introduction of insuracne in india
TRANSCRIPT
-
7/24/2019 Introduction of Insuracne in India
1/34
INTRODUCTION OF INSURACNE IN INDIA
The insurance industry of India consists of 53 insurance companies of which 24 are in life
insurance business and 29 are non-life insurers. Among the life insurers !ife Insurance
"orporation #!I"$ is the sole public sector company. Apart from that among the non-life
insurers there are si% public sector insurers. In addition to these there is sole national re-insurer
namely &eneral Insurance "orporation of India #&I" 'e$. (ther sta)eholders in Indian
Insurance mar)et include agents #indi*idual and corporate$ bro)ers sur*eyors and third party
administrators ser*icing health insurance claims.
(ut of 29 non-life insurance companies fi*e pri*ate sector insurers are registered to underwrite
policies e%clusi*ely in health personal accident and tra*el insurance segments. They are +tar
,ealth and Allied Insurance "ompany !td Apollo unich ,ealth Insurance "ompany !td a%
upa ,ealth Insurance "ompany !td 'eligare ,ealth Insurance "ompany !td and "igna TT/
,ealth Insurance "ompany !td. There are two more specialised insurers belonging to public
sector namely 0%port "redit &uarantee "orporation of India for "redit Insurance and
Agriculture Insurance "ompany !td for crop insurance.
Market Size
India1s life insurance sector is the biggest in the world with about 3 million policies which are
e%pected to increase at a "ompound Annual &rowth 'ate #"A&'$ of 2-5 per cent o*er the
ne%t fi*e years. The insurance industry plans to hi)e penetration le*els to fi*e per cent by 22.
The countrys insurance mar)et is e%pected to 6uadruple in si7e o*er the ne%t years from its
current si7e of 8+ billion. :uring this period the life insurance mar)et is slated to cross 8+
billion.
The general insurance business in India is currently at 's ;
-
7/24/2019 Introduction of Insuracne in India
2/34
The country is the fifteenth largest insurance mar)et in the world in terms of premium *olume
and has the potential to grow e%ponentially in the coming years.
Investments
The following are some of the ma=or in*estments and de*elopments in the Indian insurance
sector.
>oreign :irect In*estment in the insurance sector stood at 8+ 34 million in arch-
+eptember 25 showing a growth of 52 per cent compared to the same period last
year.
Insurance firm AIA &roup !td has decided to increase its sta)e in Tata AIA !ife
Insurance "o !td a =oint *enture owned by Tata +ons !td and AIA &roup from 2 per
cent to 49 per cent.
"anada-based +un !ife >inancial Inc plans to increase its sta)e from 2 per cent to 49 per
cent in irla +un !ife Insurance "o !td a =oint *enture with Aditya irla ?u*o !td
through buying of shares worth 's 4 crore #8+ 249 million$.
?ippon !ife Insurance @apan1s second largest life insurance company has signed
definiti*e agreements to in*est 's 225 crore #8+ 34< million$ in order to increase its
sta)e in 'eliance !ife Insurance from 2 per cent to 49 per cent.
The "entral &o*ernment is planning to launch an all-in-one insurance scheme for farmers
called the 8nified ac)age Insurance +cheme #hartiya /rishi ima Bo=ana$. The
proposed scheme will ha*e *arious features li)e crop insurance health co*er personal
accident insurance li*e stoc) insurance insurance co*er for agriculture implements li)e
tractors and pump sets student safety insurance and life insurance.
&o*ernment launched a special enrolment dri*e +ura)sha andhan :ri*e comprising of
sale of gift che6ues and launch of deposit schemes in ban) branches to facilitate
enrolment under radhan antri +ura)sha ima Bo=ana #+B$ and radhan antri
@ee*an @yoti ima Bo=ana #@@B$. To increase the subscriber base and ensure wider reach the "entral &o*ernment has
eased se*eral norms for its flagship insurance scheme Atal ension Bo=ana #AB$in
terms of more options for periodical contributions *oluntary and premature e%its and
simplified penalty for payment delays.
-
7/24/2019 Introduction of Insuracne in India
3/34
ennett "oleman and "o. !td #""!$ the media conglomerate with multiple
publications in se*eral languages across India is set to buy 'eligare 0nterprises !tds
entire 44 per cent sta)e in life insurance =oint *enture Aegon 'eligare !ife Insurance "o.
