bajaj allianz
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contains full details about Bajaj Allianz and consumer behaviour towards insurance industryTRANSCRIPT
SMIBS Bangalore Bajaj Allianz
EXECUTIVE SUMMARY
At the present time of cut throat competition in every industry every company want
to top the chart and want to show as big as possible figure of profits in its balance
sheet. It is quite clear today that at present time the growth of any organization is
possible only with the help of hard working and well focused staffs that are the
backbone of any organizations. It was my great pleasure that I did my internship at
Bajaj Allianz Life Insurance Company.
Bajaj Allianz Life Insurance Co. Ltd. is a joint venture between Allianz SE, one of
the world's largest insurance companies, and Bajaj Finserv. Allianz SE is a leading
insurance corporation globally and one of the largest asset managers in the world,
that manage assets worth over a Trillion. With over 115 years of financial
experience, Allianz SE is present in over 70 countries around the world. Bajaj
Allianz is into both life insurance and general insurance. Today, Bajaj Allianz is
one of India's leading and fastest growing insurance companies. Bajaj Allianz
Life Insurance ensures excellent insurance and investment solutions by offering
customized products, supported by the best technology. Here I done my project
title on “A STUDY ABOUT BAJAJ ALLIANZ AND CONSUMER
BEHAVIOURTOWARDS INSURANCE INDUSTRY” and learned about insurance
industry, how it is running, products of Bajaj Allianz, how to pitch the product to
customers, etc.
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SMIBS Bangalore Bajaj Allianz
INTRODUCTION TO INSURANCE
Definition:
A contract (policy) in which an individual or entity receives financial protection or
reimbursement against losses from an insurance company. The company pools
clients' risks to make payments more affordable for the insured.
Insurance is a form of risk management primarily used to hedge against the risk of
a contingent, uncertain loss. Insurance is defined as the equitable transfer of the
risk of a loss, from one entity to another, in exchange for payment. An insurer is a
company selling the insurance; the insured, or policyholder, is the person or entity
buying the insurance policy.
The amount to be charged for a certain amount of insurance coverage is called the
premium. Risk management, the practice of appraising and controlling risk, has
evolved as a discrete field of study and practice.
The transaction involves the insured assuming a guaranteed and known relatively
small loss in the form of payment to the insurer in exchange for the insurer's
promise to compensate the insured in the case of a financial (personal) loss.
The insured receives a contract, called the insurance policy, which details the
conditions and circumstances under which the insured will be financially
compensated.
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Principles
Insurance involves pooling funds from many insured entities (known as exposures)
to pay for the losses that some may incur. The insured entities are therefore
protected from risk for a fee, with the fee being dependent upon the frequency and
severity of the event occurring. In order to be insurable, the risk insured against
must meet certain characteristics in order to be an insurable risk. Insurance is a
commercial enterprise and a major part of the financial services industry, but
individual entities can also self-insure through saving money for possible future
losses.
Types of insurance
Any risk that can be quantified can potentially be insured. Specific kinds of risk
that may give rise to claims are known as perils.
Insurance
General Insurance Life Insurance
General Insurance
Auto insurance
Auto insurance protects the policyholder against financial loss in the event of an
incident involving a vehicle they own, such as in a traffic collision.
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SMIBS Bangalore Bajaj Allianz
Coverage typically includes:
1. Property coverage, for damage to or theft of the car;
2. Liability coverage, for the legal responsibility to others for bodily injury or
property damage;
3. Medical coverage, for the cost of treating injuries, rehabilitation and
sometimes lost wages and funeral expenses.
Most countries, such as the United Kingdom, require drivers to buy some, but not
all, of this coverage. When a car is used as collateral for a loan the lender usually
requires specific coverage.
Gap insurance
Gap insurance covers the excess amount on your auto loan in an instance where
your insurance company does not cover the entire loan. Depending on the
companies specific policies it might or might not cover the deductible as well. This
coverage is marketed for those who put low down payments, have high interest
rates on their loans, and those with 60 month or longer terms. Gap insurance is
typically offered by your finance company when you first purchase your vehicle.
Most auto insurance companies offer this coverage to consumers as well. If you are
unsure if GAP coverage had been purchased, you should check your vehicle lease
or purchase documentation.
Home insurance
Home insurance provides coverage for damage or destruction of the policyholder's
home. In some geographical areas, the policy may exclude certain types of risks,
such as flood or earthquake, which require additional coverage.
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Maintenance-related issues are typically the homeowner's responsibility. The
policy may include inventory, or this can be bought as a separate policy, especially
for people who rent housing. In some countries, insurers offer a package which
may include liability and legal responsibility for injuries and property damage
caused by members of the household, including pets.
Health insurance
Health insurance policies cover the cost of medical treatments. Dental insurance,
like medical insurance protects policyholders for dental costs. In the US and
Canada, dental insurance is often part of an employer's benefits package, along
with health insurance.
Accident, sickness and unemployment insurance
Workers' compensation, or employers' liability insurance, is compulsory in some
countries
Disability insurance policies provide financial support in the event of the
policyholder becoming unable to work because of disabling illness or injury.
It provides monthly support to help pay such obligations as mortgage loans
and credit cards. Short-term and long-term disability policies re available to
individuals, but considering the expense, long-term policies are generally
obtained only by those with at least six-figure incomes, such as doctors,
lawyers, etc. Short-term disability insurance covers a person for a period
typically up to six months, paying a stipend each month to cover medical
bills and other necessities.
Long-term disability insurance covers an individual's expenses for the long
term, up until such time as they are considered permanently disabled.
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Insurance companies will often try to encourage the person back into
employment in preference to and before declaring them unable to work at all
and therefore totally disabled.
Disability overhead insurance allows business owners to cover the overhead
expenses of their business while they are unable to work.
Total permanent disability insurance provides benefits when a person is
permanently disabled and can no longer work in their profession, often taken
as an adjunct to life insurance.
Workers' compensation insurance replaces all or part of a worker's wages
lost and accompanying medical expenses incurred because of a job-related
injury.
Casualty
Casualty insurance insures against accidents, not necessarily tied to any specific
property. It is a broad spectrum of insurance that a number of other types of
insurance could be classified, such as auto, workers compensation, and some
liability insurances.
Crime insurance is a form of casualty insurance that covers the policyholder
against losses arising from the criminal acts of third parties. For example, a
company can obtain crime insurance to cover losses arising from theft or
embezzlement.
Political risk insurance is a form of casualty insurance that can be taken out
by businesses with operations in countries in which there is a risk that
revolution or other political conditions could result in a loss.
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Burial insurance
Burial insurance is a very old type of life insurance which is paid out upon death to
cover final expenses, such as the cost of a funeral. The Greeks and Romans
introduced burial insurance circa 600 AD when they organized guilds called
"benevolent societies" which cared for the surviving families and paid funeral
expenses of members upon death. Guilds in the Middle Ages served a similar
purpose, as did friendly societies during Victorian times.
Property
Property insurance provides protection against risks to property, such as fire, theft
or weather damage. This may include specialized forms of insurance such as fire
insurance, flood insurance, earthquake insurance, home insurance, inland marine
insurance or boiler insurance. The term property insurance may, like casualty
insurance, be used as a broad category of various subtypes of insurance.
Marine insurance
Marine insurance and marine cargo insurance cover the loss or damage of vessels
at sea or on inland waterways, and of cargo in transit, regardless of the method of
transit. When the owner of the cargo and the carrier are separate corporations,
marine cargo insurance typically compensates the owner of cargo for losses
sustained from fire, shipwreck, etc., but excludes losses that can be recovered from
the carrier or the carrier's insurance.
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SMIBS Bangalore Bajaj Allianz
LIFE INSURANCE
Definition:
According to U.S. Life Office Management Association (LOMA) “Life Insurance
provides a sum of money if the person who is insured dies whilst the policy is in
effect.
Life Insurance is concerned with contracts of insurance on human life wherein the
life insurance policy provides compensation/sum assured to the insured or
dependents in the event of maturity of policy or on occurrence of a peril covered
like death, permanent disability of an insured.
As per Insurance Act 1938 Life Insurance Business means the business of
effecting contracts of insurance upon human life, including any contract whereby
the payment of money is assured on death (except death by accident only) or the
happening of any contingency dependent on human life, and any contract which is
subject to payment of premiums for a term dependent on human life and shall be
deemed to include-
(a)The granting of disability and double or triple indemnity accident benefits, if so
provided in the contract of insurance;
(b)The granting of annuities upon human life;
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SMIBS Bangalore Bajaj Allianz
(c)The granting of superannuation allowances and annuities payable out of any
fund applicable solely to the relief and maintenance of persons engaged or who
have been engaged in any particular profession, trade or employment or of the
dependents of such persons.
At present as on 20-11-2010 in India life insurance business is transacted by 23
life insurance companies which have been provided licences to do life insurance by
IRDA ( Insurance Regulatory & Development Authority).LIC (Life Insurance
Corporation of India) is a public sector life insurance company, largest life insurer
of India. No other organization can transact life insurance business unless it holds a
valid license given by IRDA.
Needs for Insurance:
Temporary needs (providing for replacement of income on death)
Regular savings
Investment
Retirement
Replacement of any assets like automobiles
Sharing of pain with many person so that the pain of loss will get decrease
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Important aspects of Life Insurance:
Policies available with bonus or without bonus
Death due to accidents can be covered for additional S.A.
Policies available exclusively for women & children
Additional cover for major diseases available
Guaranteed bonus policies available
Policies available for limited period premium payment & risk for longer
policy period
Premium can be paid in monthly, quarterly, half yearly, yearly installments
Loans are available on policies
Lapsed policies can be revived
Policy can be surrendered after three years ( ULIP’s after 5 years)
Nomination & assignment can be done
Exclusive Health insurance policies available
Share Market linked policies ULIP’s available
Benefits of Insurance:
It is superior to a traditional saving vehicles
It encourages saving and forces thrift
It provides easy settlement
It can be enchased and facilitates borrowing
Family protection-Maintenance of standard of living
Liquidity
Tax relief
Money when you need
Loans
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Easy & prompt settlements of all types of claims
Marketability-Assignment
Nomination facility
Bonus
Helps live solvent life
Safeguards against unpredictable risks of future
Role of Insurance in developing Economy:
People having worries about children and their marriage, pre mature death
and retirement etc… If an Individual free from above worry he can perform
better in his job which helps in economy development.
