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A Project Report of Summer Internship Program

At
IDBI FORTIS

Submitted towards the PARTIAL FULFILLMENT OF THE

Post-Graduate Diploma in Management-Tourism Management

(Approved by AICTE, Government of India)


2009-2011

Under The Guidance of


Industry Guide Faculty Guide
MR. MOHD. SHABAN Prof. K. AJAY SINGH
Faculty PGDM-TM

SUBMITTED BY
AVNISH KUMAR SARASWAT
TM-09011

INSTITUTE OF MANAGEMENT STUDIES GHAZIABAD


DECLARATION

I hereby declare that all information and data provided in this report are
collected from both primary and secondary sources and are true to the best
of my knowledge.

AVNISH KUMAR SARASWAT


TM-09011
S.No PARTICUALRS

1 DECLARATION

2. ACKNOWLEDGEMENTS

3. 2.INSURANCE

2.1 HISTORY
2.2 INSURANCE INDUSTRY OF INDIA
2.3 LIFE INSURANCE
2.4 GENERAL INSURANCE
2.5 INSURANCE REGULATARY AND DEVELOPMENT
AUTHORITIES IRDA

4. 3.COMPANY PROFILE

3.1 ABOUT HERITAGE


3.2 THE COMPANIES AND THEIR SHARES
3.3 MISSION
3.4 VALUE
3.5 PRODUCT OF IDBI FORTIS

5. WEALHSURANCE

4.1 MY INSURANCE ACCOUNT

4.2 PREMIUM MODE


4.3 ELEGIBILITY CONDITION

4.4 MAJOR INVESTMENT AREAS OF WEALTHSURANCE

4.5 INVESTMENT STRATEGY

5.1 RESEARCH METHODOLOGY


6.
5.2 RESPOND TO QUESTINAIRE

7.

FINDINGS

7
SUGGESTION AND RECOMMENDATION
ACKNOWLEDGEMENT

I would like to extend my deep gratitude towards IDBI FORTIS for providing me with
an excellent opportunity to be associated with it as a part of my summer internship
programme.

Although it would be difficult to thank all those who contributed towards completion of
my project report, yet I would like to thank a few people. The experience of training in
IDBI FORTIS was excellent due to the co-operation of staff. I would like to thank to Mr.
K. Ajay Singh for providing me such opportunity to undertaking my training with such a
reputed company.

I express my gratitude to my esteemed industry guide at IDBI FORTIS, Mr. Mohd.


Shaban, who gave me a wonderful opportunity to work on this project and provided an
enlightened perspective and conductive environment during this project.
I would also like to thank IDBI FORTIS management, which also co-operated with me
and shared their valuable time for me to know the various functions of the online travel
world.

Last, but not the least I would like to extent my gratitude to all the people who directly or
indirectly helped me in preparing this report.

INSURANCE
The business of insurance is related to the protection of the economic values of assets.
Every asset has a value; the assets would have been created through the efforts of the
owner. The asset is valuable to the owner, because he expects to get some benefits from
it. The benefit may be an income or something else. It is a factory or a cow, the product
generated by is sold and income generated. In the case of a motor car, it provides comfort
and convenience in transportation. There is no direct income.

Every asset is expected to last for a certain period of time during which it will perform.
After that, the benefit may not be available. There is a life-time for a machine in a factory
or a cow or a motor car. None of them will lose for ever. The owner is aware of this and
he can so manage his affairs that by the end of that period of life-time, a substitute is
made available. Thus, he makes sure that the value of income is not lost. However, the
asset may get lost earlier. An accident or some other unfortunate event may destroy it or
make it non financial. In that case, the owner and those deriving benefits there from,
would be deprived of the benefit and the planned substitute would not have been ready.
There is an adverse or unpleasant situation. Insurance is a mechanism that helps to reduce
the effect of such adverse situation.

HISTORY

The business of insurance started with marine business. Traders, who used to gather in
the Lloyd’s coffee house in London, agreed to share the losses to their goods while being
carried by ships. The losses used to occur because of pirates who robbed on the high seas
or because of bad weather spoiling the goods or sinking the ship. The first insurance
policy was issued in 1583 in England. In India, insurance began in 1876 with life
insurance being transacted by an English company, the European and the Albert. The first
Indian insurance company was the Bombay Mutual Assurance Society Ltd, formed in
1870. This was followed by the Oriental Life Assurance Co. in 1874, the Bharat in 1896
and the Empire of India in 1897.

Table 1: milestone’s in the life insurance business in India

Year Milestones in the life insurance business in India

1912 The Indian Life Assurance Companies Act enacted as the first statute
to regulate the life insurance business
1928 The Indian Insurance Companies Act enacted to enable the government
to collect statistical information about both life and non-life insurance
businesses
1938 Earlier legislation consolidated and amended to by the Insurance
Act with the objective of protecting the interests of the insuring public.
1956 245 Indian and foreign insurers and provident societies taken over by
the central government and nationalised. LIC formed by an Act of Parliament,
viz. LIC Act, 1956, with a capital contribution of Rs. 5 crore from the
Government of India.
Later, the Hindustan Cooperative was formed in Calcutta, the United India in
Madras, the Bombay Life in Mumbai, the National in Calcutta, the New India in
Mumbai, the Jupiter in Mumbai and the Lakshmi in New Delhi. These were all Indian
companies, started as a result of the swadeshi movement in the early 1900s. By the year
1956, when the life insurance was nationalized and the Life Insurance Corporation of
India (LIC) was formed on 1st September 1956, there were 170 companies and 75
provident fund societies transacting life insurance business in India. After the amendment
to the relevant laws in 1999, the L.I.C. did not have the exclusive privilege of doing life
insurance business in India. By 31.3.2002, eleven new insurers had been registered and
and had begun to transact life insurance business in India.

WHY INSURANCE IS NEEDED

Assets are insured, because they are likely to be destroyed, through accidental
occurrences. Such possible occurrences are called perils, Fire, floods, breakdown,
lightning, earthquakes, etc, are perils. If such perils can cause damage to the asset, we say
that the asset is exposed to that risk. Perils are the events. Risks are the consequential
losses or damages. The risk to a owner of a building, because of the peril of an
earthquake, may be a few lakhs or few crores of rupees, depending on the cost of the
building and the contents in it.

The risk only means that there is a possibility of loss or damage. The damage may or may
not happen. Insurance is relevant only if there are uncertainties. If there is no uncertainty
about the occurrence of an event, it cannot be insured against. In the case of a human
being, death is certain, but the time of death is uncertain, In the case of a person who is
terminally ill, the time of death is not uncertain, though not exactly known. He cannot be
insured.

Insurance does not protect the asset. It does not prevent its loss due to the peril. The peril
cannot be avoided through insurance. The peril can sometimes be avoided, through better
safety and damage control management. Insurance only tries to reduce the impact of the
risk and the owner of the assets and those who depend on that asset. It only compensates
the losses – and that too, not fully.
Only economic consequences can be insured. If the loss is not financial, insurance may
not be possible. Examples of non economic losses are love and affection of parents,
leadership of managers, sentimental attachments to family heirlooms, innovative and
creative abilities, etc.