!td. The foreign partner Aegon is set to increase its sta)e in the =oint *enture from 2 per
cent to 49 per cent following go*ernments reform measure allowing the increase in
sta)e holding by foreign companies in the insurance sector.
&I" 'e and other non-life insurers ha*e =ointly formed the India ?uclear Insurance
ool with a capacity of 's 5 crore #8+ 22 million$ and will pro*ide the ris)
transfer mechanism to the operators and suppliers under the "!?: Act.
+tate an) of India has announced that ? aribas "ardif is )een to increase its sta)e in
+I !ife Insurance from 2 per cent to 3 per cent. (nce the foreign =oint *enture partner
increases its sta)e to 3 per cent +Is sta)e in +I !ife will get diluted to 4 per cent.
angladesh has granted permission to the !ife Insurance "orporation of India #!I"$ to
run its business ma)ing it the second foreign insurance company to operate in the
country.
'eliance !ife Insurance "ompany #'!I"$ today said it will add 2 agents across
India in this financial year as part of its e%pansion plans. It will increase their agency
force by 2 per cent which now stands at .
Government Initiatives
The &o*ernment of India has ta)en a number of initiati*es to boost the insurance industry. +ome
of them are as followsC
The Insurance 'egulatory and :e*elopment Authority #I':A$ of India has formed two
committees to e%plore and suggest ways to promote e-commerce in the sector in order to
increase insurance penetration and bring financial inclusion.
I':A has formulated a draft regulation I':AI #(bligations of Insures to 'ural and
+ocial +ectors$ 'egulations 25 in pursuance of the amendments brought about under
section 32 of the Insurance !aws #Amendment$ Act 25. These regulations impose
obligations on insurers towards pro*iding insurance co*er to the rural and economically
wea)er sections of the population.
-
7/24/2019 Introduction of Insuracne in India
4/34
The &o*ernment of India has launched two insurance schemes as announced in 8nion
udget 25-. The first is radhan antri +ura)sha ima Bo=ana #+B$ which is a
ersonal Accident Insurance +cheme. The second is radhan antri @ee*an @yoti ima
Bo=ana #@@B$ which is the go*ernments !ife Insurance +cheme. oth the schemes
offer basic insurance at minimal rates and can be easily a*ailed of through *arious
go*ernment agencies and pri*ate sector outlets.
The 8ttar radesh go*ernment has launched a first of its )ind ban)ing and insurance
ser*ices helpline for farmers where indi*iduals can lodge their complaints on a toll free
number.
The select committee of the 'a=ya +abha ga*e its appro*al to increase sta)e of foreign
in*estors to 49 per cent e6uity in*estment in insurance companies.
&o*ernment of India has launched an insurance pool to the tune of 's 5 crore #8+
22 million$ which is mandatory under the "i*il !iability for ?uclear :amage Act
#"!?:$ in a bid to offset financial burden of foreign nuclear suppliers.
Road Ahead
India1s insurable population is anticipated to touch ;5 million in 22 with life e%pectancy
reaching ;4 years. >urthermore life insurance is pro=ected to comprise 35 per cent of total
sa*ings by the end of this decade as against 2 per cent in 29-.
The future loo)s promising for the life insurance industry with se*eral changes in regulatory
framewor) which will lead to further change in the way the industry conducts its business and
engages with its customers.
:emographic factors such as growing middle class young insurable population and growing
awareness of the need for protection and retirement planning will support the growth of Indian
life insurance.
-
7/24/2019 Introduction of Insuracne in India
5/34
-
7/24/2019 Introduction of Insuracne in India
6/34
irla Institute of anagement Technologyis a graduate business school located in
&reater ?oida established in 9
-
7/24/2019 Introduction of Insuracne in India
7/34
companies were amalgamated into ?ational Insurance ?ew India Assurance (riental Insurance
and 8nited India Insurance which were head6uartered in each of the four metropolitan
cities.8ntil 999 there were no pri*ate insurance companies in India. The go*ernment then
introduced the Insurance 'egulatory and :e*elopment Authority Act in 999 thereby de-
regulating the insurance sector and allowing pri*ate companies. >urthermore foreign in*estment
was also allowed and capped at 2L holding in the Indian insurance companies.
