INTRODUCTION

The business of insurance is related to the protection of the economic values

of assets. Every asset has a value; the assets would have been created through

the efforts of the owner. The asset is valuable to the owner, because he expects

to get some benefits from it. The benefit may be an income or something else.

It is a factory or a cow, the product generated by is sold and income generated.

In the case of a motor car, it provides comfort and convenience in

transportation. There is no direct income.

Every asset is expected to last for a certain period of time during which it will

perform. After that, the benefit may not be available. There is a life-time for a

machine in a factory or a cow or a motor car. None of them will lose for ever.

The owner is aware of this and he can so manage his affairs that by the end of

that period of life-time, a substitute is made available. Thus, he makes sure

that the value of income is not lost. However, the asset may get lost earlier. An

accident or some other unfortunate event may destroy it or make it non

financial. In that case, the owner and those deriving benefits there from, would

be deprived of the benefit and the planned substitute would not have been

ready. There is an adverse or unpleasant situation. Insurance is a mechanism

that helps to reduce the effect of such adverse situation.

BRIEF HISTORY OF INSURANCE

The business of insurance started with marine business. Traders, who used to

gather in the Lloyd’s coffee house in London, agreed to share the losses to

their goods while being carried by ships. The losses used to occur because of
pirates who robbed on the high seas or because of bad weather spoiling the

goods or sinking the ship. The first insurance policy was issued in 1583 in

England. In India, insurance began in 1876 with life insurance being

transacted by an English company, the European and the Albert. The first

Indian insurance company was the Bombay Mutual Assurance Society Ltd,

formed in 1870. This was followed by the Oriental Life Assurance Co. in

1874, the Bharat in 1896 and the Empire of India in 1897.

Later, the Hindustan Cooperative was formed in Calcutta, the United India in

Madras, the Bombay Life in Mumbai, the National in Calcutta, the New India

in Mumbai, the Jupiter in Mumbai and the Lakshmi in New Delhi. These were

all Indian companies, started as a result of the swadeshi movement in the early

1900s. By the year 1956, when the life insurance was nationalized and the Life

Insurance Corporation of India (LIC) was formed on 1st September 1956, there

were 170 companies and 75 provident fund societies transacting life insurance

business in India. After the amendment to the relevant laws in 1999, the L.I.C.

did not have the exclusive privilege of doing life insurance business in India.

By 31.3.2002, eleven new insurers had been registered and and had begun to

transact life insurance business in India.

PURPOSE AND NEED OF INSURANCE

Assets are insured, because they are likely to be destroyed, through accidental

occurrences. Such possible occurrences are called perils, Fire, floods,

breakdown, lightning, earthquakes, etc, are perils. If such perils can cause

damage to the asset, we say that the asset is exposed to that risk. Perils are the
events. Risks are the consequential losses or damages. The risk to a owner of a

building, because of the peril of an earthquake, may be a few lakhs or few

crores of rupees, depending on the cost of the building and the contents in it.

The risk only means that there is a possibility of loss or damage. The damage

may or may not happen. Insurance is relevant only if there are uncertainties. If

there is no uncertainty about the occurrence of an event, it cannot be insured

against. In the case of a human being, death is certain, but the time of death is

uncertain, In the case of a person who is terminally ill, the time of death is not

uncertain, though not exactly known. He cannot be insured.

Insurance does not protect the asset. It does not prevent its loss due to the

peril. The peril cannot be avoided through insurance. The peril can sometimes

be avoided, through better safety and damage control management. Insurance

only tries to reduce the impact of the risk and the owner of the assets and those

who depend on that asset. It only compensates the losses – and that too, not

fully.

Only economic consequences can be insured. If the loss is not financial,

insurance may not be possible. Examples of non economic losses are love and

affection of parents, leadership of managers, sentimental attachments to family

heirlooms, innovative and creative abilities, etc.

 INDIAN INSURANCE SECTOR

The Insurance sector in India governed by Insurance Act, 1938, the Life

Insurance Corporation Act, 1956 and General Insurance Business

(Nationalisation) Act, 1972, Insurance Regulatory and Development

Authority (IRDA) Act, 1999 and other related Acts.

Life Insurance Corporation of India (LIC)

Life Insurance Corporation of India (LIC) was formed in September, 1956 by

an Act of Parliament, viz., Life Insurance Corporation Act, 1956, with

capital contribution from the Government of India. The then Finance

Minister, Shri C.D. Deshmukh, while piloting the bill, outlined the

objectives of LIC thus: to conduct the business with the utmost economy,

in a spirit of trusteeship; to charge premium no higher than warranted by

strict actuarial considerations; to invest the funds for obtaining maximum

yield for the policy holders consistent with safety of the capital; to render

prompt and efficient service to policy holders, thereby making insurance

widely popular.
Since nationalisation, LIC has built up a vast network of 2,048 branches,

100 divisions and 7 zonal offices spread over the country. The Life

Insurance Corporation of India also transacts business abroad and has

offices in Fiji, Mauritius and United Kingdom. LIC is associated with

joint ventures abroad in the field of insurance, namely, Ken-India

Assurance Company Limited, Nairobi; United Oriental Assurance

Company Limited, Kuala Lumpur and Life Insurance Corporation

(International) E.C. Bahrain. The Corporation has registered a joint

venture company in 26th December, 2000 in Kathmandu, Nepal by the

name of Life Insurance Corporation (Nepal) Limited in collaboration with

Vishal Group Limited, a local industrial Group. An off-shore company

L.I.C. (Mauritius) Off-shore Limited has also been set up in 2001 to tap

the African insurance market.

General Insurance:
General insurance business in the country was nationalised with effect from

1st January, 1973 by the General Insurance Business (Nationalisation)

Act, 1972. More than 100 non-life insurance companies including

branches of foreign companies operating within the country were

amalgamated and grouped into four companies, viz., the National

Insurance Company Ltd., the New India Assurance Company Ltd., the

Oriental Insurance Company Ltd., and the United India Insurance

Company Ltd. with head offices at Calcutta, Bombay, New Delhi and

Madras, respectively. General Insurance Corporation (GIC) which was

the holding company of the four public sector general insurance

companies has since been delinked from the later and has been approved

as the "Indian Reinsurer" since 3rd November 2000. The share capital of

GIC and that of the four companies are held by the Government of India.

All the five entities are Government companies registered under the

Companies Act.
The general insurance business has grown in spread and volume after

nationalisation. The four companies have 2699 branch offices, 1360

divisional offices and 92 regional offices spread all over the country. GIC

and its subsidiaries have representation either directly through branches or

agencies in 16 countries and through associate/ locally incorporated

subsidiary companies in 14 other countries. A wholly- owned subsidiary

company of GIC, i.e. Indian International Pte. Ltd. is operating in

Singapore and there is a joint venture company, viz. Kenindia Assurance

Ltd. in Kenya. A new wholly owned subsidiary called New India

International Ltd., UK has also been registered.

Consumer Behavior:

Consumer behavior is defined as the behavior that consumers display in

searching for, purchasing, using, evaluating and disposing of products
and services that they expect will satisfy their needs.

The study of the processes involved when individuals or groups select,

purchase, use, or dispose of products, services ideas, or experiences to
satisfy needs and desires

Customer value: The ratio between the customers’s perceived benefits

(economic, functional and psychological) and the resources
(momentary, time, effort, psychological) used to obtain those benefits.

Customer satisfaction: Customer satisfaction is the individual’s

perception of the performance of the product or service in relation to his
or her expectations.

Motivation: The processes that account for an individual’s intensity,

direction, and persistence of effort toward attaining a goal.

Personality : Personality can be described ad the psychological

characteristics that both determine and reflect how person responds to
his or her environment.
Perception is defined as the process by which an individual selects,
organizes, and interprets stimuli into a meaningful and coherent picture
of the world.

Consumer learning is the process by which individuals acquire the

purchase and consumption knowledge and experience they apply to
future related behavior.