INSURANCE INDUSTRY OF INDIA

Indian economy is the 12th largest in the world, with a GDP of $1.25 trillion and 3rd
largest in terms of purchasing power parity. With factors like a stable 8-9% annual
growth, rising foreign exchange reserves, a booming capital market and rapidly
expanding FDI inflows, it is on the fulcrum of an ever-increasing growth curve.

Insurance is one major sector that has been on ascent since the revival of Indian
economy. Taking into account the huge population and growing per capita income
besides several other driving factors, a huge opportunity is in store for the insurance
companies in India. Nearly 80% of Indian population is without life insurance covering
while health insurance and non-life insurance continues to be below international
standards. And this part of the population is also subjected to weak social security and
pension systems with hardly any old age income security. Insurance in India is primarily
used as a means to improve personal finances and for income tax planning. There is a
tendency to invest in properties and gold followed by bank deposits with a slight
investment in Stocks and Shares.

This in itself is an indicator that growth potential for the insurance sector is immense. It’s
a business growing at the rate of 15-20% per annum and presently is of the order of $47.9
billion.
The various fields covered by insurance companies in India include:

Life Insurance: For students, children, family, individual etc.

Health insurance: For self, for family, accidental insurance premium etc.

Non-life insurance: Home or House Insurance and other property insurance Auto
Insurance (for cars, motorcycle and other two-wheelers, commercial vehicles),
Infrastructure Projects Insurance, Travel Insurance, real estate insurance, mobile
insurance etc.

Apart from life insurance all the insurances are known as General Insurance.

LIFE INSURANCE

With the entry of private sector players backed by foreign expertise, Indian life insurance
market has become more vibrant. Competition in this market is increasing with
companies continues effort to lure the customers with new product offerings. However,
the market share of private insurance companies remains in the 10-15% range. Even
today, Life Insurance Corporation (LIC) of India dominates Indian insurance sector and
in the year 2007-08 it has sold 3.75 Crore Policies collecting Rs. 43813 Crore as
Premium. The heavy hand of government still dominates the market, with price controls,
limits on ownership, and other restraints.
Total market share of different insurance companies as on 2008 December

GENERAL INSURANCE

The biggest player in this sector is the General Insurance Company. In 1972, the General
Insurance Company was nationalized with four main subsidiaries National Insurance
Company, New India Insurance Company, Oriental Insurance Company and United India
Insurance Company.

This situation is fast changing and recently the State-owned non-life insurance
companies have lost further market share in the first quarter of 2007-08, as the industry
slowly adjusts to a free-pricing market. The slower growth among state-owned
companies has resulted in ICICI Lombard displacing public sector Oriental Insurance to
become the fourth-largest insurer in India.
In the first quarter, non-life insurance has grown 13.4%, taking the total premium to Rs
8,437 crore, up from Rs 7,438 crore in the corresponding quarter last year. The growth
has largely come from private companies that have grown 22.4% against public sector
companies that have grown much slower at 7.7%. Unlike life insurance where
government presence is through the monolithic Life Insurance Corporation (LIC), the
government owns four companies in non-life — New India, Oriental Insurance, National
Insurance and United India. The state-owned companies now account for 58% of non-life
premium compared with 61% a year ago.

The highest growth rates have been recorded by Cholamandalam (35%), followed by
Iffco-Tokio (33%), Tata AIG (28.12%) and Bajaj Allianz (27.85%).

Insurance Regulatory and Development Authority IRDA


The Insurance Regulatory and Development Authority (IRDA) is a national agency of the
Government of India, based in Hyderabad. It was formed by an act of Indian Parliament
known as IRDA Act 1999, which was amended in 2002 to incorporate some emerging
requirements. Mission of IRDA as stated in the act is "to protect the interests of the
policyholders, to regulate, promote and ensure orderly growth of the insurance industry
and for matters connected therewith or incidental thereto."
Expectations: -
The law of India has following expectations from IRDA
1. To protect the interest of and secure fair treatment to policyholders.
2. To bring about speedy and orderly growth of the insurance industry (including annuity
and superannuation payments), for the benefit of the common man, and to provide long
term funds for accelerating growth of the economy.
3. To set, promote, monitor and enforce high standards of integrity, financial soundness,
fair dealing and competence of those it regulates.
4. To ensure that insurance customers receive precise, clear and correct information about
products and services and make them aware of their responsibilities and duties in this
regard.
5. To ensure speedy settlement of genuine claims, to prevent insurance frauds and other
malpractices and put in place effective grievance redressal machinery.
6. To promote fairness, transparency and orderly conduct in financial markets dealing
with insurance and build a reliable management information system to enforce high
standards of financial soundness amongst market players.
7. To take action where such standards are inadequate or ineffectively enforced.
8. To bring about optimum amount of self-regulation in day-to-day working of the
industry consistent with the requirements of prudential regulation.
Duties, Powers and Functions of IRDA
Section 14 of IRDA Act, 1999 lays down the duties, powers and functions of IRDA
 Subject to the provisions of this Act and any other law for the time being in force,
the Authority shall have the duty to regulate, promote and ensure orderly growth
of the insurance business and re-insurance business.

 Without prejudice to the generality of the provisions contained in sub-section (1),


the powers and functions of the Authority shall include,
• Issue to the applicant a certificate of registration, renew, modify, withdraw,
suspend or cancel such registration;
• Protection of the interests of the policy holders in matters concerning assigning of
policy, nomination by policy holders, insurable interest, settlement of insurance
claim, surrender value of policy and other terms and conditions of contracts of
insurance;
• Specifying requisite qualifications, code of conduct and practical training for
intermediary or insurance intermediaries and agents;
• Specifying the code of conduct for surveyors and loss assessors;
• Promoting efficiency in the conduct of insurance business;
• Promoting and regulating professional organizations connected with the insurance
and re-insurance business;
• Levying fees and other charges for carrying out the purposes of this Act;
• Calling for information from, undertaking inspection of, conducting enquiries and
investigations including audit of the insurers, intermediaries, insurance
intermediaries and other organizations connected with the insurance business;
• Control and regulation of the rates, advantages, terms and conditions that may be
offered by insurers in respect of general insurance business not so controlled and
regulated by the Tariff Advisory Committee under section 64U of the Insurance
Act, 1938 (4 of 1938);
• Specifying the form and manner in which books of account shall be maintained
and insurers and other insurance intermediaries shall render statement of
accounts;
• Regulating investment of funds by insurance companies;
• Regulating maintenance of margin of solvency;
• Adjudication of disputes between insurers and intermediaries or insurance
intermediaries;
• Supervising the functioning of the Tariff Advisory Committee;
• Specifying the percentage of premium income of the insurer to finance schemes
for promoting and regulating professional organizations referred to in clause (f).
COMPANY INTRODUCTION

IDBI Fortis Life Insurance Co Ltd, is a joint venture between three leading financial
conglomerates – India’s premier development and commercial bank, IDBI, India’s
leading private sector bank, Federal Bank and Europe’s premier Bancassurer, Fortis, each
of which enjoys a significant status in their respective business segments. In this venture,
IDBI owns 48% equity while Federal Bank and Fortis own 26% equity each.