In 2 the Actuaries Act was passed by parliament to gi*e the profession statutory status on par
with "hartered Accountants ?otaries "ost H Dor)s Accountants Ad*ocates Architects and
"ompany +ecretaries.A minimum capital of8+
-
7/24/2019 Introduction of Insuracne in India
8/34
I('TA?"0 (> I?+8'A?"0 I? I?:IA
Insurance is the on! sector "hich #arners on# term savin#s
Insurers are increasingly introducing inno*ati*e products to meet the specific needs of the
prospecti*e policyholders. An e*ol*ing insurance sector is of *ital importance for economic
growth. Dhile encouraging sa*ings habit it also pro*ides a safety net to both enterprises and
Indi*iduals.
Insurance "ompanies recei*e without much default a steady cash stream of premium or
contributions to pension plans. Karious actuary studies and models enable them to predict
relati*ely accurately their e%pected cash outflows.
!iabilities of Insurance companies being long-term or contingent in nature li6uidity is e%cellent
and their in*estments are also long-term in nature. +ince they offer more than the return on
sa*ings in the shape of life-co*er to the in*estors the rate of return guaranteed in their insurance
policies is relati*ely low. "onse6uently the need to see) high rates of returns on their
in*estments is also low. The ris)-return trade off is hea*ily tilted in fa*our of ris).
As a combined result of all this in*estments of insurance companies ha*e been largely in bonds
floated by &(I +8s state go*ernments local bodies corporate bodies and mortgages of long
term nature.
-
7/24/2019 Introduction of Insuracne in India
9/34
Generates $on# term %unds %or in%rastructure and stron# &ositive correation 'et"een
deveo&ment o% ca&ita markets and insurance(&ension sector
>or &: to grow at < to L 6ualitati*e impro*ement in infrastructure is essential. 0stimates of
funds re6uired for de*elopment of infrastructure *ary widely. An in*estment of 9 crore is
anticipated in the ne%t 5 years. Tenure of funding re6uired for infrastructure normally ranges
from to 2 years. The insurance industry also pro*ides crucial financial intermediary ser*ices
transferring funds from the insured to capital in*estment critical for continued economic
e%pansion and growth simultaneously generating long-term funds for infrastructure
de*elopment.
In fact infrastructure in*estments are ideal for asset-liability matching for life insurance
companies gi*en their long term liability profile. According to preliminary estimates published
by the 'eser*e an) of India contribution of insurance funds to financial sa*ings was 4.2 per
cent in 25- *i7. 2.4 per cent of the &: at current mar)et prices. :e*elopment of the
insurance sector is thus necessary to support continued economic transformation. +ocial security
and pension reforms too benefit from a mature insurance industry.
The insurance sector in India which was opened up to pri*ate participation in the year 999 has
completed o*er se*en years in a liberali7ed en*ironment. Dith an a*erage annual growth of 3;
per cent in the first year premium in the life segment and 5.;2 per cent growth in the nonlife
segment together with the largest number of life insurance policies in force the potential of the
Indian insurance industry is still large.
-
7/24/2019 Introduction of Insuracne in India
10/34
!ife insurance penetration in India was less than per cent till 99-9. :uring the 99s it was
between and 2 per cent and from 2 it was o*er 2 per cent. In 25 it had increased to 2.53
per cent.
S&read o% %inancia services in rura areas and amon#st socia! ess &rivie#ed
I':A 'egulations pro*ide certain minimum business to be done
- in rural areas
- in the socially wea)er sections
!ife Insurance offices are spread o*er nearly 4 centres. resence of representati*e in e*ery
tehsil M deeper penetration in rural areas.
Insurance agents numbering o*er .24 la)hs in rural areas.
olicies sold in rural areas #24-5$ - ?o. of policies - 55 la)hs +um assured 4 crores.
+ocial security - ?o. of li*es co*ered 23-4 ;.4 la)hs 24-5 42. la)hs
Insurance has e*ol*ed as a process of safeguarding the interest of people from loss and
uncertainty. It may be described as a social de*ice to reduce or eliminate ris) of loss to life and
property.
Insurance contributes a lot to the general economic growth of the society by pro*ides stability to
the functioning of process. The insurance industries de*elop financial institutions and reduce
uncertainties by impro*ing financial resources.
)* +rovide sa%et! and securit!,
Insurance pro*ide financial support and reduce uncertainties in business and human life. It
pro*ides safety and security against particular e*ent. There is always a fear of sudden loss.
