Anju Main Project

Study on Stress Level Among the Employees of IDBI Federal Life Insurance Co Ltd.
CHAPTER – 1
INTRODUCTION
Holy Grace Academy of Management Studies

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1.1 PREFACE
This project is being carried out as a part of the academic curriculum, Master of
Business Administration, under Calicut University. The organization selected by the
researcher is IDBI Federal Insurance Company Limited. The period of study will be
for 45 days, from April 9th to May 23rd.This study is about STRESS LEVEL
AMONG THE EMPLOYEES OF IDBI FEDERAL INSURANCE COMPANY
LIMITED. The questionnaire survey is carried among the employees.
The employees are the most important assets of any organization and their effective
management is the key to its success.
Organizations mainly depend on 3 important resources:
 Capital
 Labour
 Machine
Among these, Human Resource is the most valuable, as it carries with it different
attributes that can be influenced by many internal and external factors that may be
carried along and decides the fate of an organization. Development of man power
resources is the basic need for the survival of any organization.
The study of human resource management is one of the major criteria in
the corporate sector. Human resource is the heart of the organization. By this research
project we will be able to know to reduce the stress level of the employees working in
the insurance sector. By this way the productivity of the employee increases.
Now a day the corporate sector is booming in a high speed that the people
have to work for prolonged hours to maintain the standard of living and achieve their
basic needs. So is the condition in the hospitals, colleges, BPO’s and lots of other
places. In spite of having the modern technologies and facilities, people are feeling
themselves to be work loaded and stressed. Stress arises because of many reasons
which are discussed in the following project. The project report also contain
techniques how to reduce the stress and overcome such problems.

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1.2 SIGNIFICANCE OF THE STUDY
Stress is a dynamic condition in which an individual is confronted with an

opportunity, demand or resource related to what the individual desires and for which
the outcome is perceived to be both uncertain and important. Many professionals see
the pressures of heavy workloads and deadlines as positive challenges that enhance
the quality of their work and the satisfaction the get from their job.
The employees of insurance companies are the people who also have to achieve
certain target and so for the non achievement of target the employees remain stressed
and tensed. The employees who have the simple table work also have to face the
problem of stress. Stress, either quick or constant, can induce risky body-mind
disorders. They may also affect our immune, cardiovascular and nervous systems and
lead individuals to habitual addictions, which are inter-linked with stress. The
employees may show dysfunctional behaviour if stress of high level. In all these
stress, organization is going to suffer. This is true in the case of all organizations.
Therefore, it is very essential to know the employees are facing any stress and to
know what are the factors contributing to stress. Within the organization these sources
of stress has to be identified and rectified before its impact shows on the performance
of the employees and productivity of the organization as a whole. The present study
reveals the dominant organizational stress factors in the organization and its impact on
the performance of employees.

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1.3 OBJECTIVES OF THE STUDY
GENERAL OBJECTIVE:-
 To find out the level of stress among the employees of IDBI Federal Insurance.
SPECIFIC OBJECTIVE:-
 To find out the stress in the area of the work.

 To examine and analyse the factors influencing employees stress.
 To study the effects of stress on the employees of IDBI Federal.
 To find out the measures to solve the stress issues.
1.4 SCOPE OF THE STUDY
With this study, the researcher can bring about a clear picture about the stress
level among the employees in IDBI Federal Insurance. The present world is fast
changing and there are lots of pressures and demand at work. These pressures at work
lead to physical disorder. Stress refers to individual’s reaction to a disturbing factor in
the environment.
With this study, the researcher will also be in a position to state the areas
where the employees are exposed to maximum stress and can also suggest the ways
through which an employee can cope with stress in those areas so that their day-today
work will not be hampered.

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1.5 METHODOLOGY OF THE STUDY
RESEARCH
Research refers to a search for knowledge. One can also define research as a scientific
and systematic search for pertinent information on a specific topic. In fact, research is
an art of scientific investigation. Research is an original contribution to the existing
stock of knowledge making for its advancement. It is the pursuit of truth with the help
of study, observation, comparison and experiment.
TYPE OF RESEARCH USED IN THIS STUDY

Type of research used in this study was descriptive research. Descriptive research
includes surveys and fact finding enquiries of different kinds. Major purpose of
descriptive research is description of the state of affairs as it exists at present.
RESEARCH DESIGN
Research design of this study was descriptive in nature. "A research design is the
arrangement of conditions for collection and analysis of data in a manner that aims to
combine relevance to the research purpose with economy in procedure”. In fact, the
research design is the conceptual structure within which research is conducted; it
constitutes the blue print for the collection, measurement, and analysis of data.
POPULATION
Sampling population contains the employees of IDBI Federal Insurance. The
company contains three channel- Agency channel, Banka channel and Alliance
channel. There are 42 employees in Agency channel, 28 employees in banka channel
and 30 employees in alliance channel of IDBI Federal Insurance Co Ltd, Cochin. All
these employees are our population.

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100 employees of IDBI Federal Insurance were taken as sample.
SAMPLING TECHNIQUE
Technique of sampling adopted was area sampling since it includes the employees of
IDBI Federal Co Ltd, Cochin Branch.
SOURCES OF DATA COLLECTION
Both primary and secondary sources have been explored for data collection.
PRIMARY DATA
The primary data was collected from the employees of IDBI Federal Insurance using
questionnaire.
SECONDARY DATA
Secondary data was collected from the previous study in the field and from relevant
books, documents, files, and web sources.
TOOLS OF DATA COLLECTION
Tool used in this study for collecting data was questionnaire. The questionnaire was
consisting of 23 questions. Questionnaire was framed by the researcher in
consultation with the project guide and the guide in the organization. The
questionnaire consisted of questions that can be asked to the employees of IDBI
Federal Insurance.
TOOLS USED FOR DATA ANALYS1S

After collecting the data’s from the employees concerned, each sample questions were
classified, tabulated, and then subjected to analysis. The techniques used for analysis
are:
 Percentage Analysis Method:

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With this method, it is found out how much percentage is for or against a
particular factor.
Formula = (Sample size/ total sample size) x 100

 Graphs and Diagram
1.6 PERIOD OF STUDY
Duration of the study is 45 days (From April 9th to May 23rd)
1.7 LIMITATIONS OF THE STUDY
Each and every task has certain limitations and hurdles in the course of its
performance. But this does not mean that the task should stick up whenever certain
limitations come up. The need is to try one’s level best to solve incoming limitations.
Few limitations of the project are enumerated below:
 Researcher was assigned to complete the study in a short span of 45days.

 Accuracy of data depends upon the information provided by the respondents.
 To create good image, respondents may give responses vary from the facts.
 Data were collected from 100 employees of IDBI Federal Insurance, but we
arrived at a general conclusion.
 Since the attitude of the respondents is bound to change from time to time, the
result of the study may not be universal.

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CHAPTER – 2
REVIEW OF LITERATURE

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2.1 DEFINITION:
Hans Selye was one of the founding fathers of stress research. His view in 1956 was
that “stress is not necessarily something bad – it all depends on how you take it. The
stress of exhilarating, creative successful work is beneficial, while that of failure,
humiliation or infection is detrimental.” Selye believed that the biochemical effects of
stress would be experienced irrespective of whether the situation was positive or
negative.
Since then, a great deal of further research has been conducted, and ideas
have moved on. Stress is now viewed as a "bad thing", with a range of harmful
biochemical and long-term effects. These effects have rarely been observed in
positive situations.
The most commonly accepted definition of stress (mainly attributed to

Richard S Lazarus) is that stress is a condition or feeling experienced when a
person perceives that “demands exceed the personal and social resources the
individual is able to mobilize.” In short, it's what we feel when we think we've lost
control of events.
This is the main definition used by this section of Mind Tools, although we
also recognize that there is an intertwined instinctive stress response to unexpected
events. The stress response inside us is therefore part instinct and part to do with the
way we think.

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The word ‘stress’ has been defined by the oxford dictionary as “a state of
affair involving demand on physical or mental energy”. A condition or circumstance
which can disturb the normal physiological and psychological functioning of an
individual. In general stress is a common phenomenon in our fast paced daily lives.
Our professional lives demands meeting stiff targets, deadlines, maintaining strict
schedules, adapting to various changes and keeping our performance constantly on the
right track. All these create stress.
Stress may be helpful in improving our performance and can have a positive
effect on us (Eustress or positive stress). But if not managed properly, stress can
become a chronic problem affecting our physical and mental well being (distress or
negative stress). Studies have shown that most of the diseases are either directly
related to stress or are highly affected by the presence of it. Stress weakens our
immunity system and our ability to fight back diseases.
The events or conditions in our environment that trigger stress are called
‘stressors’ and our body’s reaction to the constant demands from the environment is
called ‘Stress’. Thus, stressors are the cause and stress is the effect. There are two
types of stressors, Processive stressors and systematic stressors. “Processive stressors”
are also known as ‘fight or flight’ reaction. They are body’s immediate reactions to
sudden threat, challenge or fear like a job interview, business meetings, presentations,
etc. in such situations, the pituitary gland releases adrenocorticotropichormone
(ACTH), which signals the adrenal glands to release the ‘stress hormones’ adrenaline
and cortisol. These hormones increase our focus, mental alertness, strength and
energy and are temporarily helpful in enhancing our performance. Systematic
stressors are automatic physiological responses to stress, such as the loss of
equilibrium (dizziness) or the release of acid that turns and churns our stomach during
a stressful situation. Systematic stressors may be released simultaneously along with
Processive stressors and can cause excessive stress.
Workplace stress has become very common due to changing work
environment and working conditions. Ups and downs in the economy, ever increasing
targets and frequent policy changes by employers have increased feelings of
uncertainty and insecurity among employees.
WHAT IS STRESS?

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Stress refers to the strain from the conflict between our external environment and us,
leading to emotional and physical pressure. In our fast paced world, it is impossible to
live without stress, whether you are a student or a working adult. There is both
positive and negative stress, depending on each individual’s unique perception of the
tension between the two forces. Not all stress is bad. For example, positive stress, also
known as eustress, can help an individual to function at optimal effectiveness and
efficiency.
Hence, it is evident that some form of positive stress can add more color and vibrancy
to our lives. The presence of a deadline, for example, can push us to make the most of
our time and produce greater efficiency. It is important to keep this in mind, as stress
management refers to using stress to our advantage, and not on eradicating the
presence of stress in our lives.
On the other hand, negative stress can result in mental and physical strain. The
individual will experience symptoms such as tensions, headaches, irritability and in
extreme cases, heart palpitations. Hence, whilst some stress may be seen as a
motivating force, it is important to manage stress levels so that it does not have an
adverse impact on your health and relationships.
Modern day stresses can take the form of monetary needs, or emotional frictions.
Competition at work and an increased workload can also cause greater levels of stress.
How do you identify if you are suffering from excessive stress? Psychological
symptoms commonly experienced include insomnia, headaches and an inability to
focus. Physical symptoms take the form of heart palpitations, breathlessness,
excessive sweating and stomachaches.
What causes stress? There are many different causes of stress, and that which causes
stress is also known as a stressor. Common lifestyle stressors include performance,
threat, and bereavement stressors, to name a few. Performance stressors are triggered
when an individual is placed in a situation where he feels a need to excel. This could
be during performance appraisals, lunch with the boss, or giving a speech. Threat
stressors are usually when the current situation poses a dangerous threat, such as an

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economic downturn, or from an accident. Lastly, bereavement stressors occur when

there is a sense of loss such as the death of a loved one, or a prized possession.
Thus, there are various stressors, and even more varied methods and techniques of
dealing with stress and turning it to our advantages. In order to do so, we must learn
to tell when we have crossed the line from positive to negative stress.
GOOD STRESS V/S BAD STRESS:
Stress has often been misunderstood to be negative, with few people acknowledging
the importance and usefulness of positive stress. In our everyday lives, stress is
everywhere and definitely unavoidable; hence our emphasis should be on
differentiating between what is good stress, and what is bad. This will help us to learn
to cope with negative stress, and harness the power of positive stress to help us
achieve more.
There are 4 main categories of stress, namely eustress, distress, hyper stress and hypo
stress. Negative stress can cause many physical and psychological problems, whilst
positive stress can be very helpful for us. Here’s how we differentiate between them.
Eustress:
this is a positive form of stress, which prepares your mind and body for the imminent
challenges that it has perceived. Eustress is a natural physical reaction by your body
which increases blood flow to your muscles, resulting in a higher heart rate. Athletes
before a competition or perhaps a manager before a major presentation would do well
with eustress, allowing them to derive the inspiration and strength that is needed.
Distress:
We are familiar with this word, and know that it is a negative form of stress. This
occurs when the mind and body is unable to cope with changes, and usually occurs
when there are deviations from the norm. They can be categorized into acute stress
and chronic stress. Acute stress is intense, but does not last for long. On the other
hand, chronic stress persists over a long period of time. Trigger events for distress

