SUMMER TRAINING REPORT ON

CHANNEL DEVELOPMENT AND STUDY OF AWARENESS LEVEL OF ABOUT COMPANY AND ITS PRODUCT

SUBMITTED TO: Kurukshetra University, Kurukshetra in Partial Fulfillment for the Degree of Masters in Business Administration (Session 2006-2008)- MBA 3rd Semester Under Supervision of: Ms Shurbi Makkar Faculty of MBA Submitted By Vijay Garg S\o Sh. RajenderKumar Univ. Reg. No 03-GJ-121

Tilak Raj Chadha Institute of Management And Technology

(Affiliated to Kurukshetra University, Kurukshetra and Approved By AICTE) MLN College Educational Complex, Yamuna Nagar- 135001 (Haryana) Ph. 01732-220103,234110. Fax: +91-1732-220103 E-mail: info@timt.ac.in, Web Site: www.timt.ac.in

TABLE OF CONTENTS

1) Certificate from the organization 2) Certificate from the Institute supervisor 3) Executive summary 4) Introduction i) Profile of the study(Area\Organization) ii) Justification of the Study iii) Organizational Structure 5) Objectives of the Study 6) Literature Review 7) Research Methodology and Analytical tools a. Sampling and Sampling Design b. Analytical Tools Statistical Tools c. Data Collection d. Hypothesis Testing e. Limitations of the Study 8) Results and Discussions/ Findings 9) Recommendations/Suggestions. 10) Policy Implications 11) Bibliography 12) Annexure

PREFACE
PRACTICAL TRAINING IS FAR BETTER THAN ROOM TEACHING Practical training gives a feel of the actual difficulties faced during the work. As part of our summer training, we got an opportunity to work with HDFC SLIC Ltd. Life Insurance is a mile stone in growth to the social life of the countrymen. For millions of Indias working families, may owning a home have a dream to buy a Insurance Policy to secure their and their children future. Our nations greatest opportunity now is the chance to build a better life for our people. Recognizing this, the insurance sector has now been regarded as a potent engine to economic growth. The government has outlined a substantive and detailed plan, seen first in the policy of insurance plans, to reach this goal. Many incentives announced in the Union Budget every year have helped to improve the affordability enormously over the past couple of years. All this has led to an enormous increase in the demand for Life Insurance and thus, in the banks/ institutions providing this finance. The present scenario has led to the steady evolution of especially Life Insurance with different return plans for different age group of people.

ACKNOWLEDGEMENT
I am sincerely thankful to Prof. (Dr.) R.k. Garg, Director, Tilak Raj chadha Institute of Mgt. &Tech,Yamuna Nagar, for giving me an opportunity to work at HDFC Standard Life Insurance Company Ltd. and provided me the guidance and support in the completion of the project . I would also like to express my thanks to Ms. Surbhi Makkar, Faculty, TIMT, Yamuna Nagar (Haryana) for her kind co-operation & valuable guidance throughout the training. I would like to express my sincere thanks to Mr. Rahul Jain (Sales Development manager) and Mr. Subodh Gupta (Branch Sales Manager) of HDFC Standard Life Insurance Co. Ltd. for assigning me the project and guiding me whenever necessary.

(Vijay

Garg)

DECLARATION
I, Vijay Garg, Roll No.1190, MBA (3rd Sem) of the Tilak RajChadha Institute Of Mgt.&Tech.(TIMT),Yamuna Nagar (Haryana) hereby declare

that the Summer

Training Report entitled CHANNEL DEVELOPMENT & STUDY OF AWARENESS LEVEL OF PEOPLE ABOUT COMPANY AND ITS PRODUCT
is an original work and the same has not been submitted to

any

other Institute for the award of any other degree.

A seminar presentation of the Training Report was made on CHANNEL

DEVELOPMENT & STUDY OF AWARENESS LEVEL OF PEOPLE ABOUT COMPANY AND ITS PRODUCT and the suggestions as approved by the faculty were duly incorporated.

Presentation In-charge (Faculty)

Signature of the candidate

Countersigned

EXECUTIVE SUMMARY

The objective of this project was to assist HDFC Standard Life Insurance in expanding their channel by recruiting Tied Agents For the company. For the company to successfully continue its operations, it needs to undergo change to get some new customers and to get some new ideas. Moreover insurance is such a growing sector that it has full potential to have new customers. so it very essential to have new people in the system which can add new customers to the company. This was achieved through a three pronged efforts. 1. 2. 3. 4. 5. 6. 7. To know about the financial position of the company. To know the Current market position of the companys product. To know the impact of Advertisement HDFC for insurance. To know the preference of the customers. To invite suggestions from the customers for improvement of HDFC SLIC Ltd. To compare the HDFC SLIC Ltd. with the private player of the insurance. To know about the customers awareness regarding the company. For the study of market awareness in the mind set of people in Delhi about the HDFC SLIC Co. Ltd., we were focused on the people of different profile. That is why, we could find out the actual position of the company in the market

according to the people. We had gone to defense people, C.A.s, house wives, self employed people, service people, young people searching for jobs etc.

SWOT ANALYSIS OF HDFC SLIC Ltd.

S- Strength W- Weakness O-Opportunity T- Threat
HDFC SLIC Ltd. Is one of the most powerful, world class life insurance company gaining appreciation for their strong ethics excellent performance, professionalism and team work which led them to progress in todays challenging environment though with its excellence performance and every efforts has been make to present the most authentic and truly representation findings, but same deviation and hurdles in progress. So with its Strength and good quality, the company is having some weakness and threats and opportunities. SOWT analysis is explained below:

STRENGTH
HDFC SLIC is the largest private player in the insurance industry in India Excellent services Customization of products as per customers needs Brand image Business experience Story financial base Innovative products, technology, organization culture and climate The company has a large network of branches which is helpful to customer for the payment.

WEAKNESS
Lot of competitors are in the market offer same product offered by the difference in the premium and offering

Target only higher income group whereas other companies are trying to catch middle class people Higher premium as compared to other companies Clients face problem to get insured due to large no. of formalities High targets for financial advisors and for the sales departments

OPPURTUNITIES
Huge market literally untapped out of estimated 320million insurable market only 20% of the population is insured In a conservation society of India where people are most inclined towards risks free investment such as bank FDs and saving rather than equity and high risk investment insurance offer the best of both worlds- the security with high returns In the pension field where people want good life after their retirement Indian people are more emotional towards their thats why children plans rae selling like hot cockes Health insurance and pension schemes are estimated market potential of approximately $15 Weak perception of private players in the mand of Indian people due to frequent financial scans Large number of insurance player existing wrong business practices of companies like LIC 1st premium is paid by their agents where as IRDA suggests that even forms to be field by the clients themselves Player like ICICI and others with low premium for the similar plans Entry of many other private companies with equally strong experience and financial strength of foreign paryners making the competition difficult and saturating the urban market LIC has woken up from sleep and is following competitive strategies. Its huge surplus in life fund given a capability to lodge price war For the insurance sector , goal set the authority that is IRDA which is undertaken to track record of all the companies and change the roles day by day more rigid which is very difficult for the company.

THEARTS

INTRODUCTIO N

ABOUT HDFC GROUP

ABOUT HDFC
Helping Indians experience the joy of home ownership. The road to success is a tough and challenging journey in the dark where only obstacles light the path. However, success on a terrain like this is not without a solution. As we found out over two decades ago, in 1977, the solution for success is customer satisfaction. All you need is the courage to innovate, the skill to understand your clientele and the desire to give them your best. Today, over a million satisfied customers whose dream we helped, stand testimony to our success. Our objective, from the beginning, has to enhance residential housing stock and promote home ownership. Now, our offerings range from hassle-free home loans and deposit products to property related services and a training facility. We also offer specialized financial services to our customer base through partnership with some of the best financial institutions worldwide.