-
7/24/2019 Introduction of Insuracne in India
11/34
Insurance pro*ides a co*er against any sudden loss. >or e%ample in case of life insurance
financial assistance is pro*ided to the family of the insured on his death. In case of other
insurance security is pro*ided against the loss due to fire marine accidents etc.
-* Generates %inancia resources,
Insurance generate funds by collecting premium. These funds are in*ested in go*ernment
securities and stoc). These funds are gainfully employed in industrial de*elopment of a country
for generating more funds and utilised for the economic de*elopment of the country.
0mployment opportunities are increased by big in*estments leading to capital formation.
.* $i%e insurance encoura#es savin#s,
Insurance does not only protect against ris)s and uncertainties but also pro*ides an in*estment
channel too. !ife insurance enables systematic sa*ings due to payment of regular premium. !ife
insurance pro*ides a mode of in*estment. It de*elops a habit of sa*ing money by paying
premium. The insured get the lump sum amount at the maturity of the contract. Thus life
insurance encourages sa*ings.
/* +romotes economic #ro"th,
Insurance generates significant impact on the economy by mobili7ing domestic sa*ings.
Insurance turn accumulated capital into producti*e in*estments. Insurance enables to mitigate
loss financial stability and promotes trade and commerce acti*ities those results into economic
growth and de*elopment. Thus insurance plays a crucial role in sustainable growth of an
economy.
0* Medica su&&ort,
A medical insurance considered essential in managing ris) in health. Anyone can be a *ictim of
critical illness une%pectedly. And rising medical e%pense is of great concern. edical Insurance
-
7/24/2019 Introduction of Insuracne in India
12/34
is one of the insurance policies that cater for different type of health ris)s. The insured gets a
medical support in case of medical insurance policy.
1* S&readin# o% risk,
Insurance facilitates spreading of ris) from the insured to the insurer. The basic principle of
insurance is to spread ris) among a large number of people. A large number of persons get
insurance policies and pay premium to the insurer. Dhene*er a loss occurs it is compensated out
of funds of the insurer.
2* Source o% coectin# %unds,
!arge funds are collected by the way of premium. These funds are utilised in the industrialde*elopment of a country which accelerates the economic growth. 0mployment opportunities
are increased by such big in*estments. Thus insurance has become an important source of
capital formation.
The economic de*elopment of India was dominated by socialist Minfluenced policies stateowner
sector and red tape and e%tensi*e regulations collecti*ely )nown as N!icense 'a=. The Indian
economic de*elopment got a boost through its 0conomic reforms in 99 and again through its
renewal in the 2. Insurance ser*es a number of *aluable economic functions that are largely
distinct from other types of financial intermediaries. Insurance contribution materially to
economic growth by impro*ing the in*estment climate and promoting a more efficient mi% of
acti*ities then would be underta)en in the absence of ris) management instrument. Insurance
sector in India is one of the most booming sectors of the economy and is growing at the rate of
5-2 percent per annum. In India insurance is a flourishing industry with se*eral national and
international players competing with each others and growing at rapid rates. Indian insurance
companies offer a comprehensi*e range of insurance plans a range that is growing as the
economy matures and the wealth of the middle classes increases. :ue to the growing demand for
insurance more and more companies are now emerging in the Indian insurance sector. The
economy of India is the ele*enth largest in the world by nominal &: and the forth largest by
urchasing ower arity #$. /0BD(':+C !icense 'a= 0conomic reform financial
-
7/24/2019 Introduction of Insuracne in India
13/34
intermediaries In*estment climate 'is) management instrument "omprehensi*e range
?ominal &: .
>or economic de*elopment in*estments are necessary. In*estments are made out of sa*ings. !ife
Insurance "ompany is a ma=or instrument for the mobili7ation of sa*ings of people particularly
from the middle and lower group. All good life insurance companies ha*e huge funds
accumulated through the payments of small amounts of premium of indi*iduals. These funds are
in*ested in ways that contribute substantially for the economic de*elopment of the countries in
which they do business The system of insurance pro*ides numerous direct and indirect benefits
to the indi*iduals and his family as well as to industry and commerce and to the community and
the nation as a whole. resent day organi7ation of industry commerce and trade depend entirely
on insurance for their operation ban)s and financial institutions lend money to industrial and
commercial underta)ings only on the basis of the collateral security of insurance.
