Table Of Contents

Ch. 1 Ch. 2 2.1 2.2 Ch. 3 3.1 3.2 3.3 Ch 4 4.1 4.2 4.3 4.4 4.5 Ch 5 Ch 6 6.1 6.2 6.3 6.4 Ch 7 Ch 8 Ch 9 Ch 10 Ch 11

Executive Summary…………………………… Research Methodology………………………… Primary Objective……………………… Limitations…………………………… Company Profile……………………………….. About ICICI Bank……………………… About Prudential About ICICI Prudential………………….. Industry Profile……………………………… Insurance……………………………….. Privatization of Insurance……………….. Need of Insurance……………………… Swot Analyses…………………………………. Sectional Work Done in the Company………… Products Offered……………………… Work Done at ICICI Prudential……….. Learnings………………………………. Suggestions…………………………… Conclusion…………………………………….. Bibliography……………………………… Case Study…………………………………. Synopsis……………………………………..

1 2 3 4 11 12 13 14 15 16 18 20 22 26 27. 45 47 49 52 55 56 61

Importance of Insurance…………………. 17

Major Players of Life Insurance…………. 21.

Recommendation………………………………… 50.

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Executive Summary
Insurance is a legal contract that protects people from the financial costs that result from Loss of life, loss of health, lawsuits, or property damage. Insurance provides a means for individuals and societies to cope with some of the risks faced in everyday life. People purchase contracts of insurance, called policies, from a variety of insurance organizations.

Insurance has been divided into two segments
1. Life Insurance 2. General Insurance Life insurance is a contract for payment of a sum of money to the person assured on the happening of the event insured against. Usually the contract provides for the payment of an amount on the date of maturity or at specified intervals or at unfortunate death. The contract also provides for the payment of premium periodically to the corporation by the assured. General Insurance includes many areas of insurance like marine, motor, engg. Health, fire etc. the contract provides for the payment of an amount on the happening of some contingency. These types of contracts are annual in nature. ICICI and prudential came together in 1993 to provide mutual fund products in India and today are the largest private sector mutual fund company in India. ICICI prudential was amongst the first private sector insurance companies to begin operations in December 2000 after receiving approval from Insurance Regulatory Development Authority (IRDA). ICICI Prudential’s equity base stands at Rs. 3.75 billion, with ICIC Bank and Prudential plc holding 74% and 26% stake respectively. As of December 31, 2002, the company had issued nearly 230,000 policies with a sum assured of over Rs. 6,500 crore and premium 3

income in excess of Rs. 340 crore. Today the company is the #1 private life insurer in the country. At ICICI prudential customer delight is their guiding principles. Ensuring world class solution by offering customized product with transparent benefits supported by the best technology is their business philosophy benefits supported by the best technology is their business philosophy. According to Mr. Majid Khan unit manager, ICICI PRU. The company has used innovative marketing as well as pricing strategies and their premium chart would be much lower than the other player in the market. Company has launched various products in the market with most competitive premium among all players

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Research Methodology Primary Objectives • • • • • • • • • To study the awareness amongst the earning public on life insurance products. To understand the functioning of an insurance company. Since the curriculum did not permit more time. 6 . it was too short a time to convert the prospective buyers into customers. the study had to be very limited. To know the origin and history of life insurance companies Limitations of the Study • • • It was difficult to get appointment from the person whom I know because of their busy schedule. To study the reasons for buying life insurance products and classify the target buyer in terms of income and age To know the type of life cover most preferred by the public To find out what policies ICICI prudential is providing To find out what are the benefits of each of the policy To find out the working process of an insurance agent To find out how ICICI prudential recruits the agents. it required a dedicated labor in term of both time and effort. Since the study involved a through analysis of the insurance market and relative study of various players offering the similar products and that of similar. Since the project had to be completed within seven weeks.

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asset management and information technology. Mumbai. In the 1990s. The Bank offers a broad spectrum of financial services to individuals and companies including deposit accounts. ICIC Bank’s equity shares are listed in India on stock exchanges at Chennai. Kolkata. commercial banking. having commenced operations in 23 cities and towns in India. 8 . Bangalore. Jaipur. Chandigarh. 1 trillion and a network of about 540 branches and offices and over 1. personal loans. The principal objective was to create a development financial institution for providing medium-term and long-term project financing to Indian businesses.Company Profile About ICICI Bank Industrial Credit Investment Corporation of India (ICICI) was formed in 1995 at the initiative of the World Bank. Meeruit. Chennai. ICICI become the first Indian company and the first bank or financial institution from non-Japan Asia to be listed on the NYSE. In 1999. Kolkata and Vadodara. Hyderabad. Gurgaon. ICICI transformed its business from a development financial institution offering only project finance to a diversified financial services group offering a wide variety of products and services. Mangalore. car loans. Madurai. venture capital. ICICI prudential has one of the largest distribution networks amongst private life insurers in India. life and non life insurance. corporate and trade finance. Kochi. ICICI Bank offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its specialized subsidiaries and affiliates in the areas of investment banking. Lucknow. the Government of India and representatives of Indian industry. mortgagees.000 ATMs. ICICI bank is India’s second largest bank with total assets of about Rs. both directly and through a number of subsidiaries and affiliates like ICICI Bank. Delhi. credit and debit cards and other banking services. the Stock Exchange. These are: Ahemdabad. Indore. Mumbai and the National Stock Exchange of India Limited and its American Depositary Receipts (ADRs) are listed on the New York Stock Exchange (NYSE). Ludhiana. Coimbatore.

The company has the largest number of bancassurance tie-ups. South Indian Bank. pensions. Federal Bank. Nasik. New Delhi. Korea. mutual funds. with ICIC Bank and Prudential plc holding 74% and 26% stake respectively.000 staff and agents across the region. Citibank. India. As of December 31. Pune and Vadodara. as well as some corporate agents. ICICI Prudential’s equity base stands at Rs. In Asia. It has also tied up with organizations like Dhan for distribution of Salaam Zindagi. Japan.75 billion. 2002. banking. Allahabad Bank. Malaysia. ICICI prudential was amongst the first private sector insurance companies to begin operations in December 2000 after receiving approval from Insurance Regulatory Development Authority (IRDA). About ICICI Prudential ICICI and prudential came together in 1993 to provide mutual fund products in India and today are the largest private sector mutual fund company in India. Taiwan. Prudential has brought to market an integrated range of financial services products that now includes life assurance. with some US$276 billion funds under-management and more than 13 million customers worldwide. 6. having agreements with ICICI Bank. the company had issued nearly 230. Indonesia. the Philippines.500 crore and premium 9 . Lord Krishna Bank. investment management and general insurance. a policy for the socially and economically underprivileged sections of society.Nagpur. and Punjab & Maharashtra Co-operative Bank. Since 1923. About Prudential Established in 1848. Bank of India. Thailand and Vietnam. Hong Kong. 3. prudential is UK’s largest life insurance company with a vast network of 22 life and manual fund operations in twelve countries – China.000 policies with a sum assured of over Rs. Noida. Prudential has championed customer centric products and services supported by over 60. prudential is a leading international financial services company in the UK. Singapore.