Background
HDFC was incorporated in 1977 with the primary objective of meeting a social need- that of promoted with an initial share capital of Rs. 100 million.

Business Objectives

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The primary objective of HDFC is to enhance residential housing stock in the country through the provision of housing finance in a systematic and professional manner, and to promote home ownership. Another objective is to increase the flow of resources to the housing sector by integrating the housing finance sector with the overall domestic financial markets. Organizational Goals HDFCs main goals are to a) develop relationship with individual households, b ) maintain its position as the manner as the premier housing finance institutions in the country, c) transform ideas into viable and creative solution, d) provide consistently high returns to shareholders, and e) to grow though diversification by leveraging off the existing client base. MISSION We at HDFC standard life have a very simple purpose behind all that we do-customer satisfaction. If we can offer you value for your money, if we can fulfill your needs with innovative life insurance products and can delight you with superlative service, we will believe we are a success. Values Underlying every product we offer, every service we render is an ethos of security, trust and innovation. Security : We would like to keep the customer financially secure in the long term. Trust : The customers confidence in us is our most valuable asset. We will live up to it by managing. The customers funds carefully and wisely. Innovation : The customers needs are special and unique. innovative fulfillthem.

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Our Group Companies: HDFC Limited HDFC Bank Limited HDFC Asset Management Company Limited HDFC Securities Limited HDFC Realty Limited HDFC Chubb General Insurance Company Limited HDFC Standard Life Insurance Company Limited

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About HDFC Standard Life Insurance

HDFC Standard Life Insurance Company Limited is a joint venture between Indias leading housing finance provider, HDFC and Europes largest mutual life assurance company, the Standard Life assurance company, U.K. both companies are extremely strong financially with HDFC having been rated AAA by CRISIL and Standard Life rated AAA by standard and poors. A company rated AAA has

extremely strong financial security characteristics according to standard and poors. Both companies are known for making available the highest level of service to all their costumers and consultants. HDFC founded in 1977 has grown to be a leader in housing finance and now has a wide branch network spread across the country. Standard life has the experience of having been in the Life Insurance business since 1825. HDFC standard life insurance company was founded on 14th august 2000 and received a license on 23 rd October 2000. It was the first life insurance joint venture in India to get a license from the IRDA. Core values of the new company are SERVICE, TRUST AND INNOVATION and we at HDFC Standard Life are committed to providing top quality service to lour esteemed consultants and customers.

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About the marketing strategy

The study of the survey shows that there are a lot of possibilities in the market for standard life insurance products due to their unique features. To get the benefit of this opportunity the company should consider the following points. The study shows that there is less awareness for the companys plans in market. So it is suggested to the company to make aware about its planning and insurance products. The executive or management should focus on the poor people also and should place the policies affordable, at the present minimum amount of the policy premium is 5000, which poor people can not afford. Company should recruit new agents or consultants. It is necessary for company to trend them in a well manner therefore they will gave good results. Company should open costumer service point in rural areas and small city also. Company should make plans for promotion of company business lit should organize road shows seminars, exhibition or contests because these things make a clear picture of companys plans.

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Justification of the study

Channel development is an important aspect of most of the organization. Here most of insurance companies are dependent on the channel. Basically insurance companies are related with the direct selling of the insurance policy. In the present scenario, every insurance company give the good competition to each other. I gained to the selling experience with the help of this topic . Basically insurance company so much dependent on its channel . More the channel more the policy sold and by which earn more benefits also. Channel also help to provide the better service after sale by which company became more loyal among the people. Channel is the vein of the insurance company as the vein are important for human body same role of channel in the insurance company. So I choose this project during my summer training .I gained lot of experience with the help of channel development. In making the financial consultant, I enjoyed very much because in this case to study the perception of the people what they want ,How much work should be given to the company, They are important or not .Same case happened with Fc, how to sale the policy to the people . During the summer training I found that it not the easy task to take people in the new business. They came only when they found something for them. Overall I got lot of experience with the help channel development. I also recruit 9 person for the part time job that is financial consultant. I was satisfied with my training project because I gained the experience of direct selling.

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CEO Zonal ZonalManager Manager Regional RegionalManager Manager Branch BranchManager Manager Assistant AssistantBranch BranchManager Manager Sales SalesTeam TeamManager Manager Insurance InsuranceCare CareManager Manager
ALLIANZ BAJAJ INVESTGAIN 16

ORGANISATION STRUCTURE
Central Office

Zonal Office

Regional Office

Branch Office

Office1 Office 3

Office 2

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OBJECTIVES OF THE STUDY

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Channel development procedure has a great importance in every organization. In the insurance sector it means recruitment of advisors (agents). So that company can maximize its sale. For every insurance company these are only advisors who sell the final product of the company. Therefore sale of the company is directly proportional to the length of the channel that is number of the advisors. So amongst the various important objectives of the project, one was Channel Development. The other main objectives of the research done for the company were: 1 2 products, 3 4 5 6 to know about the competitors position, for what purpose people take life insurance policies, to increase the companys database of prospects, to know about the people who do not have any information about the, to find the perception of the people about the company, to find the awareness level of the people about the company and its

private players in the life insurance sector so that company can tap those segments also, 7 to know that how much people are interested in working with the organization.

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LITERATURE REVIEW

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1 Belch George E and Belch Michael A ,Advertising & promotion, Sxth Edition ,Tata McGraw Hill ,New Delhi, Pp-166-169 I read on the topic advertisement and promotion How to made the advertisement effective by which sales of the policy increase. 2 Batra Rajeev, Myen John G , Aaker David A Advertising

management, Fifth Edition, Prentice-Hall India ,New Delhi . Pp-174-179 I study from this book about the segmentation and positioning of the customer on the basis of their need and demand. 3 Mishra M N ,Sales promotion and Advertising management, Second Edition , Himalya Publishing House , New Delhi, pp:1-2 From this book I read the topic on the personal selling of the poliy or any type product. How make it easy and effective. 4 Baack Clow, Integrated advertising, promotion & Marketing

communication, Third Edition, Prentice hall, New Delhi ,P p:85 I take the communication way from this book. How to make it more effective. 5. Jain N c , Jain Saakshi, Marketing management ,First Edition, Aitbs Oublication, New Delhi, Pp 115 With the help of this book I got marketing information on the basis of which I search about the information of the customer. 6. Czinkota kotabe, Marketing management, Second Edition,

Thomson- south Western, Pp-156 I study on the topic that is estimating the market demand that means how ted part time many person wanted the part time job.

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7 . Kotler Philip & Keller Kevin lane, Marketing management, 12 th Edition PEARSON(Prentice Hall) ,Pp-297 With the help of this book I learnt how to make the strong brand building among the people so that become the loyal customer of the company. 8. Hooda R P ,Statistics Introduction, 1st Edition , Mcmillan India Ltd., New Delhi, Pp-42-43 I study about the statistical tool so that result of the finding interpretate in the well way whether they are relevant or not. 9 Jain T R,Aggarwal D. S.C Statistics for MBA,2 nd Edition,VK (India) Enterprises,New Delhi. Pp 2-3 I read out about the correlation how to apply on which factor and how do the interpretation of the finding. 10 . Kothari, C.R., Research Methodology, New Age International (P) Limited, New Delhi,(2005) , Pp30-35 With the help of this I designed my sample size of my project so that it became more relevant to the objective.