It direct people savings , insures invest these funds in various business like
enterprise, government bonds, loan to the public, private and public project,
infracture, etc,… insurance premium amount helps for the development of
nations economy.
This savings acts as anti inflationary form in nation financial structure.
(Most of the money goes premium so less amount is there to spend money to
buy).
So that inflation gets controlled.
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SMIBS Bangalore Bajaj Allianz
OVERVIEW OF INSURANCE INDUSTRY
The Insurance sector in India governed by Insurance Act, 1938, the Life Insurance
Corporation Act, 1956 and General Insurance Business (Nationalization) Act,
1972, Insurance Regulatory and Development Authority (IRDA) Act, 1999 and
other related Acts. With such a large population and the untapped market area of
this population Insurance happens to be a very big opportunity in India. Today it
stands as a business growing at the rate of 15-20 per cent annually. Together with
banking services, it adds about 7 per cent to the country’s GDP .In spite of all this
growth the statistics of the penetration of the insurance in the country is very poor.
Nearly 80% of Indian populations are without Life insurance cover and the Health
insurance. This is an indicator that growth potential for the insurance sector is
immense in India. It was due to this immense growth that the regulations were
introduced in the insurance sector and in continuation “Malhotra Committee”
was constituted by the government in 1993 to examine the various aspects of the
industry. The key element of the reform process was Participation of overseas
insurance companies with 26% capital. Creating a more efficient and competitive
financial system suitable for the requirements of the economy was the main idea
behind this reform.
Since then the insurance industry has gone through many sea changes .The
competition LIC started facing from these companies were threatening to the
existence of LIC .since the liberalization of the industry the insurance industry has
never looked back and today stand as the one of the most competitive and
exploring industry in India. The entry of the private players and the increased use
of the new distribution are in the limelight today. The use of new distribution
techniques and the IT tools has increased the scope of the industry in the longer run
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History of Insurance Sector
The business of life insurance in India in its existing form started in India in the
year 1818 with the establishment of the Oriental Life Insurance Company in
Calcutta. Some of the important milestones in the life insurance business in India
are given in the table 1.
Milestone’s in the Life Insurance business in India
Year Milestones in the life insurance business in India
1912 The Indian Life Assurance Companies Act enacted as the first
statute to regulate the life insurance business
1928 The Indian Insurance Companies Act enacted to enable the
government to collect statistical information about both life
and non-life insurance businesses
1938 Earlier legislation consolidated and amended to by the
Insurance Act with the objective of protecting the interests of
the insuring public.
1956 245 Indian and foreign insurers and provident societies taken
over by the central government and nationalized. LIC formed
by an Act of Parliament, viz. LIC Act, 1956, with a capital
contribution of Rs. 5 crore from the Government of India.
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Insurance Market – History
Insurance has a long history in India. Life Insurance in its current form was
introduced in 1818 when Oriental Life Insurance Company began its operations in
India. General Insurance was however a comparatively late entrant in 1850 when
Triton Insurance company set up its base in Kolkata. History of Insurance in India
can be broadly bifurcated into three eras: a) Pre Nationalization b) Nationalization
and c) Post Nationalization. Life Insurance was the first to be nationalized in 1956.
Life Insurance Corporation of India was formed by consolidating the operations of
various insurance companies. General Insurance followed suit and was
nationalized in 1973. General Insurance Corporation of India was set up as the
controlling body with New India, United India, National and Oriental as its
subsidiaries. The process of opening up the insurance sector was initiated against
the background of Economic Reform process which commenced from 1991. For
this purpose Malhotra Committee was formed during this year who submitted their
report in 1994 and Insurance Regulatory Development Act (IRDA) was passed in
1999. Resultantly Indian Insurance was opened for private companies and Private
Insurance Company effectively started operations from 2001.
Insurance Market- Present:
The insurance sector was opened up for private participation four years ago. For
years now, the private players are active in the liberalized environment. The
insurance market have witnessed dynamic changes which includes presence of a
fairly large number of insurers both life and non-life segment. Most of the private
insurance companies have formed joint venture partnering well recognized foreign
players across the globe.
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There are now 29 insurance companies operating in the Indian market – 14 private
life insurers, nine private non-life insurers and six public sector companies. With
many more joint ventures in the offing, the insurance industry in India today stands
at a crossroads as competition intensifies and companies prepare survival strategies
in a present scenario.
There is pressure from both within the country and outside on the Government to
increase the foreign direct investment (FDI) limit from the current 26% to 49%,
which would help JV partners to bring in funds for expansion.
There are opportunities in the pensions sector where regulations are being framed.
Less than 10 % of Indians above the age of 60 receive pensions. The IRDA has
issued the first license for a standalone health company in the country as many
more players wait to enter. The health insurance sector has tremendous growth
potential, and as it matures and new players enter, product innovation and
enhancement will increase. The deepening of the health database over time will
also allow players to develop and price products for larger segments of society.
State Insurers Continue To Dominate There may be room for many more
players in a large underinsured market like India with a population of over one
billion. But the reality is that the intense competition in the last five years has made
it difficult for new entrants to keep pace with the leaders and thereby failing to
make any impact in the market.
Also as the private sector controls over 26.18% of the life insurance market and
over 26.53% of the non-life market, the public sector companies still call the shots.
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The country’s largest life insurer, Life Insurance Corporation of India (LIC), had a
share of 74.82% in new business premium income in November 2005.
Similarly, the four public-sector non-life insurers – New India Assurance, National
Insurance, Oriental Insurance and United India Insurance – had a combined market
share of 73.47% as of October 2005. ICICI Prudential Life Insurance Company
continues to lead the private sector with a 7.26% market share in terms of fresh
premium, whereas ICICI Lombard General Insurance Company is the leader
among the private non-life players with an 8.11% market share. ICICI Lombard
has focused on growing the market for general insurance products and increasing
penetration within existing customers through product innovation and distribution.
Reaching Out To Customers No doubt, the customer profile in the insurance
industry is changing with the introduction of large number of divergent
intermediaries such as brokers, corporate agents, and banc assurance.
The industry now deals with customers who know what they want and when, and
are more demanding in terms of better service and speedier responses. With the
industry all set to move to a detariffed regime by 2007, there will be considerable
improvement in customer service levels, product innovation and newer standards
of underwriting.
Intense Competition In a de-tariffed environment, competition will manifest itself
in prices, products, underwriting criteria, innovative sales methods and
creditworthiness. Insurance companies will vie with each other to capture market
share through better pricing and client segmentation.
The battle has so far been fought in the big urban cities, but in the next few years,
increased competition will drive insurers to rural and semi-urban markets.
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Global Standards While the world is eyeing India for growth and expansion,
Indian companies are becoming increasingly world class. Take the case of LIC,
which has set its sight on becoming a major global player following a Rs280-crore
investment from the Indian government. The company now operates in Mauritius,
Fiji, the UK, Sri Lanka, and Nepal and will soon start operations in Saudi Arabia.
It also plans to venture into the African and Asia-Pacific regions in 2006.
The year 2005 was a testing phase for the general insurance industry with a series
of catastrophes hitting the Indian sub-continent.
However, with robust reinsurance programmes in place, insurers have successfully
managed to tide over the crisis without any adverse impact on their balance sheets.
With life insurance premiums being just 2.5% of GDP and general insurance
premiums being 0.65% of GDP, the opportunities in the Indian market place is
immense. The next five years will be challenging but those that can build scale and
market share will survive and prosper.
Present Scenario of Insurance Industry
India with about 200 million middle class household shows a huge untapped
potential for players in the insurance industry. Saturation of markets in many
developed economies has made the Indian market even more attractive for global
insurance majors. The insurance sector in India has come to a position of very high
potential and competitiveness in the market. Indians, have always seen life
insurance as a tax saving device, are now suddenly turning to the private sector that
are providing them new products and variety for their choice.
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Consumers remain the most important centre of the insurance sector. After the
entry of the foreign players the industry is seeing a lot of competition and thus
improvement of the customer service in the industry. Computerization of
operations and updating of technology has become imperative in the current
scenario. Foreign players are bringing in international best practices in service
through use of latest technologies
The insurance agents still remain the main source through which insurance
products are sold. The concept is very well established in the country like India but
still the increasing use of other sources is imperative. At present the distribution
channels that are available in the market are listed below.
Direct selling
Corporate agents
Group selling
Brokers and cooperative societies
Banc assurance
Customers have tremendous choice from a large variety of products from pure
term (risk) insurance to unit-linked investment products. Customers are offered
unbundled products with a variety of benefits as riders from which they can
choose. More customers are buying products and services based on their true needs
and not just traditional moneyback policies, which is not considered very
appropriate for long-term protection and savings. There is lots of saving and
investment plans in the market. However, there are still some key new products yet
to be introduced - e.g. health products.
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The rural consumer is now exhibiting an increasing propensity for insurance
products. A research conducted exhibited that the rural consumers are willing to
dole out anything between Rs 3,500 and Rs 2,900 as premium each year. In the
insurance the awareness level for life insurance is the highest in rural India, but the
consumers are also aware about motor, accidents and cattle insurance. In a study
conducted by MART the results showed that nearly one third said that they had
purchased some kind of insurance with the maximum penetration skewed in favor
of life insurance. The perceived benefits of buying a life policy range from security
of income bulk return in future, daughter's marriage, children's education and good
return on savings, in that order, the study adds.
Trend and Growth of Insurance Industry
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Current Income of Insurance Companies
Market shares among Private players in India as on Mar 2012
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Global view of Insurance:
Asian Insurance Industry
As insurance companies seek growth opportunities in the Asia-Pacific region, they
confront significant opportunities. Domestic insurance markets in much of the
region have improved, as a growing number of consumers seek to purchase
insurance. Additionally, the regulatory systems across much of the region have
become more sophisticated. Some challenges, of course, remain.
Since Asia-Pacific is a highly diverse super-region with respect to different
countries’ economic development and insurance penetration, the rate and drivers of
growth vary on a market by- market basis. Mature markets, for example, are more
saturated insofar as insurance penetration. Developing and emerging markets, on
the other hand, offer greater growth opportunities for companies prepared to invest
for the long haul. Ernst & Young anticipates further regional evolution, but not
revolution, in Asia- Pacific markets in 2011. Each insurer’s strategic prioritization
and response to the opportunities presented may reap significant rewards. Early
movers may especially benefit by their immediate actions, while the insurers who
wait to discern the short-term mistakes of others may similarly attain valuable
traction. Indefinitely postponing a response to the current market opportunities
seems ill advised, given the chief attraction of the rate.
