SUMMER TRAINING REPORT

ON
“RECRUITMENT OF CERTIFIED FINANCIAL
CONSULTANTS”
IN

GOMTI NAGAR, LUCKNOW

A REPORT SUBMITTED FOR THE PARTIAL

FULLFILLMENT OF MBA

SESSION 2007-2009

SUBMITTED TO

Mr. Mohit Saxena

Assistant Manager-Channel Development

SUBMITTED BY
Vivek Verma
MBA (III SEMESTER)

INSTITUTE OF CO-OPERATIVE &CORPORATE

MANAGEMENT RESEARCH &TRAINING
RING ROAD, INDIRA NAGAR, LUCKNOW

1
 CONTENTS
1 Preface
2 Acknowledgements
3 Declarations

Introduction
What is insurance
History of Insurance Sector
IRDA
Life Insurance in India
Importance of Life Insurance

Company Profile
About HDFC SLIC
Board of Directors

Products & Services

Individual Products
Group Products
Social Products
Tax Benefits

Research Methodology
Profiling of prospects
Skim natural market
Leads generation
Mode of contacting prospects
Total no. of people contacted

Channel Development
Why to Recruit?
Who to recruit?
How to Recruit?
Recruitment Activities
Things to check while recruiting
Advisor Role
The Support Packages to make a successful advisor
SWOT Analysis
Research Methodolog

PREFACE
2
Prospect search, fallow up & identifying the different hiring

practices performed by different companies for different levels

is one of the most important area to any business entity whether

it represents public sector or private sector or service sector.

Every company needs to hire the right manpower at the right job

for that they hire search firms or job portals. And it comes from

market research, due to this it is easy to understand the

psychology of the candidate so the company gets the best use of

the manpower he is recruiting for the job. And compete the

competitor, and improve.

The basic objective of this report is to "Recruitment of

Consultants at Lucknow city."

ACKNOWLEDGEMENT

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 At the outset, I would like to place on record my gratitude to all those

who have been instrumental in shaping up this project with their guidance and

inspiration.

express my hearty respect and profound thanks to Mr R. K.

Verma(Director) a for their valuable guidance in completing my project.

I am deeply indebted to Mr. Mohit Saxena (Channel Development

Manager), HDFC Standard life Insurance), whose sincere cooperation in

directing and guiding me enabled the project to assume its systematic shape.

I am also thankful to all the Financial Consultants who guided me on

various aspects during the project.

I am also grateful to Mr Tarun Singh Gangwar (Assistant Professor,

ICCMRT) for his constant inspiration, supervision and guidance for this work

has helped me immensely to present the work in a nice way.

Last but not the least I must express my gratitude to my family and various

friends who gave moral support for completing this project work.

Ravindra Nath

4
INTRODUCTIO
N

5
WHAT IS INSURANCE?
Insurance is not necessarily an investment from which one
expects to get ones back. Nor it is gambling a gambler takes
risks. While insurance offers protection against risks that
already exist “Insurance is a way to share risk with others”.

The Origin of Insurance

Insurance has existed for thousand of years a form of credit
insurance was included in the Code of Hammurabi, a collection
of Babylonian laws said to predate the Law of mosses for
finance their trading expeditions in ancient times. Ship owners
obtained loans from investors, if a ship was lost the owners were
not responsible for paying back the loans since many ship
returned safely. The interest paid by numerous ship owners’ ship
owners covered the risk to the lenders.

It was likewise in a maritime setting that later one of the

world’s most famous insurance providers. Lloyd’s of London
was born By 1688, Edward famous insurance provider accepts
in exchange for certain payment, to premium. These insurers
came to be known as underwriters. Finally in 1769 Lloyd’s
became a formal group of underwriters that in time grew into
the foremost market for marine risks.

What if I already have Life Insurance ?

As an individual for the extent of financial protection you need
is from that a married man which in turn is different from that as
a parent. At each life stage, it is necessary to re- evaluate the
amount of protection and provision you require and adjust for
the same. Below are some of the events in your life for which
you should re-evaluate and plan your life insurance needs.

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Life Stages
Your insurance need will change as your life does, from starting
to work to enjoying your golden years and all the stages in
between. Each one of these stages may pose a different
insurance need/cover for you. In this section, we have drawn up
the basic life stages and help you analyze various insurance
needs accordingly.

STAGE 1 Young and Single

An important stage where one lays down the

foundation of a successful life ahead. Take
advantage of the time and power of compounding to
ensure that you build up your dreams. Start saving
early.
Our needs
Save for a home and wedding
Tax Planning
Save for Golden years

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STAGE 2 Just Married

Marriage brings about a significant change. New

dreams and new opportunities also bring in
additional responsibilities. While both of you look
forward to a happy and secure life , it is equally
important to ensure that eventualities don’t come
in the way of shaping your dreams.

Our needs
Planning for home / securing your home loan liability
Save for vacation
Save for your first child

STAGE 3 Proud Parents

Once you have children, your need for life insurance

is even more. You need to protect your family from an untoward
incident. Ensure your protection umbrella takes into account the
future cost of securing your child’s dream. You will want life to
go on for your loved ones, and having enough life insurance is a
way to help ensure that.

Our needs
Provide for children’s education
Safeguarding family against loan liabilities
Savings for post-retirement

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STAGE 4 Planning for Retirement

While you are busy climbing the ladder of success

today, it is important for you to take time and plan
for your life after retirement. Having an early start
for retirement planning can make a significant
difference to your savings. Think about your golden years even
before you have reached them. The key is to think ahead and
plan well using your time and money.

Our needs
Provide for regular income post retirement
Immediate Tax benefits
Lead a secure, independent and comfortable life style in your
retirement years

How much Insurance do I need ?

The main purpose of life insurance is to provide a financial

cushion to urn loved ones in the event that something
unfortunate should happen to you. One must provide enough, so
as to generate a future income stream that will take care of the
financial needs of their dependants. How much insurance you
need depends on your annual income, your expenses and your
existing assets.

Concept of Human life value

Generally speaking, one can estimate the extent of life insurance

by calculating one’s “human Life Value (HLV). This is the net
present value of one’s future earnings. Put simply, it is the
amount that a person’s family would permanently lose, should
any thing unfortunate happen to that person. As a tomb rule, a
30 year old should insure oneself for about 8 times hrs or her

9
annual income. At 35, this is about 6 times. Of course the exact
amount must be adjusted according to the number of
dependents, existing investments and one’s life stage. For
instance, if at 30 a person has two children and parents to
provide for, the amount of insurance should also be higher.

You can calculate your Human Life Value by multiplying your

current annual income with the number of years remaining for
your retirement.

Let’s assume that you are 30 years old and you earn Rs.4,
00,000 per annum. Now if your retirement age in 55 you have
25 years to go before retirement. So your Human Life Value is
(25 x 4, 00,000)
= Rs. 100, 00,000 (One Crore rupees).

So, your present Human life Value is one crore rupees, provided
you stay healthy. You take factors like inflation and increase in
income over a period of time to account your Human Life Value
is a lot more.

The History of Insurance in India :

The India Insurance market has a grand history. The

development of insurance states back of the 19th century when
the Europeans started the Oriental Life Insurance Company,
Calcutta in 1888. The first India Insurance Company Bombay
Mutual life Insurance came into existing 1870 to cover India
lives at normal rates. The year 1870 is also important in the
sense at British government for the first time act that year. Four
years later Firoz shah Mehta one of the doyens of India
Financial Sector, Oriental Government established the Oriental
Government Security Life Assurance Company and after that
many Insurance companies in surfaced on Indian soil. However
the first Indian insurance act was passed on 1912, again in 1938
an amendment in 1950 when it was nationalized however the
sector was once again thrown open to the private sector in Dec

10
1999 followed by the establishment of IRDA (Insurance
Regulatory and Development Authority in April 2000.
The Indian Insurance Industry was dominated by
two states Insures the Life Insurance Corporation in Life
Insurance and The General Insurance Nationalization of the Life
and non Life sector in 1956 and 1972 respectively. In dec 99 the
IRDA act was passed which limited foreign investors to a 26%
cap on equity participation, and minimum capital requirement of
$20 million. At present, more than 20 private players are in the
market and some are in the pipeline. The advent of the new kids
poses to LIC to some what extent, door which LIC will have to
change its current polices regarding marketing and product
management.

The Life Insurance Scenario in India :

Since 1956, with the nationalization if insurance Industry, the
states run Life Insurance Corporation of India has held the
monopoly in country’s life insurance sector. General Insurance
Corporation of India (GIC), with its four subsidiaries, was its
counterpart in the casualty sector. Over the time, taking
advantages of its monopoly and virtual prerogative in
establishing the premiums, LIC has evolved in to a monolith.
With around 60000 agents in ever nook and corner of the vast
country, it has created an enviable brand name. Particularly
among the rural population of the country. It has around $40
billion as its financial sector. However, on the qualitative side, it
has every little pride in, and there lies the potential for players to
challenge this behemoth.