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.11. Study Material of HDFC STANDARD LIFE

What is insurance?
In the simple words Insurance is a financial service for collecting the savings of the public and providing them risk coverage. This risk may be certain events like death, retirement, pension, education, marriage, etc. or uncertain events, like theft, accident, fire, ill-health, etc. . This will constitute voluntary involvement in savings, but turn into compulsory or forced savings through contractual obligation.

. Premium from those who do not suffer the loss are used to as benefits to those who do. The insurance firm is contractually obligated to make the benefits payments. If premium revenues are not sufficient to cover losses, the firm must make up the difference out of capital.

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Characteristics of insurance:
Every insurance contract has the followings characteristics: 1 Transferring or shifting of a risk from one individual to a group 2 Sharing losses on some equitable basis, by all members of groups 2 Insurance does not eliminate or decrease the uncertainty for the individual as to whether or not the event will occur, not does it alter the possibility of occurrence, but it does reduce the extent of financial loss connected with the event. 3

12.

Principles Of Insurance (INSURANCE INSTITUTEE OF INDIA)

Categories of insurance:
There are mainly two categories of insurance: 1 Non life insurance:

Basically in this we include health and general insurance. GIC was set up by nationalizing the non-life business of insurance sector in 1972. The GIC operates

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as the holding co. of its four subsidiaries, namely 1 2 3 4 National Insurance Company Ltd. The New India Assurance Company Ltd. The Oriental Insurance Company Ltd. United India Insurance Company Ltd.

2. Life insurance: Life Insurance was there in India since 1818 carried by private and foreign insurers. In 1956, LIC act was passed under which life insurance was nationalized and LIC was set up by taking over the business of about 245 large and medium companies doing business of life insurance. LIC has regional and zonal offices, in addition District and Taluka units. In all districts, rural and semi urban areas are covered by the LIC offices. LIC has a monopoly of life business. It has set up the LIC mutual fund for mobilizing savings of the public, particularly from rural and some urban areas and provides a good return to investors.

13. www.irda.org.

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The IRDA Act:

The Indian parliament assed the IRDA Act on December 7, 1999. The authority consists of a chairperson and several whole time and part time Directors to be appointed by the Central government, on the basis of their exposure to and experience in the field of life/general insurance, actuarial science, finance, economics, law, accountancy and administration etc. It started entertaining application from the companies intending to enter into the insurance business in India from august 2000. The mission of IRDA is to protect the interests of the policyholders, to regulate, promote and ensure orderly growth of the insurance industry and for matters connected therewith or incidental thereto.

Composition of Authority under IRDA Act, 1999 As per the section 4 of IRDA Act' 1999, Insurance Regulatory and Development Authority (IRDA) which was constituted by an act of parliament) specify the composition of Authority The Authority is a ten member team consisting of (a) a Chairman; 26

(b) (c)

five whole-time members; four part-time members,

Advisor
An insurance advisor is a licensed agent with the IRDA who receives or agrees to receive payment by the way of commission or other remuneration in consideration of his soliciting or procuring insurance business, including continuance, renewal or revival of policies.

. Conditions to be satisfy to become an advisor: The applicant should satisfy the following condition if he applies for a license to be an insurance agent: 1 He should furnish the application for a license complete in all respects

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2 He has the requisites knowledge to solicit and procure insurance business 3 He is capable of providing the necessary service to the policy-holders.

Every insurance agent should do;

1 Identify himself and the insurance company of whom he is an insurance agent 2 disclose his license to the prospects 3 disseminate the requisite information n respect of the insurance product offered for sale by his insurer and take into account the needs of the prospects while recommending a specific insurance plan 4 5 indicate the premium to be charged by the insurer for the insurance product offered for sale 28

6 7

No insurance agent should

1 Solicit or procure insurance business without holding a valid license 2 induce the prospect to omit any material information in the proposals form 3 induce the prospect to submit wrong information in the proposal form or documents submitted to the insurer for acceptance of the proposal 4 5 interfere with any proposal introduced by any other insurance agent 6 offer different rates, advantages, terms and condition s other than those offered y his insurer 14. Study Material of LIFE INSURANCE CORPORATION Human Life Value concept: 7 Human Life Value (HLV) is the net present value of one's future earnings. Put simply, it is the amount that a person's family would permanently lose, should anything unfortunate happen to that person. Let's assume that a person is 30 years old and earn Rs. 4, 00,000 per annum. Now, if his retirement age is 55 he have 25 years to go before retirement. So his Human Life Value is (25 x 4, 00, 000) = Rs. 100, 00, 000 (One Crore rupees), provided he stay healthy. If we take factors like inflation and increase in income over a period of time into account, his Human Life Value is a lot more. In this situation if any things 29

happens wrong, only the life insurance policy which he has taken earlier, can give protection to his family members

FOCUS OF THE STUDY

For the purpose of channel development we have focused on the suspects who were satisfying some certain parameters like: 1 Those who are in the age group of 25-40 yrs. 2 Those who are at least graduates 3 Those who have spare time to work 4 Those who are having additional professional qualification like C.A.s, M.B.A.s etc. 5 Those who are having prior sales experience 6 Those who need recognition and money So that we would have made the recruitment of quality advisors.

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Zonal ZonalManager Manager CEO Regional RegionalManager Manager Branch BranchManager Manager Assistant AssistantBranch BranchManager Manager Sales SalesTeam TeamManager Manager Insurance InsuranceCare CareManager Manager

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DISTRIBUTION NETWORK
HDFC SLIC Ltd. has one of the largest distribution networks amongst private life insurers in India, having commenced operations in 74 cities and towns in India. These are: Agra, Ahmedabad, Ajmer, Allahabad, Amritsar, Anand, Aurangabad, Bangalore, Bareilly, Bharuch, Bhatinda, Bhopal, Bhubhaneshwar, Calicut, Chandigarh, Chennai, Coimbatore, Dehradun, Durgapur, Faridabad, Goa, Guntur, Guwhati, Gurgaon, Gwalior, Hyderabad, Hubli, Indore, Jaipur, Jalandhar, Jamnagar, Jamshedpur, Jodhpur, Kanpur, Karnal, Kochi, Kolkata, Kolhapur, Kota, Kottayam, Kozhikode, Lucknow, Ludhiana, Madurai, Mangalore, Meerut, Mehsana, Mumbai, Mysore, Nagpur, Nasik, Noida, New Delhi, Patiala, Pune, Raipur, Rajkot, Ranchi, Rourkela, Saharanpur, Salem, Shimla, Siliguri, Surat, Thane, Thrissur, Trichy, Trivandrum, Udaipur, Vadodara, Vapi, Vashi,

Vijayawada and Vizag. The company has seven bankssurance tie-ups, having agreements with HDFC Bank, Union bank of inda,Indian bank, The Federal bank and some cooperative banks, as well as over 150 corporate agents and brokers. It has also tied up with NGOs, MFIs and corporate for the distribution of rural policies and organizations like Dhan for distribution of Salaam Zindagi, a policy for the socially and economically underprivileged sections of society. HDFC SLIC Ltd. has recruited and trained over 60,000 insurance advisors to 35

interface with and advice customers. Further, it leverages its state-of-the-art IT infrastructure to provide superior quality of service to cusHDFC SLIC LTD. offers a complete range of insurance products:

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INDIVIDUAL PRODUCTS
Each of us leads a unique life and so has unique needs. HDFC standard life offers a range of products and invites you to choose the one that suits you. Plan Benefits

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Saving plans Endowment Assurance Plan Unit Linked Endowment Plan Childrens Plan Unit Linked Young Star Plan Money Back Plan Investment Plans Single Premium Whole of Life Plan Protection Plans Term Assurance Plan Loan Cover Term Assurance Plan Retirement Plan Personal Pension Plan Unit Linked Pension Plan Savings for retirement Retirement savings with a choice of investment funds Life insurance at an affordable price Life insurance customized for home Investment with life insurance Life insurance with saving Life insurance & saving with choice investment funds Financial security for your child Financial security for your child with choice of investment funds Life insurance with saving

CHILDRENS PLAN
What is the children plan?
Childrens plan is designed to provide a lump sum to the child at maturity. It also provides financial security to the child in the future even in case of the insured parents unfortunate death during the policy term. Childrens plan receives simple reversionary bonuses, which are usually
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added annually. This is the flexible plan with three options for you to choose from depending on your requirements.