+"(0 (> T,0 I?+8'A?"0 I? I?:IA
Insurance is a nice-loo)ing option for in*estment but most people are not aware of its ad*antages
as an in*estment option. 'emember that foremost and first insurance is about ris) co*er and
protection. y buying life insurance you buy peace of mind. Insurance also ser*es as an
e%cellent ta% sa*ing mechanism. The &o*ernment of India has pro*ided ta% incenti*es to life
insurance products in order to facilitate the flow of funds into producti*e assets
.
The insurance sector has opened up for pri*ate insurance companies with the enactment of I':A
Act 999. A large number of companies are competing under both general and life Insurance.
The >:I cape6uity in this sector is 2L and the proposals ha*e to be cleared by Insurance
'egulatory and :e*elopment Authority #I':A$ established to protect the interest of holder of
Insurance policy and act as a regulator and facilitator in the industry.
+ome of the ma=or players in this sector are !I" a% ?ew Bor) !ife Insurance a=a= Allian7
I"I"I rudential ,:>" +tandard !ife etlife Insurance irla +un !ife Insurance etc
-
7/24/2019 Introduction of Insuracne in India
14/34
*arious types of instruments and policies are coming up in the mar)et to attract more clients.
ost of the population of India is not insured hence there is a lot of scope in this sector and a
number of companies are planning to enter the sector.
!ife insurance is a financial co*er for a contingency lin)ed with human life li)e death disability
accident retirement etc. It pro*ides a definite amount of money in case the life insured dies
during the term of the policy or becomes disabled on account of an accident.3our years later when the company offered I"I"I an)1s shares to the
public I"I"I1s shareholding was reduced to 4L. In the year 2 I"I"I an) offered made an
e6uity offering in the form of A:'s on the ?ew Bor) +toc) 0%change #?B+0$ thereby
becoming the first Indian company and the first ban) or financial institution from non-@apan Asia
-
7/24/2019 Introduction of Insuracne in India
21/34
to be listed on the ?B+0. In the ne%t year it ac6uired the an) of adura !imited in an all-
stoc) amalgamation. !ater in the year and the ne%t fiscal year the ban) made secondary mar)et
sales to institutional in*estors. Dith a change in the corporate structure and the budding
competition in the Indian an)ing industry the management of both I"I"I and I"I"I an) were
of the opinion that a merger between the two entities would pro*e to be an essential step. It was
in 2 that the oards of :irectors of I"I"I and I"I"I an) sanctioned the amalgamation of
I"I"I and two of its wholly-owned retail finance subsidiaries
I"I"I ersonal >inancial +er*ices !imited and I"I"I "apital +er*ices !imited with
I"I"I an). In the following year the merger was appro*ed by its shareholders the ,igh "ourt
of &u=arat at Ahmedabad as well as the ,igh "ourt of @udicature at umbai and the 'eser*e
an) of India. ;; 4.2 "8''0?T +"0?A'I(C >inancial performanceC I"I"I an) is India1s
second-largest ban) with total assets of 's. 334. billion #8+
-
7/24/2019 Introduction of Insuracne in India
22/34
unwa*ering focus on technology. ranches H ATs I"I"I an) has a wide networ) both in
Indian and abroad. In India alone the ban) has 42 branches and about 444 ATs. Tal)ing
about foreign countries I"I"I an) has made its presence felt in < countries - 8nited +tates ;inance "entre and
representati*e offices in 8nited Arab 0mirates "hina +outh Africa angladesh Thailand
alaysia and Indonesia. The an) proudly holds its subsidiaries in the 8nited /ingdom 'ussia
and "anada out of which the 8/ subsidiary has established branches in elgium and &ermany.
I"I"I I?+8'A?"0 +T'8"T8'0
ar)eting is an assessment ascertainment and fulfillment of consumer needs and desire
into products and ser*ices through planning and creating demand for companies products
ser*ing the consumer demand through planned physical distribution with the for help of
mar)eting channels e%panding the mar)eting e*en in the face of )een competition.
As a corporate state of mind which insists integration and co-ordination of all mar)eting
functions in welded with all co-operati*e functions with a basic ob=ecti*e of ma%imi7ing long
range corporate profits and satisfy the customer needs and wants.
The Creation o% customer im&ies three thin#s,6
$ :e*elopment of product through technical and mar)et research on which afford sales
opportunities.
2$ ersuading the customer to buy through ad*ertisement and sales promotion.