As typical with monopolies, the premiums rates charged LIC are

among the highest in the world, and its track record in customer
service can at best be called shabby. With a huge unionized,
rigid workforce mostly in clerical category. LIC run the risk of
high fixed cost, which will be the deciding factor productivity in
the competitive scenario. While boasting full scale automations

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of its operation, the truth is that its technology outdated. The
new players. With the state of the art technology under the belt,
will be in advantageous position . 80% of LIC’s business is
procured by 20% of its ill trained agent force. The foreign player
with the domestic partner’s string brand value, can test the
unconventional distribution channels like brokers, the Internet
the banking distribution system etc., although foreign players
may be tempted to keep their operations in big cities for the
‘cream layer’ of the society, the real market lies in rural India,
which accounts for the lions share of LIC‘s present business.
The foreign players must adapt to Indian realities, the well
published failures of the world famous consumer goods
companies like Electrolux, whirlpool, Reebok, and Nike etc. to
gauge the Indian Psyche and sentiments demonstrate the
concept. They failed in the area of realistic pricing, product
promotion and reaching to the consumer. The foreign companies
know the ground realities to the details.

Endowment Policy, India

An endowment policy covers risk for a specified period, at the
end of which the sum assured is paid back to the policyholder,
along with the bonus accumulated during the term of the policy.
An endowment life insurance policy is designed primarily to
provide a living benefit and only secondarily to provide life
insurance protection. Therefore, it is more of an investment than
a whole life policy.Endowment life insurance pays the face
value of the policy either at the insured's death or at a certain
age or after a number of years of premium payment.
Endowment policy is an instrument of accumulating capital for
a specific purpose and protecting this savings program against
the saver's premature death.

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 GROUP INSURANCE, INDIA

roup insurance offers life insurance protection under group

policies to various groups such as employers-employees,
professionals, co-operatives, weaker sections of society, etc. It
also provides insurance coverage for people in certain approved
occupations at the lowest possible premium cost.

Group insurance plans have low premiums. Such plans are

particularly beneficial to those for whom other regular policies
are a costlier proposition. Group insurance plans extend cover to
large segments of the population including those who cannot
afford individual insurance.

A number of group insurance schemes have been designed

for various groups. These include employer-employee groups,
associations of professionals (such as doctors, lawyers,
chartered accountants etc.), and members of cooperative banks,
welfare funds, credit societies and weaker sections of society.

JOINT LIFE INSURANCE POLICY, INDIA

Joint life insurance policies are similar to endowment policies as

they too offer maturity benefits to the policyholders, apart form
covering risks like all life insurance policies.
But joint life policies are categorized separately as they cover
two lives simultaneously, thus offering a unique advantage in
some cases, notably, for a married couple or for partners in a
business firm.
Under a joint life policy the sum assured is payable on the
first death and again on the death of the survivor during the term
of the policy. Vested bonuses would also be paid besides the
sum assured after the death of the survivor. If one or both the
lives survive to the maturity date, the sum assured as well as the
vested bonuses are payable on the maturity date.

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LOAN COVER TERM ASSURANCE POLICY,
INDIA

Loan cover term assurance policy is an insurance policy,

which covers a home loan. Such a policy covers the individual's
home loan amount in case of an eventuality. The cover on such
a policy keeps reducing with the passage of time as individuals
keep paying their EMIs (equated monthly installments)
regularly, which reduces the loan amount.

This plan provides a lump sum in case of death of the life

assured during the term of the plan. The lump sum will be a
decreasing percentage of the initial sum assured as per the
policy schedule. Since this is a non-participating (without
profits) pure risk cover plan, no benefits are payable on survival
to the end of the term of the policy.

Various insurance companies offering loan repayment

protection insurance policy are

 HDFC Standard Life Insurance

 Tata AIG

 ING Vysya

 LIC

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 MONEY BACK POLICY, INDIA

Money back policy provides for periodic payments of partial

survival benefits during the term of the policy, as long as the
policyholder is alive.

They differ from endowment policy in the sense that in

endowment policy survival benefits are payable only at the end
of the endowment period.

An important feature of money back policies is that in the

event of death at any time within the policy term, the death
claim comprises full sum assured without deducting any of the
survival benefit amounts, which may have already been paid as
money-back components. The bonus is also calculated on the
full sum assured.

PENSION PLAN, INDIA

A pension plan or an annuity is an investment that is made either

in a single lump sum payment or through installments paid over
a certain number of years, in return for a specific sum that is
received every year, every half-year or every month, either for
life or for a fixed number of years.

Annuities differ from all the other forms of life insurance in that
an annuity does not provide any life insurance cover but,
instead, offers a guaranteed income either for life or a certain
period.

Typically annuities are bought to generate income during one's

retired life, which is why they are also called pension plans. By
buying an annuity or a pension plan the annuitant receives
guaranteed income throughout his life.

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 TERM LIFE INSURANCE POLICY, INDIA

Term life insurance policy covers risk only during the selected
term period. If the policyholder survives the term, the risk cover
comes to an end. Term life policies are primarily designed to
meet the needs of those people who are initially unable to pay
the larger premium required for a whole life or an endowment
assurance policy.

No surrender, loan or paid-up values are granted under term life

policies because reserves are not accumulated. If the premium is
not paid within the grace period, the policy lapses without
acquiring any paid-up value.

UNIT LINKED INSURANCE PLANS (ULIP)

Unit linked insurance plan (ULIP) is life insurance solution that

provides for the benefits of protection and flexibility in
investment. The investment is denoted as units and is
represented by the value that it has attained called as Net Asset
Value (NAV). The policy value at any time varies according to
the value of the underlying assets at the time.

ULIP provides multiple benefits to the consumer. The benefits

include:

 Life protection
 Investment and Savings
 Flexibility
 Adjustable Life Cover
 Investment Options

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  Transparency
 Options to take additional cover against
 Death due to accident
 Disability
 Critical Illness
 Surgeries
 Liquidity
 Tax planning

WHOLE LIFE INSURANCE POLICY, INDIA

A whole life policy runs as long as the policyholder is alive. As

risk is covered for the entire life of the policyholder, therefore,
such policies are known as whole life policies. A simple whole
life policy requires the insurer to pay regular premiums
throughout the life. In a whole life policy, the insured amount
and the bonus is payable only to the nominee of the beneficiary
upon the death of the policyholder. There is no survival benefit
as the policyholder is not entitled to any money during his / her
own lifetime.

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 WHY LIFE INSURANCE
Life Insurance has come a long way from the earlier days when
it was originally conceived medium for short periods of to me.
Covering temporary risk situation, such as sea voyages. As life
Insurance became more established, it was realized what a
useful tool it was for a number of including.

 Temporary need / threats :

The original purpose of the life Insurance remains an important
elements, namely for replacement of income on death etc.

 Regular Saving:
Providing for one’s family and oneself, as a medium to long
term exercise (through a series of regular payment or premiums)
This has become more relevant in recent times as people sect
financial independence for their family.

 Investment:
Put simply the building up of saving while safeguarding it forms
the ravages of inflation. Unlike regular saving products,
investment products are traidanailly lump sum investment,
where the individual likes a one off payment.

 Retirement
Provisions for later years become increasingly necessary,
especially in cultural and social environment. One can buy a
suitable insurance policy, which will provide periodical
payments in one’s old age.

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 REVIEW OF INSURANCE SECTOR
India is having population of 1 Billion with a middle class
population estimated up to 300 million. It being the 5th largest
economy in the world in terms of Purchasing Power Parity
(PPP) has a GDP growth rate of over 6%per year on an average
for the last decades. The saving rate is estimated to be about
26% of the GDP. In the total population, the insured the
population is estimated to be about 70 million.

Privatization of Insurance:
The Indian insurance Sector has finally opened up and it is with
much anticipation that new players are awaiting their share of
market. License have been issued to both Indian and foreign
Players reliance , HDFC standard –life , Max India – Network ,
Royal Sundaram Alliance, ICICI prudential , IFFCO Tokyo
Marine, Bajaj Allianz , Birla Sun life, Tata AIG, AVIVA life
Insurance , SBI life , Om Kotak Mahindra are some of the
entrants into the newly liberalized Indian insurance market.

ICICI Prudential and HDFC Standard life have issued their life
policies from the private sector after 45 years.

The first move for the liberalization came with the Malhotra
Committee Report in 1993 which recommended the
privatization of Insurance, setting of an insurance regulatory
authority and restructuring the government monopoly LIC and
GIC and its subsidiaries IRDA Act passed in November 1999
had set ball rolling for the entry of Private Players in domestic
sector.

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 LIBERALIZATION OF INSURANCE
SECTOR:
Liberalization commitment of the country to help in disciplining
future economic policies will include the insurance reforms.
When world over insurance market has been opened up. India
cannot remain in isolation. History has shown that it is very
difficult to proper in isolation.

Globalization is the new economic reality, which is here to stay,

heralding a new era of Insurance in India. With the opening of
the insurance industry, Indian stands to gain with the following
major advantages.

