“STUDY OF ICICI LOMBARD GENERAL INSURANCE Co. Ltd.

A Project Submitted to

University of Mumbai for partial completion of the degree of

Bachelor in Management Studies

Under the Faculty of Commerce

By

ATISH NANDU BHOIR

Under the Guidance of

MISS. RASIKA MANISH SHINDE

VIDYA PRASARAK MANDAL’S

K.G. JOSHI COLLEGE OF ARTS & N.G. BEDEKAR COLLEGE OF COMMERCE

Chendani Bunder Road, Thane (W)

MARCH, 2019.
 DECLARATION BY LEARNER

I the undersigned Mr. ATISH NANDU BHOIR here by, declare that the work embodied in
this project work titled "STUDY OF ICICI LOMBARD GENERAL INSURANCE Co.
Ltd.”, forms my own contribution to the research work carried out under the guidance of
Mrs. RASIKA MANISH SHINDE is a result of my own research work and has not been
previously submitted to any other University for any other Degree/Diploma to this or any
other University.

Wherever reference has been made to previous works of others, it has been clearly indicated
as such and included in the webliography and bibliography.

I, here by further declare that all information of this document has been obtained and
presented in accordance with academic rules and ethical conduct.

Name and Signature of

the Learner

Certified by

Name and Signature of the Guiding Teacher

 ACKNOWLEDGEMENT

To list who all have helped me is difficult because they are so numerous and the depth is so
enormous.

I would like to acknowledge the following as being idealistic channels and fresh dimensions
in the completion of this project.

I take this opportunity to thank the University of Mumbai for giving me chance to do this
project.

I would like to thank my Principal, Dr. Mrs. SUCHITRA A NAIK for providing the
necessary facilities required for completion of this project.

I take this opportunity to thank our Coordinator Mr. NITIN PAGI, for his moral support
and guidance.

I would also like to express my sincere gratitude towards my project guide Mrs. RASIKA
MANISH SHINDE whose guidance and care made the project successful.

I would like to thank my College Library, for having provided various reference books and
magazines related to my project.

Lastly, I would like to thank each and every person who directly and indirectly helped me in
the completion of the project especially my Parents and Peers who supported me
throughout the project.
 INDEX

Sr. No. Title Page No.

1 Title Page 1
2 Declaration 2
3 Acknowledgement 3
4 Index 4
5 CHAPTER 1. Introduction 5-29
1.1 Introduction of the insurance sector 5
1.2 History of the Indian Insurance sector 6
1.3 Insurance sector reforms 8
1.4 Classification/Types of Insurance 10
1.5 4I’s of Insurance service 11
1.6 Basic Principles of General Insurance 13
1.7 Introduction of ICICI Lombard GI Co. Ltd. 14
1.8 Objectives of ICICILGI Co. Ltd. 17
1.9 Competitive strength of ICICILGI Co. Ltd. 20
1.10 Products and Services offered by ICICILGI Co. Ltd. and their 27
contribution in companies GDPI
6 CHAPTER 2. RESEARCH METHODOLOGY 30-33
2.1 Objectives 30
2.2 Scope of the study 30
2.3 Hypothesis 30
2.4 Tools and Techniques used 31
2.5 Source of Primary data and Secondary data 32
2.6 Sample size 32
2.7 Sample design 32
2.8 Limitation of the study 33
7 CHAPTER 3. REVIEW OF LITERATURE 34-41
8 CHAPTER 4. DATA ANALYSIS, 42-55
INTERPRETATION AND PRESENTATION
9 CHAPTER 5. CONCLUSION AND SUGGESTION 56-57
5.1 Conclusion 56
5.2 Suggestion 57
10 BIBLOGRAPHY 58
11 ANNEXURE 59
CHAPTER 1. INTRODUCTION

1.1 INTRODUCTION OF THE INSURANCE SECTOR.

Insurance is not the sale of products, but serving customers. It is a system by which the
losses suffered by a few are spread over many, exposed to similar risks. Insurance is a
protection against financial loss arising on the happening of an unexpected event. Insurance
companies collect premiums to provide for this protection. A loss is paid out of the premiums
collected from the insuring public and the insurance companies act as trustees to the amount
collected. The very fundamental principle of spreading of the risk is actually practiced by the
insurance companies by reinsuring the risks that they have insured. The opening up of the
insurance sector to private companies has made available more products and world class
service to Indian Customer.

This project has been made with an objective to give an insight into various facts
of general insurance sector in India. An attempt has been made to explain the apex body of
general insurance i.e. General Insurance Corporation of India, its structure, products and
subsidiaries.

Whenever there is uncertainty there is risk. We do not have any control over uncertainties
which involves financial losses. The risk may be certain events like death, pension, retirement
or uncertain events like theft, fire, accident, etc.

Insurance is a financial service for collecting the savings of the public and
providing them with risk coverage. It comes under service sector and while marketing this
service due care is taken in quality product and customer satisfaction. The main function of
the insurance is to provide protection against the possible chances of generating losses.

The insurance sector in India has come a full circle from being an open competitive
market to nationalization and back to a liberalized market again. Tracing the developments in
the Indian insurance sector reveals the 360-degree turn witnessed over a period of almost two
centuries.
1.2 HISTORY OF INDIAN INSURANCE SECTOR

The business of life insurance in India in its existing form started in India on the year
1818 with the establishment of the Oriental Life Insurance Company in Calcutta. In 1912,
The Indian Life Assurance Companies Act enacted as the first statue to regulate the life
insurance business.

The General insurance business in India, on the other hand can trace its roots to the
Triton Insurance Company Ltd., the first general insurance company established in the year
1850 in Calcutta by the British.

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

1907: The Indian Mercantile Insurance Ltd. Set up, the first company to transact all classes of
general 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: 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 crores from the Government of India.

1957: General Insurance Council, a wing of the Insurance Association of India, frames a code
of conduct for ensuring fair conduct and sound business practices.

1968: The Insurance Act amended to regulate investments and set minimum solvency
margins and the Tariff Advisory Committee set up.

1972: The General Insurance Business Act, 1972 nationalized the general insurance business
in India with effect from 1st January 1973. 107 insurers amalgamated and grouped into four
companies, viz, The National Insurance Company Ltd., The New India Assurance company
Ltd., The Oriental Insurance Company Ltd., and The United India Insurance Company Ltd.

The opening of Insurance sector was a part of the on-going liberalization in the
financial sector of India. The changing face of the financial sector and the entry of several
companies in the field of life and non-life insurance segment are one of the key results of
these liberalization efforts. Insurance business by way of generating premium income adds
significantly to be the GDP.

Over the past three years, more than thirty companies have expressed interest in doing
business in India. The IRDA (Insurance Regulatory Development Authority) is the regulatory
authority, which looks over all related aspects of the insurance business. The provisions of
the IRDA bill provides guidance for three levels of players – Insurance Company, Insurance
brokers and Insurance agent. Life Insurance sector is one of the key areas where enormous
business potential exists. In India currently the life insurance premium as a percentage of
GDP is 1.3% against 5.2% in the US.

General Insurance is another segment, which has been growing at a faster pace. But as per the
current comparative statistics, the general insurance premium has been lower than life
insurance. General Insurance premium as a percentage of GDP was a mere 0.5 percent in
1996. In the General Insurance Business, General Insurance Corporation (GIC) and its four
subsidiaries viz. New India Insurance, Oriental Insurance, National Insurance and United
India Insurance, are doing major business. The General Insurance Industry has been growing
at a rate of 19 percent per year.

The entry of several private insurance companies, particularly international

insurance companies, through joint ventures, will speed up the process of insurance
mobilization. The competition will unleash new schemes and benefits, which will give
consumers a better chance to save as well as insure. The regulatory system in India is
relatively new and takes some more time to make the insurance sector a perfectly competitive
one. Insurance Regulatory Authority of India issued regulations on 15 subjects which
included appointed. Actuary, actuarial report, Insurance agents, Solvency margins, re-
insurance, registration of insurers and obligation of insurance to rural and social sector,
investment and accounting procedure. The reform in Insurance in India is guided by factors
like availability of a variety of products at a competitive price, improvement in the quality of
customer services etc. Also, the employment opportunities in the Insurance sector will
increase as major players set their business plans in India. The policy of the government to
open up the financial sector and the insurance sector is expected to bring greater FDI inflow
into the country. The increase in the investment limit in this vital sector has generated
considerable business interests among the foreign Insurance companies. The entry will
certainly change the insurance sector considerably.
1.3 INSURANCE SECTOR REFORMS

In 1993, Malhotra Committee, headed by former Finance Secretary and RBI Governor
R.N.Malhotra was formed to evaluate the Indian insurance industry and recommend its
future, direction. The Malhotra Committee was set up with the objective of complementing
the reforms initiated in the financial sector.

In 1994, the committee submitted the report and some of the key recommendations included:

Structure:

a) Government stake in the insurance companies to be brought down to 50%.

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

c) All the insurance companies should be given greater freedom to operate.

Competition:

a) Private Companies with a minimum paid up capital of Rs. 1 billion should be allowed to
enter the industry

b) No company should deal in both Life and General Insurance through a single entity.

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

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

e) Only one state level Life Insurance Company should be allowed to operate in each state.

Regulatory Body:

a) The Insurance Act should be changed.

b) An Insurance Regulatory body should be set up.

Investment:

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

75% to 50%.

b) GIC and its subsidiaries are not to hold more than 5% in any company
Customer Service:

a) LIC should pay interest on delays in payment beyond 30 days.

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

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

insurance industry.

