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A

Project Report

On

“Customer Satisfaction Survey

on Insurance Products of”

A Project Report On “Customer Satisfaction Survey on Insurance Products of” IN THE PARTIAL FULFILLMENT OF

IN THE PARTIAL FULFILLMENT OF THE DEGREE OF MASTER OF BUSINESS ADMINISTRATION

2010-2013

Submitted To:

Ms. Sunmeet kaur

Submitted by

Shekhar Prasad BBA VI sem

CONTENTS

Acknowledgement Declaration Executive Summary

Chapter-1 Introduction

Customer Satisfaction Objectives of the study Profile of the Organisation

Overview

of

ICICI

Prudential Vision, Mission

Promoter

Fact SheetV

 

Sales

Distribution

 

Management Profile

Brand

Values

Achievements

 

Products

Stages

in

Policies

issuance Comparative Study

SWOT Analysis

Chapter-2 Research Methodology

Statement of the Problem Research Design Methodology Sampling Techniques used Selection of Sample Size Data Collection Statistical Tools Used Limitations of the Study

Chapter-3 Data Analysis and Findings Chapter-4 Conclusion and Suggestions

Conclusion

Suggestions

Annexure

Questionnaire

Bibliography

Acknowledgement

I express my sincere gratitude to the management of ICICI PRUDENTIAL COMPANY Pvt. Ltd Morena Branch M.P., for providing me material to prepare my project on their esteem organization.

I would like to thanks Dr. N.K Kakkar (Director) who has been a constant source of inspiration and my special thanks to Ms. Poonam Chawla (project guide from the institute) for her extensive guidance, cooperation and support.

Finally, I wish to express my gratitude to all those who have in one way or other helped me in the successful completion of my project report. The Project was completed successfully with the valuable cooperation of company’s personnel.

I would be special thank to our college faculty Mrs. Ritu Singh

(HOD), Mr. Rakesh Rajput, Mr. Sudeep Shrivastava and Ms. Jyoti Jain

under supervision this topic. This Acknowledgement would be incomplete

if I fail to express my deep gratitude towards all the facility of NRI College

of Management who gave me a lot of support and guidance.

Last but not least I would be special gratitude to Ms. Reena Gupta and Mr. Mahendra Sikarwar and our all friends who heartening me to complete this project.

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Chapter 1

Chapter 1 INTRODUCTION

INTRODUCTION

EXECUTIVE SUMMARY

This

project

is

based

on

the

Customer

Satisfaction

survey

of

the

ICICI PRUDENTIAL insurance Company ltd. It

is

done

to

find

out

whether the customers are satisfied with the Benefits they get with their

respective policies or not Further, in this Project Chapter 1 includes the

introduction of the company wherein I told about the Objectives of the

study and profile of the ICICI Prudential. Chapter 2 includes the

Research Methodology wherein I have discussed the Research Design

and Various sources of the Data Collection. Chapter 3 includes the

Data analysis and Findings wherein I have analyze the data collected from the Questionnaire.Chapter4 represents the conclusion and the

suggestions

based on the customer satisfaction survey.

OBJECTIVES OF THE STUDY

The main objective of the project is to coduct a brief study on “Customer satisfaction survey on insurance products of ICICI PRUDENTIAL”

Other objectives of this project are as follows:

To identify the insurance needs of the Indian population with respect to their

emotional, physical and financial conditions.

Comparative study of various insurance players in the market

To study the varied reasons of availing life insurance plans

Chapter 2

Research Methodology

Research Design:

The research design of this project is exploratory. Though each research

study has its own specific purpose but the research design of this project on ICICI is exploratory in nature as the objective is the development of the

hypothesis rather than their testing.

METHODOLOGY

Every project work is based on certain methodology, which is a way to systematically solve the problem or attain its objectives. It is a very important guideline and lead to completion of any project work through

observation, data collection and data analysis.

According to Clifford Woody,

“Research Methodology comprises of defining & redefining problems, collecting, organizing &evaluating data, making deductions &researching to

conclusions.” Accordingly, the methodology used in the project is as follows: - Defining the objectives of the study Framing of questionnaire keeping objectives in mind considering the objectives) Feedback from the employees Analysis of feedback Conclusion, findings and suggestions.

Sampling Technique Used:

This research has used convenience sampling technique.

Convenience sampling technique: Convenience sampling is used in exploratory research where the researcher is interested in getting an

inexpensive approximation of the truth. As the name implies, the sample is selected because they are convenient

Selection of Sample Size:

For

the

survey,

a

sample

size

of

100

has

been

taken

into

consideration.

 

Sources of Data Collection:

Research will be based on two sources:

1. Primary data

2. Secondary data

1) PRIMARY DATA:

Questionnaire: Primary data was collected by preparing questionnaire for

customers. The questionnaire was filled through telephonic research.

2) SECONDARY DATA:

Secondary

data will consist of different literatures like

books which

are published, articles, internet , the company manualsand websites of company- www.iciciprulife.com.

In order to reach relevant conclusion, research work needed to be designed in a proper way.

This research methodology also includes:-

Familiarization with the concept of insurance and its various terms.

Thorough study of the information collected.

Conclusions based on findings.

Statistical Tools Used

The main statistical tools used for the collection and analyses of data in this project are:

Questionnaire

Pie Charts

Bar Diagrams

Limitations of study

Due to the following unavoidable and uncontrollable factors the factors, the result might not be accurate. Some of the problems faced while conducting the survey are as follows:-

Time and cost constraints were also there.

Chances of some biasness could not be eliminated.

A Samples size of fifty has been use due to time limitations.

A majority of respondents show lack of cooperation and are biased towards their own opinions.

Chapter 3

LITERATURE REVIEW

Customer Satisfaction

What is customer satisfaction?

Customer satisfaction refers to how satisfied customers are with the

products or services they receive from a particular agency. The level of satisfaction is determined not only by the quality and type of customer

experience but also by the customer’s expectations.

A customer may be defined as someone who:

has a direct relationship with, or is directly affected by your agency and

receives or

relies

on

one

or

more

of

your

agency’s

services

or

products. Customers in human services are commonly referred to

as service users, consumers or clients.

 

An organisationwith a strong customer service culture places the

customer at

the centre

of service

design,

planning

and

service

delivery. Customer centric organisations will:

 

determine the customers expectations when they plan

 

listen to the customer as they design

focus on the delivery of customer service activities

Value customer feedback when they measure performance.

Why is it important?

There are a number of reasons why customer satisfaction is important in

Insurance Sector:

Meeting the needs of the customer is the underlying rationale for the existence of community service organizations. Customers have

a right to quality services that deliver outcomes.

Organizations that strive beyond minimum standards and exceed the

expectations of their customers are likely to be leaders in their

sector.

Customers are recognized as key partners in shaping service

development and assessing quality of service delivery.

The process for measuring customer satisfaction and obtaining feedback

on organizational performance are valuable tools for quality and

continuous service improvement.

Chapter 4

Overview the Industry

of

Overview of the Industry

The Insurance Regulatory and Development Authority

(IRDA)

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

fastidiouslystuck

to

its schedule

Of framing regulations and registering the private

sector

insurance companies.

Theother

decisions

taken

simultaneously to

provide the supporting

systems to the insurance sector and in particular the life insurance companies

were the launch of the IRDA’s online service for issue and renewal of

licenses to agents.

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 upas

an independent

statutory body the IRDA has

put

in

a framework

of

globally

compatible regulations.

In

the

private

sector

12

life

insurance

and6 general insurance companies

have been registered.

