a summer training report. jyoti. sec a

8/8/2019 A Summer Training Report. Jyoti. Sec A

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A SUMMER TRAINING REPORT

IN

BHARTI-AXA

LIFE INSURANCE COMPANY

ON

TO STUDY CUSTOMER AWARENESS AND

SATISFACTION LEVEL FOR THE

INSURANCE POLICIES

Submitted to:Ms. Seema walia

Submitted By:Jyoti sharma


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ACKNOWLEDGEMENT

No man is indispensable but there are certain mortals without whom

the quality of work suffers. Their guidance becomes indispensable in

acquiring quality results.

My sincere thanks to my internal guide Mr Radha Krishnan Mangla

(Agency sales manager) Bharti-AXA, whose excellent guidance,

encouragement & patience has made possible the successful completion

of my project.

Last but not least, sincere thanks to the staff of Bharti-AXA, for their

ever willing help.

I am thankful to MISS SEEMA WALI (Internal guide) AMITY

BUSINESS SCHOOL for cheerfully and generously giving his time, advice

and efforts and also for sharing his experiences with me, which helped in

completion of my project.

JYOTI SHARMA

BBA 5TH SEMESTER


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PREFACE

During this project I fully realized this and come to know about the present

real world of insurance. Since it include all the activities involved in selling

insurance products directly to financial customers. I am pleased to know

about the customers wants and various activities in the real world ofinsurance product.

The Subject of Study is A STUDY OF INSURANCE POLICIES AND

ACTIVITIES OFBHARTI-AXA LIFE INSURANCE. I have done this by

applying various tools like Tele calling, and through direct interaction with

customers.

The report contains first of all brief introduction about BHARTI-AXA Life

Insurance. Then it throws some light on the insurance policies and plans

provided by BHARTI-AXA Life Insurance.


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TABLE OF CONTENTS

1. Introduction to Industry

6

2. Introduction to Company 19

3. Research Methodology

37

a) Title justification 38

b) Objective

c) Scope of the study 39

d) Significance of the study 39

e) Research design: 40

f) Sampling Methodology 41

i. Sampling unit

ii. Sampling technique

iii. Sampling area

iv. Sample size

g) Limitation

4. Facts and Findings 42


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AXA Life Insurance Companys available products and plans. Then based on

this exercise I was told to prepare a questionnaire which would be used in

order to extract competitive information from the consumers available in the

market. This was a common exercise done by all summer trainees on the

same project and we collectively came up with a sample questionnaire and

also with the idea of having a feedback form too which would be filled by us

and would actually help in getting the information which we cannot directly

ask from the consumers but, could be found out through observation.

This idea was readily accepted by our mentor and then I had to conduct a

study based on that. After his approval, I made some changes and came up

with the final questionnaire and feedback form.

The survey was done very extensively. I had to cover large and large number

of people.

The experience of survey was very close to making an actual sales call

because many a times there were respondents who wanted to know their own

benefit from such a study and why they should give all this information. It

was a challenging task and required a lot of creativity which made the project

more exciting


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Introduction to life Insurance

Life insurance offers a way to replace the loss ofincome that occurs when someone dies (usually the person who produces themajority of income in a family situation). It is a contract between you as theinsured person and the company or "carrier" that is providing the insurance. Ifyou die while the contract is in force, the insurance company pays a specifiedsum of money free of income tax "cash benefits" to the person or

persons you name as beneficiaries.

Life insurance - Purchase policy; the insurance company promises to pay alump sum at the time of the policy holders death, or sometimes while theyare still alive.

Purpose of life insurance : Protect someone who depends on you fromfinancial loss related to your death.

Other reasons are.

To leave as part of your estate.

To save money for retirement or for income or education for children.

To make charitable bequests upon your death.

To pay off a mortgage or debts at the time of death.

The Principle of Life Insurance

Mortality tables provide odds on your dying, based on your age and

sex. Your premium is based on your life expectancy and the projections for

the payouts for persons who die.
http://www.lifeinsurancewiz.com/http://www.lifeinsurancewiz.com/


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Determining Your Life Insurance Needs Ask Yourself...

Do you need life insurance? Do you have people you need to protect financially? Do you have a partner who works?

What are your objectives for life insurance? How much money do you want to leave your dependents should

you die today?

When do you want to retire, and what income do you thinkyoull need? How much will you be able to pay for your insurance program?

Buying Life Insurance

When you buy life insurance, you want coverage that fits your needsand your budget.

Decide how much you need, for how long and what you can afford.

Examine what kinds of policies are available to meet your needs andpick the one that best suits you.

Compare what different companies charge for the same kind ofpolicy and amount of insurance you want.

Finding a Low Cost Policy

Do premiums or benefits vary from year to year?


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How much cash value builds under the policy?

Are premiums, benefits or interest rates guaranteed or subject

to change by the company?

What is the effect of interest on money paid and received at

different times on the policy?Good Life Insurance

A good life insurance program does more than just replace theloss of income that occurs if you die. It should also provide money to coverthe new costs that arise after your death funeral expenses, taxes, probatecosts, the need for housekeepers and child care, and so on. And these cash

benefits should provide for your family's future needs as well, includingcollege education for your children and part or all of your spouse's retirement

needs. In almost all cases, your beneficiary can use the cash benefits in theway he or she sees fit, without restriction.

Estimating Your Life Insurance Requirements

The Easy Method

o Typically, you will need 70% of your salary for seven years while

your family adjusts.

The DINK (dual income, no kids) Method

The Nonworking Spouse Method

o Multiply the number of years until the youngest child reaches 18 by

$10,000.

The Family Need Method


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o More thorough than the first three because it also considers

employer provided insurance, Social Security benefits, and incomeand assets.

Two Types of Life Insurance Companies

1. Stock life insurance companies are owned by the shareholders.

95% are of this type. Sell non-participating policies. If you want to pay the same premium each year, choose a non-

participating policy with its guaranteed premiums.

2. Mutual life insurance companies

Owned by the policyholders. 5% of policies are from this type of company. With participating policies the premiums are higher than non-

participating policies. However, part of the premium is refundedto the policyholders annually. This is called the policy dividend.

LIST OF LIFE INSURERS (AS OF SEPT, 2006)

Apart from Life Insurance Corporation, the public sector life insurer, there are14other private sector life insurers, most of them joint ventures between Indiangroups and global insurance giants.

Life insurer in public sector


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1. Life Insurance Corporation of India

Life insurers in private sector

1. Bajaj Allianz Life2. Tata AIG Life3. ICICI Prudential Life Insurance4. HDFC Standard Life5. Birla Sunlife6. SBI Life Insurance7. Kotak Mahindra Old Mutual Life Insurance8. Aviva Life Insurance

9. Reliance Life Insurance Company Limited - Formerly known as AMP10.Sanmar LIC11.Metlife India Life Insurance12.ING Vysya Life Insurance13.Max Newyork Life Insurance14.Sahara Life Insurance - Now they are not into business15.Shriram Life Insurance16.Bharti AXA Life Insurance Co Ltd

AGENTS Role

The main responsibility is to identify the prospective policy holder. Toconvince him & make him understands Life Insurance. Thus, selling a lifeinsurance policy by helping him to enter into a contract with Life InsuranceCompany.

