AT
ICICI LOMBARD GIC LIMITED, BANGALORE
DECEMBER 2009
Submitted in partial fulfillment of the requirement for the award of the degree of
MASTER OF BUSINESS ADMINISTRATION
(Industry Integrated)
TO
FACULTY GUIDE
Signature :
Name : Prof.B.K.Bhardwaj
I extend my special gratitude to our beloved director Dr. M.R Pattabhiram and
Dean, Project Guide Prof. B.K.Bhardwaj , NIAM Training Officer Mrs. Leela for
Charan Hotta and all my colleagues, friends for their encouragement, support,
guidance and assistance for undergoing industrial training and for preparing
3 DISCUSSION ON TRAINING
BIBLIOGRAPHY
INTRODUCTION
Also the review of latest entrants into insurance sector viz. private players like TATA
AIG General Insurance Company, Reliance General Insurance Company limited,
Bajaj Allianz General Insurance Company, IFFCO Tokyo General Insurance
Company, Royal Sundaram General Insurance Company limited and ICICI Lombard
General Insurance Company have been described in brief, Due to the growth in the
technological sector of the country, the insurance companies have started utilizing
these technologies to it‚as optimum level.
Till May, 1971 there were 107 companies operating in the market, both Indian and
foreign. Some companies were in the co-operative sector. The size of the companies
and there reach varied to a great extent. Whereas many companies used to
underwrite all types of covers fire, marine& miscellaneous insurance.
The government in May, 1971 took over the undertaking of all the
Companies as a prelude to ultimate nationalization. This was brought about under the
General insurance business (Nationalsation) Act, 1972.
Thus, effective 01/01/1973 a single holding company was created named as General
Insurance Corporation of India, with 4 subsidiaries to take care of the general
insurance business operation.
The business of life insurance in India in its existing form started in India in the year
1818 with the establishment of the Oriental Life Insurance Company in Colkata.
Some of the important milestones in the insurance business in India are:
1912: The Indian Life Assurance Companies Act enacted as the first statute to
regulate the life insurance business.
1928: The Indian Insurance Companies Act enacted to enable the government to
collect statistical information about both life and non-life insurance businesses.
1956: 245 Indian and foreign insurers and provident societies taken over by the
central government and nationalized. LIC formed by an Act of Parliament, viz. LIC
Act, 1956, with a capital contribution of Rs. 5 crore from the Government of India. The
General insurance business in India, on the other hand, can trace its roots to the
Triton Insurance Company Ltd., the first general insurance company established in
the year 1850 in Colkata by the British.
Some of the important milestones in the general insurance business in India are:
1907: The Indian Mercantile Insurance Ltd. set up, the first company to transact all
classes of general insurance business.
1968: The Insurance Act amended to regulate investments and set minimum
solvency margins and the Tariff Advisory Committee set up.
The four subsidiary companies operated under the all direction of the GIC.Each of
these had almost a similar structure with 4 tiers
The General Insurance Corporation is now only Reinsurance Company and operates
as the National Reinsures. There are however, some companies in the market, which
are formed for a specific purpose only.
• Exports Credit Guarantee Corporation - this takes care of the credit risk, which
exporters face in respect of the goods exported.
The four public sector and the 8 private sector companies are authorized to handle
direct business as well as reinsurance business, both inward outward. The buyers of
insurance would be property owners, factory owners, traders, vehicle owners,
commercial establishments, professionals etc. In fact the whole population could
deemed as potential costumers for insurance of one type or another.
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 11
With the largest number of life insurance policies in force in the world, Indian
insurance sector accounted for 4.1 per cent of GDP in 2006-07, up from 1.2 per cent
in 1999-2000, far ahead of China where insurance accounts for just 1.7 % of the GDP
and even the US where insurance penetration stands at 4 per cent of the GDP.
The time factor plays an important role while providing service to the
customer. The customer expects that the procedures for settling the claim should be
short and not much time consuming. They should get the benefits of the service as
soon as possible.