The insurance industry provides protection against financial losses

resulting from a variety of perils. By purchasing insurance policies, individuals

and businesses can receive reimbursement for losses due to car accidents, theft

of

property,

and

fire

and

storm

damage;

income due to disability or death.

medical

expenses;

and

loss

of

The insurance industry consists mainly of insurance carriers (or insurers) and insurance agencies and brokerages. In general, insurance carriers are large companies that provide insurance and assume the risks covered by the policy. Insurance agencies and brokerages sell insurance policies for the carriers. While some of these establishments are directly affiliated with a particular insurer and sell only that carrier’s policies, many are independent and are thus free to market the policies of a variety of insurance carriers. In addition to supporting these two primary components, the insurance industry includes establishments that provide other insurance-related services, such as claims adjustment or third-party administration of insurance and pension funds.

Insurance carriers assume the risk associated with annuities and insurance policies and assign premiums to be paid for the policies. In the policy, the

carrier

states

the

length

and

conditions

of

the

agreement,

exactly

which

losses it will provide compensation for, and how much will be awarded. The

premium charged for the policy is based primarily on the amount to be

awarded in case of loss, as well as the likelihood that the insurance carrier will actually have to pay. In order to be able to compensate policyholders for their

losses, insurance companies invest the money they receive in

premiums, building up a portfolio of financial assets and income- producing real estate which can then be used to pay off any future claims that may be brought. There are two basic types of insurance carriers.

Direct insurance carriers offer a variety of insurance policies. Life

insurance provides financial protection to beneficiaries—usually spouses

and dependent children—upon the death of the insured. Disability

insurance supplies a preset income to an insured person who is unable to work

due to injury

or

illness,

and

health

insurance pays

the expenses

resultingfrom accidents and illness. An annuity (a contract or a group of

contracts that furnishes

a

periodic

income

at

regular

intervals

for a

specifiedperiod) provides a steady income during retirement for the remainder

of one’s life. Property-casualty

insurance

protects

against loss or

damage to

property resulting from hazards such as fire, theft, and natural

disasters. Liability insurance shields policyholders from financial responsibility

for injuries to others

or

for

damage

to

other people’s

property. Most

policies, such as automobile and homeowner’s insurance, combineboth

property-casualty and liability coverage. Companies that underwrite this

kind of insurance are called property-casualty carriers.

Some

insurance

policies

cover groups

of people,

ranging

from

a few to thousands of individuals. These policies usually are issued to employers for the benefit of their employees or to unions, professional associations, or other membership organizations for the benefit of their members. Among the most common policies of this nature are group life and health plans. Insurance carriers also underwrite a variety of specialized types of insurance, such as real-estate title insurance, employee surety and

fidelity bonding, and medical malpractice insurance.

In addition

to

individual

carrier-sponsored

Internet

sites,

several “lead-generating” sites have emerged. These sites allow potential customers to input information about their insurance policy needs. For a fee, the sites forward customer information to a number of insurance companies, which review the information and, if they decide to take on the policy, contact the customer with an offer. This practice gives

consumers the freedom to accept the best rate.

The insurance industry also includes a number of independent organizations that provide a wide array of insurance-related services to

carriers and their clients. One such service is the processing of claims forms for

medical practitioners. Other services include loss prevention and risk management. Also, insurance companies sometimes hire independent claims adjusters to investigate accidents and claims for property damage and to assign

a dollar estimate to the claim.

Chapter 5

COMPANY

PROFILE

COMPANY PROFILE

ICICI Prudential Life Insurance

Overview

ICICI Prudential Life Insurance Company is a joint venture

between ICICI Bank - one of India's foremost financial services companies- and Prudential plc - a leading international financial services group

headquartered in the United Kingdom. Total

capital

infusion

standsat

Rs. 42.72 billion,

with

ICICI

Bank holding

a stake

of 74% and

Prudential plc holding 26%.

We began our operations in December 2000 after receiving approval from

Insurance Regulatory Development Authority (IRDA). Today, our

nation-wide

team

comprises

of

over

2000

branches

(inclusive

of

1,095 micro-offices), over 261,000 advisors; and 24 bancassurance

partners.

ICICI Prudential is the first life insurer in India to receive a National Insurer Financial Strength rating of AAA (Ind) from Fitch ratings. For three years in a row, ICICI Prudential has been voted as India's Most Trusted Private Life Insurer, by The Economic Times - AC Nielsen ORG Marg survey of 'Most Trusted Brands'. As we grow our distribution, product range and customer

base, we continue to tirelessly uphold our commitment to deliver world-

class financial solutions to customers all over India.

The ICICI Prudential Edge

The ICICI Prudential edge comes from our commitment to our

customers, in all that we do - be it product development, distribution, the sales

process or servicing. Here's a peek into what makes us leaders.

1.

Our

products

have

been

developed

after

a

clear

and

thorough

understanding of customers' needs. It is this research that helps us develop

Education plans

that

offer

the

ideal

way

to

truly

guarantee

your

child's

education, Retirement solutions that are a hedge against inflation and yet promise a fixed income after you retire, or Health insurance that arms you with

the funds you might need to recover from a dreaded disease.

  • 2. Having the right products is the first step, but it's equally important to

ensure that our customers can access them easily and quickly. To this

end, ICICI Prudential has an advisor base across the length and breadth

of the country, and also partners with leading banks, corporate agents

and brokers to distribute our products .

  • 3. Robust risk management and underwriting practices form the core of our

business. With clear guidelines in place, we ensure equitable costing of risks,

and thereby ensure a smooth and hassle-free claims process.

  • 4. Entrusted with helping our customers meet their long-term goals, we

adopt an investment philosophy that aims to achieve risk adjusted

returns over the long-term.

  • 5. Last but definitely not the least, our 28,000 plus strong team is given the

opportunity to learn and grow, every day in a multitude of ways. We believe

this keeps them engaged and enthusiastic, so that they can deliver on our

promise to cover you, at every step in life.

Vision & Values

Our vision:-

To be the dominant Life, Health and Pensions player built on trust by world-class people and service.

This we hope to achieve by:

Understanding the needs of customers and offering them superior products and service

Leveraging technology to service customers quickly, efficiently and

conveniently

 

Developing

and

implementing

superior

risk

management

and

investment

strategies

to

offer

sustainable

and

stable

returns

to

our

policyholders

 

Providing an enabling environment to foster growth and learning

for our employees

And above all, building transparency in all our dealings

The success of the company will be founded in its unflinching commitment to

5 core values -- Integrity, Customer First, Boundaryless, Ownership and

Passion.

Each

of

the

values

describe

what

the

company

stands

for,

the

qualities of our people and the way we work.

We do believe that opportunity, where we can

we are

play

on the threshold

a

significant role

of an exciting new in redefining and

reshaping

the

sector. Given

the quality

of our parentage

and

the

commitment of our team, there are no limits to our growth.

Our values:-

Every member of the ICICI Prudential team is committed to 5 core values:

Integrity

Boundaryless,

Customer First,

Ownership,

and

Passion. These

Values

shine forth in

all

we do,

and have

become the keystones of our

success.

Promoters

ICICI BANK ICICI Bank (NYSE:IBN) is India's second largest bank and largest private sector bank with over 50 years of financial experience and with assets of Rs. 1812.27 billion as on 30th June, 2005. 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, life and

non-life insurance, venture capital and asset management.ICICI

Bank is a leading player in the retail banking market and has over 13 million

retail customer

accounts.

The Bank

has a network

of

over 570

branches

and extension counters, and 2,000 ATMs.

Fact Sheet

The Company

ICICI Prudential Life Insurance Company is a joint venture between

ICICI Bank, a premier financial powerhouse, and Prudential plc, a leading international financial services group headquartered in the United Kingdom.

ICICI Prudential was amongst the first private sector insurance companies to begin operations in December 2000 after receiving

approval from Insurance Regulatory Development Authority (IRDA).

ICICI Prudential Life's capital stands at Rs. 42.72 billion (as of June 30, 2008)

with

ICICI

Bank

and

Prudential

plc

holding

74%

and

26%

stake

respectively. For the quarter ended June 30, 2008, the company garnered Retail Weighted New Business Premium of Rs. 1,174 crores as against Rs 810 crores

for the quarter ended June 30, 2007, thereby posting a growth of 45% and

has

underwritten

over

6

lakh

policies

over

this

period.

