HDFCSLIC

SUMMER TRANING
PROJECT
“A STUDY OF PRODUCT PROFILE OF HDFC STANDARD LIFE

INSURANCE AND SALES PROMOTION THROUGH RECRUITMENT OF
FINANCIAL CONSULTANT”
CONTENTS
1.ABOUT THE PROJECT
2.CONCEPTUAL FRAMEWORK
 Why Life Insurance

 Introduction to Insurance Industry
 Benefit of life Insurance
3.An overview of the Industry

 Life Insurance market in India
 How big is the Insurance market
 Winds of change
 Strategic Alternatives
 Deregulations
4.About The Company
 Introduction
 Benefits of selecting a right company
 Vision
 Core Values
5.About The Products
o Saving Plan
 Endowment Plan
 Unit Link Endowment Plan
 Children’s Plan
 Unit Link Children’s Plan
 Money Back Plan
o Retirement Plan
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 Personal Pension Plan
 Unit Link Pension Plan
o Investment Plan
 Single Premium whole of life Insurance Plan
o Protection Plan
 Term Insurance
 Loan Cover Term Insurance
6.About The Riders
 Critical Illness
 ASA
 ADB
 Waiver Of Premium
7.Sales Promotion Through Recruitment of Financial Consultants
 Definition of Financial Consultants

 Function of agent
 Criteria for becoming an agent
 Training of insurance Agents
 Licensing Process
 Code of conduct for insurance agents
 Termination of Agency
 Role of Financial Consultants
 Starting The Project
 Market segmentation
 Tele Calling
 Cold Calling
 Fixing Appointments and Meeting People
 Follow Ups
 Final Documentation
8.Sugessions and Recommendations
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8.Conclusion
9.Bibliography
ABOUT THE PROJECT
INTRODUCTION:
Life insurance is one of the best ways to make the life secure.
Even after death it provides benefits to the nominees .In Private
sector HDFC Standard Life Insurance is the most respected
company.
This project is concern about the

understanding the products of HDFC Standard life Insurance and
Sales Promotion through Recruitment of Financial Consultants.
“Man Power Is Our Asset” the saying goes true if the people are
employed taking all the aspects into consideration. The overall
project deals in studying the facts, which should be considered
while Recruiting Financial consultants for the company.
The project work Started by understanding the Products of the

company after getting familiar with the products of the company
the following things had been done: -
1.Market Segmentation To Recruit Quality Peoples

2.Tele calling
3.Fixing Meetings
4.Meeting Clients
5.Follow Ups
6.Final Documentation
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The main objective of this project is to understand the products
of the company and to do sales promotion by Recruiting Financial
consultants of the company, as the consultants generate the
overall business. Emphasis was given in selection of the quality
peoples having an appropriate profile those can generate good
business for the company.
CONCEPTUAL FRAMEWORK
WHY LIFE INSURANCE?
Uncertainty is part of our everyday life. Human beings cannot

ignore the fact that everyone has to die one day, they will grow
old and there may happen something by which the income
earning capacity is lost. In these situations of a sudden disability,
Death and retirement the big question is who would take care of
all the medical expenses? Who would pay the mounting
household bills? Would life continue smoothly for our children?
Since we have no control over life’s ebbs and flows, why not to
do something over which we do have control-Plan For Life’s
Contingencies -Invest In Insurance.
Insurance: The Concept

Insurance is the compensation of Financial Loss on happening of
an uncertain event. When Insurance is purchased the risk of
financial loss due to happening of that uncertain event is
transferred from the policyholder to the company. When the
claim arises, company will pay a Lump Sum amount to the policy
holder or his nominee that will be utilized to generate income
from them.It is important to note that the company is not
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protecting the life of the policyholder but the income earning
capacity on happening of specified uncertain event.
Uncertainty is part of our every day life. However, all the

uncertain events cannot be insured. We will be focusing only in
those events where the income earning capacity is lost. Income
stops on the happening of four major events
• Death
• Sickness
• Accident
• Retirement
First three events are uncertain. Nobody can predict when they
will happen so we can have insurance for them. However
retirement is a certain event we know our retirement age and it
is a certain event and we can plan our retirement hence there is
a no risk cover for that. Another important point to be considered
is the nature of accidents and sickness. There could be minor
Illnesses or accidents resulting in temporary disability. All of them
need not results into loss of income earning capacity. Insurance
covers only those accidents and sickness where the income
earning capacity is lost either permanently or for a specified
minimum period.
INTRODUCTION TO INSURANCE INDUSTRY
Insurance is as old as civilization. It has been developing

from the family form of insurance to mutual associations, stock
exchange securities and again to state owned organizations.
“Yogakshema” has been the oldest term of insurance used in the
“Rigveda” for some kind of insurance.
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The concept of formal insurance originated in the 12th
century in the form of protection against financial loss to the
seafarers involved in foreign trade. Growing economic
uncertainties caused not only by multiplicity of social, cultural,
ethnic and political factors but also natural calamities
necessitated invention and development of avenues capable of
providing economic security to the bereaved family 8in the event
of loss of bread earner. And thus began the concept of Life
Insurance. With the development of social security and the
welfare status of the societies, the business of life insurance
assumed multidimensional. The disintegration in most of the
societies, of the extended family system, and ancient social
institution, which provided a natural umbrella of economic
protection and emotional solace upon the death of the bread
earner led to a greater acceptability of the doctrine of life
insurance and the growth of life insurance industry around the
globe. From a meager beginning of providing pecuniary
protection on the death earner it has moved to become major
vehicle in the financial planning both for security and investment
purpose. The industry hardly resembles 16th or 17th century. It
would have been impossible to conceive then the development
that has propelled extensive changes in the product field,
customer attitudes and market environment.
BENEFITS OF LIFE INSURANCE
Superior To Any Other Savings Plan
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Unlike any other savings plan, a life insurance policy
provides full protection risk of death. In the event of death of a
policyholders, near and dear ones. In comparisons, any other
savings plan would amount to the total savings accumulated till
date. If any other incidence occurs prematurely, such savings can
be much lesser than the sum assured. Evidently, the potential
financial loss to the family of the policyholder is cease able.
Encourages And Forces Thrift
A saving deposit can easily be withdrawn. The payment of

life insurance premium, however, is considered sacrosanct and is
viewed with the same seriousness as the payment of interest on
a mortgage. Thus, a life insurance policy in effect brings about
compulsory savings.
Easy Settlement And Protection Against Creditors
A life insurance policy is the only financial instrument the

proceeds of which can be protected against the claims of a
creditor of the assured by effecting a valid assignment of the
policy.
Administering The Legacy For Beneficiaries
Speculative or unwise expense can quickly cause the

proceeds to be squandered. Several policies have foreseen this
possibility and provide for payments over a period of years or in
a combination of installation and lump sum amounts.
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A Ready Marketability And Suitability For Quick
Borrowings
A life insurance policy can, after a certain time period

(generally 3 years), be surrendered for a cash value. The policy is
also acceptable as a security for a commercial loan, for example
a student loan, it is particularly advisable for housing loans when
an acceptable policy may also cause the lending institution to
give loan at lower interest rates.
Disability Benefits
Death is not the only hazard that is insured, many policies

also provide disability benefits. Typically, these provide for waiver
of future premiums and payment of monthly installment spread
over certain tme period.
Accident Death Benefits
Many policies can also provide for an extra sum to be paid

(typically equal to the sum assured) if death occurs as a result of
accident.
Tax Relief
Under the Indian tax act, the following tax relies are
available
1. 30% of the premium paid can be deductible from your
total income-tax liability.
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2. 100% of the premium paid is deductible from your total
taxable income.
When these benefits are factored in, it is found that most
policies offer return that are comparable/or even better than
older savings modes such as PPF, NSC etc. Moreover, the cost of
insurance is very negligible.
AN OVERVIEW OF THE INDUSTRY:
Life Insurance Market in India
Many may not be aware that the life insurance industry of India
is as old as it is in any other part of the world. The first Indian life
insurance company was the Oriental Life Insurance Company,
which was started in India in 1818 at Kolkata. A number of
players (Over 250 in life and about 100 in non-life) mainly with
regional focus flourished all Across the country. However, the
Government of India, concerned by the unethical Standards
adopted by some players against the consumers, nationalized the
industry in Two phases in 1956 (life) and in 1972 (non-life). The
insurance business of the country Was then brought under two
public sector companies, Life Insurance Corporation of India
(LIC) and General Insurance Corporation of India (GIC).
In line with the economic reforms that were ushered in India in

early nineties, the Government set up a Committee on Reforms
(popularly called the Malhotra Committee) In April 1993 to
suggest reforms in the insurance sector. The Committee
recommended Throwing open the sector to private players to
usher in competition and bring more Choice to the consumer. The
objective was to improve the penetration of insurance as a
Percentage of GDP, which remains low in India even compared to
some developing Countries in Asia.
Reforms were initiated with the passage of Insurance Regulatory

and Development Authority (IRDA) Bill in 1999. IRDA was set up
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as an independent regulatory authority, which has put in place
regulations in line with global norms. So far in the private sector,
INSURANCE MARKET IN INDIA
By any yardstick, India, with about 200 million middle class

households, presents a huge untapped potential for players in the
insurance industry. Saturation of markets in many developed
economies has made the Indian market even more attractive for
global insurance majors.
With the per capita income in India expected to grow at over 6% for
the next 10 years and with improvement in awareness levels, the
demand for insurance is expected to grow at an attractive rate in
India. An independent consulting company, The Monitor Group has
estimated that the life insurance market will grow from Rs.218
billion in 1998 to Rs.1003 billion by 2008 (a compounded annual
growth of 16.5%).
WINDS OF CHANGE
Reforms have marked the entry of many of the global insurance