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can be a change in job scope or routine that the person is unable to handle or cope
with.
Hyper stress:
This is another form of negative stress that occurs when the individual is unable to
cope with the workload. Examples include highly stressful jobs, which require longer
working hours than the individual can handle. If you suspect that you are suffering
from hyper stress, you are likely to have sudden emotional breakdowns over
insignificant issues, the proverbial straws that broke the camel’s back. It is important
for you to recognize that your body needs a break, or you may end up with severe and
chronic physical and psychological reactions.
Hypo stress
Hypo stress occurs when a person has nothing to do with his time and feels constantly
bored and unmotivated. This is due to an insufficient amount of stress; hence some
stress is inevitable and helpful to us. Companies should avoid having workers who
experience hypo stress as this will cause productivity and mindfulness to fall. If the
job scope is boring and repetitive, it would be a good idea to implement some form of
job rotation so that there is always something new to learn.
The types of stress are named as eustress and distress. Distress is the most
commonly-referred to type of stress, having negative implications, whereas eustress
is a positive form of stress, usually related to desirable events in person's life. Both
can be equally taxing on the body, and are cumulative in nature, depending on a
person's way of adapting to a change that has caused it.
Nature of Stress
Stress is highly individualistic in nature. Some people have high tolerance for stress
and thrive well in the face of several stressors in the environment. In fact, some
individuals will not perform well unless they experience a level of stress which
activates and energize them to put forth their best efforts. On the other hand, some
people have very low level of tolerance for stress and they become paralyzed when
they have to interface with routine everyday factors that appear undesirable to them.

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For every individual, there is an optimum level of stress under which he or she will
perform to full capacity. If the stress experienced is below this level, then the
individual gets bored, the motivational level to work reaches a low point and apathy
sets in. If one operates in very low stress environment and constantly experiences
boredom, the person is likely to be psychologically or physically withdrawn from
work. Psychologically, withdrawal will result in careless mistakes being frequently
made, forgetfulness and absent mindedness. Physical withdrawal will manifest itself
in increased rate of tardiness and absenteeism which will ultimately lead to turnover.
On the other hand, the stressors in an individual's environment are too many or too
intense. Their effects on performance will again be adverse. Errors will increase, bad
decision will be made and the individual will experience insomnia, stomach problems
and psychosomatic illnesses. Organizational performance and individual health are at
their peak at optimum level of experiencing stress.
SOURCES OF JOB STRESS
The major sources of job stress fall into seven categories.
o Control

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This factor is the most closely related to job stress. Studies show that workers who
believe that they have a great deal of responsibility but little control or decision-
making power in their jobs are at increased risk for cardiovascular diseases and other
stress-related illnesses.
o Increased Responsibilities
Taking on additional responsibilities in your job can be stressful. This can be worse if
you have too much work to do and are unable to say no to new tasks or projects.
o Competence
Are you concerned about your ability to perform well? Are you challenged enough,
but not too much? Do you feel secure in your job? Job insecure is a major source of
stress to many people.
o Clarity
Feeling uncertain about what your duties are, how they may be changing, or what
your departments or organization's goals are can lead to stress.
o Communication
Workplace tension often results from poor communication, which in turn increases
job stress. An inability to express your concerns, frustration, or other emotions can
also lead to increased stress.
o Support
Feeling unsupported by your co-workers may make it harder to resolve other

problems at work that are causing you stress.
o Significance
If you don't find your job meaningful or take pride in it, you may find it stressful.

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2.2 WORKPLACE STRESS
Workplace stress is the harmful physical and emotional response that occurs when
there is a poor match between job demands and the capabilities, resources, or needs of
the worker. Stress-related disorders encompass a broad array of conditions, including
psychological disorders (e.g., depression, anxiety, post-traumatic stress disorder) and
other types of emotional strain (e.g., dissatisfaction, fatigue, tension, etc.),
maladaptive behaviors (e.g., aggression, substance abuse), and cognitive impairment
(e.g., concentration and memory problems). In turn, these conditions may lead to poor
work performance or even injury. Job stress is also associated with various biological
reactions that may lead ultimately to compromised health, such as cardiovascular
disease.
Stress is a prevalent and costly problem in today's workplace. About one-third of

workers report high levels of stress. One-quarter of employees view their jobs as the
number one stressor in their lives. Three-quarters of employees believe the worker has
more on-the-job stress than a generation ago. Evidence also suggests that stress is the
major cause of turnover in organizations.
COPING WITH STRESS AT WORK PLACE
With the rapid advancement of technology, the stresses faced at work have also
increased. Many people dread going to work, hence the term “Monday Blues”. What
is the reason for this? There is partly the fear from being retrenched in bad times,
leading to greater job insecurity on the part of those who remain. Undoubtedly,
occupational stress is one of the most commonly cited stressors faced by people all
over the world.
Stress refers to the pressure and reactions to our environment which results in
psychological and physical reactions. Whilst some stress is good for motivation and
increasing efficiency, too much stress can result in negative impacts such as reduced
effectiveness and efficiency. More and more people are feeling isolated and
disrespected at work, and this has led to greater occupational stress. Many companies

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have taken to consulting experts and professionals on ways to increase connectedness

and motivation of their employees.
Some companies organize parties and make their employees feel valued at work.
These are measures to motivate employees and help them to feel secure at their jobs,
translating into greater productivity. However, not all companies have such measures
in place, and some have not gotten it quite right. Hence, it is up to you to make sure
that you can cope with stress at your workplace, and use it to help you work better.
Here are 3 simple steps to help you with coping with stress in the workplace.
Step 1: Raising Awareness
Help yourself to identify when you are facing rising levels of stress, tipping the scales
from positive to negative. This is important, as being able to identify signs of being
stressed can help you to take steps to ensure that your overall quality of life does not
drop. If left unacknowledged, the problem will only snowball, leading to disastrous
consequences to your health and overall wellbeing.
You can identify if you are feeling stressed by checking if you have any physical or
psychological reactions, such as excessive sweating or heart palpitations, or the onset
of headaches, irritability or the need to escape. If you experience any of these
reactions, identify if you are feeling any overwhelming negative emotions, and if you
are constantly worried.
Step 2: Identify the Cause
You need to be able to analyze the situation and identify what is causing the rise in
stress. These stressors can be external and internal. External stressors refer to things
beyond your control, such as the environment or your colleagues at work. Internal
stressors refer to your own thinking and attitude. Often, we only start reacting to stress
when a combination of stressors working together exceeds our ability to cope.
Keep a diary or a list of events that have caused you to feel strong negative emotions,
or that are likely stressors. This will help you to identify the causes of your stress.
Whilst it is not always possible to eradicate them, we can change the way that we
cope with it.

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Step 3: Coping with Stress

In order to deal with the situation that is causing you stress, you need to calm your
mind and body so as to stave off the reactions and cope with it in a positive way. This
can be through different methods, such as taking time off. If a situation is triggering
your stress and you are unable to calm down, remove yourself from it. Go outside and
take a walk to calm down. Alternatively, you can try implementing relaxation
techniques such as deep breathing. If it is an internal stressor, stop your thought
process until you are able to deal with it logically.
STRESS MANAGEMENT
Stress management is the need of the hour. However hard we try to go beyond a stress
situation, life seems to find new ways of stressing us out and plaguing us with anxiety
attacks. Moreover, be it our anxiety, mind-body exhaustion or our erring attitudes, we
tend to overlook causes of stress and the conditions triggered by those. In such
unsettling moments we often forget that stressors, if not escapable, are fairly
manageable and treatable.
Stress, either quick or constant, can induce risky body-mind disorders. Immediate
disorders such as dizzy spells, anxiety attacks, tension, sleeplessness, nervousness and
muscle cramps can all result in chronic health problems. They may also affect our
immune, cardiovascular and nervous systems and lead individuals to habitual
addictions, which are inter-linked with stress.
CAUSES OF WORKPLACE STRESS
Job stress results from the interaction of the worker and the conditions of work. Views
differ on the importance of worker characteristics versus working conditions as the
primary cause of job stress. The differing viewpoints suggest different ways to
prevent stress at work. According to one school of thought, differences in individual
characteristics such as personality and coping skills are most important in predicting
whether certain job conditions will result in stress-in other words, what is stressful for
one person may not be a problem for someone else. This viewpoint leads to

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prevention strategies that focus on workers and ways to help them cope with
demanding job conditions.
Although the importance of individual differences cannot be ignored, scientific

evidence suggests that certain working conditions are stressful to most people. Such
evidence argues for a greater emphasis on working conditions as the key source of job
stress, and for job redesign as a primary prevention strategy. Personal interview
surveys of working conditions, including conditions recognized as risk factors for job
stress, were conducted in Member States of the European Union in 1990, 1995, and
2000. Results showed a trend across these periods suggestive of increasing work
intensity. In 1990, the percentage of workers reporting that they worked at high
speeds at least one-fourth of their working time was 48%, increasing to 54% in 1995
and to 56% in 2000. Similarly, 50% of workers reported they work against tight
deadlines at least one-fourth of their working time in 1990, increasing to 56% in 1995
and 60 % in 2000. However, no change was noted in the period 1995–2000 (data not
collected in 1990) in the percentage of workers reporting sufficient time to complete
tasks. A substantial percentage of Americans work very long hours. By one estimate,
more than 26% of men and more than 11% of women worked 50 hours per week or
more in 2000. These figures represent a considerable increase over the previous three
decades, especially for women. According to the Department of Labor, there has been
an upward trend in hours worked among employed women, an increase in extended
work weeks (>40 hours) by men, and a considerable increase in combined working
hours among working couples, particularly couples with young children.
SIGNS OF WORKPLACE STRESS
Mood and sleep disturbances, upset stomach and headache, and disturbed
relationships with family; friends and girlfriends or boyfriends are examples of stress-
related problems. The effects of job stress on chronic diseases are more difficult to see
because chronic diseases take a long time to develop and can be influenced by many
factors other than stress. Nonetheless, evidence is rapidly accumulating to suggest that
stress plays an important role in several types of chronic health problems-especially
cardiovascular disease, musculoskeletal disorders, and psychological disorders.

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CONSEQUENCES OF STRESS
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Consequences for the individuals:
An individual who is experiencing stress may develop the following

symptoms:
Physiological Symptoms
 Stress: Irritability, insomnia, alcohol and food abuse. Physical changes

including rapid breathing and heart beat, and tensed muscles. Prolonged stress
can cause muscular twitches, skin problems, baldness and sexual problems
such as impotence.
 Anxiety: Excessive worry, irritability, anger, nervousness as well as inability to
concentrate or sleep. Physical changes include palpitations, chest pain and
dizziness.
 Depression: Feeling of sadness, hopelessness, guilt and worthlessness, loss of
interest in activities, change in appetite or weight, difficulty in concentrating and
suicidal thoughts.
Psychological Symptoms
Psychological problems resulting from stress are very important in day to day job
performance. The psychological impacts of stress may be:
 Job related stress can cause job related dissatisfaction.

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 High level of stress may be accompanied by anger, anxiety, depression,

nervousness, irritability, tension and boredom.
 The psychological problems from stress may lead to poor job performance,
low self esteem, resentment of supervision, inability to concentrate, inability
make decisions and job dissatisfaction.
 The less control people have over the pace of their work, the greater the stress
and dissatisfaction.
Behavioural Symptoms
Direct behaviour that accompanies high level of stress includes:
 Under eating or over eating.