The worlds fastest this alone helps explain why many multinational insurers are
either preparing plans for further investment in the region, or are in the thick of
implementing them. By 2015, approximately 39% of the world’s economy is
predicted to be in Asia-Pacific.
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Ernst & Young has identified three key issues that will influence insurers looking
to share in this growth in 2011:
• Adjusting and expanding distribution strategies amid shifting demographics and
consumer buying patterns
• Developing strategies to shape and comply with the heightened pace of local and
global regulatory and accounting developments
• Developing dependable capital sources required to support accelerating business
growth
Europe Insurance Industry
The European insurance industry enters 2011 financially stronger than it was at the
beginning of 2010. Strengthening of the credit and equity markets, combined with
reductions in claims frequency in 2009 and 2010, has improved the industry’s
capitalization, solvency and profitability. Efforts to maintain and increase capital
will continue in 2011, as insurers prepare for the impending implementation of
Solvency II and Basel III. Macroeconomic conditions indicate that 2011 will likely
be another year in Europe of low GDP growth, low interest rates and moderate
equity market performance. Ernst & Young’s baseline Euro zone Economic
Forecast for 2011, published in December 2010, projects a moderate slowdown
over the year, with GDP falling to 1.4% in 2011 from 1.7% in 2010, and inflation
forecast to remain steady at 1.5% to 1.6%.
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At these levels, inflation poses no immediate threat to growth. Even if the
economic recovery continues, insurers may find that the assets underpinning their
balance sheets have decreased in value. Questions concerning the impact of the
European sovereign debt crisis also remain, albeit the effect may vary for
individual countries.
The sluggish economy and low interest rate environment challenge all segments of
the European insurance industry to achieve superior growth. Non-life premiums
across the region were poor in 2010, while profitability in both the non-life and
reinsurance sectors will continue to be challenged by the soft market, the need for
continuing expense reductions and the end of loss reserve releases supporting
profitability. Business demand for traditional non-life products will remain
especially listless in 2011 due to the slow business growth. At the same time, risks
relating to continued advancements in technology and catastrophic weather events,
as well as fraud and litigation exposure, are increasing. A key question is how
catastrophic losses in 2010 might affect pricing this year.
On the life side, premiums improved modestly in 2010. As Europe’s population
ages and the countries grapple with demographic challenges to their social welfare
systems, especially those parts related to retirement benefits, it creates
opportunities for insurers to provide products and services in the retirement space.
The downside is the low interest rate environment, which reduces profitability of
guaranteed products. Continued high unemployment also makes it difficult
financially for many individuals to purchase new products. A key question facing
life insurers is whether the emerging capital requirements will hinder their ability
to meet consumer needs.
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Ernst & Young identified five risks and opportunities for European insurers in
2011 as they encounter uncertain economic and regulatory conditions in their
pursuit of growth:
• Manage critical capital and risk challenges
• Develop distribution flexibility and support systems
• Improve process efficiency and develop new markets
• Focus on non-life loss control
• Optimize corporate structure and domicile
US Insurance Industry
The US life and annuity insurance industry enters 2011 with a stronger balance
sheet, reasonable earnings momentum and slightly rising direct premiums, albeit at
the expense of a declining base. Going forward, the industry confronts a climate of
broad regulatory and economic uncertainty in the coming year and beyond. In this
environment, insurers will need to create new products and services and leverage
distribution channels to increase top-line growth, while paring costs and un
profitable risks to drive bottom line earnings.
The latter requires simplifying the business and product portfolio, improving
operational efficiency and squeezing earnings out of a stagnant revenue base, as
the slowly growing economy makes it difficult to attract new customers and retain
existing ones. Low interest rate conditions compound these problems, challenging
life and annuity insurers to generate competitive product returns. Companies that
clearly understand these issues and react quickly and prudently in their strategic
core businesses will gain a competitive advantage.
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Looming regulatory changes such as those posed by the Dodd-Frank Wall Street
Reform and Consumer Protection Act (Dodd-Frank) are still in the process of
being interpreted and implemented—not to mention possibly revised.
These changes pose strategic and competitive challenges to life and annuity
insurers. As insurers address these concerns, they must be careful to preserve their
financial strength. Nevertheless, there are opportunities in deploying rebuilt capital
to reposition and grow their businesses and improve future earnings.
Ernst & Young has identified four issues that will influence the US life and annuity
insurance industry in 2011:
• Responding to the changing regulatory environment
• Establishing capital and risk management solutions post-crisis
• Improving operational efficiencies to control cost
• Reinventing products and distribution to energize growth
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COMPANY PROFILE
Bajaj allianz is the joint venture of Bajaj Auto Ltd and the Allianz Insurance Company. It was established in the year of 12th March 2001.
ALLIANZ COMPANY:
Allianz Company was a German based company which was established I the year 1890. The Head quarter is located in Munich at Germany. Allianz network extend the group over 7 countries. It serves to 60 million clients’ worldwide. Core business is General insurance, Life insurance, and Health insurance and Asset management.
Features of the company are
World’s largest insurance company by revenue –Rs520353cr (euro96.9billion)
Worldwide 2nd by gross written premiums-Rs477930cr (euro 89 billion)
3rd largest assets under management (AUM) and largest amongst insurance
companies
11th largest corporation in the world
50% of globe business from life insurance, close to 60 million lives insured
globally
Established in 1890, 120 years of insurance expertise
More than 70 countries,173750 employees worldwide
Insurance to almost half of the fortune 500 companies
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BAJAJ AUTO LTD:
Bajaj auto was incorporated in 1945 by the Bajaj family. Today it is ranked as 4 th
largest in world and 1st in India in automobiles. It sells 1-2 million vehicles per annum.
In fiscal 2000-2001 a total of 30589 two & three wheelers have been exported amounting to a turnover of Rs.1341 million.
Allianz Bajaj LIC is the culmination of two giant corporate whose mottos is providing quality product in the arena of Life and Health insurance in India.
Features of the company are
One of the largest 2 and 3 wheeler manufacturers in the world
21 million + vehicles on the road across the globe
Managing fund of over Rs5200cr
Bajaj auto finance one of the largest companies in India
Rs8934cr turnover and profits after tax of 932cr in 2007-08
BAJAJ ALLIANZ LIFE INSURANCE COMPANT LIMITED:
Baja auto ltd and Allianz insurance company had joined their hands to do the insurance business in India. Bajaj allianz insurance started its journey on August 3, 2001 when it received the certificate of registration from Insurance Regulatory and Development Authority (IRDA). . The company is authorized paid up capital of Rs.110 crore. Bajaj auto holds 74% and the remaining is held by the Allianz Company, Germany.
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SMIBS Bangalore Bajaj Allianz
Fact sheet of Bajaj Allianz:
Date of Incorporation 12th March 2001
Started operations on 3rd August 2001
Head office Pune, India
World Wide Web Address www.bajajallianz.com
Toll free number 1800-209-5858
Brand statement Jiyo Befikar
Chairman Mr. Rahul Bajaj
MD & Chief Executive Officer Mr.V.Philip
Total asset under management Rs. 35,545 crore
Solvency ratio* 503%
Claim settlement ratio NOP 92.7%
Total no. of offices 1,044
Latest award won Skoch Financial Award for contribution towards financial inclusion through Life Insurance
*The values are as on 31st December 2011All the other figures are as on 31st March 2012
As at the end of March 2009, the income of Bajaj Allianz insurance went up to Rs.2, 866 crore with the growth of 11% over the previous year. It also registered a
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SMIBS Bangalore Bajaj Allianz
net profit of Rs. 95 crore, highest by any private insurance company, in the last financial year
No.1 private life insurance in Retail business, leading by Rs.339 cr The fastest growing private life insurance company in India, with a growth
rate of 380% Have sold over 34,72,875(3.4 million) polices till date Is back by network of 700 offices spanning the country Assets under management Rs.35,545 cr Share holder capital base of Rs.700 cr Largest distribution network to reach the customers across the country with
2, 13,000 agents, 1100 offices in 840 towns, 200 corporate agents and banc assurance partners.
Product tailored to suit your needs Decentralized organization structure for faster response Wide reach to serve you better a national wide network of 400 branches Specialised departments for banc assurance, corporate agency and group
business Highest standard of customer service and simplified claims process in the
industry Bajaj Allianz is the first life insurance company of India which is in profit &
the profit is 82 crs for 2008-2009 Gross written premium 97 billion in current year where as 53 billion
previous year Market share 10.3 in current year where as 7.4 in previous year Policies 3.7 million in current year where as 2.1 million in previous year 12 new products are introduced Currently 32 individual products and 9 group products are offering by Bajaj
Allianz Bajaj Allianz last year profit after tax Rs.440 million Strong tele marketing and direct marketing team Accelerated growth
Vision of the company:
To be the best insurance company in India
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SMIBS Bangalore Bajaj Allianz
To be the first choice insurer for Customers To be the preferred employer for staff in the insurance industry To be the number one insurer for creating shareholder value.
Mission of the company:
As a responsible , customer focused market leader, Bajaj Allianz is determined to understand the insurance needs of the consumers and translate it into affordable products that deliver value for money.
Values of Bajaj Allianz:
Customer delight the guiding principle Ensuring world class solutions and services Offering customized products Transparent benefits
Company products:
1. Individual plans2. Group insurance3. Micro insurance
Individual Plans
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SMIBS Bangalore Bajaj Allianz
Unit Linked Insurance Plans
Traditional Plans
Pension Plans
Life Health Insurance for Hospitalization
Term Insurance Plans
Women insurance plan:
Unit Linked Insurance Plans
Market linked insurance plans invest the premium in to the equity, debt and cash
markets by the way of allocating units, which like any other mutual fund have a
NAV and the customer is free to switch between one fund class to another
depending on the risk factor he wishes to be in. ULIPs offer a better return than the
traditional endowment plans and offer a great deal of flexibility along with great
returns making them the finest product offering. We at Bajaj Allianz Life
Insurance have developed a number of Unit Linked Insurance ULIP products
which range from single premium to a regular premium option along with
investment funds ranging from index funds to mid-cap funds and debt market
linked funds.
It is divided into
Regular Premium
Single Premium
Regular Premium:
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SMIBS Bangalore Bajaj Allianz
1. iGain III
2. Money Secure Insurance Plan
3. Assured Protection Insurance Plan
4. Smart Insurance Plan III
5. Max Advantage Insurance Plan
1. Invest gain III investment plan:
Features:
Exclusive ULIP that you can buy online.