 Globalization will provide opportunities to the consumer

for the better production. With more reasonable and
affordable pricing.
 The customer will get quicker service.
 It will enhance the saving rate.
 Long term funds for infrastructure development will be
available to the country.
 It will secure for India larger inflow of foreign capital need
to sustain our GDP growth.

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Advantages of Liberalization:
 The opening up will enable the country to save more and
invest more for the development in infrastructure.

 With new insurance intermediaries and more distribution

channels the market is bound to develop by leaps and
bounds.

 In the next few years it is established that the Indian

insurance sector will developed a better understanding of
consumer requirement leading to more satisfaction of
consumers.
 Lead to increase in employment.

 Social and rural obligations will also be served as IRDA

has come out with clear regulation in this regard which
makes the development in this area mandatory.

 Global competition will help in building expertise with

their global practice.

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 IRDA
The Insurance sector has been opened up in India, as
there was an urgent need. The international experience
indicates those country with a liberalized insurance sector
have witnessed a rapid growth in premium volumes
enhancing the domestic saving rate. This happened in China,
Malaysia and Singapore where a competitive market has led
to improvement in Services and Quicker settlement of claims.
It is also important to note that competition will bring about
advancement in information, communication and technology.
And rightly there force a decision was taken by the
Government of India to open up Insurance sector. The
establishment of IRDA in the month of April 2000 has been
important development in this direction, making the end of
monopoly in the insurance sector.

Why Insurance in India

 Only 22% of the insurance population has been extended
cover. Market penetration is low and the potential to
exploit is high.
 Insurance premium per capital is very low.
 Lack of comprehensive social system benefit and welfare
means that demand for pension products is high.
 Huge middle class of approximately 300 million.
 Existing insurance company score low on customer service
front.

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Need of brand name in Insurance:

Branding is the new key challenge in the financial services

industry. Life in the 21st century will be longer with more
choice in more field of activity. The financial consequence of
the increased life span is particularly likely to be tough.
Inevitably, this will lead to more complexity, which in turn
necessities greater clarity and appeal from the service providers.

Branding is more important in the financial services market

which not only faces the problem of securing and retaining
customers in an increasing competitive market place but also
experience the need for heightened relevance of the brand
positioning in world where brand has been termed as new
religion.

Life Insurance Company

LIC
ICICI Prudential
HDFC Standard Life
Birla Sun life
Bajaj Allianz

Focus and strategies are essential for development of brand in

any sector but the less tangible world of financial products
historically has escaped the branding issues that have governed
development and culture in other industries.

If there was an industry, which is least, considered as an

essentiality it would be the insurance industry. It was always felt
as abstract services or a fall back, more likely a safety net. But it
is more of shifting through competitive products to select most
appropriate one, but with liberalization of the industry, players
have to realize the need for branding in competitive
environment. Insurance companies need to strive for a greater

23
customer focus regardless the customer is the end or the
intermediary.

Market Share Among Private Companies:

18% ICICI Plife

40% HDFC Standard
12%
Bajaj Allianz
Birla Sunlife
6%
Others
24%

Market Prudential for Private Life Insurance

Companies in India
It has been found out that:
 85 percent of the Indians prefer LIC than any other

insurance companies.
 ‘Prevention of Loose’ ‘Assured Returns’ and ‘Long term

Investment’ are the important factors influencing Indians

in opting for life Insurance
 Only few of the Indians are aware of private life insurance

companies.
 Most of the Indians are of the opinion that private

insurance companies would be able to perform well in the

long run.
 Most of the Indian are interested in ‘Money Back’ Policies

than other

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 Most to them are interested in insuring for an amount of
rs.1-2 lakhs.
 There is significant relationship existing between monthly
house hold income and amount insured

25
 ABOUT HDFC SLIC

HDFC Standard Life Insurance Company Ltd. is one of India's

leading private insurance companies, which offers a range of
individual and group insurance solutions. It is a joint venture
between Housing Development Finance Corporation Limited
(HDFC Ltd.), India's leading housing finance institution and a
Group Company of the Standard Life, UK. HDFC as on
December 31, 2007 holds 72.38 per cent of equity in the joint
venture.

Our key strengths

Financial Expertise
As a joint venture of leading financial services groups, HDFC
Standard Life has the financial expertise required to manage
your long-term investments safely and efficiently.

Range of Solutions
We have a range of individual and group solutions, which can
be easily customized to specific needs. Our group solutions have
been designed to offer you complete flexibility combined with a
low charging structure.

Track Record so far

Our gross premium income, for the year ending March 31, 2008
stood at Rs. 4,859 crores and new business premium income
stood at Rs. 2,685 crores.

The company has covered over 9, 59,000 lives year ending

March 31, 2008.

26
  FACT SHEET

HDFC Standard Life Insurance Co. Ltd. is a joint venture

between HDFC Ltd., India's largest housing finance
institution and Standard Life Assurance Company, Europe's
largest mutual life company. It was the first life insurance
company to be granted a certificate of registration by the
IRDA on the 23rd of October 2000.

Standard Life, UK was founded in 1825 and has experience of

over 180 years. Companies. The company is rated as "very
strong" by Standard & Poor's (AA) and "excellent" by
Moody's (Aa2).

HDFC Standard Life's cumulative premium income, including

the first year premiums and renewal premiums is Rs. 672.3
Crores for the financial year, Apr-Nov 2005. So far the company
has covered over 11,00,000 individuals and has declared 5th
consecutive bonus in as many years for its 'with profit'
policyholders.

27
 BOARD MEMBERS
Brief profile of the Board of Directors

Mr. Deepak S Parekh is the Chairman of the Company. He

is also the Executive Chairman of Housing Development
Finance Corporation Limited (HDFC Limited). He joined
HDFC Limited in a senior management position in 1978. He
was inducted as a whole-time director of HDFC Limited in
1985 and was appointed as its Executive Chairman in 1993.
He is the Chief Executive Officer of HDFC Limited. Mr.
Parekh is a Fellow of the Institute of Chartered Accountants
(England & Wales).

Mr. Keki M Mistry joined the Board of Directors of the

Company in December, 2000. He is currently the Managing
Director of HDFC Limited. He joined HDFC Limited in 1981
and became an Executive Director in 1993. He was appointed
as its Managing Director in November, 2000. Mr. Mistry is a
Fellow of the Institute of Chartered Accountants of India and
a member of the Michigan Association of Certified Public
Accountants.

Mr. Alexander M Crombie joined the Board of Directors of

the Company in April, 2002. He has been with the Standard
Life Group for 34 years holding various senior management
positions. He was appointed as the Group Chief Executive of
the Standard Life Group in March 2004. Mr. Crombie is a
fellow of the Faculty of Actuaries in Scotland.

Ms. Marcia D Campbell is currently the Group Operations

Director in the Standard Life group and is responsible for
Group Operations, Asia Pacific Development, Strategy &
Planning, Corporate Responsibility and Shared Services
Centre. Ms. Campbell joined the Board of Directors in
November 2005.

28
Mr. Keith N Skeoch is currently the Chief Executive in
Standard Life Investments Limited and is responsible for
overseeing Investment Process & Chief Executive Officer
Function. Prior to this, Mr. Skeoch was working with M/s.
James Capel & Co. holding the positions of UK Economist,
Chief Economist, Executive Director, Director of Controls
and Strategy HSBS Securities and Managing Director
International Equities. He was also responsible for Economic
and Investment Strategy research produced on a worldwide
basis. Mr. Skeoch joined the Board of Directors in November
2005.

Mr. Gautam R Divan is a practising Chartered Accountant

and is a Fellow of the Institute of Chartered Accountants of
India. Mr. Divan was the Former Chairman and Managing
Committee Member of Midsnell Group International, an
International Association of Independent Accounting Firms
and has authored several papers of professional interest. Mr.
Divan has wide experience in auditing accounts of large
public limited companies and nationalised banks, financial
and taxation planning of individuals and limited companies
and also has substantial experience in structuring overseas
investments to and from India.

Mr. Ranjan Pant is a global Management Consultant

advising CEO/Boards on Strategy and Change Management.
Mr. Pant, until 2002 was a Partner & Vice-President at Bain
& Company, Inc., Boston, where he led the worldwide Utility
Practice. He was also Director, Corporate Business
Development at General Electric headquarters in Fairfield,
USA. Mr. Pant has an MBA from The Wharton School and
BE (Honours) from Birla Institute of Technology and
Sciences.

Mr. Ravi Narain is the Managing Director & CEO of

National Stock Exchange of India Limited. Mr. Ravi Narain
was a member of the core team to set-up the Securities &

29
Exchange Board of India (SEBI) and is also associated with
various committees of SEBI and the Reserve Bank of India
(RBI).

Mr. Deepak M Satwalekar is the Managing Director and

CEO of the Company since November, 2000. Prior to this, he
was the Managing Director of HDFC Limited since 1993. Mr.
Satwalekar obtained a Bachelors Degree in Technology from
the Indian Institute of Technology, Bombay and a Masters
Degree in Business Administration from The American
University, Washington DC.

