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Organization Study at ICICI Prudential
Organization Study at ICICI Prudential
AN ORGANIZATION STUDY
AT
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CONTENTS
Sl No 1 I.1 I.2 I.3 DESCRIPTION CHAPTER I INTRODUCTION INDUSTRY PROFILE COMPANY PROFILE PAGE NO. 9 10 11 12 15
2 2.1
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CHAPTER III FUNCTIONAL AREAS HUMAN RESOURCE MARKETING FINANCE QUALITY CONTROL DEPARTMENT IT AND SYSTEMS DEPARTMENT CHAPTER IV SWOT ANALYSIS 54 57 58 59 60 44 46 48
BIBLIOGRAPHY
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CHAPTER- 1
INTRODUCTION
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1.1 INTRODUCTION
ICICI Prudential Life Insurance Company Limited was incorporated on July 20, 2000. The authorized capital of the company is Rs.2300 Million and the paid up capital is Rs. 1500 Million. The Company is a joint venture of ICICI (74%) and Prudential plc UK (26%). The Company was granted Certificate of Registration for carrying out Life Insurance business, by the Insurance Regulatory and Development Authority on November 24, 2000. It commenced commercial operations on December 19, 2000, becoming one of the first few private sector players to enter the liberalized arena. The Company is now operational in Mumbai, New Delhi, Pune, Chennai, Kolkata, Bangalore, Chandigarh, Ahmedabad, Hyderabad, Lucknow, Nasik, Jaipur, Cochin, Meerut, Mangalore and Ludhiana.
Till March 31,2002 the Company has issued 100,000 polices translating into a Premium Income of around Rs. 1,200 Million and a sum assured of over Rs.15,000 Million.The Company recognizes that the driving force for gaining sustainable competitive advantage in this business is superior customer experience and investment behind the brand. The Company aims to achieve this by striving to provide world class service levels through constant innovation in products,
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distribution channels and technology based delivery. The Company has already taken significant steps to achieve this goal.. ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a premier financial powerhouse and prudential plc, a leading international financial services group headquartered in the United Kingdom.
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all entry restrictions for private players and allowing foreign players to enter the market with some limits on direct foreign ownership. The life insurance industry in India grew by an impressive 36%, with premium income from new business at Rs. 253.43 billion during the fiscal year 2004-2005, braving stiff competition from private insurers. This report "Indian Insurance Industry: New Avenues for Growth 2012", finds that the market share of the state behemoth, LIC, has clocked 21.87% growth in business at Rs.197.86 billion by selling 2.4 billion new policies in 2004-05. But this was still not enough to arrest the fall in its market share, as private players grew by 129% to mop up Rs. 55.57 billion in 2004-05 from Rs. 24.29 billion in 2003-04. Though the total volume of LIC's business increased in the last fiscal year (2004-2005) compared to the previous one, its market share came down from 87.04 to 78.07%. The 14 private insurers increased their market share from about 13% to about 22% in a year's time. The figures for the first two months of the fiscal year 2005-06 also speak of the growing share of the private insurers. The share of LIC for this period has further come down to 75 percent, while the private players have grabbed over 24 percent.
Vision
To make ICICI Prudential the dominant Life and Pensions player built on trust by world-class people and service. This we hope to achieve by:
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Understanding the needs of customers and offering them superior products and service
Developing and implementing superior risk management and investment strategies to offer sustainable and stable returns to our policyholders
Providing an enabling environment to foster growth and learning for our employees
The success of the company will be founded in its unflinching commitment to 5 core values -- Integrity, Customer First, Boundaryless, Ownership and Passion. Each of the values describe what the company stands for, the qualities of our people and the way we work. We do believe that we are on the threshold of an exciting new opportunity, where we can play a significant role in redefining and reshaping the sector. Given the quality of our parentage and the commitment of our team, there are no limits to our growth.