High allocation of 98% from the start of the policy.
100% allocation from 6th policy year onwards.
Inbuilt accidental death cover.
Option to select policy term of 10/15 or 20 years and premium paying term
of 5 years to policy term.
Automatic annual increase in sum assured from 6th policy anniversary to
suit your needs.
Choice of 7 investment funds to invest in as per your risk appetite.
Two investment portfolio strategies to manage your investments better;
including the Wheel of Life portfolio strategy, which will help you to
balance and safeguard your investment.
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SMIBS Bangalore Bajaj Allianz
Benefits:
Surrender Benefit
You have the option to surrender your policy anytime from the 6th (sixth) policy
year. The surrender value payable will be equal to the Fund Value as on date of
surrender of the policy. The policy shall thereafter terminate upon payment of full
surrender value.
However, on discontinuance of payment of regular premium during the first five
policy years, the discontinuance value as on date of discontinuance will be equal to
the regular premium fund value minus the discontinuance charge, if any, plus top
up premium fund value, if any.
Death Benefit
In case of death of the life assured before attaining the age of 60 years: The death
benefit payable would be the higher of sum assured minus the value of partial
withdrawals made in the last 24 months prior to the date of death, or the fund value
as on date of receipt of intimation of death at the Company's office. The death
benefit payable will be calculated separately for regular premium and top up
premiums.
In case of death of the life assured on or after attaining the age of 60 years: The
benefit payable would be the higher of sum assured minus the value of partial
withdrawals made within 24 months before attaining the age of 60 years and all
partial withdrawals made after attaining the age of 60 years, or the fund value as on
the date of receipt of intimation of death at the Company's office.
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SMIBS Bangalore Bajaj Allianz
The death benefit payable will be calculated separately for regular premiums and
top up premiums. In case of death of the life assured due to an accident after
attaining the age of 7 years: An additional sum assured in respect of regular
premium and top-up premium of the policy is payable.
The sum assured will increase by an annual premium at each policy anniversary
starting from the 6th (sixth) policy anniversary. The death benefit and the mortality
charge shall be calculated referring to such enhanced sum assured. The policy will
terminate on the death of the life assured.
2. Money Secure Insurance Plan
Requirements change with time. Keeping in line with changing trends and new
horizons, Bajaj Allianz Life Insurance Co. Ltd presents 'Bajaj Allianz Money
Secure Insurance Plan'.
Presenting an investment plan that provides you the dual advantage of planning for
your financial security and getting the best returns possible for every rupee you
invest. The investment plan is structured to provide you a secure life cover and
guaranteed maturity benefits aligned with our commitment to give you the best of
both worlds.
The plan offers you key benefits:-
Secure your investments with guarantee of minimum maturity value.
Option to select your policy term and premium paying term.
Automatic annual increase in sum assured from 6th policy anniversary to
suit your need.
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SMIBS Bangalore Bajaj Allianz
3. Assured Protection Insurance Plan
With Bajaj Allianz Assured Protection Insurance Plan we have formulated a
unique combination of protection and prospects of attractive returns with
investments in various mix of assets to make a perfect plan to last you a lifetime of
prosperity and happiness.
Highlights of the Assured Protection Plan:
Get 100% allocation from the 10th policy year.
Extra protection with wider accidental cover.
Choice of 7 investment funds to invest in.
Option to select policy term of 10, 15 or 20 years and premium paying term
from 7 years to policy term.
Automatic annual increase in sum assured from 6th policy anniversary.
Choose between Investor Selectable portfolio strategy and wheel of life
portfolio strategy.
Get maximum flexibility to pay top-up premium and partial withdrawal any
time after 5th policy year.
4. Smart Insurance Plan III - Systematic Savings ULIP
Security in the long run - as a Non-Resident Indian, we understand your need for
complete financial security for you and your family. The Bajaj Allianz Smart
Insurance Plan III is a unit linked insurance plan that gives you a unique
combination of maximum protection and maximum savings. Invest with us, and
stay assured with the knowledge that you'll always have something to fall back on.
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SMIBS Bangalore Bajaj Allianz
Features of Smart Insurance Plan:
Inbuilt Accidental Death cover.
Refund of 100% of the total allocation charge as loyalty addition.
Automatic annual increase in sum assured from 6th policy anniversary to
suit your needs.
Option to select policy term of 10, 15 or 20 years and premium payment
term from 6 years to policy term.
Choice of 7 investment funds to invest in as per your risk appetite.
5. Max Advantage Insurance Plan
With the stock markets in a flux, you need an investment plan that keeps your
money safe – even as it gets you the highest possible returns. The Bajaj Allianz
Max Advantage Insurance Plan gives you the guarantee to encash your units at
maturity, at the highest unit price achieved by the fund over the 10-year term of
your policy.* Invest in the best – without risk! Invest in the Bajaj Allianz Max
Advantage Insurance Plan and make sure that once your returns go up, they stay
up.
Benefits:
Refund of 60% of total regular premium allocation charge as Guaranteed
Addition at maturity.
Option to select / change premium payment term from 5 to 7 years.
Flexibility to pay unlimited top-up premium** and make partial
withdrawals. **
Option to choose from 5 investment funds to invest.
Unlimited free switches.
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SMIBS Bangalore Bajaj Allianz
Single premium:
1. Shield Insurance Plan
2. Flexi Advantage Insurance Plan
3. Wealth Insurance Plan
1. Bajaj Allianz Shield Insurance Plan
Your savings mean everything for you – secure it now! We, at Bajaj Allianz
understand the value of your money and present a single premium fixed-term unit-
linked insurance plan. So planning for a target amount is made easy now.
Shield Insurance Plan Benefits:
Single premium plan with fixed term of 10 years.
Option to decrease sum assured.
Partial withdrawals anytime after five years.
Unlimited free switches.
Optional riders to enhance your protection.
2. Bajaj Allianz Flexi Advantage Insurance Plan
When we consider investing a lump-sum amount, we look at various factors such
as returns, benefits, degree of customization to suit our need and most importantly
flexibilities.
Presenting... Bajaj Allianz Flexi Advantage Insurance Plan, a single premium plan
that gives you the added advantage of one time investment with a life-long
flexibility
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SMIBS Bangalore Bajaj Allianz
3. Bajaj Allianz Wealth Insurance Plan
Bajaj Allianz Wealth Insurance Plan is a hassle-free way of investing your money
and at the same time taking care of your insurance needs. The wealth insurance
plan gives you the benefits of paying a single premium, so you don't have to worry
about due dates, repetitive paperwork and renewals or constantly make phone calls
to your financial advisor.
Highlights Wealth Insurance Plan:
Loyalty addition up to 7% of single premium at the end of the fifth year. **
Option to receive the maturity benefits as settlement option.
Maximum flexibility to pay unlimited top-up premium and make partial
withdrawals. ***Conditions Apply.
Option to decrease your sum assured.
Systematic switching option to manage your investments better.
Optional additional rider benefits to enhance your protection.
Traditional Plans
Saving Plans that offer bonus are completely safe and are ideal for long term
investments. Our products offer additional benefits including 4 times life cover at
little extra costs, limited premium payment terms and compounded reversionary
bonuses. These features make our traditional plans excellent long term saving
instruments.
It is divided into
Endowment
Money Back Plan
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SMIBS Bangalore Bajaj Allianz
Endowment Plan:
Endowment plans serve two major purposes - Life Cover and Savings. Under an
endowment plan, the insured receives a lump sum after a specified maturity period
or on earlier death. Typically maturity periods range from 10, 15 and 20 years till a
certain age limit.
Our Endowment Insurance plans offer additional benefits including 4 times life
cover at little extra costs, limited premium payment terms and compounded
reversionary bonuses.
1. Invest Gain
2. Save Care Economy SP
3. Life Time Care
4. Super Saver
1. Invest Gain Life Insurance Plan with Family Income Benefit
Invest Gain is a specially designed plan that offers a unique combination of
benefits that help you develop a sound financial portfolio for your family.
Benefits of this Plan are:-
Comprehensive Accident Protection.
Critical Illness Benefit.
Hospital Cash Benefit.
4 Times Life Cover at a little extra cost. Limited premium payment option
available.
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SMIBS Bangalore Bajaj Allianz
Conditions Economy Gold/Diamond/Platinum
Minimum age Entry 0(Risk from 7) 18
Maximum age Entry 65 50
Maximum age Maturity 70 70
Minimum Term 5 5
Maximum Term 40 40
Minimum Sum Assured 50000 50000
Max. Sum Assured --- ---
Minimum Premium 5000-Pa/2500-Half
yr/1250-Quar/500-Mon
5000-Pa/2500-Half yr/1250-
Quar/500-Mon
Plans Maturity Benefit Death Benefit
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SMIBS Bangalore Bajaj Allianz
2. Save Care Economy SP - Endowment Plan
Single Premium Endowment Plan provides for savings with high risk cover for 10
years and also participates in the profits of the company.
It offers you high risk cover with easy liquidity and high returns.
A single premium endowment plan that participates in the profits.
10 year Investment plan.
Benefits payable on maturity.
Loans available.
3. Life Time Care - Whole Life Plan
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ECONOMY Sum Assured + Bonus Sum Assured + Bonus
GOLD Sum Assured + Bonus 2 * Sum Assured + Bonus
DIAMOND Sum Assured + Bonus 3 * Sum Assured + Bonus
PLATINUM Sum Assured + Bonus 4 * Sum Assured + Bonus
SMIBS Bangalore Bajaj Allianz
A whole life plan, which provides survival benefits at the age of 80, thereby
making sure you are financially secure at the time when you need it the most.
Benefits:
Accidental Death Cover and Disability Cover.
Critical Illness Cover and Hospital Cash Cover.
Waiver of Premium Benefit.
4. Super Saver Endowment Insurance Plan:
Extra Protection with in-built Accidental Death Benefit.
Guaranteed Additions of amount equal to 4% of Sum Assured at the end
of each policy year*
Tax benefits on premiums paid and benefits received under Section 80C
and
Death Benefit, Maturity Benefit and Surrender Value are eligible for tax
benefits under Section 10(10)D.
Regular saving is the best tool to protect ones family. We at Bajaj Allianz
Life Insurance realize the value of your saving and present a non-linked,
participating regular premium endowment plan, which will help you to save
regular amounts for a safer tomorrow. Also get extra benefits with
Guaranteed Additions of 4% of sum assured at the end of each policy year.