The

company has assets held over Rs. 30,600 crore as on August 31, 2008.

ICICI Prudential Life is also the only private life insurer in India to receive a National Insurer Financial Strength rating of AAA (Ind) from Fitch ratings. The AAA (Ind) rating is the highest rating, and is a clear assurance of ICICI Prudential's ability to meet its obligations to customers at the time

of maturity or claims.

For

the past

seven years, ICICI

Prudential

Life has

retained its

leadership position in the life insurance industry with a wide range of flexible

products that meet the needs of the Indian customer at every step in life.

SALES DISTRIBUTION

Tied Agency

Tied Agency is the largest distribution channel of ICICI Prudential, comprising a large advisor force that targets various customer segments.

The strength of tied agency lies in an aggressive strategy of expanding and

procuring quality business. With focus on sales & people development, tied

agency has emerged as a robust, predictable and sustainable business

model.

Banc assurance and Alliances

ICICI Prudential was a pioneer in offering life insurance solutions through banks and alliances. Within a short span of two years, and with nearly a large

number of partners, B & A has emerged as a vital component of the

company’s sales and distribution strategy, contributing to approximately one third of company’s total business. The business philosophy at B&A is to leverage distribution synergies with our partners and add value to its customers as well as the partners. Flexibility, adaptation and experimenting

with new ideas are the hallmarks of this channel.

About the Promoters

ICICI Bank

ICICI Bank Limited (NYSE:IBN) is India's largest private sector bank and the second largest bank in the country, with consolidated total assets of $1 1 2.6 billion as of June 30 , 2008. ICICI Bank’s subsidiaries include India’s leading private sector insurance companies and among its largest securities brokerage firms, mutual funds and private equity firms. ICICI Bank’s presence

currently spans 19 countries, including India.

Management Profile

Board of Directors

The ICICI Prudential Life Insurance Company Limited Board comprises

reputed people from the finance industry both from India and abroad.

Mr. K.V. Kamath, Chairman Ms. Chanda Kochhar, Director Mr. Barry Stowe, Director Mr. H.T. Phong, Director Prof. Marti G. Subrahmanyam, Director Mr. Mahesh Prasad Modi, Director Ms. Rama Bijapurkar, Director Mr. Keki Dadiseth, Director Ms. Shikha Sharma, Managing Director Mr. N.S. Kannan, Executive Director Mr. Bhargav Dasgupta, Executive Director

Management Team

The ICICI Prudential Life Insurance Company Limited Management

team comprises reputed people from the finance industry both from India

and abroad.

Ms. Shikha Sharma, Managing Director & CEO Mr. N. S. Kannan, Executive Director Mr. Bhargav Dasgupta, Executive Director

Ms. Anita Pai, Executive Vice President – Customer Service & Tech.

Corporate history

ICICI Bank was established by the Industrial Credit and Investment Corporation of India, an Indian financial institution, as a wholly owned subsidiary in 1994. The parent company was formed in 1955 as a joint-venture of the World Bank, India's public-sector banks and public-sector insurance companies to provide project financing to Indian industry. The bank was initially known as theIndustrial Credit and Investment Corporation of India Bank, before it changed its name to the abbreviated ICICI Bank. The parent company was later merged with the bank.

ICICI Bank launched internet banking operations in 1998. [12]

ICICI's shareholding in ICICI Bank was reduced to 46 percent, through a public offering of shares in India in 1998, followed by an equity offering in the form of American Depositary Receipts on the NYSE in 2000. ICICI Bank acquired the Bank of Madura Limited in an all-stock deal in 2001 and sold additional stakes to institutional investors during 2001-02.

In the 1990s, 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, both directly and through a number of subsidiaries and affiliates like ICICI Bank. In 1999, ICICI become the first Indian company and the first bank or financial institution from non-Japan Asia to be listed on the NYSE.

In 2000, ICICI Bank became the first Indian bank to list on the New York Stock Exchange with its five million American depository shares issue generating a demand book 13 times the offer size.

In October 2001, the Boards of Directors of ICICI and ICICI Bank approved the merger of ICICI and two of its wholly owned retail finance subsidiaries, ICICI Personal Financial Services Limited and ICICI Capital Services Limited, with ICICI Bank. The merger was approved by shareholders of ICICI and

ICICI Bank in January 2002, by the High Court of Gujarat at Ahmedabad in March 2002 and by the High Court of Judicature at Mumbai and the Reserve Bank of India in April

2002.

In 2008, following the 2008 financial crisis, customers rushed to ICICI ATMs and branches in some locations due to rumors of adverse financial position of ICICI Bank. The Reserve Bank

of India issued a clarification on the financial strength of ICICI Bank to dispel the rumors. NEW UPDATES FROM THE SITE ICICI Bank is India's second-largest bank with total assets of Rs. 4,736.47 billion (US$ 93 billion) at March 31, 2012 and profit after tax Rs. 64.65 billion (US$ 1,271 million) for the year ended March 31, 2012. The Bank has a network of 3,100 branches and 10,486 ATMs in India, and has a presence in 19 countries, including India.

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 specialised subsidiaries in the areas of investment banking, life and non- life insurance, venture capital and asset management.

The Bank currently has subsidiaries in the United Kingdom, Russia and Canada, branches in United States, Singapore, Bahrain, Hong Kong, Sri Lanka, Qatar and Dubai International Finance Centre and representative offices in United Arab Emirates, China, South Africa, Bangladesh, Thailand, Malaysia and Indonesia. Our UK subsidiary has established branches in Belgium and Germany.

ICICI Bank's equity shares are listed in India on Bombay Stock Exchange and the National Stock Exchange of India Limited and its American Depositary Receipts (ADRs) are listed on the New York Stock Exchange (NYSE).

Corporate governance

Group Anti Money Laundering Policy

The ICICI Group AML Policy establishes the standards of AML compliance and is applicable to all activities.

Code of Conduct

ICICI Bank has formulated a Code of Business Conduct and Ethics for its directors and employees. The Bank of Rajasthan(BOR) was acquired by the ICICI Bank in 2010 for 3,000 crores. RBI was critical of BOR's promoters not reducing their holdings in the company. BOR has since been merged with ICICI Bank. Each 118 shares of BOR will be converted into 25 shares of ICICI Bank.

ICICI Bank's equity shares are listed in India on Bombay Stock Exchange and the National StockBank of Rajasthan (BOR) was acquired by the ICICI Bank in 2010 for 3,000 crores. RBI was critical of BOR's promoters not reducing their holdings in the company. BOR has since been merged with ICICI Bank. Each 118 shares of BOR will be converted into 25 shares of ICICI Bank. Creation of market infrastructure in India ICICI Bank has contributed to set up different institutions which include the following: National Stock Exchange " id="pdf-obj-34-18" src="pdf-obj-34-18.jpg">

Creation of market infrastructure in India

ICICI Bank has contributed to set up different institutions which include the following:

National Stock Exchange

The National Stock Exchange was promoted by India’s leading financial institutions (including ICICI Ltd.) in 1992 on behalf of the Government of India with the objective of establishing a nationwide trading facility for equities, debt instruments and hybrids, by ensuring equal access to investors all over the country through an appropriate communication network.

Credit Rating Information Services of India Limited

In 1987, ICICI Ltd along with UTI set up CRISIL as India's first professional credit rating agency. CRISIL offers a comprehensive range of integrated products and service offerings which include credit ratings, capital market information, industry analysis and detailed reports.

National Commodities and Derivatives Exchange Limited

NCDEX is a professionally managed online multi-commodity exchange, set up in 2003, by ICICI Bank Ltd, LIC, NABARD, NSE, Canara Bank, CRISIL, Goldman Sachs, Indian Farmers Fertiliser Cooperative Limited (IFFCO) and Punjab National Bank.