The committee emphasized that in order to improve the customer services and increase the
coverage of the insurance industry should open up to competition. But at the same time, the
committee felt the need to exercise caution as many failures on the part of new players could
ruin the public confidence in the industry. Hence, it was decided to allow competition in a
limited way by stipulating the minimum capital requirement of Rs. 100 crores. The
committee felt the need to provide greater autonomy to insurance companies in order to
improve.
1.4 CLASSIFICATION / TYPES OF INSURANCE

INSURANCE

General
Life Insurance
Insurance

Term Plan Motor Insurance

ULIP Health Insurance

Endowment Plan Travel Insurance

Money Back Marine

Policy Insurance

Whole Life Property

Insurance etc. Insurance etc.
1.5 4I’s of INSURANCE SERVICE

The 4I’s refers to the different dimensions / characteristics of any service. Unlike pure
product, services have its own characteristics and its own characteristics and its related
problem. So, the service provider needs to deal with these problems accordingly. The service
provider has to design different strategies according the varying feature of the service. These
4I’s not only represent the characteristics of different services but also the problems and
advantages attached to it.

These 4I’s can be broadly classifieds:

• Intangibility
• Inconsistency
• Inseparability
• Inventory

a) Intangibility

Insurance is a guarantee against risk and neither the risk nor the guarantee is tangible. Hence,
insurance rightly come under services, which are intangible. Efforts have been made by the
insurance companies to make insurance tangible to some extent by including letters and
forms.

b) Inconsistency

Service quality is often inconsistent. This is because service personnel have different
capabilities, which vary in performance from day to day. This problem of inconsistency in
service quality can be reduced through standardization, training and mechanization.

c) Inseparability

Services are produced and consumed simultaneously. Consumers cannot and do not separate
the deliverer of the service from the service itself. Interaction between consumer and the
service provider varies based on whether consumer must be physically present to receive the
service.

d) Inventory

No inventory can be maintained for services. Inventory carrying costs are more subjective
and lead to idle production capacity. When the services are available but there is no demand,
cost rises as cost of paying the people and overhead remains constant even though the people
are not required to provide services due to lack of demand.

In the insurance sector however, commission is paid to the agent on each policy that they sell.
Hence, not much inventory cost is wasted on idle inventory. As the cost of agents is directly
proportionate to the policy sold.
1.6 BASIC PRINCIPLES OF GENERAL INSURANCE

a) Principle of Utmost Good Faith

Both parties, insurer and insured should enter into contract in good faith. Insured should
provide all the information that impacts the subject matter. Insured should provide all the
details regarding insurance contract.

b) Principle of Insurable Interest

Insured must have the insurance interest on the subject matter. In case of the life insurance,
spouse and dependents have insurable interest in the life of a person. Corporation also have
insurable interests in the life of its employees. In case of life or marine insurance, insured
must be the owner both at the time of entering into the insurance contract and at the time of
accident.

c) Principle of Indemnity

Insured can’t make any profit from the insurance contract. Insurance contract is meant for
coverage of losses only. Indemnity means a guarantee to put the insured in the position as he
was before accident. This principle doesn’t apply to life insurance contracts.

d) Principle of Contribution

In case the insured took more than one insurance policy for same subject matter, he/she can’t
make profit by making claim for same loss more than once.

e) Principle of Subrogation

After, the insured gets the claim money, the insurer steps into the shoes of insured. After
making the payment insurance claim, the insurer becomes the owner of subject matter.

f) Principle of Loss Minimisation

This principle states that the insured must take all the necessary steps to minimize the losses
to insured assets.

g) Principle of Causa Proxima

Word “Causa Proxima” means “Nearest Cause”. An accident may be caused by more than
one cause. In case property insured for only one cause. In such case nearest cause of the
accident is found out. Insurance pays the claim money only if the nearest cause is insured.
1.7 INTRODUCTION OF ICICI Lombard General Insurance Company
Ltd. (ICICIGI)

ICICI Lombard General Insurance Company Limited is the largest private-sector non-life
insurer in India based on gross direct premium income in fiscal 2018. The company offers a
comprehensive and well-diversified range of products including motor insurance, health
insurance, personal accident insurance, crop insurance, fire insurance, marine insurance and
engineering and liability insurance through multiple distribution channels. The key
distribution channels of the company include direct sales individual agents bank partners
other corporate agents, brokers and online through which the company service its individual
corporate and government customers.

The company was established as a joint venture between ICICI Bank - India's
largest private sector bank in terms of consolidated total assets at Rs 9.9 trillion end March
2017 and Fairfax Financial Holdings - Canadian based holding company which through its
subsidiaries is engaged in property and casualty insurance and reinsurance and investment
management with US$ 43.38 billion of total assets end December 2016.The Company was
incorporated on October 30 2000 as ICICI Lombard General Insurance Company Limited a
public limited company. The Company obtained the certificate of commencement of business
on January 11 2001 from the Registrar of Companies Mumbai. It is registered with IRDAI for
carrying out the Class of Business pursuant to the registration certificate dated August 3
2001. At that time ICICI Bank and Lombard Canada Ltd. (a nominee of Fairfax) held 74%
and 26% of the company's then issued and paid-up capital respectively. On July 6 2017 FAL
Corporation (Affiliate of Fairfax Financial Holdings Limited) transferred 48101387 Equity
Shares constituting 10.60% of the Company's issued and paid-up capital to certain private
equity/financial investors. On July 7 2017 FAL transferred 7211596 Equity Shares
constituting 1.59% of the Company's issued and paid-up capital to a financial investor.
Thereafter ICICI Bank and FAL held 285605284 Equity Shares and 99464479 Equity Shares
constituting 62.92% and 21.91% the company's issued and paid-up capital respectively.

ICICI Lombard General Insurance Company started operations during the year 2000-
2001. During the year 2003-04 it became the largest private sector general insurer in India.
During the year 2005-06 the company crossed the mark of 1 million policies and crossed the
receipt of Rs 1000 crore of Gross Direct Premium Income (GDPI). In 2009-10 the company
settled more than 5 million claims. During the year 2013-14 the company's profit after tax
crossed Rs 500 crore mark and the number of policies issued by the company crossed 10
million. During the year 2014-15 the company's investment book size crossed Rs 10000 crore
mark. During the year 2015-16 the company became the first general insurance company in
India to issue subordinated debt. During the year 2016-17 ICICI Lombard General Insurance
Company crossed Rs 10000 crore GDPI mark. In September 2017 ICICI Lombard General
Insurance Company Limited came out with an initial public offer wherein ICICI Bank and
FAL proposed to sell 31761478 Equity Shares and 54485709 Equity Shares constituting
7.00% and 12.00% of the Company's issued and paid-up capital to the public respectively.
There was no fresh issue of shares from ICICI Lombard General Insurance Company. The
shares of ICICI Lombard General Insurance c were listed on the bourses on 27 September
2017 and it became the first pure play general insurance company in India to list on the stock
exchanges.

On 5 April 2018 Ola India's leading and one of the world's largest ride-sharing
companies announced the launch of a comprehensive intrip insurance program for its
customers across India in partnership with Acko General Insurance Ltd and ICICI Lombard
General Insurance Company. The first-of-its-kind program is being rolled out for customers
in major metros and will be scaled up to all cities covering the entire base in the coming
weeks. The comprehensive insurance program provides benefits in cases of loss of baggage
or laptops missed flights accidental medical expense ambulance transportation cover and
much more. The optional intrip insurance program can be purchased through the Ola app.
The claims can be made through the Ola app as well as the provider's website mobile app and
call centre.

On 2 May 2018 ICICI Lombard General Insurance Company announced that it has
become the 1st company in India to be certified by the British Standard Institution (BSI) for
compliance with the revised ISO 31000:2018 Enterprise Risk Management (ERM)
Guidelines released in February 2018. ICICI Lombard has been awarded Certificate of
Compliance for a period of 3 years from 16 April 2018 to 15 April 2021 on successful
completion of the ISO 31000:2018 compliance process for its ERM systems. On 20 August
2018 ICICI Lombard General Insurance Company announced that it has launched India's first
Artificial intelligence (AI) based technology to facilitate instant health insurance claims
approval. As a result, the traditional cashless claim request which takes an average of 60
minutes of processing has been drastically brought down to a minute using AI.
 On 23 August 2018 ICICI Lombard General Insurance Company announced that it
has implemented host of initiatives to support the customers affected by Kerala floods. The
company has written premium of Rs. 85.98 crores (primarily motor property & health
insurance) during FY 2017-18 which comprises 0.7% of gross direct premium income
(GDPI) during FY 2017-18 (1.57% of the GDPI for all non-life insurance companies from
Kerala State) and Rs. 19.24 crores during Q1 FY 2018-19 which comprises 0.51% of gross
direct premium income (GDPI). As of now the number of claims received are limited
considering that the flood waters are yet to recede in the State of Kerala. The company has
put in place a well-defined retention limit for each product segment which defines its
maximum per risk and per event exposure to protect its balance sheet and reduce volatility of
its earnings.

On 17 September 2018 ICICI Lombard General Insurance Company announced the

launch of the industry's first application to facilitate speedier claim verification process.
Currently claim settlement cases that need to be verified takes from a day to more than a
week in some cases. This time intensive process will be reduced drastically to a few hours
with the app. The state-of-the-art technology deployed in the app will also benefit the
company as it will be able to identify incidents of fraud claim quickly making the process
more efficient and ensuring that genuine cases are resolved in a speedy manner. Further the
solution will integrate with the company's health claims management system that has inbuilt
alerts to trigger suspect claims for verification.
1.8 OBJECTIVES OF ICICI LOMBARD GENERAL INSURANCE Co.
Ltd.

