Professional Documents
Culture Documents
CHANNEL
DEVELOPMENT
OF
ICICI PRUDENTIAL LIFE INSURANCE CO. LTD.,
MEERUT
PREFACE
The business of insurance is related to the protection of economic
value of assets. The assets would have been created through the
efforts of the owner, in the expectation that, either through the income
generated there from the some other output, some of his needs would
be met. If assets get lost earlier, being destroyed or made non-
functional, through an accident or other unfortunate event, the owner
and those deriving benefits there from suffer. Insurance is a
mechanism that helps to reduce such adverse consequences.
Insurance plays a major role in different perspective. For economic
development investments are necessary. Investments are made out of
savings. A life insurance company is a major investment for the
mobilization of saving of people, particularly from the middle and lower
income groups. These savings are channeled in to the investments for
economic growth. In order to amenable to statistical predictions,
insurance risks must be handled on a large scale.
All organization face change in their environment with resultant change
in their markets and in the ability to satisfy their markets. Each
organization is faced with new marketing problems and opportunities in
their existing and potential market.
Marketing decision makers cope with these challenges in a variety of
ways. The marketer’s is being required to forecast, forecast the risk
and uncertainness in their own way, supported by market research.
Man on earth can entirely eliminate knows no method but scientific
method can minimize the element of uncertainties that can result from
back of information without orientation, Market research is a process of
collecting information about who, why and how of actual and potential
consumers in a particular market. The main purpose of market
research is the ability to continually foresee both in the long and short
term.
ACKNOWLDGEMENT
There are many people in ICICI Prudential who had helped me during
for their help. As a matter of course thanks are due to the following
MEERUT who has been there as and when I required their help in no
mater what respect. Never the less I have learnt the major managerial
Others: This part includes the day to day people whom I use to meet in
the organization. They are the advisors working there; this include the
staff working out there and even the people whom I met in the NCR,
who were kind enough to spare a few minutes of their precious time
This result which was found from this research clearly shows a
company should be more flexible to the training program they
organized for the high profile advisor. The project undertaken is the
through study of the services and activities, which the company is
willing to give each advisor.
From the survey it was revealed that ICICI PRUDENTIAL is doing quite
well in all the sections of its operations, but still it needs some
perfection to attract more and more HIGH PROFILE ADVISOR so that
they will give more policy for the company.
TABLE OF CONTENT
1. Acknowledgement
• Preface
• Student Declaration
• College Letter
2. Chapter- 1
• ICICI History
• Objective
• Management
3. Chapter- 2
• Nature of the product
• Process
• Analysis
4. Chapter- 3
• Strategies
• Policies
• Sample Composition
5. Chapter- 4
• Research Methodology
• Sample Size
• Type of Research
• Type of Data
• Formulating of Hypothesis
6. Chapter- 5
• Limitations of Study
• Conclusion
• Recommendation
7. Chapter- 6
• Questionnaire
• Bibliography
Chapter -1
INTRODUCTION
The business of insurance is related to the protection of the economic
values of assets. Every asset has a value; the assets would have been
created through the efforts of the owner. The asset is valuable to the
owner, because he expects to get some benefits from it. The benefit
may be an income or something else. It is a factory or a cow, the
product generated by is sold and income generated. In the case of a
motor car, it provides comfort and convenience in transportation. There
is no direct income.
Every asset is expected to last for a certain period of time during which
it will perform. After that, the benefit may not be available. There is a
life-time for a machine in a factory or a cow or a motor car. None of
them will lose for ever. The owner is aware of this and he can so
manage his affairs that by the end of that period of life-time, a
substitute is made available. Thus, he makes sure that the value of
income is not lost. However, the asset may get lost earlier. An accident
or some other unfortunate event may destroy it or make it non financial.
In that case, the owner and those deriving benefits there from, would
be deprived of the benefit and the planned substitute would not have
been ready. There is an adverse or unpleasant situation. Insurance is a
mechanism that helps to reduce the effect of such adverse situation.
