REPORT OF SUMMER TRANING CONDUCTED

AT
MAX LIFE INSURANCE COMPANY LIMITED

SARALA BIRLA UNIVERSITY, RANCHI

DEPARTMENT OF COMMERCE AND MANAGEMENT

Session:- 2020-2023

Submitted By: Simran kumari keshri

Roll no: BBAX20R204
Registration no: SBU200891

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 Certificate
Certificate from the guide this is to certify that this Project Report on “MAX
LIFE INSURANCE COMPANY LTD” Is based on an original project study
conducted by Miss Simran Kumari Keshri, bearing Enrolment No.
SBU200891, under my guidance.

Place: ……………………….
(Signature of the Guide)

Prof. Rashi malpani

Date: Assistant professor
Department Of Commerce and Management
Sarala Birla University, Ranchi

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 DECLERATION BY THE STUDENT

I hereby declare that this Project Report on “MAX LIFE INSURANCE

COMPANY LTD” has been prepared by me during the month of SEPTEMBER
2022 under the guidance of prof. Rashi Malpani, Assistant Professor, Department of
commerce and management of Sarala Birla University, Ranchi.

I also hereby declare that this project report is on an original work and has not been
submitted at any time to any other university or institution for the award of any
degree or diploma.

Place: Signature:

Date: Simran kumari keshri

Roll no: BBAX20R204

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 ACKNOWLEDGEMENT

I express my sincere thanks to Prof. Sandeep Kumar, Dean, Department of

Commerce and Management for his valuable suggestions and help in preparing
this project report.
I express my deep sense of gratitude to my guide Prof. Rashi Malpani, Assistant
professor Department of Commerce and Management, Sarala Birla University,
for her valuable guidance in this endeavour. She has been a constant source of
inspiration and I sincerely thank her for her suggestion and help in preparing this
report.

Finally, I express my sincere thanks and gratitude to the respondents who helped me
to complete my field work without whose help this project report would not have
been possible.

Place: Signature:

Date: Simran kumari keshri

Roll no: BBAX20R204
Registration no: SBU200891

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 CONTENTS

S No Topic Page No

1 Certificate 2

2 Declaration 3

3 Acknowledgement 4

4 Executive summary 6

5 Chapter 1-Overview of the industry 7-14

6 Chapter 2-Objective of the study 15-23

7 About max life insurance company 24-28

8 Chapter 3-Data collection and presentation 29-36

19 Chapter 4- Summary and conclusion 37-40

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 EXECUTIVE SUMMARY

TITLE:’’PRODUCT PROMOTION OF MAX LIFE INSURANCE”

SCOPE: Scope of this project includes a survey being conducted on MAX LIFE
INSURANCE and an interpretation done of its market stand and promotion required.
OBJECTIVES: Identify the areas where the performance of MAX Life Insurance can be
improved. Study the perception of the consumer about the company.
In insurance companies recruitment of financial consultant plays a very important role
to generate high sales. The overall business depends upon the financial consultant. So
to understand the sales performance of financial consultant evalution programe plays
vital role. Life insurance companies financial consultant. So financial consultant play a
very important role for the company.

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CHAPTER -1 OVERVIEW OF INDUSTRY

1. INDUSTRY PROFILE

1.1 WHAT IS INSURANCE

Insurance may be described as a social device to reduce or eliminate risk of loss to life and
property. Insurance is a collective bearing of risk. Insurance spreads the risks and losses of few
people among a large number of people as people prefer small fixed liability instead of big
uncertain and changing liability. Insurance is a scheme of economic cooperation by which
members of the community share the unavoidable risks. Insurance can be defined as a legal
contract between two parties whereby one party called Insurer undertakes to pay a fixed amount
of money on the happening of a particular event, which may be certain or uncertain. The other
party called Insure or Insurant pays in exchange a fixed sum known as premium. The insurer and
the insurant are also known as Assurer or Underwriter and Assurant, respectively. The document
which embodies the contract is called the policy.