IDBI Fortis launched its first set of products across India in March 2008, after receiving
the requisite approvals from the Insurance Regulatory Development Authority (IRDA).
Today, we offer our services through a vast nationwide network across the branches of
IDBI Bank and Federal Bank in addition to a sizeable network of advisors and partners.

At IDBI Fortis we endeavor to deliver products that provide value and convenience to the
customer. Through a continuous process of innovation in product and service delivery we
intend to deliver world-class wealth management, protection and retirement solutions to
Indian customers.

About Heritage

IDBI Bank Ltd. continues to be, since its inception, India’s premier industrial
development bank. Created in 1956 to support India’s industrial backbone, IDBI Bank
has since evolved into a powerhouse of industrial and retail finance. Today, it is amongst
India’s foremost commercial banks, with a wide range of innovative products and
services, serving retail and corporate customers in all corners of the country from over
538 branches and more than 921 ATMs. The Bank offers its customers an extensive
range of diversified services including project financing, term lending, working capital
facilities, lease finance, venture capital, loan syndication, corporate advisory services and
legal and technical advisory services to its corporate clients as well as mortgages and
personal loans to its retail clients. As part of its development activities, IDBI Bank has
been instrumental in sponsoring the development of key institutions involved in India’s
financial sector – such as the Securities and Exchange Board of India (SEBI), National
Stock Exchange of India Limited (NSE) and National Securities Depository Ltd.

Federal Bank is one of India’s leading private sector banks, with a dominant presence in
the state of Kerala. It has a strong network of over 600 branches and 600 ATMs spread
across India. The bank provides over four million retail customers with a wide variety of
financial products. Federal Bank is one of the first large Indian banks to have an entirely
automated and interconnected branch network. The Bank operates on the core banking
platform and is RTGS/ NEFT enabled through which it offers state-of-the-art technology
enabled products and services. In addition to interconnected branches and ATMs, the
Bank has a wide range of services like Internet Banking, Mobile Banking, Tele Banking,
and Any Where Banking, debit cards, online bill payment and call centre facilities to
offer round the clock banking convenience to its customers. The Bank has been a pioneer
in providing innovative technological solutions to its customers and the Bank has won
several awards and recommendations.
Fortis is an international insurance group composed of Insurance Belgium, a leader in
life and non-life insurance in Belgium distributing its insurance products through the
network of Fortis Bank and independent insurance brokers and Insurance

International with subsidiaries in the UK, France, Hong Kong, Luxembourg (Non-life),
Germany, Turkey, Russia and Ukraine, and joint ventures in Luxembourg (Life),
Portugal, China, Malaysia, Thailand and India.

The companies and their shares

IDBI Fortis Life Insurance Co Ltd is a joint venture between three leading financial
conglomerates – IDBI, Fortis and Federal Bank. With the impressive pedigree of these
three financial giants, IDBI Fortis aims to provide innovative wealth management,
protection and retirement solutions to customers all across India. IDBI owns 48% equity,
Federal Bank and Fortis own 26% equity each. It was registered as a Life Insurer under
Section3 of the Insurance Act, 1938 with IRDA on December19, 2007.

At IDBI Fortis, we strongly believe that our human capital will play a vital role in the
delivery of our products to our customers. The IDBI Fortis vision is ’to build a customer-
centric Agency Channel that sets industry benchmarks for reach, quality and cost
effectiveness.’
We believe that by investing in and building human capital we can achieve our vision.
Mission
To continually strive to enhance customer experience through innovative product
offerings, dedicated relationship management and superior service delivery while striving
to interact with our customers in the most convenient and cost effective manner.
To be transparent in the way we deal with our customers and to act with integrity. To
invest in and build quality human capital in order to achieve our mission.
Value
Transparency: Crystal Clear communication to our partners and stakeholders.
Value to Customers: A product and service offering in which customers perceive
value.
Rock Solid and Delivery on Promise: This translates into being financially strong,
operationally robust and having clarity in claims.
Customer-friendly: Advice and support in working with customers and partner.
Profit to Stakeholders: Balance the interests of customers, partners, employees,
shareholders and the community at large.

PRODUCT OF IDBI FORTIS


IDBI fortis is providing various insurance policies for the commonwealth of the people
and its customer in particular. The various insurance policies provided by the company
are:

1. Wealthsurance

2. Incomesurance

3. Homesurance

4. Retairesurance
5. Bondsurance

6. Group microsurance

7. Termsurance

8. Healthsurance

HOMESURANCE
The Homesurance Protection Plan is a reducing term plan, which provides insurance
cover equal to the outstanding balance of your home loan. In the unfortunate event of
death of the home loan borrower, the insurance cover enables repayment of the home
loan liability.

BONDSURANCE
Bondsurance is a single premium plan which allows you to make a one-time investment
and get a guaranteed amount on maturity. You can choose a maturity period of 5 or 10
years for your investment. At the end of the chosen period, you will receive a guaranteed
maturity amount. Besides the guaranteed maturity amount, Bondsurance also provides a
life insurance cover. In case of death before the maturity date, a Death Benefit which is
also guaranteed will be paid. Thus you can get life insurance cover, while earning an
assured return on your investment.

RETIRESURANCE
Retiresurance is a pension plan without life cover that allows a longer policy term so that
the customer’s investments can get the benefit of compounding. The customer has to
choose any vesting age between 40-75 yrs. The vesting age chosen can also be postponed
or preponed within the above range by informing the company 30 days in advance. It is
especially for people who wish to lead a happy and prosperous life even after their
retirement.

Microsurance™ Plan

The IDBI Fortis Group Microsurance Plan provides affordable life insurance cover to
groups. The plan is extremely useful to Micro Finance Institutions, Self Help Groups and
NGOs to insure the lives of their group members and thus provide security to the group
member’s families. The plan can also be used for providing loan protection to the group
member’s families.

Affordable Protection:
Life insurance cover for group members at affordable cost

Wide Coverage:
Members aged between 18 to 60 years can be covered Sum insured between Rs. 5,000 to
Rs. 50,000 per member can be availed

Hassle-Free Issuance:
No medical reports required even up to the maximum sum insured of Rs. 50,000.
Automatic acceptance of cover without any evidence of health for groups with more than
200 members
Accidental Death Benefit Rider:
Option to avail additional cover for accidental death equal to the base benefit.

Termsurance™ Protection Plan

A host of benefits and options aimed at satisfying your every need. Termsurance™
comes with three cover options which you can select on the basis your requirement.
Termsurance™ is designed with a host of benefits & options aimed at satisfying your
every need. It not only allows you to customise your plan as per your individual and your
family’s needs but it comes with a host of benefits like convenient insurance cover
options, flexible premium payment terms, choice of policy term and lots more flexible
options.