340 crore. against one lakh policies sold in fiscal 2002. which today accounts for 10 pe cent of incremental sales of the entire industry. and has the highest number amongst private life insurers on the renowned million-dollar round table (MDRT). ICICI prudential life insurance company has mopped up a premium income of Rs. 2004 reflecting a 106 per cent growth over corresponding period last year.7 lacs policies during the year.income in excess of Rs. Average premium is Rs.2 lakh policies sold by ICICI prudential in last quarter of fiscal 2004 were pension and unit-linked plan. 75 crore for the year ended March 31. Today the company is the #1 private life insurer in the country. 18000+ majority of 1. ICICI prudential has recruited and trained over 16.000 insurance agents to interface with and advise customers. ICICI prudential has cornered about 31 percent of the private sector insurance market. Pension products accounts 25 per cent of the sales giving ICICI prudential an overall industry share of 25 percent 10 . It has sold 4. Their latest venture ICICI prudential life plans to take car eof the insurance needs at various stages of life.

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embodying the principle of co-operation existed in the early civilization. for instance. called policies. General Insurance Life insurance is a contract for payment of a sum of money to the person assured on the happening of the event insured against. lawsuits. 12 .Industry Profile Insurance Insurance is a legal contract that protects people from the financial costs that result from Loss of life. Insurance has been divided into two segments 3. People purchase contracts of insurance. loss of profits in industry was insured by the village co-operative in India. Lenders require anyone who finances the purchase of a home or car with borrowed money to insure that property. from a variety of insurance organizations. Insurance provides a means for individuals and societies to cope with some of the risks faced in everyday life. Business partners take out life insurance on each other to make sure that business will succeed even if one of the partners die. Insurance is conceived as a method of sharing of these losses. loss of health. industrialized countries buys insurance. or property damage. Life Insurance 4. The contract also provides for the payment of premium periodically to the corporation by the assured. There is evidence that during the Aryan civilizations. laws in most states require people who own a car to buy insurance before driving it on public roads. Almost everyone living in modern. Usually the contract provides for the payment of an amount on the date of maturity or at specified intervals or at unfortunate death.

Insurance also developed during the 1700s in the North American colonies. In 1705 amicable society started paying assurance on death a tern carried on unto 1757. Andhra. These types of contracts are annual in nature. Early development of insurance was unorganized. Security life Assurance Co Limited In 1896 – Bart Insurance Co. Indian offices began to take due share of the country’s business. It was mainly insuring commercial risks. which was issued for the first time. when some policies where issued on the life of Bruisers in foreign currency. engg. to start charging premium on scientific basis. 13 . known as the code of specific rules governing the practices of early risk sharing activities. motor. Insurance: A background Historians believe that insurance first developed in summer and Babylonia. Industrial Metropolitan and New Asiatic.General Insurance includes many areas of insurance like marine. Babylonian king Samurai developed a code of law. The merchants and traders of these societies transferred and pooled their money to protect themselves and pirates. In 1730 Benjamin Frank contributed for the Insurance of Houses from Loss by fire. others were Jupiter. the contract provides for the payment of an amount on the happening of some contingency. After 2nd world war several new companies were established.Oriental Govt. It continuously progressed and there seemed to be steady rise in the per capita insurance in the country.Bombay Mutual Insurance Limited In 1874. most important being New India Assurance Co. In India the references to insurance history relates to the East India Co. fire etc. In the 18th Century BC. After 1st World War the peace of Industrialization was accelerated in India. Lame. Bombay Life National – Asian were set up during the above period. In 1870. In 1905 – no of insurance company life Hindustan co-op United India. The Swedish movement had already gathered momentum and nationalism in the twenties. In 1762 equitable society was the first co. The insurance inhuman life started in England in 1583AD for term Assurance for 12 months. Health. and 1897 empire of India.

There were 245 different insurance companies then. Employers buy insurance to cover their employees against work related injuries and health problems. including technology used in production against damage and theft. insurance encourages businesses to make economic transactions. But it also serves many other important economic and societal functions.The government started to exercise control with the passing of insurance act 1912 there was a marked increase in the volume of insurance business and other form of Business. LIC act of 1956 was passed by the parliament and received presidential assent on 18th June 1956 and act come into force on 1st July 1956-LIC came into existence on the 1st September 1956. Because of this delay between collections and paying out funds. redistribution can take place anywhere from a few months to many decades. banks can make loans with the assurance that the loan’s collateral is covered against damage. which benefit the economies of countries. More companies were floated. Because it makes business operations safer. enacted the insurance act in 1938 and also the Dep’t of Insurance under the authority of the superintendent of Insurance was established. Insurance also provides the capital that communities need to quickly rebuild and recover economically from natural disasters. With a view to have a closer watch on the matter of investment of funds and expenditure and general management of business govt. Because insurance is available and affordable. Depending on the type of insurance. Businessmen also insure their property. such as floods or earthquakes. This act was further amended in 1950. Before nationalization there were 97 operating centers almost all urban. This increased availability of credit helps people buy homes and cars. Nationalization off the Insurance business in 19 Jan 1956. Insurance companies perform a type of monetary redistribution they collect premium and eventually redistribute that money as payments. Importance of Insurance Insurance benefit society by allowing individuals to share the risks faced by many people. insurance companies invest their 14 . Insurance itself has become a significant economic force in most industrialized countries.

15 . and few months from those investments deport the operations of insurance companies. Cross subsidization is a feature of the Indian Market. The govt. insurance companies can keep rates much lower than would otherwise be possible. Brokers will come into the market for first time and there is bound to be intense competition as a result of this in the multi channels of distribution. Privatization of Insurance The Indian insurance has finally opened up.funds to bring in extra revenues. Indian stands to gain witty the following major advantages: Better products with more reasonable and affordable pricing Quick servicing Increased saving rate Long-term funds for infrastructure development will be available to the country Large inflow of foreign capital It is debated that the insurance business does not produce profit in the first five year. is soon to present the new model for taxing life insurance companies at internationally competitive rates. Insurer will have to institute proper claims management process in order to extract proficiencies. Tariff reductions are likely to reduce further. cross subsidizes the other department. Such investments help businesses and government finance their operations. The first move towards liberalization came with the Amphora Committee Report in 1993 which recommended the privatization of insurance. Infect alliances related to distribution rather than to product or technology will prove most valuable in the long run. Event the fire portfolio which is considered profitable. New entrants would be well advised to look ahead to the stage where brand strength will be a competitive advantage and sketch their alliances accordingly. With these investments earnings.