ORIGIN OF INSURANCE
Almost 4,500 years ago, in the ancient land of Babylonia, traders used to bear risk of the caravan
trade by giving loans that had to be later repaid with interest when the goods arrived safely. In
2100 BC, the Code of Hammurabi granted legal status to the practice that, perhaps, was how
insurance made its beginning. Life insurance had its origins in ancient Rome, where citizens
formed burial clubs that would meet the funeral expenses of its members as well as help
survivors by making some payments. As European civilization progressed, its social institutions
and welfare practices also got more and more refined. With the discovery of new lands, sea
routes and the consequent growth in trade, medieval guilds took it upon themselves to protect
their member traders from loss on account of fire, shipwrecks and the like. Since most of the
trade took place by sea, there was also the fear of pirates. So these guilds even offered ransom for
members held captive by pirates. Burial expenses and support in times of sickness and poverty
were other services offered. Essentially, all these revolved around the concept of insurance or risk
coverage.

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IN INDIA

Insurance in India can be traced back to the Vedas. For instance, Yogakshema, the name of Life
Insurance Corporation of India's corporate headquarters, is derived from the Rig Veda. The term
suggests that a form of "community insurance" was prevalent around 1000 BC and practised by
the Aryans. Burial societies of the kind found in ancient Rome were formed in the Buddhist
period to help families build houses, protect widows and children. Bombay Mutual Assurance
Society, the first Indian life assurance society, was formed in 1870. Other companies like
Oriental, Bharat and Empire of India were also set up in the 1870- 90s. It was during the
Swadeshi movement in the early 20th century that insurance witnessed a big boom in India with
several more companies being set up. As these companies grew, the government began to
exercise control on them. The Insurance Act was passed in 1912, followed by a detailed and
amended Insurance Act of 1938 that looked into investments, expenditure and management of
these companies' funds. By the mid- 1950s, there were around 170 insurance companies and 80
provident fund societies in the country's life insurance scene. However, in the absence of
regulatory systems, scams and irregularities were almost a way of life at most of these
companies. As a result, the government decided nationalise the life assurance business in India.
The Life Insurance Corporation of India was set up in 1956 to take over around 250 life
companies. For years thereafter, insurance remained a monopoly of the public sector. It was only
after seven years of deliberation and debate – after the RN Malhotra Committee report of 1994
became the first serious document calling for the re-opening up of the insurance sector to private
players that the sector was finally opened up to private players in 2001. The Insurance Regulatory
& Development Authority, an autonomous insurance regulator set up in 2000, has extensive
powers to oversee the insurance business and regulate in a manner that will safeguard the
interests of the insured.

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1.2 TYPES OF INSURANCE

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 1.1 LIFE INSURANCE

Life Insurance is defined as a contract between the policy holder and the insurance company,
where the life insurance company pays a specific sum to the insured individual's family upon his
death. The life insurance sum is paid in exchange for a specific amount of premium. Life is
beautiful, but also uncertain. Whatever you do, however smart and hard you work, and you are
never sure what life has in store for you.

It is therefore important that you do not leave anything to chance, especially ‘life insurance’. As
death is the only certain thing in life, apart from taxes, it pays to insure it well in advance.

BENEFITS OF LIFE INSURANCE

Life insurance is designed to minimize the impact of the financial loss your family may incur
upon your demise. The benefits of such plans are fourfold, aptly contained within the acronym
“LIFE”:

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 1. Liability Free

Life insurance gives your family the power to be independent and self-reliant. A good term plan
can help them repay financial liabilities like home loan, auto loan, personal loan, or a loan on
credit card. The term plan may also cover hospitalization charges and critical illness treatment,
giving you a comprehensive protection package

2. Income Replacement

If you are the sole breadwinner in your family, a life insurance plan becomes can provide a
guaranteed income to your family every month, making sure that their everyday life is not
disrupted and they remain financially stable.