majors into the Indian Market in the form of joint ventures with
Indian companies. Some of the key names are AIG, New York
Life, Allianz, Prudential, Standard Life, Sun Life Canada and Old
Mutual. The entry of new players has rejuvenated the erstwhile
monopoly player LIC, which has Responded to the competition in
an admirable fashion by launching new products and Improving
service standards.
The following are the key winds of change brought about

by privatisation.
Market Expansion:
There has been an overall expansion in the market. This has

been Possible due to improved awareness levels thanks to the
large number of advertising campaigns launched by all the
players. The scope for expansion is still unlimited as virtually all
the players are concentrating on large cities and towns - except
by LIC to an extent there was no significant attempt to tap the
rural markets.
New Product Offerings:
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There has been a plethora of new and innovative products offered
by the new players, mainly from the stable of their international
partners. Customers have tremendous choice from a large variety
of products from pure term (risk) insurance to unit-linked
investment products. Customers are offered unbundled products
with a variety of benefits as riders from which they can choose.
More customers are buying products and services based on their
true needs and not just traditional money-back policies, which is
not considered very appropriate for long-term protection and
savings. However, there are still some key new products yet to be
introduced - e.g. health products.
Customer Service:
Not unexpectedly, this was one area that witnessed the most
significant change with the entry of new players. There is an
attempt to bring in international best practices in service and
operational efficiency through use of latest technologies. Advice
and need based selling is emerging through much better trained
sales force and advisors. There is improvement in response and
turnaround times in specific areas such as delivery of first policy
receipt, policy document, premium notice, final maturity
payment, settlement of claims etc. However, there is a long way
to go and various customer surveys indicate that the standards
are still below customer expectation levels.
Channels of Distribution:
Till two years back, the only mode of distribution of life insurance
products was through Agents. While agents continue to be the
predominant distribution channel, today a number of innovative
alternative channels are being offered to consumers. Some of
them are banc assurance, brokers, the Internet and direct
marketing. Though it is too early to predict, the wide spread of
bank branch network in India could lead to banc assurance
emerging as a significant distribution mechanism.
STRATEGIC ALTERNATIVES
If one analyses the history of growth of the insurance industry

since reforms, it is marked by all-round growth of all players.
More or less all players (including the market leader LIC) have
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aggressively recruited and trained advisors, appointed agents,
launched new products, improved customer service standards
and revamped/expanded their distribution networks. If at all
there was any major difference between players it was only in
time lag in launching of services. Every player would like the
customers to believe that its service standards are the best or
that its agents are the most informed and ethical, but is
debatable whether there are any significant differences. In other
words, each company is trying to be ‘everything to everybody’.
Our argument is that the strategy of being everything to

everybody is risky. Some players justify the above strategy on
the basis that the Indian market is huge and it can accommodate
everybody. Still, in a market where it is difficult to distinguish
oneself sufficiently on service or any other parameter to be able
to charge a premium, it will lead to unmitigated price competition
to the detriment of all players. One may achieve sales turnover,
but margins and profitability will suffer severely. In the insurance
industry where large amounts of capital are required, this is
risky. While there is room for a few scale players with a finger in
every pie, it is profitable for other players to focus on different
segments to survive and thrive in a multi-firm open environment.
While each company has to choose its own unique positioning
based on its unique strengths, the below-mentioned generic
positioning alternatives appear worth considering. Needless to
say the positioning choices discussed here are not mutually
exclusive and can be overlapping.
Variety-based Positioning
This type of positioning is based on varieties in products and

services rather than customer segments. It is a sensible strategy
for those companies who have distinctive advantages or
strengths in offering certain products and services. In the
insurance industry too, it is possible to achieve a unique position
by focusing on certain category of products. Then there is the
entire category of pension products which is widely touted to
have immense growth potential in India due to imminent pension
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reforms. It is possible to achieve profitable positioning by
focusing and excelling in only pension products.
Needs-based Positioning
This is the most commonly understood positioning and is based

on the differing needs of Different groups of consumers. This can
be done successfully if a company has unique strengths to
service a group of customer needs better than others. The
insurance needs of customers vary significantly for different
groups of customers. The insurance needs of young family with
small children will be quite different from that of a family in which
the income-earner is close to retirement. However, in India most
of the life insurance companies have a wide variety of products
tailored for different customer needs and there is no company
focusing on a particular customer need.
An example would be a life insurance company that focuses only

on High Net-worth Individuals (HNIs). The needs of HNIs would
be quite different from those of a general consumer and would
require an entirely different marketing mix right from the type of
products offered and the way they are distributed, to the
promotion methods employed.
Access-based Positioning
Positioning of customers can also be done by the way they are

accessible. That is different groups of customers may be
accessible in different ways even though they may have Similar
needs. Access is typically a function of customer geography or
customer scale. There is excellent opportunity in the insurance
industry to employ access-based positioning by targeting the
rural insurance sector. The rural market for life insurance is very
different from the urban market in terms of needs, income levels
and distribution (seasonality, for example), penetration of media
and so on. So far except for LIC, no other player has paid any
attention or focus on the rural sector. Contrary to common
perception it is a big opportunity as emphasized repeatedly by
such eminent strategists like
Mr. C.K. Prahlad. Rural market can be a highly profitable position
if one is able to carefully plan and tailor an entire set of low-cost
activities of advertising, distribution, and product design etc. to
successfully exploit the potential.
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DEREGULATION
NEED FOR PRIVATIZATION
We cannot directly attribute the reasons for opening up the

insurance sector to any external influence. A more possible
reason could be that the government is pressed for more long-
term funds for investments in infrastructure projects. Committees
like the Rakesh Mohan committee on insurance sector for tapping
it as a resource of long-term funds. Whatever is the stimulant for
its opening up it is a long delayed step towards meeting a very
legitimate need.
Number apart, privatization of the insurance sector is expected to

bring in some competition and with that an improvement in the
insurance products and services. With the increase in number of
players it may not be a difficult task to extend the insurance
coverage to a larger part of the society. It depends upon the kind
of products that will be offered and the kind of marketing
strategy that will be adopted. In fact, the marketing strategy will
be determining the speed at which the sector is going to develop.
Product designing is no doubt a major part of marketing strategy,
but even a good product fails to take off, if it is not marketed
properly.
ISSUES RELATED TO DEREGULATION
Even as the story of this newly opening insurance sector is

unfolding, there of issues that are bothering the regulators as
well as interest groups in the industry.
Resource Mobilization
Although the insurance sector is being opened up for the private

players, the government does not want to lose its grip over the
resources it will be generating. Thus, we see that it is trying to
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direct the process of growth in this sector to achieve its
objectives of mobilizing saving for developmental purposes.
Inflow/Outflow of Funds
There are still restrictions of giving foreigners free access to our

markets. Thus, the limit to their investments is restricted to 26%
only. It is feared that foreign would plough away the premium
income from the county, leading to net outflow rather than net
inflow of resources. It is true that the insurance industry in most
of the developed countries is going through rough patch. It is
said that the mergers and acquisitions that are taking place
among them will not really help them much because that will not
be something similar to what our banks are presently suffering
from. Most of their policies were written in a period of high
interest rate, whose servicing has become burdensome as the
interest rate fell. Servicing period of such policies are longer than
the longest available period. Thus, there is a mismatch between
their costs and returns. They can get out of this fix either by
reducing their costs or by increasing their returns. The best way
to reduce their cost is by expanding their policy base. But, the
markets are not only stagnating but also oversupplied. Thus, the
scope for expanding their policy base at lower costs is virtually
impossib
Market Potential
The order issue is this whether the potential market is

realistically estimated or not. For, the potential premiums are
estimated without factoring in the impact of numbers of players
in the market, the level of competition etc. Thus although people
may have the ability to pay such level of premium Rs.3500 or
10000/- per annum, the actual premium may come down
depending upon the level of competition among the insurance
suppliers and the actual demand for insurance. The supply does
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not automatically insure demand especially given the fact that
there is a lot of distrust in the
Healthy Competition
The new players will have to first work on the system to include
confidence and to prove its ability to provide better service than
is presently being provided. All this will take long time unlike for
the tangible goods, weather pent up demand could be quickly
tapped, and in a service industry like insurance the need is more
futuristic, the credibility of the firm the service needs to be
established before there can be any significant level of demand
for such product. Only those who can stand long and strive to
establish there credibility can survive in this industry.
Impact On Financial Sector
The next issue is regarding the impact of the expansion of this

sector on other real or financial sectors. The question is whether
the expansion of the insurance sector will lead to mobilization of
extra savings or mere redistribution of existing savings. The
savings rate has been falling in the recent past, it look more
lightly that admission of one more avenue to save will increase
the competition for funds and lead to a rise interest rate. Thus,
while on one hand the expansion of insurance sector may provide
the much-needed long-term funds for the infrastructure
development, it may indirectly lead to a higher cost of borrowings
for other corporate investments. Thus its overall impact will
depend on the ability of the insurance industry to place its
products not as substitute for any other instruments of savings,
insurance is only a hedge against highly unforeseeable events
like death and ill health. Thus, there is an important need for
both the insurance company and the individual buying insurance
to view the product from this angle.
Investment And Profitability
Alternatively they can tap the emerging markets where not only
the growth rates will be very high but also the cost of writing new
policies will be lower given the lower wage and other costs. The
other way to improve their finances is by improving their returns
on their investments. Given the falling stock prices in the stock
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markets and the thin supply of debt in the US markets, the scope
on this front is very limited. Thus, it is understood that the
insurance companies from the developed companies are showing
a great interest in entering the Indian market, where both the
potential volumes as well as yields may be much higher.
ABOUT THE COMPANY
INTRODUCTION
“Experto Credite” (Trust the one who has proved it) We have
known this truth for a long time (about 2000 years ago!). It is
especially important when it comes to investing money. Life
insurance, being a long-term business, the money is managed
over longer periods. One needs to entrust his money to a
company that can be trusted not only for the protection services
that it offers but also for its expertise in managing money. This
has to be with reference to the time factor. Selection of a good
company becomes imperative. There are a lot of benefits
associated with a right selection.
Benefits of selecting a right company
Safety: Safety of money invested is a fundamental benefit. It

means preservation of capital invested. It is all the more
important considering the time scales involved in life insurance
business.
Value of money: Value for money is a relative concept. It means

the best possible value for your money invested. It also means
that these benefits come to you at the best possible costs. So it’s
the matching of your costs with the gains.
Professional money management: One of the important benefits

that you get is professional money management when you select
a right company. Professional money management ensures that
your money in managed in the best possible manner to offer you
the value for your money.
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Service standards: Life insurance is a service intensive industry.
Especially with the advent of unit linked plans the definition of
service has undergone a lot of change. Contrary to the popular
perception, service begins much before even the policy is sold.
Service is required starting from identification of needs to
suggesting the appropriate solution and also then after sales
service. On selection of a right company you can be assured of
getting these services.
Consistency: As mentioned above, it is the long-term business.

Minimum term of a contract starts from 10 years and continues
to whole of the life! It is imperative that service standards should
be consistent not only in the beginning but also for the entire
term of policy. A good company knows the importance of
consistency and strives to ensure the same in all of its services.
These and other benefits are the strong reasons why it is very
important to choose a right life insurance company.
How to choose a Life Insurance Company?
Trust
Trust assumes great significance in all walks of life and more so

in life insurance. When a policyholder buys a policy, he not only
trusts his money but also his risk and that too for a considerable
period of 20-25 years. This mandates that Trust has to be the
core component of this relationship. The key questions are: “Can
the company be trusted over a long period?” “What is the guiding
philosophy of the company?” “Will the company be there to pay
claims?”
Parentage
Having strong and able promoters with proven track record

should weigh heavily in favour of a company. It is worthwhile to
find out credentials of the promoters especially with respect of
the values that they have and the synergies that they have
discovered in their association. Greater the compatibility, better
are the prospects of long-term growth needless to mention the
stability. Key questions that can be asked are: “Who are the
promoters?” “What is their track record?” “What’s their market
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standing?” “What is their vision about the joint venture?” “What’s
the level of expertise that they have contributed to the venture?”
Financial Strengths of Promoters
Another crucial dimension is the level of financial support or

commitment that these parents have extended to their insurance
venture. It certainly calls for deeper pockets to commit large
funds upfront and continue to do so as and when needed. The
key questions are: “What are the financial strengths of respective
companies?” “What was the initial commitment/support in the
form of capital brought in?” “What are the important
indicators/ratios?”
Products & Flexibility
Post privatization we are witnessing a lot of innovation as a result

of which we have new products being introduced at a rapid rate.
Companies trying to market these products aggressively have
created more jargon than a common man can digest. To evaluate
a company on this parameter one needs to ask few key questions
like:
 What needs are getting satisfied? It is more important that

the underlying needs are satisfied rather than the no of
products marketed.
 Does the company have simple and sound products that

would cater to different needs of individuals?
The company that emphasizes need based selling (e.g. Disha)

and offers flexibility to design solutions according to these needs
is clearly a company to be considered. Today companies offer
great flexibility in customizing solutions by way of using base
products as well as riders. So the need based selling becomes the
core proposition.
Technology orientation
Technology has transformed the way we do business now a days.

It has helped companies to deliver superior quality of service and
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that too very quickly. It also enables companies to process
volumes of business with minimum errors – something very vital
for life insurance business! They key question to be asked is:
“How the company is making use of IT for its advantage in
designing and executing customer centric business processes?”
Business Practices
Life insurance is a very unique business. Business practices

certainly have great impact on overall success of the company. It
is well said that life insurance business begins after the policy is
sold! It goes without saying that the company that has clear
vision of its business is the company to be with. The key question
is “what are the strategies a company adopts to maximize
returns for the customers?” we can judge this on the basis of
following points:
 Focused underwriting/Risk management that results in

better assessment of the risk and lower claims experiences.
 Cost controls to save every rupee possible and utilize it to

give better returns.
 Prudent investment to maximize returns.
 Respect to the Regulators – A high compliance orientation.
 Customer friendly processes.
In addition to various points mentioned above, one major area of

a evaluation is the Selling practices.
Key question: What are the selling practices adopted by the

company?
Important considerations are:
 Professionally well-trained and respectable sales force.
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 Need based consultative selling method rather than hard
selling.
 Emphasis on ethical selling.
Track Record
Taking a closer look at its performance since its inception. It

could mean evaluation on various parameters like: Bonuses
declared, Claims settled, Business transacted, spread and so
on….
The Team
After all it’s the team that translates vision into reality – shapes a
company from nothing. It would be worthwhile to take a look at
the composition of team. A team of highly competent
professionals can really make a difference and add real value to
all the stakeholders. It would also be interesting to take a look at
the efforts that company putting in to upgrade its human capital.
HDFC Standard Life: Company Profile
Welcome to HDFCSL, India’s most respected private life insurance

company! A company that has already established itself as a
company with a difference in the last 4 years. Let’s look at the
milestones in the journey.
 Partnership discussions with Standard Life commenced in

January 1995.
 It resulted into the signing of joint venture agreement in
October 1995, the agreement was later renewed in October
1998.
 With government clearing the decks, a project team was

established in Mumbai in January 2000.
 Company got Certificate of incorporation on 14th August

2000.
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 HDFCSL became the first private sector life insurance
company when certificate of registration was granted on 23rd
October 2000.
 The initial shareholdings were HDFC 81.4% and Standard

Life 18.6%.
Since then, it’s the journey of excellence. All of us are

contributing towards building up a great company that the world
will admire. It’s a journey of creating the world-class company.
We have already made a mark. Let’s take a look the highlights of
the performance so far:
 We have insured over 350000 lives and have already

underwritten a Sum Assured of 15000 crores.
 We are the first private life insurance company to declare

the bonus and last year’s bonus declaration was 4th in the
row. It makes us the only private company to have declared
bonuses for 4 consecutive years.
 Winner of Outlook Money award for 2 years.
 Company with largest distribution network among the

private life insurers.
 Our claims experience has been best so far across the

industry.
 Recently voted as ‘India’s most respected private insurance

company’ by Business World.
Vision:
“The most successful and admired life insurance company, which

means that we are the most trusted company, the easiest to deal
with, offer the best value for money, and set the standards in the
industry. In short, “The most obvious choice for all”.
23
Core values:
 Integrity
 Innovation
 Customer centric
 People care
 Team work
Insurance Products
Today there are many insurance products available in the

market. Each company has its set of products that it offers to the
customers. This makes it difficult to keep track of all the products
all the time. A better way to understand them is by way of
classification. All insurance products can be classified in 4 basic
categories.
Protection Investment
P
Pension Savings
This classification is based on the needs of the customers.

Accordingly each of these categories has an end need to be
satisfied and all the products coming under that category aim to
fulfill that need e.g. Products coming under Investment category
aim to provide long term real growth over the period. Thus
understanding these categories will not only help us to
24
understand various products but also help us to position our
products strongly in a competitive market. Let us take a look at
the distinctive features of each category.
 Protection type of products: A typical protection type of
product aims at protecting income-earning capacity of the
customers on happening of uncertain events mentioned
above during the term of product. These are the pure risk
products having no savings element. Naturally, these
products don’t have any maturity benefits. High-risk cover
at low costs is the unique feature of this type that makes
this category most attractive for the prospects who want
high insurance cover without spending much for it. Usually
offered for a definite term, mainly the Term Assurances
come under this type. Various riders offered by different
companies also a part of protection category. The claim is
paid only if the stipulated event happens otherwise there
are no maturity values at the end of the term. You’ll also
find variations when some companies offer to refund all the
premiums paid but these products still come under this
category.
 Investment type of products: In investment type of

products, the focus is on maximizing returns for the
customer over a period time. In a way, it is opposite to
Protection type where the focus is maximizing the risk cover.
Here the risk cover is very low. The objective is to put
maximum in investments. The underlying principle is to
commit money for a certain period of time and get the
benefits of real long-term growth. The products are usually
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single premium policies where the entire premium is
collected in advance. Surrenders are discouraged and there
is a commitment for certain minimum no of years. In death
during the term, value of the investments is returned.
 Pension products: This is another very popular type of

product. Along with the risk of an untimely death or
disability, we also have a risk of living too long – outliving
our source of income. In other words, one needs to ensure
that he gets a decent income even after his retirement and
continues to get it as long as he lives! This is where we have
pension products addressing the need for a comfortable
retirement. One can opt for an immediate pension or for
pension at a future date (also called as deferred pension).
There is a range of options that one can have when
selecting a pension plan. There is a great amount of
flexibility when it comes to selecting a pension product. The
important point to be noted is that Pensions is a part of
one’s present income that he reserves for future
consumption. Every year that income is accumulated and
invested. The lump sum accumulation then is used for
purchasing pension on the vesting date.
 Savings type products: People like to save. Our saving rate

has been well above 20% of our GDP for last few years.
They save for events like children’s marriage, education etc.
Savings types of products aim to strike a good balance
between risk cover as well as returns. It acts as a protection
26
on savings. Sum assured is usually the targeted savings
that one looks for. He gets that amount at the end of the
term along with bonuses if it is a participating policy. On the
protection side if any unfortunate event happens during the
term, the sum assured (in other words the targeted savings)
is still paid. So it encourages a person to save for an event
at the same time ensures that his savings are protected.
This is the unique advantage of savings through life
insurance that no other financial product offers. We find
very popular products like Endowment Assurances; Money
Back plans in this category.
As stated earlier all the products come under these 4 broad

categories. To understand a product, it is essential to find out the
category of that product based on its features. Needless to say
that it will not be possible to compare one category product to
another. Each category is unique and caters to particular needs of
the customer. The best approach is to find out what customer
needs and then suggest a solution accordingly. Our products are
discussed in the following pages within the broad framework of
PIPS categories.
P
Term Assurance Single Premium
and Loan Cover Whole of Life I
Term Assurance Insurance
P
Personal Pension Endowment
Plan Assurance and S
Money back
Plan
27
Our Products
HDFCSL has currently launched 6 plans as mentioned above to
meet various insurance related needs of our customers. Along
with these plans we have also introduced 5 riders – additional
benefits available on payment of little extra cost that would help
him to enhance his insurance cover without incurring heavy
costs. Using these 6 products intelligently along with 5 riders, we
can design a range of combinations that would practically match
almost all the needs of the customer. We, thus, offer a great
flexibility to our customers. In the ensuing discussion products
are explained first followed by riders.
Endowment Assurance Plan

Category: Savings Plan
Ideal For: Saving for an event like Children’s Education,
Marriage, Housing etc. It encourages savings and
ensures that these savings are protected as well as
achieved at the end of term. It is a beneficial
proposition to save through life insurance compared to
other instruments of savings as at any point of time
these instruments just return the accumulated values
whereas a targeted savings value is created
immediately the moment one pays first premium. It is
available all throughout the term of the policy a
powerful feature only possible with life insurance!
Riders: 4 riders can be attached viz.
- Critical Illness Benefit (CI)
- Double Sum Assured Benefit (DSA)
28
- Accidental Death Benefit (ADB)
- Waiver Of Premium Benefit (WOP)
Benefits: On maturity basic sum assured + reversionary bonus +
terminal bonus is paid.
On death during the term, sum assured + reversionary
bonus + terminal bonus is paid along with rider
benefits if any.
Allowed to: Single Life as well as Joint life first claim basis.
Eligibility: A chart is produced for ready reference.
Basic Policy with optional

Basic Policy benefits
CI ATB ADB WOP
Min. age at entry 12 18 18 18 18
Max. age at entry 60 55 60 55 50
Max. age at expiry 75 70 75 65 60
Terms: Minimum: 10 years Maximum: 30 years

There is a minimum premium amount required based on mode
selected by the customer as per table given below. Please keep
this minimum amount is mind when you work out the premium.
This is exclusive or rider premiums.
Mode of Premium Minimum Premium

Payment
Annual Rs.1800
Half Yearly Rs.1000
29
Quarterly Rs.550
Money Back Plan

Category: Savings Plan
Ideal For: Saving for an event like Children’s Education,
Travel etc. with periodical returns of Sum assured. It is
suitable for people who would like to have money at
regular intervals during the term of the policy.
Riders: 4 riders can be attached viz.
- Critical Illness Benefit
- Double Sum Assured Benefit
- Accidental Death Benefit
- Waiver Of Premium Benefit
Benefits: Payment of cash (% of SA) in installments (called as
‘Survival Benefits’)
On maturity balance sum assured + reversionary
bonus + terminal bonus is paid.
On death during the term, full sum assured +
reversionary bonus + terminal bonus is paid along with
rider benefits if any.
Allowed to: Single Life as well as Joint life first claim basis.
Eligibility: A chart is produced for ready reference.
Basic Policy Basic Policy for optional benefits

CI ATB ADB WOP
Min. age at etry 12 18 18 18 18
Max. age at etry 60 55 60 55 50
Max. age at
75 70 75 65 60
expiry
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Terms: Minimum: 10 years Maximum: 30 years
There is a minimum premium amount required based on mode
selected by the customer as per table given below. Please keep
this minimum amount is mind when you work out the premium.
This is exclusive or rider premiums.
Mode of Premium Minimum Premium
Payment
Annual Rs.1800
Half Yearly Rs.1000
Quarterly Rs.550
Single Premium Whole of Life Insurance Plan

Category: Investment type of product
Ideal For: An investment oriented person who is looking for
maximizing his returns over a period of time. Here the
focus is on long-term real growth resulting out of
smoothening effect. This is a single premium policy.
Please refer to the detailed write up on this to know
the positioning aspect of it.
Riders: Currently no riders can be attached to this plan.
Benefits: In case of death any time after the commencement,
full sum assured + compound reversionary bonus +
terminal bonus if any is payable.
On completion of 10 years from the date of
commencement the policyholder can withdrawal during
the 4 week period the full sum assured plus compound
reversionary bonus and terminal bonus if any is
payable.
The Policyholder can continue under the plan even
after the completion of 10 years. Similar option of
31
withdrawal will be allowed on the completion of the
15th, 20th.. and every fifth year till death in case the
policyholder continues under the plan. It is also eligible
for appropriate deductions/ exemptions under the
income Tax Act.
Eligibility:
Minimum Maximum Minimum Maximum
Age at Entry Age at Entry Sum Assured Sum Assured
18 years 70 years Rs.25000 Rs.5000000
per person
per year
Terms: This is a whole of life insurance policy and hence will

continue as long as the policyholder lives.
Allowed to: Single lives only.
Terms Assurance plan

Category: Protection type of product
Suitable for: A prospect who seeks high insurance cover at low
costs. A prospect who has higher insurance needs but
cannot afford high premiums.
Riders: Accidental Death Benefit
Critical Illness Rider OR Accelerated Sum Assured Rider
Benefits: Since it is a pure risk cover product only the sum
assured is paid on death during the term of policy.
There are no maturity benefits available under this
plan.
32
Terms: Min term under Regular premium policies: 5 years
Max Term: 30 years
Min term under Single premium policies : 2 years
Max Term: 15 years
Eligibility:
Age and Term Limits
Minimum Maximum Min. Max M
Term Term age age ax.
Reg. Sing Reg Sing at at age
Pre le Pre le entr entr at
m. Pre m Pre y y expi
m m ry
Term
Assurance 5 2 30 15 18 60 65
Plan
Accidental
5 2 30 15 18 55 65
Death Benefit
Critical Illness
5 2 30 15 18 55 65
Benefit
Accelerated
Sum Assured 5 2 30 15 18 55 65
Benefit
Minimum Premium
Mode Minimum Premium

Annual Rs.1500
Half Yearly Rs.800
Quarterly Rs.450
Single Premium Rs.2000
Loan Cover Term Assurance Plan

Category: Protection type of product – Decreasing sum
assured limited payments plan.
Suitable for: A plan for covering loans, outstanding liabilities.
Prospects having opted for different types of loans or
33
prospects with outstanding loans can also opt for this
plan during the term.
Benefits: It aims to cover the outstanding loan in case of death
during term. Nothing is payable on maturity. Premiums
are payable only for the 2/3rd of the term of policy. In
case of death during the term, the sum assured
mentioned in the policy schedule is paid.
Allowed to: Single life as well as Joint life first claim basis.
Riders: Accelerated Sum Assured rider only.
Eligibility:
Age and Term Limits
Minimum Maximum Minimu Maxim
Term Term m age um
Reg. Sing Reg Sing at age at
Pre le Pre le entry entry
m. Pre m Pre
m m
Loan Cover
Term
10 5 30 15 18 55
Assurance
Plan
Accelerated
Sum Assured 10 5 30 15 18 55
Benefit
Minimum Premium
Mode Minimum Premium

Annual Rs.1500
Half Yearly Rs.800
Quarterly Rs.450
Single Premium Rs.2000
Personal Pension Plan
Old age bestows the mantle of dignity upon those men and women who are
financially independent!
34
Retirement as we all know is a certain event. There is no
insurance cover available after the retirement. In a survey it is
reported that nearly 77% of the Indians have not provided for
their retirement! It is also known that after retirement your
income may cease but not your needs. One can only save for the
retirement. Savings merely are not enough. Putting that money
in a proper way so as to ensure income for lifetime is all the
more important. This need is satisfied by Pension Plan. Pension is
an annuity payable on lump sum paid by the policyholder.
Broadly, there are 2 types of pensions viz. Immediate annuity
and Deferred annuity (payable after certain period called
‘Deferment period’) Our Personal Pension Plan is a deferred
annuity plan. Here the policyholder saves through deferment
period and the accumulation is then utilized to give pension on
the vesting date. We have not introduced immediate annuities.
When to start?
As seen above, on has to ‘purchase’ the pension. A lump sum
amount is required to buy the annuity from the insurer. Saving
regularly over the period can create this lump sum. The larger
the fund the better is the pension. One therefore, has to put
aside maximum possible and that too at an early date! The
earlier one starts the better.
How much?
To answer this question we need to understand that the annuity
payable is dependent on 3 important variables viz. 1. The rate of
Interest prevailing at that point of time (on vesting date) 2. The
type of Pension. And 3. The Lump sum accumulated in your
35
account. This will depend upon the inflow of premiums and the
returns earned from time to time after deducting related
expenses. It will be utilized to purchase pension on the vesting
date. Except no.2, other variables can’t be predicted with
certainty as on today. Therefore, the best decision is to set aside
maximum that one can save. It is a common tendency to ask for
the likely annuity amount receivable in the future. However, one
needs to understand that unless otherwise stated, these values
are nothing but indications that may come true or may not come
true. They are based on certain assumptions. It is advisable to
make a decision only after analyzing the nature and viability of
these assumptions.
Category: PPP is a pension category plan. It aims to accumulate
money for purchase of pension on the vesting date.
Suitable for: A prospect who would like to provide for a
comfortable retirement and is willing to save over a
period of time.
Riders: Currently no riders are allowed under this plan.
Allowed to: Single lives only.
How does this plan work?
As stated above, this is a deferred annuity. It is a savings
contract aimed at developing good lump sum at the end of the
deferment period (called as ‘Notional Cash Value’). This value is
then utilized to provide pension. On vesting date, we will give 3
options:
1. A part of Notional Cash Value can be converted into actual
cash subject to the limits fixed by prevailing regulations. It
is also known as Commutation of Pension. We will allow the
commutation as prescribed by the statutory provisions
36
applicable on the vesting date. Currently some of the
companies have laid down certain percentages.
2. Annuity from HDFC Standard Life Insurance Company
Limited. We have not specified types annuities at present.
We intend to offer all the possible options to our
policyholders as on vesting date and thereby offer greater
choice and freedom to select considering conditions
prevailing at that time.
3. If it is permitted by the prevailing regulations, the notional
cash value can also be used to buy annuity with any other
insurance company. This option is also called as “Open
Market Option (OMO)”.
Death Benefits
Premium in a PPP can be paid either by Regular Payment or
through Single Payment mode. Depending on the mode selected
the death benefit changes as follows:
 For Single premium policy, it will be Sum Assured along with
the attached bonuses declared from time to time.
 For a Regular Premium policy, it is lower of a. Sum Assured
with bonuses or b. return of premiums with 8%
compounded interest.
The death benefits are not so high for the simple reason that the
underlying need is not death risk cover but saving for pension.
RIDERS
We have introduced following riders:
1. Double Sum Assured:- Provides additional sum assured
on death during the term of this rider.
37
2. Accidental Death Benefit:- Pays one extra sum assured on
death due to accident provided the death takes place
within 90 days of accidental disability under this rider.
3. Waiver of Premium:- As the name indicates, this rider
waives of future premiums on disability. However, this
disability should be a total disability for and should last
for minimum 26 weeks. Future premiums shall be waived
off on fulfillment of this condition. These premiums shall
be waived of until Recovery, Death, or Maturity whichever
is earlier.
4. Critical Illness:- This rider pays additional sum assured on
happening of 6 specified critical illnesses. The payment
shall be made on the survival after 30 days. This is a
benefit on survival hence the 30 days clause. Basic policy
continues after the rider is paid.
5. Accelerated Sum Assured:- This rider accelerates the
payment of basic sum assured on happening of critical
illnesses mentioned above. There is no waiting period
required. Money is paid immediately on happening. Policy
terminates after the rider is paid for. However, there is a
major difference between CI and ASA as the former is
additional benefit and the later is just the modification of
basic contract. In CI policy continues while it terminates
in ASA.
Points to remember
 Rider sum assured has to be equal to the basic sum assured.
 Rider can dropped later but can only be added at the inception
of the policy.
38
 Please refer to the latest IRDA guidelines on rider premiums.
 Refer chart below for finding out which rider can be given on
which plan.
39
Unit Linked Endowment Assurance
The unit linked endowment plan is an insurance policy that is

designed to pay a lump sum on maturity or on earlier death. The
Unit Linked Endowment Plan also gives the option of additional
protection against the six common critical illnesses, as well as
additional protection if death is as the result of an accident.
Your premiums are invested in units of the investment fund of

your choice, based on the prevailing unit price. On maturity you
receive the value of your units. On death (or critical illness, if
chosen) you receive the greater of the value of your units and
your selected basic sum assured.
What are my Premiums?
You agree to pay a level premium regularly, either quarterly, half-

yearly or annually, throughout the term of the policy. The
minimum premium amount is Rs.10,000 each year.
To facilitate increased investment, we allow additional single

premium top-ups at any time. The minimum single premium top-
up is Rs. 5,000
Premiums can be paid by cash, cheque or demand draft.
What are the Benefits?
There are 4 different options available to choose from:
1. Life Option
On death within the policy term, the greater of the Sum

Assured and the value of the unit-linked fund will be paid to
your nominee.
On survival to the end of the policy term the value of the unit
linked fund will be paid to you.
2. Life and Health Option
40
On death or earlier diagnosis of any one of six common critical
illnesses within the policy term, the greater of the Sum
Assured and the value of the unit-linked fund will be paid to
your nominee.
On survival to the end of the policy term the value of the unit-
linked fund will be paid to you.
The illnesses covered under this option are cancer, coronary
artery by pass graft surgery, heart attack, kidney failure,
major organ transplant (as recipient) and stroke.
3. Extra Life Option
This option pays the same benefits as the Life Option but,
should death occur within the policy term as the result of an
accident, an extra benefit equal to the Sum Assured will be
paid.
4. Extra Life and Health Option
This option pays the same benefits as the Life and Health
Option but, should death occur within the policy term as the
result of an accident, an extra benefit equal to the Sum
Assured will be paid.
What levels of protection are available?
Depending on your age at entry, you may choose between 3

levels of cover – Low, Medium or High. For each level the Sum
Assured is based on the amount of premium you pay each year.
Age at Levels of Cover

Entry
Low Medium High
18 to 5 x
10 x Premium 20 x Premium
40 Premium
41 to 5 x
10 x Premium
50 Premium
Over 5 x
51 Premium
41
The Sum Assured can not be changed during the term of the
contract.
How are my benefits paid?

Your basic benefits will be paid by cheque.
Am I eligible?
The age and term limits for taking out a Unit Linked Endowment
Plan are: (years)
Minimum Maximum Maximum

Minimum Maximum
Age at Age at Age at
Term Term
Entry Entry Expiry
Life 10 30 18 60 75
Life
and 10 30 18 55 65
Health
Extra
10 30 18 55 70
Life
Extra
Life
10 30 18 55 65
and
Health
Can I alter the level of my premiums?

Regular premiums can be increased at any time. If needed, the
policyholder can reduce the regular premium levels (even to zero
ie the policy is converted to paid up status) provided:
• 3 years of regular premiums have been paid

• The monetary value of the unit holding across all
funds is at least Rs 15,000.
42
What happens if I surrender the policy?
The policyholder can surrender the policy at any point of time
during the contract term. The amount payable will be the unitised
fund value after applying additional surrender charges mentioned
below.
When can I access my money?

You can make lump sum withdrawals from you funds provided
the fund balance after withdrawal and charges does not fall below
the Sum Assured. The minimum withdrawal amount is Rs.
10,000.
What happens if I stop paying premiums?

This product has a grace period of 15 days for the payment of
each premium after the initial premium.
If you stop paying premiums, before you have paid 3 years of
annual premiums, we will cancel you policy and return to you the
value of your unitised fund, less cancellation charges.
If, after three years, you are unable to pay the premiums, you
have the option to make the policy paid-up, provided the policy
has accumulated sufficient policy value. Currently, this amount
will be Rs. 15,000.
If you make your policy paid up you will continue to be protected
according to the benefits you selected. To provide this cover, we
will continue to collect our usual charges on each monthly charge
date. It is important to note that if no further premiums are paid,
this may reduce the value of your fund over time, or even
exhaust it completely.
A paid-up policy can be reinstated to premium paying status at
any point of time in the future.
If the fund value of a paid-up policy falls below Rs. 15,000 we
will cancel the policy and return to you the fund value, less
cancellation charges.
Does this Plan offer me Tax Benefits?

Premiums paid under this plan are eligible for tax benefits under
Section 88 of the Income Tax Act, 1961.
Charges
We will deduct charges from the policy to cover our costs.
A percentage of each premium is invested to buy units, this
percentage is called the Investment Content Rate.
The rates are as follows:
43
Investment Content Rate
Premium paid
(ICR)
Regular - Year 1 73%
Regular - Year 3+ 99%
Regular Premium
99%
Increases
Single Premium Top-

99%
Up
The unit price each day will include a fund management charge.
This charge is 0.80% of the fund value per annum taken on a
daily basis.
A flat fee of Rs 15 per month will be deducted by cancellation of

units on each monthly charge date. This will be proportioned
across funds according to the fund holdings at the time of
cancellation of units.
Risk benefits (for death sum assured, critical illness, and

accidental death) will be charged for by cancelling units on each
monthly charge date, based on the person’s age at that time.
We charge neither for premium redirections nor for switches but

we may do so in the future.
We do not charge for altering the regular premium amount
(including making a policy paid-up and reinstating a paid-up
policy), but we may do so in the future.
On cancellation of the policy before 3 years of regular premiums
have been paid, we will charge 25% of the outstanding premiums
due during this 3-year period.
Alteration to Charges
No changes can be made to our current charges without prior
approval from the Insurance Regulatory and Development
Authority.
In any case, the fund management charge will not exceed 2%
per annum.
44
Exclusions
No benefit will be paid if the death has occurred directly or
indirectly as a result of suicide within one year from the date of
first being covered under the policy.
We will not pay health benefits if the critical illness has occurred
within 6 months of the start of the contract.
We may not pay health benefits if we do not receive a duly
completed claim form within 26 weeks of the illness, disability,
operation or other circumstances giving rise to the claim.
We will not pay health benefits if the critical illness is caused
directly or indirectly by any of the following:
• Intentionally self-inflicted injury or attempted suicide,

irrespective of mental condition.
• Alcohol or solvent abuse, or the taking of drugs
except under the direction of a registered medical
practitioner.
• War, invasion, hostilities (whether war is declared or
not), civil war, rebellion, revolution or taking part in a
riot or civil commotion.
• Taking part in any flying activity, other than as a
passenger in a commercially licensed aircraft.
• Taking part in any act of a criminal nature.
• Pregnancy or childbirth or complications arising
therefrom.
We will not pay accidental death benefit if death occurs after 90

days from the date of the accident.
We will not pay accidental death benefit if death is caused
directly or indirectly from any of the following:
• Suicide within one year of the Date of Commencement

or the date of issue of the Policy, if later
• Alcohol or solvent abuse, or the taking of drugs
except under the direction of a registered medical
practitioner.
• Taking part or practising for any hazardous hobby,
pursuit or race unless previously agreed to by us in
writing
not), civil war, rebellion, revolution or taking part in a
riot or civil commotion.
45
General Information
Unit Prices
We will set the unit price of a fund by dividing the value of the
assets in the fund at the valuation time by the number of units in
existence for the fund. The resulting price will be rounded to the
nearest Rs. 0.0001. The value of the assets will be calculated as
the Market or Fair Value of the fund’s Investments plus Current
Assets (including accrued income) less Current Liabilities and
Provisions (including accrued expenses). This price will be
published on our company`s website.
Prohibition of rebates
Section 41 of the Insurance Act, 1938 states:
1. No person shall allow or offer to allow, either directly or

indirectly, as an inducement to any person to take out or
renew or continue an insurance in respect of any kind of risk
relating to lives or property in India, any rebate of the whole
or part of the commission payable or any rebate of the
premium shown on the policy, nor shall any person taking
out or renewing or continuing a policy accept any rebate,
except such rebate as may be allowed in accordance with
the published prospectuses or tables of the insurer.
2. Any person making default in complying with the provisions
of this section shall be punishable with fine which may
extend to five hundred rupees.
Unit Linked Young Star Plan
HDFC Unit Linked Young Star Plan is designed to provide a lump

sum to the child at maturity. It also provides financial security to
the child in the future, even in case of the insured parent's
unfortunate death during the policy term. The Unit Linked Young
Star Plan also gives the option of additional protection against
the six common critical illnesses.
46
Your premiums are invested in units of the investment funds of
your choice, based on the prevailing unit prices. On maturity the
value of the units will be paid. On death (or critical illness, if
chosen) the selected basic sum assured is paid, and the policy
continues until maturity. Following a valid death or critical illness
claim, we will pay the future premiums (at the level originally
chosen at inception) into your policy,as and when they would
have fallen due.
You agree to pay a level premium regularly, either quarterly, half-

yearly or annually, throughout the term of the policy. The
minimum premium amount is Rs. 10,000 each year.

up is Rs. 5,000
Can I switch my monies to any fund?
You can switch your existing investments from your any of your
unit linked funds, to any other available unit linked fund. You can
also give us a premium redirection instruction to redirect future
premiums to different unit linked funds.
There are 2 different options available:
1. Life Option
This option consists of a Maturity Benefit and a Death Benefit.
• The Maturity Benefit will pay the value of the unit-linked

fund at the end of the policy term.
• The Death Benefit will pay the basic Sum Assured on
death of the life assured during the policy term. Following
47
payment of this benefit, no further premiums are due
from the policyholder.
• Following a valid death claim, we will pay future
premiums on your behalf, as and when they become due.
The level of premium will be that chosen by you at
inception of the policy.
2. Life and Health Option
This option consists of a Maturity Benefit, a Death Benefit and

an Extra Health Benefit.
• The Maturity Benefit will pay the value of the unit-linked

fund at the end of the policy term.
• The Death Benefit will pay the basic Sum Assured on
death of the life assured during the policy term. Following
payment of this benefit, no further premiums are due
from the policyholder and the Extra Health Benefit will
lapse without value.
• The Extra Health Benefit will pay the basic sum assured
on diagnosis of any one of six critical illnesses during the
policy term. Following payment of this benefit, no further
premiums are due from the policyholder and the Death
Benefit will lapse without value. The illnesses covered
under this benefit are cancer, coronary artery by pass graft
surgery, heart attack, kidney failure, major organ transplant (as
recipient) and stroke.
• Following a valid death or critical illness claim, we will pay
future premiums on your behalf, as and when they
become due. The level of premium will be that chosen by
you at inception of the policy.
What levels of protection are available?

Depending on your age at entry, you may choose between 3
levels cover – Low, Medium or High. For each level the Sum
Assured is based on the annual amount of premium you choose
at inception.
Age at Levels of Cover

Entry
Low Medium High
48
18 to 5 x
10 x Premium 20 x Premium
40 Premium
41 to 5 x
10 x Premium
50 Premium
Over 5 x
51 Premium
The level of sum assured can be reduced during the life of the
contract but restricted to the available multiples of annual
premium chosen at the inception of the policy and using the age
of the life assured at entry.
Who is entitled for the benefits?

The child is the beneficiary under the policy. In case the child is a
minor, the proceeds should go to the appointee. Once the child
attains 18 years of age, he will be the sole person entitled to the
policy proceeds.
The benefits will be paid by cheque.
Am I eligible?
The age and term limits for taking out a Unit Linked Young Star
Plan are: (years)
Minimum Maximum Maximum

Minimum Maximum
Age at Age at Age at
Term Term
Entry Entry Expiry
Life
10 25 18 60 75
Option
Life
and
10 25 18 55 65
Health
Option

Regular premiums can be increased at any time.
If needed, the policyholder can reduce the regular premium
levels (even to zero ie the policy is converted to paid up status)
provided:
49
• The monetary value of the unit holding across all funds is
at least Rs 15,000.
You can pay additional single premium top-up(s) at any point of

time.

during the contract term. The amount payable will be the unitised
fund value after applying additional surrender charges mentioned
below.
When can I access my money?

You can make lump sum withdrawals from you funds provided
the fund balance after withdrawal and charges does not fall below
Rs. 15,000. The minimum withdrawal amount is Rs. 10,000.
What happens if I stop paying premiums?

annual premiums, we will cancel your policy and return to you
the value of your unitised fund, less cancellation charges.
will be Rs. 15,000.
If you make your policy paid up you will continue to be protected

Tax benefits under Section 88 and Section 10 (10D) of the
Income Tax Act, 1961 are applicable.
50
Charges
percentage is called the Investment Content Rate.
The rates are as follows:
Investment Content Rate

Premium paid
(ICR)
Regular - Year 3+ 99%
RegularPremium
99%
Increases
Single Premium Top-

99%
Up
daily basis.
Risk benefits will be charged for by cancelling units on each
monthly charge date, based on the person's age at that time.
We do not charge for premium redirections or switches but we
may do so in the future.
On cancellation or surrender of the policy before 3 years of
regular premiums have been paid, we will charge 25% of the
outstanding premiums due during this 3-year period.
Exclusions
51
No benefit will be paid if the death has occurred directly or
indirectly as a result of suicide within one year from the date of
first being covered under the policy.
We will not pay Extra Health Benefits if the critical illness has
occurred within 6 months of the start of the contract.
We may not pay Extra Health Benefits if we do not receive a duly
completed claim form within 26 weeks of the illness, disability,
operation or other circumstances giving rise to the claim.
We will not pay Extra Health Benefits if the critical illness is
caused directly or indirectly by any of the following:
• Intentionally self-inflicted injury or attempted suicide,

irrespective of mental condition.
• Alcohol or solvent abuse, or the taking of drugs except
under the direction of a registered medical practitioner.
not), civil war, rebellion, revolution or taking part in a riot
or civil commotion.
• Pregnancy or childbirth or complications arising
therefrom.
General Information
Unit Prices
published on our company's website.
Authority.
The following are the maximum caps on each of the different
type of charges: The fund management charge will not exceed
2% per annum; the flat fee can be altered from the value at
52
inception increased in line with inflation subject to a maximum of
5% per annum over the period since inception; up to 5 switches
will be free in a year, any additional switch can be charged up to
2% of the switched amount; premium redirection and other
adhoc policy servicing requests can be charged up to Rs. 250 per
request increased in line with inflation subject to a maximum of
5% per annum over the period since inception; the surrender
charge can vary upto 100% of outstanding regular premiums due
in the first 3 years. The mortality charge rates are guaranteed for
the term of the policy.
1. No person shall allow or offer to allow, either directly or

indirectly, as an inducement to any person to take out or
renew or continue an insurance in respect of any kind of
risk relating to lives or property in India, any rebate of the
whole or part of the commission payable or any rebate of
the premium shown on the policy, nor shall any person
taking out or renewing or continuing a policy accept any
rebate, except such rebate as may be allowed in
accordance with the published prospectuses or tables of
the insurer.
2. Any person making default in complying with the
provisions of this section shall be punishable with fine,
which may extend to five hundred rupees.
Unit Linked Pension Plan
The unit linked pension plan is basically an insurance contract,

which is designed to provide a retirement income for life.
Your premiums are invested in units of the investment fund of

your choice, based on the prevailing unit price. On vesting the
value of your units will be used to buy your retirement benefits.
53
On earlier death, the beneficiary receives the value of your units
plus a cash lump sum of Rs. 1,000.
You agree to pay level premiums regularly, either quarterly, half-

yearly or annually, throughout the term of the policy or a single
premium at the start of the policy. The minimum premium
amount for regular premium mode is Rs. 10,000 each year and
for single premium, it is Rs. 25,000.

up is Rs. 5,000.
Can I switch my monies to any fund?

You can switch your existing investments from any pension unit
linked fund to another pension unit linked fund. You can also give
us a premium redirection instruction to redirect future premiums
to different pension unit linked funds.

At the chosen vesting date, the unitised fund value will be
available to secure pension benefits. Subject to the prevailing
regulations, part of this value can be taken in the form of a cash
lump sum and the rest converted to an annuity at the rate then
offered by HDFC Standard Life. Alternatively, if it is permitted by
the prevailing regulations, the proceeds net of any cash lump
sum can be used to buy an annuity with any other insurance
company who will accept such business. The current maximum
limit for any cash lump sum is one-third of the unitised fund
value on vesting.
On death the unitised fund value will be paid along with a cash
lump sum of Rs. 1,000. The beneficiary may use the proceeds to
purchase pension benefits for the surviving spouse.
How are my benefits paid?

Your basic benefits will be paid by cheque.
Am I eligible?
The age and term limits for taking out a Unit Linked Pension Plan
are: (years)
54
Minimum Maximum Minimum Maximum
Minimum Maximum
Age at Age at Age at Age at
Term Term
Entry Entry Vesting Vesting
Regular
Premium 10 40 18 60 50 70
Version
Single
Premium 5 40 18 65 50 70
Version

Regular premiums can be increased at any time. If needed, the
policyholder can reduce the regular premium levels (even to zero
ie the policy is converted to paid up status) provided:

• The monetary value of the unit holding across all funds is at
least Rs 15,000.
In addition, you can pay single premium top-up(s) at any point of

time.

during the contract term for regular premium paying policies. For
single premium contracts, the contract needs to remain in-force
for a minimum period of six months before you can surrender.
The amount payable will be the unitised fund value after applying
additional surrender charges mentioned below.
What happens if I stop paying premiums in regular

premium paying contract?
annual premiums, we will cancel your policy and return to you
the value of your unitised fund, less cancellation charges.
55
will be Rs. 15,000.
If you make you policy paid up you will continue to be protected

Premiums paid under this plan are eligible for tax benefits under
Section 80CCC of the Income Tax Act, 1961.
Charges
percentage is called the Investment Content Rate. The rates
are as follows:
Investment Content
Premium paid (Rs)
Rate (ICR)
Single Premium
Initial Payment 94%
Single Premium Top-Up(s) 99%
Regular Premiums
Year 1 78%
Year 2 78%
Year 3 + 99%
56
Regular Premium Increases 99%
Single Premium Top-Up(s) 99%
daily basis.
We do not charge for the flat death cover of Rs. 1,000, but we
We do not charge for premium redirections or switches but we
On cancellation or surrender of the policy before 3 years of
regular premiums have been paid, we will charge 20% of the
outstanding regular premiums due during this 3-year period.
Authority.
In any case, the fund management charge will not exceed 2%
per annum.
Exclusions
There will be no exclusions on this policy.
General Information
Unit Prices
57
published on our company’s website.
1. No person shall allow or offer to allow, either directly

or indirectly, as an inducement to any person to take
out or renew or continue an insurance in respect of
any kind of risk relating to lives or property in India,
any rebate of the whole or part of the commission
payable or any rebate of the premium shown on the
policy, nor shall any person taking out or renewing or
continuing a policy accept any rebate, except such
rebate as may be allowed in accordance with the
published prospectuses or tables of the insurer.
2. Any person making default in complying with the

provisions of this section shall be punishable with fine
which may extend to five hundred rupees.
What investment funds can I invest in?
The policy is fully unitised with a range of funds to match your

needs and approach to risk. (By risk we mean the likely volatility
in the value of units in the fund.)
Each investment fund is composed of units. All the units in a fund

are identical. You can choose from the following funds:
Liquid fund
The Liquid fund invests 100% in bank deposits and high quality
short-term money market instruments. The fund is designed to
be cash secure and has a very low level of risk; however unit
prices may occasionally go down due to the use of short-term
money market instruments.
58
Secure Managed
The Secure Managed fund invests 100% in Government

Securities and Bonds issued by companies or other bodies with a
high credit standing, however a small amount of working capital
may be invested in cash to facilitate the day-to-day running of
the fund. This fund has a low level of risk but unit prices may still
go up or down.
Defensive Managed
15% to 30% of the Defensive Managed fund will be invested in

high quality Indian equities. The remainder will be invested in
Government Securities and Bonds issued by companies or other
bodies with a high credit standing. In addition, a small amount of
working capital may be invested in cash to facilitate the day-to-
day running of the fund. The fund has a moderate level of risk
with the opportunity to earn higher returns in the long term from
some equity investment. Unit prices may go up or down.
Balanced Managed
30% to 60% of the Balanced Managed fund will be invested in

high quality Indian equities. The remainder will be invested in
Government Securities and Bonds issued by companies or other
bodies with a high credit standing. In addition a small amount of
working capital may be invested in cash to facilitate the day-to-
day running of the fund. The fund has a higher level of risk with
the opportunity to earn higher returns in the long term from the
higher proportion it invests in equities. Unit prices may go up or
down.
Growth fund
The Growth fund invests 100% in high quality Indian equities. In

addition a small amount of working capital may be invested in
cash to facilitate the day-to-day running of the fund. The fund
has a higher level of risk with the opportunity to earn higher
returns in the long term from the investment in equities. Unit
prices may go up or down.
59
Financial Consultant Recruitment
CERTIFIED FINANCIAL CONSULTANTS AND CORPORATE AGENTS
In HDFC Standard Life the policies are sold through Certified

Financial Consultants and some channels.
Definition of An Agent
The Indian Contract Act of 1872 defines an agent as “a
person employed to do any act for another or to represent
another in dealing with a third person.”
Why We Have Chosen the Title ‘Consultants’?

Typically people associate agents with product providers,
who merely act as middlemen, between the customer and the
company. HDFC Standard Life looks at its representatives much
more than just agents.
60
Our representatives are professional and skilled advisors
who are able to recommend the best solutions based upon the
individual customer’s needs.
Furthermore, with the imminent entry of new players into
the market, we believe products will become more complex, and
customer expectations of financial advisors will increase.
Given this environment we believe that the successful
advisor will have to assume the responsibility of a financial
‘Consultant’.
The title Consultant therefore reflects the image we wish to
develop in the market.
Functions of an Agent
The duties and functions of an agent are as follows:
1. To contract business according to the directions given by
the person/company they represent.
2. To exercise reasonable and diligence and skill while
conducting business.
3. To submit paper accounts to the person/company.
4. To act in good faith towards the person/company
(disclose all material facts, etc.).
5. To perform his duties personally.
Criteria for becoming an Agent

It is required that a person making an application for a
license to act as on insurance agent:
 Is a citizen of India
 Is at least 18 years of age as on the date of application
61
 Possesses the minimum educational qualification of a pass
in 12th Standard of equivalent examination conducted by any

recognized Board/Institute of Education. If the person
resides in a place with a population of less than five
thousand, he should at least be 10th standard pass or
equivalent examination.
 Has not been found to of unsound mind by a Court of
competent jurisdiction.
 Has not been found guilty of criminal misappropriation or
criminal breach of trust or of cheating or of forgery or of an
abatement of or attempt to commit any such offence.
 Has not been found guilty of, or has not knowingly
participated in or connived at any fraud, dishonesty or
misrepresentation against an insurer or an insured.
 Has not been found violating the code of conduct as may be
specified by the IRDA regulations.
Training of Insurance Agents

The IRDA have specified that each person aspiring to e an
agent has to undergo practical training. The training has
 To be of 100 hours in life insurance business, as the case may
be.
 To be conducted by an institute approved and notified by
IRDA.
Licensing Process
The licensing process would start with the insurer
sponsoring a candidate for practical training. On completion of
the mandated training, the applicant has to make an application
62
in specified format for undergoing a written exam. On clearing of
both his written and oral exam, the applicant will make an
application to the ‘designated person’ of the sponsoring insurer.
Based on meeting all the above requirements and submission of
application fee, the designated person will issue the license along
with the identity card.
The license is valid for a period of 3 years unless terminated
or surrendered. For any renewal of license, the agent needs to
undergo additional 25 hours of training in either life or general
from an approved institution. If the designated person refuses to
grant or renew a license under this regulation, he shall give the
reasons therefore to the applicant.
Code of Conduct for Insurance Agents

Every person licensed to act, as an insurance agent shall be
subject to a code of conduct specified below:
Every agent shall
 Identify himself and the insurance company of which he is
an insurance agent, disclosing his certificate of license to the
prospect on demand for the purpose of soliciting or
procuring insurance business.
 Disseminate the requisite information in respect of
insurance products offered for sale by his insurer, and also
by other insurers in the market, taking into account the
needs of the prospect for insurance before offering any
insurance product.
 Disclose the commission offered to him in respect of the
insurance product offered for sale.
63
 Determine the premium to be charged by the insurer for the
insurance product offered for sale.
 Explain to the prospect in regard to information required in
the proposal form by the insurer, and also the importance of
disclosure of material information to the insurer.
 Bring to the notice of the insurer any habits or income of the
prospect, in the form of a report (may be called as
Insurance Agent’s Confidential Report) along with every
proposal submitted to the insurer, any material fact that
may adversely affect the underwriting decision of the
insurer as regards acceptance of the proposal, by making all
reasonable enquiries about the prospect.
 Inform the prospect regarding the acceptance of the
proposal by the insurer promptly.
 Ensure that all possible steps for delivery of the policy bond
from the insurer to the prospect within 45 days of the date
of proposal (insurer is ultimately responsible for the delivery
of the policy documents).
 Obtain the requisite documents (including medical reports in
case of life insurance business) at the time of filing the
proposal form with the insurer; and other documents asked
by the insurer for completion of the proposal.
 File with the designated person, the certified copy of his
agreement with the insurer (copy of the agreement shall be
certified by any officer of the insurer authorized by the
designated person) within fifteen days from the date of his
appointment as insurance agent as mentioned in regulation
4 above.
64
 Handover a copy of the proposal form or any other form to
the proponent before submitting such form to the insurer for
purchase of insurance contract.
 Abide by any matter that has been notified by the Authority
in its notifications.
Every agent shall not