There is uncertainty in every aspect of life. Uncertainties expose our assets to losses and consequently endless problems. theft.Need of Insurance Since beginning of the world. Life insurance premium collected in a year is only 2% of gross domestic product in India with that of 12% in USA. all the operations can be started again. man has always felt insecurity for his assets and even life. A fire in a factory may burn everything and owner’s only source of earning with investment of huge capital is finished but insurance will come to one’s rescue if insurance is taken. It is an old saying that only death and tax are certain. are some of the common dangers to our assets. which have come up. these policies provide investment opportunities and even pension plans at market interest rate. The latent demand foreseen in Indian market and the success of liberalized market in emergent economies make this a great opportunity. Earthquake. Insurance does not only provide reimbursement at the time of loss but at the time of taking the policy. The efforts of government companies have lacked sincerity. fire. flood. which is a big amount to ensure the solvency of company at all times. Each company requires 100 crores of capital to start their business. are: 16 .e. There is still much to achieve and a big market to explore. the opportunity for insurance companies is huge. Prudential life insurance was first company to tie up with an Indian company i.6. Moreover life insurance besides providing financial assistance to the insured. explosion. riot. as there is large untapped market even after 45 years of nationalization.6% of GDP which is almost negligible. 1. however even the time of death and rate jog tax is not certain. insurer provides suggestive measures to reduce the effect of hazards and losses. Total non-life insurance premium is a mere 0. According to sources. To avail this may international players including the world leaders have set up their business in India in last two years. 30 cores people of India can afford insurance however only 8 cores of them have taken any insurance. Other companies. Opportunities in Insurance In Indian market. etc. On the basis of this it can be sold that there is huge scope for insurance in India. strike. is ICICI and gets a license.

HDFC Standard Life Insurance 4. Max New York Life Insurance 5. Metlife Insurance 12. Om Kotak Mahindra Life Insurance 7. TATA Aig life Insurance 17 . Reliance Life Insurance 8. Ing Vyasa Life Insurance 10. Aviva Life Insurance 14. Sahara Life Insurance 13. Birla Sun Life Insurance 6.MAJOR PLAYERS OF LIFE INSURANCE IN INDIA 1. Allianz Bajaj Life Insurance 9. Life Insurance Corporation of India 2. SBI Life Insurance 11. ICICI prudential Life Insurance 3.

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It provides the company a strong financial stability as well as depicts whom cohesively the company manages itself. which surely gives it a competitive edge over the competitors. The ICICI PRUDENTIAL is a joint venturing of prudential a Uk based insurance company and ICICI Bank. ICICI PRUDENTIAL belongs to the ICICI group which is one of the largest financial institutions in India. The joint venture enjoys the blend of one of the most experienced and trusted companies internationally as well as nationally. 3. ICICI PRUDENTIAL has been rewarded with FAAA rating by CRISIL and AAA rating by FITCH.SWOT ANALYSIS Strengths 1. ICICI PRUDENTIAL offers the most flexible and innovative unique products such as kcmp etc. In the 2003 rankings of the World's 500 largest corporations by Fortune magazine. ICICI PRUDENTIAL has one of the lowest Non Performing Assets (NPA’s) in the industry. which is . Prudential was established more than 150 years ago and the company is listed on the London Stock Exchange with a market capitalization of approximately $6 billion and is a member of the elite FTSE 100 index. ever since its inception in 1986 the ICICI group has created numerous success stories in whatever business they landed. 5. 2. The company spends less on marketing so it actually has more finances available to sustain the growth of the company and provide better returns to the customers. 6. this depicts the actual performance of the organization in terms of its efficiency.16%. 4. It gives ICICI PRUDENTIAL an advantage to enjoy the already existing goodwill of ICICI group. Old Mutual climbed 87 places to position number 366 and was also listed as the 14th largest insurance company in the world. 19 .

2.7. The ICICI being such a big name has an opportunity to grow its insurance business using the goodwill of the group companies and they can even target the customers of each company of their group to get insurance through them by offering special incentives or schemes . there is an opportunity to make a mark and be the first among the private insurers and capture the rural market. Opportunities 1. as the brand name is yet not famous in the rural India. 20 . Weakness The company doesn’t spend much on marketing and it actually may be a reason for not being a market leader among the private players. I is at par with all other private companies and the its an equal competition for all. The company has a conservative approach and they believe in steady and very safe progress. 1. So. The only company which has some presence in rural market is LIC. The whole rural market is a kind of niche segment for insurance business. etc. The distribution channel is amazing with a wide reach as the company has offices all over India in more than 60 cities. which actually results them to be in a position where they are behind some of the more aggressive market players like ICICI 3.such as providing medical insurances along with saving accounts in their banks. In India the rural market and middle class society still don’t have faith in private insurers and their genuinity. 2. The company has yet to make any significant presence in the rural sector.

5. specially in unit link schemes. The rural India and middle class India still don’t have faith in private insurers. so to maintain a competitive edge with these companies in terms of acquiring market shares would be a tough task. 2. 4. Threats 1. ICICI has its own bank spread all over the nation. The Indian mass is getting more aware about the importance of the insurance so they are relatively more receptive to insurance schemes. 21 . this can be used to make cross selling possible. The good showing at the stock markets and growing Indian economy enables the ICICI PRUDENTIAL to give better returns to customers. therefore it gives a chance to ICICI PRUDENTIAL. these days 55% insurance in Europe is sold through banks. The ICICI PRUDENTIAL is competing with private companies which are spending huge amounts on marketing.3. The world trends in distribution channel for selling insurance are changing.

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ICICI PRU offers you a choice of 3 level term products with insurance protection: • • • Life Guard Level Term Assurance Life Guard Level Term Assurance with Return of Premium Life Guard Single premium 23 . the uncertainties of life often worry you. Majid Khan unit manager. According to Mr. Company has launched various products in the market with most competitive premium among all players. The company has used innovative marketing as well as pricing strategies and their premium chart would be much lower than the other player in the market. However. no matter what the uncertainty.Sectional Work Done in the Company Products offered by the company At ICICI prudential customer delight is their guiding principles. Ensuring world class solution by offering customized product with transparent benefits supported by the best technology is their business philosophy benefits supported by the best technology is their business philosophy. It ensures that your loved ones are adequately provided for and that their future is secure. Life insurance can help ease many of those worries. ICICI PRU. Unfortunate events can make you are no longer around. PROJECTION PLAN These are very good plan for those who want protection (especially) for their family because happiness and security for our family is all that we want.

How these plans work Life Guard Level Term Assurance • • What is Life Guard level term assurance policy? This plan provides financial protection to your family in case of the unfortunate event of death. Age 30 years 35 years 40 years • • • Term of the policy 5 years 10 years 2455 2504 2876 2925 3386 3601 15 years 2553 3072 4287 20 years 2680 3582 5110 What tax benefits are available for this plan? The plan offers tax benefits u/s 88. which is subject to a maximum of 65 years of age. There are no maturity benefits. • • What benefit does this plan offer you? In case of death of the life assured during their term. • • How much you have to pay for this plan? The following table gives you indicative premiums for various age term combinations for a sum assured of Rs. the policy will terminate without any returns. The minimum premium for the product is Rs. Hence. What additional feature does this plan offer you? You can avail of the Accident and Disability Benefit under this plan. The minimum term is 5 years and the maximum term is 25 years. 2400 per annum. What are your entry conditions for Life Guard Level Term Assurance? Your age at entry should be between 18 years and 50 years. 24 . the sum assured under the plan will be paid to the beneficiary. How does the Life Guard Level Term Assurance policy work? You will have to pay a regular annual premium for the term chosen and will be provided the insurance cover on your life equal to the sum assured. on survival till maturity. 10 Lakhs.