Financial Innovation Network and Operations Pvt Ltd.

ICICI Bank has facilitated setting up of "FINO Cross Link to Case Link Study" in 2006, as a company that would provide

technology solutions and services to reach the underserved and underbanked population of the country. Using cutting edge technologies like smart cards, biometrics and a basket of support services, FINO enables financial institutions to conceptualise, develop and operationalise projects to support sector initiatives in microfinance and livelihoods.

Entrepreneurship Development Institute of India

Entrepreneurship Development Institute of India (EDII), an autonomous body and not-for-profit society, was set up in 1983, by the erstwhile apex financial institutions like IDBI, ICICI, IFCI and SBI with the support of the Government of Gujarat as a national resource organisation committed to entrepreneurship development, education, training and research.

North Eastern Development Finance Corporation

North Eastern Development Finance Corporation (NEDFI) was promoted by national level financial institutions like ICICI Ltd in 1995 at Guwahati, Assam for the development of industries, infrastructure, animal husbandry, agri-horticulture plantation, medicinal plants, sericulture, aquaculture, poultry and dairy in

the North Eastern states of India. NEDFI is the premier financial and development institution for the North East region.

Asset Reconstruction Company India Limited

Following the enactment of the Securitisation Act in 2002, ICICI Bank together with other institutions, set up Asset Reconstruction Company India Limited (ARCIL) in 2003, to create a facilitative environment for the resolution of distressed debt in India. ARCIL was established to acquire non performing assets (NPAs) from financial institutions and banks with a view to enhance the management of these assets and help in the maximisation of recovery. This would relieve institutions and banks from the burden of pursuing NPAs, and allow them to focus on core banking activities.

Credit Information Bureau of India Limited

ICICI Bank has also helped in setting up Credit Information Bureau of India Limited (CIBIL), India’s first national credit bureau in 2000. CIBIL provides a repository of information (which contains the credit history of commercial and consumer borrowers) to its members in the form of credit information reports. The members of CIBIL include banks, financial institutions, state financial corporations, non-banking financial

companies, housing finance companies and credit card companies.

Corporate Social Responsibility programmes for Elementary Education

Read to Lead Phase I

Read to Lead is an initiative of ICICI Bank to facilitate access to elementary education for underprivileged children in the age group of 3–14 years including girls and tribal children from the remote rural areas. The Read to Lead initiative supports partner NGOs to design and implement programs that mobilise parent and community involvement in education, strengthen schools and enable children to enter and complete formal elementary education. Read to Lead has reached out to 100,000 children across 14 states of Andhra Pradesh, Bihar, Delhi, Gujarat, Haryana, Jharkhand, Karnataka, Maharashtra, Orissa, Rajasthan, Tamil Nadu, Tripura, Uttar Pradesh and West Bengal.

Read to Lead Phase I is focused on

Bridge courses to support dropout children to re-enrol in formal education

Remedial coaching to potential dropout children to ensure their continuation in formal schooling

Educational kits that include uniforms, books, stationery, woollen clothes etc.

Inclusive and special education for children with special needs, such as mentally challenged and physically disabled children

Health and nutritional support for children

Community initiatives for sensitisation on importance of education, including parent groups, school enrolment drives, workshops and seminars, and publications

Holistic development of children through instruction in arts and crafts, street plays, and life skills education

Read to Lead Phase II

In Phase II of the Read to Lead programme, ICICI Bank has supported the establishment of 63 libraries that will reach out to approximately 7,200 children in the rural areas of Jagdalpur block of Bastar district in Chhattisgarh. The programme includes building libraries, sourcing books and conducting various interactive activities to make the library a dynamic centre for learning.

Products

MySavings Rewards

ICICI Bank has rolled-out the programme ‘MySavings Rewards’ from September 1, 2012, where reward points are offered to individual domestic customers for a variety of transactions done through the savings bank account. Reward points are offered automatically to customers for activating Internet banking, shopping online/ paying utility bills with Internet banking and auto-debit from savings account towards equated monthly installments for home/ auto/ personal loan/ recurring deposit. Customers are required to maintain a monthly average balance of Rs.15,000 or more.

Customers can redeem their reward points by

logging into his ICICI Bank internet banking account

Calling up customer care

Walkin into the nearest ICICI Bank branch

iWish- the flexible recurring deposit

iWish is a flexible recurring deposit product launched by ICICI Bank for its savings account customers. iWish is a fun and flexible way to encourage savings among youth for fulfilling

aspirations. Unlike a traditional recurring deposit, iWish allows customers to save varying amounts of money at any time of their choice. Customers can create several goals and track their progress on an easy-to-use online interface. They can also share their wishes on Facebook and let their friends and family be a part of their dreams by contributing to their account from any bank account. There will be no penalties if a customer misses his monthly contribution to the recurring deposit. The minimum duration is six months and a customer can open this account starting with Rs 500.

The key features of iWish are:

Flexibility: Flexible recurring deposit allows a customer to deposit any amount at any point of time. Customers also have an option of depositing money by giving a standing instruction.

Better returns: Customers can earn recurring deposit interest rates on their iWish account while enjoying the freedom of not having to deposit every month.

Sharing: Customers can choose to share their wishes on Facebook and let their friends and family be part of their dreams.

Contributions: iWish gives an opportunity to the family and friends of a customer to contribute and help him attain his aspirations faster. Contributions can be made from any bank account using a VISA debit card.

ICICI Bank has developed this product in collaboration with Social Money.

Go Green Initiative

The Go Green Initiative is an organisation wide initiative that moves beyond moving people, processes and customers to cost effective automated channels to build awareness and consciousness of our environment,our nation and our society.

Objective

ICICI Bank’s Green initiative is to make healthy environment in the organisation i.e; to create intrapersonal skills amongs the customer and understanding between employees of the organisation.

Broad objectives of the ICICI are:

(a) to assist in the creation, expansion and modernisation of private concerns;

  • (b) to encourage the participation of internal and external

capital in the private concerns;

  • (c) to encourage private ownership of industrial investment.

Green products and services Instabanking

It is the platform that brings together all alternate channels under one umbrella and gives customers the option of banking through Internet banking, i-Mobile banking, IVR Banking. This reduces the carbon footprint of the customers by ensuring they do not have to resort to physical statements or travel to their branches.

Vehicle Finance

As an initiative towards more environment friendly way of life, Auto loans offer 50% waiver on processing fee on car models which uses alternate mode of energy. The models identified for the purpose are, Maruti's LPG version of Maruti 800, Omni and Versa, Hyundai's Santro Eco, Civic Hybrid of Honda, Reva electric cars, Tata Indica CNG and Mahindra Logan CNG versions.

Carbon Footprint Calculator

Inputs include region, user input of the distance traveled in a particular medium of transport daily, electricity consumed per month and LPG cylinder/piped natural gas used per month. It calculates the net carbon footprint to create awareness and sensitize people about the environment.It also shows the world's and India's average carbon footprint.

Subsidiaries

Domestic

ICICI Prudential Life Insurance Company Limited

ICICI Lombard General Insurance Company Limited

ICICI Prudential Asset Management Company Limited

ICICI Prudential Trust Limited

ICICI Securities Limited

ICICI Securities Primary Dealership Limited

ICICI Venture Funds Management Company Limited

ICICI Home Finance Company Limited

ICICI Investment Management Company Limited

ICICI Trusteeship Services Limited

ICICI Prudential Pension Funds Management Company Limited

International

ICICI Bank UK PLC ICICI Bank Canada ICICI Bank Eurasia Limited Liability Company ICICI Securities Holdings Inc. ICICI Securites Inc. ICICI International LImited Acquisitions

1996: SCICI Ltd. A diversified financial institution with headquarters in Mumbai

1997: ITC Classic Finance. Incorporated in 1986, ITC Classic was a non-bank financial firm that engaged in hire,m purchase, and leasing operations. At the time of being acquired, ITC Classic had eight offices, 26 outlets, and 700 brokers.