Some of the Qualities we seek are:

Self-motivation A master communicator A go-getter A graduate


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What does an LIC agent do?

They are mostly first contact and help individuals, families, and

businesses select insurance policies that provide the best protection for

their lives, health, and property. Insurance sales agents who work exclusively for one insurance

company are referred to as captive agents.

Insurance sales agents, commonly referred to as producers in the

insurance industry, sell one or more types of insurance, such as

property and casualty, life, health, disability, and long-term care

Life insurance agents specialize in selling policies that pay

beneficiaries when a policyholder dies.

People Involved in the Insurance Policy Sale

The People Involved In these processes are:-

1. Actuarial - An actuary is a business professional who deals with the

financial impact of risk and uncertainty. They are The People who

decide the premium to be paid on a policy based on various factors like

demographics and others. They Constitute .5% of the total people

involved.

2. Underwriters They are the people involved in the checking of the

data mentioned by an individual in the policy. They also conduct a

health check. After this they offer various policies based on the

outcomes of these checks. They constitute 1.5% of the total people in

the process.


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3. Sales People The Major chunk of people lies in the sales. They are

the people who have a direct contact with the actual customer and try to

convince them to purchase a policy explaining the various feature of

the policy. They constitute the most, that is 98% of the total people

involved in the process.

Rated Policy

Statement in which a life insurance applicant is charged a higher-than-

standard premium to reflect a unique impairment, occupation, or hobby, such

as a history of heart disease, a circus performer, or a sky diver.

PAYMENT OPTIONS

Premium Payment Options Customers - Policy Renewals Options

Renewing an insurance policy has never been so easy. Choose from any ofthe 10 options listed below to pay your premium. We will send the premium

receipt to your mailing address.


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The

Ways of

making Premium Payments

MARKET PLUS PlAN

Is a unit linked pension scheme (ULIP) wherein the pension is payable after

a specified period.

Features:

1. Option to pay one time premium

2. Critical illness benefits minimum Rs 50,000 and the maximum Rs 10 lakh

3. Accident benefits from Rs 25,000 up to a maximum of Rs 50 lakh.


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4. Switch from one type of fund to another up to four times a year.

5. Premium top up.

6. Policy can be taken with or without risk cover.

7. Net Asset Value (NAV) declared on a daily basis.

Benefits:

A)On Vesting:

On vesting of the policy, the Fund Value will be utilized to provide apension

based on the then prevailing Annuity rates. An option to commute up to one

third of the payable benefit in a lump sum is available.

B) On Death:

In event of the unfortunate death of the policy holder the Fund Value alongwith the Riders, if any, will be payable in a lump sum or as a pension.

Fund Types:

1.Bond Fund

2. Secured Fund

3. Balanced Fund

4. Growth Fund

Change In Fund Type (Switch)

The plan also allows a policy holder to switch from one type of fund to

another up to four times a year, free of charge.

Options :-

Three attractive benefits, viz.
http://www.mylicindia.com/http://www.mylicindia.com/http://www.mylicindia.com/


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Life Cover

Accident Benefit

Critical Illness Benefit

are available as options or riders. Life option is available within certain

limits depending on the age at entry of the life assured. The other options are

available to all proposers who have opted for Life Cover. The quantum of the

risk covers can also be reduced; subject to the minimum limits, once a year. A

policy can be taken without any of the riders also.

Revival

An attractive feature of the plan is that provided the premiums have been paid

for a minimum period of three years, all the riders under the policy will

continue for a period of two years from the due date of first unpaid premium

by deduction of relevant charges from the policy fund. This period of two

years is called the Revival Period. Further, if premiums have been paid for

a minimum period of three years, revival can be effected merely by paying

the arrears of premium, within the Revival Period.

Payment of Premiums

Premiums can be paid in a lump sum (single premium) and also by monthly

(ECS), quarterly, half-yearly and yearly modes.

Payment Options

Payment at cash counter


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Online Payment Gateway is LICs initiative to provide you with on demandservice within a few clicks! You can now have many of the functionalitiesthat were available only at a branch office, online at your fingertips.

The payment gateway (PG) initiative is an important component of the offer.It provides for real-time payment of renewal premium-dues through theportal. This functionality is available only to registered customers who haveenrolled their policies.

You can pay LIC premiums using Net Banking accounts with any of the

following banks:-

Bank of India Union Bank of India Punjab National Bank State Bank of India State Bank of Indore HDFC Bank ICICI Bank Axis Bank Citibank IDBI Bank Centurion Bank of Punjab (erstwhile Centurion Bank) Centurion Bank of Punjab (erstwhile Bank of Punjab) IndusInd Bank ABN AMRO Bank

NOTE: This facility is available for all non-ULIP policies.Credit card payments are not accepted under this payment facility.

Payment through alternate channels:-

To pay your premiums through Internet, choose among any of the following service

providers:


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Authorised Banks:-

HDFC Bank

ICICI Bank

Bank of Punjab UTI Bank

Federal Bank

Corporation Bank

Citibank

Authorized Service Providers (available only in select cities):-

BillJunction.com

BillDesk.com

TAX BENEFITSTax Benefits available for various Life Insurance plans.


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The aggregate amount of deduction under all the relevant sections viz. section80C, section 80CCC and section 80CCD shall not, exceedRs.1 Lakh

1)

Deduction from Income for payment of Premium (Sec. 80C).

(a) Life Insurance premia:The insurance premia paid for a policy is eligible for deduction. The

premium paid should not be in excess of 20% of capital sum assured.

(b)Contribution to Deferred Annuity Plans:The premia paid for a Deferred Annuity; provided such contract doesnot contain a provision to exercise an option by the insured to receiveda cash payment in lieu of the payment of annuity is eligible for

deduction.

(c) Contribution to Pension/Annuity Plans :

Contribution to New Jeevan Dhara-I and New Jeevan Akshay-VSchemes of LIC are qualified for rebate under this section.

2) Income tax exemption on Maturity/Death Claims proceeds under

Section 10(10D)

All the benefits payable under a Life Insurance policy are tax free. However incases the premium paid in excess of 20% of the capital sum assured within ayear, benefits paid excess of premiums will be taxable. The benefits from akey man Insurance policy and any sum received under Sec 80DD, Sub-section (3) are also taxable.

3) Jeevan Nidhi Plan & New Jeevan Suraksha - I Plan (U/s. 80CCC)

Amounts paid from the taxable income to premiums of the above annuityare deductible.

4) Deduction under section 80D


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Medical Premium paid for a Health Insurance policy is deductible to theextent of Rs. 15000 for an assessee and/or his family members policy/s. Aseparate exemption to the extent of Rs. 15,000 for premiums paid foran assessees parents is also available. If any one or both of the parents are

Senior citizens, then an enhanced exemption limit of Rs. 20,000 is available.Section 80D also covers payment of premium exclusively for Critical IllnessRider.

5) Jeevan Aadhar Plan (Sec.80DD)

Premium paid for LICs Jeevan Aadhar Plan (for the maintenance of anhandicapped dependent) is eligible for deduction from the total income to theextent of Rs.50,000 and to the extent of Rs.75,000/- where handicapped

dependent is suffering from specified severe disability.