UNIT LINKED ENDOWMENT PLAN

HDFC Unit linked Endowment Plan gives you: An outstanding investment opportunity in a wide range of investment funds backed by HDFC, Indias leading fund manager. Valuable protection in case of the insured lifes unfortunate death. Flexible additional benefit options such as critical illness cover. Access to your accumulated fund before maturity.

UNIT LINKED YOUNG STAR PLAN

As a parent your priority is your childrens future and being able to meet their dreams and aspirations. Today, providing a good education,

establishing a professional career or even a modest wedding is expensive. Costs are increasing fast. Just imagine how much you will need when your children take these important steps in life.

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Plan today to ensure a bright future for your children. Start building savings today with the HDFC Unit Linked Young Star Plan. So that your child is able to lead a life of respect and dignity with a secured financial future.

HDFC UNIT LINKED YOUNG STAR PLAN

The HDFC Unit Linked Young star plan gives you: An outstanding investment opportunity by providing a choice of thoroughly researched and selected investments. Valuable protection in case of the insured parents unfortunate death. Very flexible benefit combinations and payment options. Flexible additional benefit options such as critical illness cover.

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UNIT LINKED PENSION PLAN

Today, you are busy climbing the ladder of success and realizing your dreams. Today, time is with you. Just take a moment and think. Will you be able to continue at the same pace? Will your income be the same forever? Will you be able to live life on your own terms even after you retire?

. HDFC unit linked pension plan is an insurance policy that benefits you in the following ways: Provides a post retirement income for life. Offers you potentially higher market linked returns while providing your family the cover of safety. Gives you the flexibility to plan your retirement date. Gives you the freedom to invest premiums as per your preferences. Gives you tax benefit on your premiums and on receiving the lump sum. .

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Advisors at HDFC SLIC Ltd.

The company believes that Advisors are ambassadors to the customers. They are a key source of business for the organization, and are the continuing link with our clients. That is why; the company takes a lot of care in recruiting and developing our advisor force, so that the company continues to set higher standards of quality in service and salesmanship. To cater to the needs of the knowledge-oriented marketplace, the company looks for 1 Graduates 2 Service-oriented 3 Good communicators 4 Enjoy meeting new people 5 Prior sales experience people .

A 18-day training schedule covers the mandatory IRDA training requirements and HDFC SLIC product-training module. Revision session ensure that the candidates thoroughly understand the course contents and are well prepared for the licensing examination. Theoretical training is interspersed with practical appointment settings with potential customerbusiness will work from the very first day. All through, the sales development Manager and the management provide

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continuous support to the advisors in achieving independence towards garnering business.

Expectation from the team 1 To achieve the given sales target 2 To participate in all the meetings being placed 3 Attend all the training programme being arranged 4 Weekly reporting etc.

Rewards and recognition in HDFC SLIC Ltd:

Presidents club HDFC Gold Culb. Each of these clubs have specific performance criteria for qualification and members of these clubs are entitled to attend seminars held at exotic international and domestic locations each year. Advisors can also qualify for the

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renowned MDRT (Million Dollar Round Table), an exclusive international insurance advisors club.

Career

At HDFC SLIC Ltd. career development is emphasized upon from the very day the advisor joins the system. Though individual meetings with his or her manager, the advisor can discuss various issues related to business development and career enhancement. Expectations from the organization in terms of chalking a career in the insurance industry are also discussed.

Mentor Team: HDFC SLIC offers the Tiger Team programme for identified high potential advisors. Hand picked by the management, these advisors are placed on a fast-track career path and recognized as Tiger trainers. The advisors can participate in this programme, subject to certain criteria being fulfilled.

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Research Methodology AND DATA COLLECTION

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Research methodology is a way to systematically solve the researchers problem or It may be understood as a science of studying how research is done scientifically. It defines various steps that are adopted by a researcher in studying his research problem along with logic behind them.

STEPS FOLLOWED WHILE CARRYING OUT THE RESEARCH PROCESS

Define the research problem and its objectives Review concepts and theories

Research design including sample design Collection of data survey

Analysis of data

Interpretation and report writing

The research consisted of two stages. In the first stage, a survey was conducted to collect the data about the people. The second stage involved analysis of the data collected in the first stage.

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No. of samples collected: Duration: Location:

100 6 weeks Delhi City

FINDINGS & DATA

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ANALYSIS

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1. For how long you are living at this location ? Year Less than 2-5 year 5-7 year one year RESPONDENTS 5 12 37

7-10 year 25

More than 10 years 21

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RESPONDENTS 40 35 30 25 20 15 10 5 0 37 25 21 RESPONDENTS 12 5

Respondents

Less than one year

2-5 year

5-7 year Year

7-10 year

More than 10 years

Interpretation

The diagram shows that Majority of people living at the particular place from 5-7 years which means they were more liable .37 people lived 5-7 years at the same place.

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2. What is your occupation ?

Occupation Service Respondent 18

Teaching 17

Profession 23

Business 26

other 16

Respondent 30 25 Person 20 15 10 5 0 Service Teaching Profession Occupation Business other 18 17 23 16 Respondent 26

Interpretation:After the analyzing the collecting data most of people had their own business and second category of the people was that who were professional.

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3. How many members of your family are employed? Earning One Two members 23 Three members 5 Four members 6 More than four 7

Members members Respondent 59

Respondent 70 60 Respondent 50 40 30 20 10 0 One members Two members Three members Four members More than four 5 6 23 7 Respondent 59

No.of earing member

Interpretation:-

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The diagram shows that near about 60% people had only one member who was employee.59 people came under this category out 100 people sample

4.What is your total family income from all sources annually? Income Persons 3000050000 4 50000100000 12 100000150000 75 150000200000 160 More than 200000 125

persons 180 160 140 120 100 80 60 40 20 0 160 125 75 persons

people

4 30000-50000

12 50000100000 100000150000 Income 150000200000 More than 200000

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Interpretation

:On the basis of study and collecting data only 160 people had income between the 150000-200000.

5.

Would you like to earn extra money by part time job?

Response Persons

Yes 73

No 27

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Persons

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Yes No 73

Through survey we find out that 73 people prefer to get extra income. In this class most of the persons are marketing agents and the students. And those persons who are highly self motivated and enthusiastic they can do such type of job as part/full time. Secondly remaining 27 people who in their existing job/business, are not able to devote time, because they have lack of time and most of them are busy in their activities.