Healthsurance™ Hospitalisation and Surgical Plan


A Health Plan Without The Headaches

Why Healthsurance™?
Every year, millions of adults in India are admitted to hospitals due to illness or injury.
Even If you think it won’t happen to you, there is unfortunately a very real chance that it
will. The costs involved in even the shortest hospital stay can be difficult to meet for
many individuals and families. On top of the costs of the treatment itself, household bills
still need to be paid and there could be extra costs to cover, such as travel expenses for
family visits and additional childcare costs.

What is Healthsurance™?
Presenting IDBI Fortis Healthsurance™ Hospitalisation and Surgical Plan*. If you’re
aged 18 years to 55 years and currently in good health, this new insurance plan is
designed to help you manage the extra financial burden that comes with hospitalisation,
by providing a wide range of attractive benefits.

Out of those eight major insurance policy, in my summer internship training we are
trained for only Wealthsurance and Incomesurance policy which is considered to be two
of the best insurance policies provided by IDBI Fortis.
So here I describe the two insurance policies in detail.

WEALTHSURANCE

Wealthsurance offers you Insured Wealth Plans. They allow you to create build and
manage wealth by giving several choices and great flexibility so that your plan meets
your specific needs. You can decide how you wish to save so that it suits your savings
habit. You can choose how your money is invested so that you can grow wealth as per
your investment preferences. What is even better, Wealthsurance protects your wealth
plans with insurance benefits so that your wealth-building efforts remain unaffected in
unforeseen events and your financial goals can still be achieved.
What is Wealthsurance?
Wealthsurance combines wealth creation and insurance protection into one powerful
financial solution. Unlike other investment alternatives, it allows you to ensure that your
goals of wealth creation are achieved even in the event of serious illness, accidents,
disablement or death.

Wealth Plan with a powerful range of Investment Choices


Wealth creation does not happen by chance, it needs a plan.
Wealthsurance is a wealth plan which allows you to build and manage wealth. You can
save into the Plan as much money as you want, whether at one time, at regular intervals
or as per your convenience. Wealthsurance offers a wide choice of investment options
from which you can select one or more, based on your preferences.
The investment options we offer are designed to meet the needs of all types of investors
depending upon their risk appetite, stage of life or investment horizon. You can choose
options that give
(a) Assured fixed returns, (b) variable returns linked to market performance or (c) returns
linked to equity market but with protection of capital. Wealth grows in your plan based
on the options you have chosen.

Wealth Plan can be insured against unforeseen events


Wealthsurance can protect your Wealth Plan against a range of events such as death,
terminal illness, 17 major diseases sickness requiring hospitalization, serious accidental
injuries or total and permanent disablement. With other investment products, if any such
event happens, you may not be able to save as planned or even be forced to withdraw
from your savings. But in Wealthsurance, these benefits allow you to meet additional
expenses without affecting your fund value so that your plans to save and accumulate
wealth are not affected even if life throws surprises. Once you sign up for it, your
Wealthsurance Plan works even if you are not able to.Wealth grows better under a
protective cover because life’s uncertainties cannot deplete wealth, which otherwise they
would normally do.
Wealthsurance is for those who will live. Life insurance is sometimes thought of as for
those who might die, but Wealthsurance is for those who will live. Usually life insurance
products provide benefits upon death, but
Wealthsurance is designed to also give Living Benefits to ensure your well-being in your
own lifetime.
How does Wealthsurance work?
Wealthsurance gives you
(a) Investment Account and
(b) Insurance Account. My Investment Account
From the premiums you pay, Premium Allocation Charge is deducted. The balance
amount goes into the investment options you choose in the proportion you specify. IDBI
Fortis Investment Basket contains all the investment options we offer.
The balance in your Investment Account reflects the wealth built over time from your
premium contributions and the returns from the investment options chosen by you.

My Insurance Account
You can also choose any of the insurance benefits we offer under IDBI Fortis Insurance
Basket. You pay for only those benefits you choose and the charges are deducted from
your Investment Account.

My Wealthsurance Plan: Get the one you need

Wealthsurance has many options so that you can choose what suits your circumstances.
You can make your Wealthsurance Plan in two ways.

Ready Plans for typical needs


We have developed several Ready Plans to meet the typical needs of customers. A Ready
Plan is simply a set of pre-chosen options of the Wealthsurance Foundation Plan. Each
Ready Plan is aimed at a specific need. There is quite likely a Ready Plan that suits your
needs in which case you can simply choose the Plan.

Custom Plan for specific needs


If a Ready Plan does not meet your needs, you can design your own Custom
Wealthsurance Plan with 5 simple steps:
Step 1: Choose the premiums you wish to contribute
Step 2: Choose the investment options your money goes into
Step 3: Choose the Sum Insured for Life and Terminal Illness Benefit
Step 4: Choose the optional insurance benefits you need
Step 5: Choose Plan Term based on your horizon for building wealth and for enjoying
insurance benefits.

PREMIUM MODE

Pay premiums in a flexible manner: Build wealth easily with convenient savings
Wealthsurance allows you to save in a manner that best suits your savings habit. It is very
flexible in premium contributions. You can save in a disciplined manner and also get
flexibility to contribute additional amounts whenever you have extra money.
Wealthsurance allows you to pay premiums just one time or for a limited period and yet
enjoy insurance benefits for a long period. Flexible premiums allow you to build wealth
in a convenient manner and also get tax benefits. Types of Premiums
Wealthsurance has two types of premiums: (a) Basic Premiums and (b) Top-up
Premiums.
(a) Basic Premiums
When you choose your Wealthsurance Plan, you have to indicate the premiums you wish
to contribute. These are your Basic Premiums. You can choose either Single Premium or
Regular Premium.
Single Premium: If you choose Single Premium, you have to simply make a one-time
payment at the time of taking the Plan.
Minimum amount is Rs 20,000.
Regular Premium: If you choose Regular Premium, you have to indicate (a) Amount, (b)
Frequency of payment and
(c) Payment Term. Minimum amount is Rs 10,000 per year, payable in quarterly, half-
yearly or annual installments as you choose.
Minimum amount is Rs 1,000 per month, if you choose monthly payment mode.
Minimum premium payment period is 3 years.

(b) Top-up Premiums


Over and above the Basic Premiums, you can pay Top-up Premiums. Minimum amount
is Rs 5,000 at a time and you can pay whenever you want and any number of times until
the maturity of your Plan. Top-ups allow you to contribute additional premiums if and
when you want, grow wealth at your convenience and get tax benefits. Top-up Premiums
can be paid only if you have paid all the Basic Regular Premiums due till date.
Top-up Premiums may require additional sum insured
If total of Top-up Premiums paid exceed 25% of Basic Premiums paid (whether Single or
Regular) till the date of any Top-up, the excess amount should have life insurance cover
equal to 125%. to ensure that you have flexibility to pay the amount of Top-up
Premiums you want please choose a higher Sum Insured at the time of taking
Wealthsurance Plan. You can also apply to us to increase Sum Insured at a later date if
you so wish.
Best of both worlds
Basic Premiums enable you to become a disciplined saver and invest in a systematic,
methodical way to build wealth. Top-up Premiums give you the flexibility to contribute
additional premiums whenever you have extra money so that you can reach your goals
faster. Together, they give you great flexibility to save, invest and grow wealth.
No premium allocation charge

100% of your premium is allocated to the investment


options chosen by you. There is no premium allocation charge.
Eligibility Conditions

Any person over the age of 18 years can apply to us to take a Wealthsurance Plan. You
can designate yourself or any other person (in whom you have insurable interest) as the
Insured Person. The Insured Person should be at least one month old but not more than
65 years old. Age of the Insured Person cannot exceed 75 years at the end of Plan Term.
Wealthsurance allows you to pay premiums and get tax benefits for yourself, while the
insurance benefits can cover your spouse or child.
Where the Insured Person is a minor, the policy will vest in the minor upon attaining
majority at the age of 18 years.