Ms. Renu S. Karnad is the Executive director of HDFC

Limited, is a graduate in law and holds a Master's degree in
economics from Delhi University. She has been employed
with HDFC Limited since 1978 and was appointed as the
Executive Director in 2000. She is responsible for overseeing
all aspects of lending operations of HDFC Limited.

30
Group Companies

Bancassurance Parteners

Some of our valued bancassurance partners.

31
PRODUCTS AND
SERVICES

32
 INDIVIDUAL PRODUCTS
We at HDFC Standard Life realize that not everyone has the
same kind of needs. Keeping this in mind, we have a varied
range of Products that you can choose from to suit all your
needs. These will help secure your future as well as the future of
your family.

Protection Plans
You can protect your family against the loss of your income
or the burden of a loan in the event of your unfortunate
demise, disability or sickness. These plans offer valuable
peace of mind at a small price.

Our Protection range includes

Term Assurance Plan
Loan Cover Term Assurance Plan
Home Loan Protection Plan

Investment Plans

HDFC Standard Life provides you with attractive long term

returns through regular bonuses.

Our Investment range includes

Single Premium Whole Of Life plan

Pension Plans
Our Pension Plans help you secure your financial
independence even after retirement.

Our Pension range includes

Personal Pension Plan
Unit Linked Pension,
Unit Linked Pension Plus

33
 Our Immediate Annuity plan will aid you in receiving income
post retirement and securing you financial independence.

Savings Plans

Our Savings Plans offer you flexible options to build savings

for your future needs such as buying a dream home or
fulfilling your children’s immediate and future needs.

Our Savings range includes

Endowment Assurance Plan
Assurance Plan
Savings Assurance Plan
Children’s Plan
Money Back
Unit Linked Endowment
Unit Linked Endowment Plus
Unit Linked Endowment Suvidha
Unit Linked Endowment Suvidha Plus
Unit Linked Endowment Plus II
Unit Linked Young Star
Unit Linked Young Star Plus
Unit Linked Young Star Suvidha
Unit Linked Young Star Suvidha Plus
Unit Linked Young Star Plus II
Unit Linked Enhanced Life Protection II

34
 GROUP PRODUCTS
One-stop shop for employee-benefit solutions HDFC Standard
Life has the most comprehensive list of products for progressive
employers who wish to provide the best and most innovative
employee benefit solutions to their employees. We offer
different products for different needs of employers ranging from
term insurance plans for pure protection to voluntary plans such
as superannuation and leave encashment. We now offer the
following group products to our esteemed corporate clients:

Group Term Insurance

Group Variable Term Insurance
Group Unit-Linked Plan
An investment solution that provides funding vehicle to
manage corpuses with Gratuity, Defined Benefit or
Defined Contribution Superannuation or Leave
Encashment schemes of your company
Also suitable for other employee benefit schemes such as salary saving
schemes and wealth management schemes

Social Product
Development Insurance Plan
Development Insurance plan is an insurance plan which
provides life cover to members of a Development Agency for a
term of one year. On the death of any member of the group
insured during the year of cover, a lump sum is paid to that
member beneficiary to help meet some of the immediate
financial needs following their loss.

35
Eligibility
Members of the development agency and their spouses
with:
- Minimum age at the start of the policy 18 years last
birthday
- Maximum age at the start of policy 50 years last birthday
Employees of the Development Agency are not eligible to join the group. The
group to be covered is only eligible if it contains more than 500 members.

Premium Payments
The premium to be paid will be quoted per member in the
group and will be the same for all members of the group.
The premium can only be paid by the Development Agency as
a single lump sum that includes all premiums for the group to
be covered. Cover will not start until the premium and all the
member information in our specified format has been
received.

The premium rate is Rs. 25 per Rs. 10,000 of lump sum, per
member.

Benefits
On the death of each member covered by the policy during the
year of cover a lump sum equal to the sum assured will be
paid to their beneficiaries or legal heirs. Where the death is as
a result of an accident, an additional lump sum will be paid
equal to half the sum assured. There are no benefits paid at the
end of the year of cover and there is no surrender value
available at any time.

The role of the Development Agency

Due to the nature of the groups covered, HDFC Standard Life
will be passing certain administrative tasks onto the

36
 Development Agency. By passing on these tasks the premium
charged can be lower. These tasks would include:
Submission of member data in a specified computer format
Collection of premiums from group members
Recording changes in the details of group members
Disbursement of claim payments and the mortality rebate (if
any) to group members
These tasks would be in addition to the usual duties of a
policyholder such as:
Payment of premiums
Reporting of claims
Keeping policy holder information up to date
Training and support will be available to give guidance on
how to complete the tasks appropriately.
Since these additional tasks will impose a burden on the
Development Agency, the Development Agency may charge a
Rs. 10 administration fee to their members.

Prohibition of rebates
Section 41 of the Insurance Act, 1938 states
No person shall allow or offer to allow, either directly or
indirectly, as an inducement to any person to take out or
renew or continue an insurance in respect of any kind of
risk relating to lives or property in India, any rebate of the
whole or part of the commission payable or any rebate of
the premium shown on the policy, nor shall any person
taking out or renewing or continuing a policy accept any
rebate, except such rebate as may be allowed in accordance
with the published prospectus or tables of the insurer

Tax Benefits

37
 INCOME GROSS HOW MUCH HDFC
TAX ANNUAL TAX CAN STANDARD
SECTION SALARY YOU SAVE? LIFE PLANS
Upto Rs.
Across All 33,990 saved
All the life
Sec. 80C income on investment
insurance plans.
Slabs. of
Rs. 1, 00,000.
Upto Rs.
Across all 33,990 saved
All the pension
Sec. 80 CCC income on Investment
plans.
slabs. of Rs.1,
00,000.
Upto Rs. 3,399 All the health
Across all
saved on insurance riders
Sec. 80 D* income
Investment of available with the
slabs.
Rs. 10,000. conventional plans.
Rs. 37,389
TOTAL
Rs. 33,990 under Sec. 80C and under Sec. 80
SAVINGS
CCC, Rs.3, 399 under Sec. 80 D, calculated for a
POSSIBLE
male with gross annual income
**
exceeding Rs. 10, 00,000.
Under Sec. 10(10D), the benefits you receive are
Sec. 10 (10)D completely tax-free, subject to the conditions laid
down therein.
* Applicable to premiums paid for Critical Illness Benefit,
Accelerated Sum Assured and Waiver of Premium Benefit.
** These calculations are illustrative and based on our
understanding of current tax legislations, which are subject to
change.
Please contact your tax consultant for exact calculation of your
tax liabilities.

38
 RESEARCH
METHODOLOGY

39
 OBJECTIVE OF RESEARCH
METHODOLOGY

To recruit certified financial consultant for HDFC STANDARD

LIFE INSURANCE COMPANY

• To aware the customer or people about the product of

HDFC STANDARD LIFE INSURANCE COMPANY

• To encourage the people for being certified financial

consultant in HDFC STANDARD LIFE INSURANCE
COMPANY

• To aware the people or customer that if he/she becomes

financial consultant in HDFC STANDARD LIFE
INSURANCE COMPANY. Then he/she has good chance
to fulfill his/her aims in a positive way with lots of
benefits.

40
 ELIGIBILITY

RANDOM

IRDA MANDATORY PREFERED BY HDFC

SLIC
18+ YEARS OF CANDIDATE PREFERED
AGE/10+2 PASS SHOULD SCORE HIGH
INVALUES AND ETHICS
AND SHOULD BE A
MATCH WITH HDFC
SLIC VALUE
WILLING TO UNDERGO AMBITIOUS, SELF
100 HRS IRDA MOTIVATED SHOULD
MANDATORY BE ABLE TO BE
TRAINING COMMITMENT WITH
TIME AND WANTS TO
MAKE SERIOUS MONEY
HAS NO AGENCY WITH
ANY LIFE INSURANCE
COMPANY

41
1. Profiling of prospect

Random observation, personal contacts and individual

approach has been used in data collection

The target areas for the FCs are CAs, Dr, housewives,
student,selfemployed,graduates and retired people. These
people are contacted through references given by our
colleagues,seniors,family members and so on. The first
target areas was housewife’s because the are educated and
have the potential to engage in such activities.Also,they
want to invest their free time in part time working for
better growth

These are explained as follows:-

CA/CS

CAs being quite active in this field & have knowledge of

each & and every aspects of this field.
They were being contacted with the data base provided by
SDMs

RETIRED PEOPLE

Retired people from government jobs were been

approaches as their enthusiasm for working did not fade
up. The main objective for targeting retired people is their
experience, market knowledge, contacts with people, &
their readymade image in society.

42
GRADUATES
Graduates have the ability to work in any situations. The
have zeal, power, enthusiasm, & urge to do something.
The graduates were been approached as they can flourish
their career by being FCs

DOCTORS

Doctors are one of the essential target areas of recruiting

FCs Doctors meet hundreds of people from every sphere
of society everyday. Moreover doctors are hard working
people & will be easy to convince to earn an additional
income.