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6. If given an opportunity, would you like join HDFC SLIC Ltd.? Response Peoples Yes 35 No 47 May be 18

Peoples

18 35 Yes No May be

47

Interpretation :Diagrm shows that the people 47 people gave no ans .for joining the HDFC

SLIC Ltd.and only 35 people want to join it. So less people are interested to join the company

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7. What would be prefer source used for collecting information regarding your customer? Sources Response Professionals Friend 225 10 Family 42 Advertisement Others 16 8

Customer information
250 Respondentt 200 150 100 50 0 Response Sources 42 10 16 8 225 Professionals Friend Family Advertisement Others

Interpretation:Most of used the professional mode because this area is too tough if any one feeling 225 people used the professionals method to get the information about the customer

66

8.How many hours you can devote in a day for generating extra income by part time job? Time Response One hour 33 Two hours 14 Three hours 21
Response 35 30 Respondent 25 20 15 10 5 0 One hour Two hours Three hours Timing Four hours Full time 14 21 19 13 Response 33

Four hours 19

Full time 13

. Interpretation:On the basis of data analysis people want to earn money without giving the mora time 33 people gave only one hour while only 13 people gave full time by which I say that people need job for very small time period.

67

9. Do you have any experience in selling ?

Response Percentage

Yes 34%

No 66%

34%
Yes No

66%

The study shows that 34% people are having experience in the selling and they also want to increase their selling skills. Thats why they want to join as a financial consultant so this job will be helpful in increasing their income along with selling skill. On the other hand the remaining people which is 66%, are dont have any selling experience and they dont want to do such type of job, because they are working in different organization. They have lack of time.

68

10. What are the approximate no. of the persin in your social network? Contact Less than 20-50 20 Response persons 9 persons 17 50-100 persons 37 100-200 persons 19 More than 200 18

Response

18

9 17 Less than 20 persons 20-50 persons 50-100 persons 100-200 persons More than 200 37

19

Interpretation:-

The people were in the survey they all have an average of 50-100 people circle. But out of those which have more than 100 people circle have been shown much interest in the insurance sector. They think that they will be comfortable in working with insurance sector. This job enhance their income. Basically insurance industry based on the contact and references.

69

11. which companys policy you have subscriber off? Company Reponse LIC 275 ICICI 57 BAJAJ HDFC OTHERS 3

ALLINAZ SLIC 12 68
Reponse

300 Policy purchaser 250 200 150 100 50 0

275

Reponse 57 12 LIC ICICI BAJAJ ALLINAJ Company HDFC SLIC 68 3 OTHERS

As we know that till 1999 LIC has monopoly in insurance sector. No other company was in competition of it. It is a nationalize company. But after 2000 there are many private insurance player which providing better services in insurance and also offering better plans to the people. But this is a reality that LIC has a much more market share in insurance industry and this is going to reduce gradually due to private player. But it is a hard core fact that people in villages, town and city think that LIC is
70

government company. All the insurance companies including LIC, are working under the guideline of IRDA rule and regulation.

71

12. What is your main motive to purchase insurance plan? MOTIVE SAVING SECURITY TAX 60 RETURN OTHERS 12

PURCHASER 92

BENEFITS 125 28
PURCHASER

140 No. of people 120 100 80 60 40 20 0 SAVING SECURITY 92 60

125

PURCHASER 28 12 TAX BENEFITS Motive RETURN OTHERS

Interpretation :Diagram shows that People had different motive in holding the insurance policy 125 people purchase the insurance for tax benefit and 92 people purchase for the saving motive.

72

13. What proportion of your income contribute to your insurance premium ? Amount of income PEOPLE 35 50 51 60 0-5000 5000-10000 10000-25000 2000030000 More than 30000 40

PEOPLE 60 50 40 No.of people 30 20 10 0 0-5000 500010000 10000- 2000025000 30000 INCOME More than 30000 PEOPLE 35 50 60 51 40

Interpretation:diagram interpreted that People save the big amount of tax through the insurance 60 people are coming between 20000-30000 that means a got amount could be contributed.

73

14. Are you knowing about plans of HDFC SLIC Ltd.?

PLAN CHILDREN ULIP PLAN 17 PERSONAL PLAN 43 ENDOWMENT OTHERS PLAN 13 2 PLAN AWARENESS 25

AWARENESS 50 45 40 35 30 25 20 15 10 5 0 43 25 17 13 2 CHILDREN PLAN ENDOWMENT PLAN ULIP PLAN PERSONAL PLAN OTHERS

No. of people

AWARENESS

PLAN

Interpretation :People were more aware towards the pension plan of the HDFC because it provide betteer plan not only in pension plan but it also provide another plan 43 people aware the pension plan of the HDFC SLIC and 25 people were aware from the children plan.

74

15.Are you aware of any insurance policy which gives you medical

benefits also?

Response Percentage

Yes 24%

No 76%

24%

Yes No

76%

Interpretation:-

The study shows that 76% people are unknown about the medical benefit providing policy which means that huge market is unexplored. So the company should explore this segment by giving to best medical policies.

75

16. Are you aware of any insurance policy which gives you higher return medical benefits with safe and secure future of your child? Response Percentage Yes 26 No 74
Percentage

26

Yes No

74

Interpretation:-

As the study shows that 74 people are not aware about the children future. So Children oriented policies should be given by the company. So the benefit of this opportunity should be taken.

76

17. Are you satisfied with the after sale service provided by HDFC SLIC Ltd.?

After sale sevice

HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED HIGHLY DISSATISFIED

PERCENTAGE

24 34 21 17 4

PERCENTAGE

17

24 HIGHLY SATISFIED SATISFIED NEUTRAL DISSATISFIED

21 34

HIGHLY DISSATISFIED

Interpretation ;-

77

After the analysis of data it is found that 34 people are satisfied with the after sale service provided by the HDFC SLIC.

78

MDS 1
Investment Purpose Annual income iInvetment information G1 3 18 4 35 8 G2 12 28 12 50 16 G3 57 60 75 51 42 G4 68 92 160 60 100 G5 275 125 125 40 225

Interpretation

Interpretation Here MDS apply on group of the people and their preferences on the basis of raking. In MDS stress is less than one and in the above scaling it comes near 0.278 which is one fourth of the one so my results is relevant to my objective.Devitation between the standard and finding is very less so data is more accurate.

79

Correlation Year Aprail 2000 2001 2002 2003 2004 2005 2006 2007 No. of Advisor 97 219 352 496 659 993 1253 1567 Policy sales 1567 3214 4519 6713 8929 13132 17504 23112

Interpretation I should apply the correlation between no. of advisors and the policy sale by them as well as no. of .As well as the advisors increases sale of the policy increase

80

MDS-2 Strongly Benefits Better plan Service Reliability Best service agree 36 13 24 27 17 Agree 47 37 34 38 23 Neutral 10 38 21 24 46 Disagree 7 9 17 6 10 Strongly disagree 0 3 4 5 4

I can apply the MDS between the satisfaction levels of people towards the HDFC SLIC Ltd. After applying the scale stress is only 0.149 which means my aim of the project was successful. Here the stress is less than 1. Deviation between the standard results is less it lies near the standard line so finding is good and more relevant.

81

LIMITATIONS

82

The various limitations those were faced while doing the project are as follow: 1 Time available :- I had only 42 day for my summer training which are not enough for research on the project. 2 Unwillingness of the respondents :- People could not give the response due to lake of timing . 3 Geographical area :- The geographical area was very much wide so the results are not very reflecting the current market behavior very much. 4 Lack of adequate standards:- Standard of the financial consultant was not good be lot of thing in this area could not tell to the customer. 5 Narrow scope:- In the future many private companies entered In this sector due to which growth rate is less for the Fc.