Mission
ICICI Prudential Target Returns Fund (There is no guarantee or assurance of returns) is specially designed with the objective of providing investors with trigger options to pre-set their investment objectives by allowing them to re-balance the investment to pre-selected debt funds, once their investment objectives are met. The fund utilizes fundamental analysis for individual security selection with a view to invest in equities of companies that are highly liquid with large market capitalization.
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Prudential plc
Established in London in 1848, Prudential plc, through its businesses in the UK and Europe, the US and Asia, provides retail financial services products and services to more than 16 million customers, policyholder and unit holders worldwide. As of June 30, 2004, the company had over US$300 billion in funds under management. Prudential has brought to market an integrated range of financial services products that now includes life assurance, pensions, mutual funds, banking, investment management and general insurance. In Asia, Prudential is the leading European life insurance company with a vast network of 24 life and mutual fund operations in
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twelve countries - China, Hong Kong, India, Indonesia, Japan, Korea, Malaysia, the Philippines, Singapore, Taiwan, Thailand and Vietnam.
Product Profile
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Insurance Plans
ICICI Prudential has a wide array of insurance plans that have been designed with the philosophy that different individuals are bound to have differing insurance needs. The ideal insurance plan is one that addresses the exact insurance needs of the individual that will depend on the age and life stage of the individual apart from a host of other factors. Life Insurance Plans: Under Life insurance plans, ICICI Prudential offers plans under the following major need categories:
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Protection Plans
The primary objective of a pension plan is to help you provide for your financial needs in your post retirement years. You will find a Pension Planning Calculator on the site, meant to make your pension plan review as simple as possible. The calculator is the first step in your Pension Plan scheme, there are othe steps towards getting the Indian pension policy you need.
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Under Health Product Suite, ICICI Prudential offers plans under the following major need categories: Hospitalisation Plans
Crisis Cover
Cancer Products
Cancer Care
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Diabetes Products
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Plan Name SmartKid New Unit-linked Regular Premium SmartKid New Unit-linked Single Premium SmartKid Regular Premium
Wealth Creation Plans give the customer the dual benefit of protection along with the potentially higher returns of market-linked instruments. The most important benefit of ULIPs is the flexibility they give the customer in choosing the premium amount and also choosing the underlying fund in which this money is to be invested. Wealth creation plans also offer the customer more liquidity options as compared to traditional plans. As such, ULIPs are ideal for customers who want the protection
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of a life cover to be allied to the returns of market linked instrument giving them an unmatched combination of benefits. Under the wealth creation platform, ICICI Prudential brings the following products to you. Please click on the product name to know more about the plans.
Plan Name ICICI Pru SecureSave ICICI Pru Wealth Advantage ICICI Pru LifeStage Assure ICICI Pru LifeTime Gold ICICI Pru PremierLife Gold ICICI Pru LifeLink Super ICICI Pru LifeStage RP
Plan Type Unit Linked Unit Linked Unit Linked Unit Linked Unit Linked Unit Linked Unit Linked
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Life is full of uncertainties and a safety net that will protect us from any fall is what we always strive for. The same is true for our investments where we would love to enjoy the upside of our investments while keeping our downside safe. Presenting ICICI Pru SecureSave which aims to grow the value of customers hard earned savings over time with an assurance of a minimum guaranteed maturity amount to protect you from the downside of equity markets.
Premium Payment Term Term of the Policy Guaranteed Maturity Benefit (As a % of Aggregate Investment Premium)*
* This Guarantee is on the Investment Premiums, i.e., your annual premiums less the Mortality charge
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Whole Life Plan Single Premium Automatic Withdrawal Plan Automatic Transfer Strategy Death benefit Choice of 7 investment funds Switch benefit
Well begun, they say, is half done. This adage holds true as much
to life as to your long-term financial planning. However, times have changed now; markets have become volatile. Everyone knows for sure that the growth story of India is intact for a longer term. Equity markets havent lost there charm as a long term investment. Yet, everyone is waiting for a right time to invest. Since timing the
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market correctly is difficult for an average investor and capital preservation during such volatile times is important.
Flexible policy term choices of premium payment investment fund Systematic withdrawal of money
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Attractive premium allocation rates 7 investment funds Switch benefit Maturity benefit
Death benefit
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to strike the right balance by distributing your investments across different asset classes like equity and debt. More importantly, it should also change according to our life stage profile age, risk tolerance, etc. However, the discipline of making the right Asset Allocation at various life stages in todays fast-paced life requires the expertise and dedicated time of someone who can manage your money on a day-to-day basis.
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InvestShield CashBak
Unit Linked
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InvestShield CashBak is a one of its kind market linked policy that gives the policyholder the benefit of capital appreciation while maintaining a balance between return, safety and liquidity. Moreover, InvestShield CashBak also has the added assurance of a Premium Guarantee which ensures that in the event of the market returns being negative, the sum of all premiums paid is returned to the policyholder on maturity of the plan. In other words, InvestShield CashBak is a downside protected plan. In addition to this, the policyholder gets a life insurance cover for protecting the family against the financial implications of the death of the policyholder.
Key Benefits Premium Guarantee Partial Withdrawals Maturity Benefit Death Benefit Tax Benefits Protection Plans
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ICICI Pru Pure Protect Classic: For Sum Assured of up to Rs. 25,00,000 ICICI Pru Pure Protect Elite: For Sum Assured of Rs. 25,00,000 and above
Invest in the plan that best suits your protection needs and guarantees lifelong comfort and security to your family. Read more about this life insurance policy at Pure Protect at a glance.
Death benefit Maturity benefit Additional Benefits Accidental Death and Disability Benefit Rider:
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On death of the life assured due to an accident, the beneficiary gets the additional Sum Assured under the Rider. In case of death due to accident while the life assured is using, as a fare paying passenger, authorized public mass surface transport, namely bus or train, operating under terms of such authorization the beneficiary gets twice the Sum Assured under the rider. In the event of total and permanent disability, 10% of the Rider Sum Assured is paid out every year, for 10 years.
Waiver of Premium Rider: In case of total and permanent disability due to an accident, under this rider the company will pay the remaining premiums till maturity.
Why LifeGuard
Protect your family with ICICI Prudential's LifeGuard. LifeGuard acts as a shield that safeguards your loved ones from financial insecurity, at all times. A cost-effective plan, LifeGuard comes in two variants: LifeGuard with Return of Premium (life cover with maturity benefit), and LifeGuard Single Premium (premium at policy inception, cover till policy matures). Invest in a plan that best suits
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your requirements and guarantee your family lifelong comfort and security.
Features and Benefits of LifeGuard LifeGuard offers a choice of 2 life insurance plans: LifeGuard with Return of Premium and LifeGuard Single Premium. Take a look at the features and benefits of the plans: Death benefit: Provide for your beneficiary to receive the Sum Assured should something happen to you.
Extended life cover: Invest in LifeGuard with Return of Premium plan and safeguard your family with an additional coverat 50% of the original Sum Assuredfor 5 years after your policy terminates. Additional riders: Protect your family from accidents and disability by adding on the Accident and Disability Benefit Rider (ADBR) and the Waiver of Premium Rider (WOPR). ADBR: The rider benefit amount will be paid to your family in the event of death or disability due to an accident. WOPR: In the case of total and permanent disability due to an accident, all further premiums will be waived and policy benefits will continue.
Tax benefits
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Maturity benefit.
Why Save'n'Protect
Life Insurance Scheme Assure your loved ones stay secure, even when you are unable to hold up the protective umbrella yourself. Invest in ICICI Prudential's Save'n'Protect life insurance scheme, and in addition to safeguarding your family, Save'N'Protect will enable you to make regular, systematic savings, so you can effortlessly provide your family with every comfort and meet your long-term financial objectives. Learn more about the features and benefits of the SavenProtect life insurance scheme, from ICIC Prudential, and start protecting the future of your family and loved ones today!
Features and benefits of Save'n'Protect When you invest in SaveNProtect, you give yourself the guarantee of safeguarding your familys well being in addition to savings towards some important goals. Take a look at the features and benefits of this plan: Sum Assured: Choose your Sum Assured depending on the level of cover with which you want to protect your family. The minimum Sum Assured is Rs. 50,000.
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3 premium paying modes: Choose to pay your premium in monthly, bi-annual or annual installments. Your premium is determined based on your age and the Sum Assured you choose. Death benefit Maturity benefit Extended life cover Additional riders Tax benefits
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Features and benefits of Home Assure 1. All you have to do is pay a single premium to opt for the insurance cover and you will continue to remain covered throughout the insurance tenure i.e. the underconstruction period (if applicable) + the original home loan tenure.
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2. You will need to state in advance the expected under-construction period as 0,1, or 2 years. This will be added to the home loan term to compute the total insurance term. 3. You will be covered for the entire loan amount (santioned home loan + single premium paid). The premium is very affordable and there will be a minimal increase in the EMI due to the loan for the insurance premium. 4. The insurance cover would start from the date of first disbursement of the home loan and ICICI Prudential shall accept risk from the date the premium is debited to the account of the life assured. 5. The insurance cover would be as per the original loan schedule.
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6. On survival upto the end of term, no benefit will be payable. Tax benefits: Premium paid for the policy and critical illness benefit rider will be eligible for tax benefit under Sec. 80C and 80D respectively. Any amount paid to you will be eligible for tax benefits under Sec. 10 (10D) as per prevailing Income Tax laws.
Pension & Retirement Solutions: The primary objective of a pension plan is to help you provide for your financial needs in your post retirement years. You will find a Pension Planning Calculator on the site, meant to make your pension plan review as simple as possible. The calculator is the first step in your Pension Plan scheme, there are othe steps towards getting the Indian pension policy you need.
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To help you achieve your retirement number ICICI Prudential presents to you, LifeStage Pension.
One of the most distinguishing features of this policy is that it has no premium allocation charge for regular premiums which means 100% of your money is invested. Whats more, the policy provides you with a unique lifecycle-based strategy that continuously re-distributes your money across various asset classes based on your life stage and risk tolerance, eventually providing you with a customised retirement solution. Invest today to attain your retirement number and fulfill your dreams.
strategy to create ideal balance between Equity and Debt. This plan invests 100% of your money in the portfolio of your choice. Enjoy the flexibility to choose from 5 pension options through which you can receive your pension.
Receive tax-free commutation up to one-third of the accumulated value on vesting (retirement) date.
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Debt Instruments, Money Market & Cash Risk- Reward profile of the Fund: Low
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Pension Maximiser (This Fund shall not be available for investment to those Policyholder whose application is received by the companys office after February 22, 2008) Objective: To provide long-term capital appreciation through investments primarily in equity and equity-related instruments. Indicative Portfolio Allocation Max (%) Min (%) Equity & Related Securities 100 75 Debt, Money Market & Cash 25 0 Risk- Reward profile of the Fund: High to those policyholder whose application is received at the Companys office after February 18, 2008) Pension Balancer
Objective: To provide a balance between long-term capital appreciation and current income through investment in equity as well as fixed income instruments in appropriate proportions depending on market conditions prevalent from time to time. Indicative Portfolio Allocation Equity & Related Securities Debt, Money Market & Cash Risk- Reward profile of the Fund: Moderate Pension Preserver Max (%) 40 100 Min (%) 0 60
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Objective: To provide suitable returns through low risk investments in debt and money market instruments while attempting to protect the capital deployed in the fund. Indicative Portfolio Allocation Max (%) Debt Instruments 50 Money Market & Cash 100 Risk- Reward profile of the Fund: Capital Preservation Min (%) 0 50
Pension Multiplier (This Fund shall be available for investment to those policyholders whose application is received at the Companys office on or after February 23, 2008) Objective: To provide long-term capital appreciation from an equity portfolio predominantly invested in NIFTY scrips. Indicative Portfolio Allocation Equity & equity related securities Debt, Money market & Cash Potential Risk-Reward profile of the Fund: High Max (%) 100 20 Min (%) 80 0
Pension R.I.C.H. (This fund shall be available for investment to those policyholders whose application is received at the Companys office on or after March 15, 2008) Objective: To generate superior long-term returns from a diversified portfolio of equity an equity related instruments of companies operating in four important types of industries viz., Resources, Investment-related, Consumption-related and Human capital leveraged industries. Indicative Portfolio Allocation Max (%) Min (%)
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Equity & equity related securities Debt, Money market & Cash Potential Risk-Reward profile of the fund: High Pension Return Guarantee Fund (PRGF)
100 20
80 0
Objective: The fund seeks to provide guaranteed returns through investment in a diversified portfolio of high quality fixed income instruments. Portfolio Allocation Debt, Money market & Cash Risk-Reward Profile of the Fund: Low Max (%) 100 Min (%) 100
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MediAssure A reimbursement hospitalization plan covering hospitalization stay and treatment. The claim payout is based on actual expense incurred.
Hospital Care Get free quote and buy online A fixed benefit cashless hospitalization plan covering various stages of treatment and over 900 surgeries. Critical illness coverage Crisis Cover -A comprehensive health insurance policy that covers 35 critical illnesses, death and disability.
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ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a premier financial powerhouse and Prudential plc, a leading international financial services group headquartered in the United Kingdom. ICICI Prudential was amongst the first private sector insurance companies to begin operations in December 2000 after receiving approval from Insurance Regulatory Development Authority (IRDA). ICICI Prudential's equity base stands at Rs. 11.85 billion with ICICI Bank and Prudential plc holding 74% and 26% stake respectively. In the financial year ended March 31, 2005, the company garnered Rs 1584 crore of new business premium for a total sum assured of Rs 13,780 crore and wrote nearly 615,000 policies. The company has a network of about 56,000 advisors; as well as 7 bancassurance and 150 corporate agent tie-ups. For the past four years, ICICI Prudential has retained its position as the No. 1 private life insurer in the country, with a wide range of flexible products that meet the needs of the Indian customer at every step in life
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Assistant General Accountant Senior Junior Attenders Assistant Manager Manager Manager Clerk Clerk Accountant
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Head Office
Branch structure
Manager
Senior Clerk
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CHAPTER-III FUNCTIONING
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OF DIFFERENT DEPARTMENT
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STRUCTURE OF HR DEPARTMENT
General Manager Manager (HR)
Assistant Manager
Junior Superintendent
Senior Assistant
Junior Assistant 46
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Staff
Working period is from 10 am to 5 pm. Working days are from Monday to Saturday. Production department, Quality control department work for 24 hrs So there are three shifts per day. These shifts are from 6.30 am to 2.30 pm, 2.30 pm to 10.30 pm, and 10.30 pm to 6.30 am. The important functions performed by the department are Induction and Orientation Training Performance Appraisal Promotion Recruitment Welfare Measures
Recruitment
Temporary recruitment is done through employment exchanges. The duration of temporary employee is 180 days. For permanent recruitment they first give notification in minimum three newspapers. From the approved applications,
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candidates are selected for written tests. Those who pass the written test are called for interview. The company has both permanent and temporary employees. Permanent recruitment is done by the head office.
Training
Training is given to the permanent employees, both off the job and on the job training is given. HR department is in charge of providing training to the permanent employee
Promotion
Promotions are of two types i.e. Seniority based promotion and performance based promotion. Middle level employees are promoted on the basis of their seniority and top level employees are promoted on the basis of performance.
Welfare Measure
Icici Prudential has a welfare society. Most of the employees are the members of the welfare society. The enrolment in the society is kept optional. There is a separate committee, chairman and secretary for the welfare society. The
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members of the welfare society have to contribute an amount of Rs.50 every month as a welfare fund. From this fund cash award is given to children of employees who scored high mark in public examinations. Moreover certain amount from the fund is given to the marriage of the concerned member, marriage of the members children etc .Certain percentage of the profit from the company is given as ex-gratia to all the employees except to those employees who availed bonus. Employee should present 240 days in a year to get full ex-gratia. Housing subsidy is also given to the employees. Loan up to 2 lakhs and 1% subsidy is given to all the employees. Employee state Insurance (ESI) is given to employees whose salary is less than 7500. Medical allowance of Rs.100 is given to those employees who do not prefer ESI. Annually employee can take leave up to 33 days out of which 12 days are regarded as casual leave. If an employee is physically present for 246 days he can enter in to Departmental Promotional Committee (DPC). For this minimum of 5 years service is essential.
AND
SALES
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A product is anything that can be offered to satisfy a need or want.So, a social and managerial process by which individuals and groups obtain what they need and want through creating, offering and exchanging products of value with others that is called marketing. Marketing starts with human needs, wants, demands and human satisfaction. People satisfy their needs and wants with products. Actually, selling is preoccupied with the sellers need to convert his product into cash, but marketing is the idea of satisfying the needs of the customer by means of the product and the whole cluster of things associated with creating, delivering and finally consuming it.
Marketing concept has constructed mainly on four pillars: Target market :-companies do best when they define their target market(s) carefully and prepare a tailored marketing programme Customer needs:- Different types of customers are in the market. They have different types of needs likes
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General Manager
Manager (Marketing)
Assistant Manager
Marketing Officer
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MARKETING RESEARCH
Marketing Research is the systematic method of gathering, recording, objective, search and analyzing of valid and reliable information relating to the marketing of goods and services. Several factors are contributed to the growth of marketing research. Those are, To know the potential area of selling for the manufacturer, where his goods could be marketed To understand the buyer behavior
Increasing the usage of computers has further contributed to the growth of marketing research changes in the composition of population, particularly. The shift from rural to the urban areas, has widened the scope for the marketing of various types of goods and services in the urban areas.
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2.3
FINANCE
AND
ACCOUNTS
DEPARTMENT
An organization communicates its financial information to the users through financial statements and reports. Financial statements contain summarized information of the organizations financial affairs, organized systematically. These statements comprise the income statements or profit and loss account and the position statement or the balance sheet.
To give a full view of the financial affairs of the undertaking it is also necessary to include a statement of retained earnings, a statement of changes in the financial position and a few schedules such as schedule of fixed assets and schedule of debtors.
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Income Statement
out income as well as expenses of the same period and after matching the two, the difference being the net profit or net loss, is shown as the difference between the two sides of the account. Thus, the earning capacity and the potential of an organization are reflected by its profit and loss account.
Position Statement
sheet displays the total resources of a business and the owners and creditors equity in these resources. It indicates a statement of affair of a business at a particular moment of time and thus it is static in nature.
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3.6.1
STRUCTURE
OF
FINANCE
AND
ACCOUNTS DEPARTMENT
General Manager
Manager (Finance)
Assistant Manager
Junior Superintendent
Senior Assistant
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FINANCIAL STATEMEN T
Position Statement Or
Income Statements Or
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FINANCIAL ANALYSIS
Financial analysis is the process of identifying the financial strengths and weakness of the firm by properly establishing relationships between the items of the balance sheet and profit and loss account. The purpose of financial analysis is to disclose the information contained in the financial statements so as to judge the profitability and financial soundness of the organization
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General Manager Manager (Quality control) Assistant Manager Junior Superintendent Senior Assistant
Junior Assistant
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Staff
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CHAPTER-Vi
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SWOT ANALYSIS
SWOT Analysis
presence
in
Credit
cards,
Insurance,
Mutual
funds,
6. 21 banking and non-banking subsidiaries and associates 7. Over 80% of top corporate in India have strong relationships with SBI 8. Largest individual customer base in the country 9. Leading provider of financial services across retail and wholesale
segments
Weaknesses
1. Constrained by the norms of public sector status 2. Large size has its impact on swiftness of response 3. Comparatively large number of employees
4. Lack of innovation
5. Inability to implement proper individual reward schemes to motivate
Opportunities
1. Improvement in the economic conditions 2. Increasing purchasing power of large number of middle class ------------3. Indias stature as leading IT power 4.
Threats
operations
4. Fleet-footed foreign banks and private banks
5. Pressure on margins
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6.1 Findings
80% of the respondents have bought a life insurance policy from ICICI Prudential Life Insurance Company Ltd. ICICI Prudentials Life Time, Retirement Solutions and Smart Kid are the most preferred policies among all types of policies of the company 63% of the respondents have a High level of satisfaction for the policy service and all of the respondents are satisfied with the existing features of their life insurance policy Life Risk cover is the main criterion for buying a Life Insurance policy followed by benefit of income tax rebate Majority of the respondents have implicit faith in Private Life Insurance companies as they believe they are trustworthy 90% of the policy holders opined that the prices of policies of Private Life Insurance companies are affordable The most important guidance/service expected from a Life Insurance advisor is the thorough and detailed explanation of policy features All the respondents (100%) are aware of ICICI Prudential their main source of awareness being Life Insurance advisors and advertisements
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90% of the respondents who hold ICICI Prudentials Life Insurance policy would prefer to go in for another policy only from ICICI Prudential. The most important reasons for this are brand name, wide varieties of policies to choose from and good servicing of policies
6.2 SUGGETIONS
ACTION ORIENTED SUGGESTIONS An intense AIDA model needs to be adopted the AIDA model (Awareness, Internet, Desire, and Action). Customers are aware of majority of products of ICICI PRUDENTIAL Life Insurance Co. Ltd. To create the awareness regarding Product 1. Print & Electronic Media Advertisement should be done (As we can see intense ad campaign of HDFC Standard Life and Bajaj Allianz.) 2. After the initial promotional campaign the relative advantage of ICICI PRUDENTIAL Life Insurance Co. Ltd. Over its competitor should be highlighted. 1. Hoardings at prime areas should be used. PEOPLE ORIENTED SUGGESTIONS 1. Creating offers like lucky draws for the users of Internet. 2. Giving free gifts for the customer.
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6.3 CONCULSION
There has been a tectonic shift in advertising the insurance companies. Till 2 or 3 years back a typical Ad will showcase a small happy family enjoying their life. Then one unfortunate Day the head of the family dies in an accident and the rest of the family is drawn to rags. The ad ends up saying Insurance can help them against such calamities. People bought the idea and started buying insurance. But there was a basic flaw in the ad. It tells the consumers about the advantages of having Insurance but nothing about buying insurance from a perticular insurance firm. So whoever casting such ad was helping the industry as a whole but not their specific firm. If we see the recent ads they are talking about how SBI Life can help smoothen your oldage life or how ICICI Prudential can help you in receiving pentions etc. This sounds more logical. Each ad speaks about how their firms offers can help you instead of telling how insurance as a whole can help you. In concluding part of this project it shows that advertisement is very much important for any business. A huge amount is paid by companies against advertisement. There are many ways available to give advertisement on which this amount is paid this are TV, Newspaper, Radio, Internet etc. The amount spent on advertisement over four year across the world is shown I table. At the initial phase of a company it is important that they give emphasis on corporate advertising because it helps in brand recall. At the later stage company can go for product class advertisements. Well it is also found that during session that endorsement of celebrities is helpful in ad recall. But giving advertisement in any type of media is not the only medium; there are many other ways also like social service, by way of educating people. Especially for Insurance companies if they want to capture rural market then they have to approach in different way. In my opinion rural market can only been captured if we reaches to there heart. And this can be happen only if we solve there basic problem.
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6.
BIBLIOGRAPHY
Below youll Find Host of Additional Resources That you should Find Useful In The Course of Your study Research:
By Books:
Marketing management JOURNALS : Philip kotler, : Company Annual report, The Hindu Business Line, Market Research in Insurance. Website www.insuremagic.com www.indiainfoline.com www.bimaonline.com www.expressindia.com www.responsiveservice.com www.agencyfaqs.com
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