6) Exemption in respect of commutation of pension under Jeevan

Suraksha & Jeevan Nidhi Plans. (Section 10(10A):

A payment received by way of commutation of pension from JeevanSuraksha & Jeevan Nidhi Annuity plans is exempt from tax


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This is making the competition much tougher for the Life insurancecompanies as most of the companies offer similar types of premiums andfacilities. So it has become very important for the life insurance companies toconcentrate on Life Insurance Marketing and attract as many people as

possible towards their company.

The Life Insurance Companies prefer to go for Group Life Insurance for agroup of people from a particular company or a family so that they get agroup of customers and even if they compensate for some of them for variousreasons they usually make it up with other's premiums. They also get less

papers to control and also they provide better facilities for their clients. So topromote this type of policy they need to have social and industrialconnections. Life Insurance market helps developing that. Even for other

policies like term life insurance and permanent life insurance one needs to be

aware of making people realize the profits of the policy by various meansprovided by marketing agencies.

Life Insurance Marketing Strategies

A very common way to promote a Life insurance company throughLife Insurance Marketing is to make the name of the companyfamiliar to others by means of television commercials, handling out

pamphlets, hanging banners in populated areas and by providingexciting offers.

Telephone marketing is another way of Life Insurance Marketing. Onecan see the telephone companies send messages about various offersand they even make phone calls. Web Insurance Marketing is anothergood strategy to promote insurance policies. The pop ups that one seeswhile using Internet are actually a very effective way of sendingmessages across the potential insurance customers.

One should listen to the existing Life Insurance Policy Holders as wellas the potential Life insurance policy holders and listen to what peoplewho actually matters have to say. One common problem that theinsured persons face is that the insurance companies do not inform itsclients about the hike in the premium rates. These things should be keptin mind. Not only that, a client should be informed about everything


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related to his policy and the Life insurance company should keep thetransparency as much as possible.

Community Life Insurance Marketing is another different way to getpromotion and a high recognition for the Life insurance company.

Eminent workers join local community institutions, such as Chamber ofCommerce, and by signing up there one can help out various projectsthat take place. These kinds of activities and social works on behalf ofthe Life insurance company helps the company to get free publicity astheir names are published in news paper and in media also. Doingcharity works also helps the Life insurance companies to come acrossvarious people who act as volunteers and can act as their potential Lifeinsurance clients. People also like to deal with like minded people andcompanies and this is how many deals are made.

A Life Insurance Company should not charge different Life insuranceclient different charges for the same policy. This kind of policy givesthe Life insurance policy holders the feeling that they are being treatedunfairly and also that the Life insurance companies are only looking for

profits and not the betterment of customer welfare.

When a Life insurance claim is filed, especially for a very big heftyamount, the Life insurance company should help out the policy holderin processing out the paperwork. One should not let bureaucracy enter

and make it so difficult for the one making the claim so that he giveshis claim .This has always been a common tactic on the insurancecompany's part to avoid paying claims claimed by the policy holder.This though makes a short term profit for the company but it hurts inthe long run as the reputation of the company is hampered severely.

People in this Life insurance industry should always try to keep inconstant contact with the existing customers as well. The competitionin the insurance market is so fierce today that no company wants toloose out on a customer to another company. Clients who are not

contacted for a longer period of time normally fail to remain loyal tothe insurance company and look for a different Life insurancecompany. The company can keep the records of the client's birthdayand days like anniversary and sent him or her small tokens of love orloyalty at a regular basis. If the company can afford a little more it can


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send dinner coupons to the Life insurance policy holder. These thingsplay a major role and can be considered as an effective Life InsuranceMarketing strategy.

May be the most crucial thing in insurance marketing is to always

speak about unity and honesty while dealing with a business. A LifeInsurance Holder can find so many frauds in various life insurancecompanies today, that life insurance customers are going for productsand services which are trustworthy to them. Feeling safe is aboutinsurances and other things are most important as far as the insuranceholder is concerned. So, if a company remains loyal to its customers itwill itself do Life Insurance Marketing for itself.

INTRODUCTION

TO


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paid to the beneficiaries and annuities protect the assured against economic

death when he lives too long to arrange for his necessities. In simple

language, insurance promises a compensation of monetary loss sustained by a

particular person, due to the damage or destruction of a particular piece of

property owned by him, provided it happens due to certain courses. In other

words, it is perfectly a simple promise to make good the loss.

PRIVATE PLAYERS IN THE MARKET

The new insurance companies used all channels of advertising from

newspapers and the television to insurance agents and direct mailers. The new

companies focused their campaigns primarily on building an image of

trustworthiness and reliability for themselves. Their advertisement focused on

insurance as an investment option and not a mere tax saving tool. Most of

these advertisements carried messages like the familys happiness. It has been

more than 5 years since private insurance companies lunched operations in

India, which is depicted in the Table given below:


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PRIVATE PLAYERS IN THE INDIAN INSURANCE MARKET

Company Indian partner Foreign insurer Area

Birla Sunlife Aditya Birla

Group

Sunlife, Canada Life

Om Kotak Kotak Mahindra

Finance

Old Mutual, South

Africa

Life

Bharti-AXA Bharti Group AXA, SA Life

ICICI-Prudential ICICI Prudential, UK Life

Max New York Max India New York Life USA Life


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Tata-AIG Tata group AIG USA Life & Non

Life

ING Vysya Vysya Bank ING Insurance,

Netherlands

Life

Aviva Dabur CGU life, UK Life

Metlife India Jammu &

Kashmir Bank

Metlife, USA Life

Bajaj Allianz Bajaj Auto Allianz Life

Type of Insurance

The global insurance industry helps policyholders to shield themselves

from potential risks, and covers everything from property protection to

vehicle, medical, health and life insurance.

The insurance industry is one of the most important financial services

industries in the world. There are two broad sub-divisions of the insurance

industry the life insurance industry and the general insurance industry.

The life insurance industry has been established to help dependents survive

the loss of the family breadwinner. There are five main types of life

insurance:

1. Term Insurance. Insurance is provided for a specific term, such as 30

years. If the policyholder dies during that period in which he has taken up the

policy then a pre-specified amount of money is paid to the beneficiaries. If


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they are still alive at the end of the period, no money is paid out. There is no

investment component.

2. Whole Life Insurance. A form of term insurance in which the policy is in

effect for the entire duration of the policyholders life, not for a specified

term.

3. Universal Life Insurance. Includes a cash account component. Any

monthly amount paid in that is above the minimum premium will be invested

and will grow in value during the term of the policy. At the end of the term

the surrender value is the size of the investment in the cash account, minus

any charges applicable, and this amount is paid to the policyholder. If the

policy holder dies during the term then the beneficiaries receive the death

benefits.

4. Variable Life Insurance. Similar to universal life insurance, except

that the cash account is managed by the policyholder, who can decide

where to invest the additional funds. They are normally invested into

mutual funds or unit trusts.

5. Endowment Policies.These are insurance policies in which a lump sum

is paid out at the end of the pre-specified term, or when the policyholder

dies if that is during the term of the policy. Traditional With Profit

Endowment Policies pay out a minimum specific sum, the sum assured.

This amount can be increased through investment performance. Since this


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policy type has additional benefits, it carries higher premium costs. The

general insurance industry consists of all the available forms of insurance,

other than life insurance. This includes a number of well known industries

such as vehicle insurance, , home and content insurance, disability

insurance, travel insurance, term insurance, medical insurance, dental

insurance, keyman insurance, renters insurance, farmer insurance and

general insurance.