83

6 Lack of cooperation:- People could not give to me proper response without any motive. 7 Lack of experience:- I could not have the proper knowledge of this sector due to which some time I could not clearify terms. 8 Communication gap during understanding the plan to the customer 9 As the human behavior is not constant so the results collected through questionnaire may or may not apply to future period of time

84

85

86

87

88

89

90

91

FINDINGS
AND

RECOMMENDATIONS

92

FINDINGS
Most important findings of the summer training are: 1 Most of the people contacted were aware of the company who

were having the knowledge of private life insurance sector. But the awareness level was only up to the HDFC brand awareness. They were not having much knowledge about the company or the companys product.

People rank the company better then from the competitors but

when they asked about the competitive advantage most of them could not explain.

3 Most of the people were interested in working part time with the company but when they came to know that the job is of advisor (agent), most of them quit.

other people who were interested in becoming the advisor of

the company even after they got the knowledge about the job profile, most of them quit again because of the following reasons: a) Obligation to undergo 100 hours training hours b) Obligation to deposit a fee of Rs. 650 (later on, which has become Rs.1000) c) Unwillingness of relatives or friends

93

6 Person who have decided that to whom they will consider when they will be willing to take a life insurance policy, were not very strict on their opinion

7 Most of the people who were educated (at least graduate) have preferred the private life insurance company in comparison of the LIC.

8 Most of the people who were uneducated have preferred LIC because of that LIC is a public sector company.

9 Most of people were having the positive attitude towards the company and the negative attitude towards the company was not because of the company itself but it was because of the HDFC brand in most of the cases.

94

RECOMMENDATIONS
The recommendations after studying the findings and the observations are as follows: 1 The company needs to make people aware more and more about its competitive advantages over its competitors and about the companys products.

2 Company has to reduce the initial amount of fee which the person has to pay with the application form to become an advisor as the fee of the companys competitors is very low.

3 Company should approach to those people also who have not yet decided that which company they will consider while taking a insurance policy.

4 Company should try to change the preference of the people who are uneducated from LIC to private sector insurance company by making them aware that our company is also as safest as a public sector company.

5 Company can increase its business by focusing on the people from science background as most of them are not aware about the private insurance players but prefers the private sector company than the government because of better services in the private sector.

95

POLICY IMPLICATION

96

During the training I face lot of problem to tell the people about the part

time job

and plans of HDFC SLIC because of others company which do not tell the proper information about the part time job and also can not tell the hidden cost on the policy .Due to which people can not faith on me . After that I give suggestion to my trainer MR. Rahul jain (SDM) who talk with the branch manager Mr. Subodh Gupta and following :Called calling could be start by the team members of all SDM (sales development manager ) . To aware the people about the HDFC SLIC Ltd. by advertisement method to put the install at the main spot of the city where more people coming for shopping o any other purpose. They reduced the re-appear exam fee for those candidate who can not set in the exam . I also give other suggestion on which on which they also give attention but not imply. implication on my some suggestion .These implication are as

97

CONCLUSION

98

According to the survey we came to the conclusion that most of the people like the insurance services. Serviceman, professional and students every person wants to come into the insurance sector up to certain extent depending upon the interest land the surrounding conditions. Mostly the people who are residing in the local area more than 3 year they are interested as they know every aspect of life on that locality. They know the mentality and the financial conditions and the nature of that particular area. So only they have shown more interest in the insurance in the local area market, and only they are successful in the local area. As the stranger can never successful in unknown market other thing is that the persons who have the part time job they are also interested in it. The person are also affected by the family situations, the people having more earning hand they can think of extra activities like this, they can spare the time for these kind of activity. But if he is a single person then he can not think about this. The enthusiasm of the people is also very important thing. A person who has every kind of ability but he is not enthusiastic then he will not be able to do this type of job. A experienced person has better opportunity then an inexperienced person the company or the organization has also advantage by recruiting the experienced person as the training time and training cost along with the communication skills they are saved. As the person is already familiar with these kind of marketing environment, so the company can only tell them about the products and the other expenses are saved.The marketing opportunity is very bright as the 62% of the total population in uninsured so the organization should take advantage of this condition and should recruit the most desirable, skilled, enthusiastic, free minded and intelligent Financial consultant, so that they can explore the market with minimum time and maximum profit to the organization.

99

BIBLIOGRAPY

100

Books:
1 Belch George E and Belch Michael A ,Advertising & promotion, Sxth

Edition ,Tata McGraw Hill ,New Delhi 2 Batra Rajeev, Myen John G , Aaker David A Advertising management, Fifth Edition, Prentice-Hall India ,New Delhi. 3 Mishra M N ,Sales promotion and Advertising management, Second

Edition , Himalya Publishing House , New Delhi 4 Baack Clow, Integrated advertising, promotion & Marketing

communication, Third Edition, Prentice hall, New Delhi 5 Jain N c , Jain Saakshi, Marketing management ,First Edition, Aitbs

Oublication, New Delhi 6 Czinkota kotabe, Marketing management, Second Edition, Thomson-

south Western, 7. Kotler Philip & Keller Kevin lane, Marketing management, 12 th Edition PEARSON(Prentice Hall) 8. Hooda R P ,Statistics Introduction, !st Edition , Mcmillan India Ltd., New Delhi 9 Jain T R,Aggarwal D. S.C Statistics for MBA,2 nd Edition,VK (India) Enterprises,New Delhi. 10. Tata McGraw-Hill Publishing company Limited(2001) 11. Principles Of Insurance (INSURANCE INSTITUTEE OF INDIA) 12 . Kothari, C.R., Research Methodology, New Age International (P) Limited, New Delhi,(2005) 13 .Study Material of HDFC STANDARD LIFE

101

14. Study Material of LIFE INSURANCE CORPORATION

Websites:

1 intranet.hdfcsldm.com,Date 8th june 2007 2 www.irda.org. 3 www.google.com 4 www.indiainfoline.com 5 www.hdfcstandardlife.com

102

ANNEXURES

103

Annexure-1

XLSTAT 7.1 - Multidimensional Scaling (MDS) - 9/26/2007 at 12:07:28 PM Dissimilarity matrix: workbook = Book1vijay.xls / sheet = Sheet2 / range = $B$4:$F$8 / 5 rows and 5 co Uniform weighting (default) No missing values Metric Multidimensional Scaling Multidimensional Scaling model: absolute Stress used for the results: Kruskal's stress-1 Dimension of the representation space: 5 Repetitions: 10 Seed of the pseudo-random numbers generator: 2011353040 Iterations: 50 Convergence: 0.0001

Space with 5 Dimensions: Model: Dij= Pij

Observation coordinates: Observation Strongly agree Agree Neutral Disagree Strongly disagree Dim1 -6.110 -12.657 -8.793 15.261 12.299 Dim2 0.468 -2.659 0.367 1.345 0.478 Dim3 2.048 9.641 -15.789 -3.534 7.635 Dim4 -3.052 -6.452 5.997 4.710 -1.203

Dim5 -2.0 -7.7 13.7 2.7 -6.6

Distances measured in the representation space: Strongly agree Strongly agree Agree Neutral 0 12.441 25.660

Agree 12.441 0 35.940

Neutral 25.660 35.940 0

Disagree 23.916 34.709 29.214

Strongly disagree 19.8 25.7 38.2

104

Disagree Strongly disagree

23.916 19.869

34.709 25.797

29.214 38.261

0 16.056

16.0

Ideal distances calculated using the model (disparities): Strongly agree

Agree Neutral Disagree Strongly agree 0 13.000 24.000 27.000 Agree 13.000 0 34.000 38.000 Neutral 24.000 34.000 0 24.000 Disagree 27.000 38.000 24.000 0 Strongly disagree 17.000 23.000 46.000 10.000 In the case of the absolute model, the disparities are equal than the dissimilarities