1998: Anagram Finance. Anagram had built up a network of some 50 branches in Gujerat, Rajastan, and

Maharashtra that were primarily engaged in retail financing of cars and trucks. It also had some 250,000 depositors.

2002: The Darjeeling and Simla branches of Grindlays Bank

2005: Investitsionno-Kreditny Bank (IKB), a Russian bank

2007: Sangli Bank. Sangli Bank was a private sector unlisted bank, founded in 1916, and 30% owned by the Bahte family. Its headquarter were in Sangli in Maharashtra, and it had 198 branches. It had 158 in Maharashtra and 31 in Karnataka, and others in Gujarat, Andhra Pradesh, Tamil Nadu, Goa, and Delhi. Its branches were relatively evenly split between metropolitan areas and rural or semi-urban areas.

2010: Bank of Rajasthan. Awards

2004

Best Bank in India Award presented by Euromoney Magazine

 

2007

ICICI Bank has been conferred the Euromoney Award 2007 for the Best Bank in the Asia-Pacific Region

ICICI Bank wins the Excellence in Remittance Business award by The Asian Banker

2009

ICICI Bank bags the "Best bank in SME financing (Private Sector)" at the Dun & Bradstreet Banking awards

2011

ICICI Bank is the only Indian brand to figure in the BrandZ Top 100 Most Valuable Global Brands Report, second year in a row

ICICI Bank ranked 5th in the list of "57 Indian Companies", and 288 th in World Rankings in Forbes Global 2000 list.

ICICI Bank has won the "Banking Technology Awards 2010" at The Indian Banks Association in the following categories

ICICI Bank was recognized for its Special Citation of the Fully Electronic Branch Service Channel, first set up at

Hiranandani Estate, Thane, at the Financial Insights Innovation Awards held in conjunction with Asian Financial Services Congress

For the second year in a row, ICICI Bank was ranked 70th in the Brandirectory league tables of the worlds most valuable brands by, The BrandFinance® Banking 500

ICICI Bank was ranked 1st in the Banking and Finance category and 9th in the "2010 Best Companies To Work For" by Business Today

ICICI Bank UK, HiSAVE product range has been awarded the Consumer Moneyfacts Awards 2011 for the 'Best Online Savings Provider'

For the second consecutive year, ICICI Bank was ranked second in the "India's 50 Biggest Financial Companies", in The BW REAL 500 by Business World

ICICI Bank was one of the winners in the Global Awards for Enterprise & IT Architecture Excellence. ICICI Bank bagged the award in the ‘Business Intelligence and Analytics' category.

The Brand Trust Report ranks ICICI among the top 4 most trusted financial institutions. ICICI Bank awarded

"House Of The Year (India)", by Asia Risk magazine, for eighth time in a row since 2004

ICICI Bank awarded the most Tech-friendly Bank award by Business World

ICICI Bank received the Best Trade Finance Bank in India by The Asset Triple A Award, Hong Kong

ICICI Bank is the first and the only Indian brand to be ranked as the 45th most valuable global brand by BrandZ Top 100 Global Brands Report

2012

Airtel, ICICI among 'top 100 global brands' ICICI Bank won the "Best Bond House (India) 2011", by IFR Asia ICICI Bank awarded the Best Bank (India) by Global Finance

ICICI Bank won the "Century International Quality Era Award" at Geneva ICICI Bank was awarded the "Best Foreign Exchange Bank (India)" by Finance Asia Country Awards.

ICICI Bank received the "Dataquest Technology Innovation Awards 2012" for Data center migration by Dataquest.

ICICI Bank was conferred the Best Performance Award for Self Help Group (SHG) Bank Linkage Programme in NABARD's State Level Awards announced by their Maharashtra Regional Office. The Bank received the first prize for the year 2010-11 in the Private Sector Bank category and 2nd runner up for the year 2011-12 in the Commercial Bank category.

For the second consecutive year, ICICI Bank won the NPCI's NFS Operational Excellence Awards in the MNC and Private Sector Banks Category for its ATM network.

Mr.K.V.Kamath was awarded the "Hall Of Fame" by Outlook Money for his long standing contribution in the financial services sector.

ICICI Bank won the Best Bank - India Award by The Banker. Ms. Chanda Kochhar ranked 18th in the Fortune's list of '2012 Businesspersons of the Year'. The 50 global leaders is Fortune's annual ranking of leaders who are "the best in business".

Ms. Chanda Kochhar tops the list of "50 Most Powerful Women in Business" by Fortune India.

ICICI Bank tops the list of "Private sector and Foreign Banks" by Brand Equity, Most Trusted Brands 2012. It ranks 15th in the "Top Service 50 Brands".

For the third consecutive year, ICICI Bank ranked second in "India's 50 Biggest Financial Companies" in The BW Real 500 by Businessworld. For the second year in a row, Ms. Chanda Kochhar, Managing Director & CEO was ranked 5th in the International list of 50 Most Powerful Women In Business by Fortune.

ICICI Bank tops the list of most fans in India and globally ranks fifth amongst financial institutions on Facebook in the social media engagement study conducted by Ketchum Sampark.

ICICI Bank in the Private Sector Bank category won the Best Technology Bank Of The Year ,Best Financial Inclusion Initiative and Best Use Of Technology In Training and e-Learning by Indian Bank's Association (IBA) Technology Awards. The Bank also received the first runner up for Best Online Bank, Best Customer Relationship Initiative and Best Use Of Mobility Technology in Banking by IBA Technology Awards .

ICICI Bank awarded the Best SME Bank for Treasury and Working Capital (India) by The Asset Triple A.

ICICI Bank received the Best Trade Finance House and Best Cash Management House by The Corporate Treasurer Alliance Country Awards

ICICI Bank awarded the Best Private Sector Bank in Global Business Development, Rural Reach and SME financing categories by Dun & Bradstreet - Polaris Financial Technology Banking Awards. Controversy over debt recovery methods

A few years after its rise to prominence in the banking sector, ICICI bank faced allegations on the recovery methods it used against loan payment defaulters. A number of cases were filed against the bank and its employees for using "brutal measures" to recover the money. Most of the allegations were that the bank was using goons to recover the credit card payments and that these "recovery agents" exhibited inappropriate and in some cases, inhuman behavior. Incidents were reported wherein the defaulters were put to "public shame" by the recovery agents.

The bank also faced allegations of inappropriate behavior in recovering its loans. These allegations started initially when the "recovery agents" and bank employees started threatening the defaulters. In some cases, notes written by the bank's employees asking the defaulters to "sell everything in the house including family members", were found. Such charges faced by the bank rose to a peak when suicide cases were reported wherein the suicide notes spoke of the Bank's recovery methods as the cause of the suicide. This led to a lot of legal battles and the bank paying huge compensations

Credit Rating

On account of the growing concerns over the country's sovereign debt ratings,credit ratings agency Moody's has lowered the ratings for ICICI Bank

Brand Values

Market Research reveals that the values people associate with ICICI Prudential are, indeed, those that the company hopes to project: lifelong protection and value for money. The core value is protecting your loved ones,

throughout life’s ups and downs. It is a powerful proposition; one, which

ICICI Prudential, is taking into the market place.

Achievements

Beginning operations in December 2000, ICICI Prudential’s success has been meteoric, becoming the number one private life insurer within months of launch. Today, it has one of the largest distribution networks amongst private life insurers in India, with branches in 54 cities. The total number of policies issued stands at more than 780,000 with a total sum assured in excess

of Rs.160 billion.

ICICI Prudential closed the financial year ended march 31, 2004 with a total

received premium

income

of

Rs.

9.9

billion;

up

135%

last

years

total

premium income of Rs.4.20 billion. New business premium income shows a 106% growth at Rs. 7.5 billion, driven mainly by the company’s range of unique unit-linked policies and pension plans. The company’s retail market share amongst private companies stood at 36%, making it clear leader in the segment.

