INDEX

Chapter-I 1) Introduction 2) Literature Review 3) Statement of the problem ) !urpo"e of the "tud# $) Scope of the "tud# %) &b'ective" of "tud# Chapter-II 1) &r(ani)ation !rofile 2) &r(ani)ation *hart 3) Samplin( ) Re"earch De"i(n Data *ollection +ethod" $) +ea"urin( tool", Chapter-III 1) Re"ult - di"cu""ion with (raph" - chart", 2) Summar#. conclu"ion. - a propo"ed action plan with re"ource re/uirement" and pro'ected benefit" to the or(ani)ation, Chapter-IV 1) 0ppendi1 2ue"tionnaire 2) 3iblio(raph#

BABASAB PATIL

BABASAB PATIL

IND4S5R6 &7ER7IE8

59E 9IS5&R6 &: INS4R0N*E; As with so many things in so many facts of our life, insurance too was born out of a primal need and shaped by socio economic realities of the time The story goes bac! to around 21"" B#, the time ancient ci$ili%ation of Babylon and a business practice called &bottomry' (or all practical purposes a form of marine insurance, bottomry enabled ship owners to borrow money against their ships to pay for the trip )ith piracy rampant of high seas, traders and seafarers were reluctant to sale to other lands for fear of their li$es and goods Bottomry gi$es them some semblance of security The arrangement was only if their ship returned did trader ha$e to repay the loan, along with interest, which was pegged at an abo$e mar!et rate for ris! co$ered So, if their ship failed to ma!e it bac! they did not ha$e to repay the loan ,there by co$ering some or all the loss

&RI<IN; )ith the marine rout being the bedroc! of trade and commerce in those days, the practice of bottomry e$ol$ed and spread )ith the growth towns and trade in *urope, medie$al guilds +group organi%ed on the basses of some common ob,ecti$e li!e traderspooled in money to protect their members from loss by fire and ship wrec!, to pay ransom if they were captured by pirates and to pro$ide burial and support in sic!ness and po$erty By the middle of 1.th century, as e$idences by earliest !nown insurance contract +/enoa, 10.1- marine insurance was common among maritime nations of *urope

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Lioyd's of London the largest marine insurance today, was found in 1233, in a coffee shop in London Lioyd's coffee house became preferred place for merchants, ship owners and underwriters to transact business Insurance de$elop rapidly with growth of British commerce in 11th 4 13th century, and started becoming organi%ed, along the way going through a period of defaults and closures

The British bought insurance to India in 1313, replete with imperialist pre,udices The oriental life insurance company, the first insurance company in the country, insured only *uropean widows British insurers e$entually begin insuring Indian li$es, but for a premium that was 156 to 2"6 higher than that payable by British It was only in 131" that the disparity was corrected Si7 Indians pee$ed by this second8class treatment, set8up Bombay 9utual Life Assurance Society, and started insuring Indian li$es at the same cost of British li$es Social discrimination, in fact, turned out to be catalyst for Indians initiati$e in insurance sector In 1:":, acti$ist Ishwar #handra ;idyasagar founded the <indu family annuity fund the first instant of a pension8based in$estment scheme targeted at Indians As had happened in *ngland earlier, a flood of new players and patchy regulation snowballed into a crisis Se$eral insurers defaulted on their contractual obligations to policyholders, citing in$estment losses, some e$en folded8up The insurance act 1:03 started control on insurance but e$en they failed to safeguard policyholder's interests

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N05I&N0LS05I&N; Post8Independence, discontent against insurers reached a pitch Business was chaotic ,, foreign insurers were lea$ing the country, and Indian insurers, dri$en by greed and business consideration, weren't earning much credibility The cry for nationali%ing insurance grew louder a mo$e that insurers were, of course, opposed to =n 1: th >anuary 1:52, the life insurance business was nationali%ed In one swoop, the go$ernment snapped up 2.5 insurers and pro$ident societies *ight months later, the life insurance corporation of India +LI#- was formed, which too! o$er the business of the erstwhile pri$ate insurers, and started e7panding at a frenetic pace Today, this monolith has 21"" branch, 3la!h agents and offers a be$y of insurance in$estment products LI# mar!eted insurance less has a ris! management tool and more has sa$ings instruments with ta7 edge A loo! at LI# policy profile shows that 136 of policies in force currently are protection plans Insurance cum in$estment plans account for 2"6, with balance being pure in$estment plans Still house holds embraced these safe in$estment a$enues, with the sum assured +or the total $alue of co$e- increasing from ?s 1.12cr in 1@:51 to ?s .5:2"1cr to 1::3 to 1::: Similar circumstances lead to the nationali%ation of non8life +general insuranceAs in life insurance per nationali%ation there were an inordinately largely number of insurers many of who where notorious of clams Aon life insurance was nationali%ed in 1:12 /eneral Insurance #orporation was setup as a holding company, total of 1"1 pri$ate insurers where merged and group to form general insurance corporation four subsidiaries

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!RI705IS05I&N; There were $arious reasons gi$en by the go$ernment to nationali%e the insurance sector was to ta!e insurance to the mass, facilitate the flow of long term funds +which insurance companies, by $irtue of the business they are in, ha$e ready access to- into de$elopment of infrastructure in the country, and safe guard the interest of the policy holders Towards this end, state insurers did de$elop the insurance sector, though most e7perts belie$e that these monopolies could ha$e done much, much more In the early nineties is, the go$ernment went on a reforms binge and started loosing controls on Indian industry In 1::0 the go$ernment appointed the 9alhotra committee headed former ?BI go$ernor ? A 9alhotra, to draw up a blue print for insurance sector reforms The panel submitted its report a year later, recommending pri$ati%ation, bac!ed by stiff entry guidelines and stringent regulations, so as to a$oid repeat per nationali%ation free for all The insurance regulatory and de$elopment authority +I?BA- was founded to regulate the sector and o$er see the process of pri$ati%ation In 2""", the I?BA started gi$ing out licenses, and a year later, the first of the pri$ate players started operation The wheel had come full circle Cnder state control, the insurance sector, both life and non8life ,grew steadily Still, Indians are not adeDuately insured and lag behind most countries Total insurance penetration +insurance premium as a percentage of gross domestic product- is dismal when compared to its economic standing >ust 26 of the population has some of life insurance

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8h# private in"urance are /ueuin( up= In many ways the re8entry of pri$ate insurers has mar!ed Second #oming for the sector In ,ust 0 years, the sector has under gone a ma!e o$er, offering the fruits of free mar!et, more choice better ser$ice, and Duic!er settlements, tighter regulations greater awareness State insurers ha$e been compelled to get their act together

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IN5R&D4*5I&N &: LI:E INS4R0N*E ;

9i"tor# of life in"urance in India; The life insurance industry in India dates bac! to 1313 when the =riental Life Insurance #ompany set up office in Eol!ata in 1320, the Bombay Life Assurance #ompany started operations in 9umbai, India The Indian Life Assurance #ompanies Act was passed in 1:12F the Indian Insurance #ompanies Act 1:23 followed this These acts allowed the /o$ernment to collect data regarding life and non life businesses conducted by both Indian and foreign insurance companies later the 1:23 act was amended and a new act the &Insurance Act' was passed in 1:03 By the mid 1:5"s, 15. Indian insurers, 12 foreign insurers and 15 pro$ident societies were operating in the country The life insurance business was concentrated in urban areas and was confined to the higher strata of society In 1:52, the management

of these companies was ta!en o$er the /o$ernment of India LI# was formed in September 1:52 through the LI# Act 1:52 with a #apital of ?s 5" million =ne of the main ob,ecti$es of forming LI# was to ma!e insurance co$er a$ailable to a larger number of people particularly to the lower segments of society In 1:12, the

/o$ernment too! o$er management control of 1"2 pri$ate general insurance companies and formed the /eneral Insurance #orporation+/I#- o$er the years , LI# e7panded its networ! all o$er the country and become one of the largest corporations in India LI# had se$en %onal offices 1""di$isional offices ,2,".3 branch offices and army of agents totaling 2,23,"01

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/rowth in Indian insurance industry was minimal in the 1:2"s and 1:1"s because of low sayings and the low le$el of literacy In addition the insurance industry lac!ed sufficient funding and infrastructure <owe$er changes in the economy in the 1:3"s, such as growth in the rate of industriali%ation impro$ement in infrastructure the capital mar!ets increase in the sa$ings rate and substantial capital formation resulted in tremendous growth in the life insurance industry o$er the years LI# launched se$eral group insurance and social security schemes to enhance its reach in the rural areas

8hat i" life in"urance= Life insurance is a form of insurance that pays monetary proceeds upon the death of the insured co$ered in the policy *ssentially , a life insurance policy is a contract between the named insured and the insurance company wherein the insurance company agrees to pay an agreed upon sum of money to the insured's named beneficiary so long as the insured's premiums are current People ta!e out life insurance policies for a number of reasons Such insurance pro$ides security to family members upon the loss of a lo$ed one for instance if the primary wage earner dies in his or her prime the death benefit recei$ed from a life insurance policy will assist the sur$i$ing family members in o$ercoming the burden of the tragic loss Life insurance can be purchased by indi$iduals but is also offered as a per! by many employers =ften times large employers and go$ernment employers offer group life insurance at no cost the employee Should the employee

wish to obtain additional life insurance from the employers insurance company they can usually do so at reduced rates

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The cost of life insurance $aries depending on such factors as the insured &s age health and occupation (or e7ample the premium for a 25 year old male non8

smo!er in e7cellent health will be far less e7pensi$e then a similar policy for a 258year Gold male smo!er similarly a s!y di$e instructor would ha$e to pay much higher premiums for life insurance then would a librarian Life insurance is a$ailable in a number of different forms to fit the tastes of the proposed insured some of the typical forms of insurance policies include whole life $ariable life and term life Term life insurance policies begin with low premiums during the initial stages of the policy and these premiums increase steadily as the insured grows older There is no cash built8up in a term policy and accordingly the death benefit will not increase )ith whole life and $ariable life insurance a portion of premium pays for the insurance and the remainder ser$es as a ta78free in$estment A whole life policy sets a premium at the beginning of the policy and that premium does not change o$er the life of the policy This form of insurance allows for a cash of the policy or it will simply ser$e to increase the death benefits in the end In a $ariable life product, the premium remains the same o$er the life of the policy , and there should be a cash build8up as long as the $arious mutual funds selected by the insured perform well

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8hat i" an in"urance premium; An insurance premium is the actual amount of money charged by insurance companies for acti$e co$erage An insurance premium for the same ser$ice can $ery widely among insurance pro$iders which is why e7perts strongly recommend getting se$eral Duotes before committing to an insurance policy Insurance agents or bro!ers will ta!e your basic information and calculate an insurance premium estimate based on your answers and other factors The lowest Duoted price on an insurance premium may be the better bargain but the le$el of co$erage may also be lower The cost of an insurance premium is largely based on statistics not necessarily on indi$idual habits or history A 228year Gold male see!ing car insurance for a sports car can often anticipate a higher insurance premium than a .58year8old women dri$ing a mid8si%e sedan Both may ha$e e7cellent dri$ing records but the

insurance company considers a younger dri$er in a faster car to be more at ris! for accidents Therefore the insurance premium Duotes will be noticeably different In general a more e7pensi$e or faster car will cost more to insure simply because owners of those $ehicles T*AB to dri$e faster The same philosophy holds true for medical insurance premium costs Aon8 smo!ers statistically li$e healthier li$es then smo!ers ,for e7ample #onstruction wor!er may ha$e more serious on the ,ob accidents than accountants A558year8old

lumber,ac! who smo!es may be charged a higher health insurance premium than a 0"8 year8old non8smo!er wor!ing in an office con$ersely an insurance premium may be reduced if the policyholder changes his or her habits and life style

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An insurance premium is generally collected in monthly or semi8yearly payments If the policyholder fails to ma!e a scheduled payment the insurance company can choose to cancel the policy entirely This is often referred to as a lapsed policy *ither the customer will pay the balance of the insurance premium and become reinstated or the policy will become null and $oid Because the billing cycle can be lengthy it is not unusual for policy holders to forget to ma!e a payments before the policy lapses An insurance premium is always in a state of flu7 ?ates can go up or remain stable between billing cycles An accidents claim can dramatically changes the insurance premium rate of the claimant especially if the accidents report show the policy holder was at fault Because most states now ha$e a mandatory minimal

insurance co$erage law for dri$ers there may be no other choice but to pay the increased insurance premium or find another company willing to a higher ris! dri$er Insurance agencies are for profit businesses , so they will ma!e e$ery effort to recoup their losses after a pay8out Paying an insurance premium may seem li!e a waste of money ,but !nowing your e7penses will be met after an accident can bring peace of mind

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Literature Review;

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The pro,ect report on HA study on customer awareness to determine the potential mar!et H<B(# Standard Life Insurance PlanI in Bharwad I through under too! the pro,ect by the help of H<B(# Standard Life Insurance PlanI Ltd Sales de$elopment manager 9r 9oin Lohani 3od# of the ReportJ Primary data was collected by administration Duestionnaire of 1"" customers The Duestionnaire was specially framed to meet the reDuirement of the sur$ey and the following details Birect contact was made with the respondents through random sample to collect the needful information with reference to our ob,ecti$e as per to meet the sur$ey reDuirement Interview techni/ue; Birect personal inter$iew was conducted throughout pro,ect using direct structured and self administrati$e Duestionnaire

*onclu"ion - Recommendation; Analysis was based on the result of the research conducted and the recommendations are based on the analysis Limitation ; The ma,or limitation of the pro,ect was time frame

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S505E+EN5 &: 59E !R&3LE+

C0 "tud# on cu"tomer awarene"" to determine the potential mar?et of 9D:* Standard Life In"urance !roduct" and plan"D,

The main core problem in the pro,ect is to !now weather the people of Bharwad city is fully aware of H<B(# Standard Life Insurance PlanI

!urpo"e of the "tud#; The study was underta!en to gather information from the respondents regarding awareness Cnit8Lin!ed Koungster plan and the purpose of the study is to !now how many people are aware of H<B(# Standard Life Insurance PlanI

Scope of the "tud#; The study will help the company to !now the awareness of H<B(# Standard Life Insurance PlanI in Bharwad city The study will help the company to !now the customer profile The company can find out where their competitors stand

The reason for confining the scope of the research in Bharwad were 1- =ne of the fast growing city in educational field in Earnata!a and represents the more scope to the insurance companies 2- It is also commercial city in the Business field

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&b'ective"; 1 2 0 . To study the awareness le$el of H<B(# Standard Life Insurance PlanI To find factor influencing financial planning To find potential mar!et for H<B(# Standard Life Insurance PlanI To find $ital communication media

RESE0R*9 +E59&D&L&<6

Bata sourceJ Area of ?esearchJ

Primary data +field sur$eyBharwad city

?esearch instrumentJ Luestionnaire Sample PlanJ Sample CnitJ Sampling methodJ Sample Si%eJ Personal Inter$iew Businessman, >ob holders, etc Aon probability method, ?andom sampling method 5" respondents

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&r(ani)ational !rofile;
9D:* @9ou"in( Development :inance *orporation Ltd,) (ounded in 1:11, <B(# is today the mar!et leader in housing finance in India and e7tended financial assistance for more than 1: lac!s homes <B(# has 12" offices in India presently It also has one international office in Bubai and ser$ice associate in Bahrain, Euwait, Latar, Saudi Arabia and sultanate of =man <B(#'s asset based amount of o$er ?s 21.5"crore Its financial strength is reflected in highest safety rating of (AAA and 9AAA awarded by #?ISIL I#?A two of India's leading credit rating agencies respecti$ely for the last 1 years conseDuently It has a depositor based of o$er 10 lac!s depositors and deposits agent face of o$er 5"""" =f the total deposit of 326are sourced from indi$idual and trust depositors, which demonstrate the tremendous confidence that retails in$estor, ha$e in the company

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<B(# promoted companies ha$e emerged to to meet the in$estor and customers needs <B(# ban! for commercial ban!ing <B(# mutual fund of mutual fund of products <B(# standard life insurance company for life insurance and pension plan and product and <B(# #hubb for general insurance product

Being an institution that is strongly committed to the highest standard of Duality and e7cellence , <B(# has own se$eral accolades in the past few years one such award is H?ama!rishna Ba,a, Aational Luality AwardI for the year 1::: this award was instituted to award reorgani%ation to Indian companies for business e7cellence and Duality achie$ements <B(# is the only #ompany so far to recei$e this award in the ser$ice category

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Standard Life 0""urance *ompan# @SL0*)

(ounded in 1325, Standard life has been at the fore front of the C E Insurance Industry for 111 years by combining sound financial ,udgment with integrity and reliability The largest mutual life company in *urope, it has operations in the C E, Ireland, Spain, /ermany, Austria and #anada with representati$e offices in <ong Eong and #haina =ne of its most recent successes was the launch of standard life ban! on 1 st >anuary 1::3 The introduction of its inno$ati$e mortgage product in >anuary 1::: had an immediate impact on the C E mar!et, accounting for 116 of the all new lending within the first operational year The current deposite base of the ban! is C S M 1 1 Bn Standard life has total assets of C S M 121 Bn and the new premium income last year of C S M : 2 Bn Its C E in$estment portfolio accounts for appro7imately 26 of all shares listed in the London Stoc! *7change It is one of the few insurance companies in the world to recei$e AAA rating from two of the leading International #redit ?ating Agencies, 9oody's And Standard

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and Poor's The letter described standard life's ability to meet its claims obligations of o$erwhelming under a $ariety of economic conditions Aot surprisingly, standard life is rated as one of the strongest companies in the world, in financial terms The Duality and $alues standard life brings to this $enture are immense The companies reputation in the C E mar!et remains unri$alled Besides being $oted &#ompany of the year' for o$erall ser$ice, for the third consecuti$e year, standard life was recently $oted &#ompany of the Becade' by independent bro!ers

*ommi""ion" The rewards of selling insurance are the lucrati$e The limits on commission as pro$ided in the Insurance Act 1:03 are as underJ Type of Policy Immediate Annuity Beferred Annuity +single premiumBeferred Annuity +regular premiumAll other #ases +*ndowment, 9oney8bac!, etc #ommission Limits 26 of premium 26 of premium 1 5 6 of the first year's premium 26 of each renewal premium A ma7imum of ." 6 of the first year's premium A ma7imum of 1 5 6 of the second year's premium A ma7imum of 5 6 of the .th 4 5th year's premium BABASAB PATIL Thereafter, 56 of the renewal 21

premium Total commission payable in the first fi$e years cannot e7ceed 2" 6 of the annual premium payable on the policy

Role of the 9D:* Standard Life 0(entA5he con"ultant

The #ompany's agent would be a professional sales person 4 would be gi$en the designation of a HconsultantI by the #ompany The consultant would act as a financial ad$isor to the customer <eNShe wouldJ Analy%e the customer financial reDuirements <elp them plan their goals 4 ?ecommend appropriate solution, so that the customer is able to meet his Nher financial ob,ecti$es in the most optimum manner <eNShe shall pro$ide support to customers on an ongoing basis The #ompany would also support the consultant by pro$iding the reDuired training 4 information so that heNshe is able to pro$ide the best ser$ice to the customers Thus, the #ompany's #onsultant would ha$e a far wider role to play than Hthe typical insurance agent I

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8h# "hould be a con"ultant with 9D:* "tandard life in"urance *ompan# Ltd,=

<B(# standard life are companies with tremendous

financial strength as

endorsed by credit rating agencies Both en,oy an e7cellent reputation in terms of goodwill and efficient customer ser$ice Sales training imparted to our consultants will be based on the finest international practices Promote and effecti$e communication on mar!eting campaigns, new products The customer ser$ice process will be highly le$eraged on technology, whether it is getting a new policy on the boo!s, paying your commission or setting a claim Aew business will be processed through a local branch networ!

=ur ob,ecti$e is to get policies on our boo!s and disburse #ommission paid to you as Duic!ly as possible A range of comparati$e products bac!ed by Duic! and efficient ser$ice supported by highly trained and customer focused administration of team The idea is to designe all our process around the customers want, when they want it and where tyeu want it Additional recognition for top performers Published ser$ice turnaround times, which will be used to measures our performance #ustomer satisfaction sur$eys will be conducted proacti$ely and the company will the act on the results

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Scope of In"urance 3u"ine"" in India The malhotra committee estimated that the insurance penetration in India is to e7tent of about 256 of the insurable population As of 1:::82""", LI#'s insurance premium income was appro7imately

rs 02""" crore It is obser$ed that currently LI# has about 1" crore policies in force, which contribute a premium of about 26 of /BS +/rosss Bomestic Sa$ings - of households in India

Based on a report by the confederation of Indian Industries +#II-, it is anticipated that this figure of 1" crore policies inforce is li!ely to double in the ne7t decade by the year 2"1", the premium income is e7pected to account for 136 of the /BS,amounting to ?s 5,12,""" crore

Number of policies in force

180 180 160 135 140 120 100 80 60 40 20 0 1 years 90 120 100 150 165

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Life premeum as a proportion of GDS

20 18 16 14 12 12 10 8 6 6 4 2 0 9 7 11 15

19

Series1

0bout u"
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<B(# Standard Life Insurance #ompany Ltd is one of India's leading pri$ate life insurance companies, which offers a range of indi$idual and group insurance solutions It is a ,oint $enture between <ousing Be$elopment (inance #orporation Limited +<B(# Ltd -, India's leading housing finance institution and The Standard Life Assurance #ompany, a leading pro$ider of financial ser$ices from the Cnited Eingdom Both the promoters are well !nown for their ethical dealings and financial strength and are thus committed to being a long8term player in the life insurance industry G all important factors to consider when choosing your insurer

Our key strengths

:inancial Expertise

As a joint venture of lea ing (ife has the finan!ial

finan!ial servi!es grou"s# $%&' Stan ar

e)"ertise re*uire to +anage your long,ter+ invest+ents safely an effi!ientlyRan(eofSolution" )e ha$e a range of indi$idual and group solutions, which can be easily customi%ed to specific needs =ur group solutions ha$e been designed to offer you complete fle7ibility combined with a low charging structure 5rac?Record"ofar =ur cumulati$e premium income, including the first year premiums and renewal premiums is ?s 1502 21 #rores Apr89ar 2""5 8 "2 )e ha$e co$ered o$er 1 2 million indi$iduals out of which o$er 5,"",""" li$es ha$e been co$ered through our group business tie8ups BABASAB PATIL 22

*u"tomer "ervice"
)e at <B(# Standard Life are committed to maintaining the highest le$el of customer ser$ice Interacting with you $ia this website is an e7tension of this commitment )e ha$e designed the &#ustomer Ser$ice' section !eeping in mind all the information you may want to see! regarding procedures such as paying your premium, $arious policy ser$icing options, processing a claim and so on )e ha$e also pro$ided rele$ant forms that can be downloaded easily for your use !remium !a#ment

This section gi$es you all the details that you may reDuire to pay your premium and ma!e it a hassle free e7perience Along with $arious premium payment options currently a$ailable to you, we ha$e also drawn up a of details that you will need in case you are paying through cheDue or demanddraft

6 Easy

Ways to pay your premium:

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Lap"ation - Revival Kour renewal premium should reach us by the due date specified in the premium reminders It is always ad$isable to pay on time so that your $aluable policy benefits can continue <owe$er we do understand that there may be times when you may not be able to pay the renewal premium by the due date Therefore we allow for some additional number of days from the due date, which is specified in your policy document, to help you ma!e your premium payment In case we still don't recei$e your premium payments by the end of the abo$e mentioned period, we would do either one of the followingJ HLapseI the policy G if you ha$en't paid premiums for the first 0 policy years 9a!e the policy HPaid upI G if otherwise *ither of these may mean lossNreduction of $aluable benefits of your policy Please refer to your policy document for details

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)e do, howe$er, allow you to restore the original benefits for a Lapsed or a Paid up policy under certain conditions <ere is what you would need to doJ

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*laim"

)e at <B(# Standard Life reali%e that not e$eryone has the same !ind of needs Eeeping this in mind, we ha$e a $aried range of Products that you can choose from to suit all your needs These will help secure your future as well as the future of your family !rotection !lan" Kou can protect your family against the loss of your income or the burden of a loan in the e$ent of your unfortunate demise, disability or sic!ness These plans offer $aluable peace of mind at a small price =ur Protection range includes our Term Assurance Plan 4 Loan #o$er Term Assurance Plan Inve"tment !lan" =ur Single Premium )hole =f Life plan is well suited to meet your long term in$estment needs )e pro$ide you with attracti$e long term returns through regular bonuses !en"ion !lan" =ur Pension Plans help you secure your financial independence e$en after retirement =ur Pension range includes our Personal Pension Plan, Cnit Lin!ed Pension, Cnit Lin!ed Pension Plus Savin(" !lan" =ur Sa$ings Plans offer you fle7ible options to build sa$ings for your future needs such as buying a dream home or fulfilling your children's immediate and future needs =ur Sa$ings range includes *ndowment Assurance Plan, Cnit Lin!ed *ndowment, Cnit BABASAB PATIL 0" Lin!ed *ndowment Plus, 9oney Bac! Plan, #hildren's Plan, Cnit Lin!ed Koungster, Cnit Lin!ed Koungster Plus

<roup !roduct"

One-stop shop for employee-benefit solutions

<B(# Standard Life has the most comprehensi$e list of products for progressi$e employers who wish to pro$ide the best and most inno$ati$e employee benefit solutions to their employees )e offer different products for different needs of employers ranging from term insurance plans for pure protection to $oluntary plans such as superannuation and lea$e encashment )e now offer the following group products to our esteemed corporate clientsJ

<roup 5erm In"urance with Rider" <roup 5erm In"urance with !rofitAShare /roup Cnit8Lin!ed Plan (or /ratuity (or Befined Benefit Superannuation (or Befined #ontribution Superannuation /roup Lea$e *ncashment Plan

Rural !roduct" According to our research findings, there is !eenness among rural customers to in$est in sa$ings cum protection plan with a term of fi$e years *specially, if the premium amount is low and affordable Eeeping this in $iew, we ha$e designed a special product called 3ima 3achat 6o'ana )e ha$e also designed a product called Super 3achat 6o'ana wherein the rural customer can sa$e regularly to create a corpus for future needs BABASAB PATIL 01

3ima 3achat 6o'ana The !ey ob,ecti$e of this product is to pro$ide co$er to economically wea!er section and also to popularise the concept of life insurance and sa$ings in rural areas Bima Bachat Ko,ana is a low premium life protection plan =ne time premium for a fi$e8year term is ,ust ?s 1"" 3enefit" on death before +aturit#; R" 1.EEE, 3enefit" on Surrender before +aturit# Durin( #ear 1 2 0 . 5 Surrender 7alue @R") 1"" 12" 1." 12" 13"

3enefit" on +aturit# =n sur$i$al of the life assured to maturity, a benefit of ?s 2"" will be paid 0(e Limit ; 1F to $E #ear"

Super 3achat 6o'ana Super Bachat Ko,ana combines the benefits of life protection as well as super sa$ings It helps you sa$e money to meet the e7pected long term needs )hat's

BABASAB PATIL

02

more, it lets you participate in the surplus profits of the companyO 3enefit" on +aturit# Sum Assured P ?e$ersionary

Bonus

Interim

and

Terminal

Bonus

+Bonuses will be declared normally as on 01st 9arch3enefit" &n Death Buring the first year a basic benefit of 3"6 of premiums paid and after the first year lesser basic sum assured Pre$ersionary bonuses paid of and

total premiums paid to date Pinterest Q 2 6 per annum 5a1 3enefit" Premiums paid are eligible for ta7 relief under Section 3" # of the Income Ta7 Act, 1:21 Any sum recei$ed is e7empt under Section 1"R1"BS of the Income Ta7 Act, 1:21

0(e and 5erm Limit" 9inimum Age at *ntry 13 years 9a7imum Age at *ntry 2" years 9a7imum Age at 9aturity 15 years 9inimum Term 1" years 9a7imum Term 0" years

+inimum !remium - !olic# :ee &ption Annual <alf Kearly Luarterly !remium 13"" 1""" 55" :ee 15" 3" .5

Document" Re/uired for *laim !a#ment"

BABASAB PATIL

00

(ully completed #laim (orm =riginal Policy document =riginal Beath ?egistration #ertificate =riginal #ertificate of Boctor certifying death =riginal #ertificate of cremation There are A= e7clusions under this product

Development In"urance !lan Be$elopment Insurance plan is an insurance plan which pro$ides life co$er to members of a Be$elopment Agency for a term of one year =n the death of any member of the group insured during the year of co$er, a lump sum is paid to that member's beneficiaries to help meet some of the immediate financial needs following their loss

BABASAB PATIL

0.

Eli(ibilit# 9embers of the de$elopment agency and their spouses withJ 8 9inimum age at the start of the policy 13 years last birthday 8 9a7imum age at the start of policy 5" years last birthday *mployees of the Be$elopment Agency are not eligible to ,oin the group The group to be co$ered is only eligible if it contains more than 5"" members

!remium !a#ment" The premium to be paid will be Duoted per member in the group and will be the same for all members of the group

The premium can only be paid by the Be$elopment Agency as a single lump sum that includes all premiums for the group to be co$ered #o$er will not start until the premium and all the member information in our specified format has been recei$ed The premium rate is ?s 25 per ?s 1",""" of lump sum, per member

3enefit" =n the death of each member co$ered by the policy during the year of co$er a lump sum eDual to the sum assured will be paid to their beneficiaries or legal heirs )here the death is as a result of an accident, an additional lump sum will be paid eDual to half the sum assured There are no benefits paid at the end of the year of co$er and there is no surrender $alue a$ailable at any time 5he role of the Development 0(enc# Bue to the nature of the groups co$ered, <B(# Standard Life will be passing certain administrati$e tas!s onto the Be$elopment Agency By passing on these tas!s the premium charged can be lower These tas!s would includeJ

BABASAB PATIL

05

Submission of member data in a specified computer format #ollection of premiums from group members ?ecording changes in the details of group members Bisbursement of claim payments and the mortality rebate +if any- to group members These tas!s would be in addition to the usual duties of a policyholder such asJ Payment of premiums ?eporting of claims Eeeping policy holder information up to date Training and support will be a$ailable to gi$e guidance on how to complete the tas!s appropriately Since these additional tas!s will impose a burden on the Be$elopment Agency, the Be$elopment Agency may charge a ?s 1" administration fee to their members !rohibition of rebate" Section .1 of the Insurance Act, 1:03 states Ao person shall allow or offer to allow, either directly or indirectly, as an inducement to any person to ta!e out or renew or continue an insurance in respect of any !ind of ris! relating to li$es or property in India, any rebate of the whole or part of the commission payable or any rebate of the premium shown on the policy, nor shall any person ta!ing out or renewing or continuing a policy accept any rebate, e7cept such rebate as may be allowed in accordance with the published prospectus or tables of the insurer If any person fails to comply with sub regulation +pre$ious point- abo$e, he shall be liable to payment of a fine which may e7tend to rupees fi$e hundred

Ta7 Benefits

BABASAB PATIL

02

IN*&+E SE*5I&N

50X <R&SS 0NN40L S0L0R6

9&8 +4*9 50X 9D:* *0N 6&4 S07E= !L0NS

S50ND0RD

LI:E

Cp Across Sec 3"# income Slabs of

to

?s

00,22" All the life insurance plans

All sa$ed on in$estment

?s 1, "",""" Cp to ?s Sec 3" ### slabs of

00,22" All the pension plans

Across all income sa$ed on In$estment

?s 1, "",""" Cnto ?s 0,022 sa$ed All the health insurance riders Across all income Sec 3" BT slabs ?s 1",""" R", T=TAL ?s 00,22" under Sec 3"# and under Sec 3" ### , ?s 0,022 under Sec 3" SA;IA/S B, calculated for a male with gross annual income not e7ceeding ?s P=SSIBL* TT 1","",""" Cnder Sec 1"+1"B-, the benefits you recei$e are completely ta78free, Sec 1" +1"-B sub,ect to the conditions laid down therein T Applicable to premiums paid for #ritical Illness Benefit, Accelerated Sum Assured and )ai$er of Premium Benefit plans 3G.E2% on In$estment of a$ailable with the con$entional

TT These calculations are illustrati$e and based on our understanding of current ta7 legislations Please contact your ta7 consultant for e7act calculation of your ta7 liabilities

BABASAB PATIL

01

Knowledge Centre =ur Enowledge #entre is your personal resource for information that can help you understand the basics of insurance and help you ma!e an informed decision about buying a policy This section includes details on insurance terms and concepts, helps you analy%e plans for your $arious needs and lends meaning to some of the insurance ,argon that you may encounter

BABASAB PATIL

03

BABASAB PATIL

0:

<B(# Standard Life Insurance #ompany Ltd is one of India's leading pri$ate life insurance companies, which offers a range of indi$idual and group insurance solutions It is a ,oint $enture between <ousing Be$elopment (inance #orporation Limited +<B(# Ltd -, India's leading housing finance institution and The Standard Life Assurance #ompany, a leading pro$ider of financial ser$ices from the Cnited Eingdom Both the promoters are well !nown for their ethical dealings and financial strength and are thus committed to being a long8term player in the life insurance industry G all important factors to consider when choosing your insurer &ur ?e# "tren(th" :inancialE1perti"e As a ,oint $enture of leading financial ser$ices groups, <B(# Standard Life has the financial e7pertise reDuired to manage your long8term in$estments safely and efficiently Ran(eofSolution" )e ha$e a range of indi$idual and group solutions, which can be easily customi%ed to specific needs =ur group solutions ha$e been designed to offer you complete fle7ibility combined with a low charging structure 5rac?Record"ofar our cumulati$e premium income, including the first year premiums and renewal premiums is ?s 1502 21 #rores Apr89ar 2""5 8 "2 )e ha$e co$ered o$er 1 2 million indi$iduals out of which o$er 5,"",""" li$es ha$e been co$ered through our group business tie8ups BABASAB PATIL ."

carriers
HDFC's finest investment is in its Human Resources. It draws its personnel from many disciplines. They are the uilding loc!s on which the company's performance " productivity is ased# +r, 9 5 !are?h (ounder8#hairman, <B(# Ltd )e welcome you to the family of <B(# Standard Life Insurance #ompany Ltd This section will help you identify $arious career opportunities with us, gi$e you an insight into our wor! culture and also our $arious learning and de$elopment initiati$es amongst host of other information <B(# Standard Life is one of the leading life insurance companies ha$ing a trac! record of declaring bonuses e$ery year since inception )e attribute this success to our people, who are our most important asset )e belie$e they are a !ey facet of the company and it is their contribution that has enabled us to achie$e our current status Since they deser$e the best, our efforts ha$e been to pro$ide them with the best en$ironment, best culture and best de$elopment opportunities possible

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.1

Hoin the 8innin( 5eam at 9D:* SL

In our Duest to be a competiti$e player in the insurance space, we are !een to partner with talented, high performing people )e pride our self for a rich talent base that can successfully propel the company to e$en greater heights in an increasingly competiti$e platform So if you thin!, you ha$e it in you to emerge $ictorious in this challenging en$ironment, ,oin us Kou can in order to send us your #; Current Opportunities Accounts 4 (inance /roup Sales <uman ?esource 4 Administration Inferior 4 Technology 9ar!eting =perations Sales8?etail Sales8Alternate #hannel Cnderwriting Training Process 9anagement Agency Legal 4 #ompliance 9edical

Group Companies

$ome of our valued ancassurance partners. 1%th +a# 2EE% 9D:* Standard Life record" impre""ive (rowth !remium Income (row" b# 112I

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.2

9D:* Standard Life has recorded a strong year on year growth of 1126 for the period April89arch 2""58 "2, in comparison with the same period 2"".8"5, with new business first year premium of ?s 1"2: corers The growth achie$ed by the company was considerably higher than the pri$ate sector industry a$erage of 3.6 for 2""58"2 In terms of effecti$e premium income +*PI-, which gi$es a 1"6 $alue to a Single Premium policy, and is an internationally accepted indicator of an insurance company's performance, the *PI grew by 1"06 from ?s .02 #r to ?s 331#r 9D:* Standard LifeJ" growth in new business is a result of number of li$es insured as well as, an increase in the a$erage premium (or the indi$idual business, $olume measured by the number of li$es insured, witnessed a 026 growth The a$erage premium also increased by 226 from ?s 11, """ in 2"".8"5 to ?s 21,5"" in 2""58"2 #ommenting on the huge potential that e7ists in the Indian mar!et today, 9r Beepa! Satwale!ar, 9anaging Birector 4 #*= of 9D:* Standard Life emphasi%ed, HThe /BP has been growing o$er 36 per annum and .16 of all sa$ings are now in financial sa$ing formsF 126 of sa$ings is in the form of insurance premiums and another 126 is in Pro$ident (und and Pensions i e , 026 of India's financial sa$ings of the household sector are a$ailable to be tapped Therefore, growth for the pri$ate life insurance industry is ine$itable and <B(# Standard Life is confident of maintaining a steady growth pace I <ighlighting 9D:* Standard LifeJ" differentiators, 9r Beepa! Satwale!ar said, H=ur #ompany has the most competiti$e fund management charge, which is the BABASAB PATIL .0

lowest in eDuity based products =ur fund management charge is as low as " 36 per annum, the !ey to enhancing long8term returns =ur other differentiator is that we belie$e in offering life insurance solutions to customers based clearly on their needs, and &Bisha' is the way it is done I &Bisha' is a Professional Sales S!ills Training Program The delegates in this program are introduced to a &Aeed8based' selling approach, which can cater to all our clients opting for life insurance solutions &Bisha' is aimed at pro$iding a good ser$ice to the client and building long8term relationships

#ontribution to the indi$idual business premium income by the different channels of distribution also changed significantly, compared to last year The #orporate Agency and Banc assurance channel has grown tremendously and currently accounts for .06 of the company's business Spea!ing on this, 9r Satwale!ar said, HThe strategy to concentrate on acti$ating a limited number of bancasurance partners rather than going in for signing up a large number of ban!s in the early years, also paid off =ur !ey to achie$ing banc assurance success is our belief in a partnership approach, customi%ed product offerings, highly ethical dealings and pro$iding good Hvalue to our partner" and their cu"tomer" I 9D:* Standard LifeJ" offerings of *mployee Benefit Solutions, to the corporate sector, through /roup Business, ha$e met with increased success with year on year growth of 11.6 #ommenting on the strong growth of <B(# SL's /roup Business, 9r Satwale!ar said, H=ur e7cellent fund performance on retirement products and increase in our client base with 15" clients cutting across a spectrum of industries BABASAB PATIL ..

spanning from multinationals to PSCs to the older business houses, ha$e been the highlights of the year I =ngoing training for con$entional products and speciali%ed training for unit lin!ed products for more than 00,""" of our financial consultants has also helped its customers choose the products best suited for their need for protection, sa$ings, in$estments and pensions 9D:* Standard Life is the only company reDuiring its sales force to undergo specific training in CLIPs before they are permitted to sell the same There has been a huge ,ump in the number of its (inancial #onsultants who ha$e Dualified to become members of the prestigious 9illion Bollar ?ound Table +9B?T- (rom 12. members as on 01st Becember 2""., the number has increased to 013 members as on 01st Becember 2""5 9D:* Standard Life continues to ha$e one of the widest reaches amongst new insurance companies The #ompany's geographical presence has also increased and co$ers 12: offices across the country 5able Showca"in( :inancial Re"ult"; 0prA+ar !arameter" 2EE AE$

0prA+ar 2EE$AE% @R", *r,) 1502 21 1"23 :. 5"0 21 331 0" I <rowth

@R", *r,) Total recei$ed premium 223 ." i Aew Business .32 15 ii ?enewal 132 25 *ffecti$e Premium .02 "3 Income +Total/roup Business .: ." Premium +*PIBABASAB PATIL

12: 20 111 25 112 1. 1"0 .1

105 15

110 53

.5

New"

1%th +a# 2EE$

9D:* Standard Life declare" re"ult" for :6 2EE AE$

!remium Income (row" b# 132I <B(# Standard Life Insurance #ompany Limited declared its annual results for the financial year ending 9arch 01st, 2""5 The company generated Aew Business Premium Income of ?s .32 #rore in 2"".8"5 registering a year8on8year growth of 1026 The growth was primarily dri$en by the success of the companyUs initiati$e on structured sales processes based on customer needs and their assessments 9r Beepa! Satwale!ar, 9anaging Birector 4 #*=, <B(# Standard Life attributed this growth to the Duality of life insurance solutions offered by the company Spea!ing on the occasion he said, V)e are eDuipped to offer some of the best solutions to our customers gi$en our wide range of products and the Duality of ad$ice offered by our (inancial BABASAB PATIL .2

#onsultants and #orporate #onsultants Training was one of the biggest initiati$es we had underta!en last year #learly, this initiati$e has started gi$ing us good results V

9i(hli(ht" of :inancial 6ear 2EE AE$ Aew Business Premium Income up by 1026 to ?s .32 #rores Total Premium Income of ?s 231 #rores as against ?s 2:3 #rores in (K "08". Alternate #hannels including banc assurance ha$e recorded an impressi$e growth of o$er .""6 to contribute 016 to the *ffecti$e Premium Income +*PI/roup business increased to ?s 02 #rores on *PI basis The a$erage premium doubled to ?s 11,""" #ompany products and ser$ices a$ailable in ... locations across the country

<B(# Standard Life trac!s its Aew Business Premium on the basis of *ffecti$e Premium Income +*PI- *PI is calculated by gi$ing only a 1"6 $alue to a Single Premium policy and is an internationally accepted indicator of an insurance companyUs performance )hile the company recorded Aew Business Premium Income of ?s .32 #rores, the *PI figure was lower at ?s .02 #rores The total premium income +including renewal premiumgrew by 10"6 to touch a figure of ?s 231 #rores <igh le$els of persistency ha$e resulted in a higher le$el of renewal premiums <igh persistency is an important contributor to future profitability The cumulati$e sum assured for all policies issued up to 9arch 01,

BABASAB PATIL

.1

2""5 crossed ?s 0",""" #rores In the first full year of offering unit lin!ed products, the structured sales process adopted by the company has paid rich di$idends <B(# Standard Life offers, both, life insurance policies as well as pension products on a unit lin!ed platform Cnit lin!ed products accounted for o$er 5"6 of the new business premium /i$en the nature of the unit lin!ed product, the company pro$ided speciali%ed training to a limited number of its (inancial #onsultants who were then tested for their understanding of the products and separately licensed <B(# Standard Life is uniDue in stipulating this reDuirement for its sales force The companyUs national relationships with <B(# Limited, <B(# Ban!, Cnion Ban! of India, Indian Ban! and Saraswat Ban! ha$e also helped it reach out to a larger number of customers across the country The alternate channel business grew by o$er .""6 to contribute 016 of the premium income The company plans to further strengthen these relationships through the introduction of products specially designed for this channel <B(# Standard Life continues to ha$e one of the widest reaches among new insurance companies The company doubled the number of offices to 1". across the country Through these offices, the company today ser$ices customer needs in o$er .." towns The company also increased its depth in e7isting mar!ets by increasing its (inancial #onsultant strength from 11,""" as on 01st 9arch 2"". to o$er 20,""" as on 01st 9arch 2""5 There has been a huge ,ump, of o$er 22"6, in the number of its (inancial #onsultants who ha$e Dualified to become members of the prestigious 9illion Bollar ?ound Table +9B?T(rom 03 members as on 01st Becember 2""0, the number has increased to 12. members as on 01st Becember 2"". Buring the year, the company e7panded its portfolio of products by launching plans to BABASAB PATIL .3

co$er Superannuation and Lea$e *ncashment needs, thereby offering a wide range of employee benefit solutions to its corporate clients #onseDuently, <B(# Standard LifeUs /roup Business saw a huge growth o$er the pre$ious financial year The Aew Business Premium grew to ?s .: #rore to co$er o$er 2"",""" li$es for a sum assured of o$er ?s 1",""" #rores /i$en its parentage and its financial e7pertise, the company is confident of offering good long8term returns to its policyholders Spea!ing on this 9r Satwale!ar said, V=ur in$estment philosophy and cost consciousness together will help us in pro$iding good long term growth to policyholders on their in$estments with us This is e$ident in the performance of our eDuity based unit lin!ed funds which ha$e outperformed most indices o$er the last one yearV

0ccident 3enefit An add8on with a life policy It compensates a policyholder in the e$ent of death or in,ury by accident 0nnuit# An in$estment option that ma!es a series of regular payments to an indi$idual in e7change for a premium or a series of premia 0ppreciate To grow in $alue

0""et *$erything owned or due to a person BABASAB PATIL .:

0""et allocation <ow your in$estments are spread across $arious asset classes

3ond It is li!e an I=C By buying a bond you loan money to a company, a municipality, state or the #entral /o$ernment 3onu" The amount paid as return in a &with8profit' policy The bonus, e7pressed as a percentage of the sum assured, is generally declared e$ery year The amount is lin!ed to the profits earned by the insurer Bepending on the time of withdrawal, there are two !inds of bonuses G re$ersionary and cash A re$ersionary bonus can be encashed only on maturity of the policyF a cash bonus can be withdrawn when declared 3ud(et It is a tool used to monitor and control e7penditures and purchases

*apital (ain" Profit earned from the sale of stoc!s, mutual fund units and real estate Long8term capital gains arise from assets owned for more than a year while short8term capital gains are made from assets owned for less than a year *ompound Intere"t Interest computed on principal plus interest accrued during the pre$ious periods of the in$estment *orpu" The amount of money a$ailable with a scheme for in$esting If already in$ested, the corpus is the current $alue of the scheme's portfolio *o"t avera(in( A strategy that in$ol$es in$esting a fi7ed amount of money in an asset class li!e BABASAB PATIL 5"

eDuity, so that the a$erage cost of acDuiring the asset in the long8term is much lower than that in the short8term *over Another word for insuranceF it also refers to the amount of insurance *ritical illne"" rider A rider that pro$ides a policyholder financial protection in the e$ent of a critical illness

Death benefit The amount payable to the nominee on death of the policyholder The amount paid is the sum assured plus benefits applicable +if any- less outstanding loans Declinin( term cover A type of pure life protection insurance policy where the premia remain the same while the life co$erage !eeps declining They are typically used to co$er the life of a person with a pending loan repayment, li!e home loan Deferred annuit# An annuity plan where the first annuity payment becomes payable after a chosen period that e7ceeds one year Di"cretionar# e1pen"e" These are e7penses li!e entertainment, dining out and non8compulsory tra$el that you can reduce at will Di"abilit# K di"memberment benefit rider A rider that pro$ides for additional co$er in the e$ent of disability, or dismemberment, of the policy holder due to an accident Dividend" Payments made by companies and mutual funds to shareholders and unit8holders, respecti$ely, from the income generated by it Down pa#ment The money that a home buyer has to contribute, often at least 15 per cent of the

BABASAB PATIL

51

$alue of the house, when he is ta!ing a home loan Dividend #ield The percentage of di$idend paid on a share to the $alue of the share

Emer(enc# fund The money, in the form of liDuid in$estments in ban! sa$ings accounts, two8in8one accounts and liDuid funds, you need, to ta!e care of emergencies li!e a ,ob loss that your insurance policies wouldn't co$er Endowment plan" An insurance plan that pro$ides a policyholder ris! co$er and some return on in$estment Csually suitable for the ris!8a$erse Effective rate of intere"t The true rate as against the nominal rate, which may be incorrect E"tate All assets of a person, both financial8li!e stoc!s, bonds, mutual funds and fi7ed deposits and physical8li!e a house and gold that can be passed on to his heirs E"tate plannin( A financial plan to ensure the transfer of all your assets8both financial, such as fi7ed deposits and stoc!s and physical, such as home, after your death to your heirs without any delay or loss E1clu"ion" ?is!s and circumstances not co$ered by a policy Ao claim will be entertained in case of losses arising out of such situations ELSS @e/uit#Alin?ed "avin(" "cheme") Bi$ersified eDuity funds that additionally offer a ta7 deduction under Section 3"# on in$estments up to ?s 1 lac! E+I @e/uated monthl# in"tallment) A borrower must ma!e this payment each month towards repayment of interest and principal of a loan ta!en by him

BABASAB PATIL

52

E/uit# The actual ownership interest in a specific asset or group of assets

:inancial plannin( It co$ers the essential elements of a person's financial affairs and is aimed at achie$ing a person's financial goals :i1ed depo"it (unds placed on deposit in a ban!, company or post office at a fi7ed rate of interest :i1edAincome inve"tment Any in$estment that pro$ides a stated percentage of $alue, say 2 per cent, on the in$ested amount :i1ed rate loan Interest rate charged on a loan that remains fi7ed during the tenure of the loan :loatin( rate loan Interest rate charged on a loan benchmar!ed to a particular lending rate The rate gets ad,usted during the tenure of the loan as the benchmar! interest rate changes

<roup In"urance An insurance policy ta!en out by employers to pro$ide life co$er to their employees Csually the cheapest form of insurance <uaranteed addition" The amount paid as returns in assured8return insurance plans /uaranteed additions are e7pressed as a percentage of the sum assured, with the amount payable being stated by the insurer at the outset

9o"pital ca"h benefit rider A rider that pro$ides co$er for hospitali%ation

BABASAB PATIL

50

Immediate annuit# An annuity that starts payments immediately after, or soon after, the first premium is paid Inde1 fund A scheme whose portfolio mirrors the progress of a particular inde7, both in terms of composition and indi$idual stoc! weight ages It's a passi$e in$estment option, as a fund's performance will mimic the inde7 concerned, barring a minor trac!ing error In"ured The policyholder In"urer The insurance company Inve"tment" Assets li!e fi7ed deposits, post office sa$ings, bonds and stoc!s that are acDuired for the purpose of earning a return Inve"tment ri"?" The ris!s that your in$estments face These include the ris! of interest rate fluctuations impacting your debt in$estments or the prices of eDuities going down

Level term cover rider A rider that increases the life co$er in non8term plans, up to a ma7imum of the sum assured on the base policy The rider offers death benefit along, and ser$es the need for e7tra protection for a specified time period Liabilitie" 9onies owed, debt and other financial obligations of a person Life annuit# An annuity that ma!es regular income payments till the policyholder is ali$e =n the policyholder's death, all income payments cease and there are no beneficiary benefits

BABASAB PATIL

5.

Li/uidit# The Duality of assets that can be easily and Duic!ly con$erted into cash without any, or significant, loss in $alue Lo#alt# addition" Additional benefits +other than guaranteed additionsNbonus- paid to policyholders on maturity of certain in$estment8based insurance plans for staying on through its term Loyalty additions are paid as a percentage of the sum assured, with the amount depending on the insurer's financial performance Loc?Ain period The period of time for which in$estments made in an in$estment option cannot be withdrawn

+ar(inal ta1 rate The highest ta7 rate applicable to a person for paying income ta7 +ar?et value The monetary $alue an asset will fetch if sold in the mar!et today +aturit# date The date on which a policy term or fi7ed8income in$estment li!e fi7ed deposit or bond comes to an end +one#Abac? plan" A $ariant of endowment plans in which sur$i$al benefits are disbursed through the policy term, rather than in a lump sum at the end

Net a""et value @N07) The simplest measure of how a scheme is performing, it tells how much each unit of it is worth at any point in time A scheme's AA; is its net assets +the mar!et $alue of the financial securities it owns minus whate$er it owes- di$ided by the number of units it has issued

BABASAB PATIL

55

Nominee The person+s- nominated by the policyholder to recei$e the policy benefits in the e$ent of his death

!articipative plan" See &with8profit' policy !en"ion !lan In$estment products offered by insurance companies and mutual funds that reDuired the in$estor to ma!e defined contributions o$er regular periods, mostly e$ery year The contributions are in$ested according to a pre8decided in$estment plan At retirement, the accumulation is paid out through regular pay8out options !eriodic pa#ment inve"tment" In$estment options that ha$e payouts in fi7ed inter$als (or e7ample, money8bac! life insurance policies !ermanent partial di"abilit# Permanent loss of any body part, one eye, one limb or one finger or a toe, or in,uries that render the insured in capable of earning an income from the date of the accident onwards from any wor!, occupation or profession )hile the loss of the body part may be permanent, its effects on the insured's life are partial !ermanent total di"abilit# Permanent loss of use of any two limbs, or permanent and complete loss of sight in both eyes and any other in,ury that renders the insured incapable of earning an income #o$er this ris! to secure your wealth !olic# The legal document issued by an insurance company to a policyholder that states the terms and conditions of an insurance contract !olic#holder The person who buys an insurance policy Also referred to as the &insured' BABASAB PATIL 52

!olic# term The period for which an insurance policy pro$ides co$er !o"t office "cheme" Also !nown as Small Sa$ings schemes, they are offered at post offices and carry the highest returns among fi7ed income instruments /o$ernment bac!ing ma!es these instruments li!e Public Pro$ident (und +PP(-, Aational Sa$ings #ertificate +AS#-, Eisan ;i!as Patra +E;P- and Post =ffice 9onthly Income Scheme +P=9IS- ris!8free !reApa#ment Partial or full repayment of the loan before the end of the tenure !remium The amount paid by the insured to the insurer to buy co$er

Recurrin( depo"it This is offered both in post office and ban!s where you are reDuired to contribute a fi7ed amount e$er month It is a great tool for ma!ing small and regular sa$ings Re"t The freDuency at which interest is calculated on the outstanding loan balance The more regularly the interest is calculated on the outstanding loan amount, the lesser the interest costs and cheaper the loan (or e7ample, monthly rests would ma!e a loan with the same rate cheaper than a Duarterly rest Revolvin( credit A pre8established credit line, typically in a credit card, against which a person may borrow to ma!e purchases Rider" Additional co$ers that can be added to a life policy, for a cost

Small "avin(" See post office schemes BABASAB PATIL 51

Sum a""ured The amount of co$er ta!en under a life insurance policy, it is the minimum amount that will be paid on death of the policyholder during the policy term Surrender value The amount payable by the insurer to the owner of an in$estment8based plan in case he opts to terminate the policy after three years +the mandatory loc!8in periodbut before its maturity date The surrender $alue will be the premia paid till date minus surrender charges and any outstanding loans due Survival benefit" The amount payable to a policyholder under an in$estment8based plan if he sur$i$es the policy term Typically, it is the sum assured plus returns +guaranteed additions N bonus- accrued

5emporar# total di"abilit# An in,ury that results from an accident and renders a person immobile or affects his earning capacity temporarily (or instance, a fracture in the arm or leg that !eeps you from wor!J you may be mobile but the in,ury may pre$ent you from wor!ing 5erm plan" A plan that pro$ides life co$er for a specified period of time, but no return on the premia paid 5erminal bonu" A one8time bonus paid on maturity of a with8profit plan

7e"tin( date /enerally used in the conte7t of pension plans and children's plans offered by life insurance companies It is a date signifying a milestone in a policy In pension plans, it is the date from which the policyholder starts recei$ing pension In

BABASAB PATIL

53

children's plans, it is the date from which a child becomes the owner of a policy ta!en out in his name +generally, around his 13th birthday-

8aiver of premium rider A rider that wai$es the premia payable on the base policy and other riders in certain circumstances mostly related to death, disability or in,ury An important feature especially for in$estment products such as children's policies 8ealth The difference between the $alues of what you own +assets- and what you owe +liabilities8ill A document that designates the assets of a person8both financial and physical8 to $arious family members and other heirs 8ithAprofit polic# An insurance plan in which the policyholder gets a share of the insurer's profits + in the form of guaranteed additions N bonus- Along with the sum assured 8ithoutAprofit polic# An insurance plan in which the policyholder does not get any share of the insurer's profits 8holeAlife plan" #lass of life insurance policies that pro$ide co$er through your lifetime

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5:

3&0RD &: DIRE*5&RS

+r,Deepa? S !are?h; Is the chairmen of the company <e is also the *7ecuti$e chairmen of <ousing Be$elopment (inance #orporation Limited +<B(# Limited- <e ,oined <B(# Limited in a senior management posision in 1:13 he was inducted as a whole time director of <B(# Limited in 1:35 and was appointed as its *7ecuti$e #hairmen in 1::0 <e is the #hief *7ecuti$e =fficer of <B(# Limited 9r Pare!h is the (ellow of the Institute of #hartered Accountants +*ngland 4 )ales-

+r, >e?i + +i"tr#; >oined the board of directors of the company in Becember 2""" <e is currently the 9anaging Birector of <B(# Ltd <e ,oined <B(# Ltd in 1:31 and become a *7ecuti$e Birector in 1::0 <e was appointed as its 9anaging Birector in Ao$ember, 2""" 9r 9istry is a (ellow of the Institute of #hartered Accountants of India and a member of the 9ichigan Association of #ertified Public Accountants

+r, 0le1ander + *rombie; >oined the Board of Birectors of the company in April, 2""2 <e has been with the Standard Life /roup for 0. years holding $arious senior 9anagement Positions <e was appointed as the /roup #hief *7ecuti$e of the BABASAB PATIL Standard Life 2"

In$estment Limited 9r 0le1ander + *rombie is the (ellow of the (aculty of Actuaries in Scotland

+", +arcia D *ampbell; Is currently /roup =perations Birector in the Standard Life Assurance #ompany and is responsible for /roup =perations, Asia Pacific Be$elopment Strategy 4 Planning #orporate ?esponsibilities and Shared Ser$ice #entre +", +arcia D *ampbell ,oined the Board of Birectors in Ao$ember 2""5

+r, >eith N S?eoch; I s currently the #hief *7ecuti$e of the Standard Life In$estment Limited and is responsible for o$erseeing In$estment Process and #hief *7ecuti$e =fficer (unction Prior to this, +r S?eoch was wor!ing with 9Ns >ames #apel 4 #o holding the Positions of CE *conomist, #hief *conomist, *7ecuti$e Birector, Birector of #ontrol and Strategy <SBS Securities and 9anaging Birector International *Duities <e was also responsible for *conomic and In$estment Strategy ?esearch Produced on a worldwide basis +r, >eith N S?eoch ,oined the Board of the Birectors in Ao$ember 2""5

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+r, < N 3a'pai; 8 as the former chairman of the Life Assurance company of India and Securities of *7change Board of India +r, < N 3a'pai retired from Life

Assurance company of India with more than 0 decades of e7perience and further ser$ed as S*BI as its #hairmen of for 0 years, during which time he had strengthened the compliance enforcement in S*BI

+r, <autam R Divan; Is a practicing #hartered Accountant and is a (ellow of the Institute of #hartered Accountants of India +r, <autam R Divan was the chairmen and

managing committee 9ember of 9idsnell /roup international, an international Association of Independent Accounting (irms and has authored se$eral papers of professional interest

+r, Ran'an !ant Is a global 9anagement #onsultant ad$ising #*=NBoard of Strategy and #hange 9anagement +r, Ran'an !ant. until 2""2 was a partner 4 ;ice President at a Bain 4 #ompany, Inc ,Boston,where he led the worldwide Ctility Practice <e was also director, #orporate Business Be$elopment at /eneral *lectric headDuarters in (airfield, CSA 9r Pant has an 9BA from the )harton School and B* +<onoursfrom Birla Institute of Technology and Sciences

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+r, Ravi Narain Is the 9anaging Birector 4 #*= of Aational Stoc! *7change of India Ltd +r, Ravi Narain was the core team to set up the securities 4 *7change Board of India +S*BI- and is also associated with $arious committees of S*BI and the ?eser$e Ban! =f India +?BI-

+r, Deepa? + Satwle?ar Is the 9anaging Birector and #*= of the #ompany since Ao$ember, 2""" Prior to this, he was the 9anaging Birector of the <B(# Ltd since 1::0 +r, Deepa? + Satwle?ar obtained a Bachelors Begree in Technology from the Indian

Institute of Technology, Bombay and a 9aster Begree in Business Administration from The American Cni$ersity, )ashington B#

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20

!"hat is your #en$er%!

45 40 35 30 25 20 15 10 5 0

42

Series1 8

The abo$e graph shows that the se7 wise classification of the respondents In total 5" respondents .26 of respondents are males And remaining 36 of respondents are females

BABASAB PATIL

2.

&!What is your a#e%!

25 20 15 10 5 0 a 2 . Series1 ! 6 19 23

The abo$e graph shows that the age wise classification of the respondents 26 of respondents are coming under the age between 15 to 2" years 216 of respondents are coming under the age between 2" to 0" years 206 of respondents are coming under the age between 0" to ." years And remaining 26 of respondents are coming under the age of ." years and abo$e

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25

'! What is your (ualification%!

a . 18 ! 21

The abo$e graph shows that the .6 of respondents ha$e completed SSL#, 216 of respondents ha$e completed PC#, 136 of respondents ha$e completed degree and 156 of respondents ha$e completed master degree

BABASAB PATIL

22

)! *re you li+in# in your o"n house%!

45 40 35 30 25 20 15 10 5 0 a . 8 Series1 39

The abo$e graph shows that the numbers of respondents are li$ing in their own house 0:6of respondents ha$e their own house ?emaining 36 of respondents do not ha$e their own house

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,! *re you usin# the follo"in#%!

a . !

30 22 20 10 0 a 14 10 2 . !

The abo$e graph shows that the number of respondents is using the following lu7uries goods 1. 6 respondents are using #ar 1"6 respondents are using #olour T; 226 respondents are using Bi!es 26 respondents are using ?efrigerator

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23

6! What is your occupation%!

15

a . !

19

The abo$e graph shows that the respondents occupation 156 of respondents are ,ob holders 1:6 of respondents are Business mans .6 of respondents are Professionals

BABASAB PATIL

2:

-! What is your monthly income%!

30 25 20 15 10 5 0 a 3 . ! 3 16 a . !

26

The abo$e graph shows that the monthly income of the respondents In the sur$ey it was found that the 06 of respondents are come under below ?s 5""" per month 226 of respondents are coming under ?s 5""" to 1",""" per month 126 of respondents are coming under 1",""" to 15,""" per month =nly 06 of respondents are coming under ?s 15, """ 4 abo$e

BABASAB PATIL

1"

.!*re you a"are of any thin# about /D0C Stan$ar$ Life 1nsurance%!

30 25 20 15 10 5 0 a . 19

26

a .

The abo$e graph shows that the 1:6 of respondents aware about <B(# Standard Life Insurance and 226 of respondents unaware about <B(# Standard Life Insurance

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11

2!1f yes ho" $o you come to 3no"%!

3 2 1

a . ! e

10

The abo$e graph shows that the number of respondents are come to !now about this <B(# Standard Life Insurance Plans and Policies =nly 26 of respondents are come to !now from the e7ecuti$es 1"6 of respondents are come to !now from their friends 16 of respondents are come to !now from Tele$ision 26 of respondents are come to !now from local A*)S Papers 06 of respondents are come to !now from Pamphlets

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4! Do you "ant to 3no" more about /D0C%!

40 30 20 10 0 39 a . 10 a .

The abo$e graph shows that the number of respondents wants to !now more about <B(# Standard Life Insurance Plans and Policies 0:6 of respondents are wants to !now more about <B(# Standard Life Insurance Plans and Policies 1"6 of respondents don't want to !now

BABASAB PATIL

10

! Do you "ant to in+est your money in the /D0C Stan$ar$ Life 1nsurance%!

30 25 20 15 10 5 0 a

26 20 a .

The abo$e graph shows that the numbers of respondents are interested to in$est their money in <B(# Standard Life Insurance 226 of respondents are interested to in$est their money in <B(# Standard Life Insurance 2"6 of respondents are not interested to in$est their money in <B(# Standard Life Insurance

BABASAB PATIL

1.

&! 1f yes in "hich plan you "ant to in+est%!

10 5 0 7 9 8 Series1 S1 a . !

The abo$e graph shows that the numbers of respondents are interested to in$est their money in the following plans in <B(# Standard Life Insurance 16 of respondents are interested to in$est their money in the HIn$estment PlansI :6 of respondents are interested to in$est their money in the HSa$ing PlansI 36 of respondents are interested to in$est their money in the HPension PlansI

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'! 1n "hich company you ha+e in+este$ your money%!

a . !

The abo$e graph shows that the numbers of respondents are in$ested their money in the following companies 116 of respondents are in$ested their money in the HLI#I :6 of respondents are in$ested their money in the H<B(#I 36 of respondents are in$ested their money in the HI#I#II 26 of respondents are in$ested their money in the HBa,a, Allian%I

BABASAB PATIL

12

)! 5our sa+in# consist of%!

30 25 20 15 10 5 0 2 a . ! 3 0 e f 14 a . ! e f 1 27

The abo$e graph shows that the numbers of respondent's sa$ing consist of in the following companies 26 of respondent's consist their sa$ings in the Post =ffice 1.6 of respondent's consist their sa$ings in the Ban! ( B 16 of respondent's consist their sa$ings in the Shares 06 of respondent's consist their sa$ings in the Land and Building 216 of respondent's consist their sa$ings in the Life Insurance

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11

:indin("
In 5" respondents presently .26 of respondents age between 0" to ." years this indicates that they ha$e ability to ta!e financial in$estment decisions So it is suggests that the company catch such !ind of respondents In the sur$ey it was found that more number of respondents i e 026 of respondents ha$e completed graduation This indicates that the respondents in the Bharwad city are educated and they are easily understood what are the benefits and importance of the policies In this sur$ey it was found that ..6 of respondents ha$e their own bi!es and 236 of respondents ha$e cars This indicates that these financially sound and they can easily understand the importance of policies and they can in$est thhier money in that In this sur$ey it was found that 526 of the respondents monthly income is in between ?s 5""" to ?s 1"""" such !ind of respondents are wants sa$e money or in$est money which will help for their children's in future It was found that 526 of respondents in Bharwad city are unaware about the <B(# standard Life Insurance This indicates the ad$ertisements which are using for creating awareness in Bharwad is not effecti$e so it is suggests the company to use more effecti$e ad camps to create awareness In Bharwad city 136 of respondents wants to !now more about <B(#s policies so it is suggest that the company should gi$e ads in local A*)S Paper and also gi$e ad$ertisement in local cable T; Bharwad city is aware or !nows about this scheme

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13

In this sur$ey it was found that 526 of respondents are wanted to in$est their money in <B(# Life Insurance Policy These respondents are potential customer for the organi%ation

BABASAB PATIL

1:

*onclu"ion
(rom the sur$ey analysis it was found that in Bharwad #ity more than half of respondents are unaware about <B(# Standard Life Insurance Plans and Policies In this sur$ey it was also found that more number of respondents ha$e perception in that they are interested to in$est their money in <B(# Standard Life Insurance In short many respondents are still not decided to in which company they ha$e to in$est their money So they ha$e opportunity in Bharwad city and the company has an opportunity so it suggests that they catch the such customers to tap the mar!et

BABASAB PATIL

3"

Recommendation"
1 9ore number of respondents ha$e their monthly income below ?s 5""" And such !ind of population wants to ma!e policies in <B(# Standard Life Insurance 9ore number of the respondents are come to !now about this scheme from T; and (riends So it suggests that they should use other sources of ad$ertisement li!e Big *ye #atching <oardings and ?oad shows etc 2 <ere it can recommended that the company should pro$ide bonus for the potential financial consultant and #ompany almost all plans and policies ha$e duration period of minimum 1" years for this long duration people are not interested to in$est their money so the company should reduce their duration period

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31

3iblio(raph#,

9A?E*TIA/ ?*S*A?#< BK B=AALB S TCLL 4 B*LL <A)EIAS P?IA#IPL* =( 9A?E*TIA/ BK P<ILLIP E=TL*? 4 A?9ST?=A/ A*)SPAP*? AAB 9A/WIA*S #=9PAAK 9AACALS

BABASAB PATIL

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2ue"tionnaire
5hi" i" an anon#mou" "urve# Dear re"pondent,

)hat is your genderX 9ale female 2"80" ." and abo$e PC# 9asters Ao #olour T; ?efrigerator Businessman =thers 5"""81",""" Abo$e 15,"""

2 )hat is your ageX 1582" 0"8." 0 )hat is your DualificationX SSL# Begree . Are you li$ing in your own houseX Kes 5 Are you using the followingX #ar Bi!e 2 )hat is your =ccupationX >ob <older Professional 1 )hat is your monthly incomeX Below 5""" 1","""815,"""

3 Are you aware of any thing about <B(# Standard Life InsuranceX Kes : If yes how do you come to !nowX *7ecuti$e T; Pamphlet (riends A*)S Paper =thers Ao @If No "?ip to the /ue"tion no, 1E)

1" Bo you want to !now more about <B(# PlansX BABASAB PATIL 30

Kes Kes In$estment Plans Pension Plans

Ao Ao Sa$ing Plans =thers

11 Bo you want to in$est your money in the <B(# standard Life InsuranceX 12 If yes in which plans you want to in$estX

10, In which company you ha$e in$ested your moneyX a- LI# c- I#I#I 1., Kour sa$ing consists of a- Post office c- Shares d- Land N Building e- Life insurance f- /old b- Ban! ( B b- <B(# d- Ba,a, Allian%

S,NE, 1 2 3 $ % G

1 a a a a a a a

2 b c c c c d b

3 a c c b c c b

a a a a a a b

$ c a c b b c b

% b a b b b b a

G b c c a b b a

F b a b a a b

L b c a b

1E a a a a a b a

11 a b a b b a

12 d d c b

13 a b a a c d

1 e c e b e b 3.

BABASAB PATIL

F L 1E 11 12 13 1 1$ 1% 1G 1F 1L 2E 21 22 23 2 2$ 2% 2G 2F 2L 3E 31 32 33 3 3$ 3% 3G 3F 3L E 1 2 3 $ % G F L $E

a b a a a a a a a a a b a a a a a a a a b a a a a a a a b a a a a a b a b a a a a a b

a b c c c b c d b c d b b c b b b b c c b b d c c d d c b c a a d c b c c c d b a b c

b b b c c a b c b b c b c d b b b c b c c a d a c d d d b a b c b b c b c d b b b b c

c b c a a a a a b a a a a a a a a a b a a a a a a a a b a b c c a a c a a a a a a b a

c c a a c c c a b c a a a a c d c a c c c b a b c c c c b b a b c a a a d b c c b c c

b b b b b b b b a b b a b a b b a b b c c b a b b a a c a b a c a c a a a a b b b b b

b b b d b a c c b b c c d c b b c c b c b b d b b c c b b b b a c b a c b c c b b b b

b b c a a b a a b a a b a a b b a a b b b a a b a a a a b b b b b b c a b b b b b b b

e a b e b a b a a a

b d b b b e b b a b b d

a a a a a a a b a a a a a a a a a a a a b a a a a a a a b b a b a a a a b b a a

b b a b b b b b b a b a b a a a a b a a b a a a a a a a b b a b a a a a a a b b a a

d a b a b b c c a b a b c a b b a b a c b a c c a a b a c a c b b c b c c a a a

a a b d b b c d b

a a a d c a a c c c

b e b e e b e e b e e e e e b e e e e d e d e b b e e b a b b a e e c e e d b a e e

BABASAB PATIL

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BABASAB PATIL

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