Strongly disagree 17.0 23.0 46.0 10.0

Residual distances: Strongly agree Strongly agree Agree Neutral Disagree Strongly disagree 0 -0.559 1.660 -3.084 2.869

Agree -0.559 0 1.940 -3.291 2.797

Neutral 1.660 1.940 0 5.214 -7.739

Disagree -3.084 -3.291 5.214 0 6.056

Strongly disagree 2.8 2.7 -7.7 6.0

Comparative table: Dissimilarity Pair Dissimilarity Disparity Distance rank Disagree - Strongly disagree 10.000 10.000 16.056 1 Strongly agree - Agree 13.000 13.000 12.441 2 Strongly agree - Strongly disagree 17.000 17.000 19.869 3 Agree - Strongly disagree 23.000 23.000 25.797 4 Neutral - Disagree 24.000 24.000 29.214 5 Strongly agree - Neutral 24.000 24.000 25.660 5 Strongly agree - Disagree 27.000 27.000 23.916 6 Agree - Neutral 34.000 34.000 35.940 7 Agree - Disagree 38.000 38.000 34.709 8 Neutral - Strongly disagree 46.000 46.000 38.261 9 In the case of the absolute model, the disparities are equal than the dissimilarities

Disparity ran

105

Summary of repetitions: Initial Fin. Iterations stress stress 1 34 0.598 0.149 2 36 0.465 0.149 3 22 0.390 0.149 4 25 0.419 0.149 5 34 0.456 0.149 6 35 0.399 0.149 7 38 0.538 0.149 8 30 0.420 0.149 9 26 0.404 0.149 10 33 0.438 0.149 In bold, repetition corresponding to the best solution that XLSTAT found Repetition

106

Annexure-2

CORRELATION

XLSTAT 7.1 - Correlation Tests - 9/26/2007 at 12:08:08 PM Variable 1: workbook = Book1vijay.xls / sheet = Sheet3 / range = $D$6:$D$13 / 8 rows and 1 column Variable 2: workbook = Book1vijay.xls / sheet = Sheet3 / range = $E$6:$E$13 / 8 rows and 1 column Significance level: 0.05

Pearson's correlation coefficient test (parametric test): Observed value Two-tailed p-value Alpha 0.997 < 0.0001 0.05

Decision: At the level of significance Alpha=0.050 the decision is to reject the null hypothesis of absence of correlation.

107

Annexure-3 MDS-2 XLSTAT 7.1 - Multidimensional Scaling (MDS) 9/26/2007 at 12:06:35 PM Dissimilarity matrix: workbook = Book1vijay.xls / sheet = Sheet1 / range = $C$6:$G$10 / 5 rows and 5 columns Uniform weighting (default) No missing values Metric Multidimensional Scaling Multidimensional Scaling model: absolute Stress used for the results: Kruskal's stress-1 Dimension of the representation space: 5 Repetitions: 10 Seed of the pseudo-random numbers generator: 410208210 Iterations: 50 Convergence: 0.0001

Space with 5 Dimensions: Model: Dij= Pij

Observation coordinates: Observation G1 G2 G3 G4 G5 Dim1 -5.360 -4.548 -1.137 36.007 -24.963 Dim2 0.342 0.447 0.992 -3.672 1.892 Dim3 -1.885 0.300 -1.141 7.917 -5.192 Dim4 -2.017 3.236 0.202 -1.378 -0.044 Dim5 -0.003 11.053 -2.904 -29.011 20.865

Distances measured in the representation space: G1 G1 G2 G3 G4 G5 0 12.461 5.670 51.626 28.930 G2 12.461 0 14.765 57.845 23.580 G3 5.670 14.765 0 46.556 33.910 G4 51.626 57.845 46.556 0 80.059 G5 28.930 23.580 33.910 80.059 0

Ideal distances calculated using the model (disparities): G1 G1 G2 G3 G4 G5 0 18.000 4.000 35.000 8.000 G2 18.000 0 12.000 50.000 16.000 G3 4.000 12.000 0 51.000 42.000 G4 35.000 50.000 51.000 0 100.000 G5 8.000 16.000 42.000 100.000 0

108

In the case of the absolute model, the disparities are equal than the dissimilarities

Residual distances: G1 G1 G2 G3 G4 G5 0 -5.539 1.670 16.626 20.930 G2 -5.539 0 2.765 7.845 7.580 G3 1.670 2.765 0 -4.444 -8.090 G4 16.626 7.845 -4.444 0 -19.941 G5 20.930 7.580 -8.090 -19.941 0

Comparative table: Dissimilarit Dissimilarity Disparity Pair y Disparity Distance rank rank G1 - G3 4.000 4.000 5.670 1 1 G1 - G5 8.000 8.000 28.930 2 2 G2 - G3 12.000 12.000 14.765 3 3 G2 - G5 16.000 16.000 23.580 4 4 G1 - G2 18.000 18.000 12.461 5 5 G1 - G4 35.000 35.000 51.626 6 6 G3 - G5 42.000 42.000 33.910 7 7 G2 - G4 50.000 50.000 57.845 8 8 G3 - G4 51.000 51.000 46.556 9 9 G4 - G5 100.000 100.000 80.059 10 10 In the case of the absolute model, the disparities are equal than the dissimilarities Distance rank 1 5 3 4 2 8 6 9 7 10

109

Summary of repetitions: Initial Fin. Repetition Iterations stress stress 1 27 0.752 0.278 2 29 0.682 0.278 3 28 0.699 0.278 4 27 0.663 0.278 5 28 0.687 0.278 6 29 0.681 0.278 7 29 0.631 0.278 8 26 0.657 0.278 9 28 0.717 0.278 10 29 0.638 0.278 In bold, repetition corresponding to the best solution that XLSTAT found

110

Private players in insurance sector till date

Annexure-4

S.No.

Registration Number

Date of.Reg. 23.10.2000 15.11.2000 24.11.2000 10.01.2001 31.01.2001 12.02.2001 30.03.2001 02.08.2001 03.08.2001 06.08.2001 03.01.2002 14.05.2002 06.02.2004 06.09.2005 09.08.2005

Name of the Company

1 2 3 4 5 6 7 8 9 10 11 12 13 14 15

101 104 105 107 109 110 111 114 116 117 121 122 127 129 134

HDFC Standard Life Insurance Company Ltd. Max New York Life Insurance Co. Ltd. ICICI Prudential Life Insurance Company Ltd. Kotak Mahindra Old Mutual Life Insurance Limited Birla Sun Life Insurance Company Ltd. Tata AIG Life Insurance Company Ltd. SBI Life Insurance Company Limited . ING Vysya Life Insurance Company Private Limited Bajaj Allianz Life Insurance Company Limited Metlife India Insurance Company Pvt. Ltd. AMP Sanmar Life Insurance Company Limited. Aviva Life Insurance Co. India Pvt. Ltd. Sahara India Insurance Company Ltd. Bharti AxA life insurance Reliance life insurance

111

16

138

06.03.2005

Shriram Life Insurance(ShriVishram)

Annexure-5

PREMIUM UNDERWRITTEN BY LIFE INSURERS IN INDIA 2006-07 (Rs crore) Sl. First Year Renewal Single Total Insurer No. Premium Premium Premium Premium 1 2 3 4 5 6 7 8 9 10 11 12 13 LIC ING Vysya ICICI Prulife Birla Sunlife HDFC Std.life Om Kotak Tata AIG SBI Life Allianz Bajaj Max Newyork Metlife AMP Sanmar 11759.47 71.33 140.80 426.52 629.12 101.37 176.73 101.75 157.24 124.18 22.91 21.56 72.03 31.22 24.55 29.22 2045.52 13804.99 46178.31 16.41 88.42 87.68 238.43 25.21 71.93 18.62 41.25 77.96 5.32 3.85 4.54 3.25 5.63 7.66 679.62 46857.93 5229.83 0.77 68.53 23.34 121.73 24.15 4.86 105.30 22.31 13.11 0.51 5.65 4.93 3.95 11.22 13.52 395.18 5625.01 63167.60 88.51 297.76 537.54 989.28 150.72 253.53 225.67 220.80 215.25 28.73 31.06 81.50 76.25 65.99 69.69 3120.33 66287.93