PRODUCT/SERVICES PROFILE

Insurance Solutions for Individuals

ICICI Prudential

Life

Insurance

offers

a

range

of

innovative,

customer-centric products that meet the needs of customers at

every life stage. Its products can be enhanced with up to 4 riders, to

create a customized solution for each policyholder.

Savings & Wealth Creation Solutions

Save'n'Protect is a traditional endowment savings plan that offers life protection along with adequate returns.

CashBak is an anticipated endowment policy ideal for meeting milestone

expenses like a child's marriage, expenses for a child's higher education

or purchase of an asset. It is available for terms of 15 and 20 years.

LifeTime Gold is a unit-linked plan that offers customers the flexibility and control to customize the policy to meet the changing needs at

different life stages.

It

offers7

fund

options

- Preserver,

Protector,

Balancer,

Flexi Balanced Multiplier, R.I.C.H and Flexi

Growth.

LifeStage RP is unit linked plan that provides you with an

option of lifecycle-based portfolio strategy that continuously re- distributesyour money across various asset classes based on your life

stage. This will help you achieve the right Asset Allocation to meet your desired financial goals.

LifeLink Super is a single premium unit linked insurance plan which combines life insurance cover with the opportunity to stay invested in the stock market.

Premier Life Gold is a limited premium paying plan specially structured for long-term wealth creation.

InvestShield Life New is a unit linked plan that provides premium

guarantee on the invested premiums and ensures that the customer receives only the benefits of fund appreciation without any of the risks of

depreciation.

InvestShield

Cashbak is

a

unit

linked

plan

that

provides

premium

guarantee on the invested premiums along with flexible liquidity options.

LifeStage Assure a unit linked insurance plan that provide upto 450 % of first year premium guarantee on maturity, with the additional advantage of a lifecycle based portfolio strategy that allocates the investor’s money across various asset classes based on his life stage and risk appetite.

Protection Solutions

LifeGuard is a protection plan, which offers

life cover

at

low cost.

It

is

available

in

3

options

-

level

term assurance,

level

term assurance

with return of premium & single premium.

HomeAssure is a mortgage reducing term assurance plan designed specifically to help customers cover their home loans in a simple and cost-effective manner.

Education Solutions

SmartKid New ULRP provides guaranteed educational benefits to a child

along with life insurance cover for the parent who purchases the policy.

The policy is designed to provide money at important milestones in the

child's life. SmartKid plans are also available in traditional form.

Retirement Solutions

ForeverLife is a traditional retirement product that offers guaranteed returns for the first 4 years and then declares bonuses annually.

LifeTime Super Pension is a regular premium unit linked pension plan

that helps one accumulate over the long term and offers 5 annuity options (life annuity, life annuity with return of purchase price, joint life last survivor annuity with return of purchase price, life annuity guaranteed for 5, 10 and 15 years & for life thereafter, joint life, last survivor annuity without return of

purchase price) at the time of retirement.

LifeStage

Pension is

a regular

premium

unit

linked

pension

plan

thatprovides you

with a unique lifecycle-based strategy that

continuously re-distributes your money across various asset classes based on your life stage, eventually providing you with a customized retirement solution.

LifeLink Super Pension is a single premium unit linked pension plan.

Immediate Annuity is a single premium annuity product that guarantees

income for life at the time of retirement. It offers the benefit of 5 payout

options.

PremierLife Pension is a unique and convenient retirement solution with

a limited premium paying term of three or five years, to suit professionals and businessmen, especially those who require more flexibility and customization while planning their finances.

Health Solutions

Health

Assure

Plus: Health

Assure

is

a regular

premium

plan

which provides long term cover against 6 critical illnessesby

providing policyholder

with

financial

assistance, irrespective

of the

actual medical expenses. Health Assure Plus offers the added advantage of an equivalent life insurance cover.

Cancer

Care: is

a regular premium plan

that pays

cash benefit onthe

diagnosis as well as at different stages in the treatment of various cancer conditions.

Cancer Care Plus: is a wellness plan that includes all the benefits of Cancer Care and also provides an additional benefit of free periodical cancer screenings.

Diabetes Care: Diabetes Care is a unique critical illness product specially developed for individuals with Type 2 diabetes and pre- diabetes. It makes payments on diagnosis on any of 6 diabetes related critical illnesses, and also offers a coordinated care approach to managing the condition. Diabetes Care Plus also offers life cover.

Diabetes Care Plus: is a unique insurance policy that provides an additional

benefit of life cover for Type 2 diabetics and pre-diabetics

Hospital Care: is a fixed benefit plan covering various stages of treatment-

hospitalisation, ICU, procedures & recuperating allowance. It covers a

range of medical conditions (900 surgeries) and has a long term guaranteed coverage upto 20 years.

Crisis Cover : is a 360-degree product that will provide long-term coverage against 35 critical illnesses, total and permanent disability, and death.

MediAssure is a health insurance policy that provides assured insurability till age 75 years, assured coverage for accepted pre- existing illnesses after 2 years and an assured price for 3 years.

Group Insurance Solutions

ICICI Prudential Life also offers Group Insurance Solutions for companies seeking to enhance benefits to their employees.

Group Gratuity Plan: ICICI Prudential Life's group gratuity plan helps

employers fund their statutory gratuity obligation in a scientific manner and also avail of tax benefits as applicable to approved gratuity funds.

Group

Superannuation

Plan: ICICI Prudential Life offers a flexible

market linked scheme that provides substantial benefits to both employers and employees. Both defined contribution (DC) and defined benefit (DB)

schemes are offered to optimise returns for members of the trust and rationalise cost. Members have the option of choosing from

various annuity options or opting for a partial commutation of the annuity at the time of retirement.

Group

Immediate

Annuities:

ICICI

Prudential

Life

realises

the

importance of prudent retirement planning. With this in mind,

we

have developed a suite of annuity products that not only give you an

income for life but also provide you options to match your needs. In addition to the annuities offered to existing superannuation customers, we offer

immediate annuities to superannuation funds not managed by us.

Group Term Plan: ICICI Prudential Life's flexible group term solution helps provide an affordable cover to members of a group. The cover could be uniform or based on designation/rank or a multiple of salary. The benefit under the policy is paid to the beneficiary nominated by the member on his/her death.

Flexible Rider Options

ICICI Prudential Life offers flexible riders, which can be added to the basic policy at a marginal cost, depending on the specific needs of the customer.

Accident & disability benefit: If death occurs as the result of an accident during the term of the policy, the beneficiary receives an additional amount equal to the rider sum assured under the policy. If an accident results in total and permanent disability, 10% of rider sum assured will be paid each year, from the end of the 1st year after the disability date for the remainder of the base policy term or 10 years, whichever is lesser. If the death occurs while travelling in an authorized mass transport vehicle, the beneficiary will be entitled to twice the sum assured as additional benefit.

Critical Illness Benefit: protects the insured against financial loss in the event of 9 specified critical illnesses. Benefits are payable to the insured for medical expenses prior to death.

Waiver of Premium: In case of total and permanent disability due to an accident, the future premiums continue to be paid by the company till the

time of maturity. This rider is available with SmartKid, LifeTime

Plus, LifeTime Super and LifeTime Super Pension.

Income benefit rider: In case of death of the life assured during the term of the policy, 10% of the sum assured is paid annually to the nominee on each policy anniversary till the maturity of the rider.

Stages in Policy Issuance

1) Proposal

A Proposal Stage is the First stage before the policy is issued at COPS. At

this stage, the application form is received by COPS, but it is pending for

issuance due to further clarifications required from the customer.

2) Login

A proposal which is complete i.e., duly filled with all necessary documents

attached to it & accepted by the Branch ops, is called a Login

3) Reject

An Application gets rejected at the Branch Ops level due to necessary details not filled in the form or necessary documents not submitted is a Reject. It is

then sent back to the Advisor for completion.