Some very important terms in the context of the insurance industry are:

Insurance benefits- Insurance Benefits encompass the facilities associated

with buying ofinsurances. Insurance is mainly a instrument used by

consumers for hedging the future contingent risks related with life, health and

non-life general issues. Insurance benefits help the policy

holder orbeneficiary in combating with the losses or hazards associated with

him/her.

Insurance broker-Insurance Broker is a person having specialized

knowledge in the field of finance who play the important intermediary role

between the customer and the insurance company.

Insurance policy-In insurance, the insurance policy is a contract (generally

a standard form contract) between the insurer and the insured, known as the

policyholder, which determines the claims which the insurer is legally requiredto pay. In exchange for payment, known as the premium, the insurer pays for

damages to the insured which are caused by covered perils under the policy

language. Insurance contracts are designed to meet specific needs and thus
http://en.wikipedia.org/wiki/Insurancehttp://en.wikipedia.org/wiki/Contracthttp://en.wikipedia.org/wiki/Standard_form_contracthttp://en.wikipedia.org/wiki/Claim_(legal)http://en.wikipedia.org/wiki/Lawhttp://en.wikipedia.org/wiki/Insurancehttp://en.wikipedia.org/wiki/Contracthttp://en.wikipedia.org/wiki/Standard_form_contracthttp://en.wikipedia.org/wiki/Claim_(legal)http://en.wikipedia.org/wiki/Law


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have many features not found in many other types of contracts. Since

insurance policies are standard forms, they feature boilerplate language which

is similar across a wide variety of different types of insurance policies.

The insurance policy is generally an integrated contract, meaning that it

includes all forms associated with the agreement between the insured and

insurer. In some cases, however, supplementary writings such as letters sent

after the final agreement can make the insurance policy a non-integrated

contract. One insurance textbook states that "courts consider all prior

negotiations or agreements ... every contractual term in the policy at the time

of delivery, as well as those written afterwards as policy riders and

endorsements ... with both parties' consent, are part of written policy". The

textbook also states that the policy must refer to all papers which are part of

the policy. Oral agreements are subject to theparol evidence rule, and may not

be considered part of the policy. Advertising materials and circulars are

typically not part of a policy.[2] Oral contracts pending the issuance of a

written policy can occur.

Insurance premium-Insurance Premium is the payment made by

the policy holder to the insurance company on a regular time span. This

payment has to be made by the insured person till the maturity of the

insurance. Insurance Premium may vary from company to company along

with the coverage limit. Thus, while selecting an insurance policy one should

be very careful and should compare all the possible options through online

website services. The customers are advised to compare the quotes offered by
http://en.wikipedia.org/wiki/Boilerplatehttp://en.wikipedia.org/wiki/Parol_evidence_rulehttp://en.wikipedia.org/wiki/Insurance_policy#cite_note-Porter2007-1%23cite_note-Porter2007-1http://en.wikipedia.org/wiki/Boilerplatehttp://en.wikipedia.org/wiki/Parol_evidence_rulehttp://en.wikipedia.org/wiki/Insurance_policy#cite_note-Porter2007-1%23cite_note-Porter2007-1


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the different insurance companies and select from the wide variety of

options available to them.

Insurance claim-Insurance Claim is the request of the

insured policy holder/beneficiary from the insurer/insurance issuing

company for financial reimbursement whenever he/she suffers a loss of the

insured property/life/health/etc. But the claim should be done in accordance

with the specifications of the insurance policy/contract.

Insurance agent-Generally Insurance Agents gives information of the

insurance products of companies. Insurance agents are employed by thecompanies and the company gives necessary training to the agents.Insurance

agents are found both in the life insurance sector as well as non-life insurance

sector.

There are numerous countries with flourishing insurance industries of their

own. In Asia, countries like China, India, Indonesia, Kuwait, Japan,

There are numerous countries with flourishing insurance industries of their

own. In Asia, countries like China, India, Indonesia, Kuwait, Japan, Malaysia

and Vietnam have strong insurance industries.

The leading global insurance companies are:

Zurich Financial Services,

AXA


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Berkshire Hathaway/ Berkshire Hathaway Re

Allianz

Aviva

ING Group

Munich RE Group

American International Group (AIG)

Nippon Life Insurance

Assicurazioni Generali

PartnerRe

State Farm Insurance Cos. ACE

CNP Assurances

Aegon

Conseco

Aflac

Converium Holding

Aioi Insurance

Corporation Mapfre

Allmerica Financial

Endurance Specialty

Ambac Finan


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INTRODUCTION

TO

COMPANY


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Introduction to Company

Bharti-AXA Life Insurance is a joint venture between Bharti, one of Indiasleading business groups with interests in telecom, agri business and retail, and

AXA, world leader in financial protection and wealth management. The joint

venture company has a 74% stake from Bharti and 26% stake of AXA

The company launched national operations in December 2006. Today, we

have over 5200 employees across over 12 states in the country. Our business

philosophy is built around the promise of making people "Life Confident".

As we expand our presence across the country to cater to your insurance and

wealth management needs with our product and service offerings, we

continue to bring 'life confidence' to customers spread across India. Whatever

your plans in life, you can be confident that Bharti AXA Life will offer the

right financial solutions to help you achieve them.

You would like to live your life and prepare for the future with complete

confidence. The vision of Bharti AXA Life Insurance Company Limited is to

become the preferred life insurance company in India. This vision extends to

our recruitment philosophy as well. Both the Bharti Group in India and AXA

globally enjoy the status of being a very employee focused organization.


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The AXA ordinary share is listed and trades under the symbol AXA on the

Paris Stock Exchange. The AXA American Depository Share is also listed on

the NYSE under the ticker symbol AXA.

AXA (Euronext: CS,NYSE: AXA) is a French global insurancecompanies group headquartered in Paris. AXA is not the name of a single

company but a group of companies independently organized and operated

according to the regulations of many different countries.

The AXA group of companies are engaged in life, health and other forms

ofinsurance, as well as investment management. The AXA group operates

primarily in Western Europe,North America and the Asia Pacific region and the Middle

East.

The AXA Group encompasses five operating business segments: Life &

Savings, Property & Casualty, International Insurance (including

reinsurance), Asset Management and Other Financial Services.