Its objective is to achieve a market leadership position among both public and private-
sector non-life insurers in India through profitable growth. In order to achieve our goals, we
plan to pursue the following strategies:

Leverage and enhance market leadership

The Indian economy and non-life insurance industry promise strong growth prospects.
We intend to capitalize on this market opportunity by implementing the followings measures:

• leverage the competitive advantage provided to us by our scale and our proprietary data
sets;

• expand our customer base while maintaining profitability through prudent risk selection;

• expand our offerings of value-added services to our customers by having a deeper

understanding of the risks faced by the customer;

• leverage our strong brand to reach broader customers segments in different geographical
regions; and

• capitalize on the broad network of our distribution partners, including ICICI Bank.

Enhance product offerings and distribution channels

We are constantly looking at new opportunities in all of our insurance segments. We plan
to enhance our distribution architecture by expanding our multi-channel distribution, while
strengthening existing channels and relationships. We will continue to innovate to design new
products and value-added services and solutions to cater to the varying needs of our existing
and potential customers. We aim to:

• grow our GDPI from insurance policies sold through individual agents as such channel
offers significant opportunities for GDPI growth with better combined ratios.

• continue to invest in our retail health segment. We will offer innovative indemnity-based
products to a broad base of customers along with independent advisory and health assistance
services, thereby increasing the competitiveness and attractiveness of our indemnity-based
health insurance products.
• capture increasing opportunities created by the growth in the SME insurance market by
enhancing our distribution footprint and providing convenience through increased
automation.

• invest in data enrichment and analytics to better cross-sell our individual customers.

Capture new market opportunities

We shall continue to proactively monitor and respond quickly to new market

opportunities. Our robust risk management framework, strong reserve position, and healthy
solvency ratio give us a competitive advantage when participating in new market
opportunities. We:

• have previously been able to quickly react to significant market opportunities and will
continue to do so in the future. For example, when the PMFBY programme became
operational in fiscal 2017, we grew our GDPI from crop/weather insurance from ₹ 5.93
billion in fiscal 2016 to ₹ 21.51 billion in fiscal 2017. For the three months ended June 30,
2017, our GDPI from crop/weather insurance was ₹ 7.23 billion.

• have set up a dedicated sales team to capture the untapped potential in small towns and
rural areas, in light of the low penetration of the Indian non-life insurance market. We shall
further develop our virtual offices and other digital capabilities to enhance service to such
geographies.

• will continue to monitor both regulatory and market developments in emerging risk
segments, including home and cyber insurance, to take advantage of opportunities as and
when they arise.

Further improve operating and financial performance

We will continue to focus on improving our operating and financial performance. Our key
focus is to reduce our combined ratio, while maintaining robust reserves. We aim to:

• enhance the use of a predictive ultimate loss ratio model to enable the sales force to
improve the quality of risk that they select;

• further increase the use of data analytics to improve our pricing, risk selection and
claims management processes;
• reduce our net expense ratio by continuing to eliminate, standardise and automate
internal processes.

Continue to invest in technology and innovation

Investment in technology has always been a key area of differentiation for us and we plan
to continue to invest in this area to further enhance the customer experience. We aim to:

• migrate our entire individual agency network to an end-to-end electronic platform;

• increase the share of policies sold without any human intervention by further investing
in our online channel, including by extending the use of chatbots;

• provide personalized experiences for our customers in every aspect of our service,
particularly electronic platforms, by utilizing our existing data collected over the years and by
partnering with large data providers in digital eco-systems;

• continue to work with technology start-ups in areas such as healthcare, agriculture, and
logistics to create a risk management ecosystem and generate new business opportunities.
These start-ups are focused on prediction and forecasting solutions, detection and monitoring
systems, internet of things, and intervention models; and

• increase the utilisation of artificial intelligence and machine learning techniques to

improve our risk management and increase operational efficiency.
1.9 COMPETITIVE STRENGTHS OF ICICI LOMBARD GENERAL
INSURANCE Co. Ltd.

ICICI Lombard believe that the following competitive strengths contribute to their success
and position them well for future growth.

Consistent market leadership and demonstrated growth

They were the largest private-sector non-life insurer in India, by GDPI in fiscal 2017, a
position they have maintained through various cycles of industry evolution since fiscal 2004,
according to the CRISIL Report. They became the first private-sector non-life insurer in India
to reach ₹ 100.00 billion in GDPI in fiscal 2017, according to the CRISIL Report.

They continue to grow faster than the industry, with their GDPI growing at a CAGR of
26.7% from fiscal 2015 to fiscal 2017, as compared to a CAGR of 22.8% for the Indian non-
life insurance industry in the same period, according to the CRISIL Report. As a result, their
market share, by GDPI, increased from 7.9% in fiscal 2015 to 8.4% in fiscal 2017. For the
three months ended June 30, 2017, their market share, by GDPI, among all non-life insurers
in India was 10.0%, according to provisional and unaudited figures for non-life insurers
released by IRDAI. ICICI Lombard industry leadership has been reinforced by their
comprehensive and diverse portfolio of insurance products that they continuously adapt to
evolving needs of customers and changing industry dynamics. They have maintained a
leadership position among private sector non-life insurer in India across motor (own damage
and third-party liability), health and personal accident, crop/weather, fire, engineering and
marine insurance, since fiscal 2015.

A strong brand and partnerships with various stakeholders have contributed to this growth.
They believe that they have leveraged the established brand of their Promoter, “ICICI Bank”,
to build “ICICI Lombard” into a recognised and trusted brand in its own right.

Diverse product line with multi-channel distribution network

Diverse and Customised Product Line. They continue to reinforce their industry leadership by
offering products and solutions that address the untapped and evolving needs of customers
and they have established ourselves as a reliable one-stop insurer for diverse customer
requirements. They have a diversified composition of insurance products with motor, health
and personal accident, crop/weather, fire, marine, and engineering insurance contributing
42.3%, 18.9%, 20.1%, 6.9%, 3.2% and 2.1%, respectively, of their GDPI in fiscal 2017. For
the three months ended June 30, 2017, motor, health and personal accident, crop/weather,
fire, marine, and engineering insurance contributed 36.5%, 18.2%, 21.8%, 9.4%, 3.5%, and
2.5% of their GDPI, respectively. They create and offer bespoke products tailored to the
requirements of their customers. For example, they were among the first Indian insurers to
offer parameterized weather-based crop insurance and long-term two-wheeler motor vehicle
insurance policies.

Multi-channel Distribution Network.

They distribute their products:

• through 51 corporate agents as at June 30, 2017, including our Promoter – ICICI Bank –
which gives us access to its 4,850 branches;

• to customers of over 80% of the motor vehicle manufacturers (MVMs), by vehicle sales, in
India in fiscal 2017, including Maruti Suzuki India Limited (Maruti);

• through 20,775 individual agents as at June 30, 2017;

• through our electronic platform, through which we issued approximately 1.6 million
policies in fiscal 2017 and approximately 0.4 million policies in the three months ended June
30, 2017; and

• using a strong direct sales channel, which contributed 43.2% of our GDPI in fiscal 2017
and 43.3% in the three months ended June 30, 2017. 74

They believe their diversified channel mix enables us to reach customers in 618 out of 716
districts across India and provides them with a competitive edge.

Diverse Customer Profile. This multi-channel distribution network enables us to offer their
products to a diverse set of customers, including large and mid-sized corporates, small and
medium-sized enterprises, central and state governments, and individuals. Over the years,
they have moved from a largely corporate focussed business model to a more diversified mix
of business. In fiscal 2017, their retail (including SME), corporate and government business
groups contributed 60.4%, 17.5% and 22.1% of our GDPI, respectively. For the three months
ended June 30, 2017, their retail (including SME), corporate and government business groups
contributed 54.3%, 23.2% and 22.5% of their GDPI, respectively.
Delivering excellence in customer value

Their customer-centric approach to delivering value focuses on providing convenience and

superior claims settlement. For their corporate customers, they also focus on direct
engagement and customised solutions, which include working with their customers to
proactively analyse and mitigate risks.

Based on their approach of being fair, fast and friendly, they have in-housed their claims
management process for most of our motor, health and personal accident segments. By
adopting technology-enabled solutions, our claims management process empowers customer-
facing employees and helps eliminate redundant internal processes.

They also moved their call centre in-house in fiscal 2015, and created a proprietary customer
relationship team. The CRT serves as a crucial point of contact for customers to experience
our brand and service and helps us create long-lasting relationships. As a result of these
measures, their first call resolution rates have increased from 67.8% in fiscal 2015 to 85.3%
in fiscal 2017 and to 85.4% for the three months ended June 30, 2017.

They paid 92.2% of our motor own damage insurance claims in fiscal 2017 within 30 days, as
compared to an Indian non-life private-sector average of 81.9%. They also paid 99.3% of our
health and personal accident insurance claims in fiscal 2017 within 30 days, as compared to
an Indian non-life private-sector average of 85.2%, according to the CRISIL Report. For
further details, see “Industry Overview – Policies and Claims Settlement” on page 145. They
paid 92.4% of their motor own damage insurance claims and 99.8% of their health and
personal accident insurance claims for the three months ended June 30, 2017 within 30 days.

The number of grievances received by us reduced from 5,704 in fiscal 2015 to 3,515 in fiscal
2017, despite the increase in number of policies written from approximately 13.9 million to
approximately 17.7 million in the same time period. We received 772 grievances for the three
months ended June 30, 2017.

Robust risk selection and management framework

They recognise that risk is an integral element of their business and minimising as well as
managing risk is essential for shareholder value creation and they believe that their strong
risk selection and mitigation capabilities are a significant competitive advantage. They take a
holistic approach to risk management, which includes a data-driven risk selection framework,
conservative reserving, and quality reinsurance.
Having operated in the industry since fiscal 2002, They have accumulated a wealth of data
pertaining to critical risk parameters that has helped them identify favourable product and
customer segments and sub-segments. They update such risk parameters based on further loss
experience and use these parameters in their underwriting and pricing decisions. For example,
in motor insurance, our strategy is to focus on the two-wheeler and private car segments
along with an identified preferred sub-segment of commercial vehicles. Their share of losses
incurred from each catastrophic event since fiscal 2013 has been in the range of 1.5%-6.2%,
while our overall market share, by GDPI, has been higher than 7.8% during the same time
period.