Today the technology is boosting in each and every field. Insurance
is not an exception. Companies have started providing customers facility of online
payment of premium through their websites. They also provide online assistant to the
customer the policy status and how to calculate the premium. To calculate the
premium they just need the present age, the type of police, sum assured, and
accident covered if any. By filling in this information you can calculate the amount of
premium you have to pay. The customer can pay their premiums by means of credit
cards or can also give standing instruction to the bank in order to pay their monthly
premiums.
The insurance companies also provide loan facilities against their policies. At present
loans are granted on unencumbered polices as: Up to 90% of the Surrender Value for
policies, where the premium due is fully paid-up, and Up to 85% of the Surrender
Value for policies where the premium due is partly paid- up.
The minimum amount for which a loan can be granted under a policy is Rs150. The
rate of interest charged is 10.5% p.a., payable half-yearly. Loans are not granted for a
period shorter than six months, or on the security of lost policies (the assured must
have the duplicate policies) or on policies issued under certain plans. Certain types of
policies are, however, without loan facility.
In the first month of financial year 2007-08, private sector insurers grew 37.34 per
cent to Rs1272.22 crore over April 2006. In the process, the market shares have
further undergone a change.
Private sector has grabbed a market share of 40 per cent in the non-life insurance
business, from 34 per cent in the financial year 2006-07. Public sector market share
is now only 60 per cent.
The market share fallout has been noticed in context of such companies like GIC,
LIC, which have come down to nearly 70 per cent in the past 4-5 years from the 97
per cent. The experts have fore casted the more severe competition in the insurance
sector likely to be occurred in the near future. Till recently, insurance sector was
majority driven by the government sector players but now many private sector
multinational players have come into the picture. Like HDFC, ICICI Lombard, Royal
Sundram,Tata Aig,etc. Insurance sector has been characterized as the booming
sector of the Indian arena, which has shown the growth rate of more than 15 per cent
to 20 per cent. Insurance in India is put under the federal subject and is governed by
the Insurance Act, 1938, the Life Insurance Corporation Act, 1956 and General
Insurance Business (Nationalization) Act, 1972, Insurance Regulatory and
Development Authority (IRDA) Act, 1999 and by various other acts.
Today Insurance Companies in India have grown manifold. The insurance sector in
India has shown immense growth potential. Even today a giant share of Indian
population nearly 80% is not under life insurance coverage, let alone health and non-
life insurance policies. This clearly indicates the potential for insurance companies to
grow their market in India. In 1999, various reforms were suggested in the insurance
industry in India. This has changed a lot of things for the insurance companies in
India. These reforms were:
Bringing down of the government stake holding to 50%. Only the private companies
with a minimum capital of Rs.100 crores should be allowed to enter the insurance
sector.
No insurance company can deal in both life and non-life insurance under the same
business entity.
Though, the existing rule says that a foreign partner can hold 26% equity in an
insurance company, a proposal to increase this limit to 49% is pending with the
government. Since opening up of the insurance sector in 1999, foreign investments of
Rs. 8.7 billion have poured into the Indian market and 22 private companies have
been granted licenses.
The demand for health insurance covers has seen a healthy increase, and today the
sector is the fastest growing segment in the non-life insurance industry in India, which
grew at over 40% last year. It is also emerging as an increasingly significant line of
business for life insurance companies. While this rate of growth appears to be very
healthy, it is on a low base, and health insurance penetration in the country continues
to be low. Only about 25 million persons are presently covered for health through
commercial insurance, in a country of over 1.1 billion people. Overall, the Indian
health sector is still characterized by the near absence of any significant risk
protection against major health-related expenditure
The ICICI Ltd. was established in 1955 by the World Bank, the Government of India
and the Indian Industry, to promote industrial development of India by providing
project and corporate finance to Indian industry. Since inception, ICICI has grown
from a development bank to a financial conglomerate and has become one of the
largest public financial institutions in India. ICICI has thus far financed all the major
sectors of the economy, covering 6,848 companies and 16,851 projects.