THE CONSUMER ADOPTION PROCESS

The consumer adoption process is the process by which customers learn

about new products, try them, and adopt or reject them. Today many
marketers are targeting heavy users and early adopters of new products
recognizing that specific media can reach both groups and tend to be
opinion leaders. The consumer adoption process is influenced by many
factors beyond the marketer’s control, including consumers and
organizations willingness to try new products, personal influences and
the characteristics of the new products or innovations

STAGES OF ADOPTION PROCESS

An innovation refers to any good, service, or idea. That is perceived by

someone as new. The idea may have long history, but it is an innovation
to the person who sees it as new. Innovation takes time to spread
through the special system. The consumer adoption process focuses on
the mental process through which an individual passes from first hearing
about an innovation to final adoption. Adopters of new products have
moved through the following five stages.
AWARENESS: The consumer becomes aware of the innovation but
lacks information about it.

INTEREST: The consumer is stimulated to see the information about

the innovation.

EVALUATION: The Consumer considers whether to try the innovation

or not.

TRIAL: The consumer tries the innovation to improve his estimate of

its value.

ADOPTION: The consumer decides to make full and regular use of the
innovation.
 OBJECTIVE OF THE STUDY

For every problem there is a research. As all the researches are based on
some and my study is also based upon some objective and these are as
follows.

1. To find out the Consumer Behaviour about life insurance.

2. To find out whether people were really aware of life insurance.

3. To find out how people think about private life insurance.

 NEW INSURANCE SCHEMES
UNIVERSAL HEALTH INSURANCE SCHEME

The Universal Health Insurance policy is available to groups of 100 or more

families. The policy provides for reimbursement of medical expenses upto

Rs.30000/- towards hospitalisation floated amongst the members of the

family, death cover due to an accident for Rs.25000 to the earning head of

the family and compensation due to loss of earning head of the family @

Rs.50/- per day upto a maximum of 15 days, after a waiting period of

three days, when the earning head of the family is hospitalised. The

premium under the policy is Rs.1/- per day (i.e. Rs.365/- per annum) for

an individual, Rs.1.50 per day for a family of five limited to spouse and

children (i.e. Rs.548 per annum), and Rs.2/- per day (i.e. Rs. 730 per

annum) for covering dependent parents within the overall family size of

seven. A subsidy of Rs. 100 per year towards annual premium for "Below

Poverty Life" families is also provided under the Scheme.

For purpose of this policy HOSPITAL means:

Any Hospital/Nursing home registered with the local authorities and under the

supervision of a registered and qualified Medical practitioner.

Hospital/ Nursing Home run by Government.

Enlisted hospitals run by NGOs/ Trusts/ selected private hospitals with fixed

schedule of charges.

Hospitalisation should be for a minimum period of 24 hours. However, this

time limit is not applied to some specific treatments and also where due to
 technological advancement hospitalisation for 24 hours may not be

required.

Main Exclusions:

All pre-existing diseases.

Corrective, cosmetic or aesthetic dental surgery or treatment.

Cost of spectacles, contact lens and hearing aid.

Primarily diagnostic expenses not related to sickness/injury.

Treatment for Pregnancy, Childbirth, Miscarriage, abortions etc.

Age Limitations:

This policy covers people between the age of 3 months to 65 years.

Floater Basis:

The benefit of family will operate on floater basis i.e. the total

reimbursement of Rs. 30,000/- can be avalied of individually or

collectively by members of the family.

For further details please refer the Prospectus or the Policy Document

issued by the Insurance Company.

Varishtha Pension Bima Yojana
Scheme

Indian citizens aged 55 years (last birthday) and above are eligible (no upper

age ceiling).

Pension will be paid during the lifetime of the pensioner.

In the event of unfortunate death of the pensioner, purchase price will be paid

to the nominee/ legal heir of the pensioner.

Mode of payment of pension : Monthly, Quarterly, Half Yearly or Yearly.

Minimum pension is Rs. 250/- per month

Maximum pension is Rs. 2000/- per month.

Only one person from a family can apply. The family for this purpose shall

comprise of the pensioner, his/ her spouse and dependants.

Age proof will be required. Where age is to be admitted on declaration basis,

declaration on a stamp paper, signed in front of a notary shall be required.

Premium

Only single premium (purchase price) is payable i.e. premium is to be

paid in one lump sum. Further, premium shall be accepted by cheques/

drafts payable on the Branch of the bank which is the member of the local

clearing house.

Exit Option

Exit option to be provided after 15 years.

Availability of Loan

Availability of loan to the extent of 75% of Purchase Price after 3 years.

Interest rate on loan to be decided by LIC from time to time. At present,

the rate of interest would be 10.5%.

MAJOR POLICY CHANGES

Reforms In Insurance Sector

Insurance sector has been opened up for competition from Indian private

insurance companies with the enactment of Insurance Regulatory and

Development Authority Act, 1999 (IRDA Act). As per the provisions of

IRDA Act, 1999, Insurance Regulatory and Development Authority

(IRDA) was established on 19th April 2000 to protect the interests of

holder of insurance policy and to regulate, promote and ensure orderly

growth of the insurance industry. IRDA Act 1999 paved the way for the

entry of private players into the insurance market which was hitherto the

exclusive privilege of public sector insurance companies/ corporations.

Under the new dispensation Indian insurance companies in private sector

were permitted to operate in India with the following conditions:

Company is formed and registered under the Companies Act, 1956;

The aggregate holdings of equity shares by a foreign company, either by itself

or through its subsidiary companies or its nominees, do not exceed 26%,

paid up equity capital of such Indian insurance company;

The company's sole purpose is to carry on life insurance business or general

insurance business or reinsurance business.

The minimum paid up equity capital for life or general insurance business is

Rs.100 crores.

The minimum paid up equity capital for carrying on reinsurance business has

been prescribed as Rs.200 crores.

 The Authority has notified 27 Regulations on various issues which include

Registration of Insurers, Regulation on insurance agents, Solvency

Margin, Re-insurance, Obligation of Insurers to Rural and Social sector,

Investment and Accounting Procedure, Protection of policy holders'

interest etc. Applications were invited by the Authority with effect from

15th August, 2000 for issue of the Certificate of Registration to both life

and non-life insurers. The Authority has its Head Quarter at Hyderabad.

INSURANCE COMPANIES
IRDA has so far granted registration to 12 private life insurance

companies and 9 general insurance companies. If the existing public

sector insurance companies are included, there are currently 13

insurance companies in the life side and 13 companies operating in

general insurance business. General Insurance Corporation has been

approved as the "Indian reinsurer" for underwriting only

reinsurance business. Particulars of the life insurance companies and

general insurance companies including their web address is given

below:

LIFE INSURERS Websites

Public Sector
Life Insurance Corporation of
www.licindia.com
India
Private Sector
ICICI Prudential Life Insurance
www.iciciprulife.com
Co. Limited
Allianz Bajaj Life Insurance
www.allianzbajaj.co.in
Company Limited
Birla Sun-Life Insurance
www.birlasunlife.com
Company Limited

HDFC Standard Life Insurance

www.hdfcinsurance.com
Co. Limited

ING Vysya Life Insurance

www.ingvysayalife.com
Company Limited
Max New York Life Insurance
www.maxnewyorklife.com
Co. Limited
MetLife Insurance Company
www.metlife.com
Limited
Om Kotak Mahindra Life
www.omkotakmahnidra.com
Insurance Co. Ltd.

SBI Life Insurance Company

www.sbilife.co.in
Limited

TATA AIG Life Insurance

www.tata-aig.com
Company Limited
AMP Sanmar Assurance
www.ampsanmar.com
Company Limited
Dabur CGU Life Insurance Co.
www.avivaindia.com
Pvt. Limited
GENERAL INSURERS
Public Sector
National Insurance Company
www.nationalinsuranceindia.com
Limited
New India Assurance Company
www.niacl.com
Limited
Oriental Insurance Company
www.orientalinsurance.nic.in
Limited
United India Insurance
www.uiic.co.in
Company Limited
Private Sector
Bajaj Allianz General Insurance
www.bajajallianz.co.in
Co. Limited
ICICI Lombard General www.icicilombard.com
Insurance Co. Ltd.
IFFCO-Tokio General
www.itgi.co.in
Insurance Co. Ltd.
Reliance General Insurance Co.
www.ril.com
Limited

Royal Sundaram Alliance

www.royalsun.com
Insurance Co. Ltd.