AXA ranks as the 15th biggest company in the world (based on revenue) on

the 2006 Fortune Global 500 list.
http://en.wikipedia.org/wiki/Euronexthttp://www.euronext.com/initsession/0,4157,1732_4794711,00.html?matchpattern=CS&searchTarget=quote&path=%2Fquicksearch&fromsearchbox=true&productFamily=&submit.x=12&submit.y=11http://en.wikipedia.org/wiki/New_York_Stock_Exchangehttp://www.nyse.com/about/listed/axa.htmlhttp://en.wikipedia.org/wiki/Francehttp://en.wikipedia.org/wiki/Insurance_companyhttp://en.wikipedia.org/wiki/Insurance_companyhttp://en.wikipedia.org/wiki/Parishttp://en.wikipedia.org/wiki/Life_insurancehttp://en.wikipedia.org/wiki/Health_insurancehttp://en.wikipedia.org/wiki/Insurancehttp://en.wikipedia.org/wiki/Western_Europehttp://en.wikipedia.org/wiki/North_Americahttp://en.wikipedia.org/wiki/Asia_Pacifichttp://en.wikipedia.org/wiki/Middle_Easthttp://en.wikipedia.org/wiki/Middle_Easthttp://en.wikipedia.org/wiki/Fortune_Global_500http://en.wikipedia.org/wiki/Euronexthttp://www.euronext.com/initsession/0,4157,1732_4794711,00.html?matchpattern=CS&searchTarget=quote&path=%2Fquicksearch&fromsearchbox=true&productFamily=&submit.x=12&submit.y=11http://en.wikipedia.org/wiki/New_York_Stock_Exchangehttp://www.nyse.com/about/listed/axa.htmlhttp://en.wikipedia.org/wiki/Francehttp://en.wikipedia.org/wiki/Insurance_companyhttp://en.wikipedia.org/wiki/Insurance_companyhttp://en.wikipedia.org/wiki/Parishttp://en.wikipedia.org/wiki/Life_insurancehttp://en.wikipedia.org/wiki/Health_insurancehttp://en.wikipedia.org/wiki/Insurancehttp://en.wikipedia.org/wiki/Western_Europehttp://en.wikipedia.org/wiki/North_Americahttp://en.wikipedia.org/wiki/Asia_Pacifichttp://en.wikipedia.org/wiki/Middle_Easthttp://en.wikipedia.org/wiki/Middle_Easthttp://en.wikipedia.org/wiki/Fortune_Global_500


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The AXA Name:-

Despite being written in upper case, "AXA" is not an acronym, but was chosen

because its name can be pronounced easily by people who speak any

language. The selection criteria consisted of a short and snappy name to

convey vitality, a name that begins with the letter A so that it would appear

near the top of all lists, and something that could be pronounced easily in

every language, consistent with the group's desire for an international

presence. In 1985, Chairman and CEO Claude Bbarchose the name AXA.

Operations

AXA in the United Kingdom

AXA trades in the United Kingdom as AXA Sun Life, AXA Insurance, AXA

Investment Managers and AXA PPP Healthcare. AXA PPP Healthcare was

created when AXA boughtGuardian Royal Exchange

(GRE), though itsubsequently sold the other parts of GRE to Aegon. The company also owns

the online insurerSwift cover, distribution business Bluefinand fund
http://en.wikipedia.org/wiki/Acronymhttp://en.wikipedia.org/wiki/Claude_B%C3%A9b%C3%A9arhttp://www.axa-im.co.uk/http://www.axa-im.co.uk/http://en.wikipedia.org/wiki/Guardian_Royal_Exchange_Assurancehttp://en.wikipedia.org/wiki/Aegonhttp://en.wikipedia.org/wiki/Swiftcoverhttp://www.bluefingroup.co.uk/http://en.wikipedia.org/wiki/Acronymhttp://en.wikipedia.org/wiki/Claude_B%C3%A9b%C3%A9arhttp://www.axa-im.co.uk/http://www.axa-im.co.uk/http://en.wikipedia.org/wiki/Guardian_Royal_Exchange_Assurancehttp://en.wikipedia.org/wiki/Aegonhttp://en.wikipedia.org/wiki/Swiftcoverhttp://www.bluefingroup.co.uk/


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managerArchitas. In January 2007 AXA was reorganised into "strategic

business units" (SBU's) aimed at competing within their specific markets.

AXA run its investment branch through AXA Investment Managers (IM).

AXA in the United States

The United States arm of AXA is AXA Equitable. AXA Equitable consists

of many subsidiaries; AXA Advisors, LLC, AXA Network, AXA Equitable LifeInsurance, Mutual of New York(MONY) (famous for the song "Mony Mony"

that the logo on its building inspired), US Financial Life, and AllianceBernstein.

On December 15 of 2006, AXA Advisors, LLC entered into agreements

with LPL (Linsco Private Ledger), the country's largest independent broker-

dealer. LPL agreed to provide brokerage, clearing and custody services on a

fully-disclosed basis. The terms of the agreements are five years, subject toadditional 24-month extensions. Services are expected to begin in August

2007.

Bharti group

Bharti Enterprises is a large Indian business conglomerate based in New Delhi,India, operating primarily across India and in some other Countries like Sri

Lanka, Jersey, Seychelles. It was established by Sunil Mittal , one of the young and

dynamic businessmen of India. The company offers mobile services all over
http://www.architas-mm.com/http://www.axaonline.com/http://en.wikipedia.org/wiki/AXA_Equitable_Life_Insurancehttp://en.wikipedia.org/wiki/AXA_Equitable_Life_Insurancehttp://en.wikipedia.org/wiki/Mony_Monyhttp://en.wikipedia.org/wiki/AllianceBernsteinhttp://en.wikipedia.org/wiki/LPL_Financialhttp://en.wikipedia.org/wiki/Conglomerate_(company)http://en.wikipedia.org/wiki/New_Delhihttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Sri_Lankahttp://en.wikipedia.org/wiki/Sri_Lankahttp://en.wikipedia.org/wiki/Jerseyhttp://en.wikipedia.org/wiki/Seychelleshttp://en.wikipedia.org/wiki/Sunil_Mittalhttp://www.architas-mm.com/http://www.axaonline.com/http://en.wikipedia.org/wiki/AXA_Equitable_Life_Insurancehttp://en.wikipedia.org/wiki/AXA_Equitable_Life_Insurancehttp://en.wikipedia.org/wiki/Mony_Monyhttp://en.wikipedia.org/wiki/AllianceBernsteinhttp://en.wikipedia.org/wiki/LPL_Financialhttp://en.wikipedia.org/wiki/Conglomerate_(company)http://en.wikipedia.org/wiki/New_Delhihttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Sri_Lankahttp://en.wikipedia.org/wiki/Sri_Lankahttp://en.wikipedia.org/wiki/Jerseyhttp://en.wikipedia.org/wiki/Seychelleshttp://en.wikipedia.org/wiki/Sunil_Mittal


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India as well as in some foreign countries. The Airtel brand is the flagship

brand of Bharti.

The company was founded by Sunil Bharti Mittal along with two siblings in eary

1990s. The company was not so famous in India by its own name, rather its

brand names like Airtel and Beetel (PSTN Phone Sets) are household names in

India. The company underwent abrandreformation process and changed its

logo and corporate Image.

Bharti's primary industry is in the field oftelecommunications via its subsidiary

companies Bharti Airtel (mobile telecommunications), Bharti Infratel(Passive

Telecom Infrastructure provider) and Bharti Teletech (wired telecommunication

services, Comviva Technologies and PSTNtelephone handsets).

Bharti Airtel Ltd is one of Asia's leading telecommunications service provider.