On survival till maturity.Life Guard Level Term Assurance with Return of Premium • How does the Life Guard Level Term Assurance with return of premium policy work? You will have to pay a regular premium for the term chosen and will be provided the Insurance cover on your life equal to the sum assured. The minimum term is 5 years and the maximum term is 25 years. all the premiums paid. • What benefit does this plan offer you? In case of death of the life assured during the term. 2400 per annum. will be returned without interest. • What tax benefits are available for this plan? The plan offers tax benefits u/s 88. which is subject to a maximum of 65 years of age. • The minimum premium for the product is Rs. the sum assured under the plan will be paid to the beneficiary. • What additional feature does this plan offer you? You can avail of the accident and disability benefit under this plan. 25 . • What are your entry conditions for Life Guard Level Term Assurance with Return of premium? Your age at entry should be between 18 years and 50 years.

How does the Life Guard Single Premium policy work? You have to make a one-time premium payment. There are no maturity benefits at the end of the term. a policy could provide you with an income every three or four years. the sum assured under the plan will be paid to beneficiary. • What benefit does this plan offer you? In case of the death of the life assured during the term. A policy can be designed to make your savings grow and have them available to you at the end of a fixed number of years. Saving Plans Most endowment policies are a good way of saving for the future. depending upon the term and the sum assured chose by you. Or. • • What tax benefits are available for this plan? The plan offers tax benefits u/s 88. What are your entry conditions for Life Guard Single Premium? Your age at entry should be between 18 years and 50 years. The minimum sum assured for the product is Rs. which is subject to a maximum of 65 years of age. 2 lakhs.Life Guard Single Premium • • What is Life Guard Single Premium policy? This is a single premium variant of the Level Term Assurance Plan. ICICI provides you three savings plans with insurance protection:Save ‘n’ Protect Smart Kid Cashbak 26 . The minimum term is 5 year and the maximum term is 15 years.

000/- 27 . with ever increasing competition. half yearly and yearly. Thus. the strength to face challenges. there will be no financial obstacle in realizing the dream which the parent or child had. • In the event of death of the Life assured Sum assured of the plan is paid immediately – assists the family in meeting the unforeseen expenses incurred because of the unfortunate loss.000/. 100. it is very important to plan for your child’s future. thereby ensuring that your family is not burdened financially. As parents. Smartkid is so designed that it provides money at all the critical milestones in his/her life. 3. It is a plan that provides guaranteed benefits to your child along with the life insurance cover.How these plans work • • What is Smart Kid? A plan which gives child the freedom to pursue their dreams. • Who can purchase this policy? Parents (between 20-60 years) with children in the age group of 0-12 years can purchase this policy • What should you buy smart kid? Because smartkid ensures that you have total peace of mind as far as your child’s future is concerned. the guarantee to live life to its fullest whatever be the uncertainty. 8. • • What are the options for premium payment? Mode of payment:: Monthly. your biggest concern is that of securing the future of your child.000. What are the limits of Smart Kid? Minimum premium: Rs.to Rs. escalating cost of education and uncertain financial markets.per year a) Sum Assured: From Rs.000/. • Waiver of premium – no future premia are payable. whatever be the uncertainties. In today’s world.

The maximum cover ceasing age is 70 years. Interest is charged on the amount of loan availed. On the death of the life assured. In addition. to meet your requirements.000.000/c) Maximum limit under Accident & Disability Benefit Rider: Rs. you can avail of a loan under the policy. 1.000 and the minimum term is 10 years. It is a fixed term plan in which you pay premium regularly during the term. • Can I take a loan against my policy? Yes. 28 . in the beneficiary will get the sum assured. • What exactly does the Save ‘n’ protect do? It is a fixed term policy that combines savings with life cover. This will be dependent on the surrender value your policy acquires. your daughter’s weeding. Once the policy matures. • Who can apply? You can apply if you are in the age group of 0 to 60 years. The minimum sum assured you should apply for is Rs. The minimum premium is Rs. the guaranteed additions and the vested bonuses.e.000.000/• What tax benefits will you get? The premium that you will be paying will be tax exempt under section 88. You will not have to pay any premium for the same. 50. Save ‘n’ Protect Being the head of the family requires that you bear quite a few responsibilities. at the end of the term. i. 4.a.b) Maximum limit under Income Benefit Rider: Rs. This is an ideal plan for those who want to accumulate funds on a regular basis while enjoying insurance protection.8000 p. you will get an extended term insurance cover for five years after the maturity date of the policy for 50% of the sum assured. your own cozy nest and realize all your other dreams. Some of these include: being able to fund your child’s higher education. 1. you can get the full sum assured and guaranteed additions as well as the vested bonuses.

Cash Bak As an individual you have to be financially prepared for various milestones in your life. However. If you are newly married. you need to plan for a baby a few years from now. • What exactly does the CashBak do? Sit is a three in one plan that combines savings. What you need is a plan to meet your periodic financial. the insurance protection provided under this policy will also cease. requirement with the added benefit of insurance protection. • What are the add-on-cover? Accident & Disability Benefit Critical Illness Benefit Major Surgical Assistance • What tax benefits will you get? The premium that you will be paying will be tax exempt under section 88. A guaranteed surrender value is payable to you. If you have teenage children you need to plan for their university education.• Can I discontinue my policy? Your policy acquires a paid up value after premiums are paid for three years. if you decide to terminate the policy after 3 years premiums are paid. liquidity and protection through the following: Fixed term of 15 or 20 years Survival benefit payments at regular intervals Premiums are payable throughout the term of the policy 29 .

• What are the add-on cover? Accident & Disability Benefit Critical Illness Benefit Major Surgical Assistance Retirement Plans When a person grows old both the physical capacity as well as the financial capacity of that person become weak and at some time inefficient and as a result what ever the standard of living that the person maintained in his young get deteriorated with span of time.000. However. The minimum sum assured you should apply for Rs. 4.On the death of the life assured.a. you can discontinue your policy after premiums are paid for three years. if you decide to terminate the policy after 3 years premiums are paid. 75. The minimum premium amount is Rs. A guaranteed surrender value is payable to you. the beneficiary will get the sum assured. the guaranteed additions and the vested bonuses. It is not in the power anybody to returned the physical strength back to the person but with some retirement plans i. • Can I discontinue my policy? Yes. pension plans the financial strength can be 30 .e. the insurance protection provided under this policy will also cease. • Can I take a loan against my policy? No loans are available under this policy.800 p. • Who can apply? You can apply if you are 16 years old and no older than 55 years.

Premiums are paid in the deferment period till the time of vesting. So. with respect to one’s retirement planning. The amount you receive depends on the premium you pay till the stipulated date and the annuity option you choose. The plan has two phases – The Deferment Period (Policy Term) and the Annuity Period. This is a plan that ensures you to maintain your lifestyle for a lifetime. which is the total of the sum assured under the policy guaranteed additions (@3. which the deferment period. It also offers life cover during the deferment phase. Ideally. These plans take care of the inflation as well future requirement of a person at his old age. From the vesting date annuity is paid for the lifetime of the annuitant. This plan has two main benefits they are 31 .5% compounded for the first 4 years of the policy) + vested bonuses (depending on the company’s performance and are not guaranteed) this value is applied to purchase annuity at the time of vesting. At present ICICI Prudential offers four types of retirement plans for the public. It is a deferred annuity plan and it provides regular incomes for life after a stipulated date. this plan is suitable for those peoples who are between 30-35 years of age to take the maximum benefit of this plan.regained by the person in order to maintain his present standard of living. This gives a person a longer period for your retirement plan. Forever Life It is a comprehensive retirement solution that is developed keeping in mind a persons’ various capabilities and needs. This plans gives a safety and security o those people who aged and not involving in any of financial activities and complete depends on any monetary to sustain their living. The policy attains a value at the end of deferment period. whether you are 30 or 60 this is a just the right retirement plan for a person. The premium depend upon the age of the person and also the term of the product.