 Sleeplessness.
 Increased smoking and drinking.
 Drug abuse.
 Nodding off during meetings or social gatherings.
 Losing your sense of humour.
 Moving in a tense or jerky way.
 Reacting nervously or irritably to everyday sounds.
 Absenteeism and turnover.
 Reduction in productivity.
CONSEQUENCES FOR THE FAMILY
Distress which is handled by individuals in dysfunctional ways such as resorting to

drinking or withdrawal behaviours will have an adverse effect on their family life.
The effect of this will be spouse abuse, child abuse, alienation from family members
and even divorce. The stressors which generally affect the family are:
 The stresses experienced by the couples stem from role overload, since both
partners have to manage their careers as well as help the family.
 Stresses are experienced while handling the personal, social and cultural
dilemmas of balancing work and family.
CONSEQUENCES TO THE ORGANIZATIONS
The effects of employee stress on organizations are many and varied. These include:

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 Low performance and productivity.

 High rate of absenteeism and turnover.
 Loss of customers due to poor attitude of workers.
 Increase alienation of the worker from the job.
 Decreased commitment to work
 Impaired performance and productivity
 Increased unsafe working practices and accident rates
 Increased complaints from customers and clients
 Adverse effect on staff recruitment
 Increased liability of legal claims and actions by stressed workers.
PREVENTION
A combination of organizational change and stress management is often the most

useful approach for preventing stress at work.
How to Change the Organization to Prevent Job Stress?
 Ensure that the workload is in line with workers' capabilities and resources.
 Design jobs to provide meaning, stimulation, and opportunities for workers to
use their skills.
 Clearly define workers' roles and responsibilities.
 Give workers opportunities to participate in decisions and actions affecting
their jobs.
 Improve communications-reduce uncertainty about career development and
future employment prospects.
 Provide opportunities for social interaction among workers.
 Establish work schedules that are compatible with demands and
responsibilities outside the job.
 Discrimination inside the workplace. (e.g. nationality and language )
Simple ways of managing stress:

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Managing stress is not an easy task. It doesn’t even require a flashy lifestyle or
costly equipments. The only important things are self-awareness, go easy attitude and
willingness to set free. Some tips are as follows:
 Be organized, focused and manage the time
 Accept personal limitations
 Avoid temptations for temporary gains
 Manage anger but avoid suppressing our feelings
 Control diet, eat healthy and drink sufficient water
 Get adequate and natural sleep
 Do regular exercise, walk and spend time outdoors
 Indulge our self in leisurely activities and hobbies
 Practice laughter
 Stop worrying and remain positive
A lot of times when we are stressed, we forgot to look at ourselves and keep
over-striving. We lose our tact, tend to make more mistakes in haste, and end up
becoming even more stressed. To avoid that, some common stress, stress busters can
be used. They are as follows:
 Take a break
 Listen to favourite music
 Take a walk
 Take a deep breath
 Enjoy some food, a drink chocolate or mint
 Drink a glass of cold water
 Try relaxing by freeing mind from all thoughts
 Play simple games
 Read and share jokes
 Take a shower
 Get a body massage
2.3 REVIEW OF LITERATURE

23
The United Nations’ International labour Organization (ILO) has defined

occupational stress as a ‘global epidemic’. It has to be understood that, health is not
merely the absence of disease or infirmity but a positive state of complete physical,
mental and social well being (WHO 1986). A healthy work environment is one where
the employees can enthusiastically work and feel positively motivated to achieve their
tasks without being unduly pressurized and made to compromise on their personal
expectations from the job.
The Indian Council for Research on International Economic relation (ICRIER)
has estimated in a study that heart diseases, strokes and diabetes have cost around
$9bn of India’s national income in 2005. The report also points out that if corrective
actions are not put into place immediately, the losses could touch a staggering $200bn
over the next 10 years. Interestingly, the survey of 81 companies further revealed that
14% of annual working days are lost due to employee sickness and health issues. If
the companies can reduce just one health risk, they can increase an employee’s
productivity by almost 9% and cut absenteeism by 2%.
Another survey conducted by India’s industry body Assocham revealed that the
problems of stress and mental fatigue have intensified in recent times especially at the
top and middle level positions across sectors like construction, shipping, banks,
trading houses, media, retail etc. professionals such as engineers, architects,
contractors, marketing managers, quality controllers, editors, reporters, and
copywriters are some of the worst sufferers of stress. According to Assocham
Business Barometers (ABB) survey, “severe business competition puts the maximum
of pressure on the company heads that are always looking for innovative ways to stay
ahead of their rivals”. It has been also observed that there is high level of job stress
and less job satisfaction among young age group managers than middle age and old
age group managers (Chandraiah et al 2003). Another global survey recently
conducted by the US based HR advisory firm, Kenexa Research Institute, also found
that across different roles, women employees’ experience more stress than men
employees in similar positions.
From the organizational point of view, stress also affects the overall productivity of
the organization. According to the US bureau of Labour, stress costs US business
$3oobn annually due to lost productivity, absenteeism, accidents, employee turnover,
medical and legal expenses, workers’ compensations, etc. There has been a sea

24
change in the working environments in India since the last 10-15 years. The rapid
economic growth boost in sectors like IT, banking, insurance, telecom and retail have
fueled companies to strive for aggressive expansions. This has resulted in a
performance driven work culture in most of the organizations where employees were
constantly subjected to higher degrees of stress.
The recent economic crisis has worsened the situation further as many
employees, especially from MNCs and outsourcing industries had to psychologically
fight hard against concerns such as pay cuts and job insecurities. A recent global
economic indicator survey conducted by the Regus Group revealed significant
increase of work related stress during the last two years in most of the countries. The
highest increase was recorded in china 86% employees reported a rise in stress. On
the other hand, Netherlands recorded the least but still significant rise, 47% of its
workers reported a rise in stress. India ranked comparatively higher, 57% of its
workers said that they experienced a ‘higher’ or ‘much higher’ growth in stress over
the past two years. Perhaps, today in times of diminishing trade barriers between
nations, there is no significant difference in the pattern of work stress faced by
employees across the world.
However, it is the lack of proper health infrastructure for countries like India that
makes them vulnerable to the greater consequences of stress.

25
CHAPTER – 3
PROFILE
3.1 INDUSTRY PROFILE
INSURANCE SECTOR IN INDIA
Insurance sector in India is one of the booming sectors of the economy and is growing
at the rate of 15-20 per cent annum. Together with banking services, it contributes to
about 7 per cent to the country's GDP. Insurance is a federal subject in India and
Insurance industry in India is governed by Insurance Act, 1938, the Life Insurance
Corporation Act, 1956 and General Insurance Business (Nationalisation) Act, 1972,
Insurance Regulatory and Development Authority (IRDA) Act, 1999 and other related
Acts.
The origin of life insurance in India can be traced back to 1818 with the establishment
of the Oriental Life Insurance Company in Calcutta. It was conceived as a means to

26
provide for English Widows. In those days a higher premium was charged for Indian
lives than the non-Indian lives as Indian lives were considered riskier for coverage.
The Bombay Mutual Life Insurance Society that started its business in 1870 was the
first company to charge same premium for both Indian and non-Indian lives. In 1912,
insurance regulation formally began with the passing of Life Insurance Companies
Act and the Provident Fund Act.
By 1938, there were 176 insurance companies in India. But a number of frauds during
1920s and 1930s tainted the image of insurance industry in India. In 1938, the first
comprehensive legislation regarding insurance was introduced with the passing of
Insurance Act of 1938 that provided strict State Control over insurance business.
Insurance sector in India grew at a faster pace after independence. In 1956,
Government of India brought together 245 Indian and foreign insurers and provident
societies under one nationalised monopoly corporation and formed Life Insurance
Corporation (LIC) by an Act of Parliament, viz. LIC Act, 1956, with a capital
contribution of Rs.5 crore.
The (non-life) insurance business/general insurance remained with the private sector
till 1972. There were 107 private companies involved in the business of general
operations and their operations were restricted to organised trade and industry in large
cities. The General Insurance Business (Nationalisation) Act, 1972 nationalised the
general insurance business in India with effect from January 1, 1973. The 107 private
insurance companies were amalgamated and grouped into four companies: National
Insurance Company, New India Assurance Company, Oriental Insurance Company
and United India Insurance Company. These were subsidiaries of the General
Insurance Company (GIC).
In 1993, the first step towards insurance sector reforms was initiated with the
formation of Malhotra Committee, headed by former Finance Secretary and RBI
Governor R.N. Malhotra. The committee was formed to evaluate the Indian insurance
industry and recommend its future direction with the objective of complementing the
reforms initiated in the financial sector.
Key Recommendations of Malhotra Committee
Structure
 Government stake in the insurance Companies to be brought down to 50%.

27
 Government should take over the holdings of GIC and its subsidiaries so that
these subsidiaries can act as independent corporations.
 All the insurance companies should be given greater freedom to operate.
Competition
 Private Companies with a minimum paid up capital of Rs.1billion should be

allowed to enter the industry.
 No Company should deal in both Life and General Insurance through a single
Entity.
 Foreign companies may be allowed to enter the industry in collaboration with
the domestic companies.
 Postal Life Insurance should be allowed to operate in the rural market.
 Only one State Level Life Insurance Company should be allowed to operate in
each state.
Regulatory Body
 The Insurance Act should be changed.

 An Insurance Regulatory body should be set up.
 Controller of Insurance should be made independent.
Investments
 Mandatory Investments of LIC Life Fund in government securities to be

reduced from 75% to 50%.
 GIC and its subsidiaries are not to hold more than 5% in any company.
Customer Service
 LIC should pay interest on delays in payments beyond 30 days

 Insurance companies must be encouraged to set up unit linked pension plans.
 Computerisation of operations and updating of technology to be carried out in
the insurance industry.

28
Malhotra Committee also proposed setting up an independent regulatory body - The

Insurance Regulatory and Development Authority (IRDA) to provide greater
autonomy to insurance companies in order to improve their performance and enable
them to act as independent companies with economic motives.
Insurance sector in India was liberalized in March 2000 with the passage of the
Insurance Regulatory and Development Authority (IRDA) Bill, lifting all entry
restrictions for private players and allowing foreign players to enter the market with
some limits on direct foreign ownership. There is a 26 percent equity cap for foreign
partners in an insurance company. There is a proposal to increase this limit to 49
percent. The opening up of the insurance sector has led to rapid growth of the sector.
Presently, there are 16 life insurance companies and 15 non-life insurance companies
in the market. The potential for growth of insurance industry in India is immense as
nearly 80 per cent of Indian population is without life insurance cover while health
insurance and non-life insurance continues to be well below international standards.
Insurance
Insurance may be described as to protect the economic value of asset. It can be said to
be a system of spreading the losses of an individual over a group of individuals.
Since it is an intangible product, Insurance Industry is a service industry.
Insurance Industry do not produce any goods but sell the promise. A promise to take
care of the customers or their dependents in case they suffer a loss due to some peril
during the term of policy.
The insurance industry consists mainly of insurance carriers (or insurers) and
insurance agencies and brokerages. In general, insurance carriers are large companies
that provide insurance and assume the risks covered by the policy. Insurance agencies
and brokerages sell insurance policies for the carriers. While some of these
establishments are directly affiliated with a particular insurer and sell only that
carrier’s policies, many are independent and are thus free to market the policies of a
variety of insurance carriers. In addition to supporting these two primary components,
the insurance industry includes establishments that provide other insurance-related
services, such as claims adjustment or third-party administration of insurance and
pension funds.
These other insurance industry establishments also include a number of independent

29
organizations that provide a wide array of insurance-related services to carriers and

their clients. One such service is the processing of claims forms for medical
practitioners. Other services include loss prevention and risk management. Also,
insurance companies sometimes hire independent claims adjusters to investigate
accidents and claims for property damage and to assign a dollar estimate to the claim.
Insurance carriers assume the risk associated with annuities and insurance policies
and assign premiums to be paid for the policies. In the policy, the carrier states the
length and conditions of the agreement, exactly which losses it will provide
compensation for, and how much will be awarded. The premium charged for the
policy is based primarily on the amount to be awarded in case of loss, as well as the
likelihood that the insurance carrier will actually have to pay. In order to be able to
compensate policyholders for their losses, insurance companies invest the money they
receive in premiums, building up a portfolio of financial assets and income-producing
real estate which can then be used to pay off any future claims that may be brought.
There are two basic types of insurance carriers: primary and reinsurance. Primary
carriers are responsible for the initial underwriting of insurance policies and annuities,
while reinsurance carriers assume all or part of the risk associated with the existing
insurance policies originally underwritten by other insurance carriers.
Primary insurance carriers offer a variety of insurance policies. Life insurance

provides financial protection to beneficiaries—usually spouses and dependent
children—upon the death of the insured. Disability insurance supplies a preset income
to an insured person who is unable to work due to injury or illness, and health
insurance pays the expenses resulting from accidents and illness. An annuity (a
contract or a group of contracts that furnishes a periodic income at regular intervals
for a specified period) provides a steady income during retirement for the remainder
of one’s life. Property-casualty insurance protects against loss or damage to property
resulting from hazards such as fire, theft, and natural disasters. Liability insurance
shields policyholders from financial responsibility for injuries to others or for damage
to other people’s property. Most policies, such as automobile and homeowner’s
insurance, combine both property-casualty and liability coverage. Companies that
underwrite this kind of insurance are called property-casualty carriers.