The Company is Indias largest integrated telecom company in terms of

customer base and offers Mobile Services, Fixed Line services, Broadband

& IPTV, DTH service named Airtel Digital TV , Long Distance and Enterprise

services. Airtel also offers mobile services in Sri Lanka on a state-of-the art

3.5 G network.
http://en.wikipedia.org/wiki/Airtelhttp://en.wikipedia.org/wiki/Sunil_Bharti_Mittalhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Airtelhttp://en.wikipedia.org/wiki/Brandhttp://en.wikipedia.org/wiki/Telecommunicationshttp://en.wikipedia.org/wiki/Bharti_Airtelhttp://en.wikipedia.org/w/index.php?title=Bharti_Infratel&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Passive_Telecom&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Passive_Telecom&action=edit&redlink=1http://en.wikipedia.org/wiki/Comviva_Technologieshttp://en.wikipedia.org/wiki/Telephonehttp://en.wikipedia.org/wiki/Bharti_Airtelhttp://en.wikipedia.org/wiki/IPTVhttp://en.wikipedia.org/wiki/Airtel_Digital_TVhttp://en.wikipedia.org/wiki/Airtelhttp://en.wikipedia.org/wiki/Sunil_Bharti_Mittalhttp://en.wikipedia.org/wiki/Indiahttp://en.wikipedia.org/wiki/Airtelhttp://en.wikipedia.org/wiki/Brandhttp://en.wikipedia.org/wiki/Telecommunicationshttp://en.wikipedia.org/wiki/Bharti_Airtelhttp://en.wikipedia.org/w/index.php?title=Bharti_Infratel&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Passive_Telecom&action=edit&redlink=1http://en.wikipedia.org/w/index.php?title=Passive_Telecom&action=edit&redlink=1http://en.wikipedia.org/wiki/Comviva_Technologieshttp://en.wikipedia.org/wiki/Telephonehttp://en.wikipedia.org/wiki/Bharti_Airtelhttp://en.wikipedia.org/wiki/IPTVhttp://en.wikipedia.org/wiki/Airtel_Digital_TV


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Comviva Technologies Limited is an India based organization providing VAS

solutions for mobile operators around the world. Comviva was formerly

known as Bharti Telesoft and took on the Comviva branding in April 2009.

Bharti Del Monte India Pvt. Ltd is a joint venture between Bharti enterprises

and DMPL India ltd(a subsidiary of Del Monte Pacific Ltd.). The company

offers fresh fruits & vegetables and processed foods & beverages in the

domestic as well as international markets. Bharti Retail Pvt. Ltd.

Bharti AXA General Insurance is a joint venture between Bharti Enterprises

and AXA, world leader in financial protection and wealth management. The

company was incorporated in July 2007.

Bharti AXA Life Insurance Company Ltd. is a joint venture between Bharti

Enterprises and AXA, world leader in financial protection and wealth

management. The company offers a range of life insurance and wealth

management products.

Bharti AXA Investment Managers Pvt. Ltd., an asset management company

in India, is a joint venture between Bharti Enterprises, AXA Investment

Managers (AXA IM) and AXA Asia Pacific Holdings (AXA APH).

Centum Learning Limited (formerly Bharti Learning Systems Limited),

a wholly owned subsidiary of Bharti Enterprises, is a learning and

development organisation that specialises in the customer experience arena.

Jersey Airtel, a subsidiary of Bharti, offers mobile services in Jersey (Channel

Islands) over its full 2G, 3G and HSDPA enhanced network. The Company

brings products and services to its customers under Airtel-Vodafone brand.
http://en.wikipedia.org/wiki/Comviva_Technologies_Limitedhttp://en.wikipedia.org/wiki/AXAhttp://en.wikipedia.org/wiki/AXAhttp://en.wikipedia.org/wiki/Jerseyhttp://en.wikipedia.org/wiki/HSDPAhttp://en.wikipedia.org/wiki/Vodafonehttp://en.wikipedia.org/wiki/Comviva_Technologies_Limitedhttp://en.wikipedia.org/wiki/AXAhttp://en.wikipedia.org/wiki/AXAhttp://en.wikipedia.org/wiki/Jerseyhttp://en.wikipedia.org/wiki/HSDPAhttp://en.wikipedia.org/wiki/Vodafone


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Bharti Foundation was set up in 2000, with the vision, To help

underprivileged children and young people of our country realize their

potential. It aims to create and support programs that bring about sustainable

changes through education and the use of technology and information.

Bharti Realty Private Ltd. is the in-house Real Estate Arm for Bharti Group and

facilitates by extending support to the Group Companies for Identifying,

Developing and Maintaining Quality Real Estate in line with their Business

Models.

BHARTI-AXA

MISSION:

i. Customer service of highest order

ii. Value for money for customers

iii. Professionalism in carrying out business

iv. Innovative products to cater different needs of different customers

v. Use of technology to improve service standard

VISION:

To be a leader and the preferred company for financial protection and wealth

management in India.

VALUES:
http://en.wikipedia.org/wiki/Real_Estatehttp://en.wikipedia.org/wiki/Real_Estate


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STRATEGY ADOPTED

i. Structured sales processes

ii. Better understanding of customer needs and their assessment.

iii. Training was one of the biggest initiatives they undertook last year.

INDIVIDUAL PLANS

Bharti AXA Dream Life Pension

A Unit Linked Pension Product.

Dream Life Pension, Bharti AXA Life Insurances unique pension product

ensures that your retirement life is your Dream Life.

Live your Dreams! Be Life Confident.

Bharti AXA Life Aspire Life

Unit Linked Endowment Product.

Aspire Life helps you create a pool of wealth to meet your long-term needs,

while also providing you adequate protection in case the need arises.

Bharti AXA Life InvestConfident

Unit Linked Single Premium Product.


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You have always strived hard to achieve the best for you and your loved ones,

so when it comes to making an investment decision, we know that you would

expect the best from it too.

Bharti AXA Life WealthConfident

A unit-linked investment cum protection policy.

Your wealth, your status ensures that you get preferential status wherever you

go. So why shouldn't your money get the same?

Bharti AXA Life FutureConfident I

A unit-linked policy which offers comprehensive protection along with

wealth creation in the long term.

Bharti AXA Life FutureConfident II

A unit-linked product which offers enhanced protection along with wealth

creation in the long term.

Bharti AXA Life SaveConfident

Traditional money back insurance product for long term savings.


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Your changing life stages decide your financial milestone planning. When

you foresee intermittent financial requirements in the years to come, like

regular expenses related to your childs education, liquidity becomes a key

aspect of your planning along with long term savings, and protection for your

family.

GROUP PLANS

Bharti AXA Life Mortgage Credit Shield


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SWOT ANALYSIS OF THE

ORGANIZATION

Business firms undertake Swot analysis to understand the external and

internal environment. SWOT, which is the acronym for Strength, Weakness,

Opportunities and Threats, is also known as WOT-UP Analysis. Through

such an analysis strength and weakness existing within an organization can be

matched with the opportunities and threats operating the environment so that

an effective strategy can be formulated. An effective organization strategy,

therefore, is one that is capitalized on the opportunities and through the use of

strengths and neutralizes the threats maximizing the impact of weakness.

STRENGTH:

Has sold 2 lakh policies.

Brand power.

Strong assets and infrastructure.

Market share of 22.5%.

WEAKNESS:

Industry in nascent stage.

Awareness about private life insurance companies is very less.

Still not very popular in rural market.


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Very few branches in the country.

OPPORTUNITY:

Liberalization of Indian economy.

Life Insurance sector opening up.

Very small percentage of population insured in India One of best

products in the market.

Global market opportunity.

THREAT:

Lack of proper technical knowledge among the mass.