SELF-EMPLOYED

Self –employed can also proved to be a major group for

recruiting FCs. Self – employed people have the
opportunity to take the FC ownership in their own name.
Also, they do not have fixed hours of working &moreover
as is the case with the doctors, their social sphere is not
limited

43
 HOW DO WE MAKE YOU A FINANCIAL
CONSULTANT?
1. The company would support you by providing the required
training and regular coaching
2. We also provide information in the form if sales at, so that
you are able to provide the best service to costumers.
3. One of the principle responsibilities of our business
development manager is to insure that each FC is supported at
all times.

WHY RECRUTMENT OF FINANCIAL

CONSULTANT
These are two aspects of employment in the insurance sector
today, one is permanent employment, for sales, operation, it
support, back office service and so on. We are also offering the
other kind of employment for people to sell Life insurance they
are called life financial advisors. This is a big area of
employment

• Because we are supposed to.

• That the way to do this business

• More recruits, more active advisors

THINGS TO CHECK WHILE RECRUITING

His past/present occupation gives tremendous insight into his
energy levels.
1. Show him the path in his current environment how insurance
selling can fit in lowers the resistance of time availability.
2. Check his environment, his family locality
3. Find out if he is looking for money or career as can have both
here

44
4. Energy energy always check the person’s energy level, as
career is all about meeting new people, finding new prospect
and more so handling rejections.
5. Always try to meet the person at his residence check for the
locality, his household standards of living, try to involve the
spouse in the presentation so that they know what they are
getting into.
6. Always check on need for money and a drive to do well in
life if he has been doing well in life he will make efforts to do
well with us.
7. Keep checking on the pointers and do mental checks list of
the acceptable points
8. Be convinced about the profile and only go ahead

BENEFIT OF RECRUITMENT:
1. High probability of success
2. Tax and financial consultant
3. Bond/and mutual fund agent
4. LIC agent- surrogate
5. Small business owners

ROLE OF FINANCIAL CONSULTANT:

TO PROVIDE ON GOING FINANCIAL ADVICE FOR
HIS/HER CLIENTS:

 Identify future client

 Making appointment

 Conduct financial review meetings with prospects/clients

45
 Close sale

 Get referrals

 Provide services to clients

FOLLOWS INTERNAL SALES AND

REPORTING SYSTEMS:

WORKING ENVIRONMENT
 To be part of a world class sales team

 Work from your own office or residence

 Work full time or part time

 Earn commissions, bonus and incentives

 No upper limits of earning

 Flexible career

YOUR OPPORTUNITY:

 No stamp capital required

 Flexible working environment

46
  Be your own boss

 Unlimited earning potential

EXTENSIVE TRAINING TO MAKE YOU A

PROFESSIONAL ADVISOR

STATE OF THE ART TRAINING ON:

 Selling skills

 Product knowledge

 Relationship skills

TRAINING DELIVREY THROUGH

SEVERAL CONVINIENT OPTIONS:

 Face to face

 Online

 Self learning

47
2-SKIM NATURAL MARKET:

The start was made first by the leveraging the natural market i.e.
our family, friends, relatives & personal contacts. This helps to
list down approximately 50 names and addresses to whom a
direct approach is to be made. This skimming of natural market
is done first to get handful of addresses and references with who
further approach could be made. This approach further turns out
to cover the target areas.

48
 DIAGRAM SHOWING
NATURAL MARKET

3- LEAD GENERATION:
Skimming through natural market, generated contacts to various
people. This creates an opportunity to categorize people’s
interested in HDFC. This generates a lead towards the
organizational interest. Getting aware prospects financial
position and creating their interest towards HDFC. Short term is
the basic criteria of the approaching. It is better described as
follows:

Easy way to start on your own:

 Zero investment:
There is no start up capital. Be one’s own boss with a
flexible working hour, unlimited earning potential and the
opportunity to be part of a world class sales team.

 Flexible work timing, part time or full

time:

49
 One can work whenever one likes and wherever one likes.
One can work fulltime or part time, depending upon ones
convenience it’s like no other job. However, time one
invests will determine ones success.

 Sunrise industry:
Life insurance in India has a huge potential for growth.
Statistics reveal that only 25% of the insurable population
in India is not insured and those insured are in need of still
higher insurance cover. The over 100% growth displayed
by private life insurer’s indicating this huge untapped
potential.

Professional training programs

At HDFC standard life, training is an inherent element of our

support system (at no cost) for our new financial consultants.
Some of our training & support imitative are as follows:-

•IRDA Training

Online training of 100 hours prepare One for One career as FC

and enables one to pass the IRDA examination. After the IRDA
license, one takes one’s first step towards a successful career as
a FC

Basic Training & Induction

Independent of one’s working experience; this training will

perfect one’s knowledge about the insurance industry along with
comprehensive knowledge about HDFC SLIC

50
 •Disha Training

This is a professional sales skill program devised by us to hone

one’s selling skills. This program enables one to understand
customer needs and provide need based insurance solutions. A
huge step from an amateur to a true finance professional.

•Advanced Training:-

Once one have settled down as a FC professional HDFC will

continuously upgrade one’s capability and knowledge through
sophisticated training program, fit for this dynamic world of
finance product and market.

•Unmatched support:-

• Market activity support to make our task easier.

• Advertising & communication support throughout the year.
• Customer friendly Brochures and sales aid to help one in
selling insurance solutions to customers.
• 24 hours information support,to help one track one’s
support and income.

 High Potential income:-

•Attractive commission structure & rewards:

As a FC one have the opportunity to earn high commission &

time to time one also can get rewards according to one’s
performance.

•Decide one’s own pay cheque:

51
One’s income earning potential is directly proportional to the
effort put in by one. It’s a simple formula the more people one
meet, the more one sell & the more one earn. Our commission
structure has the liability to give one the maximum benefits for
every policy one sells. It’s as easy as writing one’s own pay
ceque.

•Long term earning potential:

The policies sold by one will give one a reward income income
every year. So every year one’s income keeps increasing
steadly, even if one sells the same no. of policies every year.

•Regular income:

The commission one earn is paid by the company every 15 days.

This ensures that one get a regular income.

•One’s Reward:

We have several reward programs to inspire good performance

& create a positive spirit amongst our FC. These reward
programs include foreign trips, seminars, prizes & special club
memberships to the silver club, Gold club & platinum club.
We also sponsor our top performing FCs for international
training programs & seminars. This year HDFC SLIC are
sponsoring 124 FCs for such events.

4. Mode of contacting prospects:

52
Prospects were contacted according to their profile. Different
approaches were made in the mode of contacts according to
their profile. Prospects like C.A.s Graduates retired people,
salaried, self employed were personally contacted.
By taking their appointments or directly dealing in office,
talecalling is also one of the modes of contact which was used to
approach basically for every prospect along with prospects like
housewives, retired people businessman.

5. Total number of people contacted :

The no. of people contacted were 125 including CAs, doctors,

housewives, retired people, students, businessmen etc.

PROCESS
53
1. No. of prospects contacted:

The no. of prospects being contacted were 100 including

CAs, Doctors, Housewives, Retired persons, Students,
Businessmen, among all the people contacted the
percentage of housewives were maximum, it was
approximately 30% of the total, the percentage of retired
persons, businessmen, were 20%, the remaining 50%
included students, salaried people, self employed
graduates.

2. No. of appointments generated:

Among all the people contacted 50 persons were ready to

give appointment via following modes like
telecommunication, personal visits.

54
3. No. of FCs recruited:

The no of FC recruited were 6 which include businessmen,

professionals, students ,etc.

4. Critical ratio:
Out of 100 people the no. of people were converted as FC
were 1 which is 1% of the total contacted.

RESULT:

Out of 100 people contacted through different modes only

1 were converted as a financial consultant resulting in low
critical ratio.

Hence the project named as RECRUITMENT OF

CERTIFIED FINANCIAL CONSULTANT was
successfully completed.

55
 GROUP
COMPANIES
56
Aviva Life Insurance, India

Aviva Life Insurance Company India

Pvt. Ltd. is a joint venture between Aviva of UK and Dabur, one
of India's leading producers of traditional healthcare products.
Aviva holds a 26 per cent stake in the joint venture and the
Dabur group holds the balance 74 per cent share.

Aviva is UK's largest and the world's sixth largest insurance

Group. It is one of the leading providers of life and pensions
products to Europe and has substantial businesses elsewhere
around the world.

Aviva pioneered the concept of Banc assurance in India.

Currently, Aviva has Banc assurance tie-ups with ABN Amro
Bank, American Express Bank, Canara Bank, Centurion Bank
of Punjab, The Lakshmi Vilas Bank Ltd. and Punjab & Sind
Bank, 11 Co-operative Banks in Gujarat, Rajasthan, Jammu &

57
Kashmir and Maharashtra and one regional Bank in Sikkim.

Aviva has 40 Branches in India (including rural branches)

supporting its distribution network. Through its Banc assurance
partner locations, Aviva products are available in 378 towns and
cities across India.

Contact Address: Registered Office:2nd Floor Prakashdeep Building

7 Tolstoy Marg New Delhi 110 001

Bajaj Allianz

Bajaj Allianz is a joint venture between Allianz AG one of the

world's largest insurance companies, and Bajaj Auto, one of the
biggest 2 and 3 wheeler manufacturers in the world. Bajaj
Allianz is into both life insurance and general insurance.

Allianz Group is one of the world's leading insurers and

financial services providers. Founded in 1890 in Berlin, Allianz
is now present in over 70 countries with almost 174,000
employees. Bajaj group is the largest manufacturer of two-
wheelers and three-wheelers in India and one of the largest in
the world.

Today, Bajaj Allianz is one of India's leading and fastest

growing insurance companies. Currently, it has presence in
more than 550 locations with over 60,000 Insurance
Consultants.

58
 Birla Sun Life Insurance

Birla Sun Life Insurance Company Limited is a joint venture

between Aditya Birla Group and Sun Life Financial of Canada.
Aditya Birla Group is an Indian multinational conglomerate
with presence in India, Thailand, Indonesia, Malaysia,
Philippines, Egypt, Canada, Australia and China.

Sun Life Assurance, Sun Life Financial's primary insurance

business, is one of the leading insurance companies of the world
and ranks amongst the largest international financial services
organisations in the world. The Group has presence in several
countries such as Canada, United States, Philippines, Japan,
Indonesia, India and Bermuda.

Contact Information

Birla Sun Life Insurance Company Limited

Registered Office:2nd floor, B Wing Ahura Centre, Mahakali

Caves Rd, Andheri (E), Mumbai - 400 093

59
Visit Birla Sun Life on: www.birlasunlife.com

ICICI Prudential Life Insurance

ICICI Prudential Life Insurance Company is a joint venture

between ICICI Bank, a premier financial powerhouse and
Prudential plc, a leading international financial services group
headquartered in the United Kingdom.

ICICI was established in 1955 to lend money for industrial

development. Today, it has diversified into retail banking and is
the largest private bank in the country. Prudential plc was
established in 1848 and is presently the largest life insurance
company in the UK.

ICICI Prudential is curently the No. 1 private life insurer in the

country. For the financial year ended March 31, 2005, the
company garnered Rs 1584 crore of new business premium for a
total sum assured of Rs 13,780 crore and wrote nearly 615,000
policies.

Registered Office :

ICICI Towers
9th floor, Bandra-Kurla Complex
Mumbai - 400 051.
Tel: 494 3232
Delhi office :
3rd floor

60
Videocon Towers
E-1, Rani Jhansi Road
New Delhi - 110055. Tel: 601 3232
Email: wecoveru@icici.com Web site: www.iciciprulife.com

ING Vysya Life Insurance

ING Vysya Life Insurance Company Limited is a joint venture

between Vysya Bank and ING Group of Holland, the world's
4th largest financial services group, with presence across 50
countries, and a heritage of over 150 years.

ING Vysya Life Insurance Company Private Limited entered the

private life insurance industry in India in September 2001. With
in a short span of time ING Vysya Life Insurance has registered
an impressive growth. The company currently has over 10,000
active advisors working from 75 branches (in 30 cities) across
the country and over 2300 employees.

Contact Address :

ING Vysya House, 5th Floor

22, M.G. Road
Bangalore 560001
Phone : 91-80-25328000
Fax : 91-80-25559764
E mail: contact@ingvysyalife.com

Visit ING Vysya Life Insurance on: www.ingvysyalife.com

61
 Kotak Mahindra Old Mutual Life Insurance
Limited

Kotak Mahindra Old Mutual Life Insurance Ltd. is a joi nt

venture between Kotak Mahindra Bank Ltd.(KMBL), and Old
Mutual plc. Kotak Mahindra is one of India's leading financial
institutions and offers a range of financial services such as
commercial banking, stock broking, mutual funds, life
insurance, and investment banking.

Old Mutual was established more than 150 years ago and offers
a diverse range of financial services in South Africa, the United
States and the United Kingdom. The company is listed on the
London Stock Exchange with a market capitalization and has its
headquarters in London.

Contact Address:

6th floor, Peninsula Chambers,

Peninsula Corporate Park,
Ganpatrao Kadam Marg,
Lower Parel, Mumbai 400013.

Phone: 1800 22 8081

Visit Kotak Life Mahindra Old Mutual Life Insurance at:

www.kotaklifeinsurance.com

62
 Life Insurance Corporation of India (LIC)

Life Insurance Corporation of India (LIC) is an autonomous

body authorized to run the life insurance business in India with
its Head Office at Mumbai. It has been established by an act of
the Parliament and started functioning from 1/9/1956.

LIC is the biggest insurance player in the country. Out of the

total premium of Rs 3766 crore generated by the insurance
industry through group business in the year 2005-06, LIC alone
accounted for Rs 3051 crore.

In the financial year 2005-06, LIC has grown at 30.68%. In

respect of number of lives insured, LIC has shown a growth of
over 152%. In respect of number of schemes, LIC has a growth
of 2%. LIC's market share in number of individuals covered and
number of policies stands at 77% and 81%, respectively.

63
 Max New York Life Insurance

Max New York Life Insurance Company Limited is a joint

venture between Max India Limited, a multi-business corporate,
and New York Life International, a global expert in life
insurance.

New York Life is a Fortune 100 company that has over 160
years of experience in the life insurance business. Max India
Limited is a multi-business corporate dealing in Clinical
Research, IT and Telecom Services, and Specialty Plastic
Products businesses.

Max New York Life Insurance started its operations in India in

2000. It is the first life insurance company in India to be
awarded the IS0 9001:2000 certifications. Max New York offers
customized products tailored to suit individual's needs. With its
various Products and Riders, there are more than 400 product
combinations to choose from. Today, Max New York Life
Insurance has a network of 57 offices spread over 37 cities all
over India.

64
 MetLife India Insurance

India Insurance Co. Pvt Ltd is a joint venture between MetLife

Group and its Indian partners. The Indian partners include J&K
Bank, Dhanalakshmi Bank, Karnataka Bank, Karvy Consultants,
Geojit Securities, Way2Wealth, and Mini Muthoothu.

Met Life Group has presence in America and Asia and has an
experience of over 137 years in providing financial services.
The MetLife companies are the number one life insurer in the
U.S. with approximately US $2.8 trillion of life insurance in
force. MetLife serves 88 of the top one hundred FORTUNE 500
companies. MetLife entered Indian insurance sector in 2001.

Contact Address:
MetLife India Insurance Co. Pvt Ltd.,
'Brigade Seshamahal',
5 Vani Vilas Road,
Basavanagudi, Bangalore - 560004
Email: metlifeindia@metlife.com
Phone: 1800 425 6969

Visit MetLife India Insurance at: www.metlife.co

65
 Reliance Life Insurance

Reliance Life Insurance Company Limited is a part of Reliance

Capital Ltd. of the Reliance - Anil Dhirubhai Ambani Group.
The company acquired 100 per cent shareholding in AMP
Sanmar Life Insurance Company in August 2005. Taking over
AMP Sanmar Life provided Reliance Life Insurance a
readymade infrastructure and a portfolio.

AMP Sanmar Life Insurance was a joint venture between AMP,

Australia and the Sanmar Group. Headquartered in Chennai,
AMP Sanmar had over 90 offices across the country, 9,000
agents, and more than 900 employees.

Contact Address:
Reliance Life Insurance Company Limited,
Regd. Office: 9 Cathedral Road,
Chennai 600 086, India.
Ph: 2811 8400 Fax: 2811 7669.
Email : service@rcl.co.in

66
 SBI Life Insurance

SBI Life Insurance is a joint venture between the State Bank of

India and Cardif SA of France. SBI Life Insurance is registered
with an authorised capital of Rs 500 crore and a paid up capital
of Rs 350 crores.

State Bank of India is the largest banking franchise in India.

Along with its 7 Associate Banks, SBI Group has a network of
over 14,000 branches across the country, the largest in the
world.

Cardif is a wholly owned subsidiary of BNP Paribas, which is

The Euro Zone's leading Bank. BNP is one of the oldest foreign
banks with a presence in India dating back to 1860.

Contact Address :
Regd Office State Bank Bhavan,
Madam Cama Road,
Nariman Point,
Mumbai - 400 021

Mailing Address SBI Life Insurance Co. Ltd.,

2nd Floor, Turner Morrison Bldg,
G. N. Vaidya Marg,
Fort, Mumbai 400 023

Phone: 1800 22 9090

E-mail: info@sbilife.co.in

Visit SBI Life Insurance on: www.sbilife.co.in

67
 Shriram Life Insurance

Shriram Life Insurance Company Ltd is a joint venture between

the Chennai-based Shriram Group and the South African
insurance major Sanlam.
The company launched its operations in India in December
2005.