30
Some insurance policies cover groups of people, ranging from a few to thousands of
individuals. These policies usually are issued to employers for the benefit of their
employees or to unions, professional associations, or other membership organizations
for the benefit of their members. Among the most common policies of this nature are
group life and health plans. Insurance carriers also underwrite a variety of specialized
types of insurance, such as real-estate title insurance, employee surety and fidelity
bonding, and medical malpractice insurance.
Other organizations in the industry are formed by groups of insurance companies, to

perform functions that would result in a duplication of effort if each company carried
them out individually. For example, service organizations are supported by insurance
companies to provide loss statistics, which the companies use to set their rates.
What is insurance:
Mankind is exposed to many serious perils such as property losses from fire a n d
windstorm and personal losses from disability and premature
d e a t h . Although it is impossible for an individual to foretell or completely prevent
their occurrence but it is possible to provide against their financial effect the loss
of property and earnings. From the point of view of the individual the life Insurance
may be defined as a contract whereby for a Consideration amount called the
premium, one party( t h e i n s u r e r ) a g r e e s t o p a y t o t h e o t h e r ( t h e
i n s u r e d ) o r a b e n e f i c i a r y p articular amount upon the occurrence of death
or any other agreed event.
o Insurance is the method of spreading and transfer of risks

o Losses of few unfortunate are shared by and spread over to many
exposed to the same risk.
o Assets created by the owner in expectation of future needs have a value
o Losses of assets for any reason deprive the owner of the expected
benefits.
o It acts as a form of a safeguard against misfortunes.
From the point of view of community life insurance may be defined as a social.

31
Purpose and need of insurance:
As said earlier that the making is exposed to many serious perils which
risk the security of their belongings. The risk here means that there is a possibility of
occurrence of loss or damage to the property, it may happen or may not
happen. Insurance is relevant only in the contingency of uncertainty. If there is no
uncertainly about the occurrence of the loss it can’t be insured against:
• Assets are likely to be destroyed or made non-functional due to perils like firefloods,
breakdowns, lightning and earthquake.
• Damage to assets caused by any perils is the risk that assets are exposed to.
• Insurance become relevant only if there is uncertainly of occurrence of event leading

to loss.
• No uncertainty No insurance.
• We can say that the human life value is an ongoing generating asset, which can be
lost on early death or disability caused by accidents.
• Insurance doesn’t protect the assets but only compensates the economic or financial
loss.
• Basically insurance covers tangible assets but the concept

c a n b e extended to intangible also.
Life Insurance:
The word ‘Life Insurance’ it self is self-explanatory. It deals with insurance of human
life. “Life Insurance corporation of India”- a public sector undertaking has the
monopoly in this sector since its nationalization. In our wordily life,
whenever there is uncertainty, there is an involvement of risk. The instinct
for security against such risk is one of the basic motivating forces
determining h u m a n a t t i t u d e s . A s a s q u e a l t o t h i s q u e s t f o r
S e c u r i t y , t h e c o n c e p t o f insurance must have been born. The urge to
provide insurance or protection against the loss of life & property must have
prompted people to make some sort of sacrifice willingly in order to achieve

32
security through “COLLECTIVECO-OPERATION”, in this sense; story of

insurance is probably as old as THE story of mankind.
Why life insurance:
1. Protection of the interest of the family member.
2. Provision for education and marriage of the children.
3. Post retirement income for self and dependents
4. Special needs for medical expenses.
5. Provision for health /illness.
6. Provision for housing.
7. Provision for income tax rebate.
Benefits of life insurance:
Insurance not only serves the ends of individuals or of special

g r o u p s o f individuals but also is advantageous to the society as a whole.
Benefits to the Individual:
•Superior to any other saving plans:
Unlike any other saving plan, a life insurance policy affords full
protection against risk of death. In the event of death of a policy holder,
the insurance c o m p a n y m a k e s a v a i l a b l e t h e f u l l s u m a s s u r e d t o t h e
n e a r a n d d e a r o f policyholder. In comparison, any other saving plan
would amount the total saving accumulated till date. If death occurs prematurely,
such saving can be much lesser than sum assured. Evidently, the potential financial
loss of the family of the policyholder is sizable.
• Encourages and forces thrift:

33
A saving deposit can easily be withdrawn. The payment of Life

i n s u r a n c e premiums, however, is considered sacrosanct and is viewed
with the same seriousness as the payment of interest on a mortgage. Thus, a life
insurance policy in effect brings about compulsory saving.
• Easy Settlement and Protection against Creditors:
A life insurance policy is the only financial instrument, the proceeds of which can be
protected against the claims of a creditor of the assured by affecting a valid
assignment of the policy.
• Administering the legacy for beneficiaries:
Speculative or otherwise, expenses can quickly cause the proceeds to be

squandered. Several policies have foreseen this possibility and provide
for payment over a period of years or in a combination of instalments and lump sum
amounts.
• Ready marketing and suitability for quick borrowing:
A life insurance policy can, after a certain period (generally Three years), is
surrendered for a cash value. The policy is also acceptable as a security
for commercial loans, for example, a student loan.
• Disability benefits:
Death is not only hazard that is insured; many policies may include disability benefits.
Typically, these provide for waiver of future premiums and payment of monthly
instalment periods.
• Accidental death benefits:
Many policies can also provide for an extra sum to be paid (typically equal to the sum
assured) if death occurs as a result of accident.
• Tax relief:
Under the Indian income tax act, the following tax relief is available

34
1. 20% of premium can be deducted from total income tax liability.
2. 100% of the premium paid is deductible from your total taxable income. When
these benefits are factored in, it is found that most Policies offer returns that are
comparable /or even better than other saving modes such as PPF, NSC etc.
moreover, the cost of insurance is a very negligible
• Benefits to business:
Insurance results in business continuation and welfare of

e m p l o y e e s . Uncertainty of business losses is reduced by insurance.
• Benefits of society:
The welfare of the society is protected. Insurance results in economic growth of the
country and reduction in inflation.
INSURANCE INDUSTRY IN INDIA
India is marching ahead to more prosperous future. The economy is on a h i g h

growth path, domestic savings are growing, exports have risen
a n d inflation has stabilized. Infrastructure sector, which even today is
woefully inadequate to meet the expected increased industrial activities,
has been accorded top priority by the government. All this should reflect in a growth
rate of 7 to 8% for the next 3-4 years. With this scenario of high economic growth
further reforms in the financial sector are in the Common Minimum Program of the
Government. India is regarded as under- insured country with insurance
penetration at a very low level of 0.6% of GDP. Insurance, as a
r u l e , h a s always been given very low priority by corporate India. It is always taken

35
with reluctance, usually only when it is compulsory, and then only by big industrial
houses. Without exception it is always inadequate to meet the needs of the
corporate sector. In addition to the tradition exposure of fire, floods,
workers c o m p e n s a t i o n a n d t h e i n t e r r u p t i o n , C o r p o r a t e I n d i a a l s o
h a s t o a d d r e s s unpredictable changes in areas such as environment; security;
occupational health and safety; public liabilities; Directors and Officers Liability and
product l i a b i l i t y I t t h e r e f o r e b e c o m e s q u i t e o b v i o u s t h a t p u r c h a s e
o f i n s u r a n c e , i n itself, will not substitute for a soundly based and
property implemented Risk Management Program as insurance can only
offer some financial relief by replacing the plants; it cannot replace the loss in
development of a business or development of the market.
The likely private players in India
A number of foreign insurance companies have set up representative office in India

and have also tied up with various asset management companies. They have either
signed Memorandum of Understanding with Indian companies or are trying to do the
same. A few of them have been around for the last four to five years. Some have
carried out extensive research on the Indian insurance sector. Others have set up
liaison offices. All of them are waiting with bated breathe for the opening
up of the sector and taking a bite of the great Indian Insurance pie.
Insurance Companies in India

In India, Insurance is a national matter, in which life and general insurance is yet a
booming sector with huge possibilities for different global companies, as life
insurance premiums account to 2.5% and general insurance premiums account to
0.65% of India's GDP. The Indian Insurance sector has gone through several phases
and changes, especially after 1999, when the Govt. of India opened up the insurance
sector for private companies to solicit insurance, allowing FDI up to 26%. Since then,
the Insurance sector in India is considered as a flourishing market amongst global
insurance companies. However, the largest life insurance company in India is still
owned by the government.

36
The history of Insurance in India dates back to 1818, when Oriental Life Insurance
Company was established by Europeans in Kolkata to cater to their requirements.
Nevertheless, there was discrimination among the life of foreigners and Indians, as
higher premiums were charged from the latter. In 1870, Indians took a sigh of relief
when Bombay Mutual Life Assurance Society, the first Indian insurance company
covered Indian lives at normal rates. Onset of the 20th century brought a drastic
change in the Insurance sector.
In 1912, the Govt. of India passed two acts - the Life Insurance Companies Act, and
the Provident Fund Act - to regulate the insurance business. National Insurance
Company Ltd, founded in 1906, is the oldest existing insurance company in India.
Earlier, the Insurance sector had only two state insurers - Life Insurers i.e. Life
Insurance Corporation of India (LIC), and General Insurers i.e. General Insurance
Corporation of India (GIC). In December 2000, these subsidiaries were de-linked
from parent company and were declared independent insurance companies: Oriental
Insurance Company Limited, New India Assurance Company Limited, National
Insurance Company Limited and United India Insurance Company Limited.
Insurance Companies in India
 Bajaj Allianz Life Insurance Company Limited

 Birla Sun Life Insurance Co. Ltd
 HDFC Standard life Insurance Co. Ltd
 ICICI Prudential Life Insurance Co. Ltd.
 ING Vysya Life Insurance Company Ltd.
 Life Insurance Corporation of India
 Max New York Life Insurance Co. Ltd
 Met Life India Insurance Company Ltd.

37
 Kotak Mahindra Old Mutual Life Insurance Limited

 SBI Life Insurance Co. Ltd
 Tata AIG Life Insurance Company Limited
 Reliance Life Insurance Company Limited.
 Aviva Life Insurance Co. India Pvt. Ltd.
 Shriram Life Insurance Co, Ltd.
 Sahara India Life Insurance
 Bharti AXA Life Insurance
 Future Generali Life Insurance
 IDBI Fortis Life Insurance
 Canara HSBC Oriental Bank of Commerce Life Insurance
 AEGON Religare Life Insurance
 DLF Pramerica Life Insurance
 Star Union Dai-ichi Life Insurance
 Agriculture Insurance Company of India
 Apollo DKV Insurance
 Cholamandalam MS General Insurance
 HDFC Ergo General Insurance Company
 ICICI Lombard General Insurance
 IFFCO Tokio General Insurance
 National Insurance Company Ltd
 New India Assurance
 Oriental Insurance Company
 Reliance General Insurance
 Royal Sundaram Alliance Insurance
 Shriram General Insurance Company Limited
 Tata AIG General Insurance
 United India Insurance
 Universal Sompo General Insurance Co. Ltd
 Apollo Munich Health Insurance
 Bajaj Allianz General Insurance

38
 Bharti AXA General Insurance

 Export Credit Guarantee Corporation of India
 IDBI Federal Life Insurance
 India First Life Insurance
 L&T General Insurance
 Max Bupa Health Insurance
 Raheja QBE General Insurance Company Ltd.
 SBI General Insurance
 Star Health Insurance
3.2 COMPANY PROFILE
IDBI Federal Life Insurance Co Ltd
It is a joint-venture of IDBI Bank, India’s premier development and commercial bank,

Federal Bank, one of India’s leading private sector banks and Ageas, a multinational
insurance giant based out of Europe. In this venture, IDBI Bank owns 48% equity
while Federal Bank and Ageas own 26% equity each. At IDBI Federal, we endeavour