HISTORY OF INSURANCE
The business of insurance started with marine business. Traders, who
used to gather in the Lloyd’s coffee house in London, agreed to share
the losses to their goods while being carried by ships. The losses used
to occur because of pirates who robbed on the high seas or because of
bad weather spoiling the goods or sinking the ship. The first insurance
policy was issued in 1583 in England. In India, insurance began in
1876 with life insurance being transacted by an English company, the
European and the Albert. The first Indian insurance company was the
Bombay Mutual Assurance Society Ltd, formed in 1870. This was
followed by the Oriental Life Assurance Co. in 1874, the Bharat in 1896
and the Empire of India in 1897.
OBJECTIVE OF INSURANCE
Assets are insured, because they are likely to be destroyed, through
accidental occurrences. Such possible occurrences are called perils,
Fire, floods, breakdown, lightning, earthquakes, etc, are perils. If such
perils can cause damage to the asset, we say that the asset is exposed
to that risk. Perils are the events. Risks are the consequential losses or
damages. The risk to a owner of a building, because of the peril of an
earthquake, may be a few lakhs or few crores of rupees, depending on
the cost of the building and the contents in it.
The risk only means that there is a possibility of loss or damage. The
damage may or may not happen. Insurance is relevant only if there are
uncertainties. If there is no uncertainty about the occurrence of an
event, it cannot be insured against. In the case of a human being,
death is certain, but the time of death is uncertain, In the case of a
person who is terminally ill, the time of death is not uncertain, though
not exactly known. He cannot be insured.
Insurance does not protect the asset. It does not prevent its loss due to
the peril. The peril cannot be avoided through insurance. The peril can
sometimes be avoided, through better safety and damage control
management. Insurance only tries to reduce the impact of the risk and
the owner of the assets and those who depend on that asset. It only
compensates the losses – and that too, not fully.
General Insurance:
General insurance business in the country was nationalised with effect
from 1st January, 1973 by the General Insurance Business
(Nationalisation) Act, 1972. More than 100 non-life insurance
companies including branches of foreign companies operating
within the country were amalgamated and grouped into four
companies, viz., the National Insurance Company Ltd., the New
India Assurance Company Ltd., the Oriental Insurance Company
Ltd., and the United India Insurance Company Ltd. with head
offices at Calcutta, Bombay, New Delhi and Madras, respectively.
General Insurance Corporation (GIC) which was the holding
company of the four public sector general insurance companies
has since been delinked from the later and has been approved as
the "Indian Reinsurer" since 3rd November 2000. The share capital
of GIC and that of the four companies are held by the Government
of India. All the five entities are Government companies registered
under the Companies Act.
Main Exclusions:
Age Limitations:
This policy covers people between the age of 3 months to 65
years.
Floater Basis:
The benefit of family will operate on floater basis i.e. the total
reimbursement of Rs. 30,000/- can be avalied of individually or
collectively by members of the family.
Scheme
Indian citizens aged 55 years (last birthday) and above are eligible (no
upper age ceiling).
Pension will be paid during the lifetime of the pensioner.
In the event of unfortunate death of the pensioner, purchase price will
be paid to the nominee/ legal heir of the pensioner.
Mode of payment of pension : Monthly, Quarterly, Half Yearly or
Yearly.
Minimum pension is Rs. 250/- per month
Maximum pension is Rs. 2000/- per month.
Only one person from a family can apply. The family for this purpose
shall comprise of the pensioner, his/ her spouse and dependants.
Age proof will be required. Where age is to be admitted on declaration
basis, declaration on a stamp paper, signed in front of a notary
shall be required.
Premium
Only single premium (purchase price) is payable i.e. premium is to
be paid in one lump sum. Further, premium shall be accepted by
cheques/ drafts payable on the Branch of the bank which is the
member of the local clearing house.
Exit Option
Exit option to be provided after 15 years.
Availability of Loan
Availability of loan to the extent of 75% of Purchase Price after 3
years. Interest rate on loan to be decided by LIC from time to time.
At present, the rate of interest would be 10.5%.
INSURANCE COMPANIES
IRDA has so far granted registration to 12 private life insurance
companies and 9 general insurance companies. If the existing
public sector insurance companies are included, there are
currently 13 insurance companies in the life side and 13
companies operating in general insurance business. General
Insurance Corporation has been approved as the "Indian
reinsurer" for underwriting only reinsurance business.