As per guidelines issued by the IRDAI, non-life insurers in India are not allowed to discount
their reserves. ICICI Lombard test their reserves regularly based on new loss experience,
claim inflation and other factors. They have been disclosing reserving triangles as part of
their annual reports since fiscal 2016.

They have in place a reinsurance policy, which defines the product-wise retention limits on a
per-risk and a per-event basis. They use a high-quality panel of re-insurers rated A- (S&P or
equivalent international rating) or above, including GIC Re, Scor Re, Munich Re, Hannover
Re, Swiss Re, Lloyds, and XL Catlin.

Focus on investments in technology and innovation

ICICI Lombard believe that they are at the forefront of leveraging technology in the Indian
non-life insurance industry. Their excellence in products and services is backed by a robust
technology infrastructure, and user-friendly web and mobile applications for their customers,
employees and distributors from sales to claims settlement. They have created a plug-and-
play architecture so that they can integrate their systems with distributors quickly.

Their ability to integrate multiple distribution partners seamlessly with their systems and
processes has helped increase efficiency in the business. They have directly integrated point
of sale systems of certain bus companies, railways and airlines with their policy booking and
issuance systems to provide low-coverage travel insurance for their customers. For example,
they are one of the three non-life insurance partners of Indian Railway Catering and Tourism
Corporation (IRCTC), covering over 300,000 trips per day as of June 30, 2017.

In fiscal 2017, 87.5% of the total approximately 17.7 million policies were initiated
electronically, either by our distributors or our customers. This helped improve their
employee productivity, measured in terms of GDPI per employee, from ₹ 11.4 million in
fiscal 2015 to ₹ 16.6 million in fiscal 2017, representing a CAGR of 20.7%.

Their commitment to technology and innovation is illustrated by the following

accomplishments:

• Since fiscal 2012, they have undertaken motor surveys electronically through the use of
tablets. In fiscal 2017, 91.4% of their motor own damage claims were surveyed through use
of tablets. For the three months ended June 30, 2017, 91.5% of their motor own damage
claims were surveyed through use of tablets. They have also enabled motor vehicle service
centres to send us video streams through their mobile application so that they can survey
claims remotely;

• Their agency application helps their individual agents issue policies to customers on-the-
go;

• They have created a mobile application “Risk Inspect” to enable them to conduct virtual
risk inspections for fire and engineering policies;

• They use drones for inspecting wind turbine and solar photovoltaic modules to identify
defects and improve efficiency;

• They have automated various internal processes through the use of robotics;

• They have set up a programme ‘NOVA’ to engage with the start-up community. We
identify and work with start-ups that provide us with innovative risk mitigation solutions and
potential business opportunities;

• They launched a “chatbot” that leverages natural language processing to converse with
customers and automatically issue two-wheeler motor insurance policies; and

• They are investing in artificial intelligence and machine learning to help increase
operational efficiencies and manage risks effectively.

Strong investment returns on a diversified portfolio

Their investment management philosophy is to earn investment returns commensurate with

the risks undertaken, following the principle of capital preservation and a total income
approach. Investments are selected based on value investing principles and are diversified so
as to minimize the risk of loss.
Their asset allocation strategy ensures liquidity, security and diversification. Our asset mix is
determined by two important factors: achieving superior total returns and liquidity
management for claim obligations. Their investments from time to time include debt,
equities, mutual funds, real estate and other alternative investments. As of June 30, 2017,
30.6% of our total investment assets, by carrying value, were held in government securities,
43.5% in corporate bonds, 15.7% in equities, and the remaining in other investments. As of
March 31, 2017, they had the largest total investment assets among the private-sector non-life
insurers in India, according to the CRISIL Report. Their total investment assets increased
from ₹ 102.00 billion as of March 31, 2015 to ₹ 164.46 billion as of June 30, 2017. Their
investment leverage, net of borrowings, has increased from 3.54x in fiscal 2015 to 4.07x as of
June 30, 2017, while our net worth increased by 35.8% over the same period.

They have achieved an annualised total portfolio return (including unrealised gains) of
18.0%, 8.8% and 13.0%, and an annualised realised return of 10.4%, 10.3% and 10.0% for
fiscal 2015, 2016 and 2017, respectively. For the three months ended June 30, 2017, their
total portfolio return (including unrealised gains) was 3.6% and 14.4% on an annualised basis
and realised return was 2.9% and 11.4% on an annualised basis. Since fiscal 2004, their listed
equity portfolio has returned an annualised total return of 30.8%, as compared to an
annualised return of 17.5% on the benchmark S&P NIFTY index. During the same time
period, their equity portfolio outperformed the S&P NIFTY index in all but one fiscal year.
For the three months ended June 30, 2017, their listed equity portfolio has returned a total
return of 6.9%, as compared to a return of 3.8% on the benchmark S&P NIFTY index.

Superior operating and financial performance

Solvency: They have a strong capital position with a solvency ratio of 2.10x as at March 31,
2017 compared to the IRDAI prescribed control level of 1.50x, and an Indian non-life
private-sector average of 1.95x, according to the CRISIL Report. Their solvency ratio was
2.13x as of June 30, 2017. They have an internal solvency framework wherein risks in excess
of a defined 76 threshold impacting solvency are underwritten only with the approval of the
Risk Committee of our Board. They were the first nonlife insurer in India to issue non-
convertible debentures – we raised ₹ 4.85 billion through the issue of our Debentures in fiscal
2017, which are rated AAA (domestic credit rating) by CRISIL Limited and ICRA Limited.
This amount is available for the purpose of solvency calculations.
Operating metrics: Their combined ratio has been generally stable, improving from 104.9%
in fiscal 2015 to 104.1% in fiscal 2017. During the same time period, our loss ratio improved
from 81.4% to 80.6%. For the three months ended June 30, 2017, their combined ratio and
loss ratio improved to 102.4% and 78.1%, respectively. They believe that their disciplined
operation, coupled with our technology platform, allows them to operate at lower cost than
many of their competitors. Their net expense ratio was 23.5% in fiscal 2017 and 24.3% for
the three months ended June 30, 2017.

Profitability and return: They have an established track record of delivering annual returns to
shareholders and they return on equity has exceeded 15. 6% for each fiscal year since fiscal
2015. They profit after tax and they return on equity were ₹ 6.42 billion and 17.2%,
respectively, in fiscal 2017 and ₹ 2.14 billion and 5.5 % (21.9% on an annualised basis),
respectively, for the three months ended June 30, 2017. They paid out 18.0%, 32.0%, 29.5%
and 19.1% of their profit after taxes in the form of dividends (including dividend distribution
tax) in fiscal 2015, 2016, 2017 and for the three months ended June 30, 2017, respectively.

Experienced senior management team and enabling work culture

ICICI management team has extensive experience and know-how in the Indian insurance
industry. They believe the quality of our management team has been critical to achieving our
strong business performance. Our Managing Director and CEO, Bhargav Dasgupta, has been
with us for over eight years. He has over 25 years of experience in the insurance and banking
sectors. The overall average work experience of their senior management members (including
executive directors) is approximately 24 years with eight out of nine members having an
average experience of approximately 17 years within the ICICI Group.

They believe that their management’s experience is instrumental to their ability to quickly
respond to evolving customer needs and market conditions. In addition to our experienced
management team, they believe that their enabling work culture is a key factor to their
success. Their entrepreneurial culture is reflected by a high level of employee ownership and
positive attitude towards accomplishment with speed and efficiency.
1.10 PRODUCTS & SERVICES OFFERED BY ICICILGI Co. Ltd. AND
THEIR CONTRIBUTION IN COMPANIES GDPI (Gross Direct Premium
Income).

Motor Insurance

Motor insurance in India is broadly divided into two categories: own damage and third-party.
Own damage motor insurance protects a vehicle owner from damage or theft to his/her own
motor vehicle, and is optional. On the other hand, third-party motor insurance, which protects
all third parties from damages suffered due to an accident involving a motor vehicle, must be
purchased by every motor vehicle owner in India pursuant to the Motor Vehicles Act, 1988,
as amended.

Motor insurance accounted for 51.2%, 51.3% and 42.3% of our GDPI in fiscal 2015, 2016
and 2017, respectively, as compared to 44.4%, 43.9% and 39.4%, respectively, of the non-life
insurance industry in India in the same periods, according to the CRISIL Report. Our GDPI
from motor insurance increased from ₹ 34.16 billion in fiscal 2015 to ₹ 45.42 billion in fiscal
2017, representing a CAGR of 15.3%. For the three months ended June 30, 2017, our GDPI
from motor insurance was ₹ 12.13 billion and accounted for 36.5% of our GDPI in the same
period. In fiscal 2017, own damage and third-party motor insurance accounted for 25.7% and
16.6% of our GDPI, respectively. For the three months ended June 30, 2017, own damage
and third-party motor insurance accounted for 21.3% and 15.2% our GDPI, respectively.

Health and Personal Accident Insurance

Health Insurance

Health insurance accounted for 19.7%, 17.1% and 15.5% of our GDPI in fiscal 2015, 2016
and 2017, respectively, as compared to 24.6%, 26.6% and 25.3%, respectively, of the non-life
insurance industry in India in the same periods, according to the CRISIL Report. Our GDPI
from health insurance increased from ₹ 13.18 billion in fiscal 2015 to ₹ 16.68 billion in fiscal
2017, representing a CAGR of 12.5%. For the three months ended June 30, 2017, our GDPI
from Health insurance was ₹ 4.94 billion and accounted for 14.9% of our GDPI in the same
period.