TATA AIG General Insurance

www.tata-aig.com
Co. Limited
Cholamandalam General
www.cholainsurance.com
Insurance Co. Ltd.
Export Credit Guarantee
www.ecgcindia.com
Corporation
HDFC Chubb General
Insurance Co. Ltd.
REINSURER
General Insurance Corporation
www.gicindia.com
of India
PROTECTION OF THE INTEREST OF POLICY
HOLDERS:

IRDA has the responsibility of protecting the interest of insurance

policyholders. Towards achieving this objective, the Authority has taken

the following steps:

IRDA has notified Protection of Policyholders Interest Regulations 2001 to

provide for: policy proposal documents in easily understandable

language; claims procedure in both life and non-life; setting up of

grievance redressal machinery; speedy settlement of claims; and

policyholders' servicing. The Regulation also provides for payment of

interest by insurers for the delay in settlement of claim.

The insurers are required to maintain solvency margins so that they are in a

position to meet their obligations towards policyholders with regard to

payment of claims.

It is obligatory on the part of the insurance companies to disclose clearly the

benefits, terms and conditions under the policy. The advertisements issued

by the insurers should not mislead the insuring public.

All insurers are required to set up proper grievance redress machinery in their

head office and at their other offices.

The Authority takes up with the insurers any complaint received from the

policyholders in connection with services provided by them under the

insurance contract.
Insurance Company Market Share (Fig. in
%)
LIC 71.44
ICICI Prudential 11.35
Bajaj Allianz 7.06
HDFC Standard Life 2.37
SBI Life 1.81
Birla Sun Life 1.49
Max New York Life` 0.98
TATA AIG 0.79
Aviva 0.89
OM Kotak Mahindra 0.86
ING Vyasa 0.57
Reliance 0.37
MetLife 0.24

Market Share of Life Insurance Companies as of May 2008.

 COMPANY PROFILE
ABOUT ICICI PRUDENTIAL

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. This joint venture is formed in the year Dec, 2000

and ICICI Prudential was amongst the first private sector Insurance

companies to begin operation in Dec, 2000 after receiving approval

from the Insurance Regulatory Development Authority (IRDA).

For the year ended March 31, 2008, the company garnered Rs

24.12 billion of weighted new business premium and wrote 837,963

policies. The sum assured in force stands at Rs 458.88 billion. The

company has a network of over 72,000 advisors; as well as 9 banc

assurance partners and over 200 corporate agent and broker tie-ups. It

is also the only life insurer in India to be assigned AAA credit rating

from Fitch Ratings. For the past five years, ICICI Prudential has

retained its position as the No. 1 private life insurer in the country,

with a wide range of flexible products that meet the needs of the Indian

customer at every step in life. ICICI Bank and Prudential Plc hold 74

percent and 26 percent stake respectively.

PARTNERS
ICICI and Prudential came together in 1993 to form Prudential

ICICI Asset Management Company, which has today emerged as one

leading mutual funds in India. Riding on the success of this

relationship, the two companies joined hands ones more in 2000, to

form ICICI Prudential Life Insurance, with a commitment to provide

leading edge life insurance solutions.

ABOUT ICICI BANK

ICICI Bank is India's second-largest bank with total assets of

about Rs. 2,513.89 bn (US$ 56.3 bn) at March 31, 2008 and profit after

tax of Rs. 25.40 bn (US$ 569 mn) for the year ended March 31, 2008

(Rs. 20.05 bn (US$ 449 mn) for the year ended March 31, 2005). ICICI

Bank has a network of about 614 branches and extension counters and

over 2,200 ATMs. ICICI Bank offers a wide range of banking products

and financial services to corporate and retail customers through a

variety of delivery channels and through its specialized subsidiaries

and affiliates in the areas of investment banking, life and non-life

insurance, venture capital and asset management. ICICI Bank set up its

international banking group in fiscal 2002 to cater to the cross border

needs of clients and leverage on its domestic banking strengths to offer

products internationally. ICICI Bank currently has subsidiaries in the

United Kingdom, Russia and Canada, branches in Singapore, Bahrain,

Hong Kong, Sri Lanka and Dubai International Finance Centre and

representative offices in the United States, United Arab Emirates,

China, South Africa and Bangladesh. Our UK subsidiary has

established a branch in Belgium. ICICI Bank is the most valuable bank

in India in terms of market capitalization.

ICICI Bank's equity shares are listed in India on the Bombay Stock

Exchange and the National Stock Exchange of India Limited and its

American Depositary Receipts (ADRs) are listed on the New York

Stock Exchange (NYSE).

ICICI Bank has formulated a Code of Business Conduct and Ethics for

its directors and employees

At June 5, 2006, ICICI Bank, with free float market capitalization

of about Rs. 480.00 billion (US$ 10.8 billion) ranked third amongst

all the companies listed on the Indian stock exchanges.

ICICI Bank was originally promoted in 1994 by ICICI Limited, an

Indian financial institution, and was its wholly-owned subsidiary.

ICICI's shareholding in ICICI Bank was reduced to 46% through a

public offering of shares in India in fiscal 1998, an equity offering in

the form of ADRs listed on the NYSE in fiscal 2000, ICICI Bank's

acquisition of Bank of Madura Limited in an all-stock amalgamation in

fiscal 2001, and secondary market sales by ICICI to institutional

investors in fiscal 2001 and fiscal 2002. ICICI was formed in 1955 at

the initiative of the World Bank, the Government of India and

representatives of Indian industry. The principal objective was to

create a development financial institution for providing medium-term

and long-term project financing to Indian businesses. In the 1990s,

ICICI transformed its business from a development financial institution

offering only project finance to a diversified financial services group

offering a wide variety of products and services, both directly and

through a number of subsidiaries and affiliates like ICICI Bank. In

1999, ICICI become the first Indian company and the first bank or

financial institution from non-Japan Asia to be listed on the NYSE.

After consideration of various corporate structuring alternatives in the

context of the emerging competitive scenario in the Indian banking

industry, and the move towards universal banking, the managements of

ICICI and ICICI Bank formed the view that the merger of ICICI with

ICICI Bank would be the optimal strategic alternative for both entities,

and would create the optimal legal structure for the ICICI group's

universal banking strategy. The merger would enhance value for ICICI

shareholders through the merged entity's access to low-cost deposits,

greater opportunities for earning fee-based income and the ability to

participate in the payments system and provide transaction-banking

services. The merger would enhance value for ICICI Bank shareholders

through a large capital base and scale of operations, seamless access to

ICICI's strong corporate relationships built up over five decades, entry

into new business segments, higher market share in various business

segments, particularly fee-based services, and access to the vast talent

pool of ICICI and its subsidiaries. In October 2001, the Boards of

Directors of ICICI and ICICI Bank approved the merger of ICICI and
two of its wholly-owned retail finance subsidiaries, ICICI Personal

Financial Services Limited and ICICI Capital Services Limited, with

ICICI Bank. The merger was approved by shareholders of ICICI and

ICICI Bank in January 2002, by the High Court of Gujarat at

Ahmedabad in March 2002, and by the High Court of Judicature at

Mumbai and the Reserve Bank of India in April 2002. Consequent to

the merger, the ICICI group's financing and banking operations, both

wholesale and retail, have been integrated in a single entity.

ABOUT PRUDENTI AL PLC

Established as the Prudential Mutual Assurance and Loan Association in 1848,

today it is an international financial services company with a product range

which extends from personal banking insurance, pensions and retail

investments, to institutional fund management and property investments.

Its portfolio of well-known and respected brands, including Prudential, M&G

Investments, Jackson National Life, Prudential Corporation Asia and Egg, has

attracted more than 19 million customers (and policy holders and unit holders)

worldwide. Across the Group it has £234 billion of funds under management

(at 31 December 2008).