39
to deliver products that provide value and convenience to the customer. Through a
continuous process of innovation in product and service delivery we intend to deliver
world-class wealth management, protection and retirement solutions to Indian
customers. Having started in March 2008, in just five months of inception we became
one of the fastest growing new insurance companies to garner Rs 100 Cr in premiums.
The company offers its services through a vast nationwide network across the
branches of IDBI Bank and Federal Bank in addition to a sizeable network of advisors
and partners. As on 29th February, 2012, the company has issued over 3.56 lakh
policies with over Rs 20220 Cr in Sum Assured.
About the sponsors of IDBI Federal Life Insurance Co Ltd:-
IDBI Bank Ltd. continues to be, since its inception, India’s premier industrial
development bank. It came into being as on July 01, 1964 (under the Companies Act,
1956) to support India’s industrial backbone. Today, it is amongst India’s foremost
commercial banks, with a wide range of innovative products and services, serving
retail and corporate customers in all corners of the country from 973 branches and
1535 ATMs. The Bank offers its customers an extensive range of diversified services
including project financing, term lending, working capital facilities, lease finance,
venture capital, loan syndication, corporate advisory services and legal and technical
advisory services to its corporate clients as well as mortgages and personal loans to its
retail clients. As part of its development activities, IDBI Bank has been instrumental
in sponsoring the development of key institutions involved in India’s financial sector
–National Stock Exchange of India Limited (NSE) and National Securities Depository
Ltd, SHCIL (Stock Holding Corporation of India Ltd), CARE (Credit Analysis and
Research Ltd).
Federal Bank is one of India’s leading private sector banks, with a dominant
presence in the state of Kerala. It has a strong network of over 950 branches and 1002
ATMs spread across India. The bank provides over four million retail customers with
a wide variety of financial products. Federal Bank is one of the first large Indian
banks to have an entirely automated and interconnected branch network. In addition
to interconnected branches and ATMs, the Bank has a wide range of services like
Internet Banking, Mobile Banking, Tele Banking, Any Where Banking, debit cards,

40
online bill payment and call centre facilities to offer round the clock banking
convenience to its customers. The Bank has been a pioneer in providing innovative
technological solutions to its customers and the Bank has won several awards and
recommendations.
Ageas is an international insurance company with a heritage spanning more than 180
years. Ranked among the top 20 insurance companies in Europe, Ageas has chosen to
concentrate its business activities in Europe and Asia, which together make up the
largest share of the global insurance market. These are grouped around four segments:
Belgium, United Kingdom, Continental Europe and Asia and served through a
combination of wholly owned subsidiaries and partnerships with strong financial
institutions and key distributors around the world. Ageas operates successful
partnerships in Belgium, UK, Luxembourg, Italy, Portugal, Turkey, China, Malaysia,
India and Thailand and has subsidiaries in France, Germany, Hong Kong and UK. It
is the market leader in Belgium for individual life and employee benefits, as well as a
leading non-life player, through AG Insurance, and in the UK, it has a strong presence
as the third largest player in private car insurance and the over 50’s market. It
employs more than 13,000 people and has annual inflows of more than EUR 17
billion.
VISION
To be the leading provider of wealth management, protection and retirement solutions

that meets the needs of our customers and adds value to their lives.
MISSION

41
To continually strive to enhance customer experience through innovative product

offerings, dedicated relationship management and superior service delivery while
striving to interact with our customers in the most convenient and cost effective
manner.
To be transparent in the way we deal with our customers and to act with integrity.
To invest in and build quality human capital in order to achieve our mission.
VALUES
 Transparency: Crystal Clear communication to our partners and stakeholders

 Value to Customers: A product and service offering in which
customers perceive value
 Rock Solid and Delivery on Promise: This translates into being financially
strong, operationally robust and having clarity in claims
 Customer-friendly: Advice and support in working with customers and
partners
 Profit to Stakeholders: Balance the interests of customers, partners,
employees, shareholders and the community at large.
HISTORY
 2006: IDBI Bank, Federal Bank and Belgian-Dutch insurance major Fortis
Insurance International NV signed a MoU to start a life insurance company
 2008: IDBI Fortis Life Insurance Co. Ltd., which started its operations in
March 2008
 2008: IDBI Fortis opens its second branch in Andhra Pradesh in Vijayawada
 2008: IDBI Fortis Life positive on assured return products

42
 2008: IDBI Fortis launches the Bondsurance Plan

 2009: IDBI Fortis announces Rs 250cr capital infusion
 2009: Nimbus ropes in IDBI Fortis as title sponsor of India–Sri Lanka series
 2009: 'IDBI Fortis' Boss-Ka-Boss receives PRCI Award
 2009: IDBI Fortis launches Retiresurance™ Pension Plan
 2009: IDBI Fortis scores with Goalsurance™
 2009: IDBI Fortis reaches the banks of Hoogly
 2009: IDBI Fortis launches Incomesurance™ Immediate Annuity
 2009: IDBI Fortis Life Insurance uses an interactive application to help users
easily calculate their taxes
 2009: IDBI Fortis reaches the City of Eastern Light
 2009: IDBI Fortis receives bronze Dragon at 'PMAA 2009'
 2009: IDBI Fortis Life Insurance introduces financial inclusion plan in rural
Orissa
 2009: IDBI Fortis launches Termsurance™ Protection Plan
 2009: IDBI Fortis redefines endowment & money back with Incomesurance™
 2009: IDBI Fortis to open 65 more branches; raise headcount by 1,000
 2010: IDBI Fortis now renamed as IDBI Federal Life Insurance Company
PRODUCTS:
At IDBI Federal, it’s constant endeavor to create innovations that create value for our
customers. These innovations are brought to life through our wide array of products
that fit the varying financial and investment needs at different stages of life.
1) IDBI FEDERAL CHILDSURANCE ® DREAMBUILDER

INSURANCE PLAN
Whether child wants to be a doctor, an engineer, an MBA, a sportsman, a performing

artist, or dreams of being an entrepreneur, the IDBI Federal Childsurance®
Dreambuilder Insurance Plan will keep you future-ready against both, changing

43
dreams and life’s twists. It allows you to create build and manage wealth by providing
several choices and great flexibility so that plan meets parents’ specific needs.
However, what makes Childsurance a must-have for any parent who is looking to
make their child’s future shock-proof is its powerful insurance benefits. Childsurance
allows you to protect your child plan with triple insurance benefits so that your
wealth-building efforts remain unaffected by unforeseen events and your child’s
future goals can be achieved without any hindrance.
2) BONDSURANCE™
IDBI Federal Bondsurance™ Plan is a single premium plan which allows you to
make a one-time investment and get a guaranteed amount on maturity. At the end of
the chosen period, you will receive a guaranteed maturity amount. Besides the
guaranteed maturity amount, IDBI Federal Bondsurance™ Plan also provides a life
insurance cover.
3) HEALTHSURANCE
Every year, millions of adults in India are admitted to hospitals due to illness or
injury. With the sharp rise in lifestyle diseases in the country, hospitalization has now
become a real chance for most of us. Yet, when you bring up hospitalization, “It
won’t happen to me!” is the typical response from people at large.
It is this insight that helped us create IDBI Federal Healthsurance® Hospitalisation and
Surgical Plan. This new insurance plan offers a host of features and benefits that are
designed to help you manage the extra financial burden that comes with
hospitalisation.
4) LIFESURANCE
IDBI Federal Lifesurance® Savings Insurance Plan is a fixed term participating

endowment policy that provides the twin benefits of long-term savings and life cover.
It is a guaranteed plan that allows to accumulate considerable savings to meet your
responsibilities in life. The IDBI Federal Lifesurance Savings Insurance Plan here in

44
after referred to as Lifesurance also offers you the benefit of a death cover that
provides financial security to your family in your absence.
5) HOMESURANCE
The IDBI Federal Homesurance® Protection Plan is a reducing term plan, which
provides insurance cover equal to the outstanding balance of your home loan. In the
unfortunate event of death of the home loan borrower, the insurance cover enables
repayment of the home loan liability.
A home loan is usually a large liability and if the breadwinner who would repay the
loan were not to be there, it could become a serious burden to the family. The
Homesurance® Protection Plan protects against this liability. The specifics of the plan
are as follows:
1. Cover Amount reduces over time
Your outstanding home loan amount normally reduces over time as you repay by way
of monthly installments. Accordingly, the cover amount under the Homesurance®
Protection Plan also reduces with time to reflect the outstanding loan amount. At the
time you take the plan, you will receive a Policy Schedule based on the amount and
terms of your loan, which will show you the reducing cover amount over time.
2. Benefit Amount is paid on death
In the event of death of the insured, we will pay either the cover amount as per the
Homesurance® Protection Plan Policy Schedule as on the date of death, or the actual
outstanding balance in the insured loan account as on the date of death, whichever is
higher. Death due to any cause including illness or accident is covered under the plan.
Death, whether in India or abroad is also covered under the plan.
6) GROUP MICROSURANCE®
For Groups:

45
 The group must have at least 20 members.

 The group must consist of members brought together by a common economic
purpose.
 Eligibility must be tied to a well-defined event such as date of loan sanction or
commencement of employment.
 The Group Policy is issued for an indefinite term.
Premiums:
 Premiums are payable in respect of each member

 The member’s cover continues on the payment of due renewal premiums for a
term of up to 5 years
 The premium rate is that applicable for age last birthday at the member’s
commencement date for new members or at the most recent anniversary of the
member’s commencement date for renewing members and increases for each
year of age or age band.
 Rates are not guaranteed and may be adjusted at any anniversary of the
member’s commencement date for the existing and at any anniversary of the
policy commencement date for new members.
 Premiums may be paid annually, half-yearly, quarterly, or monthly. The modal
loadings to the annual premium rate are 100%, 51%, 26% and 9%,
respectively
 We offer experience rating and profit sharing which benefits groups with
favorable mortality experience
 Expense-related discounts apply for large schemes
7) TERMSURANCE®
IDBI Federal Termsurance® Protection Plan (Termsurance®) comes with three cover

options which one can select on the basis your requirement. Termsurance ® is designed
with a host of benefits & options aimed at satisfying every need. It not only allows
you to customise the plan as per the individual and family’s needs, it also comes with

46
a host of benefits like convenient insurance cover options, flexible premium payment
terms, choice of policy term and lots more flexible options.
8) INCOMESURANCE™
IDBI Federal Incomesurance™ Endowment & MoneyBack Plan is a unique

combination of the oldest type of insurance policies. On purchasing a typical
endowment plan, it is difficult to know the final maturity amount at the time of
investing. Also, the maturity date is usually fixed and therefore, if your goals shifted,
like getting your daughter married earlier, your plan would not provide the required
flexibility. Knowing the customer helped us to combine the Endowment & Money
Back plans into a single plan that would allow you to withdraw at maturity but also
take your money back at intervals. This way, you can now have the flexibility to tailor
your investment to your life’s goals. To add, we linked the returns to the G-Sec rates,
transparently declared by the government. This way, you would know the exact
amount on maturity at the time of investing. So you could invest according to the
desired corpus you intended to build. The Premium is eligible for tax deduction under
Sec 80C. Also, the Guaranteed Annual Payout and other benefits upon death are tax-
free under Sec 10(10D).
9) LOANSURANCE®
Loansurance® is a cost-effective way to ensure that the outstanding debt is settled in

the unfortunate event of death of the insured member. This term assurance plan
provides cover to a person directly liable for loan repayment (and the partners, in case
of a partnership), as per the benefit schedule.
There are two cover options available:
Under this option, your insurance cover reduces as per your benefit schedule.
Reducing
The benefit schedule is computed over a period of time, taking into account
cover
initial loan interest rate, the loan term and outstanding loan amount.
Level The level cover option of Loansurance provides a cover for the sum insured as
cover specified by the insured member and can be to the extent of the full agreed

47
loan amount plus accrued interest as chosen by the insured member. This
remains unchanged throughout the cover term. Thus, even if the loan liability
declines over time, the plan cover is the sum insured throughout the cover
term.

10) WEALTHSURANCE®
Wealthsurance® plans combine wealth creation with insurance protection into one

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

48
CHAPTER – 4
DATA ANALYSIS
INTRODUCTION
Datas are collected from the employees of IDBI Federal Insurance Company Limited.
The sample size taken was 100.
The company contains three channel- Agency channel, Banka channel and Alliance
channel. There are 42 employees in Agency channel, 28 employees in Banka channel
and 30 employees in alliance channel of IDBI Federal Insurance Co Ltd, Cochin. All
these employees are our sample frame.

