing finance company

 DHFL was established by

Late Shri Rajesh Kumar Wadhawan
(16th April, 1949-30th September, 2000),
a visionary Indian businessman.

3/3/2018 Tolani Institute of Management Studies 7

The Founder Chairman observed the sad truth that most Indians couldn’t
get a housing loan on fair terms. He believed that owning a home is a
critical element to the building of an identity for every Indian. He thus set
out on a mission to manage this social need.

On April 11, 1984, DHFL was established to enable access to affordable

housing finance to the lower and middle income groups in semi-urban
and rural parts of India..

In India DHFL has:

Branches: 74
Service centers: 79
Headquarter: Mumbai
Today, DHFL has presence across 550 locations in India, and 2
international representative offices in UK & UAE. These offices deal in a
variety of home loan products.

DHFL offers :

Home Loan products,

Plot Loan,
Construction Loan,
Loan against Property,
Mortgage Loans,
 Project Loans.

The Company also offers a range of Fixed Deposit (FD) products that
ensure high yield, safety and liquidity.

9
 ABOUT DHFL PRAMERICA
DHFL Pramerica Life Insurance Company Ltd. (DPLI) is a joint venture between
Dewan Housing Finance Corporation Ltd. (DHFL), India’s second largest private
sector housing finance company and Prudential International Insurance Holdings,
Ltd. (PIIH), a fully owned subsidiary of Prudential Financial, Inc. (PFI), a financial
services leader headquartered in the U.S. The life insurance joint venture agreement
between the two partners was signed in July 2013.

DHFL PRAMERICA – THE JOINT VENTURE

Dewan Housing Prudential International

Finance Corporation Ltd. Insurance Holdings Ltd.(PIIH)

74 % 26 %

10
DHFL Pramerica Life Insurance Company Limited is one of the fastest growing life
Insurance companies in India headquartered in Mumbai, India. We provide a wide
range of life insurance solutions for individuals as well as groups taking care of
our customers’ various financial protection needs such as securing their child’s
future, retirement planning, savings and wealth creation.

At a Glance:>

 Branches: 69
 Employees: 2432
 Assets Under Management: 1669.99 Crs.

Customers
 More than 4 Million lives secured.

Sum assured
 Individual: 3653.15 Crs.
 Group: 25,940.53 Crs.

Data as on 30th June, 2015

Shahrukh Khan:
Brand ambassador of DHFL

11
DHFL PRAMERICA LIFE INSURANCE REPORTS
HIGHEST EVER PROFIT AT RS. 39.9 CRORE IN
FISCAL YEAR 2014-15

RISING 8 PLACES, consolidates its industry position at

number 13 among private life insurance companies in
terms of new business premium.

DHFL Pramerica Life Insurance Co. Ltd. (DPLI) reported

robust growth in FY 2014-15 posting a profit of Rs. 39.9
crore against Rs. 0.9 crore in FY 2013-14.

12
OBJECTIVES
 To find out who buys more insurance policies: Males or Females.

 To find out at what age most of the people buy the insurance policy.

 My next objective was to know which type of insurance policy is said

thr most.

 To find out which DHFL policy most of the people preferred.

 To find out whether the consumers of DHFL product are satisfied or

not.

3/3/2018 Tolani Institute of Management Studies 13

Types of Life Insurance

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 Term Life Insurance
 Sum assured is payable only in the event of death during the
term.

 In case of survival, the contract comes to an end at the end of

term.

 Term Life Insurance can be for period as long as 40 years and as

short as 1 year.

 No refund of premium

 Low premium as only death risk is

covered.

16
“DHFL PRAMRICA” offers Term Insurance plan
• U- PROTECT Plan
DHFL Pramerica U-PROTECT is a plan designed especially for you so
that you can ensure that your family is secure and leads a comfortable
life, even when you are not around. It is a plan that provides pure life
insurance cover for the benefit of your loved ones at a very nominal
cost. So go ahead and opt for DHFL Pramerica U-PROTECT because it
is you who has to secure your family’s tomorrow.
Advantages:
 Attractive Premium Rates for male and female lives
 Lower premiums.
 Tax Benefits as applicable
 Enhanced Cover With optional Accidental Death Benefits
 Comprehensive Insurance Protection at nominal cost

3/3/2018 Tolani Institute of Management Studies 17

 Endowment Insurance
 Endowment insurance plans is an investment oriented plan which not
only pays in the event of death but also in the event of survival at the
end of the term.