 Solicit or procure insurance business without holding a
certificate of valid license.
 Advise or induce the prospect to omit to disclose the
material information in the proposal form.
 Submit wrong information in the proposal form or in the
documents submitted to the insurer for acceptance of the
proposal.
 Utilize his handwriting in respect of answers to the questions
in the proposal form, which contains the signature of the
prospect.
 Provided that if the prospect is an illiterate, the handwriting
in the proposal form shall be from another person who is
not an insurance agent, and such proposal shall be
countersigned by him (the insurance agent) as a witness.
 Utilize his handwriting in respect of answers to the questions
in the medical reports.
 Behave in discourteous manner with the prospect.
 Interfere with any proposal introduced by any other
insurance agent.
 Offer better terms and conditions than offered by his
insurer.
65
 Part to or share his agency commission with any prospect or
with any other person.
 Receive a share of the benefit payment payable to the
policyholder or the claimant or the beneficiary.
 Give advice to any policyholder for termination of the
insurance contract with any insurer in order to effect a new
proposal within one hundred eighty days from date of such
termination.
 Indulge in any action, which is against the agreement
between him and his insurer.
 Apply for fresh license to act as an insurance agent if his
earlier one has been terminated by the Authority within five
years from the date of termination.
 Remain or become a director of an insurer carrying on
insurance business in India.
 Obtain the signature of the proposer, or the signature of the
life assured, or the signature of any other relevant person,
in any form, which remains unanswered or blank to the
questions therein at the time of such signature.
 Every insurance agent shall, with a view to conserve the
insurance business already procured from all persons who
have become policyholders of the insurer through him.
 Advise every policyholder to effect nomination or
assignment or change of address or exercise of options, as
the case may be, offering necessary assistance in this behalf
wherever necessary.
 Make every attempt to ensuring remittance of the premiums
by the policyholders within the stipulated time.
66
 Make every attempt to prevent the lapsation of policy to
enable the policy to remain in force for the full benefits
under the policy.
 Render necessary assistance to the policyholders or
claimants or beneficiaries in filling and filling claim forms
and in complying with the requirements laid down in relation
to settlement of claims by the insurer.
 An insurance agent shall comply with sections 40, 40-A, 41,
42, 44, 48-A, 102 and 103 of the Act, or regulations or
notifications of the said Act or of any relevant Act, or of any
notification regarding code of conduct, or any direction by
the Authority.
 Explanation: In this regulation, ‘any other for’ means such
forms, which shall be supplementary to the proposal form,
which is furnished to the insurer by the proponent at the
request of the insurer. For example, the proponent may
inform in a form to the insurer to reduce the sum assured or
the plan of assurance or the mode of payment of premium,
after the proposal form has been furnished to the insurer
before the acceptance of insurance contract.
Termination of Agency
The license of an agent will get terminated in the event of
• Cancellation or non-renewal of the license.
• The agent acquiring any of the following legal
disqualification
1. Permanent incapacity
2. Found of unsound mind by a court
67
3. Conviction of a criminal misappropriation
4. Criminal breach of trust
5. Cheating or forgery
6. Any violation of the code of conduct
Please note that the total commission payable in the first 5
years is capped at 60% of the annual premium. This means that
if we pay 40% in year 1, we can only pay a further 20% between
years 2 and 5 inclusive (Example – 40% in year 1 followed by
5% in years 2 to 5).
Personal Competencies required:-

 Interpersonal sensitivity
 Planning and organizing
 Professionalism & Business Integrity
 Decision making & judgment
 Customer focus
 Contribution to Results (including Preference for Action,
Achievement Drive)
 Communication & influencing
 Decision making and judgment
 Strong Network in the NCR
 Result oriented dedication
Sales Promotion Through Recruitment of Financial

Consultants
68
Starting The Project:
The project was started by Understanding the products and the

selection criteria specified by IRDA to become a Agent of the
company, after getting familiar with the products of the company
and the norms of IRDA the task was to recruit the Financial
Consultants for the company with a desired Profile.
Market Segmentation:
Market is full of peoples but every candidate taken from the

market is not a promising candidate hence market segmentation
is essential to employ quality people to have quality results.
Selling Insurance requires a good understanding about the
policies hence following profile were chosen to give the agency
they are: -
1.Charted Accountants
2.Mutual Fund Advisors
3.Tax Consultants
4.High Income Group
Tele calling
After Market segmentation Tele calling was the medium to

interact with the peoples on phone line and then fix the
appointments for the further conversation. Tele calling was done
on the data provided by management of the company and some
data was collected from the sources like Just Dial Services,
Internet, Display Boards, and References. While Tele calling a
proper pitch was developed to talk to peoples because it is a job
to perform as the best offering which a person can think of, while
offering the same thing a different way was developed to talk to
people having different background.
Cold Calling
Cold calling was also tried as a tool for sales promotion but it has
given results in very few cases, the reason behind less success of
this source was unavailability of the people at their office or they
69
are busy and few of them take cold calling casually. The profile
that was targeted requires proper channel to contact them and
move forward.
Fixing Appointments and meeting People
While Tele calling a proper pitch is maintained to meet the

persons requirement by offering them the best what they want,
when a person is convinced on phone, a appointment was fixed
to have further discussion about the products. After fixing the
appointments it is very important to reach in time and proper
documentation is required about the appointments so that one
should not miss an appointment in confusion.
Supporting Documents really help a lot while meeting peoples, as

people believe in the proofs. While taking to people it was
observer that with the information about the industry sometime
making a relationship with them by any means helps a lot in
doing a job.
Follow Ups
Follow up was instrumental in the entire project this is the thing

to which I will like to give utmost importance. As selling
insurance and appointing Financial consultants requires two or
more than two meetings hence proper follow up is required to
have good results. The reason behind giving so much importance
to follow up is any person who is targeted to offer the agency
may not in a position to take the agency at that point of time or
he wants to weigh all the alternatives available in the market. In
such cases follow-up becomes the Key to Success.
Final Documentation
Final Documentation is done when a person gets ready to take
the agency. This step requires all the basic formalities to be
completed. After the documentation the training starts and after
taking a training of 100 hours specified by IRDA a candidate has
to appear for the test and once he passes the test he/she
becomes liable to sell Insurance.
70
Suggestions and Recommendations
Marketing Support: - More marketing support is required to create

awareness in the market about the policies of the company as done
by the close competitors. It was observed that people are really very
conscious about the advertisement run by the company, and it can
affect the sales of the company. While appointing agents this
problem was faced as they questioned about the less marketing
support by the company.
Good Attractive Brochures: -Good attractive Brochures are required

to have a good impact on the customers because once the policy is
communicated by the agent to the customer the brochure remains
the key representative of the company. Hence agents requires good
more attractive brochures.
More Number of Policies: - It was observed that if a company

have more number of policies designed to cater the specific need
of people then it will have a different impact on people. HDFC
Standard Life has a lot of options available to cater the needs of
different segments but if they can provide the policies under the
specific name then it would be very beneficial in sales promotion.
Company also needs to concentrate on the competitors to have
some good policies to beat the close competitors.
Service Satisfaction: - Service satisfaction is very important

in the service industry and HDFC as a group has a good
name in rendering quality services but due to some
loopholes in some branches the services gets affected and
hence have wrong impact on customers mind about the
whole group hence service has to be given the utmost
important to create goodwill in the market.
71
Continuous up gradation: - Financial Consultants wants a
continuous up gradation about the policies of the company. They
should be continuously upgraded as HDFC Standard life does and
this point should be highlighted while offering the agency.
Conclusion
Today marketing must be understand not in the old sense of making

a sale “telling and selling”-but in the new sense of satisfying
customer needs. While selling life insurance one does not sell any
tangible product That’s why it becomes very essential to
understand customer needs, which will help to distribute and
promote the product effectively and it will be easy to sell the
products.
Life Insurance is all about selling life, for which one should be very
realistic and practical because it’s a matter of a person’s life. Selling
of insurance policies is not an easy job it is all about convincing
people, winning their confidence and assuring them for a safe
future.
HDFC Standard life Insurance is most respected private life

insurance company. In very short time it has won the confidence of
people because of its unique features like good services and
promising future in insurance sector. While working on this project I
came to know facts about insurance business, that there is a
cutthroat competition and every company is trying its best to sell
the products. Hence it is required to strengthen the selling chain so
as to compete in the market, as a part of my project I have tried to
strengthen the chain by employing few people for the company with
a desired profile. I have discussed various issues in the project,
which should be taken care of while recruiting the financial
consultants for the company.
72
Lastly I would like to conclude by saying quoting the following
quote, which signifies the importance of Life insurance in ones, Life.
“Iron is strong but fire melts it,

Man is strong but death is stronger,
So survive death through Life Insurance”
73

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SUMMER TRANING

“A STUDY OF PRODUCT PROFILE OF HDFC STANDARD LIFE

1.ABOUT THE PROJECT

 Why Life Insurance

3.An overview of the Industry

4.About The Company

5.About The Products

6.About The Riders

7.Sales Promotion Through Recruitment of Financial Consultants

 Definition of Financial Consultants

8.Sugessions and Recommendations

ABOUT THE PROJECT

This project is concern about the

The project work Started by understanding the Products of the

1.Market Segmentation To Recruit Quality Peoples

WHY LIFE INSURANCE?

Uncertainty is part of our everyday life. Human beings cannot

Insurance: The Concept

Uncertainty is part of our every day life. However, all the

INTRODUCTION TO INSURANCE INDUSTRY

Insurance is as old as civilization. It has been developing

BENEFITS OF LIFE INSURANCE

Superior To Any Other Savings Plan

Encourages And Forces Thrift

A saving deposit can easily be withdrawn. The payment of

Easy Settlement And Protection Against Creditors

A life insurance policy is the only financial instrument the

Administering The Legacy For Beneficiaries

Speculative or unwise expense can quickly cause the

A life insurance policy can, after a certain time period

Death is not the only hazard that is insured, many policies

Accident Death Benefits

Many policies can also provide for an extra sum to be paid

AN OVERVIEW OF THE INDUSTRY:

Life Insurance Market in India

In line with the economic reforms that were ushered in India in

Reforms were initiated with the passage of Insurance Regulatory

INSURANCE MARKET IN INDIA

By any yardstick, India, with about 200 million middle class

Reforms have marked the entry of many of the global insurance

The following are the key winds of change brought about

There has been an overall expansion in the market. This has

New Product Offerings:

If one analyses the history of growth of the insurance industry

Our argument is that the strategy of being everything to

This type of positioning is based on varieties in products and

This is the most commonly understood positioning and is based

An example would be a life insurance company that focuses only

Positioning of customers can also be done by the way they are

NEED FOR PRIVATIZATION

We cannot directly attribute the reasons for opening up the

Number apart, privatization of the insurance sector is expected to

ISSUES RELATED TO DEREGULATION

Even as the story of this newly opening insurance sector is

Although the insurance sector is being opened up for the private

There are still restrictions of giving foreigners free access to our

The order issue is this whether the potential market is

Impact On Financial Sector

The next issue is regarding the impact of the expansion of this

Investment And Profitability

ABOUT THE COMPANY

Benefits of selecting a right company

Safety: Safety of money invested is a fundamental benefit. It