IDBI Fortis Investment Basket: Tools for building your wealth


The power of Wealthsurance is provided by the wide choice of investment options it
offers. They give you great flexibility
in how you build and manage wealth. The full range of investments we offer is called the
IDBI Fortis Investment Basket.
You can choose one or more options from the basket based on your return expectations
and risk tolerance. You can also switch and change your investment options from time to
time, as you wish. The investment options we offer are designed to meet the needs of all
types of investors. You can choose the options that best suit your needs of safety,
liquidity and returns.

Fixed Return Options


We offer investment options that give fixed assured returns for those who prefer to get
fixed or floating rate of return on their investment.

Capital Guaranteed Options


We also offer options where we guarantee the face value of each unit on the specified
maturity date. A part of the money is invested in stock markets and your returns depend
upon the market performance. These are suitable for those who want to invest in equity
markets, without fear of loss of principal.

Market Fund Options


We offer a range of funds that invest in stocks, bonds and money market. The returns on
these funds are dependent upon the market performance. Returns and risk vary by the
type of fund.

Manage yourself or leave it to us. We offer two ways in which you can manage your
investments:

Do-it-yourself: You can decide to invest in the various options and change them from
time to time, as you wish. This is suitable when you have a specific idea where you wish
to invest or you have the time and inclination to manage your investments from time to
time.

Leave-it-to-us: Alternatively, you can leave it entirely to us to manage your investment


strategy from time to time by simply indicating how much risk you are prepared to take.
We give you a choice of three risk levels: Cautious, Moderate and Aggressive.
Equity exposure is restricted, based on the risk level you choose.
MAJOR INVESTMENT AREAS OF WEALTHSURANCE

Types of Investment Options (FUNDS)

We offer five types of Investment Options: (a) Monthly Interest Account which gives interest at a
declared rate on your account balance, (b) Guaranteed Return Funds which give fixed, assured
returns for a specified period, (c) Capital

Guaranteed Funds which ensure that your principal is protected even while investing in stocks, (d)
Market Linked Funds where you can choose to invest in stocks, bonds or money market and get
market returns, (e) Asset Allocator Funds where

you can leave the management of your funds entirely to us, by simply indicating the level of risk you
are prepared to take.

1. Fixed Return Options: When you want fixed, assured returns

A. Monthly Interest Account

Risk: Low

Monthly Interest Account gives you fixed interest on the account balance. You can choose to deposit
any proportion or all of your premiums into it, whether regular or top-up Premiums.

Your Account will earn interest at the declared rate on the daily outstanding balance. The balance in
your Account, consisting of premiums deposited and interest earned, is available to switch into any
other investment option and for withdrawals as permitted.

Interest Rate: At the beginning of each month, IDBI Fortis will declare a credit rate by way of
interest

for this Account. The interest rate will be declared out of the estimated income from the underlying
segregated portfolio of investments after (a) appropriation of fund management charge of 1%, and (b)
transfers to/from a smoothing reserve. Your account balance will grow each day at the declared
interest rate. Rates declared for the Account are available at www.idbifortis.com

The purpose of Monthly Interest Account is to provide a smoothed return to the investors from out of
the investment income of the underlying portfolio. For this purpose, a reserve for smoothing of
interest rate will be maintained.

Investment Pattern: The Monthly Interest Account is a segregated fund which will invest 100% of
the money in fixed income investments including government securities, treasury bills, bank deposits,
certificates of deposit, corporate securities, commercial paper, securitized papers, structured products,
money market instruments, etc. The fund may use derivatives to meet its objective to the extent
permitted by the applicable guidelines.

B. Guaranteed Return Funds

Risk: Low

Guaranteed Return Funds give you an assured, fixed return for a specified period. Each fund matures
on a specified date and carries a minimum Guaranteed Maturity Value for each unit. Each fund is
available for investment for a limited period after the opening date during which units are allotted

at the Net Asset Value. Upon maturity of the fund, you will receive the Net Asset Value as on the
maturity date or the Guaranteed Maturity Value for the units you hold, whichever is higher.

Available Funds: The available funds and the guaranteed maturity value for each unit that they carry
are declared by us from time to time. You can select a fund from those available at the time you pay
the premium. You can also switch into them when they are available. The available funds are given at

www.idbifortis.com

Liquidity: Guaranteed Return Funds mature on the specified date. However, if you wish, you can
redeem them before maturity at the Net Asset Value and the guarantee will not apply.

Investment Objective: Guaranteed Return Funds are segregated closed-ended funds with specific
maturity date and a minimum guaranteed maturity value per unit. They aim to generate a fixed return
by investing in fixed income instruments with maturities close to the maturity date of the fund and
follow a buy-and-hold strategy.

Investment Pattern: These funds invest up to 100% of the moneys in fixed income investments
including government securities, treasury bills, bank deposits, certificates of deposit, corporate
securities, commercial paper, securitized papers, structured products and money market instruments.

The fund may use derivatives to meet its objective to the extent permitted by the applicable
guidelines.

Fund Management Charge: A fund management charge of 1.5% p.a. will be appropriated while
computing the Net Asset Value of the Guaranteed Return Funds.

Dynamic Guaranteed Options: You can invest in stocks without losing the principal

C. Dynamic Guaranteed Funds

Risk: Medium
Dynamic Guaranteed Funds provide minimum guarantee of the highest Net Asset Value
(NAV) per unit achieved during the subscription period, on the specified maturity date.
This will be the minimum guaranteed NAV per unit. As the fund starts at Rs 10, the
minimum guaranteed NAV on the maturity date will also not be less than the face value
of Rs 10 per unit. Thus your entry NAV per unit is protected. Returns are, however, not
guaranteed and depend upon the performance of the equity portfolio of the fund and the
stock market.