 Is a contract underwritten by a life insurance company to pay a Fixed

term plus Accumulated profits that are declared annually.

 Premium includes 2 elements

-mortality element & investment element

 Minimum age at entry : 12years

 Maximum age at entry: 65years
 Maximum age at maturity : 75years

18
DHFL PRAMERICA LIFE OFFERS ENDOWMENT
PLAN
• Future Idol Gold Plus Plan
This is a traditional plan available both for normal life as
well as in case of death. The age for investing in this plan is
18-50 years. Maximum maturity age is 65 years. Maximum
sum assured is 5 crores and there is no risk of loss of
money. Family’s future is secured even after the death of
the insured person(during the insurance period only).

 Advantages:
 Guaranteed Returns
 Tax Benefits under Section - 80 C
 Guaranteed Bonus
 Loan Facilty

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 Permanent(Whole) Life Insurance
 Whole life plans are another type of endowment plan, which
cover death for an indefinite period.

 When the policy holder dies, the face value of the policy,
known as a death benefit, is paid to the person or persons
named in the life insurance policy (the beneficiary or
beneficiaries).

 It can be with or without profits.

 If you cancel the policy after a certain amount of time has

passed, the insurance company will surrender the cash value
to you.

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DHFL PRAMERICA OFFER WHOLE LIFE INSURANCE PLAN

Aajeevan Samriddhi plan

This plan provides you a corpus at the age of 65 years so
that you can take care of your post retirement expenses. So
plan today and assure yourself of a secure future.
Advantages:
A plan for lifetime i.e. 99 years
Increasing Protection
Guaranteed Additions
Enhanced Cover
Lumpsum Benefit
Flexibility to borrow against the policy

3/3/2018 Tolani Institute of Management Studies 21

 Unit Linked Plans
 It has emerged as one of the fastest
growing insurance products.

 It is a combination of an investment
fund( such as mutual fund) and an
insurance policy.

 The premium amount is invested in

the stock market and returns better
income on the maturity period.

3/3/2018 Tolani Institute of Management Studies 22

  Better for long-term investment option.

 ULIPs generally provide higher returns as large

portion of the funds are invested in equities.

 There is also flexibility and the assured can choose

levels and extent of cover needed.

 There is also option of switching over from one fund

to another if it does not seem to be profitable.

 ULIPs can be classified as

 Unit linked – equities, bonds, real estate & money market
instruments
 Equity linked – only in equities
 Index linked – equity, bonds or money market instruments.

3/3/2018 Tolani Institute of Management Studies 23

 DHFL PRAMERICA OFFERS ULIP PLANS
 Wealth+ Ace
 Invest one time and reap many benefits across the policy term.
 Choose a policy term from 10, 15, 20 or 25 years, subject to the minimum
maturity age of 18 years and maximum maturity age of 75 years.
 Pay the premium as a one-time lump sum amount.
 Your Sum Assured would be dependent on the age at entry of the Life Insured.
Advantages :
 Provide high rate of return.
 Provide 105% sum assured after death.
 Tax benefits under section 80 c.

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 Ratings Of Insurance Companies In
India - Top 5
Companies Market Share (2014) Market Share (2015)

LIC 64% 74%

ICICI Prudential Life

Insurance Co Ltd 11.8% 8.93%

SBI Life Insurance Co Ltd

15% 6.99%

Bajaj Allianz Life Insurance

Co Ltd 13.1% 7.36%

Reliance Life Insurance Co

Ltd 9.8% 2.96%

(Source: Insurance review)

3 March 2018 Tolani Institue of Management Studies 25
How Much Life Insurance Coverage Should
Be Purchased?
 The Rule of Thumb is-
Coverage should equal to 6 to 10 times annual income.