3. Education and other expenses for dependents

The pay-outs from life insurance can help to pay the bills for the education of your children, as
well as expenses for their wedding or medical costs if any.

4. Immediate Expenses after Demise

It will also help your family cover a part of essential expenses immediately after your demise,
such as funeral costs and/or medical bills.

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TYPES OF LIFE INSURANCE POLCIIES

• Term Life Insurance: - Term life insurance lasts for a set number of years before it
expires. If you die before the term is up, a set amount of money, known as the death
benefit, is paid to your designated beneficiary .Term life is considered the simplest,
most accessible insurance policy. When you make your payments (known as your
premium), you’re paying for the death benefit that goes to your beneficiaries in the
event of your death. The death benefit can be paid out as a lump sum, a monthly
payment, or an annuity. Most people elect to receive their death benefit as a lump sum.

• Universal Life Insurance: - Universal life insurance has a cash value, just like a
whole life insurance policy. Your premiums go toward both the cash value and the
death benefit. But there’s a twist: You can change the premium and death benefit
amounts without getting a new policy. Basically, although you have a minimum
premium to keep the policy in force, you can use the cash value to pay that premium.
That means if you have enough money in the cash value, you can use that to skip
premium payments entirely, letting the accrued interest do the work.

• Variable Life Insurance: - Variable life insurance is similar to whole life

insurance in that they both have a cash value, but the functions of the cash values are
quite different. With a whole life insurance policy, the cash value component is a
savings account. That’s why, although the growth might be small compared to other
investment options, there is a guaranteed minimum rate. It also includes dividend
payments from the life insurance company.

• Simplified Issue Life Insurance: - Typically when you apply for life insurance,
you go through a paramedical exam as part of the underwriting process so the insurer
can find out how risky you are to insure. The exam helps them set your premium rate.

With simplified issue life insurance you can skip the medical exam. That’s the "simplified" part
of this policy type. This is also known as a "no exam policy.” You’re not out of the woods
completely, though. You don’t need to go through the medical exam, but you do need to fill out
a health questionnaire, answering questions like if you smoke, have been diagnosed with
serious illnesses, and so on.

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• Guaranteed Issue Life Insurance: - Guaranteed issue life insurance takes the
concept of simplified issue life insurance — forgoing the health exam — a step further
in that you don’t have to answer any questions about your health, either. As long as you
can pay the premium, the insurer will cover you, needing only your age, sex, and state
of residence.

• Endowment Plan: It is a life insurance policies which is payable to the insured if

he/she is alive till the policy maturity date. These endowment plans also offer benefits
like bonus monthly, which is paid in maturity or else to the nominee under the death
benefit. It is also known as traditional insurance and the risk involved is lower.

• ULIP: In this, the part of insurance plan will go towards the mutual fund investments
and remaining will be going to the death benefit purpose. An individual also can invest in
different funds offered by the company depending on his risk management or involved.

• Whole Life Insurance: It is not for a specified term; instead it covers the whole life
of an individual in this. The sum assured is decided when the policy is being purchased
and is paid to the nominee when the insured person will die. In this, withdrawal can also
be done after the premium payment period.

• Child’s Policy: It provides financial protection to the children throughout their lives by
Investment + insurance policies. It helps to secure the child’s future for their education
and marriages. During the policy term, if the insured child’s parent dies then the payment
is done immediately by the insurance company.

• Money-Back: After the payment of policy, it provides certain percentage on sum

assured which is also known as survival benefit. They are also eligible to receive.

• Retirement Plan: It is also called as a Pension plans. It is a policy where it combines

both investment and insurance. A little portion of amount is used for the retirement
purpose of the policyholder and the remaining lump-sum amount or monthly payment
will be given to the policyholder when he retires.

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1.3 REGULATORY BODY – IRDAI
IRDA is the supervisory body in India that regulates and commands all the insurance companiesin the
country, both Life Insurances and General Insurance companies.

IRDA is the head organization that sets rules and guidelines to run the Indian Insurance Industry.While
monitoring the activities of the insurance companies, IRDA also regulates and sees the development of
these industries.

The whole and sole responsibility of the autonomous body IRDA is to regulate fair practices inthe
insurance market to impede the loss of customers.
The way the banking system of the nation works as per the guidelines set by the RBI, leaving noscope for
the monopoly to take over, IRDA on the same lines of industrial practice plays an important role to
control the insurance sector.
Major responsibilities of IRDA is as follows:

• Urge and ensure the systematic growth of the insurance industry to benefit the customerswho
invest in policies seeking safety.
• Safeguard the interest of the policyholders.
• Foster righteousness and fair dealings in the market.
• Expedite the claim settlement and overcome the disputes
• Keep a check on scams and frauds by setting standards and conduct vigilance.
The scope of work for IRDA is wide and it abides by its limitations without favoring anyparticular
insurance company. To keep up the growth, the work and acts of IRDA are as mentioned below:

1. IRDA monitors that no insurance company can deny the claim on their free will unless it falls
beyond the scope of the cover. Thus, protecting the interest of policyholders at the time of
issuance of the policy claims, and cancellation of the policy.
2. IRDA clearly states the code of conduct for all insurance companies, loss assessors andsurveyors.
Thus, players come together to work on a single tune and compete with eachother simply on the
basis of discounts.
3. IRDA conducts investigations, calls for both annual and need-based audit so as to preventany
misdeed.
4. To bring equality for customers IRDA, regulates the terms and rates offered by theinsurance
companies.
5. IRDA provides a resolution in case of any disputes emerged between the insurer and the
policyholder.
6. IRDA prevents insurers from quoting rates as per their convenience and hence it limits themajor
risks to the Tariff Advisory Committee.
7. IRDA sets the minimum percentage limit for the insurers to carry for both life and non -life
business. Thus, helps in the development of both rural and urban sectors.

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 MAX LIFE INSURANCE COMPANY

Max Life Insurance Company Ltd. is a joint venture between Max India Ltd. and MitsuiSumitomo
Insurance Co. Ltd. Max India ltd. is a Max India is a leading Indian multi-business corporate, while
Mitsui Sumitomo Insurance is a member of MS&AD Insurance Group, which is amongst the top
general insurers in the world. The company has positioned itself on the quality platform. It has
developed a strong corporate governance model based on the core values of excellence, honesty,
knowledge, caring, integrity and teamwork. The strategy is to establish itselfas a trusted life insurance
specialist through a quality approach to business. In line with its valuesof financial responsibility, Max
Life has adopted prudent financial practices to ensure safety of policyholder's funds. The Company
has been one of the fastest growing life insurance companieswith Gross Written Premium of Rs. 7,279
crore and Shareholders Profit After Tax of Rs. 436 crore for the Financial Year 2017-18. Max New
York Life has identified individual agents as its primary channel of distribution

Company Details

PARTICULARS DETAILS
Name of the Company MAX LIFE INSURANCE COMPANY LIMITED.
Address Ground Floor, A1/172, Chhatrapati Shivaji Marg,
Near Metro Pillar No. 614, Janak Puri, New Delhi-
110058
Telephone No +91 11 4563 2800
Website www.maxlifeinsurance.com

Type of Company National

Corporate Office Max Life Insurance Co. Ltd., 11th DLF Square
Building, Jacaranda Marg, DLF City Phase II,
Gurgaon (Haryana) – 122002.
Registered Office Max House, 1 Dr. Jha Marg, Okhla, New Delhi -
110020.
Business Locations over 310 offices across 216 locations in the country

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Nature of the Company

Max Life Insurance Company Limited provides life insurance products in India. The company offers
a range of participating, non-participating, and linked products covering life insurance, pension, and
health benefits. The company provides individual and group life insurance products consisting of
protection, child, retirement, growth, savings, and group plans. Max Life Insurance Company Limited
distributes its products through individual agents, corporate agents, banks, brokers, and other channels.
The company was formerly known as Max New York Life Insurance Company Limited and changed
its name to Max Life Insurance Company Limited in July 2012. The company was founded in 2000
and is headquartered in New Delhi, India. Max New York Life Insurance Company Limited is a
subsidiary of Max India Limited.

MAX LIFE INSURANCE Company has been one of the fastest growing life insurance companies
with Gross Written Premium of Rs. 7,279 crore and Shareholders Profit After Tax of Rs. 436 crore for
the Financial Year 2017-18.
In the financial year 2017-18 Max Life Insurance ranked fourth among private life insurers witha
market share of 10.3%.

Company’s Vision and Mission

VISION
➢ To become the most admired life insurance Company of India.

MISSION
➢ To become one of the top quartile life insurance companies in India.
➢ Be a national player.
➢ Be the brand of first choice.
➢ Be the Employer of the Choice.
➢ Become principal of choice for agents.

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 Product Range of the Company

Insurance has a range of Life Insurance plans that help you fulfill your various needs - be it
financial protection of your family, planning for your child’s education, saving for retirement or
just growing your wealth In case you are not sure about the plan that suits you needs, feel free to
use our Life Insurance Plan Finder.

Secure the future of your loved ones from the uncertainties of life.
Our Online Term Plan will help you protect your family and will take care of their financial
needs in your absence. These are:
• Basic Life Cover
• Life Cover + Monthly Income
• Life Cover + Increasing Monthly Income

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• Protection Plans

Life is full of surprises. Unexpected events that strike without warning can disrupt the smooth
rhythm of life. We must be prepared at all times. The primary earning member needs to make
sure that his family is never lacking in anything even if he is taken away from them forever.
In double income families, both spouses should get adequate life covers especially if there
are dependent children involved. There are plans that guarantee maximum protection at a
low cost. These are:
• Max Life Super Term Plan
• Max Life Premium Return Protection Plan

3. Child Plan

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The parenting may be perfect but is the planning adequate? We all thinking beyond the immediate
to the future, about higher education and professional courses, in India and abroad. Many children
are keen to pursue unconventional careers. Are parents in tune withtheir aspirations and passions?
Parents would never let money come in the way of their children and the fulfillment of their true
potential. There are plans will help build the corpus that allows your children to dream big and soar
high. These are:
Max Life Shiksha Plus Super Plan

4. Retirement Plans

A person never misses his salary cheque or be constrained by rising inflation. Even as he works
hard to make a better today, it is up to him to create a superior tomorrow. If one wants to sustain
his current lifestyle even after he stops working, he should make that money works for him. The
retirement Plans will keep one comfortable and content, and let him live the life he deserves.
These are:
1.Max Life Forever Young Pension Plan

2.Max Life Guaranteed Lifetime Income Plan

3.Max Life Perfect Partner Super

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 • Growth Plans

Your investments need a product that helps you achieve your goals, by providing you with
portfolio strategies and multiple Fund options.
Presenting Max Life insurance growth plans, a product that helps you in planning your finances
better so that your future years are the best years of your life. A product that helps you in
planning your finances better by balancing the equity and debt exposure automatically so that
your future years are the best years of your life.

Savings Plans

Life’s always meant to be a happy journey. However, it can soon turn into a struggle if we
fail to plan our finances in advance. As the rate of inflation goes up, it could very well be a
spoke in the wheel by eroding your purchasing power and making the ride less comfortable
for you and your family. These are:

• Max life guaranteed income plans

• Max life whole life super
• Max life gain premium
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 7. GROUP PLANS

People are the most valuable asset of any organization. Organizations have to innovate
newer forms of compensation to retain talented employees. Pay and perks are all very fine
but an organization needs to show employees that it cares. Ensuring the financial wellbeing
of employees and their families will earn an organization their enduring trust and loyalty.
The Group Plans offer a three-in-one advantage, as they are a powerful tool for motivation,
reward and retention, in these times of high attrition. These are:
• Max Life Group Gratuity Premier Plan

• Size of the Organization

In terms of Manpower:

Max life Insurance manpower is approximately around 52000 and every year new recruitments
takes place and each year the manpower is different. As on march 2014 the agent advisors are
43,505 and employees are 8,398.

In terms of Turnover:

In Financial Year 2017-18, MAX LIFE INSURANCE company achieved gross premium of Rs. 7,279
crore, recording an increase of 10% over the previous financial year. Renewal premium income has
grown by 6% to Rs. 5,017 crores.

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5. Organization Structure of the Company

• Mr. Analjit Singh Chairman, Max Life Insurance Co. Ltd.

• Mr. Anuroop (Tony) Singh
• Mr. Rahul Khosla
• Mr. Rajesh Sud CEO and Managing Director, Max Life Insurance Co.
Ltd.
• Mr. Rajit Mehta
• Ms. Marielle Theron
• Mr. John Poole
• Mr. Rajesh Khanna
• Mr. K. Narasimha Murthy
• Mr. D.K. Mittal
• Mr. Toshinari TOKOI
• Mr. Hideaki NOMURA
Vice Chairman, Max Life Insurance Co. Ltd.
Director Max Life Insurance Co. Ltd.
Director Max Life Insurance Co. Ltd.
Director, Max Life Insurance Co. Ltd.
Director, Max Life Insurance Co. Ltd.
Director, Max Life Insurance Co. Ltd.
Director, Max Life Insurance Co. Ltd.
Director, Max Life Insurance Co. Ltd.
Director, Max Life Insurance Co. Ltd.
Director, Max Life Insurance Co. Ltd.

6. Market Share and Position of the Company

6.1 MARKET SHARE

In the financial year 2017-18 Max Life Insurance ranked fourth among private life insurers with
a market share of 3%. The Company has been one of the fastest growing life insurance companies
with Gross Written Premium of Rs. 7,279 crore and Shareholders Profit After Tax of Rs. 436 crore
for the Financial Year 2017-18. The Company's share capital of Rs. 2,127 crore with a solvency
margin of 485% is indicative of its financial strength and stability. As on 31st March 2017, Max
Life Insurance had assets under management of Rs. 24,716 crore.

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POSITIONING

The top 10 insurance companies in India have left their indelible mark on the industry with their
sheer presence, growth as well as pioneering services, range of products, and overall financial
achievements. Many of these companies have also attained top positions in the industry thanks to
their efforts at workforce development and contribution to the Indian insurance industry in general.

List of Top 10 Life Insurance Companies in India:

Name of the Company

• Life Insurance Corporation of India (LIC)
• ICICI Prudential Life Insurance
• SBI Life Insurance Company Limited
• Bajaj Allianz Life Insurance
• Reliance Life Insurance Company (RLIC)
• HDFC Standard Life Insurance
• Birla Sun Life Insurance Company Limited (BSLI)
• Max Life Insurance Co. Ltd

• Tata AIG Life Insurance

• Kotak Life Insurance

Sources of Data Collection

The data collected was from secondary data which is stated below:

• Primary sources: Inviting clients to the Max Life Branch and knowing their views and
opinions about the company and also estimating the penetration and awareness of
insurance through the interaction.

• Secondary Sources: Various sites were visited to read on importance of recruitment and
selection on job productivity. Each type of data was collected from the company manual,
company website, annual report 2017-2018 of the company.

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Chapter-2
Objectives of the Study

The main objective of doing this project is to the employee attitude. During this
student internship program period, we have to achieve something which is helpfulto
the development of ourselves and some value addition to the company. Getting
more to the company because of recruitment and selection program is the main
objective. It gives us good exposure of ourselves and creating good impressions.

Customer and potential agent’s perceptions about insurance as a product categoryTo

study the selection process of financial advisors at Max Life Insurance.

To study the new employee orientation at Max Life Insurance.

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SWOT Analysis of MAX LIFE INSURANCE COMPANY LIMITED

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 BEST PRACTICES/ USPs of Max Life Insurance

• Financial strength and stability

Max Life’s focus on fundamentals and efforts to differentiate in the market place based on its
advice based sales, diversified distribution architecture and comprehensive product portfolio
helped achieve a financial strength and stability. The company achieved profitable growth even
in a tough year for the industry.

• Claims Promise
Life insurance is, in the ultimate analysis, a business of paying claims and supporting the
customer's family when they need us the most. To be true to our promise to policyholders, Max
Life Insurance has set up an effective claims settlement process, making it simple, quick and
hassle-free. This is especially important because claimants, who are dealing with an unplanned
incidence such as loss of some loved one, need our reassurance and support, not the pressures of
complicated follow-ups.

• Differentiated/unique product offering

At Max Life Insurance, we understand that people have differentiated needs even when it comes
to protection. Therefore, offering only a lump sum as sum assured on the unfortunate demise of
the bread winner of the family can never be the definitive answer to securing their family’s
future. That is why we have designed a one-of-its-kind term plan that gives three distinct death
benefit options to choose from.
• Lumpsum -Sum Assured
A protection solution for your loved ones at an affordable price
100% Sum assured as lump sum on demise of the life insured
• Sum Assured + Level Monthly Income
A protection solution to take care of any liability and provide a steady income to
family
100% Sum assured as lumpsum on death + Tax free monthly income for 10 years
• Sum Assured + Increasing Monthly Income
A protection solution to handle multiple liabilities and take care of increasing living
costs and expenses
100% Sum assured as lumpsum on demise of the life insured + Tax free monthly
income for 10 years. This income increases every year at 10% simple rate of interest.

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Service Excellence

Treating Customers Fairly (TCF) remains the bedrock of all customer centric initiatives at Max Life
Insurance. In keeping with this philosophy, our constant focus is on enhancing the experience of our
customers through continuous improvement in processes. We extend thoughtful service at all touch
points and believe in long-term customer relationship. As a result of our efforts, we now have the
lowest customer complaints incidence rate in the industry at 0.20per thousand as on March 31, 2013.
We have pledged a ‘Service Promise’ that entails
• 20 second call pickup
• 4 hours query acknowledgement
• 24 hours resolution of queries**
• Free premium cheque pickup in 20 cities within 24-hours.

Strong Corporate Governance

Max Life Insurance believes that a strong system of corporate governance is essential to help the
business run smoothly and aid effective decision making in order to support the achievement of
the Company’s objective.
Further, it always believed that able leadership and strong corporate governance systems play a
critical role in the ability of Company to effectively focus, develop and create value for the
enterprises.
We remain committed to excellence in Corporate Governance and recognize that it is a driver of
value driven leadership and high standards of accountability, transparency and ethics across the
Company.

Awards & Recognition

At Max Life Insurance, with each award and accolade received over the years, Max life insurance
have renewed our promise of providing the best quality of products and services to ourcustomers.
Some of the awards and recognition rewarded to us:

Recognised amongst the top 100 companies 'India's Best Companies to Work for2013' a
survey by Great Place To Work® Institute
Selected as Superbrand of the Year 2013-14
Max Life Insurance won the 6th National Conference & Competition on Six Sigma,2012, held by
the Confederation of Indian Industry (CII) for the Green Belt project "Power of Speed -
Settlement of Claims within 10 days". Overall, 24 project presentations were made by
manufacturing and service sector companies that includedHCL, Wipro, Times of India, 3M India
& QuEST Global from service sector