Parameter Minimum Maximum
Annual Premium Rs. 1,055/- No Limit
Sum Assured Rs.20,000/- No limit
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SMIBS Bangalore Bajaj Allianz
Age at entry 18 Years 60 Years
Policy term 10 Years 30 Years
Features:
Extra Protection with in-built Accidental Death Benefit.
Guaranteed Additions of amount equal to 4% of Sum Assured at the end of
each policy year, provided all premiums till date have been paid.
Policy shall remain in-force for full sum assured for 2 successive years even
if you forget to pay your premiums on due date.
Tax benefits on premiums paid and benefits received under Section 80C and
Death Benefit, Maturity Benefit and Surrender Value are eligible for tax
benefits under Section 10(10)D.
Money Back Plan:
Money back plans are Traditional Insurance plans that provide the investor with
returns at regular stages of life.
1. Cash Rich Insurance Plan
2. Super Cash Gain Insurance Plan
3. Cash Gain
4. Child Gain
1. Cash Rich insurance plan:
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SMIBS Bangalore Bajaj Allianz
At retirement what we look at is financial security. A flow of guaranteed
income provides that financial security.
Bajaj Allianz Cash Rich plan offers guaranteed cash back of 5% of sum
assured per year along with a cash bonus, which would be your regular
income.
Features:
Accumulated compound reversionary bonus on completion of premium
payment term.
Cash Back benefit of 5% of the sum assured plus cash bonus, if any declared
every year, during the cash back period end.
Sum Assured plus terminal bonus, if any on maturity of the policy.
Select your policy term from 10 years to 65 years depending on your
financial need.
Select your limited premium paying term (PPT) from 5 years to 30 years, in
multiple of 5 only.
2. Super cash gain insurance plan :
Bajaj Allianz Super Cash Gain Insurance Plan is a participating endowment plan
which gives you guaranteed cash-backs at fixed policy intervals during the policy
term. Your premium under the plan will, apart from your age, depend on the policy
term, the base sum assured, the plan variant (Silver, Gold, Diamond or Platinum)
and the riders chosen by you.
If all the due premiums are paid, 20% of your base sum assured shall be paid to
you thrice as cash-back at specific policy intervals as shown in the benefit section
below.
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SMIBS Bangalore Bajaj Allianz
On maturity date, 40% of your base sum assured along with vested bonuses shall
be paid to you as maturity benefit. On death of the life assured at any time during
the policy term, irrespective of any cash-backs paid to you, the full sum assured
along with the vested bonuses will be paid to the nominee as death benefit.
Plan Variants
You need to choose your sum assured (life cover) as a multiple of the base sum
assured, from the following four (4) plan variants:
Silver - with sum assured equal to the base sum assured
Gold - with sum assured equal to twice the base sum assured
Diamond - with sum assured equal to thrice the base sum assured
Platinum - with sum assured equal to quadruple the base sum assured
The surrender value, survival benefit and the maturity benefit will be determined
on the basis of only the base sum assured under your policy.
Benefits:
Option to select upto four times your base sum assured as life cover.
Option to select policy term of 12, 16, 20 or 24 years.
Benefit from shorter premium payment term as no premiums are payable for
the last five policy years.
Get 20% of the base sum assured as cash-back at regular intervals, which
you may take as cash or ask us to adjust against your due or future premium.
Flexibility to pay your future premiums in advance and avail discounts.
Option to
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SMIBS Bangalore Bajaj Allianz
o Keep your policy in force for full sum assured in case you miss
paying your premiums on due dates, provided you have paid at least 3
years' premiums in full.
o Convert your policy to a "single premium term cover with return of
premium (ROP)" policy, if you miss paying your premiums on due
dates provided you have paid at least 5 years' premiums in full.
Get more value for your money with high sum assured rebate on premium.
Optional riders to enhance your protection.
Survival Benefit
If you have paid all due premiums till the due date of the cash-back payment, you
will receive 20% of the base sum assured as cash-back at the end of each of the
following policy years.
Policy Term Policy Year end for
1st Cash-Back 2nd Cash-Back 3rd Cash-Back
12 3 6 9
16 4 8 12
20 5 10 15
24 6 12 18
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SMIBS Bangalore Bajaj Allianz
If the policy is paid-up or lapsed, the cash-backs shall not be payable. If policy is
in auto-cover, the cash-back will be 20% of the base sum assured less all the
premiums due-but-unpaid (to the extent the survival benefit amount can support
the premiums due in full) along with applicable interest.
Maturity Benefit
You will receive 40% of your base sum assured plus applicable bonus as
maturity benefit on maturity date, provided all due premiums have been
paid.
However, if your policy is paid up, then the maturity benefit shall be the
reduced base sum assured plus the vested bonus.
In case your policy is converted to a single premium term cover with
return of premium (ROP), the maturity benefit shall be the single
premium, as determined as on the date of such conversion.
Death Benefit
In case of unfortunate demise of the life assured during the policy term,
the Company shall pay the sum assured plus applicable bonus to the
nominee, provided all due premiums have been paid.
The sum assured shall depend upon the plan variant chosen by you, which
will be multiple of the base sum assured.
If the policy is in auto cover, the above death benefit shall be reduced by all
the due-but-unpaid premiums along with applicable interest.
In case of unfortunate demise of the life assured while the policy is paid
up, the Company will pay the reduced sum assured plus the vested bonus to
the nominee.
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SMIBS Bangalore Bajaj Allianz
In case of unfortunate demise of the life assured after the policy has
been converted to a single premium term cover with return of premium
(ROP), the Company will pay the revised sum assured. No death benefit
shall be payable in case your policy is lapsed.
Additional Rider Benefits
You can enjoy extra coverage by choosing the optional additional rider benefits at
a nominal extra cost. The riders available with Bajaj Allianz Super CashGain
Insurance Plan are:
Bajaj Allianz Supplementary Death Benefit
Bajaj Allianz Comprehensive Accidental Protection Benefit
Bajaj Allianz Family Income Benefit
Bajaj Allianz Critical Illness Benefit
Bajaj Allianz Hospital Cash Benefit
3. Cash Gain - Money Back Plan
Money back plan which guarantees 125% payout + bonuses. Quadruple life cover.
5 easy payouts which give upto 125% + bonuses.
Additional Benefits:
Accidental Death Benefit and Disability Benefit.
Critical Illness Benefit and Hospital Cash Benefit.
Family Income Benefit: In case of death or accidental total permanent
disability of insured, all future premiums are waived and 1% of the sum
assured is paid monthly.
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SMIBS Bangalore Bajaj Allianz
4. Child Gain - Life Insurance Plans for Children
"Because your child has miles to go and you have promises to keep!"
Taking care of a child is perhaps the most important job a parent can have. It is but
natural that you would like to give your child your best, and therefore, this is the
time when careful financial planning can help you fulfill the aspirations that you
have for your children.
The Bajaj Allianz Child Gain Solutions help you to enjoy the joys of parenthood
responsibly, with the reassurance of a secure future for your child.
Pension Plans
We at Bajaj Allianz Life Insurance offer Pension Plans which will make sure that
we are there to support you in every stage of your life and your savings in pension
plan insurance today become your wealth and support for your future years to
come.
Pension Guarantee Plan
Pension Guarantee Plan ensures regular Income after Retirement. for Life. With
Bajaj Allianz Pension Guarantee Plan, you can ensure a regular income after
retirement. The plan offers you a range of immediate annuities to choose from. All
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SMIBS Bangalore Bajaj Allianz
you have to do is pay a lump sum amount to Bajaj Allianz Life Insurance
Company, and the annuity payments will start after expiry of
monthly/quarterly/half-yearly/yearly interval corresponding to the payment mode
selected by you. Under all options, annuity is payable for life, so you don't have to
worry about your income stopping at any age.
Important details of the "Bajaj Allianz Pension Guarantee"
Plan
Minimum Age at Entry 40
Maximum Age at Entry 80
Minimum Purchase Price Rs.25,000
Minimum Annuity Instalment Rs.1,000
The Pension Guarantee plan offers a 15 day free look period and tax benefits under
section 80C.
Life Health Insurance for Hospitalization
At Bajaj Allianz Life Insurance we offer unique hospitalization-cum-insurance
plan that takes care of your hospitalization bills and also provides crucial financial
support to your dependents in case of your unfortunate death.
Our health insurance plans offer a sound protection to safe guard your family from
any medical emergencies and will make sure that financial problems are least of
your worries in trying to get yourself treated.
We offer cash less Mediclaim facility across 2000 hospitals in over 300 towns and
provide best treatment in the finest hospitals with our health insurance products.
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SMIBS Bangalore Bajaj Allianz
1. Health Care
2. Family CareFirst
1. Health Care - A health insurance plan to help you fight medical costs
Health is Wealth... particularly when health care costs are getting higher every
year. The emotional and financial burden of a serious accident, major illness or
surgery often lasts beyond the immediate period of the trauma. Bajaj Allianz
HealthCare protects you and your family from the high expenses associated with
medical care and provides you with a comprehensive financial cushion against
various health hazards. The benefits under this plan are payable in addition to the
benefits under all other plans that you may have, including a Medi-claim policy.
Benefits in the Health Care Plan:-
Life Cover is payable on death of the life assured.
Hospital Cash Benefit
Post Hospitalization Benefit
Surgical Benefit
Critical Illness Benefit
Accident Permanent Total/Partial Disability (APT/PD)
Multiple Claims:- Hospital Cash, Post Hospitalization Benefit & Surgical
Benefit can be claimed on multiple occasions as per the coverage selected
(subject to the overall limits) provided the policy is in force at the time of
claim.
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SMIBS Bangalore Bajaj Allianz
2. Family CareFirst - A health insurance plan for the entire family
The health of your family is very important to you. When faced with
hospitalization or one or more family members, the medical bills can severely dent
your savings. The cost associated with hospitalization might be very high and you
need to be better prepared for such an emergency.
This unique hospitalization plan gives you a 3-year health cover for your entire
family and allows you to renew the policy after every 3 years to keep your family
covered till the age of 74 years. So no separate accounts, repetitive paperwork or
payment adjustments for each member. Secure your entire family in one shot.