Available Funds: Dynamic Guaranteed Funds are segregated closed-ended funds with
specified
maturity date. Each fund is available for investment for a limited period after the opening
date during
which units are allotted at the Net Asset Value. This limited period is called the
subscription period.
Upon maturity, you will receive the actual NAV per unit or the minimum guaranteed
NAV per unit,
whichever is higher, for the units you hold.
The available funds are declared by IDBI Fortis from time to time. You can select a
Dynamic
Guaranteed Fund from those available at the time you pay the premium. You can also
switch into
them when they are available. The available funds are given at www.idbifortis.com

Investment Strategy:
Dynamic Guaranteed Funds are managed using capital protection techniques including portfolio
insurance strategies and manage the exposure to equity and debt with a view to
obtaining equity exposure consistent with capital protection and the guaranteed maturity value. The
funds will implement ‘ratcheting’strategy as decided by IDBI Fortis.Under‘ratcheting’, when the
Dynamic Guaranteed Funds have made returns over and above the amount needed to provide for
guaranteed value, the returns may be ‘locked-in’ by investing in debt so that you are assured of
those returns even if the market moves adversely in the future.‘Ratcheting’
may reduce future
exposure to equity.
Dynamic Guaranteed Funds may also use derivatives to meet their objectives to the extent permitted
by applicable guidelines.

Investment Pattern:

Dynamic Guaranteed Funds may invest up to 100%in equity or in fixed


income instruments including cash and money market. The fund may use derivatives to meet its
objective to the extent permitted by the applicable guidelines.

Liquidity: Dynamic Guaranteed Funds mature on the specified date. However, if you wish you can
also redeem them before maturity at the Net Asset Value, but the guarantee will not apply.

Fund Management Charge: A fund management charge of 1.35% p.a. plus an investment guarantee
charge of 0.90% p.a. will be appropriated while computing the Net Asset Value of the Dynamic
Guaranteed Funds.

3. Market Fund Options: For investing in stocks, bonds or money market

Market Linked Funds are similar to mutual funds. They are open-ended funds which invest in equity,
debt or money market as per their investment objectives. The Net Asset Value (NAV) of each fund is
published on a daily basis.

You can invest your premiums into, switch into or switch out of any fund at any time at the NAV.
Your gain or loss is the difference between the value at which you invested and the value at which
you exited. In Market Linked Funds, the

NAV depends on the market value of the underlying investments. The expected return and risk vary
by the Fund.

We offer the following funds:

Fund: D1. Equity Growth Fund

Risk: High

Investment Objective: Seeks to invest in listed stocks and aims to generate high returns by picking
stocks that have growth prospects. It aims to diversify risk by investing in large-cap as well as mid-
cap stocks and across multiple sectors.

Investment Pattern: Fixed Income Investments including Cash and Money Market Allocation
Equities and Equity-linked Instruments

Allocation: 0 - 50%

50 - 100%

Fund: D2. Nifty Index Fund

Risk: High

Investment Objective: Nifty Index Fund invests in Nifty stocks and aims to track the index as
closely as possible.
Investment Pattern: Fixed Income Investments including

Cash and Money Market Equities and Equity-linked Instruments

Allocation: 0 - 20%

80 - 100%

Fund: D3. Bond Fund

Medium

Investment Objective: Seeks to invest in fixed income investments and aims to generate returns
from interest coupons and the opportunities in changing yield curve. The duration of the underlying
portfolio may be high or low, depending upon the market conditions.

Investment Pattern: Fixed Income Investments including

Cash and Money Market

Allocation: 100%

Fund: D4. Income Fund

Risk: Low

Investment Objective: Aims to generate a return by seeking to invest in fixed income investments
that carry low or medium market risk
Investment Pattern: Fixed Income Investments including

Cash and Money Market

Allocation: 100%

Fund: D5. Liquid Fund

Risk: Low

Investment Objective: Seeks to invest in overnight money and other money market instruments

Investment Pattern: Money Market, Cash and

Short-term Debt

Allocation: 100%

4. Asset Allocator Funds: When you want us to manage your investment allocation

E. Asset Allocator Funds

In Asset Allocator Funds, our fund managers choose how much to invest in stocks, bonds or money
market, depending upon their view on the markets.
Leave-it-all-to-us: Asset Allocator Funds are suited to those who wish to leave the management of
their investment strategy entirely to us.

Risk Profile: We manage the funds based upon your risk preference. You can choose amongst three
risks levels: Cautious, Moderate and Aggressive. The equity component is restricted, based on the
risk profile chosen by you.

Structure: Asset Allocator Funds are funds of funds which invest in the other investment options
within IDBI Fortis Investment Basket including the Market Linked Funds. Equity component may go
up to 25% in Cautious, 50% in Moderate and 100% in Aggressive.

GENERAL INSTRUCTION

Minimum allocation to a fund: Minimum amount of premium direction or redirection in any


investment fund should be at least 15% of the annual premium.

Unit Price Formula: Calculation of unit price for a unit-linked fund depends on whether that fund
has net creations or redemptions on the valuation date. Net Asset Value for each unit is determined
as: Market value of investments plus expenses incurred in the purchase of assets (if the fund has net
unit creations) or less expenses incurred in the sale of assets (if the fund has net unit redemptions)
plus value of current assets plus accrued income net of management charges less current liabilities
less provisions, divided by the number of units on issue.

IDBI Fortis Insurance Basket: Protect your Wealth Plans & Get Living Benefits

Besides allowing you to build wealth, Wealthsurance protects your Wealth Plans with insurance.
While many life insurance products provide benefits upon death, Wealthsurance is designed to also
offer Living Benefits. Living Benefits help you to overcome the crises during your lifetime. The full
range of insurance benefits we offer is called the IDBI Fortis Insurance Basket. Please refer to our
Insurance Basket Guide for details of the optional health, accident and disablement insurance benefits
which are also available with your Wealthsurance Plan.

Life and Terminal Illness Benefit: Get benefits on death as well as terminal illness

We pay benefits under your Wealthsurance Plan in the event of(a) death, and (b) terminal illness.

A. Death Benefit

We pay Death Benefit in the event of death of the Insured Person due to any cause, natural or
accidental. Death Benefit is the higher of the following two amounts:

(a) Sum Insured or

(b) The Fund Value in your Investment Account.

Upon payment of Death Benefit, your Wealthsurance Plan is terminated.

B. Terminal Illness Benefit

While most life insurance policies pay benefits upon death, a unique feature of Wealthsurance Plan is
accelerated payment of benefit upon diagnosis of terminal illness.

Investment Guidelines: All segregated funds will be managed, subject to compliance with
applicable statutory regulations and guidelines. At present, investments in other than approved
securities (including third party mutual funds) cannot exceed

25%. Also, as per present guidelines of IRDA, a policy owner cannot invest more than 40% of total
fund in liquid fund. All of the funds will also trade in derivatives, invest in third-party funds or
engage in short selling to the extent permitted by the applicable regulations.

Fund Management Charges: Fund Management Charges are

2% p.a. for Equity Growth Fund, 1.75% p.a. for Nifty Index Fund,

1.5% p.a. for Bond Fund, 1.25% p.a. for Income Fund and 1% p.a. for Liquid Fund. For Asset
Allocator Funds, additional

Fund Management Charges are 0.25% p.a., 0.5% p.a., and 0.75% p.a. for Cautious, Moderate and
Aggressive respectively.