Prudential has significant operations in the UK, the US and Asia, contributing

to a diversity of earnings. Worldwide it employ more than 20,000 people and

our shareholders number 60,942 (at 31 December 2008). We are listed on the

London and New York stock

In Asia, Prudential Corporation Asia has 23 operations in 12 countries. These

include strategic partnerships with some of the region’s leading players,

including CITIC Group (for life business in China), ICICI Bank (for life and

mutual fund business in India) and Bank of China International (for

Mandatory Provident Fund business in Hong Kong). Prudential Corporation

Asia offers a wide range of savings, protection and investment products

tailored to the needs of our customers in each of the 12 markets in which

itoperate. In addition to its life insurance operations Prudential has asset

management businesses in India, Hong Kong, Japan, Taiwan, Malaysia,

Singapore, Korea, Vietnam and China managing over £26 billion (as of 30

June 2008).

VISION

OUR VISION:

To make ICICI Prudential the dominant Life and Pensions player built on trust

by world-class people and service.

This we hope to achieve by:

• Understanding the needs of customers and offering them superior

products and service

• Leveraging technology to service customers quickly, efficiently and

conveniently
 • Developing and implementing superior risk management and

investment strategies to offer sustainable and stable returns to our

policyholders

• Providing an enabling environment to foster growth and learning for

our employees

• And above all, building transparency in all our dealings.

The success of the company will be founded in its unflinching commitment to

5 core values -- Integrity, Customer First, Boundary less, Ownership and

Passion. Each of the values describes what the company stands for, the

qualities of our people and the way we work.

We do believe that we are on the threshold of an exciting new opportunity,

where we can play a significant role in redefining and reshaping the sector.

Given the quality of our parentage and the commitment of our team, there are

no limits to our growth.

 PRODUCT OF ICICI PRUDENTIAL

SAVINGS PLANS
ICICI Prudential offers a variety of policies that give you the benefits of

protection and the opportunity to save for important assets or events, like a

home, a car or a wedding.

NEW
A regular premium unit-linked insurance plan with an assurance of Capital

Guarantee* and the facility of extended insurance cover.

*The capital guarantee is applicable only on the invested premium and the

declared bonus interests.

A regular premium unit-linked insurance plan with an assurance of Capital

Guarantee* along with flexible liquidity options.

A unit-linked insurance plan with an assurance of Capital Guarantee*, which

offers you the benefit of a limited premium payment and coverage term.

A market linked insurance plans that meets your Investment and Protection

needs.
Complete market-linked insurance plans that adapt itself to your changing

protection and investment needs, throughout a lifetime.

An insurance plan that gives added protection savings and multiple options, all

in one!

An insurance plan that gives added protection savings, multiple options, plus

the power of liquidity.

A traditional endowment savings plan that offers both high returns and

protection.

An endowment savings plan that allows you to get back substantial survival

benefits without having to wait till the maturity date.

PROTECTION PLANS

ICICI Prudential Life Insurance offers LifeGuard - a set of pure protection

plans. Choose from amongst three different product structures to insure your

life and provide total security to your family, at a very affordable cost.

Level Term Assurance with return of premium

 On death the entire sum assured will be paid.

 On maturity, all the premiums paid will be returned.

Level Term Assurance without return of premium

 On death the entire sum assured will be paid.

 No survival or maturity benefits.

You can also enhance the above two policies by adding Accident & Disability

Benefit Rider and Waiver of Premium Rider (WOP).

Level Term Assurance - Single premium

 On death the entire sum assured will be paid.

 No survival or maturity benefits

CHILD PLANS

As a responsible parent, you will always strive to ensure a hassle-free,

successful life for your child. However, life is full of uncertainties and even

the best-laid plans can go wrong. Here’s how you can give your child a 100%

safe and assured tomorrow, whatever the uncertainties. SmartKid is especially

designed to provide flexibility and safeguard your child’s future education and

lifestyle, taking all possibilities into account. For further information on our

SmartKid Education Plans

1. SmartKid regular premium

2. SmartKid unit-linked regular premium

3. SmartKid unit-linked regular premium II

4. SmartKid unit-linked single premium II

All these plans offer you:

♦ Financial Benefits: Regular payments at critical stages in your child’s

life, like Board examinations, Graduation and Post-graduation.

♦ Total peace of mind, even if you are not around

 o Sum Assured is paid immediately: Ensures that your loved

ones stay financially secure, even in your absence

o All future premiums are waived: Ensuring that your family is

not financially burdened in your absence

o Policy benefits continue: The educational benefits of the

policy continue, ensuring that your child can realize his or her

dreams without any hassles.

♦ Development Allowance: SmartKid guarantees regular income to

secure your child’s educational career and also ensures his or her all-

round development, for a nominal additional amount. The Income

Benefit Rider takes care of this through an annual payment of 10% of

the sum assured, to your child, till the maturity of the policy, in the

unfortunate event of the death of the parent.

♦ All SmartKid plans can be enhanced with the Accident & Disability

Benefit Rider and Income Benefit Rider.You can also an Accident

Benefit Rider to a SmartKid Regular Premium policy,and a Waiver of

Premium Rider (WOP) to SmartKid unit-linked regular premium

policy.
RETIREMENT PLANS

Life Expectancy has been rising rapidly and today you can expect to live

longer than your earlier generations. For you, this increase will mean a longer

retirement life, stretching into a couple of decades. ICICI Prudential presents

Retirement Solutions that combine the best of insurance and investment.

These solutions are developed to ensure your peace of mind for the years to

come.For further information on our Retirement Solutions

Choose from amongst 6 retirement plans:

A flexible unit-linked retirement solution that offers flexibilities during the

accumulation as well as payout phase.

A regular premium unit-linked pension plan with an assurance of Capital

Guarantee*

*The capital guarantee is applicable only on the invested premium and the

declared bonus interests

A regular premium linked pension plan that gives you the freedom to choose

the amount of premium, and invest in market-linked funds, to generate

potentially higher returns.

A single premium linked pension plan that gives you the freedom to choose

the amount of premium, and invest in market-linked funds, to generate

potentially higher returns.

A regular premium pension plan that gives you the flexibility to choose

between 3 levels of sum assured for the same level of total annual contribution

A regular premium pension plan that helps you save for your retirement while

providing you with life insurance protection.

Choose from 5 Annuity options at the time of vesting

1. Life Annuity

2. Life Annuity with return of purchase price

3. Life Annuity guaranteed for 5, 10, 15 years

4. Joint Life, Last Survivor without return of purchase price

5. Joint Life, Last Survivor with return of purchase price

HEALTH PLANS

Comprehensive Cancer Protection Plan

A Long-term Critical Illness Protection Plan.

A Long-term Critical Illness Protection Plan with Life Cover.

INVESTMENT PLANS

Lifelink Super is a unique single premium plan that combines the security of a

life insurance policy with the opportunity to enjoy potentially high returns on

your investments.

Low Allocation Charges: The premium allocation charges are amongst the

lowest across products. Allocation charge for single Premium of Rs 500,000

or more is 0%.

Death Benefit: There are 2 options for sum assured - 500% of the single

premium or 125% of the single premium. In the event of an unfortunate death,

the beneficiary will receive higher of the value of units or the initial death

benefit (adjusted for partial withdrawals*).

Liquidity: In order to meet liquidity requirements, one can make partial

withdrawals from the accumulated value of the policy after completion of

three policy years.

Flexibility:Choose from four fund options, based on your investment

objective and risk appetite. If at a later stage your financial priorities change,

you can switch between the various fund options, absolutely free, 4 times a

year.
GROUP SOLUTIONS

In an era of competitive parity, the only asset that makes a decisive difference

between corporate success and failure is the quality

of human capital. Employee benefits have proven to be an excellent tool to

optimize the retention of talent and improve an organisation’s bottomline.

The quality of an organisation’s employee benefits establishes and maintains a

company's image as a caring employer. Optimum care of employees is a long-

term investment that results in a sustained competitive advantage for an

organisation in the times to come.

ICICI Pru Group Solutions Advantage

♦ An integrated basket of employee benefit solutions that offer

incomparable flexible benefits.

♦ Sound investment management that focuses on safety, stability and

profitability of the portfolio.

♦ Personalised financial planning for your employee that takes care of

his/her changing financial needs at every stage of life.