Personal Accident Insurance

Personal accident insurance provides benefit-based coverage to policyholders for accidents
suffered by them.

Personal accident insurance accounted for 3.5%, 3.4% and 3.3% of our GDPI in fiscal 2015,
2016 and 2017, respectively, as compared to 2.7%, 2.5% and 2.5%, respectively, of the non-
life insurance industry in India in the same periods, according to the CRISIL Report. Our
GDPI from personal accident insurance increased from ₹ 2.33 billion in fiscal 2015 to ₹ 3.58
billion in fiscal 2017, representing a CAGR of 24.0%. For the three months ended June 30,
2017, our GDPI from personal accident insurance was ₹ 1.09 billion and accounted for 3.3%
of our GDPI in the same period.

Crop/Weather Insurance

Crop/weather insurance is purchased by farmers to protect themselves against reduction in

their crop yield or loss of their crops due to natural phenomena like inadequate or excessive
rainfall, hailstorm, landslides and variation in temperature and humidity.

Crop/weather insurance accounted for 4.1%, 7.3% and 20.1% of our GDPI in fiscal 2015,
2016 and 2017, respectively, as compared to 7.4%, 5.8% and 16.0%, respectively, of the non-
life insurance industry in India in the same periods, according to the CRISIL Report. Our
GDPI from crop/weather insurance increased from ₹ 2.76 billion in fiscal 2015 to ₹ 21.51
billion in fiscal 2017, representing a CAGR of 179.3%. For the three months ended June 30,
2017 our GDPI from crop/weather insurance was ₹ 7.23 billion and accounted for 21.8% of
our GDPI in the same period. The large growth in fiscal 2017 has been due to the
implementation of the PMFBY programme by the central and state governments.

Fire Insurance

Fire insurance covers damage or loss to property because of fire, riot, strike, earthquake,
storm, flood, and certain other natural catastrophes.

Fire insurance accounted for 8.2%, 7.8% and 6.9% of our GDPI in fiscal 2015, 2016 and
2017, respectively, as compared to 9.5%, 9.1% and 7.5%, respectively, of the non-life
insurance industry in India in the same periods, according to the CRISIL Report. Our GDPI
from fire insurance increased from ₹ 5.45 billion in fiscal 2015 to ₹ 7.45 billion in fiscal
2017, representing a CAGR of 16.9%. For the three months ended June 30, 2017 our GDPI
from fire insurance was ₹ 3.13 billion and accounted for 9.4% of our GDPI in the same
period.
Marine Insurance

Marine insurance insures goods that are being transported, by land or by sea, and the
insurance of ships, boats and offshore structures.

Marine insurance accounted for 3.7%, 3.7% and 3.2% of our GDPI in fiscal 2015, 2016 and
2017, respectively, as compared to 3.6%, 3.1% and 2.3%, respectively, of the non-life
insurance industry in India in the same periods, according to the CRISIL Report. Our GDPI
from marine insurance increased from ₹ 2.46 billion in fiscal 2015 to ₹ 3.41 billion in fiscal
2017, representing a CAGR of 17.6%. For the three months ended June 30, 2017, our GDPI
from marine insurance was ₹ 1.17 billion and accounted for 3.5% of our GDPI in the same
period.

Engineering Insurance

Engineering insurance refers to the insurance that provides coverage for risks faced by an
ongoing construction project, installation project, and machines and equipment used in such
project.

Engineering insurance accounted for 2.6%, 2.5% and 2.1% of our GDPI in fiscal 2015, 2016
and 2017, respectively. Our GDPI from engineering insurance increased from ₹ 1.71 billion
in fiscal 2015 to ₹ 2.25 billion in fiscal 2017, representing a CAGR of 14.6%. For the three
months ended June 30, 2017, our GDPI from engineering insurance was ₹ 0.82 billion and
accounted for 2.5% of our GDPI in the same period.

Other Insurance

Other insurance refers to insurance products that are not covered by the other categories
mentioned above. Some of these products include:

• Travel insurance – covering, among others, medical expenses, trip cancellation, lost
luggage, flight accident and other losses while traveling;

• Aviation insurance – insuring the policy holder for, among others, hull losses and for
passenger injuries caused by aircraft accidents;

• Credit insurance – insuring the policy holder against bad debts;

• Home insurance – insuring the policy holder against damage to a home caused by perils
such as fire, storm, typhoon, lightning, theft, riot, strike and malicious damage;
• Liability insurance – insuring the policy holder against the risk of liability imposed by
lawsuits or other similar claims from third parties related to the coverage reasons; and

• Burglary insurance, money insurance, fidelity insurance, baggage insurance, event

insurance and art insurance.

Other insurance accounted for 7.1%, 6.9% and 6.5% of our GDPI in fiscal 2015, 2016 and
2017, respectively. Our GDPI from other insurance increased from ₹ 4.74 billion in fiscal
2015 to ₹ 6.97 billion in fiscal 2017, representing a CAGR of 21.3%. For the three months
ended June 30, 2017, our GDPI from other insurance was ₹ 2.70 billion and accounted for
8.1% of our GDPI in the same period.
CHAPTER 2. RESEARCH METHODOLOGY

2.1 OBJECTIVES

1. To identify consumers awareness regarding availability of various general insurance

policies in India.

2. To study about the products and services offered by ICICI Lombard General Insurance Co.
Ltd.

3. To do SWOT analysis of ICICILGI Co. Ltd.

4. To find out the consumers responses towards ICICILGI Co. Ltd. Products and services.

2.2 SCOPE OF THE STUDY

Following the objectives, there are various scope from the study of selected research
problem which will helps to give us the clear picture of the problem and scope for future
growth and improvement. The following are various scope of the study of research problem:

1. The study aims at making an in-depth study of ICICI Lombard General Insurance Co. Ltd.
and products and services offered by them.

2. The study will be able to reveal the preferences, needs, perception of the customers
regarding various types of general insurance policies. This will help insurance companies to
know whether the existing products are really satisfying the customer need.

3. This study will give us the idea about consumers expectation from general insurance
companies and services offered by them.

2.3 HYPOTHESIS

The quality of services offered by ICICI Lombard General Insurance Co. Ltd. and their
efficiency in claim settlements have enhanced customer loyalty towards their general
insurance policies. This helps them to capture a large market share in the Indian insurance
sector.
2.4 TOOLS & TECHNIQUES USED

Microsoft Word

Microsoft Word is a word processor developed by Microsoft. The purpose of the MS Word is
to allow the users to type and save documents. It has helpful tools which enable us to make
documents as per our needs.

Microsoft Excel

Microsoft Excel is a spreadsheet developed by Microsoft for Windows, macOS, Android and
ISO. It features such as making graphs, pie diagrams, charts help us during the data analysis
phase of the undertaking study.

Google Forms

Google Forms is a survey administration app that is included in the Google Drive suite along
with Google Docs, Google Sheets and Google Slides. Google forms help us to conduct
survey and collect responses for the question asked in survey.

Sampling Technique

The sampling technique used is convenient sampling. It is also called as purposive sampling
or non-probability sampling. This sampling method involves purposive or deliberate selection
of particular units of the universe for constituting the sample, which represents the universe.
When population elements are selected for inclusion in the sample based on the ease of
access it can be called as convenient sampling. Empirical field studies required collection of
first-hand information and data pertaining to the units of study from the field.
2.5 SOURCES OF PRIMARY DATA AND SECONDARY DATA

Data can be referred as distinct pieces of information, usually formatted in a special

way. Data can exist in a variety of forms- as numbers or text on pieces of paper, as bits and
bytes stored in electronic memory, or as facts stored in a person mind. Data are divided into
two types i.e. primary data and secondary data. In our research problem both types of data are
used.

Primary Data

Primary data is a first-hand data that is collected with the help of surveys, interviews or
experiments etc. Our major source of primary data is collected by surveys in which certain
questions were asked and responses was demanded from our 30 respondents.

Secondary Data

Secondary data refers to data which is collected be someone who is someone other than
the user. Common source of secondary data includes censuses, government data base,
internet searches etc. Our major sources of secondary data are internet searches, company
intranet, government publications, books etc.

2.6 SAMPLE SIZE

Sample size was limited to first 30 respondent who become the part of our survey
which was conducted with the help of google form. The respondent belongs to different age
group, occupations and professions.

2.7 SAMPLE DESIGN

Target population of the study consists of various respondents of different age

groups, occupations etc. This survey was done by collecting the data from the respondents.
2.8 LIMITATION OF THE STUDY

There are certain limitations in undertaking this research work. As it is understood that
the limitations are a part of the project, they have been overshadowed by the benefits of the
study. The following are the limitation of the study:

a) The survey conducted may not be considered as comprehensive as only limited

respondents could be contacted because of the time constraint and resources available.

b) Objectives and the purposes of the study and the questions had to be explained to the
respondents and their responses may be biased. Some of the respondents were reluctant to
give their responses.

c) Only limited sample size had been considered for the study and therefore the conclusions
drawn based on this may not be a reflection of the entire population. The sample size chosen
for the questionnaire was only 30 and that may not represent the true picture of the research
problem.

d) Nearly 60% of the respondent belonged to the age group of between 18 to 35 and 37%
belonged to age group between 36 to 50. Hence only 3% respondent belong to age group of
above 50, so the findings may not be correct when we think about the opinion of the elderly
people about the research problem.
CHAPTER 3. REVIEW OF LITERATURE

The general insurance business has grown in spread and volume after nationalization.
The four companies have 2699 branch offices, 1360 divisional offices and 92 regional offices
spread all over the country. General Insurance Company (G.I.C) and its subsidiaries have
representation either directly through branches or agencies in 16 countries and through
locally incorporated subsidiary companies in other 14 countries. IRDA has so far granted
registration to 15 private general insurance companies.