 The other Rule is-

Coverage to cover his family consumption need.

26
 Current News in Life Insurance Sector
 Life insurance premium collection down by 22%
-LIC premium collection down by 20.5% and 22 private life
insurance premium down by 25%.

 AUM of life insurer cross Rs. 15 lakh crore, due to rise in renewal
premium which means that increasing number of policy holder are
renewing their policies.

3 March 2018 Tolani Institue of Management Studies 27

 REVIEW OF LITERATURE

 Mishra and Simita Mishra (2014) Brings the position of

insurance compared with European countries, where life
insurance accounts for 58% of global direct premium and non-
life 42% during the year 2013. The study states that the need for
insurance arises when economic activity increases, family
becomes nuclear and individual become more dependent on
employment.

 Rudra Saibaba (2012)

 Conducted an enquiry on “Perception and attitude of Women
towards Life Insurance Policies”. According to him, 75% of
women perceived that life insurance plans provided coverage
against future risk, 58% of women felt that insurance provided
accidental coverage, nearly 41% of women considered insurance
beneficial for availing housing loans, 70% of the respondents are
satisfied with the services offered by the corporation.

3/3/2018 Tolani Institute of Management Studies 28

 Krishan Kumar, S. (2011)
Article highlights Life Insurance Companies rural penetration,
inherent problems in implementation, growth over the years, social
schemes over the year, social schemes for the rural poor and the ‘Bima
gram’ Program. The study indicates that nearly 55% of its new,
individual policies have come from the rural sector. Its performance
stands miles ahead of the private players. But amongst the insurance
products available, very few are tailor - made for the rural population.
A study conducted by Raju, S. and Gurupandi, (2010) in their
article “Analysis of the Socio Economic Background and Attitude of the
Policyholders towards Life Insurance Corporation of India”, Smart
Journal of Business Management Studies revealed that the study was of
great help to the policyholders, as it was aimed at finding the attitude
towards the services of Life Insurance Company. Hence the prospective
customers, who propose to buy the insurance products and avail of the
services of an insurance company for the first time, can get benefited
by the best service provider.

3/3/2018 Tolani Institute of Management Studies 29

 Research Methodology
Research is an art of scientific investigation through search for new facts in any branch of
knowledge. It is a moment from known to unknown.
For the research of this project, both primary data and secondary data was collected.
Data includes facts and figures, which are required to be collected to achieve the objectives of
the project, in order to determine the present position and satisfaction of customer of DHFL
Pramerica Life Insurance.

 [a) Primary Data


 The data that is being collected for the first time or to particularly fulfil the objectives of the
project is known as primary data.

 These types of data were,

 The market share of DHFL Pramerica Life Insurance.
 The market share of other brands available in the market.
 Responses of consumer.
 Identifying pros and cons of the brand.
 The above primary data were collected through responses of consumer was conducted
through questionnaires prepared for them.

3/3/2018 Tolani Institute of Management Studies 30

  Secondary Data
 Secondary data are that type of data, which are already assembled
and need not to collected from outside.

 These types of data were:

i) Company Profile
ii) Product Profile
iii) Competitors Profile

The aforesaid data were collected through Internet and company’s

financial report.

 The survey has been done on 50 respondents including general

public as well as DHFL customers.

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 Data Analysis
and
interpretation
3/3/2018 Tolani Institute of Management Studies 32
 Respondents Age Classe No. of % of
s Respondent Respondent
(Age) s s
3 4 18-24
8 18-24 4 8
25-34
24-35 19 38
35-44
19
45-54 35-45 16 32
16
55-65 45-55 8 16

55-65 3 6

ANALYSIS:
Above diagram consist five classes of different age groups. Here, 19 customers belongs to 25-34
age group, 16 customers fall in the age group 35-44 years.
Other 8 customers are in the class 45-54 years. The age group of 18-24 consists 4 customers and
remaining 3 customers fall under age group 55-65 years.
Here majority of the customers belong to the group 25-34 years.