Aviva Bharti AxA 14 life insurance Reliance life 15 insurance Shriram Life Insurance(Shri 16 Vishram) Private Total Grand Total

112

Annexure-6

FIRST YEAR PREMIUM FOR THE YEAR ENDED MARCH, 2007 Total No. of Policies Issued March,2007 Apr.- Mar March Apr.- Mar Premium 4738.99 30022.07 31148 228894 1.18

TATA AIG KOTAK MAHINDRA OLD MUTUAL BIRLA SUNLIFE MAX NEW YORK ING VYSYA ICICI Prulife MET LIFE BAJAJ ALLIANZ HDFC Std.life SBI AVIVA AMP SANMAR SAHARA LIFE

Policy 0.87

2 3 4 5 6 7 8 9 10 11 12 13 14 15 16

23313.41 13673.42 4208.25 18478.59 19771.79 1048.10 36596.63 42942.95 8690.23 4248.50 870.99 131.86

37475.21 14975 63468 62128.31 41710 198370 22469.01 33608 216671 28162.46 26088 111141 48615.08 58695 206320 5603.71 9579 46682

1.48 2.45 0.89 1.11 1.92 0.22 3.39 6.25 1.91 0.76 0.36 0.01 0.69 0.76 1.90

0.24 0.76 0.83 0.42 0.79 0.18 1.10 2.34 0.49 0.32 0.13 0.04 1.21 1.95 .09

86001.80 83017 288191 158408.46 96352 614673 48293.56 43271 129974 19229.27 13989 83209 9118.44 167.09 157.32 149.06 155.22 6378 7146 1933 2246 2633 35268 10214 12006 15119 11005

Bharti AxA life insurance 127.36 Reliance life insurance 136.12 Shriram Life Insurance(ShriVishr am) 134.05

113

PRIVATE TOTAL

178713.70

555694.47 465956 2233075 21.93

8.50

Annexure-7

FIRST YEAR PREMIUM FOR THE YEAR ENDED MARCH, 2007 (PROVISIONAL) Total S Company July,200 No. 7 1 TATA AIG 2894.32 2 KOTAK MAHINDRA OM 1167.60 3 BIRLA SUNLIFE 3053.98 4 MAX NEW YORK 2264.26 5 ING VYSYA 1130.95 6 ICICI Prulife 5717.66 7 MET LIFE 724.36 8 BAJAJ ALLIANZ 8713.21 9 HDFC Std.life 13022.37 10 SBI 2055.58 11 AVIVA 2176.06 12 AMP SANMAR 796.94 13 SAHARA LIFE 85.77 14 Bharti AxA life 96.88 insurance 15 Reliance life insurance 891 16 Shriram Life 89.00 Insurance(ShriVishram ) No. of Apr.July 2894.32 4545.70 11221.38 8663.78 3490.03 19919.80 2437.85 Policies Issued July Apr.July 21009 82577 5112 15200 26261 5988 23237 6939 17893 46195 86443 19785 74302 20571 10331 9 15680 8 42778 26939 15031 8851 7689 6911 2222 Premium Policy 1.75 0.70 1.72 1.33 0.54 3.05 0.37 4.18 7.12 1.47 1.11 0.44 0.03 0.06 0.11 0.19 1.33 0.29 0.75 1.40 0.32 1.20 0.33 1.67 2.53 0.69 0.44 0.24 0.14 0.24 0.66 0.49

27266.00 34387 46435.49 9566.76 7229.72 2877.95 194.19 164 2688 2356 43753 8750 8334 4626 3554 2346 542 6354

114

115

Questionnaire

Name

Age.. Sex . Address Contact No. . 1.For how long you are living at this location? (a) 0-1 yrs. (d) 7-10 yrs. (b) 2-5 yrs. (c) 5-7 yrs.

(e) More than 10 yrs.

2.What is your occupation? (a) Service (d) business (b) Teaching (e) Others (c) Profession

3. How many members of your family are employed? 116

(a) One member (d) Four members

(b) Two members

(c) Three members

(e) More than four members

4. What is your total family income from all soures? (a) Rs. 30000-50000 (b) Rs. 50000-100 (c) Rs.100000-150000 (d) Rs. 150000-200000 (e)More than Rs 200000

5. Would you like to earn extra money by part time job? (a) Yes (b) No

6. If given an opportunity, would you like to join HDFC SLIC ? (a) Yes (b) No (c) May be

7. What would be prefer source used for collecting information regarding

your customer?
(a) Professionals (d) Advertisement (b) Friends (e) Others (c) Family

8.How many hours you can devote in a day for part time job to earn extra income? (a) One hour (d) Five hours (b) Two hours (e) Full time (c) Three hours

9. DO you have any experience in selling? (a) Yes (b) No

10.What are the approximate no. of the persin in your social network? (a) Less than 20 persons (d) 100-200 persons (b) 20-50 persons (c) 50-100 persons

(e) more than 200 persons

11. Do you have any insurance policy?

117

(a) Yes

(b) No

12. . which companys policy you have subscriber off? (a) LIC (d) HDFC SLIC (b) ICICI (e) OTHERS (c) BAJAJ ALLINAJ

13. What is your main motive to purchase insurance plan? (a) Saving (d) Return (b) Security (e) Others (c) Tax benefit

14. What proportion of your income contribute to your insurance premium ? (a) 0-5000 (d) 20000-30000 (b) 5000-10000 (e) more than 30000 (c) 10000-20000

15. Are you knowing about plans of HDFC SLIC Ltd ? (a) Children plan (d) Endowment plan (b) ULIP plan (e) Others (c) Pension plan

16. Do you think ULIP plans are more beneficial than traditional plan of HDFC SLIC Ltd./ (a) Strongly agree (d) Disagree (b) Agree (c) Neutral

(e) Strongly disagree

17. Do you think that HDFC SLIC Ltd. provides better insurance & invest plan? (a) Strongly agree (d) Disagree (b) Agree (c) Neutral

(e) Strongly disagree

18. Are you aware of any insurance policy of HDFC SLIC which given you medical benefits also?(if yes ,specify) (a) Yes (b) No

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.. 19. Are you aware of any insurance policy which given you higher return medical benefits with safe and secure future of your (a) Yes (b) No children?(if yes, specify)

.. 20. Are you satisfied with the after sales service provided by the HDFC SLIC Ltd.? (a) Strongly satisfied (d) Dissatisfied (b) Satisfied (e) Strongly dissatisfied (c) Neutral

21. What do you think about the brand reliability of HDF SLIC Ltd.? (a) Strongly satisfied (d) Dissatisfied (b) Satisfied (e) Strongly dissatisfied (c) Neutral

22. What do you think/consider HDFC SLIC your best choice among all private insurance companies? a) Strongly agree (d) Disagree (b) Agree (c) Neutral

(e) Strongly disagree

23. Do you like to reinvest in HDFC SLIC in future? (a) Yes (b) No (c) May be

24. Any suggestion for HDFC SLIC Ltd. for improvement?

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12. 13. 14.

6 7

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ORGANISATION CHART

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