Tracing the development in the Indian insurance sectors reveals the 360-degree
turn witnessed over a period of almost two centuries. So, the analysis of opening up of the
insurance sector regional or micro level is essential for the proper understanding of the issue
and for carrying out practical solutions.

❖ ‘Yojana’ a monthly journal, under the title “Indian Insurance Industry” reports that,
Indian insurance industry moved into a higher growth trajectory owing to recent
reforms with foreign direct investment in the insurance sector permitted up to 26 per
cent of equity, global insurers have rushed into the Indian market to capitalize on the
sizable middle class.They again report that the private insurers with foreign equity
participation treated an intense competitive market condition and resulted in driving
down premium rates/charges with respect to certain products and in improving the
quality of services offered by the insurers. According to this report, the industry
witnessed the beneficial effects of competition in the insurance sector in post
liberalization

❖ N. Rangachary, former chairman of IRDA, discusses about the reasons for opening
up of the insurance industry. According to him, one of the predominant reasons for
liberalizing the insurance industry is to create a more contestable market in the
insurance that will foster the development of an efficient and forward-looking
industry. And the deregulation of insurance will lead to a greater range of innovative
and customer-oriented products. Another advantage of opening up of the insurance
sector, he mentions, is that the foreign participation in locally owned direct insurers
will enable local players to form alliances with foreign partners and benefit from
transfer of technical know how and increased financial strength.
 ❖ V. Jagannathan, in his paper, “Imperatives of competition” reports that a major
change in the last couple of years has been the dismantling of the monopolistic status
of the state-run insurers. The field is no longer confined to them and has been thrown
open to private players also. He also feels that the opening up of the insurance sector
has given a new dimension to the competitive market while in the previous era
competition was among four organizations which were similar in almost all respects,
now the flight is among companies with different cultures, capabilities and value
system.

❖ In the paper, “Issues and Challenges”, C.S.Rao, IRDA Chairman, reports that the
primary objective in regulating the insurance industry is to protect the interests of the
policy holders. He feels that regulation or control inevitably resulted in:
• Unlimited discretionary powers to the service providers.
• Operational inefficiency and poor quality of services.
• Lack of transparency in the decision making process and of
accountability.
• High barriers to entry and negligible flow of private capital.

But the scope of regulation has varied from country to country and within countries from
sector to sector. However, universally, the scope of regulation has interalia covered

• Regulation of traffic.
• Ensuring quality of services.
• Improving the efficiency and productivity
• Speedy resolution of disputes between different players.

According to C.S.Rao, the non-life insurance industry witnessed a 180 percent growth by
writing gross premium of Rs 18,095.25 crores in 2004-05 up from Rs 10,087.03 crores in
2000-01.

❖ Jagendra Kumar, in the paper “changing scenario of insurance industry”,

reports that private insurance companies can give good competition to the public
sector understanding in terms of customer orientation and quick settlements. There is
a big scope for financiers to look a good fee-based income by becoming corporate
 agents. Before the industry was opened up, the four public sector insurance
companies were undertaking Rs 14000/- crores premia a year. So far, the eight
private insurers had taken away only 14% of the business. He further states that
insurance companies are today looking at different segments where there is business
potential and are trying to customize policies to suit the specific needs of their clients.

❖ In the paper “Insurance Regulations in India and future directions”,

T.K.Banerjee says that insurance liberalization promises many advantages which
include better risk management, products innovation and wider customer choice.
Moreover, insurance industry will face greater competition from other financial
services providers for all aspects of their value chain. He states that, one of the
spinoffs of liberalization of the insurance sector has been the demand for insurance
education and training. So, the economic reform process is ‘irreversible’ and the new
insurance companies are expected to hasten the process of producing a strong and
efficient insurance market.

❖ ‘Market Trends’, a monthly magazine of National Insurance Company Limited

(NICL) under the title ‘NIC number prop up public sector insurance flock’,
reported that public sector insurance companies would not have gathered a sizable
market share for the first quarter that ended in June 2003. The growth on a year-on-
year basis for National insurance worked out to 15.55%. While the other GIC
subsidiary companies have recorded a growth of less than 4%. According to the
reports, the growth rates of other players were as follows.

a) New India Assurance - 1.49%

b) United India Insurance - 2.86%

c) Oriental Insurance Company - 3.78%

According to the reports, it appears that the private sector players are helping in
widening the market base despite handicaps such as: a) Lack of Infrastructure, b) Inadequate
manpower, c) Low capital base. In growth terms, ICICI Lombard continues to lead the pack
with a premium of Rs.126 crore, reflecting a growth of nearly 250% on annuity over the year
basis. The growth rates of other payers were as follows:
 a) Bajaj Allianz - 73%

b) Royal Sundaram - 61%

c) Tata AIG - 68%

❖ Dr. M.Vidyasagar Reddy “Decade of liberalization of insurance sector in India”,

reported that the global financial meltdown has left India largely unaffected. There is
universal acknowledgement that this is due to the strong presence of public sector in
the Indian banking and insurance industries. The world realised at great peril that
finance capital is fundamentally in search of quick profits and hence speculative in
character rather than having any enduring links with the industry. Therefore, efforts
are being made to tame the finance capital and as a result many of the financial
institutions including insurance companies have been taken over by the governments
in the developed countries. Therefore, India must remain cautious. The plans to
further liberalise the insurance industry must be given up. Today, there is a conflict
between the IRDA and SEBI over ULIPs and between RBI and SEBI over interest
futures.

The government must take steps to settle these conflicts and strengthen the regulatory
mechanism for the orderly growth of the financial sector, insurance included.

❖ Ajit Ranade and Rajeev Ahuja discusses about penetration of insurance premium
in various countries. They find that opening up of the insurance sector is an integral
part of the liberalization process being pursued by many developing countries. Since
1987, when the Korean and Taiwanese insurance sector were liberalized, the Korean
market has grown three times faster than its GDP and in Taiwan the rate of growth
has been almost four times that of its GDP. The Philippines opened up its insurance
sector in 1992. The major insurance markets in South and East Asia are to varying
degrees open. These range from the comparatively free markets of Hong Kong and
Singapore to the increasingly more liberal markets of South Korea and Taiwan and
more densely regulated insurance sectors of Thailand and Malaysia.
❖ The studies done by Shivaji Sarkar found that insurance is picking up with the entry
of a large number of private insurers since December 2000. The public sector GIC
and LIC have stolen a march over their private rivals. The GIC is treading into areas
where the private insurers are shying to enter areas like motor insurance. The GIC
has also established itself as an international brand. In Asia, GIC has emerged as the
largest insurer apart from Japan. The GIC has set up offices in Moscow and London
to tap new business
He feels that competition has been a blessing particularly for the public sector
insurance companies. The public sector GIC has shown that it can live up to the
competition. The Tata-AIG is offering to Mumbai citizens an insurance of Rs. 5lakh
on accidental death for Rs. 1248/- a year. The government owned National Insurance
personal accident offers this for only Rs. 400 and if a customer takes disability and
death cover, GIC sells it to him for Rs. 700 anywhere in India.

❖ ICICI LOMBARD GENERAL INSURANCE COMPANY LIMITED

ICICI Lombard General Insurance Company Limited is a 74:26 joint venture
between ICICI Bank Limited and the Canada based $26 Billion Fairfax Financial
Holdings Limited. ICICI Bank is India’s second largest bank, while Fairfax Financial
Holdings is a diversified financial corporate engaged in general in general insurance,
reinsurance, insurance claims management and investment management. Lombard
Canada Ltd, a group company of Fairfax Financial Holdings Limited, is one of
Canada’s oldest property and casualty insurers. ICICI Lombard General Insurance
Company received regulatory approvals to commence general insurance business in
August 2001.

❖ Mookerji (2000) cited weaknesses of marketing policies pertaining to outdated

products and technology used by LIC and GIC of India. She forecasted that in the
light of new and upgraded technology, the LIC of India would strengthen the network
of agents and intermediaries. Most of the products of LIC of India were bundled ones
having no flexibility. Only twenty percent agents of the corporation were really
professional in their approach. The corporation must adopt some new channels of
distribution like banks, village head, post office or the cooperative societies to
improve its performance.
❖ Murthy (2000) emphasized the need of undertaking three functions viz. risk taking,
asset management and services the customers by the life insurance companies for
providing comfort to the society in an organised manner.

❖ R.N.Malhotra – a committee on reforms in the insurance sector was formed to

discuss on the media’s insurance sector- According to his survey, the awareness level
of various policies of both General and Life Insurance Company is quite limited. He
is also of the view that a fair proportion of people are of the opinion that peerless
companies are offering only general insurance.

❖ Sundar and Lalitha Ramakrishnan, “A Study on Farmers’ Awareness, Perception

and Willing to Join and Pay for Crop Insurance”, This paper discusses the findings of
the study in the area of crop insurance. Firstly, it measures the awareness level and
source of awareness, secondly examines the farmers’ perception, finally identify the
farmers willingness in paying for crop insurance. The study was conducted in
Kunichampet village, Puducherry District, India and 140 convenient respondents
were chosen and been carried out in June and July, 2012. From the analysis farmers
awareness level about crop insurance was low. Most of the farmers were not willing
to pay for crop insurance because of instable income, premium rate, no or low
compensation, problems with distribution channel and lack of financial knowledge.

❖ Santhana Vadivu. N. in his study on, “Insurance industry and its role in Indian
economy”, the present distribution channels of insurance industry and the awareness
of insurance among the Dubai and rural population and the comparative reach of
different advertising the promotional media as being used by the insurance selling
companied the insurance product awareness and the insurance agents performance in
different areas the relative faith of the private and public insurance players in the
rural mass and the urban population. The findings of the study were measured to
compare insurance in India activities in insurance companies and their products
among the respondents.
❖ Raju, S. and Chand, R. “Agricultural Insurance in India: Problems and Prospects”.
Crop insurance not only stabilizes the farm income but also helps the farmers to
initiate production activity after a bad agricultural year. It cushions the shock of crop
losses by providing farmers with a minimum amount of protection. In a working
paper of National Centre for Agricultural Economics and Policy Research (Indian
Council of Agricultural Research), Raju and Chand (2008) discussed and explored
the problems and prospects of agriculture insurance in the country. They also
empirically examined the perceptions of the farmers in Andhra Pradesh regarding the
Agricultural insurance. Those who availed crop insurance mentioned financial
security as the most important factor for getting their crop insured and wanted quick
settlement of claims. The non loanee farmers mentioned lack of awareness as the
major reason for not availing such insurance.

❖ Ram Pratap Sinha in his study entitled, “Productivity and efficiency of Indian
general insurance industry” The deregulation of general insurance industry in India is
having far-reaching consequences in terms of market size, structure and operational
practices. The penetration level of general insurance in India is quite low compared
to the international standards and, therefore, has tremendous potential for growth.
The present paper compares the performance of 12 general insurance companies in
respect of technical and scale efficiency and total factor productivity in a three-output
three-input framework, for the years 2003-04 and 2004-05, by using Data
Envelopment Analysis and Malmquist Total Factor productivity Index. The public
sector insurers dominate the private sector insurers in terms of mean technical
efficiency in constant returns to scale, while the private sector insurers have a slightly
higher mean technical efficiency than the public sector insurers in variable return to
scale. A further comparison of total factor productivity and gross income is also
made in respect of both public and private sector insurance companies.

❖ Rajesham. C.H and Rajender. K made a study on, “Changing scenario of India
Insurance Sector”, reports that this research is highlighted historical based of
insurance, insurance penetration and density. This research concluded insurance
companies of India are required to come up with multi-benefit policies including tax
benefits with quality based timely customer services and need to focus on health
insurance, which is one of the untapped areas of insurance including services through
 innovative products, smart marketing and aggressive distribution with internet
facility, with much individual attention, transparency and flexibility to increase the
quality and volume of insurance business.

❖ Reddy, A. “Agricultural Insurance in India: A Perspective”. Agricultural production

is an outcome of biological activity which is highly sensitive to changes in weather.
The erratic and uneven distribution of monsoon rains perpetuated yield/price
volatility and hence increased farmer’s exposure to risk and uncertainty. In this
scenario of high risk and uncertainty of rain fed agriculture, allocating risk is an
important aspect of decision making to farmers.

❖ Selvarani, studied the “Attitude of Policy holders towards Career Agents” with the
aim to study the various life insurance schemes, to measure the attitude of policy
holders towards rural career agents, to make suggestions based on the study. She used
both the primary & secondary data. The primary data were collected by using
interview schedule. There are 150 samples were chosen to do the study. It is
suggested that the agents may pay attention to the loan requirements of policy holders
and assist them in getting loan with least difficulty.

❖ Sonnentag S.; Kleine B. M. has studied about ‘Deliberate practice at work: A study
with insurance agents’ with the aim to study about the concept of deliberate practice
(Ericsson, Krampe, & Tesch-Romer, 1993) to work settings. Deliberate practice
comprises regularly performed activities which aim at competence improvement. It is
hypothesized that the amount of deliberate practice is positively related to work
performance. Results of a study with 100 insurance agents provided evidence for the
occurrence of deliberate practice activities in work contexts. The amount of current
time spent on deliberate practice was significantly related to supervisory ratings of
insurance agents’ work performance. Accumulated amount of time spent on
deliberate practice in the past was not related to work performance.
❖ Meena. K in her study on, “Utilization of Oriental Insurance Company Ltd. by
policy holders in Madurai City- An Empirical Study”, reports that a sample of 200
policy holders was taken on the basis of stratified sampling has portrayed the attitude
of policy holders towards the services provided by oriental Insurance Company Ltd
in Madurai.

❖ Chandrasekhar. S made a study entitled, “Customer service in United India

Insurance Company ltd”, tells that the growth of united India Insurance Company
Ltd. to evaluate the beneficial attitude towards the services of the united India
Insurance Company ltd. He has examined the degree of customer satisfaction among
the policyholders of united Insurance Company limited.

❖ Ghosh Roy, H.J., Sanket Vij and Puneet Goswami, “Claims Automation in Indian
Non-Life Insurance Sector: Gaining A Competitive Edge”, Claim management and
processing which accounts for an estimated 80% of operational cost for an insurance
company. By automating all or some of the elements of the lengthy claims process,
insurers can capture substantial cost savings and gains efficiency by providing a
faster, more transparent, claimant friendly and participative experience. Key
objectives of claim automation includes automating first notification of loss, the
initial customer/claimant touch points reducing manual processes, and streamlining
workflow throughout the process.

❖ Neha Dave- Money control Research (23 Oct 2018)

ICICI Lombard General Insurance, India’s largest private sector non-life insurer,
reported better-than-expected earnings, with Q2 FY19 net profit up 44 percent year-
on-year (YoY) at Rs 293 crore. Even after adjusting for a one-off item, net profit
growth was a healthy at 25 percent. The insurance industry is estimated to experience
gross insured losses of Rs 2,000 crore due to excessive floods in Kerala in Q2. The
company’s share in gross insured loses is estimated to be around Rs 66 crore. On a
net basis, after reinsurance, loss to the insurer would be Rs 25 crore. ICICI
Lombard’s share at 3.3 percent of gross industry losses from Kerala floods is much
lower than its market share. This demonstrates its ability to grow profitably despite
 the inherent volatility in its core risk underwriting business, making it a stock worth
considering.

❖ The Economics Times (19 Jan 2019)

ICICI Lombard General Insurance reported flat growth in net profit during the third
quarter ended December 31, 2018. During the quarter profit rose 3.2% to Rs. 232
crores in the corresponding period a year ago. The only listed private sector general
insurance company said profit incudes upfront expenses of acquisition cost relative to
the growth of 25.9% in gross domestic premium whereas the full benefit of earned
premium will be realised over the policy period. Combined ratio, which is a measure
of profitability, improved to 95.9% in Q3FY19 from 96% in Q3FY18. Premium
income increased 25.9% to Rs. 3699 crores in the third quarter compared to Rs.2937
crore in the third quarter of the previous year.
CHAPTER 4. DATA ANALYSIS, INTERPRETATION AND
PRESENTATION

1. Are you aware about various general insurance policies available in

India?

Particulars No. of respondents Percentage

Yes 21 70.00%

No 04 13.30%

May be 05 16.70%

16.70%

13.30%

70%

Yes No May be

Interpretation:

Above pie diagram shows that 70% respondent are aware of various general insurance
policies available in India, 13.30% respondent are not aware and 16.70% respondent may be
not fully aware or may be confused about various general insurance. This shows that, there
are some scope for insurance companies to advertise their offerings among the such
unidentified or unaware potential consumers.
2. Have you taken any general insurance policy?

Particulars No. of respondents Percentage

Yes 23 76.7%

No 07 23.3%

23.30%

Yes
No

76.70%

Interpretation:

As the diagram shows out of 30 respondents, 23 respondents that equals to 76.7% of our total
respondents have taken general insurance policy which shows that there are more people who
buy general insurance as compared to people who don’t prefer or don’t want to buy it. From
our survey its show that 23.3% people don’t prefer buying an insurance policy.
3. Which type of policy are you subscribed to?

Particulars No. of respondents

Motor Insurance 16

Health Insurance 15

Travel Insurance 4

Other 7

None 5

None
5

Other
7

Travel Insurance
4

Health Insurance
15

Motor Insurance
16

0 2 4 6 8 10 12 14 16 18

Interpretation:

Above bar graph shows that motor insurance and health insurance are more popular insurance
policy among consumer. As per Motor Vehicle Act, motor insurance is compulsory in India
for those who own any type of vehicle covered under the act. This could be the reason behind
its more demand than other insurance. People also buy health insurance policies more than
other general insurance policies. There could be many reasons and one of them could be
increasing medical expenses in today’s world. Our 4 respondents have taken travel insurance
and 7 have taken other general insurance which could be business, marine, fire insurance etc.
4. Which companies do you prefers for your policy?

Particulars No. of respondents Percentage

ICICILGI 15 50%

Reliance GI 5 16.7%

Tata AIG 5 16.7%

Bajaj Allianz 11 36.7%

Other 11 36.7%

16
15

14

12
11 11

10

6
5 5

0
ICICILGI Reliance GI Tata AIG Bajaj Allianz Other

Interpretation:

Above diagram shows that more consumers prefer ICICILGI company for their general
insurance policy. The second most preferred company is Bajaj Allianz. Tata AIG and
Reliance general insurance are less preferred companies among our selected companies. 11of
our respondents prefer other companies apart from given options. Other companies may be
public companies or private companies.
5. What you look for while selecting the policy?

Particulars No. of respondents Percentage

Premium rate 11 36.67%

Policy coverage 09 30.00%

Brand image 09 30.00%

Other 01 3.33%

Other
3%

Brand image Premium rate

30% 37%

Policy coverage
30%

Premium rate Policy coverage Brand image Other

Interpretation:

As per the pie diagram, while selecting any general insurance policy approx. 37% people buy
policy based on premium rate charged. 30% people looks for policy coverage while buying
any general insurance policy and 30% people purchase policy depending upon the brand
image of insurance company. Remaining 3% people looks for some other features while
purchasing a general insurance.
6. Have you taken any general insurance from ICICILGI Co. Ltd.?