♦ Quality service initiatives and transparency across all operations,

promising superlative operational efficiency.

Group Term Insurance : Helps provide affordable cover to members of a

group.

Group Gratuity Plan : Helps employers fund their statutory gratuity

obligation in a flexible and hassle-free manner.

Group Superannuation Plan : A flexible scheme (defined benefit and

defined contribution) to provide a retirement kitty for each member of the

group.

Group Term Insurance

ICICI Prudential's flexible group term solution helps provide affordable cover

to members of a group. The cover could be uniform or based on

designation/rank or a multiple of salary, and can be extended to all employees

between the ages of 18 and 65 years. The benefit under the policy is paid on

the event of the member’s death to the beneficiary nominated by the member.

It is a one-year renewable policy where one master policy covers all proposed

employees comprising the group, with a minimum group size of 25 persons.

New members can join the group and outgoing members can leave the group

at any point during the policy term.

Highlights include:

♦ Greater convenience for the employees with relaxed underwriting and

medical requirements.

♦ "Free Cover Limits" with simplified underwriting depending upon

the number of employees in the group and the level of cover chosen.

♦ Guaranteed benefit : On death during the term of the contract (while

in service), the sum assured will be paid to the beneficiary of the

employee.

♦ Choice of additional coverage in form an Accident and Disability

Benefit Rider and Critical Illness Cover

 ♦ Premium is viewed as a business expense in the year of payment.

Group Gratuity Plan

ICICI Prudential's group gratuity plan helps employers fund their gratuity

obligation in a scientific manner. Employers can avail of the tax benefits as

applicable to approved gratuity funds. The plan can also be customized to

structure schemes that can provide benefits beyond the statutory obligations.

Highlights include:

♦ Wider choice of investments with Market Linked Plans - to meet

the diverse financial goals. We offer the following investment options

(short-term debt, debt, balanced, growth and capital guarantee on

the short-term debt plan) where investments will be made in

accordance with the fund objectives

♦ Transparency through Daily disclosure of Unit Value and regular

disclosure of the portfolio of each of the investment option

♦ Flexibility through switching and contribution redirection option to

enable reshuffling of portfolio

♦ Bundled Life Cover greater value to the employee by packaging life

insurance cover with the gratuity, with minimal amount of

underwriting.

♦ Actuarial services to provide a scientific estimation of the gratuity

liability.

♦ Low explicit charge structure with the conditions for exit specified

upfront.
 ♦ Enhanced service levels through faster claim settlement, easier access

to information and regular statements

♦ Complete end to end solution in the legal and regulatory approval

process for scheme set up or transfer

Employee Benefits

♦ The contribution made by the employer is not included in the value of

taxable perquisites in the hands of the employee.

♦ Gratuity received up to Rs 350000 is exempt from Income tax under

Sec 10(10)

Employer Benefits

♦ Annual contribution up to 8.33% of salary bill in a financial year is

allowed a deduction for the purpose of computation of profits and

gains of business.

♦ Contribution towards past service liability is allowed as deduction as

per the Income Tax rules.

Group Superannuation Plan

ICICI Prudential’s Superannuation Scheme (for both Defined Benefit and

Defined Contribution funds) offers substantial benefits to both employers and

employees. The employer and employee can avail of tax benefits applicable to

an approved superannuation trust. The scheme will provide for a retirement

fund for each participating employee. An employee would be able to choose

from various annuity options or opt for partial commutation of corpus at

retirement.

Highlights include:

♦ Wider choice of investments with Market Linked Plans - to meet

the diverse financial goals.We offer the following investment options

(short-term debt, debt, balanced, growth and capital guarantee

options on short-term debt, debt and balanced) where investments

will be made in accordance with the fund objectives.

♦ Control - Each member/employer can exercise greater control over

investments by choosing one or more of the investment options.

♦ Multiple Annuity Options - 5 annuity options and open market option

♦ Transparency - Transparency through Daily disclosure of Unit Value

and regular disclosure of the portfolio of each of the investment option.

♦ Flexibility - Flexibility through switching and contribution redirection

option to enable reshuffling of portfolio

♦ Low explicit charge structure with conditions for exit specified

upfront.

♦ Enhanced service levels through faster claim settlement, easier access

to information and regular statements.

♦ Complete end to end solution in the legal and regulatory approval

process for scheme set up or transfer

RURAL PLANS

ICICI PrudentialLife Rural Products are designed to meet the needs of the

rural consumers. These products offer the following features:

1. Low and Affordable Premiums

2. Life Cover

3. Savings Option

4. Hassle free procedure

ICICI Prudential offers 2 specially designed rural plans.

1. ICICI Pru Mitr – Endowment Plan

2. ICICI Pru Suraksha - Regular Premium

ICICI Pru Mitr – Endowment Plan

ICICI Pru Mitr offers the following features:

Life Cover and Savings

♦ Regular Premiums

♦ Age at entry : 18 - 45 Yrs

♦ Premium Mode : Half Yearly / Yearly

♦ Term : 5,10,15 Yrs

♦ Sum Assured : Rs.5,000 -20,000

♦ Premium / Year : Rs. 507 - 553 ( SA: Rs.10,000)

♦ Maturity/Death benefit : Sum Assured

ICICI Pru Suraksha - Regular Premium

ICICI Pru Suraksha is a regular premium policy with the following features:

♦ Individual policy

♦ Only Life cover

♦ Term - 3 & 5 Yrs

♦ Age independent premium

♦ Age at entry : 18 - 45 Yrs

♦ Sum Assured : Single

♦ Premium / Year : Rs 50 – 200

♦ Maturity/Death benefit : Rs.5,000 - 20,000

♦ Death Benefit : Sum Assured

NRI PLANS

Being away from India doesn't mean you have to compromise the safety and

security of your loved ones. In fact, your savings from your time overseas can

be easily channelised to meet your family's needs - now and in the future. So,

whether its your dream to retire in your hometown; to secure

funds for your children's education; or to build assets, ICICI Prudential has a

range of solutions that can be customized to meet your needs.

♦ Investment Plans

♦ Savings Plans

♦ Retirement Plans

♦ Child Plans
Investment Plans

You can hedge your investments with investment like LifeLink Super vehicles

that provide you with a diversified portfolio.

Savings Plans

Endowment policies are a good way of putting aside your savings today for a

future goal - whether it's to buy a house in India or fund your entrepreneurial

vision. Our savings-oriented policies are designed to make your savings grow

and have them available to you at the end of a fixed number of years or

through the term of the plan.

♦ SecurePlus - an insurance plan that gives added protection savings and

multiple options, all in one!

♦ CashPlus - an insurance plan that gives added protection savings,

multiple options, plus the power of liquidity.

♦ LifeTime II - a complete market-linked insurance plan that adapts

itself to your changing protection and investment needs, throughout a

lifetime.

♦ Save'n'Protect - a traditional endowment savings plan that offers both

high returns and protection.

♦ CashBak - an endowment savings plan that allows you to get back

substantial survival benefits without having to wait till the maturity

date.

♦ Premier Life - A market linked insurance plans that meets your

Investment and Protection needs.

Retirement Plans

Many of us picture ourselves enjoying the fruits of our labour after retirement

- going on a dream vacation, or helping our child's career take wing. Financing

all this will depend on our personal savings and investments, so its important

to save for the future from today. Our retirement plans are designed to help

you systematically save, so that you can enjoy all the things you have dreamed

of when you retire.

♦ LifeTime Pension II : A regular premium linked deferred pension

plan that gives you the freedom to choose the amount of premium, and

invest in market-linked funds, to generate potentially higher returns.

♦ SecurePlus Pension : A regular premium deferred pension plan that

gives you the flexibility to choose between 3 levels of sum assured for

the same level of total annual contribution.

♦ LifeLink Pension II : A single premium linked deferred pension plan

that gives you the freedom to choose the amount of premium, and

invest in market-linked funds, to generate potentially higher returns.

♦ ForeverLife : A regular premium deferred pension plan that helps you

save for your retirement while providing you with life insurance

protection.