Key Benefits
Coverage from 3 months to age 74 with guaranteed renewals
3 year premium guarantee for each policy term
Hospitalization Cover in leading hospitals across the country
15% discount on prevailing premium on every renewal
No claim bonus in the form of increase in sum assured @5% every year
Day Care Treatment for 140 day care procedures
Pre-Hospitalization and Post-Hospitalization Benefit
Reimbursement of Ambulance expenses
Choice to select Health Critical Illness rider
Choice to include Your spouse, children and parents
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SMIBS Bangalore Bajaj Allianz
Cash Less Service Facility in leading hospitals across the country
Term Insurance Plans
The sole objective of Term insurance policy is to serve the protection needs of the
customers and by doing so, safeguard one's family from the financial implications
of unfortunate circumstances that one cannot foresee.
These term insurance plans are pure risk cover plans with or without maturity
benefit. These pure risk plans cover your life at a nominal cost and you may want
to take this term insurance plan to cover your outstanding debts like a mortgage, a
home loan etc.
Term Plans are
1. Protector
2. Term Care
3. New Risk Care II
4. iSecure Insurance Plan
5. iSecure Loan Insurance Plan
6. iSecure More Insurance Plan
1. Term Insurance Protection Plan
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SMIBS Bangalore Bajaj Allianz
Protector Plan by Bajaj Allianz is a mortgage term insurance plan that covers the
outstanding principal amount of a loan. It is an economical way to protect the
family from the burden of repayment of the loan in case of death of the loanee.
The term insurance protector plan is designed to pay a sum insured that will be
equal to the outstanding principal amount of the loan due. The Bajaj Allianz
mortgage term insurance protector plan offers you the convenience of choosing
between two premium payment options Regular Premium Payment and Single
Premium Payment.
It is an economical way to protect the family from the burden of repayment
of the loan in case of death of the loanee.
The term insurance plan offers you the convenience of choosing between
two premium payment options - Regular Premium Payment & Single
Premium Payment.
Joint Life availability - the option to cover the co-applicant of the loan under
this plan.
2. Term Insurance - Term Care
Benefits:
Regular and Single Premium payment options.
The only pure term insurance plan in the market to provide Hospital Cash
Benefit.
Enhanced Protection options available through Additional Rider Benefits.
Tax benefits on premiums paid and benefits received under this Policy as
per the existing Income Tax Laws.
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SMIBS Bangalore Bajaj Allianz
The 'Bajaj Allianz Term Care' Plan is a term insurance plan. It is an
economical way of providing for one's life cover and at the same time
ensuring that the premiums paid are returned at maturity.
The 'Bajaj Allianz Term Care' Plan offers you the convenience of choosing
between two premium payment options.
Regular Premium Payment - Premium payment throughout the selected
term.
Single Premium Payment - One time premium payment for the selected
term at commencement.
Parameter Details
Minimum Entry Age 18 years
Maximum Entry Age 50 years
Maximum Age at Maturity 65 years
Minimum Policy Term 5 years
Maximum Policy Term 40 years
Minimum Sum Assured Rs. 1,00,000
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SMIBS Bangalore Bajaj Allianz
Maximum Sum Assured Rs. 10,00,000
Minimum Premium (Rs.) Rs. 1500/- for Yearly, Rs. 1500/- for Half Yearly
The minimum premium for Single Premium option shall be Rs. 6,000.
Premium Payment Mode Premium can be paid in Half Yearly, Yearly or
Single Premium.
Benefits:
Death Benefits
Accidents are always sudden and sometimes fatal. You can't lessen the emotional
shock, but you can certainly soften the financial one. Bajaj Allianz Accidental
Death Benefit gives your loved ones something to start with after the permanent
loss of your income by paying double the basic Sum Assured. The total Accidental
Death Benefit shall however be subject to a maximum of Rs. 10,00,000/- under all
policies taken with Bajaj Allianz together.
Accidental Permanent Total/Partial Disability Benefit
Accidents are unpredictable and so are the consequences. This may lead to a
disability - partial or total. The Bajaj Allianz Accidental Permanent Total/Partial
Disability Benefit provides a financial cushion against such misfortunes.
Type of Disability Benefits
Accidental Permanent Partial Disability 50% of Sum Assured *
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SMIBS Bangalore Bajaj Allianz
Accidental Permanent Total Disability 100% of Sum Assured **
* Subject to a maximum of Rs. 5,00,000/- under all policies with Bajaj Allianz
taken together.
** Subject to a maximum of Rs. 10,00,000/- under all policies with Bajaj Allianz
taken together.
Critical Illness Benefit (CI):
Some illnesses are critical. They not only alter your life's pattern but also result in a
financial drain. Bajaj Allianz Critical Illness Benefit softens the impact on your
family by paying out the Critical Illness Benefit under the plan immediately, while
other policy benefits continue. We cover 11 Critical Illnesses.
Waiver of Premium Benefit:
An accident may lead to permanent total disability limiting your ability to earn.
The Bajaj Allianz Waiver of Premium Benefit is a helping hand when you need it
most. It keeps your insurance cover alive by waiving off future premiums and
enables you to live up to your commitments.
Hospital Cash Benefit (HCB):
The worry of settling hospital bills (room charges) adds to the trauma of
hospitalization. Bajaj Allianz Hospital Cash Benefit reduces this financial burden
and helps you to recover with peace of mind.
Tax Benefits
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SMIBS Bangalore Bajaj Allianz
Premiums paid are eligible for Tax Exemption under Section 80(C) of the Income
Tax Act and maturity and death proceeds are Tax Free under Section 10(10D) of
the Income Tax Act. The premiums for the Critical Illness benefit and the Hospital
Cash benefit will be eligible to Tax Exemption under section 80(D) of the Income
Tax Act.
Maturity Benefits: Since this plan is a pure term plan, there are no maturity
benefits
3. Term Insurance - New Risk Care II
Benefits:
Single Premium payment
Enhanced Protection options available through Additional Rider Benefits.
Rebates on premium in case of high sum assured.
In case of financial emergency, you have the option to surrender the Policy,
provided you have opted for single premium payment option.
Tax benefits on premiums paid and benefits received under this Policy as
per the existing Income Tax Laws.
Accidental Riders Benefits
We offer you an option to choose from 3 riders to customize your plan and
enhance your protection to suit your changing needs.
Comprehensive Accident Protection(CAP): Covers against Accident and
Disability
Critical Illness Benefit (CI): Covers you against 11 defined critical
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SMIBS Bangalore Bajaj Allianz
diseases
Hospital Cash Benefit (HCB): Reduces your burden against
hospitalization expenses
Death Benefits
In case of unfortunate death during the term of the Policy the nominee will
receive the full Sum Assured.
Tax Benefits
Premium paid will be eligible for tax benefit under Section 80C. The death
benefit will be eligible for tax benefit under Section 10(10) D as per the
prevailing tax laws.
Maturity Benefits
Since this plan is a pure term plan, there are no maturity benefits
4. ISecure plan:
You have always tried your best to fulfill all your responsibilities and take care of
your family. However, life comes with risks and unforeseen incidents can put your
family's financial security in jeopardy. Presenting the Bajaj Allianz iSecure
Insurance Plan; a level cover term assurance plan that secures your family's
59
SMIBS Bangalore Bajaj Allianz
financial needs by giving you a level term cover for high sum assured, but at a low
cost.
Features:
Get the advantage of a level term cover at low cost, especially for larger sum
assured.
Get rewarded for maintaining a healthy life-style, if applicable, with special
premium rates for non-smokers and medically fit non-smokers.
Benefit of attractive high sum assured rebate.
Flexibility to select your policy term of 10, 15, 20, 25 or 30 years depending
on your requirement.
Alter your premium payment frequency.
Include your spouse at a later date in your existing policy, if you are single
at present.
Choose additional rider benefit(s) for enhanced protection.
Plan to meet recurring expenses of your loved ones by opting for payment of
benefit in annual installments.
5. ISecure Loan Insurance Plan
ISecure loan insurance plan protects you from any loan liabilities This term
insurance plan is the best way to secure your family from any kind of loan
liabilities such as:
Home Loan
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SMIBS Bangalore Bajaj Allianz
Personal Loan
Motor Loan
Credit card dues
Other Loans
6. ISecure More Insurance Plan
Bajaj Allianz iSecure More Insurance Plan; an increasing cover term assurance
plan that enhances your protection to meet your family's increasing financial
requirements; a term insurance plan that helps secure your family more & more as
the years go by.
5% increase in sum assured at each policy anniversary, upto a maximum of
twice the sum assured at policy inception
Higher Life Insurance cover at exceptionally affordable premium
Attractive high Sum Assured rebate
Self and Joint Life availability
Women insurance plan:
Women Insurance Today's lady is an inspiration to her family. She takes important
decisions in every household and at work. To cater to women's special needs we
offer innovative women specific plans which provide investment benefits, savings,
retirement solutions and medical insurance. Our special plans help mothers plan
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SMIBS Bangalore Bajaj Allianz
for their children’s education saves for the future and take care of all medical
emergencies in the family.
Our Regular investment and savings plan, offer:
Investments along with critical illness benefits which provide good returns,
long term saving and protection in case of a medical emergency
Investment plans with accidental coverage
Children's education planning
Specialized retirement income plans for homemakers to provide a secure and
financial future.
Group Life Insurance
"One of the best ways for to increase group cohesiveness is to make your group
members feel cared for. Our group insurance scheme for your group members,
employees and their families show them that their organization cares not only for
them but also their families. At Bajaj Allianz Life Insurance we offer customised
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SMIBS Bangalore Bajaj Allianz
group insurance policy, which safeguard your employees' interests and show your
commitment towards them.
Bajaj Allianz Life Insurance Group Plans offer:-
1. Financial stability to employees or group members
2. Ease of operations and fund management.
Group Credit Protection Plus Group Credit Protection Plus gives your
members and their families the heartening reassurance of your care; and peace of
mind at a very low cost in the event of premature demise of your member. Also it
is an economical way to protect the members' family from the burden of repayment
of any loan in case of death or accidental permanent total disability or critical
illness of the member. We bring you the Bajaj Allianz Group Credit Protection
Plus, a non-participating Group Insurance Plan.
Credit Shield Credit Shield is a Group Term Insurance Scheme that provides
basic insurance protection to people who have availed of a credit card from an
Institution/Bank
Group Suraksha Giving your members and their families the heartening
reassurance of your care. Give your members' family the complete reassurance of a
lasting financial security and peace of mind at a very low cost in the event of
his/her premature demise.
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SMIBS Bangalore Bajaj Allianz
Sarve Shakti Suraksha Bajaj Allianz Sarve Shakti Suraksha Plan comes with a
host of features that allow your members to have the best of all worlds - Protection
and Investment with flexibility like never before.