32 . How this plan can give the customer the tax benefit? Tax benefit u/s 80CCC the amount you invest is fully deducted from income subject to the lumpsum amount of Rs. This amount would depend upon the annuity option chosen by you and the accumulated value as on the vesting date. At vesting. guaranteed additions and vested bonuses (if any) as lump-sum. Annuity Options: You have the flexibility to choose from four different annuity options.1.Spouse Benefits In case of the unfortunate event of death. The annuity payable is determined on the basis of your sum assured plus guaranteed additions plus the vested bonuses if any at the time of the death.000 Is this plan is flexible? If yes then in what way? Yes this plan is quite flexible and it is in the following way:Choice of Retirement Date: You have the flexibility to postpone the vesting from the originally chosen vesting date up to a maximum of 70 year of your age. Open market option: This option gives you the flexibility to buy a pension from any other insurer of your choice. During the postponed period your accumulated amount will earn interest as determined by the company from time to time. So you have three freedom to take the best from the market. The annuity would also depend upon the annuity rates offered by the company as on that date and are not guaranteed. There will be no life cover or premium paid during this period. you will have the option of taking up to 25% of the aggregate of the sum assured. at the time of vesting. The remaining will be used to provide with a regular stream of income for life. you start receiving a regular income for life. Annuity Benefit On the date of vesting (retirement). Your spouse would have the option to either take the accumulated value of the Sum Assured + Guaranteed Additions + Vested Bonuses (if any) or opt for an annuity using a desired portion of the accumulated value and take the rest as lump sum. 00. the annuity starts for the spouse.

This amount would depend upon the annuity option chosen by you and the value of units as on the vesting date. you start receiving a regular income for life. It provides regular income for your life from a date. Annuity benefit on the date of vesting (retirement). The annuity would also depend upon the annuity rates offered by the company as on that date and are not guaranteed. total control that gives a person the power to plan for your own retirement. It is a pension plan that provides the benefit to you to invest your money in market linked funds. 33 . Some benefits that are offered by this plan to the customer are as follows: Death benefit: you have the flexibility of choosing a zero death benefit or a death benefit of 105% of the premium. Your spouse would have the option to either take the higher of the death benefit or the value of units or opt for an annuity. Life annuity guaranteed for 5. In case of the unfortunate event of death. During the deferment period when. 10. Entry into the plan will be based on the Unit Value applicable on the date of issuance.What additional benefit can be draw from this plan? Critical Illness Benefit Major Surgical Benefit Accident and Disability Benefit Life Link Pension This plan is a complete retirement solution with total flexibility. which can b chosen by you.Life Annuity : Annuity for Life Life annuity with return of purchase price: Life annuity for the annuitant with the return of the purchase price to the beneficiary. a part of the premium is used to pay for the initial charges and the rest would be invested in the plan of your choice. the spouse would get the higher of the death benefit (105% or 0% of the premium paid) chosen by you or the value of your units as on that date. 15 years: Guaranteed annuity is paid for the chosen term (5/10/15) and after that the annuity continues if at that time annuitant is alive. the market value of your investment and the option of the annuity chosen. The amount you receive would depend upon the premiums you pay.

Switch between funds: During the deferment period you can switch between the various plan options to take advantage of the prevailing market conditions or with the change in your priorities. The remaining will be used to provide with a regular stream of income for life. Balancer (balanced) Plan: This plan offers you the flexibility of growth and steady returns with the portfolio being invested in a mix of equity and fixed income securities. A choice that lets you make the best of the market conditions by timing the start of your pension. Life Annuity with return or purchase price: Life annuity for the annuitant with the return of the purchase price to the beneficiary. you will have the option of taking up to 25% of the value of units at the time of vesting as lump sum.000).At vesting. Top-up of investments: During the deferment period you have the option of increasing your investment with top-ups (minimum amount of Rs. Income plan or balanced plan. Maximiser (growth) plan: This plan offers you the benefit of long term capital appreciation from a portfolio that is primarily invested in equity and equity linked securities. You can do one free switch every year. 10. 34 . Protector (Income) plan: This plan offers you steady returns with a portfolio that primarily invested in debt and debt related securities. • • Life Annuity: Annuity for Life. Whether this plan is flexible or not? If yes then what else can a customer draw from this plan apart from the above benefits? Choice of retirement date: you have the flexibility to start your pension whenever you want after a stipulated age. Annuity Options: You have the flexibility to choose from four different annuity options. CHOICE OF PLANS: You have the option to choose between our Growth plan.

Choice of Retirement Date: You have the flexibility to postpone your vesting age upto a maximum of 70 years of age. You have the flexibility of choosing the vesting age between 50 and 70 years of age. 15 years: Guaranteed Annuity is paid for the chosen term (5/10/15) and after that the annuity continues if at that time annuitant is Joint Life. What are your entry conditions? You can apply for this plan if you are between 18 and 62 years of age. After the death of the last survivor the purchase price is returned back to the beneficiary.000. after the death of the annuitant the spouse starts getting a pension which is equal in amount of the annuity paid to the annuitant. Last Survivor with Return of Purchase Price: In this case the annuity is first paid to the annuitant.00. What tax benefits are available with Life Link Pension? Tax benefit u/s 80 C the amount of investment or the amount of premium you pay is fully deducted from your income subject to Rs. Retirement Plans Joint Life. last survivor with Return of purchase price: In this case the annuity is first paid to the annuitant. • Life annuity guaranteed for 5. 25.• alive. • Choice of retirement date: You have the flexibility to postpone your vesting age upto a maximum of 70 years of age. So you have the freedom to take the best from the market.000 How much you have to pay? The minimum premium in this plan is Rs. Minimum term of the product is 3 years. after the death of the annuitant the spouse starts getting a pension which is equal in amount of the annuity paid to the annuitant. 35 .1. at the time of vesting. 10. After the dearth of the last survivor the purchase price is returned back to the beneficiary. Open market option: This option gives you the flexibility to buy a pension from any other insurer of your choice.

Minimum term of the product is 3 years. You have the flexibility of choosing the vesting age between 50 and 70 years of age. 25.000. the Sum assured under this policy shall be paid together with guaranteed additions and vestdonu. No bonuses are paid on the riders. You can opt for riders when taking the basic policy at a marginally incremental cost. Life Time and Life Time pension. 9 medical conditions are covered by this benefit. What tax benefits are available with Life Link Pension? Tax benefit u/s 80CCC(1): Upto Rs. If the life Assured is diagnosed to be suffering from a specified Critical Illness after six months from the date of policy. What are your entry conditions? You can apply for this plan if you are between 18 and 62 years of age.Open Market Option: This option gives you the flexibility to buy a pension from any other insurer of your choice. How much you have to pay? The minimum premium in this plan is Rs. Conditions When the policy is in force for the full sum assured Any time before the expiry of the policy Before the age of 65 (which ever is earlier) 36 . Riders Riders are the additional benefit that you can add on to your policy. Cash Bak. So you have the freedom to take the best from the market.000 deducted from your taxable income. This rider is available with Save’n’ Protect. 10. Forever Life (Regular Premium Deferred Pension). Critical Illness Benefit Rider A rider added to a life insurance policy to protect the insured in the event of a critical illness. at the time of vesting. This ensures living benefits payable to the insured for medical expenses prior to death.

Premium The premium for this benefit is guaranteed for five years only from the date of commencement of policy. The company reserves the right to carry out a general review of the experience from time to time and change the premium as a result of such review. 37 .00. The maximum aggregate of critical Illness Benefit granted by the Company under all the policies of the Life Assured shall not exceed Rs. Self inflicted injury Drug abuse Failure to follow medical advice War. In such a case the benefit will be appropriately reduced from the effective date of the change in premium and the company will advise the Life Assured accordingly 80D. allocated to the policy. This rider is available with Save’n protect.000. nor shall it apply or be payable in respect of any of those said illnesses the symptoms of which have occurred or which has been diagnosed or for which the insured person received treatment. during the first 6 months from the date of policy. The company will give notice in writing about the change and the Life Assured will have the option not to pay any increased premium. whether declared or not and civil commotion Pregnancy Breach of law Aviation other than as a fare paying passenger in a commercial licensed aircraft (being a multi engine aircraft) Hazardous sports/pastimes The benefit shall not be payable in respect of any illness other than those denied as Critical Illness. 10.On the payment of the Sum Assured together with the bonuses and guaranteed additions if any. the policy terminates Exclusions The critical illness shall not have been caused by the existence of Acquired Immune Deficiency Syndrome or the presence of any Human Immune deficiency Virus Infection in the person of the Life Assured.

However the total benefit payable in case of all the procedures is restricted to a maximum of 50% of the sum assured.000. Benefits Under this the life assured is paid 50% of sum assured in respect of major procedures 30% of sum assured in respect of intermediate procedures 20% of sum assured in respect of minor procedures this benefit is payable on more than one occasion when the life assured undergoes surgery. The maximum sum assured under Major Surgical Assistance Benefit granted by the Company under all the policies of the Life Assured shall not exceed Rs. 10.00. Forever Life (Regular Premium Deferred Pension). Life Time and Life Time pension. results directly or indirectly from a condition for which the insured person has previously received treatment. in the opinion of our Chief Medical officer.Cash Bak. at the commencement of the policy or within the first 6 months from the date of policy. or which had previously been diagnosed. or which he was aware of. Conditions The benefit would be available only for medically necessary surgical procedures performed at a hospital as in pateint When the policy is in force for the full sum Assured Anytime before the expiry of the policy or before the age of 65 (whichever is earlier) Exclusions The company shall not be liable to pay any sum under or in terms of this benefit in the event of: Preexisting injuries or illnesses. HIV/AIDS 38 . No benefit will be payable in respect of a claim which. treatment that is not taken from recognized hospitals or doctors.

mountaineering. underwater diving. i.e. taking part in (or practicing for) boxing. This is inclusive of all the policies you may have taken with us. (being a multi – engine aircraft) By engaging in hazardous sports/pastimes. The maximum cover under this benefit is Rs. climbing. pot holing. 39 .00. Disability Benefit This benefit is payable in case of disability that occurs as a result of an accident. caving. drug abuse Injuries from natural disasters War and civil commotion Criminal acts Taking part in flying activity other than as a passenger in a commercially licensed aircraft. The death must occur: When the policy is in force for the full sum assured Any time before the expiry of the policy Before the age of 65 (whichever is earlier) Benefits If you are covered under this benefit and if death occurs as the result of an accident during the term of the policy. off piste skiing.Congenital or hereditary diseases or physical defects Attempted suicide Attempted suicide Self inflicted injury. The disability must occur. yacet racing or any race. trial or timed motor sport.000. horse racing. power boat racing. your beneficiary will be entitled to twice the accident cover under the rider. while you are travelling as a fare paying passenger on an authorized public mass transport namely bus or train. Accident Benefit This benefit is payable in case of death that occurs as a result of an accident. your beneficiary shall receive an additional amount equal to the accident cover under the rider. 10. If the accidental death occurs during the term of the policy.

or • By engaging in aerial flights (including parachuting and skydiving other than as a fare paying passenger on a licensed passenger carrying commercial aircraft (being a multi engine aircraft) operating on a regular scheduled route. mountaineering. martial arts. climbing. or whilst the Life Assured is under the influence of any narcotic substance or drug or intoxicating liquor. trail of timed motor sport. • • If there are any other benefits payable under this rider then all such benefits shall cease to be available on and after the disability date The dearth due to accident should not be caused By attempted suicide or self inflicted injuries while sane or insane.e. or By engaging in hazardous sports/pastimes.When the policy is in force for the full Sum Assured Any time before the expiry of the policy Before the age of 65 (whichever is earlier) Benefits • • If the Life Assured is totally and permanently disabled as a result of an accident the following additional benefit paid: 10% of the Sum Assured every year for 10 years commencing from the first anniversary of the disability date. taking part in (or practicing for) boxing. off piste skiing. 40 . Premiums under this rider falling due on or after the disability date shall be waived. power boat racing. whether declared or not or civil commotion. i. underwater diving. or • • • By the Life assured committing any breach of law. caving. pot holing. horse racing. yact racing or any race. jet skiing. or Due to war.

about the new private life insurance companies and also about the products of ICICI prudential available in the market. Whenever I used my contracts & met the persons for policy selling purpose what I found that most of the people do not have faith on private players. people often say that I have my LIC instead of saying that I have my life insurance policy. and to this perception. a)Marketing or getting people’s perception at the time of selling policies. At ICICI prudential. a)But with good products & value added services. But out of these seven leads I alone 41 . In the whole period of my corporate training I met with so many people and gave seven leads to the company because of the time constraint. b)Whenever I met a person and talked about ICICI prudential the person told me that he already has a life insurance policy from LIC. they have doubts on the credibility and long stay of private insurance companies. I am dividing my learning experience into two parts relating to each of the above-mentioned parts. In almost 100% cases I found such answers. after serving 47 years in the country with no competition LIC has created an atmosphere when people think that life insurance means LIC. The reason being availability of funds after every five year which can be used for further premium.WORK DONE AT ICICI PRUENTIAL LIFE INSURANCE COMPANY ICICI is a company known for its professionalism and survive that gives value to the customer. Inside story of the company & are above expectations. It’s a very tough job to break the monopoly as well as the goodwill of LIC in the market. a)At the time of selling the policy what I found that the most preferred plan is money back. my training was related to marketing of the product of ICICI prudential and also making agents for the company. ICICI prudential emerges as a leader in the private sector.

As data was not provided by the company so my first target source was my friend circle for the agent purpose. This type of activities demoralize people from becoming the agent of a life insurance company. c)They thought that instead of spending their time on ICICI prudential they should go for LIC.convert one lead into a full flesh policy within training period and rest of the leads were in the pipelines. it’s not a prestigious job as they belong to good families (in terms of money). 1. and has a good market goodwill with ethics. b)According to them LIC has a strong monopoly in the insurance market and nobody is going to break it.Practical experience at the time of making an agent:To convince a person to become an agent off any life insurance company is a very tough job. d)Since they are not ready to become an insurance agent but when I explained about the ICICI bank and about the prudential that is the number one insurance company in U. and the company’s agents were working on these leads. by paying the first premium of client from their own pocket. Out of nine leads of mine I made two agents over there. so it is a time wastage to become an insurance agent for ICICI prudential. and rest of people declined due to reasons which are as follows: a)According to them. which is more beneficial. because after opening up of the insurance sector the agent force of LIC has created a mess in the market. 42 . two of them get agreed with me for becoming the agent of ICICI prudential.K.

Because of less advertising not many people are aware about private life insurance companies. They are not interested in buying more life insurance. Some people have their doubts on the credibility and long stay of private insurance companies. • • • Some people have no idea about what type of cover they have. • • • • • • Most of the people are satisfied with the extent of their life insurance cover. Most of the people feel that life insurance is essential but they think returns are low. Maximum people do not have faith on private life insurance companies. 43 . People do not consider life insurance as a good savings because of low returns. Most of the people do not know about broker. they still prefer LIC. thus saving the regular income. corporate agents and banc assurance.Learnings Based on the work done in the company major findings of the study have been highlighted below…. The reason being availability of funds after every five years. they rely on their agents only The most preferred type of plan is money back. As life insurance is a long-term contract. which can be used for paying further premium.

New entrants should come out with innovative riders. 44 .Suggestions • • • • • • • Advertising of the insurance product should stress on the need of security. Insurance agents should be well trained. Newspaper/Magazines and television are the most effective medium of advertising life insurance. Policies should be issued quickly and with less formalities Other service should also be improved. Insurance should be popularized as the means of securing future rather than saving tax.

Recommendations 45 .

The penetration of insurance in India is around 22%. The need of the hour is to devise a comprehensive strategy that will help the firms face the challenges of the future.There is some of the recommendation we had come up with while doing this project. It will help to make insurance more important sector in today’s economy. So. It is very important that trained marketing professionals who are able to communicate specific features of the policy should sell the policy. There are areas for new product development: Industry all risk policies. which are not available in India. Therefore ICICI are recommended to shed light on policies and explain the benefits. Enhanced marketing thus will be crucial. should. Large projects risk cover. Extended public and product liability cover 6. these must be looked at. This indicates that a vast majority of rural population is not covered. Some insurance products. The market player needs to explore this untapped potential through their marketing and sales network. From our study we could find out that people are not aware about the policies and features of insurance. as being too high while general insurance (especially motor insurance) is priced too low. 46 . The financial services industry around the world over is undergoing a major transformation. These will provide services such as motor vehicle recovery. 4. Life Insurance premium is generally perceived. Already many companies have full operation capabilities over a 12-hour period. The returns of the policies are not properly managed and never given in time. be introduced in market. Pricing of insurance products. Technology will also play an important role on the market. 2. shows that pricing is not in consonance with market realities. 5. Facilities such as customer service center are already into 24-hour mode. as empirically available in India. Insurance companies will also had to get savvy in distribution. 3. thus increasing the awareness. Risk beyond a floor level. 1.

The lines of distinction between banks insurance companies and brokerages are getting blurred. The future seems to belong to financial supermarkets that will offer a host of services and products to the consumer. In the next millennium all these activities would play a crucial role in the overall development and maturity of the insurance industry 47 .

48 .

growth fluctuations have been relatively small with growth rates varying between 1% and 5%.Conclusions There has been tremendous change in the insurance history. The opening up of the insurance sector has changed the whole look of the industry. although the actual rates ranged from 0% to 13%. as has been seen from the example of several other developing countries. 49 . opening up of the insurance sector is an integral part of the liberalization process being pursued by many developing countries Insurance is a Rs. Though a large proportion of policies available in the country provide for returns.400 billion business in India and yet its spread in the country is relatively thin. but nobody is looking for returns to the inflation rate. rather we invest in it for regrettable necessities. perhaps peace of mind. From our study also we conclude that though the awareness and people opting for LIC plans are more as compare to ICICI Pru but the later are gaining momentum in the market day by day. due to poor claim performance The demand for insurance is likely to increase with rising per-capita incomes. but even that takes time. Insurance as a concept has not been able to make headway in India. So what does insurance offer. And with it there has been continuous growth in this sector both in Indian as well as world context. In fact. Life insurance business by contrast achieved average growth rates of 6%. The primary reasons for buying an insurance policy. New players like ICICI Pru are leading the sector due to their strategic management and tailored made projects. Furthermore. While the LIC in order to face the competition is coming with new strategies. rising literacy rates and increase of the service sector. whether life or non-life is to protect us from vagaries of life. There has been a strong fall in insurance business in recent years. This shows on the one hand the increasing significance of life insurance as an instrument for old age provisions and on the other hand indicates the sensitivity of life insurance to changes in the institutional and economic environment. it can be observed that non-life business is not increasing as strongly as life business. We do not invest in insurance for returns. On the other hand.

thereby making insurance widely popular. 50 .So lets conduct this business with utmost economy with the spirit of trusteeship.

theconomictimes.com 51 .insurancemagic.com www. Internet sites • • • • • • www.com www.indianexpress.com www.icicibank.com www.iciciprulife.Bibliography • ICICI prudential Life Insurance company.com www.bimaguru.

The word ‘retirement’ itself brought to mind all the negatives associated with old age – loss of independence (social. Barriers The task of capturing the unexploited market however. The bigger issue however. the need for planning one’s retirement was emerging as an important one. had failed to truly drive growth of the retirement products category. The following case study discusses how ICICI Prudential used smart marketing strategy to exploit this opportunity to its advantage. Of this. causing ‘avoidance’ or deferment of decisions regarding the same. a sizeable portion belonged to the age group of 30-40 yrs . which has been in the country for decades. The first barrier was low awareness of the need for early retirement planning among consumers. Opportunities About 90 per cent of the working population in India was without retirement cover. Even the market leader LIC. the retirement solutions category remained virtually untapped by the Indian Insurance players . Add to it the consumer’s notion that planning for retirement starts only in your 50s. turned out to be an uphill one. This was mainly due to low awareness of and attitudinal barriers with respect to these issues among consumers. was the consumer’s perceptions and fears as far as retirement was concerned.16 per cent contribution of pension products to its entire portfolio (as of end 2002). it was quite surprising to know only 11 per cent of India’s total working population was adequately covered for post-retirement life. financial and physical).until ICICI Prudential decided to build and explore this hidden goldmine. Proof being the mere 4.In spite of the vast potential. However. MarketScenario With increasing life expectancy on one hand and rising inflation and medical costs on the other. 52 . ICICI Prudential.a big market left unexploited so far.