We reserve the right to increase charges for any fund by up to 0.75% p.a., with prior approval of
IRDA.

We will charge you or deduct from your investment amount any taxes, duties or surcharges of
whatever description levied or that may be levied by any statutory authority.

New Funds: IDBI Fortis will introduce new funds, from time to time, to meet changing needs of
investors, market conditions and regulatory environment. Similarly, old funds may be withdrawn or
merged. As a policy owner, the entire suite of investment options under IDBI Fortis Investment
Basket will be available to you, unless specifically excluded.

Living Benefits

IDBI Fortis Insurance Basket: Protect your Wealth Plans & Get Living Benefits

Besides allowing you to build wealth, Wealthsurance protects your Wealth Plans with insurance.
While many life insurance products provide benefits upon death, Wealthsurance is designed to also
offer Living Benefits. Living Benefits help you to overcome the crises during your lifetime. The full
range of insurance benefits we offer is called the IDBI Fortis Insurance Basket. Please refer to our
Insurance Basket Guide for details of the optional health, accident and disablement insurance benefits
which are also available with your Wealthsurance Plan.

Life and Terminal Illness Benefit: Get benefits on death as well as terminal illness

We pay benefits under your Wealthsurance Plan in the event of(a) death, and (b) terminal illness.

A. Death Benefit

We pay Death Benefit in the event of death of the Insured Person due to any cause, natural or
accidental. Death Benefit is the higher of the following two amounts:

(a) Sum Insured or

(b) The Fund Value in your Investment Account.

Upon payment of Death Benefit, your Wealthsurance Plan is terminated.

B. Terminal Illness Benefit

While most life insurance policies pay benefits upon death, a unique feature of Wealthsurance Plan is
accelerated payment of benefit upon diagnosis of terminal illness.

We pay Terminal Illness Benefit if the Insured Person is diagnosed as terminally ill and is expected
to live for not more than six months. We may require the diagnosis to be made by a specialist
medical practitioner appointed by us.

Terminal Illness Benefit is equal to Sum at Risk (i.e. Sum Insured minus Fund Value), subject to a
maximum of Rs 25 lakhs. If Fund
Value is greater than Sum Insured then there is no Sum at Risk and Terminal Illness Benefit does not
apply.

Upon payment of the Terminal Illness Benefit, we will reduce the. Sum Insured by the amount of the
Terminal Illness Benefit paid. The policy continues as before except with reduced Sum Insured.

You can choose your Sum Insured

In your Wealthsurance Plan, you can choose the Sum Insured within the minimum and maximum
limits specified below.

Minimum Sum Insured

The minimum Sum Insured depends upon whether you have chosen Single or Regular Premium.

Single Premium: In Single Premium, the minimum Sum Insured is 1.25 times the Single Premium
Amount where policy term is less than 10 years and 1.10 times the Single Premium Amount where
policy term is 10 years or more.

Regular Premium: In Regular Premium, the minimum

Sum Insured is 5 times of Annual Regular Premium Amount.

RESEARCH METHODOLOGY

The approach to the research is considered in this chapter, from the theoretical
underpinning to the collection and analysis of the data. It begins with the extent of the
research to provide the specific guidelines of studying. The next part is concerned with
the method of the research that refers to the data collection and analyzing which is used
in the research.

CONCEPTUAL CONTEXT OF THE RESEARCH


As the objective of the research, focuses on the search of potential customer with special
emphasis of IDBI LIFE INSURANCE. It will help the company to increase its sales,
which is prime objective of the company at this time. The research attempts to generate
awareness among the people of GZB RAJ NAGAR regarding the IDBI LIFE
INSURANCE COMPANY.

METHODS

PRIMARY DATA

Data collection of this research was done primarily through filling up of questionnaires.
The sample for the research including different individuals of various age groups and
having different profession and qualification. Data was collected through the interview of
individuals. The questionnaire was containing questions regarding the personal details of
individuals and then some light question regarding their primary knowledge related to
private insurance companies. Then there were questions related to their interest in being
the Insurance plan of the company.

SECONDARY DATA

A large amount of secondary data has been collected from secondary sources. Some of
the sources are:-

♦ Report on Insurance sector of India.


♦ Articles from newspapers and magazines.
♦ Various web sites of the insurance companies and related sites.

DATA ANALYSIS

There are some features of analyzing data that need to be borne in mind when choosing
the method for analyzing the research. The questionnaire was prepared to explore the
psychology of individuals about being associated with IDBI FORTIS LIFE
INSURANCE as potential customer. Instead of testing a hypothesis, a qualitative analyst
may demonstrate evidence showing that a theory, generalizing, or interpretation is
plausible.
SAMPLE SIZE

Various area of GGN SECTOR -14-20 was covered in order to fill the questionnaire. I
interacted with 80 individuals in order to know about their interest of being IDBI Life
Insurance Plans.

Sample Size – 80

SAMPLE COMPOSITION

I. Youth
II. Executive
III. Serviceman
IV. Business person

RESEARCH DESIGN

A research design provides the frame work to be used as a guide in collecting and
analyzing data.

Descriptive Research: Market survey is one of the best examples of descriptive


research. This is a one shot research study at a given point of time, and consists of a
sample of the population of interest. Its advantages are that it gives a good overall picture
of the position at a given time. It can cover many variables of interest, and is not affected
by the movements of elements in the sample, because other elements can be substitute for
them.

DATA ANALYSIS

After collection of data, the analysis of it was done through charts.


RESPONSE OF QUESTIONNAIRE

1. What is your full time profession?


a) Business -10 b) Govt. Service -17
c) Private Jobs -37 d) Retired -13
e) Housewife -3

2. What is your annual income?

a) Below 1 Lac - 15 b) Between 2 to 4 Lac - 35

c) Between 4 to 6 Lac-25 d) Above 6 Lac – 5


3. Do you know about IDBI Fortis Life Insurance?

a) Yes - 31 b) No – 49

If yes,

i) Do you have IDBI Fortis Life Insurance Plan?

a) Yes - 25 b) No – 6
ii) What type of plan you have?

a) Wealthsurance - 16 b) Bondsurance -5

c) Retiresurance - 2 d) Others – 2

iii) Do you want new insurance plan from IDBI?

a) Yes - 28 b) No – 3
iv) Is the IDBI Fortis Life Insurance Plans more attractive from others?

a) Yes - 29 b) No – 2

If no,

i) Are you interested to know about IDBI Fortis Life Insurance?


a) Yes - 27 b) No - 22
4. According to you, the purpose of insurance is:

S. No. Parameters Order of preference

a. Pre-mature death 29

b. Living too long 12

c. Children’s future 11

d. Wealth creation 18

e. Tax saving 10

If no,

i) Are you interested to know about IDBI Fortis Life Insurance?

a) Yes - 27 b) No - 22
5. What do consider from insurance?

a) Investment area – 23 b) Protection from uncertainties - 41

c) Others – 16
6. Insurance sectors investment is better substitute of –

a) Stock Exchange - 25 b) Mutual Fund - 22

c) Loan - 23 d) Others – 10

7. Is the private company better than LIC?

a) Yes - 63 b) No 17
8. Most safe private company of insurance sector

a) ICICI - 30 b) HDFC - 17

c) IDBI Fortis - 29 d) Other – 4


FINDINGS

⇒ People are becoming more and more money conscious as I find very less
person who doesn’t want to earn extra money.