Particulars of the life insurance companies and general
insurance companies including their web address is given
below:
PARTNERS
OUR VISION:
Board of Directors:
The ICICI Prudential Life Insurance Company Limited Board comprises
reputed people from the finance industry both from India and abroad.
Management Team
Ms. Shikha Sharma, Managing Director & CEO
Mr. N.S. Kannan, Executive Director
Mr. V. Rajagopalan, Chief - Actuary
Mr. Sandeep Batra, Chief Financial Officer Company Secretary
Ms. Anita Pai, Chief - Customer Service and Technology
Mr. Puneet Nanda, Chief - Investments
CHAPTER-3
POLICIES AND PLAN OF ICICI PRUDENTIAL
SAVINGS PLANS
Life Expectancy has been rising rapidly and today you can
expect to live longer than your earlier generations. For you,
this increase will mean a longer retirement life, stretching into
a couple of decades. ICICI Prudential presents Retirement
Solutions that combine the best of insurance and investment.
These solutions are developed to ensure your peace of mind
for the years to come.For further information on our
Retirement Solutions
A regular premium pension plan that helps you save for your
retirement while providing you with life insurance protection.
1. Life Annuity
2. Life Annuity with return of purchase price
3. Life Annuity guaranteed for 5, 10, 15 years
4. Joint Life, Last Survivor without return of purchase price
5. Joint Life, Last Survivor with return of purchase price
HEALTH PLANS
INVESTMENT PLANS
GROUP SOLUTIONS
Highlights include:
Highlights include:
Employee Benefits
Employer Benefits
Highlights include:
specified upfront.
♦ Enhanced service levels through faster claim
settlement, easier access to information and regular
statements.
♦ Complete end to end solution in the legal and
RURAL PLANS
ICICI PrudentialLife Rural Products are designed to meet the
needs of the rural consumers. These products offer the
following features:
♦ Individual policy
♦ Only Life cover
♦ Term - 3 & 5 Yrs
♦ Age independent premium
♦ Age at entry : 18 - 45 Yrs
♦ Sum Assured : Single
♦ Premium / Year : Rs 50 – 200
♦ Maturity/Death benefit : Rs.5,000 - 20,000
♦ Death Benefit : Sum Assured
NRI PLANS
♦ Investment Plans
♦ Savings Plans
♦ Retirement Plans
♦ Child Plans
Investment Plans
Savings Plans
Retirement Plans
Child Plans
RIDERS
ICICI Prudential gives you the freedom to form your very own
comprehensive insurance policy by adding the rider benefits
to the basic life insurance policy. Add from the following list
of benefits to increase the scope of your policy, at a nominal
cost.
Premiums paid under this rider are eligible for tax benefits
under Section 80D.
Premiums paid under this rider are eligible for tax benefits
under Section 80C.
Income Benefit Rider
In case of death of the life assured during the term of the
policy, 10% of the rider sum assured is paid annually to the
beneficiary, on each policy anniversary till maturity of the
rider.
Premiums paid under this rider are eligible for tax benefits
under Section 80C.
Premiums paid under this rider are eligible for tax benefits
under Section 80C.
CHAPTER-4
RESEARCH METHODOLOGY
PRIMARY DATA
Data collection of this research was done primarily through
filling up of questionnaires. The sample for the research
including different individuals of various age groups and
having different profession and qualification. Data was
collected through the interview of individuals. The
questionnaires was containing questions regarding the
personal details of individuals and then some light question
regarding their primary knowledge related to private
insurance companies. Then there were questions related to
their interest in being the Insurance Advisor of the company.
SECONDARY DATA
A large amount of secondary data has been collected from
secondary sources. Some of the sources are:-
♦ Report on Insurance sector of India.
♦ Articles from newspapers and magazines.
♦ Various web sites of the insurance companies and
related sites.
DATA ANALYSIS
There are some features of analyzing data that need to be
borne in mind when choosing the method for analyzing the
research. The questionnaires were prepared to explore the
psychology of individuals about being associated with ICICI
Prudential as insurance advisor and to help the company
grow by increasing its sales. Instead of testing a hypothesis,
a qualitative analyst may demonstrate evidence showing that
a theory, generalizing, or interpretation is plausible.