49
The data after collection is to be processed and analyzed. Technically speaking,

processing implies editing, coding, classification and tabulation of collected data so
that they are amenable to analysis. The analysis of data in a general way involves a
number of closely related operations, which are performed with the purpose of
summarizing the collected data and organizing them in such a manner that they
answer the research questions. In this study the researcher followed above process
carefully and it is presented in this chapter.
1) Employees were asked to specify the incentives that motivates them more. The
details of incentives that motivates them are given in table 4.1
TABLE 4.1
INCENTIVES THAT MOTIVATES EMPLOYEES SURVEYED
SL VARIOUS INCENTIVES NUMBER OF PERCENTAGE OF

NO EMPLOYEES EMPLOYEES
1 FINANCIAL INCENTIVES 27 27%

50
2 NON FINANCIAL INCENTIVES 35 35%
3 BOTH 38 38%
TOTAL EMPLOYEES 100 100%
In the survey conducted it was found that 27% of the employees are motivated by
financial incentives, 35%of them were motivated by non financial incentives and 38%
of them were motivated by both financial and non financial incentives.
FIGURE 4.1
INCENTIVES THAT MOTIVATES EMPLOYEES SURVEYED

51
PERCENTAGE OF EMPLOYEES
38%
40% 35%
35%
27%
30%
25% PERCENTAGE OF EMPLOYEES
20%
15%
10%
5%
0%
FINANCIAL NON FINANCIAL BOTH
INCENTIVES INCENTIVES
2) The employees were asked for their opinion about the satisfaction with the
salary they draw. The respondent’s opinion is mentioned in Table 4.2
TABLE 4.2
SATISFACTION WITH THE SALARY DRAWN BY THE
EMPLOYEES

52
SL OPINION NUMBER OF PERCENTAGE

NO EMPLOYEES OF
EMPLOYEES
1 HIGHLY DISSATISFIED 0 0%
2 DISSATISFIED 0 0%
3 NEITHER SATISFIED NOR 11 11%

DISSATISFIED
4 SATISFIED 43 43%
5 HIGHLY SATISFIED 46 46%
TOTAL 100 100%
According to the survey conducted, 46% of the employees were highly satisfied with
the salary they draw. 43%of the employees were satisfied with the salary and 11% of
them are neither satisfied nor dissatisfied. None of the employees were found
dissatisfied with the salary they draw.
FIGURE 4.2
SATISFACTION WITH THE SALARY DRAWN BY THE
EMPLOYEES

53
43% 46%
50%
40%
30%
20% 11%
10% 0% 0%
3) The respondents were asked to give their opinion about the satisfaction with
the lunch breaks and rest breaks. The details are explained in the table4.3
TABLE 4.3
EMPLOYEES’ OPINION ABOUT THE LUNCH BREAKS AND REST

BREAKS

54

NO EMPLOYEES OF EMPLOYEES
2 DISSATISFIED 0 0%

DISSATISFIED
4 SATISFIED 43 43%
TOTAL 100 100%
48% of the employees were highly satisfied with the lunch and rest breaks timing of
the company, 43% of them were found satisfied and 9% of them were neither satisfied
nor dissatisfied. None of the employees were found dissatisfied about the lunch and
rest breaks of the company.
FIGURE 4.3
EMPLOYEES’ OPINION ABOUT THE LUNCH BREAKS AND REST

BREAKS

55
48%
50% 43%
40%
30%
20% 9%
10% 0% 0%
4) The employees were asked about their opinion about the canteen facilities in
the office. The employee’s opinion is explained in Table 4.4
TABLE 4.4
OPINION ABOUT THE CANTEEN FACILITIES IN THE OFFICE

56
SL OPINION NUMBER OF PERCENTAGE OF

2 DISSATISFIED 37 37%

DISSATISFIED
4 SATISFIED 36 36%
According to the survey, 5% of the employees highly satisfied with the canteen
facilities, 36% of the employees were satisfied, 22% of the employees were neither
satisfied nor dissatisfied with the canteen facilities of the company. 37% of the
employees were dissatisfied with the canteen facilities of the company.
FIGURE 4.4
OPINION ABOUT THE CANTEEN FACILITIES IN THE OFFICE

57
37% 36%
40%
30% 22%
20%
5%
10% 0%
5) The employees whether they are able to achieve the targets. The details of
responses are given in Table 4.5
TABLE 4.5

58
WHETHER THE EMPLOYEES ARE ABLE TO MEET THE

TARGETS
SL NO OPINION NUMBER OF PERCENTAGE OF

EMPLOYEES EMPLOYEES
1 NEVER 0 0%
2 RARELY 22 22%
3 SOMETIMES 31 31%
4 OFTEN 39 39%
5 ALWAYS 8 8%
TOTAL 100 100%
EMPLOYEES
8% of the employees were always able to achieve the targets. 39% of the employees
were rarely able to achieve the given targets, 31% of the employees were sometimes
able to meet the targets and 22% of the employees were rarely able to achieve the
targets.
FIGURE 4.5
WHETHER THE EMPLOYEES ARE ABLE TO MEET THE

TARGETS

59
39%
40%
35% 31%
30%
25% 22%
PERCENTAGE OF DEALERS
20%
15%
8%
10%
5%
0%
0%
NEVER RARELY SOMETIMES OFTEN ALWAYS
6) The employees were asked whether they feel any work pressure if they are not
able to achieve the targets. The details of responses are given in Table 4.6
TABLE4.6
WHETHER THE EMPLOYEES FEEL WORK PRESSURE IF

THEY ARE NOT ABLE TO ACHIEVE THE TARGETS

60

EMPLOYEES EMPLOYEES
1 NEVER 0 0%
2 RARELY 9 9%
3 SOMETIMES 22 22%
4 OFTEN 31 31%
5 ALWAYS 38 38%
TOTAL 100 100%
EMPLOYEES
38% of the employees always feel work pressure if they are not able to achieve
the targets, 31% of the employees often feel work pressure, 22% of the employees
sometimes feel the work pressure and 9% of the employees rarely feel the work
pressure if they are not able to achieve the targets. According to the survey
conducted there is no employee who never feel work pressure if not achieving the
target.
FIGURE4.6
WHETHER THE EMPLOYEES FEEL WORK PRESSURE IF THEY

ARE NOT ABLE TO ACHIEVE THE TARGETS

61
38%
40%
35% 31%
30%
25% 22%
20%
15%
9%
10%
5%
0%
0%
7) Employees were asked whether there is any difficulty to cope up with the
workload. The responses are explained in Table 4.7
TABLE4.7
WHETHER EMPLOYEES FIND DIFFICULT TO COPE UP WITH
THE WORKLOAD

62

EMPLOYEES EMPLOYEES
1 NEVER 15 15%
2 RARELY 46 46%
3 SOMETIMES 33 33%
4 OFTEN 6 6%
5 ALWAYS 0 0%
TOTAL 100 100%
EMPLOYEES
According to the survey, 56% of the respondents say that only some of the customers
come and ask for a particular brand. 26% of the respondents claim that most of the
customers ask for a particular brand. 18% of the respondents opinion is none of the
customers will come and ask for a particular brand.
FIGURE4.7
WHETHER EMPLOYEES FIND DIFFICULT TO COPE UP WITH
THE WORKLOAD

63
50% 46%
45%
40%
33%
35%
30% PERCENTAGE OF DEALERS
25%
20% 15%
15%
10% 6%
5% 0%
0%
HYPOTHESIS H1
NULL HYPOTHESIS H0
Employees mean satisfaction score observed with regard to work load is not
significantly less than the neutral value.

64
ALTERNATE HYPOTHESISH1
Employees mean satisfaction score observed with regard to work load is significantly
less than the neutral value.
TEST CONDUCTED: ONE SAMPLE T-TEST
One-Sample Statistics
N Mean Std. Deviation Std. Error Mean
work load 100 2.3600 .94836 .09484
One-Sample Test
Test Value = 3
95% Confidence Interval of

the Difference
t df Sig. (2-tailed) Mean Difference Lower Upper
work load -6.748 99 .000 -.64000 -.8282 -.4518
TEST RESULT:
For the variable, the significant value is less than 0.05, which means that the response
scores are a chance occurrence, can be rejected and alternate hypothesis accepted.
FINDINGS:
The test result shows that the level of significance is less than 0.05 indicating that the
result is satisfactory for employees.
CONCLUSION
Alternative Hypothesis H1. Employees are able to cope up with the work load given by
the organization.
8) The employees were asked about their satisfaction with the appraisal system
of the organization. The responses are tabulated in Table4.8
TABLE4.8

65
SATISFACTION WITH THE APPRAISAL SYSTEM OF THE

ORGANIZATION
SL NO OPINION NUMBER OF PERCENTAGE

EMPLOYEES OF
EMPLOYEES
2 DISSATISFIED 0 0%
DISSATISFIED
4 SATISFIED 52 52%
48% of the employees are highly satisfied with the appraisal system of the
organization and 52% of them are satisfied with the appraisal system. None of the
employees were dissatisfied with the appraisal system of the organization; this says
that the organization has a good appraisal system.
FIGURE4.8
SATISFACTION WITH THE APPRAISAL SYSTEM OF THE

ORGANIZATION

66
52% 48%
60%
50%
40%
30%
20%
10% 0% 0% 0%
9) A question was asked to the employees regarding their satisfaction with the
level of safe working conditions in the company. The details of the responses
are explained in Table4.9
TABLE 4.9

67
EMPLOYEES SATISFACTION WITH THE LEVEL OF SAFE

WORKING CONDITIONS IN THE COMPANY

EMPLOYEES OF
EMPLOYEES
2 DISSATISFIED 0 0%
DISSATISFIED
4 SATISFIED 31 31%
According to the survey, 48% of the employees are highly satisfied with the safe
working conditions of the organization, 31% of them were satisfied and 21% of them
were neither satisfied nor dissatisfied with the safe working conditions of the
organization. None of them were dissatisfied with the safe working condition of the
organization.
FIGURE 4.9
EMPLOYEES SATISFACTION WITH THE LEVEL OF SAFE

WORKING CONDITIONS IN THE COMPANY

68
48%
50%
40% 31%
30% 21%
20%
10% 0% 0%
10) In the survey, the employees were asked their opinion about the job security in
the current job. The responses of dealers are listed in the Table4.10.
TABLE4.10
EMPLOYEES WERE ASKED THEIR OPINION ABOUT THE JOB

SECURITY IN THE CURRENT JOB

69

NO EMPLOYEES OF
EMPLOYEES
1 STRONGLY DISAGREE 30 30%
2 DISAGREE 56 56%
3 NEITHER AGREE NOR 0 0%
DISAGREE
4 AGREE 14 14%
5 STRONGLY AGREE 0 0%
According to the survey conducted, 30% of the employees were strongly disagree that
there is job security in the current job. 56% of the employees disagree that there is job
security and 14% of the employees agree that there is job security in the organization.
FIGURE4.10
EMPLOYEES WERE ASKED THEIR OPINION ABOUT THE JOB

SECURITY IN THE CURRENT JOB

70
56%
60%
50%
40%
30%
30%
20% 14%
10%
0% 0%
0%
STRONGLY DISAGREE NEITHER AGREE STRONGLY
DISAGREE AGREE NOR AGREE
DISAGREE
HYPOTHESIS H1
NULL HYPOTHESIS H0
Employees mean satisfaction score observed with regard to job security is not

71
Employees mean satisfaction score observed with regard to job security is

job security 100 1.9800 .93182 .09318
One-Sample Test
Test Value = 3
95% Confidence Interval of the
Mean Difference
t df Sig. (2-tailed) Difference Lower Upper
job security -10.946 99 .000 -1.02000 -1.2049 -.8351
TEST RESULT:
FINDINGS:
The test result shows that the level of significance is 0.000 which is less than 0.05
indicating that the result is not satisfactory for employees.
CONCLUSION
Alternative Hypothesis H1. Employees are not at all satisfied with the job security
provided by the organization.
11) A question was asked to the employees to know their opinion about the
medical facilities available in the company. The responses are explained in
Table4.11.
TABLE4.11
OPINION ABOUT THE MEDICAL FACILITIES AVAILABLE