Apprehension towards BHARTI-AXA being a private life insurance

company.

LIC: very big player.

Change in government policy may affect the growth and expansion of

the Insurance sector and the company.


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RESEARCH

METHODOLOGY


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Research Methodology

Research comprise defining and redefining problems, formulating hypothesis

or suggested solutions; collecting, organizing and evaluating data; makingdeductions and reaching conclusions; and at last carefully testing the

conclusions to determine whether they fit the formulating Hypothesis.

In short, the search for Knowledge through Objective and Systematic method

of finding solutions to a problem is Research.

TITLE

TO STUDY CUSTOMERS AWARENESS AND SATISFACTION LEVEL FOR

INSURANCE POLICIES, WITH SPECIAL REFERENCE TO BHARTI-AXA LIFE

INSURANCE

TITLE JUSTIFICATION

In todays highly competitive, unpredictable and fast-changing

marketplace, organizations are challenged with improving

productivity and operational efficiency with ever-shrinking budgets.

Many executives find that running the enterprise consumes the bulk

of their energy. They lack the time and resources to manage non-

core, resource-intensive functions properly. BHARTI-AXA LIFE

INSURANCE is a huge Organization with an amazing repute and

Network; it is my esteemed pleasure to do my research work on

BHARTI-AXA LIFE INSURANCE.


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RESEARCH OBJECTIVES

To find whether life insurance is still synonymous with L.I.C.

To know how many people take insurance as what it is meant for and not as

tax saving financial instrument.

To know whether people know fully about the benefits an insurance advisor

has

To know how many people are interested in becoming an insurance advisor?

To search for prospects who can become advisors and recruit and

select the best.

SCOPE OF THE STUDY

To study and analyze the customers in order to find out their

awareness power regarding various insurance policies prevailing in

the

market with special reference to Bharti-Axa Life Insurance and

rating the satisfaction level for the same.


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SIGNIFICANCE OF THE STUDY

i. Significance to the Industry

The analysis and conclusions drawn by me during the course of my study can

serve as a guide to the industry people since a systematic analysis of facts has

been attempted by me.

ii. Significance for the Researcher

No professional curriculum is considered complete without work experience.

It is well evident that work experience is an indispensable part of every

professional course. In the same manner practical work in any organization is

must for each an every individual, who is undergoing management course.

Without the practical exposure one cannot consider himself as a qualified

capable manager. Entering in the organization is like stepping into altogether

a new world.

RESEARCH DESIGN

Type of Research: - Exploratory research

Exploratory Researchincludes Surveys and fact-finding enquiries of

different kinds. The main characteristic of this method is that the


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SAMPLING AREA:-

I have covered a portion ofresidential area of Delhi city for the survey.

DATA ANALYSIS

AND

INTERPRETATION


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Q1).State the Comparison of the distribution of occupation of the

respondents?

Ans.

Particulars Percentage ofOccupation

Self- Employed 14%

Public Sector Employees 18%

Private Sector Employees 62%

Other 6%


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Bharti-AXA Life Insurance

Emp.

(Pvt.sector)

62%

Emp.

(Pubic.sector)

18%

Self - employed

14%

others.6%

Interpretation

It belonged to the employee in the private sector, 62 belong to the employee

in the private sector, 18 are self employed and 14 are in the other category.

All these 3 respondents are retired from there jobs.

Q2). Are you interested in products offered by the BHARTI-AXA LIFE

INSURANCE?

Ans.

Particulars Response Percentage

Yes 61%

No 22%


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Will think 17%

Interpretation

The good thing is that atleast the corporate were quite eager to find out what

BHARTI-AXA has to offer whereas the major 39 % of the corporate were noteven interested in the products as they are quite satisfied by the LIC and they

are not in breaking their long relationship with them. The private players will

have to play a long battle in order to ensure that they are serious player in the

market.

Q3). Are you satisfied with your present insurer[Bharti AXA Life

AspireLife]?

Ans.

61%22%

17%

Yes

No

Will think


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Yes 95%

No 5%

Interpretation

Here is where the challenge is. Inevitably most of the players are very

satisfied with their present insurer which makes it tougher for the private

players to attract the corporate. The remaining 5 % are also not very

dissatisfied by the services but they are just open to new avenues and arelooking forward that private companies come with good offers so that they

may shift to them. Thus private players will have to be very proactive and in

this regard since LIC is the leader and BHARTI-AXA Life Insurance is

lagging behind its competitors in terms of competition.

Q4). What is peoples main concern while taking a insurance policy?

Ans .

Concern of People Response Percentage

Security 10%

Savings 70%

Tax 20%


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TAX

REBATE

20%

SAVINGS

70%

SECURIT

Y

10%


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Interpretation-

This pie diagram shows that People Investing more in Business for the

concern of Savings Mainly.

Q5). Where would you like to insure if given chance?

Ans.

Companies name Percentage of people

LIC 60%

ICICI 10%

BAJAJ ALLIANZ 5%

BHARTI-AXA 15%

SBI 8%

KOTAK MAHINDRA 2%

60%

10%

5%

15%

8% 2%

Percentage of people

LIC

ICICI

BAJAJ ALLIAN

BH ARTI-AXA

SBI

KOTAK MAHINDRA


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Interpretation-

Thus we see that the companies are comfortable in having business with govt.

owned companies as they feel its safe & secure to have business with them

which is followed by SBI as it is the biggest bank.

Q6). Bharti AXA AspireLife satisfy your financial needs? (Please rate on the

scale of 1 to 10 with one being least satisfied)

Ans.

Customers

Response

(Ratings on scale 1-10)

I 26%

II 11%

III 21%

IV 5%

V 16%

VI 13%

VII 8%


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Response (Ratings on scale 1-10)

I, 26%

II, 11%

III, 21%IV, 5%

V, 16%

VI, 13%

VII, 8%

I

IIIII

IV

V

VI

VII

Interpretation-

The response of customers show that they are average satisfied and some are

also least satisfied after taking the insurance policy.

Q7). Opinion for the premiums paid for the various policies by the

customers?

Ans.

Satisfaction Levels Response Percentage

Very Low 9%

Low 10%

Moderate 11%

High 30%

Very High 40%


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Very Low.

9%

Low. 10%

Moderate

. 11%

High.

30%

Very

High.

40%

Very Low Low Moderate High Very High

Interpretation-

40%people are very highly satisfied, 30% of people are highly satisfied,11%

are moderate, 10% of people are low satisfied, 9% are very low satisfied.


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Q8)How you come to know about this policy?

Ans.


Advertisements 31%

Friends and Relatives 9%

Direct selling 26%

(i) and (ii) 4%

(ii) and (iii) 14%

(iii) and (i) 10%

Interpretation-

31%

9%26%

4%

14%

10%

Response Percentage

Advertisements

Friends and Relative

Direct selling

(i) and (ii)

(ii) and (iii)

(iii) and (i)


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The average score received was calculated by adding the score given by each

respondent divided by the total number of respondent. Also it was noted that

in case of LIC there were total of 13 respondents who give rating of 5 or less

than 5 but the same in case of Bharti-AXA Life Insurance were only 3.It is

inferred that though the difference between the averages score obtained on the

satisfaction of financial needs is not much, the customers of Bharti-AXA Life

Insurance seemed to be satisfied.