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 Gender of Respodents

Gender NO of % of
respondents respondents
25
Males Males 35 70%
Females
35
Females 15 30%

Total 50 100%

ANALYSIS:
Above diagram consist of two groups of respondents. Here 35 respondents belong to
male category i.e. 70% and 15 respondents are females i.e. 30%

3/3/2018 Tolani Institute of Management Studies 34

Do you think it is essential to have Life Insurance?

Customer's Response

5
Yes No Total
YES No. of
45 5 50
NO Respondents

% of
45 90 10 100
Respondents

ANALYSIS:
To this question 45 respondents say “YES” and 5 respondents say “NO”.
Which type of insurance policy suit
your need

Type of No of % of
insurance respondents respondents
plans
5 10
Term 10 20%
13 insurance plan

22 Endowment 22 44%
insurance plan

Whole life 13 26%

Term insurance plan insurance plan

Endoement insurance plan

ULIP life 5 10%
Whole life insurance plan insurance plan

ULIP insurnace plan

ANALYSIS
Here in above diagram shows 10 respondents prefers Term plan i.e. 20%, 22 respondents
prefer Endowment plan i.e. 44%, 13 respondents prefers whole life plan i.e. 26%, rest of 5
respondents prefers ULIP plans i.e. 10%.

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What kind of services you expect from DHFL PRAMERICA insurance providers?

No. of % Of
Respond Respond
ents ents
Easy access ability to
Easy 20 40
Deposit Center
Access
Time to time premium
8 16
collection
16 20 Time To Provision in case of Dues 6 12
Time Bonus & other schemes 16 32
6 8 Premium
TOTAL 50 100
Provision
in case of ANALYSIS:
Out of total 50 respondents 40% like to
dues have easy accessibility to deposit center as a
prime concern, 32% like to have bonus
Bonus schemes and remaining 16% & 12%
respondents say, They need time-to-time
premium collection and provision in case of
dues as a concern before choosing insurance
provider.
 Which DHFL policy have
you purchased
Policy name No of % of
respondents respondents
7 8 Aaeevan samriddhi
plan Aajeewan 8 16%
samriddhi
Future idol gold plus Future idol gold 25 50%
plus
10 U- protect 10 20%
U-Protect

Wealth + Ace 7 14%

Wealth + Ace
25

The above diagram shows 8 respondents purchased Aajevan samriddhi plan i.e. 16%, 25
respondents purchased future idol gold plus i.e. 50%, 10 respondents purchased U-protect i.e.
20%, rest of the 7 respondents purchased Wealth + Ace i.e. 14%.

3/3/2018 Tolani Institute of Management Studies 38

 Why did you choose DHFL Pramerica Life Insurance?

No. of % Of
Respondents Respondents

ROI 18 36
ROI Peer Pressure 15 30
2 Tax Benefit 10 20
5 Peer
Pressure Security /safety 2 4
18
Tax Benefit Low Premium 5 10
10
TOTAL 50 100
Security/Saf
15 ety
Low
Premium ANALYSIS
The above diagram shows 36% of
respondents choose because of good
returns, 30% because of peer pressure
and remaining 34% opt because of tax
benefit, safety and affordable premium
respectively.
 Rate your satisfaction level from the
policy which you have purchased
Satisfaction No of % of
level respondents respondents
6 Very satisfied 14 28%
14

12 Very satisfied satisfied 20 40%

Satisfied
Average 12 24%
Average
20 Not Satisfied Not satisfied 6 12%

ANALYSIS:
40% of people are satisfied with the policy they have purchased. 28% are
very satisfied, 24% feel its average and rest 6% are not satisfied.

3/3/2018 Tolani Institute of Management Studies 40

If not DHFL which company’s policy would you prefer to buy.