72

1 VERY POOR 0 0%
2 POOR 0 0%
3 BARELY ACCEPTABLE 0 0%
4 GOOD 43 43%
5 VERY GOOD 57 57%
57% of the employees feels that there is very good medical facilities available in the
company and 43% of them feels that there is good medical facilities available for the
employees in IDBI Federal Insurance Co Ltd.
FIGURE4.11
OPINION ABOUT THE MEDICAL FACILITIES AVAILABLE

73
57%
60%
50% 43%
40%
30%
20%
10%
0% 0% 0%
0%
VERY POOR POOR BARELY GOOD VERY GOOD
ACCEPTABLE
12) Employees were asked about their opinion about the recognition and
appreciation they get for their work efforts. The answers given by the dealers
are tabulated in Table4.12
TABLE4.12

74
OPINION ABOUT THE RECOGNITION AND APPRECIATION THEY

GET FOR THEIR WORK EFFORTS

EMPLOYEES EMPLOYEES
2 DISSATISFIED 0 0%
3 NEITHER SATISFIED 0 0%
NOR DISSATISFIED
4 SATISFIED 42 42%
According to the survey conducted, 58% of the employees are highly satisfied with
the recognition and appreciation they get for their work efforts and 42% of the
employees are satisfied with the recognition and appreciation they get for their work
efforts.
FIGURE4.12
OPINION ABOUT THE RECOGNITION AND APPRECIATION THEY

GET FOR THEIR WORK EFFORTS

75
58%
60%
42%
50%
40%
30%
20%
10% 0% 0% 0%
13) Employees were asked whether they are involved in the management decision
making of their department.
TABLE4.13
INVOLVEMENT IN THE MANAGEMENT DECISION MAKING

76

EMPLOYEES EMPLOYEES
1 NEVER 15 15%
2 RARELY 46 46%
3 SOMETIMES 30 30%
4 OFTEN 6 6%
5 ALWAYS 3 3%
TOTAL 100 100%
EMPLOYEES
3% of the employees say that they are always involved in the management
decision making. 6% of the employees are often involved, 30% of the employees
are sometimes involved, 46% of the employees are rarely involved and 15% of the
employees are never involved in the management decision making.
FIGURE4.13
INVOLVEMENT IN THE MANAGEMENT DECISION MAKING

77
50% 46%
45%
40%
35% 30%
25%
20% 15%
15%
10% 6%
3%
5%
0%
HYPOTHESIS H1
NULL HYPOTHESIS H0
Employees mean satisfaction score observed with regard to involvement in

management decision making is not significantly less than the neutral value.

78
Employees mean satisfaction score observed with regard to involvement in

management decision making is significantly less than the neutral value.
decision making 100 2.3600 .91585 .09159
One-Sample Test
Test Value = 3
95% Confidence Interval
Sig. (2- of the Difference
t df tailed) Mean Difference Lower Upper
decision -6.988 99 .000 -.64000 -.8217 -.4583

making
TEST RESULT:
FINDINGS:
indicating that the employees are not satisfied with the situation.
CONCLUSION
Alternative Hypothesis H1. Employees are not at all satisfied with the involvement in
management decision making in the organization.
14) A question is asked to the employees regarding their satisfaction with their
roles and responsibilities of the organization. The answers are tabulated in
Table4.14.
TABLE4.14

79
SATISFACTION WITH THE ROLES AND RESPONSIBILITIES OF

THE ORGANIZATION

EMPLOYEES OF
EMPLOYEES
2 DISSATISFIED 0 0%
DISSATISFIED
4 SATISFIED 42 42%
37% of the employees are highly satisfied with their roles and responsibilities in the
organization. 42% of them are satisfied and 21% of them are neither satisfied nor
dissatisfied with their roles and responsibilities in the organization.
FIGURE4.14
SATISFACTION WITH THE ROLES AND RESPONSIBILITIES OF

THE ORGANIZATION

80
42%
37%
40%
30% 21%
20%
10% 0% 0%
15) Employees’ were asked whether they believe that the job provides status and
prestige in the organization. The responses are given in Table4.15
TABLE4.15
WHETHER THE JOB PROVIDES STATUS AND PRESTIGE

81

NO EMPLOYEES OF
EMPLOYEES
2 DISAGREE 0 0%
DISAGREE
4 AGREE 14 14%
30% of the employees strongly agree that their job provides status and prestige. 14%
of the employees agree that their job provides status and prestige, 56% of the
employees neither agree nor disagree that their job provides status and prestige.
FIGURE4.15
WHETHER THE JOB PROVIDES STATUS AND PRESTIGE

82
56%
60%
50%
40%
30%
30%
20% 14%
10%
0% 0%
0%
DISAGREE
16) Employees’ were asked their opinion whether they share cordial relations with
their peers, subordinates and superiors. The responses are given in Table4.16
Table4.16

83
WHETHER EMPLOYEES SHARE CORDIAL RELATIONS WITH

THEIR PEERS, SUBORDINATES AND SUPERIORS

NO EMPLOYEES OF
EMPLOYEES
2 DISAGREE 0 0%
3 NEITHER AGREE NOR DISAGREE 0 0%
4 AGREE 47 47%
53% of the respondents strongly agree that they share cordial relations with their
peers, subordinates and superiors. 47% of them agree that they share cordial relations
with their peers subordinates and superiors.
FIGURE4.16
WHETHER EMPLOYEES SHARE CORDIAL RELATIONS WITH

THEIR PEERS, SUBORDINATES AND SUPERIORS

84
60% 53%
47%
50%
40%
30%
20%
10%
0% 0% 0%
0%
DISAGREE
17) Employees’ were asked to give their opinion about the support or assistance
they receive from the peers, subordinates and superiors. The responses are
given in Table4.17
TABLE4.17

85
EMPLOYEES’ OPINION ABOUT THE SUPPORT OR ASSISTANCE

THEY RECEIVE FROM THE PEERS, SUBORDINATES AND
SUPERIORS

EMPLOYEES EMPLOYEES
DISSATISFIED
4 SATISFIED 31 31%
23% of the employees are highly satisfied with the support and assistance they receive
from the peers, subordinates and superiors. 31% of the employees are satisfied, 24%
of the employees are neither satisfied nor dissatisfied and 22% of them are dissatisfied
with the support and assistance they receive from the peers, subordinates and
superiors.
FIGURE4.17
EMPLOYEES’ OPINION ABOUT THE SUPPORT OR ASSISTANCE

THEY RECEIVE FROM THE PEERS, SUBORDINATES AND
SUPERIORS

86
31%
35%
30% 22% 24% 23%
25%
20%
15%
10% 0%
5%
18) Employees were asked to give their opinion about the company’s offer for
their opportunities for advancement.
TABLE4.18
OPINION ABOUT THE COMPANY’S OFFER FOR OPPORTUNITIES
FOR ADVANCEMENT

87

NO EMPLOYEES OF
EMPLOYEES
2 DISAGREE 13 13%
DISAGREE
4 AGREE 37 37%
28% of the employees strongly agree that company provides opportunities for
their advancement. 37% of the employees agree, 22% of them neither agree nor
disagree and 13% of them disagree that the company offers opportunities for
advancement.
FIGURE4.18
OPINION ABOUT THE COMPANY’S OFFER FOR OPPORTUNITIES
FOR ADVANCEMENT

88
40% 37%
35%
28%
30%
25% 22%
20%
13%
15%
10%
5% 0%
0%
DISAGREE
19) The employees were asked their opinion whether their work is challenging.
The responses of the employees are given in Table4.19.
TABLE4.19
WHETHER EMPLOYEES’ WORK IS CHALLENGING

89
NO EMPLOYEES OF
EMPLOYEES
2 DISAGREE 13 13%
DISAGREE
4 AGREE 37 37%
28% of the employees strongly agree that their work is challenging. 37% of them
agree, 22% of them neither agree nor disagree and 13% of them disagree that their
work is challenging.
FIGURE4.19
WHETHER EMPLOYEES’ WORK IS CHALLENGING

90
40% 37%
35%
28%
30%
25% 22%
20%
13%
15%
10%
5% 0%
0%
DISAGREE
20)Employees are asked whether their desire is to be the best at their job.
The responses of the employees are given in Table4.20
TABLE4.20

91
WHETHER EMPLOYEES’ DESIRE IS TO BE THE BEST AT

THEIR JOB

1 NO 0 0%
2 NEUTRAL 43 43%
3 YES 57 57%
57% of the employees’ desire is to be the best at their job and 43% of them have
neutral opinion about their desire to be the best at their job.
FIGURE4.20
WHETHER EMPLOYEES’ DESIRE IS TO BE THE BEST AT
THEIR JOB

92
57%
60%
50% 43%
40%
30%
20%
10%
0%
0%
NO NEUTRAL YES
21) Employees were ask their opinion whether the job helps them to achieve the
best of their potential.The responses are tabulated in table4.21.
TABLE4.21

93
WHETHER THE JOB HELPS EMPLOYEES TO ACHIEVE THE

BEST OF THEIR POTENTIAL

NO EMPLOYEES OF
EMPLOYEES
2 DISAGREE 11 11%
DISAGREE
4 AGREE 33 33%
25% of the employees strongly agree that their job helps employees to achieve the
best of their potential. 33% of the employees agree, 19% of them neither agree nor
disagree 11% of them disagree and 12% of them strongly disagree that the job helps
them to achieve best out of their potential.
FIGURE4.21
WHETHER THE JOB HELPS EMPLOYEES TO ACHIEVE THE BEST

OF THEIR POTENTIAL

94
33%
35%
30%
25%
25%
19%
15% 12% 11%
10%
5%
0%
DISAGREE
22) The employees were asked whether they are satisfied with their work timing.
The responses are tabulated in table4.21.
TABLE4.22
WHETHER THEY ARE SATISFIED WITH THEIR WORK TIMING

95
EMPLOYEES OF
EMPLOYEES
DISSATISFIED
4 SATISFIED 14 14%
8% of the employees are highly satisfied with the work timing of the IDBI Federal
Insurance. 14% of the employees are satisfied, 12% of the employees are neither
satisfied nor dissatisfied and 32% of them are dissatisfied and 34% of them are highly
dissatisfied with the work timing of IDBI Federal Co Ltd.
FIGURE4.22
WHETHER THEY ARE SATISFIED WITH THEIR WORK
TIMING

96
34% 32%
35%
30%
25%
20% 12% 14%
15% 8%
10%
5%
HYPOTHESIS H1
NULL HYPOTHESIS H0
Employees mean satisfaction score observed with regard to work timings is not

97
Employees mean satisfaction score observed with regard to work timings is

work timings 100 2.3000 1.29099 .12910
One-Sample Test
Test Value = 3
95% Confidence Interval

of the Difference
t df Sig. (2-tailed) Mean Difference Lower Upper
work timings -5.422 99 .000 -.70000 -.9562 -.4438
TEST RESULT:
FINDINGS:
indicating that the employees are not satisfied with the situation.
CONCLUSION
Alternative Hypothesis H1. Employees are not at all satisfied with the work timings in
the organization.
23) Employees were asked whether they are able to report to their superiors in
proper time. The responses are tabulated in table 4.23.
TABLE 4.23
WHETHER EMPLOYEES ARE ABLE TO REPORT TO THEIR

SUPERIORS IN PROPER TIME

98

EMPLOYEES EMPLOYEES
1 NEVER 15 15%
2 RARELY 23 46%
3 SOMETIMES 36 30%
4 OFTEN 14 6%
5 ALWAYS 12 3%
TOTAL 100 100%
EMPLOYEES
12% of the employees say that they are always able to report to their superiors in
proper time. 14% of the employees are often able to, 36% of the employees are
sometimes able to, 23% of the employees are rarely able and 15% of the employees
are never able to report to their superiors in proper time.
FIGURE 4.23
WHETHER EMPLOYEES ARE ABLE TO REPORT TO THEIR

SUPERIORS IN PROPER TIME

99
50% 46%
45%
40%
35% 30%
25%
20% 15%
15%
10% 6%
3%
5%
0%

100
CHAPTER-5
SUMMARY AND CONCLUSION
5.1 FINDINGS
The study reveals that there are different factors that affect the stress level among the
employees of IDBI FEDERAL INSURANCE COMPANY. The main areas are
incentives, salary, break timings, company facilities, targets set by the company, work

101
pressure, appraisal system , working condition, job security, decision making power,
satisfaction with the roles and responsibilities, and work timing, etc.
1. The study reveals that majority of the employees are motivated by both
financial and non financial incentives.
2. Majority of the employees are highly satisfied with the salary they are getting.
3. About 48% of the employees are highly satisfied by the break timing set by
the company.
4. Majority of the employees are dissatisfied by the canteen facilities provided by
the company.
5. Only 39% of the employees are often able to meet the targets.
6. From the survey it is clear that about 38% of the employees always feel work
pressure if they are not able to achieve the targets.
7. From the study it is clear that majority of the employees don’t have any
difficulty to cope up with the work load.
8. Almost 90% of the employees are satisfied with the appraisal system of the
organization.
9. The study reveals that majority of the employees are satisfied with the level of
safe working condition in the company.
10. From the survey conducted it is very clear that almost 86% of the employees
don’t feel any sort of job security for their current job.
11. 100% of the employees agree that company is providing good medical
facilities for them.
12. From the survey conducted it is clear that almost 100% of the employees are
satisfied with the recognition and appreciation they get for their work efforts.
13. Almost 80% of the employees are satisfied with their roles and responsibilities
in the organization.
14. From the study it is clear that 56% of the employees neither agree nor disagree
that their job provides status and prestige.
15. From the survey we can see that almost 90% of the employees agree that they
share cordial relations with their peers, subordinates and superiors.
16. Almost 54% of the employees are satisfied with the support and assistance
they receive from the peers, subordinates and superiors.