SAMPLE SIZE
Various area of MEERUT were covered in order to fill the
questionnaire. I interacted with 111 individuals in order to
know about their interest of being Insurance advisor of ICICI
Prudential.
Sample Size – 111
SAMPLE COMPOSITION
I. Youth
II. Executive
III. Serviceman
IV. Business person
RESEARCH DESIGN
A research design provides the frame work to be used as a
guide in collecting and analyzing data.
RESPONSE OF QUESTIONNAIRE
1. What is your full time profession?
a) Business -31 b) Govt. Service -15
c) Private Jobs -42 d) Retired -14
e) Housewife -07
Retir
13%
Business
2. According to you, the purpose of insurance is:
Private Job
38%
Tax saving
21%
3. What efforts can be made to bring about more awareness amongst
people?
a) Media Ads - 26 b) Banners - 04
c) Newspaper - 15 d) Agents - 54
e) Event Sponsorship - 07 f) Any Other - 05.
Wealth
creation
13%
Event
Any
Sponsorship
6% Chi
f
4. You know how many names of private insurance company?
a) Below 2 - 05 b) Between 2-4 - 61
c) Between 4-6 – 08 d) Above 6 – 37
Above 6
5. You like to work in market/field and want to interact with people?
a) Yes - 47 b) No33%- 64
Between 4-6
7%
6. From how many years you live in MEERUT?
a) Below 6 months - 13 b) 6 months – 1 year - 61
c) 1 year- 2 year - 27 d) more than 2 years - 37
more than 2
years
7.
27%
How many people do you know in MEERUT?
a) Less than 200 - 27 b) 200-500 - 53
c) 500-1000 - 21 d) Above 1000 - 10
Above 1000
9%
100year-
5 -1000 2 year
19%
20%
8. Do you like to earn some extra money?
a) Yes - 87 b) No - 14
No
14%
A. Duration of working?
a) Below 6 months – 12 b) 6 months – 1 year - 06
c) 1 – 2 years - 02 d) 2 – 3 years - 05
e) Above 3 years -03
No
7
5%
Above 3 years
11%
Other
D. Are you satisfied with your company?
a) Yes - 19 29%
b) No – 09
ICICINo
32%
Prudential
14%
If NO, than answer the following question:
No
B. Which age group do you belong?
a) Below 25 - 41
c) 30 – 35 - 09
34%
b) 25 – 30 - 27
d) Above 35 -06
Abo
30 – 35
11%
C. Are you married?
a) Yes - 47 b) No - 36
Ot
Professional 4
16%
E. What is your Household income?
a) Below 2 lacks - 53 b) 2 – 5 lacks - 21
c) 5 – 8 lacks - 09 d) Above 8 lacks - 00
5 – 8 lack
11%
F. How much time you provide easily besides your job hours?
a) 0-2 hrs - 22 b) 2-4 hrs - 37
c) 4-6 hrs - 15 d) Time Full – 09
2 – 5 lacks
25% Time Full
11%
4-6 hrs
18%
FINDINGS
⇒ People are becoming more and more money conscious as
I find very less person who doesn’t want to earn extra
money.
RECOMMENDATION
• Need to create and effectively deploy differentiated
insurance advisors.
advisor’s recruitment.
advisors.
for promotion.
• There should be more incentives to insurance advisors
distribution, using the sources that can straight play with the
COMPANY
SALES
MANAGER
ATTRACT
How to attract to life Insurance
EVALUATE
How to evaluate
PRODUCTIVITY
RETENTION
THE BASICS
Atmosphere of Success
Attraction Power
Next, decide on the profile of the adviser who will fit and grow
best in your operation – the kind of person you can develop best.
Experience, age, market, contacts, income requirements, and a
number of other factors should be considered in answering the
big question – what kind of an advisor is best suited for you and
your organization.
Constant need of advisors at ICICI Prudential
30 CONTACTS
8 FOR INTERVIEW
2 SELECTED
Personal observation
No one knows more about the kind of person you seek and the
kind of opportunities you have for the prospective advisor then
the present members of your sales organization. Moreover, they
have a selfish interest in wanting their associates to be type of
person who will reflect favorably on their organization. Many
successful advisors have an ability to attract promising
prospective advisors who can and do succeed.
Client referrals
College campuses
Newspaper advertisement
Doctors
Lawyers
Pandits
Priests
Chartered Accountants
Teachers
NGO workers
Bankers
The one thing common to all these people is the contacts that the
have and the influence that the have over these contact.
To insure a continuous flow of nomination from COI’s, practice
these few basic rules for developing center of influences.
If you are a person with high energy levels and is looking for
business opportunities to be a successful entrepreneur, here is
your chance!!
I would like to talk to you personally about this fantastic offer for
you. Please call me on. . (Tele. No.)
Manager
♦ Sample two(Employee)
I am looking for people who have the drive to achieve vertical financial
growth and want to make their dreams come true.
I’ll be calling you within the next few days to arrange a visit so we can
discuss his important matter in greater details. You can then determine
whether there would be a mutual advantage in furthering our talks.
Manager
ICICI Prudential life Insurance Company Ltd.
♦ Sample three (COI Priest)
Many people call on you for counsel and advice. I’m writing you
because some of the problems of these people relate to employment or
business opportunities.
Please list on the enclosed card the names of the people whom you
wish to recommend.
Thank you.
Respectfully,
Manager
ICICI Prudential life Insurance Company Ltd.
♦ Sample four (Businessman)
A client of yours who was very happy with the service levels
maintain by you referred your name to me.
Unit Manager
Self-motivation
A master communicator
A go-getter
A graduate]
Training
WHY TO RECRUIT?
WHO TO RECRUIT?
♦ Quality Dep’t. Has given some indicators in terms of what
are the common traits of our successful advisors
Average profile
Women
Student
VRS/retired personnel
Avoidable profile
New to city
Income profile – approx Rs. 1 lac p.a.
People who do not own their transport
THE MOST SUCCESSFUL PROFILE – The person who has
been managed well by you.
Things which you should have while meeting the prospect
BOP presenter
Reward points booklet OR take a copy of the catalog from the
website – show the gift, a prospect wouldn’t understand points,
but will value the gifts.
Advisor manual – can show how the manual can answer many
procedural issues.
Talk about email ID & tech support – the prospect would like to
know what all ill the company gives.
My Market 100-show the booklet and stress its importance
Copy of any certificate – MORT certificate, Sales Champion
certificate etc to show recognition.
♦ Insist on doing the BOP presentation – it gives a
complete picture of what you have to present & answers a lot
of question
♦ Stress on different thing to different profile – change
your proposition as per the customer.
Women – rewards, - gift items, household goods,
gold
Young marketing background – career Pinnacle
Tax/MF/LIC agents – Rewards & Recognition, Star
clubs.
CAs – foreign trips, preferential treatment in all
aspects, don’t talk about commissions, stress on the extra.
Small businessman / entrepreneurs – show ROE –
Return on Energy, to the earn the same amount of money
from your business, you would be spending much more time
& energy AND A LOT OF CAPITAL FROM YOUR POCKET.
RECRUITMENT ACTIVITIES
SOME MORE WAYS ON HOW TO RECRUIT
PROFILE OF A MANAGEMENT
TRAINEE UNDER THIS PROJECT
For every insurance company life insurance advisors are the life line
and a very huge asset so each company try to recruit and select a
potential force of life insurance advisors because this is the advisors
who generate maximum business for the insurance company.
Insurance advisors provide a very strong support to the insurance
company and do all possible effort to generate huge amount of profit to
the company and for him.
a) Yes b) No
D. Duration of working?
a) Below 6 months b) 6 months – 1 year
c) 1 – 2 years d) 2 – 3 years
e) Above 3 years
B. Annual Productivity?
a) Below 50,000 b) 50,000 – 1, 00,000
c) 1, 00,000 – 2, 00,000 d) 2, 00,000 – 3, 00,000
e) 3, 00,000 – 4, 00,000 f) Above 3, 00,000
C. In which company are you working?
a) LIC b) ICICI Prudential
c) Other…………………………….
a) Yes b) No
F. How much time you provide easily besides your job hours?
a) 0-2 hrs b) 2-4 hrs
c) 4-6 hrs d) Time Full
WEB SITES
www.icici.com
www.iciciprulife.com
www.prudential.com
www.domain-b.com