Child Plans

As a responsible parent, you want to ensure a hassle-free, successful life for

your child. However, life is full of uncertainties and even the best-laid plans

can go wrong. SmartKid Education Plans are designed to provide flexibility

and to safeguard your child's future education and lifestyle, taking all

possibilities into account.

SmartKid Child Plans has a bouquet of three products which can help you

secure your child’s education.

Unit-linked Regular Premium

♦ Unit-linked Single Premium

♦ Regular Premium SmartKid

KEYMAN INSURANCE PLANS

A keyman is an individual who directly affects the profitability and the

continuity of a business and whose absence may have an adverse effect on the

health and continuity of the business. Keyman insurance is a life insurance

policy taken by the company on the life of such a key person.

The objective of the keyman insurance is to provide the company with money

so that the financial losses to the company can be protected, in absence of the

keyman. The aim is to indemnify the company of these losses and to allow

business continuity.

All premiums paid for securing a keyman life insurance policy are treated as

business expenditure u/s 37 (1).

Our Lifeguard plan is ideally suited for the purpose of keyman insurance
RIDERS

ICICI Prudential gives you the freedom to form your very own comprehensive

insurance policy by adding the rider benefits to the basic life insurance policy.

Add from the following list of benefits to increase the scope of your policy, at

a nominal cost.

♦ Critical Illness Rider

♦ Accident & Disability Benefit Rider

♦ Accident Benefit Rider

♦ Income Benefit Rider

♦ Waiver of Premium Rider (WOP)

Critical Illness Benefit Rider

This rider provides protection against 9 critical illnesses, namely: Major organ

transplants, complete renal failure, Stroke, Paralysis, Heart attack, Valve

replacement surgery, Major surgery of the aorta, CAGS (Bypass) and Cancer.

Benefits paid on contracting the illness:

♦ Accelerated benefits (available with Save n’ Protect and

CashBak) : If the policyholder is diagnosed with any of the specified

illnesses, then the policyholder is paid the entire sum assured under the

rider. The policy along with all the riders (to the extent of the Rider

Sum Assured) is then terminated. However, the remainder of the base

policy continues till the end of the term. The policyholder will have to

continue paying his premiums for the remainder of the policy.

 ♦ Accelerated benefits (available with SecurePlus, CashPlus and

SecurePlus Pension) : If the policyholder is diagnosed with any of the

specified illnesses, then the policyholder is paid the entire sum assured

under the rider. The life cover along with all the riders is then

terminated. However, the policy value accumulation continues till the

end of the term or death, whichever is earlier.

♦ Standalone benefits (available with Golden Years, PremierLife,

LifeTime, LifeTime II, ForeverLife, Group Term Plan,

InvestShield Life, InvestShield Cash and InvestShield Gold) : If the

policyholder is diagnosed with any of the specified illnesses, he/she is

paid the rider Sum Assured and the rider terminates. However, the base

policy continues till maturity.

Premiums paid under this rider are eligible for tax benefits under Section 80D.

Accident & Disability Benefit Rider

1. Benefits payable on death due to an accident

♦ If the policyholder dies due to an accident, 100% of the rider

sum assured is paid in addition to the basic sum assured.

♦ In case the policyholder dies in a land surface, mass public

transport system wherein the policyholder was traveling as a

fare-paying passenger, then 200% of the rider sum assured is

paid.

2. Benefits payable in case of permanent disability due to an accident

 ♦ If the policyholder survives an accident but becomes permanently

disabled then the premium for the basic plan is completely waived

off to the extent of the rider sum assured.

♦ Plus, 10% of the rider sum assured is paid for the next 10 years,

which helps in providing that extra money and takes care of sudden

financial set back that occurs after a tragic disability.

Accident & Disability Benefit rider is available with Save n’ Protect, Cashbak,

SmartKid Child Plans, Golden Years, PremierLife, LifeTime, LifeTime II,

LifeTime Pension II, ForeverLife, SecurePlus, CashPlus, SecurePlus Pension,

LifeGuard ROP, LifeGuard WROP, Group Term Plan, InvestShield Life,

InvestShield Cash, InvestShield Gold and InvestShield Pension . In case of

Golden Years, PremierLife, Lifetime II, Lifetime Pension II, SecurePlus,

CashPlus, LifeGuard ROP and LifeGuard WROP, the waiver of premium

benefit is not available.

Premiums paid under this rider are eligible for tax benefits under Section 80C.

Accident Benefit Rider

If the policyholder dies due to an accident, 100% of the rider sum assured is

paid in addition to the basic sum assured.

Accident Benefit rider is available with Save’n’Protect, CashBak, SmartKid

regular premium, ForeverLife, SecurePlus, CashPlus and SecurePlus Pension.

Premiums paid under this rider are eligible for tax benefits under Section 80C.
Income Benefit Rider

In case of death of the life assured during the term of the policy, 10% of the

rider sum assured is paid annually to the beneficiary, on each policy

anniversary till maturity of the rider.

Income Benefit rider is available with SmartKid Child Plans, SecurePlus and

CashPlus

Premiums paid under this rider are eligible for tax benefits under Section 80C.

Waiver of Premium Rider (WOP)

On total and permanent disability due to an accident, all future premiums for

both the base policy and rider(s) will be waived till the end of the term of the

rider or death of the life assured, if earlier.

Waiver of Premium rider is available with SecurePlus, CashPlus, LifeGuard

ROP, LifeGuard WROP, SmartKid Unit-linked regular premium II, Lifetime

II, LifeTime Pension II, SecurePlus Pension, InvestShield Life, InvestShield

Cash and InvestShield Pension.

Premiums paid under this rider are eligible for tax benefits under Section 80C.
 RESEARCH METHODOLOGY

The approach to the research is considered in this chapter, from the theoretical

underpinning to the collection and analysis of the data. It begins with the

extent of the research to provide the specific guidelines of studying. The next

part is concerned with the method of the research that refers to the data

collection and analyzing which is used in the research.

CONCEPTUAL CONTEXT OF THE RESEARCH

As the objective of the research focuses on the search of potential Insurance

Advisor with special emphasis of ICICI Prudential. It will help the company to

increase its sales, which is prime objective of the company at this time. The

research attempts to generate an awareness among the people of Kushi Nagar

regarding the agency of ICICI Prudential.

METHODS

PRIMARY DATA

Data collection of this research was done primarily through filling up of

questionnaires. The sample for the research including different individuals of

various age groups and having different profession and qualification. Data was

collected through the interview of individuals. The questionnaires was

containing questions regarding the personal details of individuals and then

some light question regarding their primary knowledge related to private

insurance companies. Then there were questions related to their interest in

being the Insurance Advisor of the company.

SECONDARY DATA

A large amount of secondary data has been collected from secondary sources.

Some of the sources are:-

♦ Report on Insurance sector of India.

♦ Articles from newspapers and magazines.

♦ Various web sites of the insurance companies and related sites.

DATA ANALYSIS
There are some features of analyzing data that need to be borne in mind when

choosing the method for analyzing the research. The questionnaires were

prepared to explore the psychology of individuals about being associated with

ICICI Prudential as insurance advisor and to help the company grow by

increasing its sales. Instead of testing a hypothesis, a qualitative analyst may

demonstrate evidence showing that a theory, generalizing, or interpretation is

plausible.

SAMPLE SIZE

Various area of Kushi Nagar were covered in order to fill the questionnaire. I

interacted with 100 individuals in order to know about their interest of being

Insurance advisor of ICICI Prudential.

Sample Size – 111

SAMPLE COMPOSITION

I. Youth

II. Executive

III. Serviceman

IV. Business person

RESEARCH DESIGN

A research design provides the frame work to be used as a guide in collecting

and analyzing data.

Descriptive Research: Market survey is one of the best examples of

descriptive research. This is a one shot research study at a given point of time,

and consists of a sample of the population of interest. Its advantages are that it

gives a good overall picture of the position at a given time. It can cover many

variables of interest, and is not affected by the movements of elements in the

sample, because other elements can be substitute for them.

 DATA ANALYSIS
After collection of data, the analysis of it was done through graphs.