102
17. Almost 65% of the employees agree that company provides opportunities for
their advancement.
18. The survey reveals that almost 65% of the employees agree that their work is
challenging.
19. Almost 57% of the employees’ desire is to be the best at their job.
20. 58% of the employees agree that their job helps them to achieve the best of
their potential.
21. From the survey it is very clear that majority of the employees (56%) are
dissatisfied with the work timing of IDBI Federal Co Ltd.
22. From the study it is clear that majority of the employees are not able to report
to their superiors in proper time.
5.2 SUGGESTIONS

103
1. If stress management techniques are initiative then the average health of the
employees will be better and he will be able to better cope with stress, then by the
level and degree of performance of the employee will improve.
2. It can be suggested to the company to improve the canteen facilities provided to
the employees.
3. The company should give one task at a time and give sufficient time in meeting
the targets so that the employee performs his best without any stress.
4. It will be better for the company to take appropriate measures in identifying and
arresting the psychological problems, then the health related problems would also
come down. As psychological has a direct impact on health, the performance of
employee will improve.
5. It can be suggested to the company to conduct frequent recreational programs like
get together in departments concerned, parties on occasions like the birthdays of
the employees, on the achievements of any particular department, cultural
activities, sports pleasure trips etc.
6. The company have to bit more improve interpersonal relationships among the
employees of different departments by bridging the gap between superiors and
subordinates. These can a long way in reducing the degree stress to some extent.
7. Company has to initiate a few changes at the work place such as timely targets,
distributed workload, flexible work hours and periodic relaxation.
8. It can be suggested to the company to provide frequent counselling to the
employees who are under stress. The counselling should be more focused on the
employees in the age group 20-29, they should also not ignore those with 10 plus
years of experience as they are more vulnerable to stress.
9. The company has to take care, employee job rotation since doing the same job
again and again causes monotony therefore job rotation can be used as an
effective tool to reduce stress by creating more interest in the work which will
lead to better employee performance.
10. Another suggestion is to instantly recognize any good work done by the
employees however small it may be. They should regard then suitably and provide
them constant encouragement and support. This will stand in good stead in the
long run in sustaining the high morale of the employees and also enhancing it
future.

104
11. More experienced employee should be given more work load than the in
experienced employee shouldn’t be burdened with workload but initially they
should be given distributed work and gradually the amount of workload can be
increased with the passage of time as they gain more experience.
12. The company should create a balance between timely targets and distributed
workload by allotting a piece of work to be competed in a specified time. The time
limit be proportionate with the work given i.e. time limit should be neither too
short not too long.
13. It can be suggested to the company to organize frequent camps or programs on
meditation, yoga, transcendental meditation and stress management.
14. The feeling of lack of job security will affect the stress level, so if the company
can clarify all those unsecured feelings the stress level can be reduced.
15. Since majority of the employees are not satisfied with the work timings it can be
suggested to the company to provide flexible work timings or to give a special
attention to that problem.
5.3CONCLUSION

105
Stress is a basic ingredient of life. It is a part of everyday life and requires some sort
of adjustment from the side of individuals. Stress results from the presence of strain,
which in turn, leads to psychological or behavioural symptoms showing poor physical
and mental health. Now days the organizational life is becoming stressful for the
employees because of the workload, poor time management, uncomfortable working
atmosphere, poor interpersonal relationship with the co-workers and superior and
poor clarity of job information
The researcher had a precious opportunity to conduct her study in the IDBI
FEDERAL INSURANCE COMPANY LIMITED., a reputed private sector
organization in India.
The study is all about the stress level among the employees of IDBI FEDERAL
INSURANCE COMPANY LIMITED. The employees were friendly and co-operative
during the study. They shared their information through discussion and by filling
questionnaire.
The study revealed that there are many factors which affect the stress level of
employees. But when considering all these factors together, IDBI FEDERAL
INSURANCE COMPANY is providing a good employment service to their
employees. So the stress on the employees is very low.
From the survey conducted researcher found that majority of the employees are not
satisfied with the basic factors, affecting employee stress level like job security, work
timings, involvement in decision making and canteen facility etc. So IDBI-FEDERAL
has to pay more attention towards this because employees are basically the wealth of
the organization. If the stress on these employees is more, they will not be motivated
to their work which will adversely affect the entire growth of the organization. So
company has to take corrective measures to overcome these drawbacks.
BIBLIOGRAPHY

106
 K.Aswathappa: Human Resource Management, 5th Edition, Tata McGraw-Hill

Companies, New Delhi.
 Human Resource Management by V.S.P Rao
 C.R Kothari: Research Methodology- Methods and Techniques, 2nd edition,
New Age International publishers.
 Annual Report 2010-2011 IDBI FEDERAL INSURANCE.
 www.idbifederal.com
ANNEXURE

107
QUESTIONNAIRE
“STUDY ON STRESS LEVEL AMONG THE EMPLOYEES OF

IDBI FEDERAL LIFE INSURANCE”
Dear sir/madam,
I am pursuing my MBA from HOLY GRACE ACADEMY OF MANAGEMENT

STUDIES, MALA, THRISSUR. As a part of my course requirement; I am conducting
a study entitled “STUDY ON STRESS LEVEL AMONG THE EMPLOYEES OF
IDBI FEDERAL LIFE INSURANCE”, for my dissertation. I would be very
grateful to you if you can spend a little of your precious time for sharing your opinion.
I assure you that, information given by you will be kept completely confidential and
only be used for academic research purpose.
Thanking you in anticipation for your cooperation.
Yours Sincerely,
ANJU JOSE
4TH SEMESTER MBA
HOLY GRACE ACADEMY OF

MANAGEMENT STUDIES, MALA
PERSONAL DETAILS
NAME OF THE EMPLOYEE:
AGE GROUP: [ ] 20-30 [ ] 30-40 [ ]40-50 [ ] >50
GENDER: [ ] MALE [ ] FEMALE
DESIGNATION:
YOUR TENURE IN THE ORGANIZATION: [ ] <3Yrs [ ] 3-7 Yrs [ ]7-11 Yrs
[ ]11-15 Yrs [ ] >15 Yrs

108
Q1) What types of incentives motivates you more?
Financial incentives Non Financial incentives Both
Q2) Are you satisfied with the salary you draw?
Highly Dissatisfied Dissatisfied Neither Dissatisfied nor satisfied
Satisfied Highly Satisfied
Q3) Are you satisfied with the lunch breaks, rest breaks?
Q4) Do you agree that the canteen facilities are good in the office?
Strongly Disagree Disagree Neither Agree nor Disagree
Agree Strongly Agree
Q5) Are you able to achieve the target?
Never Rarely Sometimes Often Always

Q6) Do you feel any pressure if you are not able to achieve the target?
Q7) Do you find it difficult to cope with the work load?

Q8) Are you satisfied with the appraisal system of your organization?
Q 9) Are you satisfied with the level of safe working conditions in the company?
Q10) Do you agree that there is job security in current job?

109
Q11) What do you feel about the adequate medical facilities available in the
company?
Very Poor Poor Barely Acceptable Good Very
Good
Q 12) Are you satisfied with the recognition and appreciation for your work
efforts?
Q13) Are you involved by management in decision making of your department.

Q 14) Are you satisfied with your roles and responsibilities of the organization?
Q 15) Do you feel your job provides you status and prestige in the organization?
Q16) Do you agree that you share cordial relations with your peers, subordinates
and superiors?
Strongly Disagree Disagree Neither Agree nor Disagree Agree

Strongly Agree
Q17) Do you receive support/assistance from your peers, subordinates and

superiors?

Strongly Agree

110
Q 18 ) Do you agree that company offers you opportunities for advancement?

Strongly Agree
Q 19)Do you agree that your work is challenging?

Strongly Agree
Q 20) Is your desire is to be the best in your job?
No Neutral Yes
Q 21) Do you agree that job helps you to achieve the best of potential?

Strongly Agree
Q 22) Are you satisfied with the work timings of your organization?
Q 23) Are you able to report to your superiors at proper time?
Signature of the employee

111

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Study on Stress Level Among the Employees of IDBI Federal Life Insurance Co Ltd.

Holy Grace Academy of Management Studies

Holy Grace Academy of Management Studies

1.2 SIGNIFICANCE OF THE STUDY

Stress is a dynamic condition in which an individual is confronted with an

Holy Grace Academy of Management Studies

1.3 OBJECTIVES OF THE STUDY

 To find out the stress in the area of the work.

1.4 SCOPE OF THE STUDY

Holy Grace Academy of Management Studies

1.5 METHODOLOGY OF THE STUDY

TYPE OF RESEARCH USED IN THIS STUDY

Holy Grace Academy of Management Studies

100 employees of IDBI Federal Insurance were taken as sample.

SOURCES OF DATA COLLECTION

TOOLS OF DATA COLLECTION

TOOLS USED FOR DATA ANALYS1S

 Percentage Analysis Method:

Holy Grace Academy of Management Studies

Formula = (Sample size/ total sample size) x 100

1.6 PERIOD OF STUDY

Duration of the study is 45 days (From April 9th to May 23rd)

1.7 LIMITATIONS OF THE STUDY

 Researcher was assigned to complete the study in a short span of 45days.

Holy Grace Academy of Management Studies

Holy Grace Academy of Management Studies

The most commonly accepted definition of stress (mainly attributed to

Holy Grace Academy of Management Studies

Holy Grace Academy of Management Studies

Holy Grace Academy of Management Studies

economic downturn, or from an accident. Lastly, bereavement stressors occur when

GOOD STRESS V/S BAD STRESS:

Holy Grace Academy of Management Studies

Holy Grace Academy of Management Studies

SOURCES OF JOB STRESS

The major sources of job stress fall into seven categories.

Holy Grace Academy of Management Studies

Feeling unsupported by your co-workers may make it harder to resolve other

Holy Grace Academy of Management Studies

2.2 WORKPLACE STRESS

Stress is a prevalent and costly problem in today's workplace. About one-third of

COPING WITH STRESS AT WORK PLACE

Holy Grace Academy of Management Studies

have taken to consulting experts and professionals on ways to increase connectedness

Holy Grace Academy of Management Studies

Step 3: Coping with Stress

CAUSES OF WORKPLACE STRESS

Holy Grace Academy of Management Studies

Although the importance of individual differences cannot be ignored, scientific

SIGNS OF WORKPLACE STRESS

Holy Grace Academy of Management Studies

Consequences for the individuals:

An individual who is experiencing stress may develop the following

 Stress: Irritability, insomnia, alcohol and food abuse. Physical changes

Holy Grace Academy of Management Studies

 High level of stress may be accompanied by anger, anxiety, depression,

Direct behaviour that accompanies high level of stress includes:

 Under eating or over eating.

Distress which is handled by individuals in dysfunctional ways such as resorting to

Holy Grace Academy of Management Studies

 Low performance and productivity.

A combination of organizational change and stress management is often the most

How to Change the Organization to Prevent Job Stress?

Simple ways of managing stress: