A

WINTER TRAINING REPORT

ON

FINDIND MARKET POTENTIAL OF

LIFE INSURANCE AGENTS
Done At

BIRLA SUN LIFE INSURANCE CO. LTD.

In partial fulfillment of the requirement of the degree
Of Master of Business Administration
(VEER NARMAD SOUTH GUJARAT UNIVERSITY)
SURAT
SUBMITTED BY:
PRAKASH B. MODI
(MARKETING)
4th Sem, Roll No: 26

GUIDED BY:
PROF. KAVITA TRIVEDI

GRIMS VAPI
AFFILIATED TO VEER NARMAD SOUTH GUJARAT UNIVERSITY, SURAT.

PROGRAMME YEAR
2005-2007

DECLARATION
I, the undersigned, Mr. Prakash B. Modi here by declare that this project
work entitled Finding Market Potential of Life Insurance Agents is
carried out by me toward the partial fulfillment of the degree under the
preview of M.B.A. I declare that this project work is an original piece of
work and secondary data is acknowledged by me.

Place: - Ahmedabad
Date: Mr. Prakash B. Modi
MBA-2nd year

CERTIFICATE
This is to certify that the Project Report of Finding Market
Potential of Life Insurance Agents has been prepared by Mr.
Prakash B. Modi student of MBA (2nd year) studying in GIDC Rajju
Shroff Rofel Institute of Management Studies; Vapi has completed
his winter training at Birla Sun Life Insurance Company Limited.
His work is found satisfactory and be sent for further evaluation.

Signature of guide
Ms. Kavita Trivedi

Signature of Director
Dr. R.S.Shah

ACKNOWLEDGEMENT
I feel necessary to thank all of those who helped me directly and
indirectly in the preparation of my project.
First of all I am very grateful to our Dir. Dr. R.S.Shah for providing
me the opportunity to understand the sector. I would also thankful to my
project guide Ms. Kavita Trivedi for providing the full guidance during my
project work and motivated me through out the fulfillment of my project.
I would also like to express my thanks towards our entire faculty
members for guiding me during my project and motivated me through out
the fulfillment of the task.
I am greatly thankful to BIRLA SUN LIFE INSURANCE COMPANY
LTD, for giving me the opportunity to undergo training in their esteemed
Organization.
I would like to thank to Mr. Rakesh Patel the sales manager of Birla
Sun Life Insurance Company Ltd-Ahmedabad.
And at last but not the least I also express my sincere thanks to all
my respondents, without their cooperation and help; I could not be able to
complete my study.

EXECUTIVE SUMMARY
The project topic assigned to me was Finding Market Potential of
Life Insurance Agents at Birla Sun Life Insurance Company Ltd.,
Ahmedabad.
The sample size was 100. Contacting personally and interviewing them
were collecting the data. The communication approach was questionnaire.
Its analysis includes interest of people towards insurance business and also
it shows the interest of people about work with Birla Sun Life Insurance
Company Ltd. as an agent advisor.
This report has been prepared as per guidance given by professors. My
over all experience during this training session was satisfactory and learnt
many things and ensure that these things will help in future.
The study will help the organization to identify its potential as an
insurance agent in the market & also company as well. This study is useful
to company for future growth and surviving in the dynamic environment.

TABLE OF CONTENTS
No.
1

Contents
Industry Profile

Page No.
7

2
3

Company Profile
Research Methodology

16
20

Research objective
Research design
Sources of data
Research approach
Research instrument
Sampling plan
Benefits of the study
Limitations
4
5

Data Analysis
Conclusion

24
46

Annexure

48

Bibliography

51

About Life Insurance

Life insurance is a contract for payment of a sum of money to the person assured or to
the person entitled to receive the same, on the happening of a certain event.
Usually the insurance contract provides the payment of an amount on the date of
maturity or at specified dates at periodic intervals or at unfortunate death if it occurs
earlier. Obviously, there is a price to be paid for this benefit. Among other things, the
contract also provides for the payment of premiums by the assured
Life insurance is universally recognized as a tool to eliminate risk. Uncertainty of
death is natural in human life and this uncertainty makes it necessary to have some
protection against the financial loss arising from unfortunate death. Life insurance
offers this protection. In other words, it is the worlds partial solution to the problems
caused by death. Life insurance helps in two ways: premature death, which leaves
department families to fend for itself and old age without visible, means of support.

Why do we need Life Insurance?

We need Life Insurance because typically the need for income continues for those
who are financially dependent on us, but there is no guarantee to earn consistently and
for the rest of our life. Life insurance can help us to maintain the financial needs of
our family.
This need has become even more important due to steady disintegration of the
prevalent joint family system and emergence of nuclear families. The need to protect
our family's ever growing needs is why we need Life Insurance.
We need to support our child with educational background & help our child to get
his/her dreams. Life insurance can help us to fulfill all these needs whether you are
there or not. Life insurance can help us to live a secure and tension free retired

life by ensuring that we get guaranteed pension.

OPPORTUNITIES
Recent experience has shown that wherever an insurance industry has been thrown, it
creates competition. The size of the market has grown and the existing players have
retained nearly 80% of the market share. The size of the population in India is indeed
vast and the existing player has managed to cover about one-fourth of it. The
opportunities before the players are there in large quantities in terms of target
audience. The falling interest rates, the collapse of many small financial institutions,
the scope for entering related areas like banking and pensions and the promise of ecommerce are some of the other opportunities knocking the doors of an insurance
industry.
It will be vital for new entrants to choose their product and service offering carefully.
In doing all this, they must consider two possible pitfalls. First, when estimating the
potential of the Indian insurance market it is tempting to look at the ratio of premium
to GDP, which is comparatively low in India. For example, Indias life insurance
premium as a percentage of GDP is 1.5 per cent against 5.2 per cent in the US, 6.5 per
cent in the UK and 8 per cent in South Korea.
Second, the tendency to target the business of existing companies rather than
expanding the market. New players find it easier to try to capture existing customers
by offering better service or other advantages. Yet, the benefits of this strategy are
likely to be limited. For example, 50 per cent of the current demand for general
insurance comes from the corporate segment.
We expect that after the market opens up, companies will move between insurers as
they shop around for the best products and service. On the other hand we think that
the corporate segment, as a whole will not be a big growth area for new entrants. This
is because penetration is already good. Companies receive good service because of
their size and rates are tariff-governed. In India potential buyers for most of this
insurance lie in the middle class. New insurers must segment the market carefully to
arrive at appropriate products and pricing. Existing players can also profitably make
use of these areas. Recognizing the potential, in the past three years, the nationalized
insurers have already begun to target niches like pensions, women or children.

10

CHALLENGES
The biggest challenge faced by the Government today is that to control of 30 or 40
private players. Each represented by thousands of agents, brokers and intermediaries.
To evolve a free and fair method of assessing the companies to ensure fair play
between the competitors and to look after the interests of the largely uninformed
customers are the main tasks ahead.
The other and equally serious aspect is to ensure that the vast amounts collected by
the insurance and pension funds are utilized for the welfare of the people. A certain
degree of autonomy in the functioning of insurance companies has to be allowed so
that they get necessary freedom and space to perform. The IRDA along with the
advisory committee constituted recently is qualified to undertake these tasks. Such an
institution will provide guiding principles, lay down a code of insurance ethics and
generally act as a facilitator for both the life and non-life industry.
The challenge is one of sustaining the huge growth has shown in the recent times. It
has to face competition for the first time in its history, particularly in the urban
centers. It has to manage its huge operations more efficiently than at any other
time in the past. It has to make ready its personnel (staff and agents) to face
competitors.
As far as the entrants are concerned the greatest challenge is to establish their
presence in the minds of the public. About life insurance, it is said that insurance is
never bought but sold. To convince a large population which is comparatively not well
informed about the intangible benefits of life insurance is indeed difficult task. On top
of that, to establish the brand equity of a new name in a new field is quite challenging.
Another most important challenge facing a new entrant is that of setting up
infrastructure and to reach out to as many areas as possible, since life insurance is
based on probability and the wider the spread, the greater are the chances of success
in maintaining the expense ratios at a reasonable level.

11

What is an Insurance Agent?

An insurance agent, also called an insurance broker in some instances, is the local
representative of any number of insurance companies. A state board must license a
valid insurance agency before he or she can legally sell insurance policies to
customers. Generally, an insurance agent works as the local face of a single
insurance company, but occasionally an independent agent may work with different
companies depending on their areas of expertise and coverage.
Most consumers interested in purchasing insurance coverage will only deal with a
local insurance agent directly. He or she is authorized to present all of the coverage
options available through the larger insurance company. Since part of an insurance
agent's salary is based on commissioned sales, he or she will often offer 'one stop
shopping' for all of the customer's insurance needs. An insurance agent may sell
individual policies for car, home, life and medical insurance, or offer a package plan,
which incorporates a combination of these needs.
Insurance customers are required to make regular payments called premiums to the
insurance company, so part of an insurance agent's job is to ensure compliance. He or
she may send out reminders of an impending premium payment, or notify customers
of any proposed rate changes. A good insurance agent may also keep track of any new
developments in a client's life-a new teen-aged driver or a new home, for example.
Clients may need to change their coverage from time to time, so an insurance agent
will negotiate the new terms with the parent company.
Perhaps the most visible part of an insurance agent's job occurs during an actual
insurance claim. Following a car wreck or natural disaster, for example, customers are
urged to contact their local insurance agent as soon as possible. Claims for insurance
benefits must be processed through an authorized agent who can verify the
circumstances of the accident or disaster. A specialist called claims adjustor may be
sent out by the insurance agent to personally inspect the damage and calculate the
value of the claim. An insurance agent often acts as an informal arbitrator between the
client and the parent insurance company. He or she may know the best ways to
present a claim in order to elicit the most favorable settlement from the insurers.

12

Development of Insurance Sector in India

Insurance Sector in India
The insurance sector in India has come a full circle from being an open competitive
market to nationalization and back to a liberalised market again. Tracing the
developments in the Indian insurance sector reveals the 360-degree turn witnessed
over a period of almost two centuries.

Life insurance in India

Life insurance in its existing form came to India from the United Kingdom with the
establishment of a British firm oriental life Insurance Company in Calcutta in 1818
followed by Bombay Life Assurance Company in 1823.

A brief history of the Insurance Sector

The business of life insurance in India in its existing form started in India in the year
1818 with the establishment of the Oriental Life Insurance Company in Calcutta.

Some of the important milestones in the life insurance business in India are:

1912: The Indian Life Assurance Companies Act enacted as the first statute to
regulate the life insurance business.

1928: The Indian Insurance Companies Act enacted to enable the government to
collect statistical information about both life and non-life insurance businesses.

1938: Earlier legislation consolidated and amended to by the Insurance Act with
the objective of protecting the interests of the insuring public.

1956: 245 Indian and foreign insurers and provident societies taken over by the
central government and nationalized. LIC formed by an Act of Parliament, viz.
LIC Act, 1956, with a capital contribution of Rs.5 Corer from the Government of
India.

13

Insurance Sector Reforms

Having looked at the insurance sector, let us look at the efforts made by the
government to make the industry more dynamic and customer friendly. In 1993,
Malhotra Committee headed by former Finance Secretary and RBI Governor R.N.
Malhotra was formed to evaluate the Indian insurance industry and recommend its
future direction. In 1994, the committee submitted the report and some of the key
recommendations included:

Structure

Government stake in the insurance Companies to be brought down to 50%

Government should take over the holdings of GIC and its subsidiaries so that
these subsidiaries can act as independent corporations

All the insurance companies should be given greater freedom to operate

Competition

Private Companies with a minimum paid up capital of Rs.1bn should be allowed

to enter the industry

No Company should deal in both Life and General Insurance through a single
entity

Foreign companies may be allowed to enter the industry in collaboration with the
domestic companies

Postal Life Insurance should be allowed to operate in the rural market

Only one State Level Life Insurance Company should be allowed to operate in
each state

Regulatory Body

The Insurance Act should be changed

An Insurance Regulatory body should be set up

Controller of Insurance (Currently a part from the Finance Ministry) should be

made independent

14

Investments

Mandatory Investments of LIC Life Fund in government securities to be reduced

from 75% to 50%

GIC and its subsidiaries are not to hold more than 5% in any company

Customer Service

LIC should pay interest on delays in payments beyond 30 days

Insurance companies must be encouraged to set up unit linked pension plans

Computerization of operations and updating of technology to be carried out in the

insurance industry

Overall, the committee strongly felt the need to exercise caution as any failure on the
part of new players could ruin the public confidence in the industry. But at the same
time, the committee felt the need to exercise caution as any failure on the part of new
players could ruin the public confidence in the industry.
Hence, it was decided to allow competition in a limited way by stipulating the
minimum capital requirement of Rs.100 Corers. The committee felt the need to
provide greater autonomy to insurance companies in order to improve their
performance and enable them to act as independent companies with economic
motives. For this purpose, it had proposed setting up an independent regulatory body.

IRDA (Insurance Regulatory and Development Authority)

Reforms in the Insurance sector were initiated with the passage of the IRDA Bill in
Parliament in December 1999. The IRDA since its incorporation as a statutory body in
April 2000 has fastidiously stuck to its schedule of framing regulations and registering
the private sector insurance companies.
The other decisions taken simultaneously to provide the supporting systems to the
insurance sector and in particular the life insurance companies were the launch of the
IRDAs online service for issue and renewal of licenses to agents.

15
The approval of institutions for imparting training to agents has also ensured that the
insurance companies would have a trained workforce of insurance agents in place to
sell their products, which are expected to be introduced by early next year.
Since being set up as an independent statutory body the IRDA has put in a framework
of globally compatible regulations. In the private sector 14 life insurance and 6
general insurance companies have been registered.

Life Insurance Market Growth

Life Insurance Corporation (LIC) having a record-breaking performance in 200405 with 78.07 % market shares. But LICs market share has fallen to 71.04 % in
2005-06.

The Bajaj Allianz Life Insurance with a market share of 26.5 % in the private
sector has emerged as the no 1 private life insurance company with Rs.2715 corer
premium in 2005 -06.

The former no 1 private life insurance company ICICI Prudential Life Insurance
has a 25.7% market share with Rs.2637 corer premium in 2005-2006.

HDFC Standard Life Insurance Company Limited has grown its premium Rs.1570
corer in 2005-06 as compared to Rs.687 corer in the previous year.

Birla Sunlife Insurance has grown its premium by Rs.678 corer in 2005-06.

Aviva Life Insurance has increased its premium by Rs.407 corer in 2005-06.

SBI Life Insurance has increased its premium by Rs.828 corer in 2005-06.

Tata Aig has increased its premium by Rs.463 corer in 2005-06.

The private sector life insurance industry has recorded a growth of 84 %

in 2005-06.

16

17

ABOUT THE ORGANISATION

Birla Sun Life Insurance Company Limited.
Birla Sun Life Insurance Company Limited
Birla Sun Life Insurance is the coming together of the Aditya Birla group and Sun
Life Financial of Canada to enter the Indian insurance sector. The Aditya Birla Group,
a multinational conglomerate has over 75 business units in India and overseas with
operations in Canada, USA, UK, Thailand, Indonesia, Philippines, Malaysia and
Egypt to name a few.
Foreign Partner:
Sun Life Assurance, Sun Life Financial's primary insurance business, has excellent
ratings with the world's top rating agencies. With assets under management as on
September 30, 2000 totaling more than CDN billion, it ranks amongst the largest
international financial services organizations in the world.
Today, the Sun Life Financial Group of companies and partners are represented
globally in Canada, the United States, the Philippines, Japan, Indonesia, India and
Bermuda.

Birla Sun Life Insurance Company Limited

Birla Sun Life Insurance pioneered the unique Unit Linked Life Insurance
Solutions in India.
Within 4 years of its launch, BSLI has cemented its position as a leading player in the
Private Life Insurance Industry
There has been focus on Investment Linked Insurance Products, supported with
protection products to maintain leadership in product innovation.
Multi Distribution Channels- Direct Sales Force, Alternate Channels and Group
offering convenient channels of purchase to customers
Web-enabled IT systems for superior customer services
First to have issued policies over the Internet.
Corporate governance and a high degree of transparency in all business practices and
procedures.
First to have an operational Business Continuity Plan.
Strong fundamentals based on the Aditya Birla group's local insight and Sun Life
Financials's global expertise.

18

VISION
To be a premium global conglomerate with a clear focus on each business.

MISSION
To be the first preference of our customers by providing innovative, need based life
insurance and retirement solutions to individuals as well as corporate. Well-trained
professionals through a multi channel distribution network and superior technology
will make these solutions available.
Our endeavors will be to provide constant value addition to customers throughout
their relationship with us, within the regulatory framework. We will provide career
development opportunities to our employees and the highest possible returns to our
shareholders.

19

VALUES
Together, Sun Life Ltd and Birla Sun Life Insurance Company aim to become India's
no. one insurance brand. This vision will be realized through our unique set of values,
which are as follows:

Integrity
Commitment
Passion
Seamless ness
Speed

20

21

Research Methodology
Research is understood, interpreted and sometimes wrongly conceived as just
gathering of facts and description of observations. Research in common parlance
refers to a search for knowledge. One can also define research as a scientific and
systematic search for pertinent information on specific investigation.

Research Objective

To identify various segments from where people want to become life insurance
agents

To study the market potential for life insurance agent

To know various influencing factor this can be important for life insurance agent
to perform his/her role

To know the perception of people about work of life insurance agent

Research Design
The research design means a pattern of an outline of a researchs working. It is a
statement of only the essentials elements of studies those that provide basic guidelines
for the details of the projects. Selecting a design may be complicated by the
availability of a large variety of methods, techniques, procures, and sampling plans.

Sources of Data
There are basically two types of data used for the project study.

Primary Data:

22
Primary data are those, which are collected afresh and for the first time, and thus they
are original data. I have collected my primary data through questionnaire method,
filled by respondents.

Secondary Data:
Secondary data means that data which are readily available from magazines, internet,
newspapers etc. For the purpose of conducting this research I as a researcher have
used various secondary data viz. websites, catalogues of the Company etc.

Research Approach
For gathering primary data, I have used survey approach, which is widely used
method for data collection and best suited for descriptive type of research survey.

Research Instrument
For my research I have used questionnaire, which is the most, common instrument
used to collect the primary data. A questionnaire consists of the set of questions
presented to the respondents for their answers. In marketing research carefully chosen
questions and their forms, working and sequence is important.

Sampling Plan
After deciding on the research approach and instruments the marketing researcher
must design a sampling plan.

Target population:
Target population for my research study is from various segments, which are
businessman, housewife, service/job holder & government employee.

Sample size:

23

For research study I have taken 100 respondents of Surat city as a sample size.

24

Benefits of the Study

Study helps to identify various segments from where people want to become a life
insurance agent

Study helps to know the interest of people towards insurance business

Study helps to understand the perception of people towards work of life insurance
agent

Study helps to identify various factor & skills which are important for life
insurance agent to perform his/her role

Study helps to know the reason behind lack of awareness about the job role of life
insurance agent

Study helps to understand the attitude of people about

the Birla Sun Life

Insurance Company

Limitations

The limitation of study is that research is only up to North Gujarat.

Limited numbers of respondents are selected for survey to find out market
potential of life insurance agent

Limited period of study

25

26

1. Would you like to start business?

Answer

Respondent

Yes

37

Percentage
(%)
37

No

63

63

Total

100

100

Interpretation:
Form the graph we can say that 37 % people are interested to start business while
63 % people said that they are not interested in business.

27

2. Would you like to have insurance business?

Answer

Respondent

Yes

16

Percentage
(%)
16

No

84

84

Total

100

100

Interpretation:
From the above graph we can say that 16 % people are interested to have an
insurance business while 84 % people said that they are not interested in
insurance business.
People who are interested in insurance business they all want to do this
business because of extra earning. People who are not interested in insurance
business from those 27 % people said that they do not have time; 23 %
people said that they have not proper knowledge about this insurance
business and remaining 50 % people said that they are not personally
interested in insurance business.

28

3. Do you aware about Birla Sun Life Insurance Company Ltd.?

Answer

Respondent

Yes

66

Percentage
(%)
66

No

34

34

Total

100

100

Interpretation:
Above graph shows that 66 % people are aware about Birla Sun Life Insurance
Company while 34 % people are not aware about Birla Sun Life Insurance
Company.

29

4. If above questions answer is yes then from which sources?

Sources

Respondent

Percentage (%)

Advertisement

51

77

Relatives &
friends
Through agent

12

18

03

05

Total

66

100

Interpretation:
From the above graph we can say that 77 % people are aware about Birla Sun Life
Insurance Company through advertisement, 18 % people are aware about Birla
Sun Life Insurance Company through relatives & friends 5 % people are aware
about Birla Sun Life Insurance Company through agent

30

5. What is your perception about work of insurance agent?

Opinion about work
of insurance agent

Respondent

Percentage (%)

Full time business

26

26

Part time business

61

61

As a job

13

13

Other

Total

100

100

Interpretation:
The above graph shows the opinion of respondents towards the work of insurance
agent. From this we can say that 26 % people believe that insurance agents work
is full time business, 61 % people believe that insurance agents work is part time
business and 13 % people believe that insurance agents work is one kind of job

31

6. Are you interested to work with Birla Sun Life Insurance Company
Ltd.?

Answer

Respondent

Yes

10

Percentage
(%)
10

No

90

90

Total

100

100

Interpretation:
From the above graph we can say that 10 % people are interested to work with
Birla Sun Life Insurance Company while 90 % people said that they are not
interested to work with Birla Sun Life Insurance Company.

32

7. Rank the following factor, which can be important for insurance

agent to perform his/her role. (1 to 4) (1 for High and 4 for Less)

Effective training program

Rank
1
2
3
4
Total

No. Of Persons
20
25
38
17
100

Percentage (%)
20
25
38
17
100

Interpretation:
Above graph shows that 20 % respondents give 1 st rank to effective transiting
program, 25 % people give 2nd rank to effective transiting program, 38 % people
give 3rd rank to effective transiting program while 17 % people give 4th rank to
effective transiting program.

33

Commission/Incentive structure
Rank
1
2
3
4
Total

No. Of Persons
45
35
18
02
100

Percentage (%)
45
35
15
02
100

Interpretation:
Graph shows that 45 % people give 1 st rank to commission/incentive stricture, 35
% people give 2nd rank to commission/incentive stricture, 18 % people give 3rd
rank to commission/incentive stricture while 02 % people give 4th rank to
commission/incentive stricture. So we can say that commission/incentive structure
is important for insurance agent to perform his/her role.

34

Awards & Recognition

Rank
1
2
3
4
Total

No. Of Persons
01
08
21
70
100

Percentage (%)
01
08
21
07
100

Interpretation:
Above graph shows that 01 % people give 1st rank to awards & recognition, 08 %
people give 2nd rank to awards & recognition, 21 % people give 3 rd rank to awards
while recognition70 % people give 4th rank to awards & recognition. So we can
say that awards & recognition is less important for insurance agent to perform
his/her role.

35

Company Image
Rank
1
2
3
4
Total

No. Of Persons
34
32
23
11
100

Percentage (%)
34
32
23
11
100

Interpretation:
Above graph shows that 34 % people give 1st rank to Company image, 32 %
people give 2nd rank to Company image, 23 % people give 3rd rank to Company
image while 11 % people give 4th rank to Company image. So we can say that
company image is equally important to effective training program for insurance
agent to perform his/her role after commission/incentive structure.

36

Hypothesis:
Null Hypothesis:

Commission and Incentive structure factor more affected to

Agents

Alternative Hypothesis: other factors more influence to agents.

Xi = 22.5, 40, 4.5, 33
Here we take our observations respectively effective training program, Commission
and incentive, awards and recognition, company image. In our questionnaire we give
them ranks from 1 to 4. here we take average of first and second rank. Our X = 40.
X = 40
= 25
= 16.039
z = 0.93

When we are taking 99% degree of freedom, we get that our hypothesis is accept.
Thus, here our null hypothesis is accepted.

37

8. What should be the reason behind lack of awareness about the job role
of insurance agent?
Reason

Respondents

Percentage (%)

Lack of personal
interest
Lack of knowledge

46

46

54

54

Total

100

100

Interpretation:
From the above graph we can say that 46 % people believe reason behind lack of
awareness about the job role of insurance agent is lack of personal interest and 54
% people said that not having proper knowledge is the major reason behind lack
of awareness about the job role of insurance agent.

38

9. Rank the following skills which are required for insurance agent. (1 to
5). (1 for High and 5 for Less)

Convincing skill
Rank
1
2
3
4
5
Total

No. Of Persons
27
30
24
09
10
100

Percentage
27
30
24
09
10
100

Interpretation:
Above graph shows that 27 % people give 1 st rank to Convincing skill, 30 %
people give 2nd rank to Convincing skill, 24 % people give 3rd rank to Convincing
skill, 09 % people give 4th rank to Convincing skill and 10 % people give 5 th rank
to Convincing skill. So we can say that convincing skill is important for insurance
agent.

39

Communication skill
Rank
1
2
3
4
5
Total

No. Of Persons
30
28
22
13
07
100

Percentage (%)
30
28
22
13
07
100

Interpretation:
Above graph shows that 30 % people give 1 st rank to communication skill, 28 %
people give 2nd rank to communication skill, 22 % people give 3 rd rank to
communication skill, 13 % people give 4th rank to communication skill while 07
% people give 5th rank to communication skill. So we can say that communication
skill is as important as convincing skill for insurance agent.

40

Relationship skill
Rank
1
2
3
4
5
Total

No. Of Persons
06
09
22
37
26
100

Percentage (%)
06
09
22
37
26
100

Interpretation:
Above graph shows that 06 % people give 1 st rank to relationship skill, 09 %
people give 2nd rank to relationship skill, 22 % people give 3rd rank to relationship
skill, 37 % people give 4th rank to relationship skill while 26 % people give 5th
rank to relationship skill. So we can say that relationship skill is less important for
insurance agent compare to communication skill & convincing skill.

41

Prospecting
Rank
1
2
3
4
5
Total

No. Of Persons
05
08
11
30
46
100

Percentage (%)
05
08
11
30
46
100

Interpretation:
Above graph shows that 05 % people give 1st rank to prospecting, 08 % people
give 2nd rank to prospecting, 11 % people give 3rd rank to prospecting, 30 %
people give 4th rank to prospecting while 46 % people give 5th rank to prospecting.

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Adequate knowledge
Rank
1
2
3
4
5
Total

No. Of Persons
31
28
20
10
11
100

Percentage (%)
31
28
20
10
11
100

Interpretation:
Above graph shows that 31 % people give 1 st rank to adequate knowledge, 28 %
people give 2nd rank to adequate knowledge, 20 % people give 3rd rank to adequate
knowledge, 10 % people give 4th rank to adequate knowledge and 11 % people
give 5th rank to adequate knowledge. So we can say that having adequate
knowledge is as important as convincing skill & communication skill is important
for insurance agent.

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10. Rank the following factor of sales, which can be important for
insurance agent. (1 to 3). (1 for High and 3 for Less)

Believe in Company
Rank
1
2
3
Total

No. Of Persons
50
31
19
100

Percentage (%)
50
31
19
100

Interpretation:
From the above graph we can see that 50 % people give 1st rank to believe in
Company, 31 % people give 2nd rank to believe in Company and 19 % people give
3rd rank to believe in Company. So believe in company is important sales factor
for insurance agent.

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Believe in Products
Rank
1
2
3
Total

No. Of Persons
32
41
27
100

Percentage (%)
32
41
27
100

Interpretation:
From the above graph we can see that 32 % people give 1st rank to believe in
products, 41 % people give 2nd rank to believe in products while 27 % people give
3rd rank to believe in products. So believe in products is also important sales factor
for insurance agent.

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Believe in him/herself
Rank
1
2
3
Total

No. Of Persons
18
28
54
100

Percentage (%)
18
28
54
100

Interpretation:
Above graph shows that 18 % people give 1st rank to believe in him/her self, 28 %
people give 2nd rank to believe in him/hers elf and 54 % people give 3rd rank to
believe in him/her self. So we can say that believe in him/her self is less important
sales factor for insurance agent than other two factors.

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FINDINGS

From the survey 16 % people are interested in insurance business & all these
people wanted to earn more money

66 % people are aware about Birla Sun Life Insurance Company Ltd. & most of
the people are aware through advertisement

61 % people believe that work of insurance agent is part time business, very few
people believe that it is a one kind of job

10 % people are interested to work with Birla Sun Life Insurance Company as an
Agent Advisor

Lack of knowledge & lack of personal interest both are the major reasons behind
the lack of awareness about the job role of insurance agent

Commission/incentive structure of the Company and Company image are

important for insurance agent to perform his/her role

Communication skill, Convincing skill and adequate knowledge are important for
insurance agent. Believe in company & Believe in its products are the most
important sales factor for an insurance agent

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SUGGESTIONS

Birla Sun Life Insurance Company should make people aware about the company
& its various policies by conducting workshops & seminars

Company should make people aware about the benefits & advantages in working
with the company as an agent advisor by comparing other existing insurance
company

Birla Sun Life Insurance Company should spread its marketing shelf in the North
Gujarat region through hoardings or door to door survey

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CONCLUSION
After my survey and analysis on market potential of a life insurance agent, I am able
to conclude that most of the people who are interested in insurance business, want to
earn more money by side business. Most of the people are aware about Birla Sun Life
Insurance Company Ltd. through advertisement. Perception of people about work of
an insurance agent is part time business & people show their interest in working with
Birla Sun Life Insurance Company as an agent advisor. Lack of time, lack of personal
interest & lack of knowledge about insurance business are the major facts that people
are not interested in insurance business.

50

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QUESTIONNAIRE
Name: ____________________________
Phone no.: _________________________
Gender:
( ) Male

( ) Female

Education: ___________________
Occupation: __________________
1. Would you like to start a business?
( ) Yes
( ) No
2. Would you like to have an insurance business?
( ) Yes
( ) No
Why_________________________________
3. Do you aware about Birla Sun Life Insurance Company Ltd.?
( ) Yes
( ) No
4. If above questions answer is yes then from which sources?
( ) Advertisement
( ) Relatives & friends
( ) Through agent
5. What is your perception about work of insurance agent?
( ) Full time business
( ) Part time business
( ) As a job
( ) Other

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6. Are you interested to work with Life Insurance Company Ltd.?

( ) Yes
( ) No
7. Rank the following factor, which can be important for insurance agent to perform
his/her role. (1 to 4) (1 for High and 4 for Less)
( ) Effective training program
( ) Commission/incentive structure
( ) Awards/recognition
( ) Company image
8. What should be the reason behind lack of awareness about the job role of insurance
agent?
( ) Lack of personal interest
( ) Lack of knowledge
9. Rank the following skills, which are required for insurance agent. (1 to 5). (1 for
High and 5 for Less)
( ) Convincing skill
( ) Communication skill
( ) Relationship skill
( ) Prospecting
( ) Adequate knowledge
10. Rank the following factor of sales, which can be important for insurance agent.
(1 to 3). (1 for High and 3 for Less)
( ) Believe in company
( ) Believe in products
( ) Believe in him/herself

53

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BIBLIOGRAPHY
Books:
Business Research Methodology
By - Donald Cooper & Pamela Schindler (eighth edition)

Marketing Management
By - Philip Kotler & Kevin Lane Keller (12th edition)

Websites:

www.birlasunlife.com
www. irdaindia.com