The Joint Venture ICICI Lombard General Insurance Co will be headed by Mr. Sanjiv
Kerkar. ICICI would hold about 74 percent stake, while Canadian insurer Lombard
ICICI Lombard is the largest private sector general insurance company in India with a
Gross Written Premium (GWP) of Rs. 34,198.4 million for the year ended March 31,
2009. The company presently has around 4,777 employees in 357 branches. In the
financial year ended March 31, 2009, the company issued over 4 million policies and
serviced over 33 lakh claims. The company has a claim disposal ratio of 97%
(percentage of claims) settled against claims reported as on March 31, 2009
ICICI Lombard has been assigned a domestic rating of iAAA by ICRA (an associate
of Moody’s Investors Service) for highest claim paying ability and a fundamentally
strong position. ICICI Lombard allows instant policy issuance and renewal through its
website www.icicilombard.com for all retail insurance products including Car
Insurance, Health Insurance, Travel Insurance, Two Wheeler Insurance and Home
Insurance. There are multiple payment options available including Internet banking,
credit card, debit card and cash card.
ICICI Lombard Auto Insurance has been rated highest in customer satisfaction by
J.D. Power Asia Pacific in India among 11 auto insurance providers. The company
has been conferred the Golden Peacock- Eco Innovation Award of 2009 for weather
insurance and the Customer and Brand Loyalty award in the “Insurance Sector - Non-
Life” at the 2nd Loyalty awards, 2009. It was awarded the ‘General Insurance
Company of the Year’ at the 11th Asia Insurance Industry Awards. The company also
It is the largest private sector general insurance company in India with a gross written
premium (GWP) of Rs885.1 crore in 2004-2005
2007 - ICICI Lombard General Insurance Corporation has grabbed the second spot
in insurance premiums growth displacing three public sector companies earned the
second largest premium of Rs448.65 crore for April but was at top place in terms of
premium growth of 35 per cent over the corresponding period of the last financial
year.
ICICI Lombard Auto Insurance has been rated highest in customer satisfaction by
J.D. Power Asia Pacific in India among 11 auto insurance providers. The company
has been conferred the Golden Peacock- Eco Innovation Award of 2009 for weather
insurance and the Customer and Brand Loyalty award in the “Insurance Sector - Non-
Life” at the 2nd Loyalty awards, 2009. It was awarded the ‘General Insurance
Company of the Year’ at the 11th Asia Insurance Industry Awards. The company also
won the NDTV Profit Business Leadership Award 2007 and was adjudged as the
most Customer Responsive Company in the Insurance category at the Economic
Times Avaya Global Connect Customer Responsiveness Award 2006. It has the Gold
Shield for “Excellence in Financial Reporting” by the ICAI (Institute of Chartered
Accountants of India) for the year ended March 31, 2006.
ICICI Lombard has been conferred the Golden Peacock- Eco Innovation Award of
2009 for weather insurance.
Brand Leadership Award – 16th Asia Brand Congress, Taj Lands End, Mumbai
Awarded the Brand Leadership Award at the 16th Asia Brand Congress held at Taj
Lands End, Mumbai from 26-27th September, 2007.
Assigned the iAAA rating by ICRA indicating highest claims paying ability and a
fundamentally strong position.
Claim Settlement:
Lightning-fast claim settlement is one of the key areas of focus for ICICI Lombard.
Our dedicated Relationship Managers, wide spread network across India and
presence of 24 *7 call centers assure our customers that we are always on call, day
or night. Our tie-up with Cunningham Lindsey, the worldís second largest loss
adjustors with its network in 80 locations across India, ensures a surveyor on site in
less than 24 hours.
Rural Initiative:
ICICI Lombard believes in striking the right balance between the commercial and
socio-economic aspects of the insurance business. In its Endeavour to offer tailor-
made products to meet the requirement of the rural population, explore business
opportunities in the related segments and build a competitive edge through strong
distribution network and product innovation, ICICI Lombard uses
Intermediaries like ICICI Banks kiosks, direct selling Agents, state-level tie-ups,
ITC’s e-Chou pals, NGOs and other micro finance Institutions (MFIs). The rural
Corporate Business:
ICICI Lombard via its CSG segment aims to tap large corporate with high premium
potential. The company has emerged as a major player in the corporate segment with
a well-balanced portfolio. It has made forays into specialized products that require
complex product development and strong underwriting skills. In addition, a strong
distribution has enabled it to reach out to over 3,000 corporate. It also offers single
point contact through dedicated relationship managers for both sales and customer
service.
Bank assurance
The Company has set up a dedicated SBU to cater to banc assurance business
managed by dedicated teams for each bank partner across all locations to ensure
highest levels of service to the channel and their customers and to provide complete
support and value addition to the bank partners. Our banc assurance philosophy
emphasizes on complete respect for the partner’s brand & business model with a
clear understanding that the partner owns the customer. The company has tied up
with few partners like ABN Amro Bank, ICICI Bank, UTI Bank etc, to ensure
complete support and continuous value addition to the partner. The business
philosophy behind the banc assurance initiative is to leverage distribution synergies
with partners. The channel offers unmatched product suite customized for bank
channels and customers.
Retail
ICICI Lombard aims to tap retail segment through multi-product and multi- channel
approach to marketing. The company believes that retail segment has immense
potential and will drive the company’s growth in future. It has presence in all retail
categories -- travel, health, home and motor. It has launched a number of innovative
products and features in each category like “Pay-per-day” in Overseas Travel
Insurance and floater cover for individual Health Insurance. The key to success in this
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 22
area is effective market segmentation and targeted product offerings that meet
customer needs.
E-channel
ICICI Lombard’s e-channel initiative has embraced technology with open arms. The
effective use of technology platforms has enabled customers to view all their
insurance transactions through the web on a real time basis. ICICI Lombard’s e-
channel mainly focuses on targeting customers through Internet, intranet (of large
corporate and manufacturing companies) and other national level distribution
networks. The focus is on targeting customers through the online medium. The model
is to develop an integrated and customized product platform with key partners -- ICICI
Direct, ICICI Bank, preferred partners moneycontrol.com and indiatimes.com and
other websites.
Board Members
COMMITTEES
Audit Committee
Mr. S Mukherji, Chairman
Mr. Dileep Choksi, Director
Mr. James F Dowd, Director
WHOLE- AGRICUL
SALE RETAIL RURAL TURE
Revenue Growth
OFFICER
Gross Return Premium
Year (Rs.Mn)
2006-07 30035
2007-08 36010
2008-09 37492
2007-08 3136438
2008-09 3957048
2007-08 12 30
2008-09 11 27
FIRE:
Excluding destruction or damage caused to the property insured
Lighting
Aircraft damage
Loss, destruction or damage caused by aircraft, other aerial or space devices and
articles dropped there from excluding those caused by pressure waves.
Impact Damage
Loss of or visible physical damage or destruction cause to the property insured due to
impact by any rail road vehicle or animal by direct contact not belonging to or
Owned by
• The insured or any occupier of the premises or
• There employees while acting in the course of there employment
Bush Fire
Excluding loss destruction or damage caused by forest fires.
2. BURGLARY:
The company shall compensate the insured for any loss or damage, caused by
burglary, to the contents of insured’s premises.
3. CASH IN SAFE:
The company will compensate the insured in respect of loss of, or damage to, money
and/or valuables caused by burglary and/or attempted burglary when such money
and/or valuables are contained in a domestic safe or vault which is protected by
appropriate and adequate security measures with lock in key.
4. CASH IN TRANSIT
The company shall compensate the insured for loss of money in coins
and/or notes caused by burglary, robbery or theft occurring while such money is in
the insured’s possession and is being conveyed by the insured to the insured’s
premises from the insured’s bank /ATM from where such money had been withdrawn
immediately prior to the occurrence.
The company will compensate the insured in respect of loss or damage to neon
sign/glow sign belonging to the insured caused by:
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 31
Accidental external means Fire, lightning or external explosion or theft Riot, strike or
malicious act Flood, inundation, storm, tempest, typhoon hurricane, tornado, cyclone.
6. GLASS BREAKAGE:
The company shall compensate the insured for loss or damage to any fixed glass
other than that which are specifically excluded hereunder, caused by any accidental,
external and visible means.
7. CHEQUE FORGERY:
The company shall compensate the insured for any loss to the insured caused by
forgery or material alteration of cheques, drafts or other negotiable instruments
issued by, or in favor of, the insured.
8. EMPLOYERS LIABILITY:
The company shall indemnify the insured against the legal liability of the insured in
respect of any bodily injury sustained by, or the loss of life of, the insured’s
employees arising out of and in the course of their employment.
The company shall compensate the insured for actual and reasonable medical
expenses incurred for hospital treatment by the insured in respect of any bodily injury
sustained by the insured arising out of operation at an insured peril as provided for in
standard fire and special perils- buildings and standard fire and special perils-
contents and / or burglary, coverage’s in this policy and subject to a deductible
excess of an amount as may be specified in part 1 of the schedule.
The company shall indemnify the insured for those sums that insured becomes
legally liable to pay, including litigation expenses and any amount in compensation,
by virtue of the following items as specified occurring in and about the insured’s
premises.
• Accidental death or bodily injury to any person other than insured or the insured
employees / staff. This coverage shall be limited to the sum insured for any
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 32
accident or series of accidents arising from any one event or cause, and for all
accidents during the period of insurance, and,
• Accidental damage to property of any person other than the insured or insured
employees / staff. This coverage shall be limited to the sum insured for any
one accident or series of accidents arising from any one event or cause, and
for all accidents during the period of insurance.
11. FIDELITY:
The company will compensate the insured for any direct pecuniary loss sustained by
the insured through act of fraud or dishonesty committed by any salaried employee of
the insured in the insured premises, provided that :
• The loss shall have occurred in connection with the employees occupation and
duties during the uninterrupted continuance of his employment and he
discovered within six months after its happening first of six months after the
death, dismissal or retirement of such person and
• The liability of the company in respect of any one person or all persons so
employed and in respect of losses in any one period of insurance shall not
exceed the sum insured.
Health Insurance:
We save money for a better future. But life is full of surprises; a medical emergency
can strain your hard-earned investments. Now, let your savings be untouched, get
secured.
Home Insurance:
Insure your home and its contents against natural calamities like fire, earthquake,
flood, gas cylinder explosion, fire due to electric short circuit as well as man-made
disaster like burglary.
Home Plans
Gold Plan:
The Gold plan covers much more than just your home. It offers family protection,
covers loss of cash, public liability, temporary resettlement, alternative
accommodation and baggage insurance. Other adds on offered are loan repayment
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 33
for home and car and cover for terrorism.
Silver Plan:
The Silver plan covers the structure of your home and its contents from natural and
man-made calamities like fire, flood, storm and burglary. The adds on offered include
expenses of rent for alternative accommodation and terrorism.
Motor Insurance:
Your vehicle helps you reach destinations and enables you to commute from one
place to another. But it might face some damage in an accident or get stolen. The
security of your co-passengers can be endangered during accidents. Motor insurance
takes care of all these possibilities and more.
Motor Plans
A comprehensive policy that not only covers you against third party but also against
accidents, damage, injury and much more.
A composite policy that protects you against unfortunate accidents, third party liability,
injuries and damages.
Travel Insurance:
You do not want anything to ruin your hard earned holiday or your crucial business
meeting. There is a possibility of some unexpected occurrence no matter how
perfectly you plan your trip. Unfortunate events such as baggage loss, passport loss,
a medical emergency or an accident can affect you. Having Travel Insurance protects
you from all such perils at a fraction of the cost of your trip.
Travel Plans
All overseas travel policies charge premium on a slab basis. Which means if you are
on a 16-day trip, you end up paying for 21 days, as the slab is 14 to 21 days. But with
us you pay per day.
Domestic Travel policy takes care of you and your valued assets left at home. A
policy that let’s you enjoy your trip leaving your worries with us.
COMPRTITORS
The company is the largest private sector general insurance company in India with a
Gross Written Premium (GWP) of Rs 30,034 million for the 12 months ended March
31, 2007 with a market share of nearly 12.4% and compounded annual growth rate of
over 84% in the last two years.
The company has over 4,770 personnel in 220 offices spread across 166 locations.
From April – March 2007, the company issued over 3.1 million policies across India
and settled over 5.9 lakh claims. The company has a claim disposal ratio of 96%
(percentage of claims settled against claims reported) as on March 31, 2007.
ICICI Lombard is the largest private sector general insurance company in India with a
Gross Written Premium (GWP) of Rs. 34,198.4 million for the year ended March 31,
2009. The company presently has around 4,777 employees in 357 branches. In the
financial year ended March 31, 2009, the company issued over 4 million policies and
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 36
serviced over 33 lakh claims. The company has a claim disposal ratio of 97%
(percentage of claims) settled against claims reported as on March 31, 2009
ICICI Lombard's value system is the DNA, which molds and determines the growth
and success of the company and its employees. Strongly embedded and staunchly
followed, these values form the very core of our company's spirit.
Transparency
Empowerment
ICICI Lombard provides you the platform to evolve from an employee to a partner in
progressive growth. Since our origin in 2001, our employees have always been
empowered to make decisions that chart their career path. We do not create jobs but
build futures.
Passion
The passion to excel with customer focus in mind is what initiates ICICI Lombard to
attain greater milestones. This inherent principle drives our employees to set higher
benchmarks of excellence and performance.
Integrity
Integrity is about honesty, sincerity, sound moral principles, keeping promises and
fulfilling expectations. At ICICI Lombard, integrity is not limited to the organization's
capacity to meet the needs of the stakeholder but also encompasses the vision and
values of everyone involved.
Humility
True leadership in the service industry like ours requires humility to keep one's ego
sublime and to serve others. One of the key values we look for and inculcate in our
employees is humility which allows us to keep the interests of our customer and the
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 37
organization before our own and work efficiently as a team.
CHAPTER 3
SALES TRAINEE/EXECUTIVE/OFFICER
I was recruited, as a Sales Officer in ICICI Lombard GIC Ltd.It is Corporate selling of
non-Life Insurance products. It is totally Field work which is called direct selling. My
role is to fix an appointment with client company’s Account, HR and General
Managers. And collect information about insurance. If it is already insured then my
role is to get information about present Insurer, Total Sum Insurance Premium and
total Coverage etc.And If still it is not insured, than my role is to offer proposal, get
detail of Sum-insurance and Desired coverage.
Lead Generation
Cold Calling
Making Agents
How to work in a corporate world and how can we survive in corporate fields-
that all types of practical and theoretical knowledge we can get from corporate
activities. We must have to learn about customers’ requirement, what and
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 40
which type of customer have to expect their need or requirements. This
working experience also helped me in improving communication and
presentation skills. Some of these are:
How can one assess the market awareness for office insurance products?
How can we tap this potential after assigning, through strategic marketing of
services?
To find out the customer awareness level for office insurance products.
OPERATIOANAL DEFINATIONS:
Market:
Traditionally, market was a physical place where buyers and sellers gathered to
exchange goods. It is also a collection of buyers and sellers who transact over a
particular product.
Marketing:
It is a societal process by which individual and groups obtain what they need and
want through creating, offering and freely exchanging products and services of values
with others.
Marketing research:
Product:
Means a sudden, unforeseen, and unexpected physical event beyond the control of
the Insured caused by external, visible and violent means.
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 43
Bodily injury
Means any accidental physical bodily harm but does not include any sickness or
disease.
Means any full or part time, permanent or temporary, activity under taken in the
premises with a view to profit or gain.
Burglary
Means an act involving the unauthorized entry to or exit from the insured’s property or
attempt threat by unexpected, visible, forcible and violent means, with the intent to
commit an act of theft.
Bank
Means and includes bank of every description, post office and government treasury.
Contents
Means the following used for business or business purposes, so long as they are
owned by the insured and / or for which the insured legally responsible for including
family of insured, directors, partners and the like goods such as furniture, stock,
machinery, equipment, fixtures, fittings and interior decorations but excluding money,
jewelry, and valuables.
Employee
Means any person employed by the insured to perform certain duties for
consideration, either expressly or impliedly in the course of employment
Insured or insured’s
Means the person named in the policy as the policyholder and / or his family, and / or
his parents, and / or directors and / or karta of HUF, and the like.
Medical expenses
Period of insurance
Policy
Means insured’s proposal, the schedule, company’s covering letter to the insured,
insurance clauses, definitions, exclusions, conditions and other terms contained here
in and any endorsement attaching to or forming part hereof, either at inception or
during the period of insurance.
Premises
Means insured’s shop as stated in the schedule, which is used or occupied mainly for
business purposes by insured.
Schedule
Means the schedule, and any annexure to it, attached to and forming part of this
policy.
Sum insured
Means and denotes the amount of cover available under each section as stated in
schedule or any revisions thereof based on claim settled, as stated in the scope of
cover of the policy and, where appropriate, as more particularly described.
TYPE OF RESEARCH
The type of research used in this project is a Descriptive research design. The major
purpose of descriptive research is a description of the state of the affairs, as it exists
at present. Thus a Descriptive study is a fact-finding investigation with adequate
interpretation. It is the simplest type of research. It focuses on particular aspects or
dimensions of the problem studied. It is so designed that it gathers descriptive
information and provides information for formulating more sophisticated studies.
There is a cause effective relationship.
The criteria for selecting this particular design are that, the problem of the project
must be described and not arguable. The data collected is amenable to statistical
analysis and has accuracy and significance. It is possible to develop valid standards
of comparison. It lends itself to the verifiable procedure of collection and analysis of
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 45
data.
SAMPLING TECHNIQUE:
SAMPLING DESIGN:
SAMPLING UNIT
SAMPLE SIZE
The sample size for listing questionnaire of research is 100, and the sample size is
broken down in to two samples i.e. a sample size of 80 respondents from the offices
and shops and the sample size of 20 respondents from the customers.
Primary data:
The data was collected by using questionnaire and structured direct interviews, which
were separately conducted to know the market awareness and market potential.
Secondary data:
RESEARCH LIMITATIONS:
This research is company- specific and confined only to Bangalore city, the problem
of generalization becomes obvious Limited sample size is taken.
Table1:
Particulars No. Of respondents Percentages
Yes 67 83.75
No 0 0
Little Bit 13 16.25
Total 80 100
Source: Field Study
The response given by respondents 83.75 are aware of office insurance and 16.25
know very little about office insurance. This clearly shows that there is no proper
advertisement reach to the people.
Table 2:
Media No. Of Respondents Percentages
TV 40 50
News Paper 19 23.75
Agents 21 26.25
Total 80 100
Source: Field Study
Table 3:
Factors No. Of Respondents Percentages
Company 43 53.75
Premium 17 21.25
Service 20 25
Total 80 100
Source: Field Study
The chart depicts that 53.75% prefer company as an important factor where as
21.25%prefer for premium and 25% prefer service as an important factor for
purchase of insurance policy.
Table 4:
Employees No. Of Respondents Percentages
More Than 5 53 66.25
More Than 10 17 21.25
More Than 20 10 12.5
Total 80 100
Table 5:
Particulars No. Of Respondents Percentages
Yes 20 25
No 60 75
Total 80 100
Source: Field Study
Out of 80 respondents, 25% of respondents want to have office insurance policy and
75% of respondents don’t want to have it. The above chart shows that there is a
potential market for office insurance products. Most of the respondents those who
want to have office insurance are of newly opened offices & shops.
Table 6:
Company No. Of Respondents Percentages
ICICI Lombard 6 30
HDFC Chubb 0 0
New India 7 35
Oriental 3 15
United India 4 20
Total 20 100
The chart depicts that, 30% of the respondents wants to avail services of ICICI
Lombard, 35% of respondents want to prefer New India,20%of the respondents
wants to prefer united India and 15%wants to prefer services of oriental. The data
shows around 30% of people are interested in taking insurance in ICICI Lombard. It
means there is an opportunity for company to capture the market. Most of the
respondents want to avail services in government companies.
Table 7:
The above chart shows that 85% of respondents would like to have Yearly renewal
policy and 15% of respondents want to have Auto Renewal.