4) Issuance

Issuance means a policy that is issued to the Customer by Central Ops.

5) Decline Status

When a customer refuses to take a policy post login but before Issuance is called a Decline

6) Cancellation

When the cheque given by the customer bounces, it amounts to cancellation of the policy.

7) Lapse

A policy for which the Customer fails to pay subsequent premiums is a Lapsed

Policy.

8) Free look

Post issuance of the policy, the policyholder has the option to turn down the policy within 15 days from the date of issuance. This period of 15 days is

called Free look Period.

9) Surrender:

When a customer wants to discontinue with the policy.

COMPARATIVE STUDY

1) LIFE TIME VS LIC BIMA PLUS

ON THE BASIS OF AGE:

LIFE TIME-

0-60YEARS

BIMA PLUS-

12-55 YEARS

ON THE BASIS OF TERM:

LIFE TIME- Minimum premium payment term of three years. BIMA PLUS- 10 YEARS

ON THE BASIS OF SUM ASSURED:

LIFE TIME-

Choose your sum assured; subject to a minimum sum assure of Rs 1 lakh. BIMA PLUS-

Maximum limit up to Rs 12 lakh.

ON THE BASIS OF SURVIVAL BENEFIT:

LIFE TIME-

Value of

unit

three

years

onward. BIMA PLUS-

Bid value of the funds units along with maturity bonus at 5% of sum assured.

ON THE BASIS OF DEATH BENEFIT:

LIFE TIME-

Higher of sum assured of value of units. BIMA PLUS-

Death during the first six month-30% of SA+value of units, next six months- 60% of SA+value of units. Death after first year-SA+value of units.

ON THE BASIS OF WITHDRAWAL BENBEFIT:

LIFE TIME- Partial or complete withdrawal is available from three years onwards. BIMA PLUS- Premature withdrawal allowed after one year.

ON THE BASIS OF CONTRIBUTION:

LIFE TIME- Minimum Rs 18000 per annum. BIMA PLUS- Not specified.

ON THE BASIS OF INVESTMENT OPTION:

LIFE TIME- Maximiser, balancer, protector and preserver. BIMA PLUS-

Balanced, secured and risk.

2) LIFE TIME VS MAX NEW YORK LIFE MAKER

ON THE BASIS OF AGE:

LIFE TIME-

0-60 YEARS.

LIFE MAKER-

12-60 YEARS.

ON THE BASIS OF TERM:

LIFE TIME- Minimum premium payment term of three years. LIFE MAKER- 10-58 YEARS.

ON THE BASIS OF SUM ASSURED:

LIFE TIME-

Choose your sum assured subject to a minimum sum assured of Rs1lakh.

LIFE MAKER- Choice of 2 insurance covers.

ON THE BASIS OF SURVIVAL BENEFIT:

LIFE TIME- Value of units three years onwards. LIFE MAKER- Value of units.

ON THE BASIS OF WITHDRAWAL BENEFIT:

LIFE TIME- Complete or partial withdrawals are available after three years.

LIFE MAKER-

Partial withdrawals are available from the third year and complete withdrawals are available from first year onwards itself, subject to surrender penalties.

ON THE BASIS OF CONTRIBUTION:

LIFE TIME- Minimum premium of Rs18000 per annum. LIFE MAKER-

Minimum premium of Rs15000 per annum.

ON THE

BASIS OF INCREASE

OR DECREASE OF DEATH

BENEFIT:

LIFE TIME-

Available

LIFE MAKER-

Not available

3)LIFE TIME VS HDFC LINKED

ON THE BASIS OF AGE:

LIFE TIME-

0-60 YEARS

LINKED-

18-60 YEARS

ON THE BASIS OF TERM:

LIFE TIME-

Minimum premium payment term of three years.

LINKED-

10-30 YEARS

ON THE BASIS OF SUM ASSURED:

LIFE TIME-

Choose your sum assured, subject to a minimum sum assured of Rs1 lakh. LINKED-

Only 5-20 (age based) multiples are allowed as assured.

ON THE BASIS OF SURVIVAL BENEFIT:

LIFE TIME-

Value of units third year onwards.

LINKED-

Value of units.

ON THE BASIS OF DEATH BENEFIT:

LIFE TIME-

Higher or sum assured or value of units.

LINKED-

Higher or sum assured or value of units.

ON THE BASIS OF WITHDRAWAL BENEFIT:

LIFE TIME-

Partial or complete withdrawals are available from third year onwards. LINKED-

Partial withdrawals are available from third year onwards provided, that the value of units does not go below the sum assured.

ON THE BASIS OF CONTRIBUTION:

LIFE TIME-

Minimum Rs18000 per annum.

LINKED-

Minimum Rs10000 per annum.

4)LIFE TIME PENSION-2 VS LIC JEEVAN NIDHI

ON THE BASIS OF AGE:

LIFE TIME PENSION-2- 18-60 YEARS. JEEVAN NIDHI- 18-65 YEARS.

ON THE BASIS OF TERM:

LIFE TIME PENSION-2- Minimum term of 10 years. JEEVAN NIDHI- 5-35 years.

ON THE BASIS OF SUM ASSURED:

LIFE TIME PENSION-2-

Default sum assured is zero, however, the policy holders can also opt for a sum

assured. JEEVAN NIDHI- Minimum of Rs50000 and multiples of Rs5000 thereafter.

ON THE BASIS OF SURVIVAL BENEFIT:

LIFE TIME PENSION-2- Unit value to purchase an annuity. JEEVAN NIDHI- Sum assured+gurantee additions+terminal bonus.

ON THE BASIS OF DEATH BENEFIT:

LIFE TIME PENSION-2-

Value of units in case the sum assured is zero. In case a sum assured is chosen, it will be higher of the sum assured or value of units.

JEEVAN NIDHI- Sum assured+guarantee additions+simple reversion bonus+terminal bonus.

ON THE BASIS OF CONTRIBUTION:

LIFE TIME PENSION-2- Minimum Rs10000 per annum. JEEVAN NIDHI- Minimum Rs3000 per annum.

ON THE BASIS OF INVESTMENT OPTION:

LIFE TIME PENSION-2-

Protector pension, balancer pension, maximiser pension and pension preserver. JEEVAN NIDHI:

Not available.

ON THE BASIS OF INCREASE OR DECREASE OF DEATH BENEFIT:

LIFE TIME PENSION-2-

Not available. JEEVAN NIDHI- Not available.

STRENGTHS:

  • 1. ICICI Prudential is the largest private player in India,

with

a

market share of around 36% amongst the private players

  • 2. ICICI Prudential has deposited a paid up capital of Rs 925 crore

with IRDA caution deposit, the highest among all the life insurance

company in India where as LIC has deposited Rs 60 crore so far.

  • 3. ICICI Prudential is the first life insurance company to offer ECS debit facility.

  • 4. ICICI Prudential is the first company to introduce unit link life insurance and pension products. Presently the maximum numbers of ranges are under ULIP life insurance, investment as well as pension plan.

  • 5. Products

Flexibility to switch your fund value at your own discretion four times a year viz. maximizer, protector, balancer, preserver.

Greater transparency-policy holder knows what is happening to

his money and where the company has invested his money.

Liquidity options-you can make complete or partial withdrawals

any time after 3 years. Life insurance plans are eligible for deduction under sec 80.

WEAKNESSES:

i.

Industry in nascent stage.

 

ii.

Rural areas still not covered.

iii. Not very known among Indian population.

iv.

Lack of

credibility

among the people because ICICI

being a private player.

v.

Premiums

are high as compared to its competitors.

vi. Very few branches in the country. vii. Products:

The policy doesn’t have the surrender option before third

year. Plan does not offer any guarantee or assured return.

Product profile is not very comprehensive.

Mortality, management and administrative charges are sky scrapping as compared to its competitors

OPPORTUNITIES

i.

Liberalization of Indian economy.

ii.