Group Loan Protector Bajaj Allianz Group Loan Protector Plan is a single
premium group term insurance plan covering the outstanding amount of loan as per
the pre-fixed loan schedule. It is an economical way to protect the family from the
burden of repayment of the loan in case of death of the loanee.
Group Income Protection Group Income Protection is a combination of
temporary life annuity payable to the member as long as he is alive and lumpsum
death benefit payable to the nominee in case of the member's death.
Group Wealth Insurance Bajaj Allianz Group Wealth Insurance Plan is a unit
linked single premium non-participating group insurance plan suitable for
systematic savings for both the Employer-Employee and Non- Employer-
Employee groups such as Associations/Co-operatives, Affinity groups etc.
Group Term Life Giving your members and their families the heartening
reassurance of your care. Giving your members the complete reassurance of a
lasting financial security and peace of mind.
Group Save Plus This plan offers the unique opportunity for providing
adequate relief at a very low cost to the family of a member in the event of his/her
premature demise together with systematic savings to earn a market rate of
investment return from the well managed fund of the company.
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SMIBS Bangalore Bajaj Allianz
Group Term Life in lieu of EDLI Group Term Insurance with added benefits
in lieu of EDLI
Group Leave Encashment Scheme Bajaj Allianz Group Leave Encashment
Scheme provides you with a host of features such as:-
1. Life Insurance Cover for your employees, with an option to include additional
rider benefit cover, at nominal cost.
2. Opportunity to invest in a fund having most appropriate balance of equity and
fixed interest securities at the judgement of our expert fund managers.
Group Annuity Bajaj Allianz Group Annuity plan provides assured regular
income to your member after his/her retirement. It does not stop here rather
provides option to the members to secure income for their spouse and/or receive
the purchase price back after his/her death.
Group Superannuation Gold A group superannuation scheme which can be
offered by an employer to their employees. The scheme helps in building a
substantial retirement fund thus offering a secured regular income flow after
retirement. Two options are available under this scheme, Defined Benefit and
Defined Contribution. The scheme provides for the contribution either from
Employer (non Contributory) or from both the Employer and Employees
(Contributory).
Group Gratuity Gold Bajaj Allianz Group Gratuity Gold provides you with life
Insurance cover for your employees, with an option to include additional rider
benefit cover, at nominal cost and an opportunity to invest in a fund having the
most appropriate balance of equity and fixed interest securities at the judgment of
our expert fund managers.
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SMIBS Bangalore Bajaj Allianz
Group Employee Benefit
Our Group Employee Benefit Plan allows you to offer benefits to your employees
as part of your statutory or employee welfare requirements. Your financial
obligations towards such requirements increase with increase in number of
employees, their pay scales and tenure of employment. Our Plan helps you to make
provisions to meet your obligations by helping you to set and manage your funds.
Bajaj Allianz Group Employee Benefit Plan, a nonparticipating, unit linked, multi
featured plan which gives you "A Complete Employee Benefit Solution".
Micro Insurance
Micro insurance from Bajaj Allianz provide life cover, as well as additional
features like accident insurance, partial disability benefit and death benefit
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SMIBS Bangalore Bajaj Allianz
Alp Nivesh Yojana An endowment plan with Life cover and Maturity benefit
equal to sum assured + vested bonus.
Life cover and Maturity benefit equal to sum assured + vested bonus
Guaranteed Surrender Value.
Avail additional benefits including Accidental Death Benefit & Accidental
Permanent Total / Partial Disability Benefit.
Jana Vikas Yojana A single premium plan with maturity benefit of 125% of the
single premium payable on survival till the end of the policy term.
Life Cover.
Maturity Benefit of 125%of the single premium payable on survival till the
end of the policy term.
Guaranteed Surrender Value.
Saral Suraksha Yojana The most economical term insurance policy with return
of premium on maturity.
Return of premium on maturity
Guaranteed Surrender Value
Avail additional benefits including Accidental Death Benefit & Accidental
Permanent Total / Partial Disability Benefit
Highlights of the Company:
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SMIBS Bangalore Bajaj Allianz
Bajaj Allianz is second largest insurance company with market share of
20.1%. The company has managed to maintain its position on the back of
multi-channel distribution
Innovative product range which fulfill need of different age group & different
income class.
Highest no. of offices in private sector, at present company has opened 876
offices.
Huge agent network, Personal relationship with client is the key thing in the
insurance which is being well handled by the company on the back of huge
agent network of 2, 13,000 no of agent.
Popularity of ULIP as a potent combination protection with return has been
a major driver.
Bajaj Allianz has issued over 45 lakh individual policies since its inception
in Oct, 2001 & received a premium income of over Rs.10, 000 cr in total.
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SMIBS Bangalore Bajaj Allianz
Company Achievements:
Bajaj Allianz has received “iAAA rating, from ICRA limited, an associate of Moody’s Investors Service, for Claims Paying ability. This rating indicates highest claims paying ability and a fundamentally strong position.
Bajaj Allianz General Insurance has received the prestigious a Business leader in general Insurance awarded by NDTV profit Business Leadership Awards 2008.
The company was one of the top three finalists for the year 2007 and 2008 in the General Insurance Company of the year award by Asia Insurance Review.
Distribution Channel:
Alternate channel:
Alternate channel refers to Business to Business (B to B) model. As I was duputed at KM Dastur Insurance Brokers
KMD (Company Profile)
69
Distribution channel
AgencyAlternatechannel
BankAssurance
CorporateDivision
Direct Marketing
BusinessProcureme
nts
SMIBS Bangalore Bajaj Allianz
K. M. Dastur & Company was founded in 1973 by the late Mr K.M. Dastur,
erstwhile Country Head of Norwich Union Insurance Company.
Headquartered in Mumbai with local branches in 12 other Indian cities, it is a
leading independent direct and reinsurance broker in Asian, African & Middle
Eastern markets. Represented overseas through offices in London, Dubai,
Casablanca, Kuala Lumpur, Moscow and Johannesburg.
K M Dastur is a private independent Company with a carefully selected
network of offices established to service our Clients. We value our
independence very highly as this ensures that our people have the liberty to
make the right decisions for our each of our Clients.
Vision of the company: KMD will be recognized as the best professional services
firm in the insurance industry worldwide.
Mission of the company: To render professional services of the highest order and
be recognized as a professional firm that consistently exceeds the expectations of
our clients and our people through commitment to learning, integrity and hard
work.
Quality Policy of the company: K.M. Dastur Reinsurance Brokers Pvt.Ltd. is
committed to satisfy & delight customers by meeting requirements though timely
error free and courteous service and to continually improve the effectiveness of its
services.
ABOUT THE TOPIC SPECIFY
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SMIBS Bangalore Bajaj Allianz
I have done my project on the title of “Study about Bajaj Allianz and Consumer
Behavior towards Insurance Industry” in Bajaj Allianz. Baja Allianz is one of the
leading insurance companies in India and it plays the 2nd rank in holding the market
share among the private players in insurance sector. Company has won the Skoch
Financial Award for contribution towards financial inclusion through Life
Insurance. Company’s USP is speedy claim settlement and its process. In this
company I learned about the insurance industry, full details about the Bajaj Allianz
and its products. We come to know the products of Bajaj Allianz and we select a
particular product called Invest Gain Plan to pitch the customer. So that I learned
how to pitch the insurance product to the customer, how to handle the customer
queries. It is one of the best company where we can learn a lot.
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SMIBS Bangalore Bajaj Allianz
RESEARCH DESIGN:
A research design provides the framework to be used as a guide in Collecting and
analyzing data. Market survey is one of the best examples of descriptive research.
This is a one shot research study at a given point of time, and consists of a sample
of the population of interest. Its advantages are that it gives a good overall picture
of the position at a given time. It can cover many variables of interest, and is not
affected by the movements of elements in the sample, because other elements can
be substituted for them. Our research is to discover the possible measures, by
detailed analysis, for the company which would be helpful upto to some extent to
retain a good position in the competitive market.
OBJECTIVES OF THE STUDY
To know about the insurance and its needs
Proper understanding and analysis of life insurance industry
To know the brand awareness of Bajaj Allianz Life
To know the operational plan of Bajaj Allianz
To know about the products of Bajaj Allianz Life Insurance
To know how to pitch the insurance products to the customers
To know the customer response about Bajaj Allianz Life Insurance policy
To know the market share of Bajaj Allianz Life Insurance in the Market
Conduct the market survey about the Bajaj Allianz
To provide suggestions to the company based on the findings of the study
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SMIBS Bangalore Bajaj Allianz
TOOLS USED FOR DATA COLLECTION
To know the response, I have used the questionnaire method. If one wishes to find
what prospects think or know, the logical procedure is to ask them. This has led
marketing researchers to use the questionnaire technique for collecting data more
than any other method.
In this method questionnaire were distributed to the respondents and they were
asked to answer the questions in the questionnaire. The respondents were aware of
the objective. They knew why they were asked to fill the questionnaire.
Data’s are collected in two ways
Primary data
Secondary data
Primary Data:
Primary data is a data which is collected by me on field by using tools of
1. Questionnaire
2. Observations
3. Cold callings and
4. Through customer direct interaction
Secondary Data:
Secondary is collected by using
1. Various official websites
2. Through Pamphlets and Broucher of the company
3. Newspapers and Magazines
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SMIBS Bangalore Bajaj Allianz
RESEARCH METHODOLOGY
Research refers to answering to a question or a solution to a problem in a
systematic and scientific manner. Research always starts with a question or a
problem. Its purpose is to question through the application of the scientific method.
It is a systematic and intensive study directed towards a more complete knowledge
of the subject studied.
Marketing research specifies the information required to address these issues,
designs, and the method for collecting information, manage and implemented the
data collection process, analyses the results and communicate the findings and
their implication.
I have prepared my project as descriptive type, as the objective of the study
demands the answers of the question related to find the opinion of people about
Bajaj Allianz
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SMIBS Bangalore Bajaj Allianz
SAMPLING:
Sampling is concerned with the selection of a subset of individuals from within a
population to estimate characteristics of the whole population. Researchers rarely
survey the entire population because the cost of a census is too high. The three
main advantages of sampling are that the cost is lower, data collection is faster, and
since the data set is smaller it is possible to ensure homogeneity and to improve the
accuracy and quality of the data.
The methodology used to sample from a larger population will depend on the type
of analysis being performed, but will include simple random sampling, systematic
sampling and observational sampling. The sample should be a representation of the
general population.