Table 8:
Product Services No. Of Respondents Percentages
Fire Insurance 10 50
Electronic Insurance 5 25
Burglary Insurance 3 15
All of Above 2 10
Total 20 100
Source: Field Study
It is depicted from the chart that 50% of respondents trying to avail Fire insurance,
25% of respondents planning to avail Electronic insurance,15% of respondents trying
to avail Burglary insurance and 10% of respondents trying to avail all Fire, Electronics
and Burglary insurance policies.
Table 9:
Particulars No. Of Respondents Percentages
Within 15 Days 7 35
15 to 30 Days 13 65
30 to 60 Days 0 0
Total 20 100
Source: Field Study
Table 10:
Very Good 6 30
Good 9 45
Normal 4 20
Not Good 1 5
Total 20 100
Interpretation:
Table 11:
Amount No. Of Respondents Percentages
More Than 5000 4 20
More Than 10000 5 25
More Than 20000 11 55
Total 20 100
Source: Field Study
Table 12:
Yes 14 70
No 6 30
Total 20 100
Source : Field Study
Table 13:
Yes 16 80
No 4 20
Total 20 100
Source : Field Study
Table 14:
Opinion No. Of Respondents Percentages
Good 10 50
OK 8 40
Poor 2 10
Total 20 100
15. For what reason you dial to our customer help desk?
Table15:
Particulars No. Of Respondents Percentages
Product Related Inquiry 11 55
To Renew Policy 8 40
To Complaint 1 5
Total 20 100
Source: Field Study
The customers dial up to customer help desk for the following reasons:
55% customer dial up for product related enquiry
40% customers dial up for to renew policy and
5% customers dial up for file a complaint.
Majority of respondents told they were come to know about office insurance
through television and agents.
Majority of respondents told they are trying to avail Fire insurance and
electronic equipment insurance for their offices.
Most of the respondents said they are going to have insurance with in 15 to 30
days.
Majority of respondents told they have satisfaction with the service of the
company. and customer help disk.
Most of the customers told they dial to customer help disk for product related
enquiry.
Premium amount for general insurance policy is low and it is not refundable.
CHAPTER 5
I went through a good learning practice in ICICI Lombard for the nearly past
three months which has developed me to heights of understanding the
customers mind as well their taste and preferences in the field of services
sector. The uncertain world or market structure existing in India has very
typical way of expectation when it comes to insurance and the institutions have
realized their needs and desires and working towards satisfying their
requirements and my organization is also in its run for customer satisfaction.
The working environment was excellent which enabled me to learn the
products and services features as well as the internal aspects of management
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 64
level. This project has opened up the new window of learning, which enables
me into the clear understanding of corporate world. The proper understanding
of customers is must when it comes to service industry and that exactly what I
went through in this period of management training period.
RECOMMENDATIONS
Respondents do not have enough knowledge about the insurance policies provided
by the ICICI LOMBARD. Therefore ICICI LOMBARD Company should bring
awareness in the customers.
CONCLUSION
It is concluded from the survey that all respondents are aware about office insurance
and they think they need insurance for their offices.
Most of customers are using only Fire and electronic equipment insurance policies so
marketing executives and agents maintain good communication with the customers to
create the awareness of the policies like Mediclaim, burglary and GPA.
A. TV
B. Newspaper
C. Agents
A. Company
B. Premium
A. Yearly renewal
B. Auto renewal
A. Fire Policy
B. Burglary
C. Electronic equipment
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 68
D. All of the above
A. Within 15 days
B. 15 to 30 days
C. 30 to 60 days
A. Very Good
B. Good
C. Normal
A. More than5000
B. More than10000
C. More than20000
12. Do you feel it’s really economical?
A. Yes
B. No
A. Good
B. OK
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 69
C. Poor
15. For what reason you dial to our customer help desk?
A. Product related
B. To renew policy
C. To complaint
BIBLIOGRAPHY
India Today
News Papers
INTERNET
RAMAIAH INSTITUTE OF MANAGEMENT STUDIES 70
www.google .com
www.icicilombard.c.com