No. of % of
LIC Companies Respondent Responde
s nts
LIC 10 20
BAJAJ
Bajaj Allianz 5 10
Tata AIG 3 6
TATA
5 5 Max Life Insurance 8 16
6 AIG
10 MAX HDFC Life Insurance 8 16
8 ICICI Prudential Life
7 Insurance
6 12
5 HDFC SBI 5 10
4
ICICI

SBI ANALYSIS:
This shows that maximum people prefer to
invest in renowned companies like LIC,MAX
and HDFC and new private firms are less trusted
by people.
OBSERVATIONS AND FINDINGS
 Out of total 50 respondents 19 customers belongs to 25-34 age group.
 70% respondents belong to male category
 90% people feel that it is essential to have a life insurance policy.
 44% respondents prefer Endowment plan.
 Out of total 50 respondents 40% like to have easy accessibility to deposit
center as a prime concern.
 25 respondents purchased future idol gold plus i.e.50%
 The above diagram shows 36% of respondents choose because of good returns
 40% of people are satisfied with the policy they have purchased
 Maximum people prefer to invest in renowned companies like LIC,MAX and
HDFC and new private firms are less trusted by people.
Recommendations and Suggestions
 There is scope to sale insurance policy by concentrating on age
group 18-24 years here potential of customers are there.(Example.
Software professional, BPO employees, and professionals).
 DHFL Pramerica Life Insurance should try to build trust among the
public by making people aware of their investment is safe, high
return on investment, tax benefits.
 DHFL Pramerica Life Insurance should introduce attractive policies
& also attractive bonus on policies to attractive more potential
customers.
 Conclusion
After conducting market research for DHFL Pramerica Life Insurance Company
we came to know different needs of consumers, their valuable suggestions,
responses to the different questions. With this information we can conclude
that there is good market awareness about DHFL Pramerica Life Insurance
Company in the market.

Customer satisfaction level of most respondents is higher for DHFL Pramerica

Life Insurance Company, which is seen through the survey.
Most of the consumers like the product and services of DHFL PRAMERICA LIFE
INSURANCE.

Future Idol Gold Plus plan is the best-sold plan in market by DHFL Pramerica
Life Insurance. This conveys that the customers are switching more towards
retirement plan.
 REFERENCES
www.irda.com
www.licindia.com
www.hdfcinsurance.com
www.businessindiaonline.com
www.maxnewyorklife.com
www.dhflpramerica.com
www.iciciprulife.com

FREEPRESS JOURNAL
IIFL (indiainfoline.com)
FORBES INDIA MAGAZINE
SMART JOURNAL OF BUSINESS MANAGEMENT STUDIES
 ANNEXURE
1. Personal detail

Name:

Age:
18-24
25-34___
35-44
45-54____
55 and above

Phone No.

Email.

Office Address: -

Residential Address: -
2. Do you think is it essential to have Life Insurance? YES____NO____

3. Which are the companies you invested your money for Life Insurance?
a) Dhfl pramerica Life Insurance
b) LIC
c) Bajaj Allianz
d) Tata AIG
e) Max New York Life Insurance
f) HDFC Life Insurance
g) ICICI Prudential Life Insurance
h) SBI

4. Why did you choose DHFL Pramerica Life Insurance?

a) ROI
b) Peer Pressure
c) Tax Benefit
d) Security /safety
e) Low Premium
5. Which of the following planed you is insured?
a) Aajeevan Samriddhi Plan
b) U- Protect
c) Future Idol Gold Plus

6. What kind of services you expect from insurance provides?

a) Easy access ability to Deposit Center
b) Time to time premium collection
c) Provision in case of Dues
(Policy Lapse)
d) Bonus & other schemes

7. How will you rate the services given by DHFL Pramerica Life Insurance?
a) Poor
b) Average
c) Good
d) Excellent
8. What difference you find between DHFL Pramerica & your previous Insurance
provider.
a) Good Returns (HIGHEST)
b) Effective Service/Liquidity
c) Tax Planning
d) Security/ Safety Benefit & Protection on your Capital

9. Do have any suggestion for Dhfl pramerica Life Insurance YES___ / NO___
Please Specify:- ___________________________________________

10. In future, will you purchase policies from Dhfl pramerica Life Insurance?
YES ______ NO