Currently thinks that retirement planning holds very low importance. B. ensuring that you will continue to live life the way you always wanted to. why should it stop him later? Proposition ICICI Prudential Retirement solutions help you plan early for retirement. with a higher disposable income and majority of work life still at hand. 30-40 year old.The advertising message “Retire from work – not life!” 53 . who: is at the prime of his working life. for whom retirement is synonymous with growing old. To change behavior. inducing consumers to invest in retirement planning early in life. CREATIVESTRATEGY Consumer Insight “Retirement is a long way off – why plan for it now?”“Retirement means the end of all good things in life”Creative strategy To a younger target group.Contribution of pensions to portfolio: 20 per cent TARGET AUDIENCE SEC A. as compared to other needs of asset acquisition. chief wage earner. child’s education etc. Share of total pensions market: 10 per cent 3.The Challenge To re-position the traditional concept of retirement planning and thus create relevance for it among the 30-40 yrs age group. CAMPAIGN OBJECTIVES Bring the concept of planning for retirement into the consideration set of 30-40 year old working men/ women thereby creating a new market 50 per cent of pensions contributions to come from persons below 40 years Sales and market share targets within six months post campaign (for the period Sep 2002 to Mar 2003): 1. Sales target: INR 400 million 2. the strategy was to offer a fresh perspective by mirroring the never say die attitude of the 35 yr old. If age doesn’t stop him from sharing in the joys of life now.

2. The mode of distribution was an innovation in Brand Equity (The Economic Times). Money control and Myiris are few of the databases that were used. high frequency plan was implemented. Vehicles were chosen based on the best cost per response i.e. The activity started with 40-second commercials and then moved to 20 and 30 seconds edits aimed at increasing frequency. Direct Marketing Campaign: More than 15 databases were carefully chosen to accurately target the 30-40 yr old. 1. followed up with three months of sustained activity. So a multi media strategy was developed to contact thetarget at every possible touch point. For the first month of launch a high reach.TV: This was the main for reach. full-page educative advertorials were released in three metros inviting consumers for a free seminar on early retirement planning. 2. 54 . Retirement Planner: An educative booklet in the form of a planner was created explaining why it made better sense to start planning for retirement several years in advance. called for a multi-dimensional communication strategy that went beyond traditional mass media. Over 2000 consumers attended these seminars. 3. 4. MEDIASTRATEGY The overriding objective of the media strategy was customer interaction through various touch points using a 24-hour cycle.OTHERCOMMUNICATIONPROGRAMS The laddered task of share gain through changing consumer attitudes and behaviour. impact and demonstrate the emotional pay off. This was made available on the brand website and used extensively as a needs analysis tool at the time of sale. 1. the publication which would generate the maximum no of call ins.Print: Press reinforced the rational benefit of saving early to cushion your retirement by highlighting the product’s comprehensive features. Safety Bond holders. Retirement calculator: A user-friendly calculator was designed to help customers calculate the current savings required in order to meet post-retirement expenses. Retirement Solutions Seminars: Through a tie up with The Times of India. Customers of/subscribers to ICICI Bank credit card holders.

Sales Promotion 9. Financial sites and general interest sites were chosen considering the net is used both in office and at home. Public Relations 8. Internet: Used innovatively to seek responses via click-throughs. Comparatively the spends on the ICICI Pru campaign was Rs 4. Radio: The new FM channels launched in the previous year were explored to reach audiences out of home. 4.gether amounted to Rs 16 crores approx. Direct Marketing: Mailers and brochures played the dual role of educating the consumer on the rationale behind planning early for retirement and the advantages of ICICI Pru Retirement Solutions. Point-of-Purchase 6. the campaign triggered a large number of consumer response calls and emails (35000 calls and 3000 emails). 6. Consumer Seminars EVIDENCE OF RESULTS Overwhelming response To begin with. Out-of-Home 7. Morning traffic sites were specifically selected to target the office going consumer. Competitive Media Spends: The combined spend of just the top 2 competitors put to. Television 2. 5. Newspaper 3. The spots were aired so as to get the morning and evening officegoing traffic.3. Radio 5. 55 . Public Relations: Was effectively used to educate consumers on early retirement planning.8 crores. Outdoor: A high visibility-high impact outdoor strategy was implemented across 21 cities. MEDIA 1. Consumer Magazine 4. making them more receptive towards the brand’s communication. 7.

were INR 740 million as compared to a target of INR 400 million.The response rate for mailers sent out (Direct Marketing) varied from five per cent to 7. Market share Gain: The brand increased its share of pensions market to 23 per cent against target of 10 per cent for the period Sep 2002 to Mar 2003. The table below which compares ICICI Pru’s share in the pensions market with the overall life insurance category puts the campaign’s success in perspective. The campaign contributed greatly to the organisation’s topline and bottomline as is evident form the charts below: 1. Sales achieved for the period Sept ‘02 to Mar ’03. far higher than both domestic and international norms across categories. Attitudes The average age of a person investing in ICICI Pru retirement solutions dropped to 38. Changing years. Sales and Market Shares: The success of the campaign was not limited to phone calls alone.5 per cent. 2.5 56 .

To find out what are the benefits of each of the policy To find out the working process of an insurance agent To find out how ICICI prudential recruits the agents.Pranav Arora Industry Guide: Mr. Samit Sen Gupta MAJOR OBJECTIVES OF THE STUDY ARE LISTED BELOW: • • • • • • • • • • • To know awareness about life insurance among earning public. Majid Khan Faculty Guide: Mr. To establish the reasons of buying life insurance To know the target buyer in terms of income and age To know the type of life cover most preferred by the public To find out what policies ICICI prudential is providing To find out the various policies in life insurance To find out who are the beneficiaries.CHALLENGES INSURANCE INVESTMENT ICICI PRUDENTIAL LIFE INSURANCE COMPANY IN AND PLANS SELLING ICICI’S AS AN INSURANCE ADVISOR Student’s Name: Mr. To understand the functioning of an insurance company 57 .

corporate agents and banc assurance. thus saving the regular income. Most of the people feel that life insurance is essential but they think returns are low. 58 . • • People do not consider life insurance as a good savings because of low returns. based on the objective interview schedule was designed. The reason being availability of funds after every five years which can be used for paying further premium. they rely on their agents only The most preferred type of plan is money back. Data collected based on schedule was analyzed and some findings have emerged. As life insurance is a long term contract.MAJOR LEARNINGS AND SUGGESTIONS TO THE COMPANY This chapter deals with the concluded aspects of the study carried out on “General perception about Life Insurance”. Most of the people do not know about broker. • • • Because of less advertising not many people are aware about private life insurance companies. • • Some people have no idea about what type of cover they have. The basic objective is for the study is for which study was carried out has been fulfilled in the earlier chapter. Major Findings of the Study • Most of the people are satisfied with the extent of their life insurance cover. they still prefer LIC. They are not interested in buying more life insurance. Maximum people do not have faith on private life insurance companies.

Policies should be issued quickly and with less formalities Other service should also be improved. Horne the ability to provide leadership. New entrants should come out with innovative riders.Majid Khan has helped in shaping analytical and intellectual capabilities. provides a lucrative and satisfying carrer. help in decision making through the use of scarce resources. Insurance should be popularized as the means of securing future rather than saving tax. Intern Perception about the industry guide This two months training helped me in imparting skills in all facets of management . Suggestions Advertising of the insurance product should stress on the need of security. Insurance agents should be well trained. 59 . Newspaper/Magazines and television are the most effective medium of advertising life insurance.• • • • • • • • • Some people have their doubts on the credibility and long stay of private insurance companies. inspiration & motivation to people. He was Very corporative and understanding . My Industry guide Mr.

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