As the industry is growing the whole market is virgin.

iii.

The whole private sector is opened to be trapped even though

the

competition

is

fierce

from government owned insurance

companies.

 

iv.

It’s a volume business that is even if the company has

few good

corporate the turnover cease to increase by manifold.

v.

Products:

 

Preserver funds look good due to comfortable •

Liquidity in the economy and there

is little chance hike

in short-term rate by RBI.

Finance minister unveiled a budget favoring consumer

spending, boosting demand and therefore

economic growth.

higher

THREATS

i.

The government players will become aggressive thus growth is going to be tough.

ii.

Entry of other players is not ruled out.

 

iii.

Apprehension towards ICICI Prudential being a private life insurance

company.

iv.

We expect the industry to rationalize in future that

is

mergers and

acquisitions

will happen, which will impact

the industry and ICICI Prudential fortunes.

 

v.

Products:

Past performance

of these plans

is

not

Indicative of the future performance of the plan.

The sum invested in the funds is subject to market risks and there can be no

assurance that the objective of plan will be achieved. All benefits payable under the policy are subject to tax Laws and other financial enactment, as they exist from time to time.

Chapter 6

Chapter 6 Data Analysis & Findings

Data Analysis & Findings

Data Analysis

Q1. Are you currently insured?

Particular

No. of Respondents

Percentage

Yes

62

62%

No

38

38%

Total

100

100%

Data Analysis Q1. Are you currently insured? Particular No. of Respondents Percentage Yes 62 62% No

Q2. are you satisfied with your current insurer?

Particular

No. of Respondents

Percentage

Yes

82

82%

No

18

18%

Total

100

100%

Q2. are you satisfied with your current insurer? Particular No. of Respondents Percentage Yes 82 82%
Q2. are you satisfied with your current insurer? Particular No. of Respondents Percentage Yes 82 82%

Q3. Which one is your favored insurance company?

Particular

No. of Respondents

Percentage

LIC

48

48%

ICICI

14

14%

HDFC

10

10%

Birla Sun Life

8

8%

Bajaj Allianz

8

8%

Other

12

12%

Total

100

100%

Q3. Which one is your favored insurance company? Particular No. of Respondents Percentage LIC 48 48%

Q4. Are you interested in the products offered by ICICI Prudential?

Particular

No. of Respondents

Percentage

Yes

60

60%

No

24

24%

Can’t say

16

16%

Total

100

100%

Q4. Are you interested in the products offered by ICICI Prudential ? Particular No. of Respondents

Q5. What is your main concern while taking an insurance policy?

Particular No. of Respondents Percentage Tax Benefit 40 40% Security 32 32% Investments/ savings 28 28%
Particular
No. of Respondents
Percentage
Tax Benefit
40
40%
Security
32
32%
Investments/ savings 28
28%
Total
100
100%
Q6. Does the policies offered to you satisfy your financial needs? (Please rate on the scale
Q6. Does
the policies offered to you satisfy your financial
needs? (Please rate on the scale of 1 to 5 with 1 being least
satisfied)
Rating
No. of Respondents
Percentage
1
18
18%
2
18
18%
3
16
16%
4
20
20%
5
28
28%
Total
100
100%

Q7. Please express your opinion for the premiums paid for the above policy?

Particular No. of Respondents Percentage Very High 28 28% High 22 22% Moderate 26 26% Low
Particular
No. of Respondents
Percentage
Very High
28
28%
High
22
22%
Moderate
26
26%
Low
16
16%
Very Low
8
8%
Total
100
100%

Q8. How do you come to know about the policies?

Particular Advertisement Friend and Relatives Direct Selling agent Others Total No. of Respondents Percentage 20 20%
Particular
Advertisement
Friend and Relatives
Direct Selling agent
Others
Total
No. of Respondents
Percentage
20
20%
24
24%
42
42%
14
14%
100
100%

Q9. Are

you satisfied with the incentives (tax benefits or Bonuses)

associated with your policy?

Particular

No. of Respondents

Percentage

Highly satisfied

18

18%

Satisfied

24

24%

Moderate

20

20%

Unsatisfied

22

22%

Highly Unsatisfied

16

16%

Total

100

100%

Q9. Are you satisfied with the incentives (tax benefits or Bonuses) associated with your policy? Particular

Q10. According to you, in what areas should the insurance companies work upon?

Particular Easy Procedure Fewer Premiums More Returns Transparency Total No. of Respondents Percentage 28 28% 20
Particular
Easy Procedure
Fewer Premiums
More Returns
Transparency
Total
No. of Respondents
Percentage
28
28%
20
20%
18
18%
34
34%
100
100%

Q11. Do You think that services have improved after allowing private players in insurance sector ?

Particular No. of Respondents Percentage Yes 80 80% No 20 20%
Particular
No. of Respondents
Percentage
Yes
80
80%
No
20
20%

Q 12 .are you aware with the new unit link plane in the market?

Particular

No. of Respondents

Percentage

Yes

80

80%

No

20

20%

no of respondents

Yes

No

Q 13 provide the reason behind choosing particular investment company? -safety

-brand name -good track record -good return

Particular

No. of Respondents

Percentage

Safety

28

28%

Brand name

20

20%

Good track record

18

18%

Good return

34

34%

Total

100

100%

no of respondents

safety brand name good track record good return

Q 14 have you ever made a claim on the payment protection insurances you complaining about?

Particular

No. of Respondents

Percentage

Yes

80

80%

No

20

20%

no of respondents

Yes

No

Findings

According to my survey the noteworthy points are:

Most of the people buy life insurance as just a tax benefit tool or as a life cover while only a few of the respondent take it as a saving option. The reason for this is lack of knowledge of insurance benefits among the people.

A Majority of the respondent buy insurance products because of the need reason while rest of the respondents buy for the brand purpose.

ANALYSIS:

From the survey it was found that amongst 50 respondents a) 80% of the respondents think that services have improved. b) 20% of the respondents think that services have not improved.

A Majority of the people come to know about the policies from the Direct Selling Agents.

A Majority of the people are satisfied by the incentives associated with their policies.

Most of the respondents are satisfied by the services offered by there insurance company while some says that they are not satisfied by the services.

Most of the respondents want more Transparency from the side of the company.

Chapter 7

Chapter 7 Conclusion and Suggestions

Conclusion and Suggestions

Conclusion

After overhauling the

all situation that boosted a number

of

Pvt.

Companies associated

with

multinational

in the Insurance Sector

to

give befitting competition to the established behemoth ICICI in private sector,

we come at the conclusion that

There

are very tough

competition

among

theprivate

insurance

companies on the level of new trend of advertising to lull a major part of

Customers.

 

ICICI is not left behind in the present race of advertisement.

The entry of more Pvt. players in the Insurance Sector have expanded the product segment to meet the different level of the requirement of the

customers. It has brought about greater choice to the customers.

ICICI

has

vast

market

and

very

firm

grip

on

its

traditional

customers and monopoly of life insurance products ..

IRDA,

is also playing very comprehensive role by regulating norms

mandating to private players in this sector, that increases the confidence level

of the customers to the private players.

Suggestion s

The study has provided with the useful data from the respondents. There

has a lot to be recommended. Following are the recommendations:

There is a need for better promotion for the investment

products & services. The bank should advertise its products

through television because it will reach to the masses. More returns should be provided on Insurance plans.

As the bank provides the Insurance facility to its customers. It should provide this facility by tie up with the other Insurance organizations as

well. The main reason is that, the entire customers do not want Insurance of only one company. They should have choice while selecting a suitable Insurance plans. This will definitely add to the

goodwill & profit for the bank.

Annexure

Annexure

Questioner

Questioner

Q 13.are you aware with the new unit link plane in the market? -yes -no

Q 14 provide the reason behind choosing particular investment company? -safety -brand name -good track record -good return

Q 15 have you ever made a claim on the payment protection insurances you complaining about? -yes - no

Bibliography