3$ a)ing the product a*ailable in a form at a price time and place the customer want.
ar)eting research is the function which lin)s the consumer customer and public to the
mar)eter through information used to identify and define mar)eting opportunities and problems.
-
7/24/2019 Introduction of Insuracne in India
23/34
(b=ecti*e of mar)eting research may be primary to gather information from different customer
attitudes and opinions.
The insurance sector in India has come a full circle form being an open competiti*e
mar)et to nationali7ation and bac) to a liberali7ed mar)et again. Tracing the de*elopments in the
Indian insurance sector re*eals the 3 degree turn witnessed o*er a period of almost two
centuries.
The ro=ect I ha*e ta)en up is 7 ICICI +RUDENTIA$ $IFE INSURANCE8 The reason
why I too) up this sub=ect is because today insurance industry is among the fastest growing
sector and it pro*ides wonderful business mar)eting where by people can use their free time for
the purpose of not only earning money and rewards but also build meaningful relationships.
Through this pro=ect wor) I e%pect to come with meaningful analysis on awareness of public on
OA'/0TI?& +T'AT0&I0+ I? I"I"I '8:0?TIA! !I>0 I?+8'A?"0P.
O39ECTI:ES
To )now the mar)eting strategy in I"I"I rudential !ife Insurance in ellary.
To )now the public interest towards the insurance.
To )now the brand awareness towards I"I"I rudential !ife Insurance "o. !td in
ellary.
To find out which parameter is moti*ating insurance ad*isers to =oin insurance field.
To ma)e suggestions and recommendations to impro*e upon the wor)ing of the company.
I"I"I rudential !ife Insurance "ompany is a =oint *enture between I"I"I an) - one of
India1s foremost financial ser*ices companies-and prudential plc - a leading international
financial ser*ices group head6uartered in the 8nited /ingdom. Total capital infusion stands at
's. 3;.;2 billion with I"I"I an) holding a sta)e of ;4L and rudential plc holding 2L.
-
7/24/2019 Introduction of Insuracne in India
24/34
De began our operations in :ecember 2 after recei*ing appro*al from Insurance 'egulatory
:e*elopment Authority #I':A$. Today our nation-wide team comprises of o*er 954 branches in
addition to 5 micro-offices o*er 29 ad*isorsG and 2 banc assurance partners.
I"I"I rudential was the first life insurer in India to recei*e a ?ational Insurer >inancial
+trength rating of AAA #Ind$ from >itch ratings. >or three years in a row I"I"I rudential has
been *oted as India1s ost Trusted ri*ate !ife Insurer by The 0conomic Times - A" ?ielsen
('& arg sur*ey of 1ost Trusted rands1. As we grow our distribution product range and
customer base we continue to tirelessly uphold our commitment to deli*er world-class financial
solutions to customers all o*er India.
ICICI 3ank,
I"I"I an) !imited #?B+0CI?$ is India1s largest pri*ate sector ban) and the second
largest ban) in the country with consolidated total assets of 2 billion as of arch 3 2
-
7/24/2019 Introduction of Insuracne in India
25/34
into ten mar)ets comprising of "hina ,ong /ong India @apan /orea alaysia +ingapore
Taiwan Kietnam and 8nited Arab 0mirates.
:ision and Mission Statement,
Their *ision is to ma)e I"I"I rudential !ife Insurance "ompany the dominant new
insurer in the life insurance industry. This they hope to achie*e through their commitment to
e%cellence focus on ser*ice speed and inno*ation and le*eraging our technological e%pertise.
The success of the organi7ation will be founded on its strong focus on *alues and clarity of
purpose. These includeC
8nderstanding the needs of customers and offering them superior products and ser*ice
building long lasting relationships with their partners pro*iding an enabling en*ironment to
foster growth and learning for their employees and abo*e all building transparency in all our
dealings.
They belie*e that they can play a significant role in redefining and reshaping the sector.
&i*en the 6uality of their parentage and the commitment of their team they feel that there will
be no limits to their growth.