Sample size refers to the number of items to be selected from the universe to
constitute a sample. The size of sample should neither be excessively large,
nor too small, it should be optimum. We have selected the sample size as 60.
Sampling unit refers to who are the people we are target to collect the
primary data. Our sampling unit is Middle class people, Service persons,
Shop peoples, etc,
Area covered are Chitpet, Majestic, MG road, Brigade Road, HSR Layout,
Bommanahalli, Avenue Road, SP Road, IT companies in ITPL, etc,…
I undergone the Random sampling technique to collect the data.
Questionnaire, Observation, Interview, Cold callings are the techniques
which we used in this Research.
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SMIBS Bangalore Bajaj Allianz
LIMITATION OF THE STUDY
While designing the questionnaire it was kept in mind to gather more and
more information from each target person. For the neither present nor
descriptive questions could have served the purpose. Therefore the
questionnaire contained both open ended and closed ended questions.
The accuracy of indications given by the respondents may not be consider
adequate as whether the language used in the questionnaire is understood by
the respondent cannot be taken for granted.
Language barrier, language barrier is the basic thing which we find difficult
to overcome it while we going for study
New to the Insurance field, being new to insurance field we don’t know how
to pitch the insurance product to the customer it also be a limitations of the
study
There is the Possibility of Error in data collection.
Possibility of Error in analysis of data due to small sample size.
Time is also one of the major limitation of this research
Some of the peoples were not ready to co-operate and were not ready to
share any information with us.
The views of respondents are likely to change as human nature is very
dynamic.
The result figure may be biased since the Respondents/investors may
provide wrong information.
The survey may not give the whole scenario of Indian marke
ANALYSIS AND INTERPRETATIONS
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SMIBS Bangalore Bajaj Allianz
Age Profile:
Table 1
Below 20 20-30 30-40 40-50 50-60 Above 600
10
20
30
40
50
60
70
Age Profile
Respondents Age
Per
cen
tage
of
Res
pon
den
ts
Interpretation:
In this survey Table 1 shows that maximum numbers of respondents are in the age of 20-30 and followed by 30-40
77
Age Profile
S.No. Age Respondents Percentage
1 Below 20 4 6.666666667
2 20-30 37 61.66666667
3 30-40 12 20
4 40-50 4 6.666666667
5 50-60 2 3.333333333
6 Above 60 1 1.666666667
Total 60 100
SMIBS Bangalore Bajaj Allianz
Gender wise:
Gender wise
S. No. Gender Respondents Percentage
1 Male 54 90
2 Female 6 10
Total 60 100Table 2
90%
10%
Gender wise
MaleFemale
Interpretation:
In this survey Table 2 shows that 90% of respondents are Male and balance 10% of respondents are Female.
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SMIBS Bangalore Bajaj Allianz
Monthly Income:
Monthly Income
S. No. Income Respondents Percentage
1 Below 20 36 60
2 20-30 10 16.66666667
3 30-40 4 6.666666667
4 40-50 0 0
5 50 & Above 2 3.333333333
6 Not Willing 8 13.33333333
Total 60 100Table 3
Below 20
20-3
030
-40
40-5
0
50 &
Bbo
ve
Not W
illing
60
16.6666666666667 6.666666666
666670
3.33333333333333
13.3333333333333
Monthly Income Wise
Interpretation:
In this survey Table 3 shows that 60% of respondents are earning below 20,000 as monthly income and 16% of respondents are earning 20,000 to 30,000. 13% of respondents are not willing to reveal their income details.
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SMIBS Bangalore Bajaj Allianz
Awareness of Bajaj Allianz:
Awareness of Bajaj Allianz
S. No. Response Respondents Percentage
1 Yes 35 58.33333333
2 No 25 41.66666667
Total 60 100Table 4
58%
42%
Awareness of Bajaj Allianz
YesNo
Interpretation:
In this survey Table 4 shows that 58% of respondents are aware of the Bajaj Allianz Life Insurance. Balance 42% of respondents is not aware of the Bajaj
Allianz Life Insurance.
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SMIBS Bangalore Bajaj Allianz
Existing policy holders:
Existing Policies Holders
S. No. Response Respondents Percentage
1 Yes 26 43.33333333
2 No 34 56.66666667
Total 60 100Table 5
43%
57%
Existing Policy Holders
YesNo
Interpretation:
In this survey Table 5 shows that only 43% of respondents are insures their life in LIC, ICICI, TATA AIG, BAJAJ, etc. 57% of respondents are not even insured their life.
OBSERVATIONS AND INFERENCES
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SMIBS Bangalore Bajaj Allianz
In this era of changing world quick changes are occurring in insurance sector new
companies are entering in this field every day which causes the tough competition
in market. Bajaj Allianz Life Insurance Company is the second largest insurance
company in India. It has to increase customer care service to stay ahead from its
competitors.
With the help of the analytical figures we derived from the questionnaire following
can be found:
It can be analyzed that 57% of respondents still don’t have life insurance
which shows the untapped market.
After completing this survey it shown that still 42% of people don’t aware of
Bajaj Allianz Life Insurance.
Many people are come to know about the Baja Allianz through friends and
relatives when compare through news papers.
In order to improve its growth and expansion in market share company
should concentrate in the area of effective advertisement, promotional
activities, technology up gradation, efficiency in workforce etc,
Due to good brand image of LIC in market, it is very difficult to find place
in the market.
Most of the people came to know about the company through friends or
relatives, so the company has to work on making its advertisement channel
very strong.
Today there are many other avenues opened for people to invest their money
in, like mutual funds, fixed deposits, shares etc. so the company faces a
tough competition in financial sector.
FINDINGS OF THE STUDY
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SMIBS Bangalore Bajaj Allianz
After conducting the research I had learned about the market and market
conditions. Life Insurance sector is a booming sector in India and Rs 2 billion has
been spent on advertising and is growing at steadily rate. If we see life insurance
sector ten years back it was a very slow growing sector as there was no private
companies in this sector. But after the liberalization when private companies were
also allowed in this sector, it started growing at very fast pace. With the entry of
the private players, the size of the industry has actually expanded. LIC has been
here for years now and private companies will continue to learn lessons from LIC.
People relate to LIC, which is good. However, with private players coming in,
people have more options in terms of product features. As people faith is growing
in private life insurance companies they are investing more in the policies.
The overall scenario is that still people trust LIC more than any other
insurance company
Many private players are giving their advertisement on various media to
increase the awareness among people about their company and policies so
that competitions is very high in the insurance market
Re-Insurance and Broking companies are earning more in the Insurance
market.
Insurance companies are gaining more due to the alternate channel
Advertisements on television and newspaper have more impact on people
and it plays the major role in creating the brand image of the company.
Still there are few peoples who don’t have any idea about Bajaj Allianz
Majority of the respondents are insured their life in LIC
Few respondents are thinking that Bajaj Allianz insurance is only for Non-
Life Insurance
Ethics and transparency is very important in the business of insurance
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SMIBS Bangalore Bajaj Allianz
Respondents hesitate to give their personal details to any insurance
company.
Majority of Private Employees, Government Employees, Business Man are
already engaged in LIC when compare to any private players.
Still certain percent of people are there who don’t insure their life in any
insurance companies. It is really a matter of consideration.
SUGGESTIONS
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SMIBS Bangalore Bajaj Allianz
Throughout the project work I have tried to my extent to learn more and more so
that I enable myself to deliver the best services from my part. I always focused my
services to full satisfaction whether it would for employer or for customer.
So during this practical learning process whatever I have realized to improve the
division of the company is as follows:
The company should always have proper planning for gifts/incentives for
employees on various occasions or on competitions.
Premium and economical class of services should be launched by the
company to serve the varied nature of customers.
Service cum awareness camps should be run by the company in remote
areas.
Distribution channel needs more strength.
Improvement in services through feedbacks from customers is
recommended.
Continous follow up is very necessary to get customers
Need more advertisements and promotional activities for Life Insurance and
company can use Brand Ambassador to increase the brand image of the
company.
Company should monitor all the agents and brokers to avoid any misleading
of customers.
Be genuine and open to customers in explaining the products
Introduce new plan which can give income to the customers on yearly basis
BIBLIOGRAPHY
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SMIBS Bangalore Bajaj Allianz
www.google.com
www.wikipedia.org
www.bajajallianz.com
www.irda.gov.in
www.indianmba.com
www.investopedia.com
www.freepress.com
These are the website where we collected the information to our project work
QUESTIONNAIRE
1) Age :
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SMIBS Bangalore Bajaj Allianz
a) Below 20 b) 20-30 c) 30-40 d) 40-50 e) 50-60 f) Above 60
2) Gender :
a) Male b) Female
3) Marital status :
a) Single b) Married c) Divorced d) Widower e) Widow
4) Spouse Age :
a) Below 20 b) 20-30 c) 30-40 d) 40-50 e) 50-60 f) Above 60
5) No. of Children :
6) Children’s Age :
a) Below 5 b) 5-15 c) 15-25 d) Above 25
7) Qualification :
8) Profession :
a) Students b) Business c) Service d) Retired person
e) Others (specify)
9) Designation :
10) Monthly Income (in Thousands) :
a) Below 20 b) 20-30 c) 30-40 d) 40-50
e) 50 & Above
11) Monthly Savings :
a) Below 20 b) 20-30 c) 30-40 d) 40-50
e) 50 & Above
12) Lending money to others :
a) Yes b) No
13) House :
a) Owned b) Rent
14) Two – wheeler :
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SMIBS Bangalore Bajaj Allianz
a) Yes b) No
15) Four – Wheeler :
a) Yes b) No
16) Looking for Financial planning :
a) Yes b) No
17) Aware of Insurance product :
a) Yes b) No
18) Have you invested in any Insurance :
a) Yes b) No
If Yes where:
19) Do u have idea about Bajaj Allianz :
a) Yes b) No
20) How you know about Bajaj Allianz :
a) News papers/Articles b) Magazine c) Friends d) Relatives
e) Others (please specify)
21) Idea to invest in Bajaj Allianz
a) Yes b) No
22) How much money you will invest :
23) Willing to know about Bajaj Allianz :
a) Yes b) No
24) Do you know ay Bajaj Allianz Customer :
a) Yes b) No
25) Any of your Friends/ Relatives looking for Insurance policy :
a) Yes b) No
If Yes Contact Name:
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SMIBS Bangalore Bajaj Allianz
Contact No. :
26) Name of the Person :
27) Address :
28) Contact No. :
29) Mail id :
30) Feedback / Suggestion for Bajaj Allianz :
89