Particular No. of respondent Percentage

Yes 19 67%

No 11 33%

33%

67%

Yes No

Interpretation:

As per above pie diagram, 67% respondents are customers of ICICI Lombard General
Insurance Co. Ltd. and have taken their general insurance policy. Rest 33% have either taken
general insurance policy of other companies or have not taken any general insurance policy.
7. Which general insurance policies have you taken from ICICILGI Co.
Ltd.?

Particulars No. of respondent Percentage

Motor insurance 12 40%

Health insurance 15 50%

Travel insurance 00 0%

Other insurance (marine, fire, 06 20%

crop etc.)

Not taken any 11 36.7%

Not taken 36.70%

Other insurance 20.00%

Travel insurance 0.00%

Health insurance 405 50.00%

Motor insuarnce 40.00%

0.00% 10.00% 20.00% 30.00% 40.00% 50.00% 60.00%

Interpretation:

Above graph shows that ICICI Lombard health insurance policy is the most selling policy of
the company followed by motor insurance policy. Travel insurance policy is less preferred
among our given options. 20% people buy other insurance policies offered by ICICI Lombard
that are marine insurance, fire insurance, crop insurance etc.
8. Reason for selecting ICICI Lombard General Insurance policy?

Particulars Responses in percentage

Premium rate 35.00%

Policy coverage 17.80%

Brand image 34.00%

Other 13.20%

13%

34%

35%

18%

Premium rate Policy coverage Brand image Other

Interpretation:

Approx. 35% people prefer ICICI Lombard General Insurance because of their attractive
premium rates and around 34% people prefer them because of their brand image they have
created. Approx. 18% people purchased policy of ICICILGI based on policy coverage the
offer. Rest 13% have other reasons for selecting ICICILGI policy.
9. What way you prefer to buy ICICI Lombard general insurance policy?

Particulars No. of respondent Percentage

Through Agent 12 40.00%

Through Insure App 05 16.70%

Through Third Party App 09 30.00%

Other 04 13.30%

45.00%
40.00%
40.00%

35.00%
30.00%
30.00%

25.00%

20.00%
16.70%

15.00% 13.30%

10.00%

5.00%

0.00%
1 2 3 4

Interpretation:

Above graphs shows that most people prefer purchasing their policy through insurance
agents. 30% people prefer third party apps for purchasing their policy. Almost 17% people
purchase their policy directly from ICICI Lombard (INSURE) App. It results in almost 50%
people prefer purchasing their policy online which shows technological development in
insurance sector.
10. How you rate the products and services offered by ICICILGI?

Particulars No. of Respondents Percentage

Very good 12 40.00%

Good 12 40.00%

Average 06 20.00%

Bad 00 00.00%

Bad
0%
Average
20%

Very good
40%

Good
40%

Very good Good Average Bad

Interpretation:

40% people rate the products and services offered by ICICILGI as very good which indicates
that the company has been able to provide products and services which satisfied customers
need. 20% rate their products and services as average which indicates that there is still some
area for improvements depending upon customers.
11. Who influenced you to get the general insurance policy?

Particulars No. of respondents Percentage

Friends/Relatives 09 30%

Insurance Agent 12 40%

Insurance Companies 05 16.7%

None 04 13.3%

14

12
12

10
9

Friend/Relative
8
Insurance Agent
Insurance Company
6
None
5

4
4

Interpretation:

Above graph shows that most people are influenced by insurance agent for purchasing their
policy. 40% people have been influenced by insurance agent which shows their importance in
growth of insurance sector. 30% people are influenced by their friends and relatives for
purchasing general insurance. Almost 17% people have been influenced by Insurance
companies which shows that companies needs to do more advertisements and communication
with general public to influenced them to buy their policies.
12. Would you recommend others for ICICILGI policies?

Particulars No. of respondent Percentage

Yes 23 76.67%

No 07 23.33%

23.33%

76.67%

YES NO

Interpretation:

Above diagram shows that more than 76% people would recommend others to go for general
insurance policies of ICICI Lombard. This may indicate the customers loyalty towards
ICICILGI and customers satisfaction towards their products and services. But still ICICILGI
company have some area of improvement because of which 23% people would not suggest
others to buy their policy.
13. Any suggestion for improvement in products and services offered by
ICICILGI Co. Ltd.?

Following are some of the suggestions received from our survey:

a) User interface of their app (INSURE) could be better.

b) Claim redemption process could be easy.

c) With such competition in the market, their services offering could be better.

d) Policy continuation process could be better.

SWOT ANALYSIS OF ICICI LOMBARD GENERAL INSURANCE Co.
Ltd.

A quick SWOT analysis was done on ICICILGI and product and services offered by
them. It helps to identify and understand Strength, Weakness, Opportunity and Threat of
ICICILGI and products and services offered by them.

STRENGHT WEAKNESS

• Consistent market leadership and • Low investment into ICICI

demonstrated growth
• Diverse product line with multi-
channel distribution network
• Robust risk selection and
management framework
• Superior operating and financial
performance
Lombard’s customer oriented
services
• Extra cost of building new supply
chain and logistics network
• Loss of reserves are based on the
occurrence of future event

OPPORTUNITY THREAT

• Capture new markets • High competitive market situation

due to entering of local as well as
• To invest in new technology and
major firms like Tata and Bharti in
innovation
sector.
• Increasing customer base in lower
• High government involvement in
segments
financial sector due to fraud cases
• Trends of customers migrating to reported in year 2009.
higher end products
CHAPTER 5. CONCLUSION AND SUGGESTIONS
5.1 CONCLUSION
Following the objectives, scope of study and analysis of collected data we have
reached to the conclusion of our research problem. Our objective was to identify awareness
of all general insurance policies available to public, to study all the products and services of
ICICI Lombard GI Co. Ltd. and consumer responses towards their products and services.
From the collected data, we are able to draw the following conclusion

Insurance sector in India shows high growth rate every year by year. Large size of
population of the country leads to great potential for insurance companies to established their
business on a large scale. After liberalization, globalisation, and privatisation in insurance
sector large number of companies have entered in this sector. This has created high
competition in the market which benefitted for the consumers. ICICI Lombard is one of the
leading General Insurance company in India which provide variety of general insurance
policies. Motor insurance and health insurance are most known general insurance policies of
the company. From the study we get to know that other than above two policies people are
either less aware of other types of policies available such as business insurance, crop
insurance, fire insurance, marine insurance etc or they do not prefer buying such policies.
ICICILGI company should make efforts to increase awareness of such policies among
general public which would help them to convert potential buyer into their customer resulting
in increase in their market share.

Study shows positive responses of people towards the products and services offered by
ICICI Lombard General Insurance Co. Ltd. Most people prefer their policies due to their
attractive premium and good brand image. This shows that consumer makes their decision by
either by comparing premium rates or brand image of two competitive companies while
purchasing their policy.

By proper use of technology companies have been able to provide better services to
customers. Consumer can directly purchase their policies from anywhere through available
applications on Internet. Insurance agents have equally contributed in increasing the sales of
policies and growth of insurance sector. Hence all above the above factor has led to the
growth of Insurance sector and ICICI Lombard has become a major player in this sector by
capturing a large market share.
5.2 SUGGESTIONS

Perfection is not attainable, but if we chase perfection, we can catch excellence. The study
shows that there are still some loop holes that ICICI Lombard should take care off. So, in
order to be competitive in the sector such loop holes need to be address. Following are some
of the suggestion based on our study

• ICICILGI should look forward to capture the rural population and make them
aware of policies such as Crop Insurance, Health Insurance, Property Insurance
etc. This will help them to converts potential buyer into their customer.
• Their INSURE application should have user friendly interface which can be easy
and convenient to operate.
• Their claim settlement process should be stress free and convenient for
customers.
• They should do more advertisement of their products and services offered.
BIBLOGRAPHY
 ANNEXURE

Age group:
• Below 20
• 21-35
• 35-50
• 51 and Above
Occupation:
• Business
• Profession
• Job
• Student
• Other
1. Are you aware about various general insurance policies available in India?
• Yes
• No
• Maybe
2. Have you taken any general insurance policy?
• Yes
• No
3. Which type of policy are you subscribed to?
• Motor Insurance
• Health Insurance
• Travel Insurance
• None
• Other
4. Which companies do you prefers for your policy?
• ICICI Lombard General Insurance
• Reliance General Insurance
• Tata AIG General Insurance
• Bajaj Allianz General Insurance
• Other
5. What you look for while selecting the policy?
• Premium Rate
• Policy Coverage
• Brand Image
• Other
6. Have you taken any general insurance from ICICILGI Co. Ltd.?
• Yes
• No
7. Which general insurance policy have you taken from ICICILGI Co. Ltd.?
• Motor Insurance
• Health Insurance
• Travel Insurance
• Other
• Not taken
8. Reason for selecting ICICI Lombard General Insurance policy?
• Premium Rates
• Policy Coverage
• Brand Image
• Other
9. What way you prefer to buy ICICI Lombard general insurance policy?
• Through Agent
• Through INSURE app
• Through third party app
• Other
10. How you rate the products and services offered by ICICILGI?
• Very Good
• Good
• Average
• Bad
11. Who influenced you to get the general insurance policy?
• Friends/Relative
• Insurance Agent
• Insurance companies
• None
12. Would you recommend others for ICICILGI policies?
• Yes
• No
13. Any suggestion for improvement in products and services offered by ICICILGI Co.
Ltd