⇒ People are very much aware of IDBI FORTIS among private companies as
they respond me first name of IDBI FORTIS and then others.

⇒ The overall scenario is that still people trust on LIC more than any other
insurance company. Some time when I asked someone to become an
advisor of IDBI FORTIS they misunderstood with LIC. For them still life
insurance means LIC.

⇒ Generally people are having leisure time of around 2-3 hours and still
want to utilize this time to earn extra money, if they can.

⇒ Contrary to the prior thinking most of the people don’t hesitate in doing
field work a roaming in the market for money. They know that without
hard work they can’t earn money.
SUGGESTIONS AND RECOMMENDATION

• Need to create and effectively deploy differentiated strategies in finding

out more resources to recruit insurance advisors.

• Right prospects identification and thus segmentation, which need to be

appropriate.

• Design and manage sales force, which yields high performance. More

training of the employees can be done so that they produce best result.

• Recruitment process needs to be slightly fast, so that prospects can retain

some confidence as in starting.

• Need to create better, differentiated detailed brochures for advisor’s

recruitment.

• Increase advisors sales force quality as well as quantity by employing

some HR professional, who time to time take some action for the

improvement of insurance advisors.

• More advertising strategies should be taken to grasp the attention of those

people who want to become insurance advisors.


• Make use of internet banking for increasing sales and also for promotion.

• There should be more incentives to insurance advisors they are the

backbone of the company in order to increase sales they have to do mare

efforts than others.

Generate some innovative and alternative channels of distribution, using the

sources that can straight play with the emotion of the person and influence so

high that it forces the human being to go for insurance and that to willingly.

Recruit those individuals that really want to take this job as a challenge.
CONCLUSION

For every insurance company life insurance advisors are the life line and a very huge
asset so each company try to recruit and select a potential force of life insurance advisors
because this is the advisors who generate maximum business for the insurance company.
Insurance advisors provide a very strong support to the insurance company and do all
possible effort to generate huge amount of profit to the company and for him.

In IDBI FORTIS recruitment and selection procedure is really very impressive. By the
help of this process, company recruits a very good class of advisors. A detail study is
done before starting the recruitment and selection procedure that help the company to
select the best advisors. The recruitment, selection and training process of insurance
advisors is a slight long process because of the training provided by the Insurance
Regulatory and Development Authority (IRDA).

Form the detailed study of recruitment and selection procedure of the insurance advisors I
come on the conclusion that it is a very impressive process carried out by IDBI FORTIS.
This study helps us to understand all the possible aspects related to the IDBI FORTIS’s
recruitment and selection procedure.
APPENDIX QUESTIONNAIRE
INSURANCE MARKET SURVEY QUESTIONARE:

Name: ………………………………………. Contact No.: ……………………………

Sex: ………….Address: …………………………………………………………………

1. What is your full time profession?

a) Business b) Govt. Service

c) Private Jobs d) Retired

e) Housewife

2. What is your annual income?

a) Below 1 Lac b) Between 2 to 4 Lac

c) Between 4 to 6 Lac d) Above 6 Lac

3. Do you know about IDBI Fortis Life Insurance?

a) Yes b) No
If yes,

i) Do you have IDBI Fortis Life Insurance Plan?

a) Yes b) No

ii) What type of plan you have?

a) Wealthsurance b) Bondsurance

c) Retiresurance d) Others

iii) Do you want new insurance plan from IDBI?

a) Yes b) No

iv) Is the IDBI Fortis Life Insurance Plans more attractive from others?

a) Yes b) No

If no,

i) Are you interested to know about IDBI Fortis Life Insurance?

a) Yes b) No

4. According to you, the purpose of insurance is:

S. No. Parameters Order of preference

a. Pre-mature death

b. Living too long

c. Living death

d. Children’s future
e. Wealth creation

f. Tax saving

5. What do you consider from insurance?

a) Investment area b) Protection from uncertainty

c) Others

6. Insurance sectors investment is better substitute of –

a) Stock Exchange b) Mutual Fund

c) Loan d) Others

7. Is the private company better than LIC?

a) Yes b) No

8. Most safe private company of insurance sector

a) ICICI b) HDFC

c) IDBI Fortis d) Other

9. Please give references of two people those who might be interested Insurance.

i) Name: ……………………………………………………

Address: ………………………………………………..

………………………………………………..

……………………………………………….

………………………………………………..
Phone No: ………………………………………………

ii) Name: …………………………………………………..

Address: ………………………………………………..

……………………………………………………..

……………………………………………………..

……………………………………………………..

Phone No: ………………………………………………

Sign: ……………………………… Date:……………………


BIBLIOGRAPHY

Books:

• IC 33 Life Insurance (Revised), Insurance Institute of India

• Ravishankar, Marketing of insurance services

• Survey of Indian Industry 2008 (Hindu Publication)

• P N Agarwala, A Comprehensive History of Business in India

Journals and Magazines:

• Journal Of Insurance & Risk Management , June 2008


• Journal Of Insurance & Risk Management, June 2008

• IRDA Journal, March 2008

Websites:

• www.idbifortis.com
• www.domain-b.com
• www.etstrategicmarketing.com
• www.indiainfoline.com
INCOMSURANCE
‘Incomesurance Endowment and Money Back’ plan from IDBI Fortis Life Insurance
suits all your needs. The plan guarantees additional income on every premium paid in
order to satisfy all your financial needs for child’s education, daughter’s marriage,
parents’ security, retirement, etc. The plan provides you many benefits and ensures that
you get Guaranteed Annual Payout along with insurance protection. This plan acts as a
total cover for all your personal needs including your daughter’s marriage, kid’s
education, retirement, and more.
Benefits of ‘Incomesurance Endowment and Money Back’ plan:
1. Offers Endowment and Money Back benefits in one plan – You can opt to get periodic
payments as in Money Back plan or get a bulk amount at maturity as in Endowment plan.
2. Offers complete transparency – Allows you to choose Premium Payment Period,
Payout Period, Payout Options, etc. Offers complete transparency in declaration of your
payouts.
3. Offers convenient premium payment options – You can choose 5, 10 or 15 years as
your Premium Payment Period. You can pay premium at monthly, quarterly, half-yearly
or yearly intervals.
4. Offers double tax benefits in one plan – Your premium is eligible for tax deduction
under Section 80C and the payouts you receive are completely tax-free under Section
10(10D).
5. Offers full flexibility – Offers flexible payout option. You can either take annual
payments or you can accumulate earning interest and withdraw at maturity when needed.
6. Provides death benefits – The plan is protected with insurance. Your beneficiary can
receive payouts or get a bulk amount, if unfortunately anything happens to you.
7. Allows you to customize your plan based on your individual and family’s future needs.