RESPONSE OF QUESTIONNAIRE

1. What is your full time profession?

a) Business -31 b) Govt. Service -17

c) Private Jobs -42 d) Retired -14

e) Housewife -07

Retir
13%
Business
2. According to you, the purpose of insurance is:

S. No. Govt Service

Parameters Order of preference
a. Pre-mature death 29
b. Living too long 12
c. Private Jobs
Children’s future 33
d. Wealth creation 14
e. Tax saving 23
Retired
Housewife

Private Job
 Tax saving
21%
3. What efforts can be made to bring about more awareness amongst people?
a) Media Ads - 26 b) Banners - 04
c) Newspaper - 15 d) Agents - 54
e) Event Sponsorship - 07 f) Any Other - 05.

Wealth
creation
13%
Event
Any
Sponsorship
6% Chi
f
4. You know how many names of private insurance company?
a) Below 2 - 05 b) Between 2-4 - 61
c) Between 4-6 – 08 d) Above 6 – 37

Above 6
5. You like to work in market/field and want to interact with people?
a) Yes - 47 b) No - 6433%

Between 4-6
7%
6. From how many years you live in Kushi Nagar?
a) Below 6 months - 13 b) 6 months – 1 year - 61
c) 1 year- 2 year - 27 d) more than 2 years - 37

more than 2
years
27%
7. How many people do you know in Kushi Nagar?
a) Less than 200 - 27 b) 200-500 - 53
c) 500-1000 - 21 d) Above 1000 - 10

Above 1000
9%

1 year- 2 year
500-1000
20%
19%
8. Do you like to earn some extra money?
a) Yes - 87 b) No - 14

No
14%

9. Are you involved in Insurance Business?

a) Yes - 28 b) No - 83

If YES, than answer the following question:

A. Duration of working?
a) Below 6 months – 12 b) 6 months – 1 year - 06
c) 1 – 2 years - 02 d) 2 – 3 years - 05
e) Above 3 years -03

No
75%
 Above 3 years
11%

B. Annual Productivity given to company?

a) Below 50,000 - 00
2 – 3 years
b) 50,000 – 1, 00,000 - 00
c) 1, 00,000 – 2, 00,000 - 02 d) 2, 00,000 – 3, 00,000 - 02

15%
e) 3, 00,000 – 4, 00,000 - 07 f) Above 3, 00,000 – 17

50,000 –
1, 00,000
1 – 2 years
7% 0%

Below 50,000
6 months
0%– 1
year
22%

Above
3, 00,000
C. In which company are you working?
a) LIC - 16 b) ICICI Prudential - 04
c) Other – 08

Other
29%
D. Are you satisfied with your company?
a) Yes - 19 b) No – 09

ICICI
Prudential
No
14%
32%
If NO, than answer the following question:

A. If given a choice, would you like to become a financial consultant

of ICICI Prudential Life Insurance Company?
a) Yes - 55 b) No - 28

No
B. Which age group do you belong?
a) Below 25 - 41
c) 30 – 35 - 09
34%
b) 25 – 30 - 27
d) Above 35 -06

Above
7%
30 – 35
11%
C. Are you married?
a) Yes - 47 b) No - 36

D. What is your Educational Background?

a) 10+2 - 13 b) Graduation - 40
c) Post Graduation - 14 d) Professional - 13
e) Other - 03
No
43%

Othe
Professional 4%
16%
E. What is your Household income?
a) Below 2 lacks - 53 b) 2 – 5 lacks - 21
c) 5 – 8 lacks - 09 d) Above 8 lacks - 00

5 – 8 lacks
11%

F. How much time you provide easily besides your job hours?
a) 0-2 hrs - 22 b) 2-4 hrs - 37
c) 4-6 hrs - 15 d) Time Full – 09

2 – 5 lacks
25%
Time Full
11%

4-6 hrs
18%
 FINDINGS
⇒ People are becoming more and more money conscious as I find

very less person who doesn’t want to earn extra money.

⇒ People are very much aware of ICICI Prudential among private

companies as they respond me first name of ICICI prudential

and then others.

⇒ The overall scenario is that still people trust on LIC more than

any other insurance company. Some time when I asked someone

to become an advisor of ICICI Prudential they misunderstood

with LIC. For them still life insurance means LIC.

⇒ Generally people are having leisure time of around 2-3 hours

and still want to utilize this time to earn extra money, if they

can.

⇒ Contrary to the prior thinking most of the people don’t hesitate

in doing field work a roaming in the market for money. They

know that without hard work they can’t earn money.

⇒ There were many respondents who were not interested in

attending seminar conducted by ICICI Prudential in their office,

because of low awareness of private insurance company.

 SUGGESTIONS AND
RECOMMENDATION
• Need to create and effectively deploy differentiated strategies in

finding out more resources to recruit insurance advisors.

• Right prospects identification and thus segmentation, which

need to be appropriate.

• Design and manage sales force, which yields high performance.

More training of the employees can be done so that they produce

best result.

• Recruitment process needs to be slightly fast, so that prospects

can retain some confidence as in starting.

• Need to create better, differentiated detailed brochures for

advisor’s recruitment.

• Increase advisors sales force quality as well as quantity by

employing some HR professional, who time to time take some

action for the improvement of insurance advisors.

• More advertising strategies should be taken to grasp the

attention of those people who want to become insurance

advisors.

• Make use of internet banking for increasing sales and also for

promotion.

• There should be more incentives to insurance advisors they are

the backbone of the company in order to increase sales they

have to do mare efforts than others.

Generate some innovative and alternative channels of distribution,

using the sources that can straight play with the emotion of the person

and influence so high that it forces the human being to go for insurance

and that to willingly. Recruit those individuals that really want to take

this job as a challenge.

IMPORTANCE OF ADVISORS IN AN INSURANE

COMPANY

In the insurance industry the sales team following the typical

organization structure:

Hierarchy in Insurance Company

SALES
MANAGER

AREA SALES AREA SALES AREA SALES

MANAGER MANAGER MANAGER

UNIT UNIT UNIT

MANAGER MANAGER MANAGER

ADVISORS ADVISORS ADVISORS

The sales team comprises of the Sales Manager superior to Area Sales

Manager, These ASM’s (Area Sales Manager) have their own

individual team of Unit Manager and in turn Unit Managers their own

team of financial advisors.

Each team of ASM’s competing with each other in surge of achieving

targets; each Unit Manager depends on their Advisors for their

business. So what’s the use of unit manager, why are they getting paid?

There work is to manage their team of Advisors, extend them support

in what ever way possible including regular training of products,

closing big calls, database management.

But it is the advisor that carries the flag of the company in the market;

they bear the brunt in the field. They represent the company in the

market to the customers, so nobody can deny the importance of

Advisors in the whole system.

They providing the company with the business and help their

respective Unit Manager to achieve their targets. So a unit Manager has

to be really careful while recruiting their Advisors.

The most important responsibility is to achieve the first P or

Production growth it’s what staying in Business requires of an ICICI

Prudential Manager. Part of this growth is accomplished by improving

the productivity of the existing agency member. However, bringing

sufficient number of high quality new producers in to your sales

organization each year is an absolute must.

During the year of appointment, new Advisor usually account for a

relatively small proportion of the organization’s total production.

These points to a particularly significant fact, one that causes to have a

natural tendency to neglect the recruiting responsibility. It is simply

this – the penalty for not recruiting, or for inadequate recruiting, is a

differed penalty.

Nonetheless, the penalty will be realized in due time. Again, the

number one job is to achieve consistent production increases. The most

promising means of successfully getting this job done is to induct a

sufficient number of quality advisors each year.

The most promising means of achieving profitable production growth

lies in your sales organization’s capacity to give policy owners good

counsel and prompt, courteous serves –to give them value for premium

paid. The best guarantee of having that capacity comes from retaining

large number of productive advisor, In turn retention and productivity

of advisor in your organization depends largely on the quality and

quantity of your recruiting efforts.

Consequently, the development needs of your sales organization call

for successful recruiting. It’s a necessity. The induction of a sufficient

quantity of high potential advisor results in substantial, steady growth

in production. This is why manager who move to the top of ICICI

Prudential honor roll and stay there are always found to be manpower-

focused.