:arious ICICI $i%e Insurance +ans*
-
7/24/2019 Introduction of Insuracne in India
26/34
Education Insurance +ans,
+mart /id ?ew 8nit-lin)ed
'egular remium
+mart /id ?ew 8nit-lin)ed
+ingle remium
+mart /id 'egular remium
;eath Creation +ans,
Dealth Ad*antage
!ife+tage Assure
!ifeTime &old
!ife!in) +uper
!ife+tage '
+remium Guarantee +ans,
In*est +hield !ife ?ew
In*est +hield "ashan)
+rotection +ans,
ure rotect
!ife &uard
-
7/24/2019 Introduction of Insuracne in India
27/34
+a*e 1n1 rotect
"ashboo)
,ome Assure
Retirement Soutions,
!ife +tage ension
!ifeTime +uper ension
!ife!in) +uper ension
>ore*er!ife lan
Immediate Annuity
4eath Covera#e +ans
,ealth +a*er
edi Assure
,ospital "are
"risis "o*er
"ancer "are
:iabetes "are Acti*e
-
7/24/2019 Introduction of Insuracne in India
28/34
:iabetes Assure
ICICI +ru Grou& Soutions Advanta#e
&roup +uper Annuation
&roup &ratuity lan
Annuity +olutions
&roup Term Insurance lan
&roup Term Insurance in lieu of 0:!I
Rura +ans
I"I"I ru +ura)sha
I"I"I ru +ura)sha /a*ach
Micro Insurance +ans
I"I"I ru +ar* @ana lan
Ana!sis o% ICICI +rudentia $i%e Insurance
Stren#th,
I"I"I rudential is (ne of the largest financial institutions of India.
-
7/24/2019 Introduction of Insuracne in India
29/34
oney power which ma)es them ignorant about the gestation period.
oti*ation factors pro*ided by the "ompany.
+er*ice 6uality which is the cru% of their mission.
A huge data base of corporate clients retail customer and ban) customers
of I"I"I.
,ighest paid up capital deposited in I':A in comparison to all players.
Training pro*ided to all people associating with I"I"I rudential
;eakness,
,igh targets for financial ad*isors and for the sales departments.
any competitors in the mar)et offer same product by the title difference
in the premium and offerings.
Kery huge premium of policies.
roblematic to ad*isors also.
+ustainable to ris) associated with in*estments in money mar)et.
O&&ortunities,
,ealth insurance and pension schemes an estimated mar)et potential ofappro%imately 5 billion.
Tie up with more corporate agents all o*er India. And Tie up with bro)er
#agent$ also.
+trong brand of company helps to boost sales in mar)et.
-
7/24/2019 Introduction of Insuracne in India
30/34
Attract more people of pro*iding customer centric products.
Threats,
layers li)e a=a= and irla +un life with low premium for the similar
plans.
eople are not aware of different distribution channels.
Threat from e%isting insurance players.
Threat from new entrants.
"hanges in the policy of I':A.
Data Ana!sis
Ta'e sho"in# cassi%ication o% res&ondents accordin# to occu&ation*
+articuars No* o% Res&ondents +ercenta#e
@ob ,olders 9 3L
usiness eoples 44L
&o*t. 0mployer 5 2L
-
7/24/2019 Introduction of Insuracne in India
31/34
TOTA$ -0 )
-
7/24/2019 Introduction of Insuracne in India
32/34
Findin#s,
>I?:I?&+
a=ority of the respondents belie*ed that larger ris) co*erage of their policy was the
main feature that attracted them to buy that policy low premium was the ne%t important
feature.
I"I"I rudential is the largest pri*ate player in the insurance industry in India.
3aance sheet Mar = Mar =
-
7/24/2019 Introduction of Insuracne in India
33/34
:ue to the increasing concern of people towards their healthlife the life insurance
business has good prospects.
There are few short term plans which are not )nown to the public.
"ompany has high policy charges which are not affordable by the lower middle andlower class people.
(ut of total population of billion of country only 22L ha*e insurance co*er.
+o we can say that there is still large potential for both the public and pri*ate
companies. ri*ate companies ha*e to gi*e *aried customi7ed product to compete with
the !I" which is holding about 9;L of the total mar)et.
"(?"!8+I(?
ost of the people are interested on +um Assured and Additional benefits and some people are
interested in minimum premium hence company has to formulate those policies which are
mostly preferred by customers and prospects.'ural people are not interested and they are not
understanding about life insurance. +o if the company concentrates on rural area and to ma)e
awareness of them then they can assure their life of benefit."ompany should ma)e their
-
7/24/2019 Introduction of Insuracne in India
34/34
products fle%ible for the con*enience of their customer and the companies should now try to
identify the gap between current le*el of customer ser*ice and customer e%pectations.