Q9). Are there any incentives (tax benefits or Bonuses) associated with

insurance policy

Ans.


Tax Benefits 60%

Bonuses 40%


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Interpretation-

Responses show that customers prefer more of tax benefit rather than the

bonuses while taking insurance policy. Thats why the ratio of Tax benefit to

Bonus is 3:2.


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Q10).Comparison of customers satisfaction level between LIC and Bharti-

AXA Life Insurance?

Ans.

Particulars

LIC

in Percentage

BHARTI-AXA

in Percentage

Highly Satisfied 56% 48%

Satisfied 14% 20%

Moderate 18% 12%

Unsatisfied 8% 8%

Highly Unsatisfied 4% 12%

0%

10%

20%

30%

40%

50%

60%

1 2 3 4 5

LIC in Percentage

BHARTI-AXA in

Percentage


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Q12).What other plans or flexibility you expect from Insurance companies?

Ans.


More Returns 30%

Complimentary Gifts 20%

Investment Pattern 50%

30%

20%

50%

More returns

Complement

gifts

Investment

Pattern

Interpretation-

Customers are keen for investment patterns over returns and complimentary

gifts.


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KEY FINDINGS

1. Private companies need to advertise more aggressively, especially in

rural areas.

2. More education about what insurance really is needs to be imparted.

3. Legal formalities in becoming an advisor should be minimum.

4. Companies should use and promote new channels of distribution.

5. Most people in rural areas know that private companies are operating in

insurance policies but life insurance is still synonymous with L.I.C. in

urban areas.

6. A lot of people are not yet clear about insurance as a financial

instrument. They mostly take it as a tax saving instrument.

7. Most of the people are aware about whom is an insurance advisor but

having little knowledge about the benefits to the advisors and people in

detail does also not know their earning.


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8. As a result of this and a few other problems not many people are

interested in becoming an insurance advisor.

9. It is not difficult to find good profiles as Advisor, if Your Approach is

correct.

10.While recruiting these persons try to find out the problems, which they

are facing,

11.It is difficult to create interest in the people so try to find out their

likings.

12.Majority of people are not aware about the Privatization of Insurance

so give them a detailed knowledge about the companies and their

working environment


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LIMITATIONS

i. The geographical area was very much limited to residential

area & so the results are not particularly reflection of the

current behavior.

ii. Biases and non-cooperation of the respondents.

iii. Due to limited time period and constrained working hours for

most of the respondents, the answers at times were vague

enough to be ignored.

iv. People are not interested in giving personal opinion.

v. Most of the people in India take their policies in the period

preceding March(for tax saving purposes) & so the response to

initial contacts were not all encouraging and that has been the

primary reason in the inability to quantify the results large

enough so as to deduce any relevant outcomes.


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of the company from this perspective. Clients should also receive price

differentials for using different channels. This is not a new concept, as

the Public sector Property Casualty companies are giving discounts in

lieu of agency commission. The channel composition should not be

homogeneous but should reflect the larger society.

For example,

i. Agents from different economic, social strata and different age and

gender.

ii. Bank assures ranging from multinational banks to micro credit lending

agencies.

iii. Brokers stretching from corporate to NGOs to milk co-operatives

These intermediaries need to be empowered with the right learning,

training and sales tools and technology enablers. Coupled with the right

product mix, this will help the insurers to survive and flourish in this

competitive market.


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RECOMMENDATIONS

1. More emphasis should be on promotional activities.

2. Plenty of advertisement should be done through T.V, Newspaper and

Radio as these medias are having maximum recall value.

3. Total financial planning and advice should be given to every customer.

4. More business opportunity seminars should be conducted to make

people aware of the offer given.


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5. The company should quite frequently send their agent to the customer

so that they should be aware of the latest offer.

6. The company should attempt to open more and more of its branches in

the country so as to promote their product publicity.

7. Hierarchical management should be given preference. The central

officers should assume the role of policy making whilst financial,

administrative and operational authority to be delegated to zonaloffices.

8. Strengthen the role of branches as a single point of service and contact

for customers.

9. To overcome costly maintenance of organization and low returns, it

must improve productivity of employees and streamline systems and

procedures.

10.Training of agents and development officers to be reviewed and the

practice of indiscriminate recruitment to be stopped as inefficient and

untrained work force, high turnover of agents.


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11.Insurance awareness of the company should be increased as low

insurance awareness among the general public results in excessive

lapse ratio of policies.

12.The company should upgrade their information support and adopt

meaningful computerization. Careful long-term planning along wit

cost-benefit analysis is needed.


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ANNEXURE

QUESTIONNAIRE

Q1. Do you have any life insurance policies?


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Yes No

If Yes: -

Name of the Company ________________

Name of the plan _________________

Annual Amount of premium _________________

Term of plan _________________

Are you satisfied with present insurer?

A) YES [ ] B) NO [ ]

Q2. Which are the main issues that you take into consideration while

Purchasing any life insurance policy?

A) Security [ ]

B) Returns [ ]

Tax saving

Others please specify_________

Q3. Are you aware of Unit Linked Insurance Plans offered by various

Companies in India?


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A) ICICI [ ] B) OM KOTAK MAHINDRA [

]

C) TATA AIG [ ] D) BAJAJ ALLIANZ

[ ]

E) LIC [ ] F) BIRLA SUNLIFE

[ ]

G) MAX NEW YORK [ ]

Q4. Do you have a life insurance policy from BHARTI-AXA Life

Insurance?

a) Yes [ ] b) No [ ]

Q5. If yes, which policy have you taken?

_______________________________________________________

Q6. Does this policy satisfy your financial needs? (Please rate on the scale

of 1 to 10 with one being least satisfied)

_______________________________________________________


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Q7. Please express your opinion for the premiums paid for the above

policy?

a) Very high [ ]

b) High [ ]

c) Moderate [ ]

d) Low [ ]

e) Very Low [ ]

Q8. How do you come to know about this policy? (Please tick).

a) Advertisements [ ]

b) Friends and relatives [ ]

c) Direct selling agents [ ].

d) Others (please specify) _____________________.

Q9. Are there any incentives (tax benefits or Bonuses) associated with

this policy?(Please give appropriate details about it).


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______________________________________________________________

____________________________________________________________

Q10. Are you satisfied with the incentives associated with your policy?

a) Highly satisfied [ ].

b) Satisfied [ ]

c) Moderate [ ]

d) Unsatisfied [ ]

e) Highly Unsatisfied [ ].

Q.11. If you are given a choice, which one you take:

a) ICICI [ ]

b) OM KOTAK MAHINDRA [ ]

c) TATA AIG [ ]

d) BAJAJ ALLIANZ [ ]

e) LIC [ ]

f) SBI [ ]


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Q12. What other plans or flexibility you expect from Insurance

companies?

a) More returns [ ]

b) Complementary gifts [ ]

c) Investment Pattern [ ]

BIBLIOGRAPHY

Websites

http:// www.Bharti-AXAlife.com

http://www.Bharti-AXA.com

http://www.sebi.com

Magazines

Mehra,Puja, India Today (27th MAY2006) PAGE 43

Sinha, Prabhakar, The Times Of India (16thMAY2006) PAGE 1

Brunch(16th july 2006)


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