Before we move to the “how to” of recruiting, let’s consider some

important philosophies relative to recruiting.

 FIVE PERSISTENT CONCERNS:
As an ICICI Prudential Manager, you are fully committed to

building a high performing, growing agency. This being true, it

follows those five concerns must be constant in your annual

planning.

 The SEARCH for talent

 The EVALUTION of potential advisors

 The ATTRACTION of advisors

 The RETENTION of advisors

 The PRODUCTIVITY of advisors

Any manager who attains satisfying results in these five areas will

enjoy

 Satisfying sales results

 Outstanding persistency of business

 Superior policy owner service capabilities

 An enviable reputation as a ICICI Prudential agency builder

 A momentum which comes from the synergistic benefit of

success
 THE BASICS

The basic principal is involved in getting the recruiting job done

successfully and consistently. It is, of course, the one job must not

delegate.

 Philosophy of high standards

Philosophy of high standards and a success syndrome is the central

point of maintaining high standards. The presence of successful, high-

performing Advisors in your organization attracts more of the same. A

recent study revealed that nearly one-half of these individuals choose

an insurance career because a successful advisor influences them. Our

experience at ICICI Prudential supports this conclusion.

 Atmosphere of Success

Ideally, as prospective Advisors enter your office, they should find

themselves surrounded by an atmosphere of success. They should see

evidence of a positive and dynamic environment. They should be aware

of high quality men and women – high standards of production – high

standards of the office neatness and arrangement – high standards of

income – high standards of business management. They should be

made to feel to, taste it and senses it. As a result, they will have a

natural inclination to become a part of the winning sales organization

you building.
There is no question about it – it’s always easier to recruit successfully

in an organization that is on the move. You must contribute to an

environment where things are obviously happening – one that has an

atmosphere of success. This is the starting point if you are going to

attract high – potential advisors.

 Attraction Power

Second, Work at developing your “Attraction Power”. Strive to be the

kind of person you want other to be. Be kind other want to emulate.

You’ll have taken a giant steno toward being an effective recruiter

when you do.

Be especially consociation about your appearance. You can’t judge a

book by its cover is a well-worn and accepted adage. However, most

prospects and prospective advisors don’t believe it. They judge you by

your overall appearance. Also, work consistently at doing the thing,

which will cause you to be known for what you know. An active

Involvement in social and civic organization will assist you in letting

your reputation precede you. You’ll have taken another step toward

being an effective recruiter when you do these things.

 Decide on the profile of the adviser

Next, decide on the profile of the adviser who will fit and grow best in

your operation – the kind of person you can develop best. Experience,
age, market, contacts, income requirements, and a number of other

factors should be considered in answering the big question – what kind

of an advisor is best suited for you and your organization.

  Constant need of advisors at ICICI Prudential

Remember the need of quality advisors never diminishes at ICICI

Prudential. It continues in to the future as far as you can see.

 Thread of discount (TOD)

Fifth, be reminded that there is no large, ready supply of high potential

candidates who are discontented with their present job. However,

things do happen in individual’s jobs, their lives or their family

situation, which can cause them to become prospects for you – some

times, almost overnight. When the thread of discount surfaces, be sure

they are thinking of you and the ICICI Prudential.

 Success determined by past performance

Sixth, most successful advisor are highly competitive and generally

come into our business from jobs where there success is determined by

their performance. Consistence search for prospective advisors among

coaches, commission sales people and individual who have been in

business for themselves.

 Build a weekly recruiting success formula

. This will gives you seven people who will pass the selection test. This

is turn develops two advisor you will appoint. Understanding these

Finally, build a weekly recruiting success formula. Our statistics show

that to recruit one person, you’ll probably need at least 30 initial

contacts ratio enable you, emotionally and physically, to plan and

achieve the necessary activity to reach your recruiting goal each year.
 CONCLUSION
For every insurance company life insurance advisors are the life line and a

very huge asset so each company try to recruit and select a potential force of

life insurance advisors because this is the advisors who generate maximum

business for the insurance company. Insurance advisors provide a very strong

support to the insurance company and do all possible effort to generate huge

amount of profit to the company and for him.

In ICICI Prudential recruitment and selection procedure is really very

impressive. By the help of this process, company recruits a very good class of

advisors. A detail study is done before starting the recruitment and selection

procedure that help the company to select the best advisors. The recruitment,

selection and training process of insurance advisors is a slight long process

because of the training provided by the Insurance Regulatory and

Development Authority (IRDA).

Form the detailed study of recruitment and selection procedure of the

insurance advisors I come on the conclusion that it is a very impressive

process carried out by ICICI prudential. This study helps us to understand all

the possible aspects related to the ICICI Prudential’s recruitment and selection

procedure.
 APPENDIX QUESTIONNAIRE
INSURANCE MARKET SURVEY QUESTIONARE:

Name: ……………………………… Contact No.: ………………………..

Sex: …………..………………….Address: ………………………………

1. What is your full time profession?

a) Business b) Govt. Service
c) Private Jobs d) Retired
e) Housewife

2. According to you, the purpose of insurance is:

S. No. Parameters Order of preference

a. Pre-mature death
b. Living too long
c. Living death
d. Children’s future
e. Wealth creation
f. Tax saving

3. What efforts can be made to bring about more awareness amongst people?
a) Media Ads b) Banners
c) Newspaper d) Agents
e) Event Sponsorship f) Any Other…………...

4. You know how many names of private insurance company?

…………………………….. ….……………………..
…………………………….. ………………………...

5. You like to work in market/field and want to interact with people?

a) Yes b) No
6. From how many years you live in Kushi Nagar?
a) Below 6 months b) 6 months – 1 year
 c) 1 year- 2 year d) more than 2 years

7. How many people do you know in Kushi Nagar?

a) Less than 200 b) 200-500
c) 500-1000 d) Above 1000

8. Do you like to earn some extra money?

a) Yes b) No

9. Are you involved in Insurance Business?

a) Yes b) No

If YES, than answer the following question:

D. Duration of working?
a) Below 6 months b) 6 months – 1 year
c) 1 – 2 years d) 2 – 3 years
e) Above 3 years

B. Annual Productivity?
a) Below 50,000 b) 50,000 – 1, 00,000
c) 1, 00,000 – 2, 00,000 d) 2, 00,000 – 3, 00,000
e) 3, 00,000 – 4, 00,000 f) Above 3, 00,000

C. In which company are you working?

a) LIC b) ICICI Prudential
c) Other…………………………….

E. Are you satisfied with your company?

………………………………………………………………………….
 ………………………………………………………………………….
………………………………………………………………………….
………………………………………………………………………….
If NO, than answer the following question:

A. If given a choice, would you like to become a financial consultant

of ICICI Prudential Life Insurance Company?

a) Yes b) No

E. Which age group do you belong?

a) Below 25 b) 25 – 30
c) 30 – 35 d) Above 35

F. Are you married?

a) Yes b) No

D. What is your Educational Background?

a) 10+2 b) Graduation
c) Post Graduation d) Professional
e) Other
E. What is your Household income?
a) Below 2 lacks b) 2 – 5 lacks
c) 5 – 8 lacks d) Above 8 lacks

F. How much time you provide easily besides your job hours?
a) 0-2 hrs b) 2-4 hrs
c) 4-6 hrs d) Time Full

10. Please give references of two people those who might be interested.

i). Name: …………………………………………………..

 Address: ………………………………………………..
………………………………………………..
…………………………………………………
………………………………………………..
Phone No: ………………………………………………

ii). Name: …………………………………………………..

Address: ………………………………………………..
………………………………………………..
…………………………………………………
………………………………………………..
Phone No: ………………………………………………

Sign: ……………………………… Date: ……………………………

 BIBLIOGRAPHY

• Marketing Management : Philip Kotler.

• Consumer Behavior : Leon G.Schiffman
• IRDA Journal
• ICICI Prudential Company magazines
• Newspaper and Business magazines

WEBSITES
 www.iciciprulife.com
 www.google.co.in/indian insurance
industry
 www.irdaindia.org