Shriram Life has set a target of achieving a premium income of

Rs 110 crore during the first year of operations. While focussing
largely on the strong network of over 65,000 agents and
distribution network of more than 550 branches, Shriram Life is
also contemplating bancassurance alliances with couple of
banks

68
 Tata AIG Life Insurance

Tata AIG Life Insurance Company Limited is a joint venture

between Tata Group and American International Group, Inc.
(AIG). Tata Group is one of the oldest and leading business
groups of India. Tata Group has had a long association with
India's insurance sector having been the largest insurance
company in India prior to the nationalisation of insurance. The
Late Sir Dorab Tata, was the founder Chairman of New India
Assurance Co. Ltd., a group company incorporated way back in
1919.

American International Group, Inc is the leading U.S. based

international insurance and financial services organization and
the largest underwriter of commercial and industrial insurance in
the United States. AIG has one of the most extensive life
insurance networks in the world.

Contact Address:

Tata AIG Life Insurance Company Limited

Peninsula Towers, 6th floor,
Peninsula Corporate Park, Ganpatrao Kadam Marg,
Lower Parel, Mumbai - 400 013.
India
Tel: 1800-119966
Email: info@tata-aig.com
Visit Tata AIG Life Insurance on: www.tata-aig-life.com

69
 CHANNEL
DEVELOPMENT

70
 CHANNEL DEVELOPMENT:

 Why to RECRUIT?
 Who to RECRUIT?
 How to RECRUIT?
 Recruitment Activities
 What to Check while we are Recruiting
 Role of consultant
 Working Environment
 Support Package for successful Advisor.
 Extensive trading for successful Advisor.
 Payment and benefit commission Structure
 Recognition Program

 Why to RECRUIT?

These are two aspect of employment in the insurance sector

today. One in Permanent Employment for sales operation, it
support back office services and so on. We are also offering the
other kind of employment fee people to sell life insurance they
are called “ Life Advisor” or Financial Advisor “. This is a big
area of employment which is very successful. However they
have not been sustainable on long period.

 Who to RECRUIT?

Quality department has given some indicator in terms of what

are the commonalities (Q score) of one successful advisor---
The commonalities were—
 Age between 30 –45
 Education graduate
 Family income above Rs. 2 lacs. P. a.

71
  The most important fact to remember in that 61% of
our red category advisors do not fall into any of their
category.
 This is a broad pointer for us to remember what are
the /her profile.
 Some other pointer from Quality
 Income Profile Apron Rs. 1 lacs p.a.
 People who do not own their transport

 How to RECRUIT?

 Things which you should have while meeting the

prospect
 BOP presenter
 Reward points booklet or take a copy of the catalog
from the website
 Advisor manual can show how the manual can
answer many procedural
 Talk about email id and tech support the prospect
would like to know

 Recruitment Activities

 Many market shows too show the booklet its

importance.
 Copy of any certificate MDRT certificates, sales
champion certificate etc. to show recognition.

72
  Things to check while recruiting

 Energy , energy …… always check the persons

energy levels , as this career is all about meeting new
people finding new prospects and more so handling
rejections
 His past present occupation gives tremendous
insight into his energy levels
 Show him the path in his current environment how
insurance selling can fit in lowers the resistance of time
availability
 Check his environment his family locality
 Check whether he can work on his own
 Find out if he is looking for money or career as he
can have both here

 Things to check while recruiting

 Always try to meet the person at his residence

check for the locality his household standard of living
try to involve the spouse in the presentation so that they
know what they are getting into.
 Always check on need for money and a drive to
do well In life if he has been doing well in life , he will
make efforts to do well with us
 Ask questions about his past , find instances of
accomplishments
 Keep checking on the pointers & do a mental
check list of the acceptable pointer
 Be confined about the profile and then only go
ahead

73
 Advisor Role

To provide on going financial advice for his/her client

 Identify future client
 Marking appointments
 Conduct financial review meeting with prospects/ clients
 Close sale
 Get referrals
 Provide service to clients

Following internal sales and reporting system

 Working environment

To be part of a world class sales team.

 Work from your own office or residence
 Work full time or part time
 Earn commission bonus ,incentives
 No upper limits in earnings
 Flexible career

Your Opportunity:

No startup capital required.

 Flexible working environment
 Be your own boss
 Unlimited earning potential
 To be part of world class team

74
 BENEFITS OF JOINING HDFC SLIC

Commission & Renewals: As insurance advisor you can earn

handsome commission, which varies from 5% to 40%
depending upon product to product and in addition 1st year
commission entitled to renewal commission also.
Star on debut: If our new advisor sources RENP 2,00,000 in
30 days licensing then he/she is entitled to Silver
Medal(Approx value Rs. 5,000) + certificate (signed by ZM
& Reg. Mgr).

Rising Star on Debut: If our new advisors sources RENP of

Rs. 5,00,000 in 30 days of licensing then he/she is entitled to
Gold Medal(Approx value Rs.13000) + certificate (signed by
ZM & Reg. Mgr).

Millionaire Star on Debut: If our new advisors sources RENP

of Rs. 10,00,000 in 30 days of licensing then he/she is entitled
to Gold Medal(Approx value Rs.25000) + certificate (signed
by ZM & Reg. Mgr).

Global Star on Debut: If our new advisors sources RENP of

Rs. 24,00,000 in 30 days of licensing then he/she is entitled to
Gold Medal(Approx value Rs.60000) + certificate (signed by
ZM & Reg. Mgr).

Star of the Month: Top 3 FCs, 1st Rank: Trophy + Certificate

recognizing the performance signed by ZM & Reg. Mgr., 2nd
&3rd
Reg. Mgr.

75
To recognize best talent our company has following
clubs:

Bronze Club: Non Monetary Benefit 1%. Minimum RENP

Rs. 3, 00,000 (contest period 5th July-30th Jun)

Silver Club: Non Monetary Benefit 3% and Retention Bonus

Rs.5,000. Minimum RENP Rs. 6, 00,000 (contest period 5th
July-30th Jun)
Gold Club: Non Monetary Benefit 5% and Retention Bonus
Rs.10,000. Minimum RENP Rs. 15, 00,000 (contest period 5th
July-30th Jun)

Toppers Club: Top 101st to 225th ranked CFCs on RENP

Minimum RENP Rs.40, 00,000 Non Monetary Benefit 5%
and Retention Bonus 1% Total 6%. (Contest Period 5th July-
30th Jun)

Centurion Club: Top 100 ranked CFCs on RENP Minimum

RENP Rs.40,00,000 Non Monetary Benefit 5% and Retention
Bonus 1.25% Total 6.25% up to 10% (Contest Period 5th
July-30th Jun)

Other Schemes & Incentives: Our Company announces from

time to time different incentive schemes in which gifts vary
from small item like Leather bag to luxury car for example
Skoda Octavia.

76
 Career Opportunity for Certified FCs

Branch Manager
↑
Assistant Sales Manager
↑
Branch Development Manager
↑
Sales Development Manager
↑
Certified Financial Consultants

CFC Welcome Kit:

1. Welcome letter
2. Laminated Identity Card
3. Copy of agency agreement
4. IRDA License
5. Bank account
6. 100 visiting card from the branch
7. Commission booklet
8. Reward& recognition booklet
9. Pin to access HDFCSLIC website

Extensive training to make you a professional advisor

77
  Selling skills
 Product knowledge
 Relationship skills

 Training delivery through several convenient options

 Face to face
 Online
 Self learning

Next steps
 Confirmation of mutual interest
 Selection interview
 Profiling test dates
 Draft payment favoring
 ICICI prudential life insurance co . Ltd
 Payable at Mumbai
 Finalize Training Date, venue
Support team the Company
 Field visits
 Training on products
 And selling skills
 Regular business reviews
 Be a coach and mentor
 Recognize high performers
 Help you become financially independent
Expectations of team
 Achieve sales targets
 Participate in all meetings
 Attend all training program
 Weekly reviews at the office
 Follow the sales process
 Follow weekly reporting process

78
 Findings About The
Advisors
Who Are Working In
HDFC SLIC

Reasons of being Financial

Advisor with ICICI Prudential

Findings 1
EXTRA INCOME 14%
RECOGNITION 5%
ALL THE ABOVE 64%
CAREER PROGRESSION 14%
79
FLEXIBILITY 3%
Analysis

Since the above finding shows that most of the CFC’s with
HDFCSLIC have a mix reason for being a CFC’s so the
dominating feature will be that one which forms the major
portion of the mix reaction extra income and career
progression . Thus HDFCSLIC is able to satisfy the two major
desires of its financial advisors those are money and growth.

Findings 2

80
 ANNUAL BUSINESS PRIVIDED BY
ADVISORS

0 - 35000 81% 35000 - 70000 14%

MORE THEN 70000

Analysis

A majority of CFC’s are able to deliver a good result and giving

good figures. About 81% are giving business more than Rs
70000 a year but it is not last it needs some proper attention to
develop it more.

Findings 3

81
 SATISFACTION LEVEL OF
FINANCIAL ADVISOR

HIGHLY SATISFIED 19% SATISFIED 43%

DISSATISFIED 22% HIGHLY DISSATISFIED 8%

CAN NOT SAY 8%

Analysis

The finding is able to tell that satisfaction is higher than

REASONSOFLINKING
dissatisfaction but the real achievement will be to convert that
HDFCSLIC.
dissatisfaction into satisfaction too. In this direction the first step
should be to think and make a proper action plan to increase the
level of satisfaction.

INTEGRITY27%

Findings 4 G OODW
CUSTO M
ORKINGENVIRO
ERFRIENDLYPO
NM ENT11%
LICIES32%
CANW O RKALLOVERTHECO UNTRY30%

82
Analysis

The finding is able to tell that the CFC’s liking HDFCSLIC

WORKING
because in HDFCSLIC ENVIRO
Customer NMENT
friendly OF and can work
policy
all over the country. ItsTHE COM
benefit PAthe
of NYCFC’s and for the
company.

Findings 5
VERY GOOD 39% GOOD 32%
AVERAGE 24% POOR 5%

83
Analysis

The finding shows the most consultants Perceptions for the

HDFC SLIC. Good working environment and some body are
says very good environment. It is benefits for the company then
they can provide the better facility for the consultants

Findings 6

84
 T o ta l H o u se h o l d I n c o m e o f A d v i so r ( p e r a n n u m )

14% 14%

32%
40%

L e s s t h a n 1 0 0 0 10 0 0 0 0 0 -2 0 0 0 0 0
2 0 0 0 0 0 -3 0 0 0 0 0 M o re t h a n 3 0 0 0 0 0

Analysis

It is the shows the maximums advisors earn more than

2lakhs to 3laks rupees per annum so, advisor earn
sufficient income through HDFC SLIC.

Findings 7

85
 Main Profession of Advisors

8%
3%

22%

50%

3%
11%
0% 3%

Engineer Doctor CA/ICWA/CFA/CS Lawyer

Teacher MBA Businessman Others

Analysis

It is the show that different professional person involve

as a financial consultants so, consultant is the better
option for the extra earning of different professional
group.

Findings 8

86
 Edcational Qualification of Advisors

19%
32%

8%
41%

Post Graduate & Above Graduate Diploma 12th

Analysis

It is the show the maximums consultants are graduate.

For graduate person consultants is good job.

Findings 9

87
 Marital Status of Advisors

41%

59%

Unmarried Married

Analysis

It is the show the maximums consultants are unmarried.

Findings 10
Male vs. Female of Advisors

19%

81%

MALE FEMALE

Analysis

It is the show the maximums consultants are Male.

Findings 11

88
 Age of Advisors

5%0%

49%
46%

Beloe 25 25-40 40-55 Above 55

Analysis

It is the show the maximums consultants are below 25

year age group. consultants is better job for youngsters.

89
 SWOT
ANALYSIS

90
 SWOT ANALYSIS

STRENGTH:

 Multi channel distribution and one of the largest

distribution networks in India
 Implementing six – sigma process
 Customer centric products and services
 Superior investment and risk management frame work
 1Million policies sold within 3 and half years
 company has maximum number of MDRT as well as
good number of HNI advisors
 training process of the company is very strong
 different plan for different peoples
 According to the change in surrounding environment like
change in customer requirement.

WEAKNESS:

 Company does not penetrate on the rural market at a time

 There is no plan for the low income group.
 Fees for the advisor is high than the other company.

OPPORTUNITY:

 Insurance market is very big. Where company can expand

its horizon in insurance industry.
 Through good investment and insurance it is easy to top
Indian customers
 The huge insurance market is left so company has
opportunity to expand our products
 To associate with the more number of HNI

91
THREATS:

 “Sold habits die hard”: its still difficult task to win the
confidence of public towards private company.
 The company is facing major threats from LIC which is an
only government company.
 Plans for all income groups are not available which can
create adverse effect later on the market share of the
company.

CONCLUSION:
The market potential for private insurance companies is found to
be greater in the long run as most of the Indians are of the
opinion that, private insurance companies would be able to
perform well in the future. The private and foreign insurance
companies have to take immediate steps in appointing more
number of agents and / or advisors in addition to the employees
as it has been found out that agents are the best channel to reach
the general public regarding selling of insurance products. The
private and foreign insurance companies have to concentrate on
the factors like ‘Prevention of Loss’. ‘Assured Returns’ and
‘Long tern Investment’ they can also focus on an insurance
amount of Rest 1- 2lakh with money back policies’ Hence the
market has potential. The private and foreign insurance
companies that are taking immediate steps can
tap it easily and rapidly.

92
RECOMMENDATIONS

93
My suggested recommendation for this project
are as follows:

• Increasing awareness:-
One of the major problems in recruiting FCs was that they were
not aware of the prospects and profit of becoming an FC. So, it
was really hard to convince them which could have been easier
if they had been aware.

• Increment of target areas:-

The potential areas which are generally targeted by the company
should be increased. This will give the opportunity to many
people of society those who want to work in the insurance sector
& they also have the zeal to achieve something, can proved
themselves in this field. And these areas include government
employees etc.

• Providing incentives to hard working FCs:-

The extra incentives in the form of additional rewards should be
provided to the hard working FCs. This will increase their will
power to achieve highest target & this will also boost-up their
morale & loyalty towards company. And because of this
strategy of company many people will be attracted towards us.

• Promotion areas should be extended:-

Advertisement plays a very important role in promoting

something in the market. So major emphasis should be laid on
the advertisement, strategy. Today, net advertisements also have
a very strong approach in the general public. So there are many
methods which can help achieve our target

94
 CONCLUSION

Today marketing must be understand not in the old sense of making a

sale “telling and selling”-but in the new sense of satisfying customer
needs. While selling life insurance one does not sell any tangible product
That’s why it becomes very essential to understand customer needs,
which will help to distribute and promote the product effectively and it
will be easy to sell the products.

Life Insurance is all about selling life, for which one should be very
realistic and practical because it’s a matter of a person’s life. Selling of
insurance policies is not an easy job it is all about convincing people,
winning their confidence and assuring them for a safe future.

HDFC Standard life Insurance is most respected private life insurance

company. In very short time it has won the confidence of people because
of its unique features like good services and promising future in insurance
sector. While working on this project I came to know facts about
insurance business, that there is a cutthroat competition and every
company is trying its best to sell the products. Hence it is required to
strengthen the selling chain so as to compete in the market, as a part of
my project I have tried to strengthen the chain by employing few people
for the company with a desired profile. I have discussed various issues in
the project, which should be taken care of while recruiting the financial
consultants for the company.

Lastly I would like to conclude by saying quoting the following quote,

which signifies the importance of Life insurance in ones, Life.

95
 REFERENCE

1. ‘RESEARCH METHODOLOGY’:- Deepak Bhattacharya

2. ‘ECONOMIC ENVIRONMENT OF BUSINESS; Francis

Cherunillam

3. www.hdfcinsurance.com

4. AVAILABLE COMPANY BROCHURES.

96
 SAMPLE QUESTIONNAIRE
(GENERAL PUBLIC)
Name: ________________________________________
Address: ________________________________________
Age: ________________________________________
Contact No: ________________________________________

1. Are you aware of Life Insurance Policies and its benefits?

Yes No
2. Are you insured?
Yes No

3. Which Pvt. Insurance Co. you rate as the best in the insurance sector?

ICICI Prudential LIC HDFC Standard Life

Max New York Life Oth Insurer

1. If HDFC Standard Life Insurance, then which distribution channel you prefer? And
why?
Bank assurance

Direct Marketing

Tied Agency/ Financial Advisors

---------------------------------------------------------------------------------------------
2. Are you satisfied with the services of the HDFC STANDARD Life Insurance
Company?
Yes No
6. Any suggestions?
--------------------------------------------------------------------------------------
--------------------------------------------------------------------------------------
(Signture)

97
 SAMPLE QUESTIONNAIRE
(PROSPECT ADVISORS)

Name: ________________________________________
Address: ________________________________________
Age: ________________________________________
Contact No: ________________________________________

1. Gender
a) Male
b) Female

2. Marital Status
a) Married
b) Unmarried

3. Educational Qualification
a) Any professional degree (MBA/CA)
b) Post Graduate
c) Graduate
d) Under Graduate/XII or equivalent

4. Occupational background
a) Govt/ state services
b) Pvt. Job
c) Professional – C.A/M.B.A
d) Others (Specify)

5. Annual household income

a) 5 – 8 lacs
b) 3 – 5 lacs
c) 1 – 3 lacs
d) < 1 lac

98
 6. Are you interested in making extra income?
a. Yes
b. No

7. Will you be interested in getting into a business with zero investment and
high returns?
a) Yes
b) No

8. Are you aware of Life Insurance Policies and its benefits?

Yes No

9-Which company would you like to work with?

LIC ICICI Prudential
HDFC Standard Life Max New York Life
Others

10. HDFC Standard life Insurance Company caters to a attractive payments,

instant recognition and career progression of advisors. Will you be interested in
joining HDFC Standard life Insurance Company?

a) Certainly
b) Probably
c) Definitely Not

11. Which mode of training would you like opt for?

a) Class Room training

b) Manual Training

c) Online Training

99
100