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Awarded the 6th AIMIA Loyalty Award in the category 'Financials - Non Banking Financial Services
Sector'. AIMIA is a global leader in loyalty management and the loyalty awards recognize excellence
innovation and best practice in customer loyalty. Theselection criteria included a Voice of Customer
study in addition to submissions by the organisations
Silver EFFIE Award in 2012, for the 'Aapke Sachche Advisor' campaign. Organized byThe
Advertising Club Bombay in India, the EFFIEs have become the gold standard in measuring
marketing and communication effectiveness in India
QCI DL Shah Awards for Best Six Sigma Project on economics of Quality - 2012
Outlook Money survey: Recognised as the only company to have funds among the topquartile in
all funds category
CII National Six Sigma recognition for Best Six Sigma Project – 2009 at the CIO 100Technology
Awards 2008 – 2011
Golden Peacock Award for Excellence in Product Innovation for Max Vijay

Variations in classroom study and practical exposure of corporate culture

During my summer internship I found huge differences in the classroom study and the real practical
exposure. I learned how to apply theoretical knowledge and principles, facts into practice of various
concepts of finance, HR, IT, accounts, operations, marketing, etc. such as:-

How to invite candidates for interview.

How to take preliminary interviews.
Maintaining employees data regarding joinings and approval, ESI,resignations in different
software.
How to login the policies in the system.
Various HR models practically applied for entry and exits.
Code of conduct of employees.

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CHAPTER 3
DATA COLLECTION AND PRESENTATION

SOURCES OF DATA COLLECTION

Before an organization actively begins to select applicants it should consider the

mos t l y l i kely s ource of t he t ype of em pl oy e e i t needs . S ome com p ani es t ry
t o develop new sources while most try to tackle the existing sources they have. These sources
accordingly may be termed as internal and external.

Internal Sources –This is one of the important sources of recruitment. The employees
already w o r k i n g i n t h e o r g a n i z a t i o n m a y b e m o r e s u i t a b l e f o r h i g h e rj
o b s t h a n t h o s e recruited outside. Internal sources consist of the following :

• Emp l oyee R e f erra l s : In an or ga ni z at i on w i t h a l a rge num b er of

em pl oyees r e f e r r a l s can provide quite a large pool of potential organizational
members.

• Former Employees :Th es e are ano ther i n t ern al s ou rce o f

r e c r u i t m e n t . S o m e r e t i r e d employees may be willing to come back to
work.

• Prev i ou s Emp l oyees : Those who have previously applied for jobs can be
contacted by mail.

External sources - Data was collected from books, magazines, web sites, social networking
sites, going through the records of the organisation, etc. It is the data which has been collected by
individual or someone else for the purpose of selection of financial advisors. Or in other words
we can say that secondary data is the data used previously for the analysis and the results are
undertaken for the next process.

BASIC SELECTION CRIETERIA IN MAX LIFE INSURANCE CO. LTD.

The selection process of the firm is very tuff, & there are various parameters that to select a
candidate. The company uses 9 point criteria to select the candidates. These are based on various
factors such as age, sex, experience, maturity, etc.
From this model the company judges a prospective person. The company follows unique eligibility
criteria for Agent Advisors selection by which company is able is to always justify its mission.
The basic objective of having an eligibility model for selection is to have good retentionand greater
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effectiveness in the delivery of service.

According to this department when a candidate is selected he is not just an agent or an advisor,
He is called as a “Financial Advisor”. He/she once done is a vital asset for the company.

1. 25 plus years of age: This age shows attainment of maturity and responsibility. People are
more consistent in this age. A person is said to be mature at this point of age.

2. Married: Married people have more eager to earn money. Family pressures increase
responsibility and secondly customers are convinced more by the stability of a married Agent
Advisor.

3. Staying in the same city for more than 5 years: Person who stays more than 5 year has huge
natural market which helps him to get more business in short period. It also affects because he/she
may have a huge social group in the city.

4. 12th pass: 12th pass people have basic skills like communication skills, numerical ability, I.P
relation, convincing abilities etc. so it is easy to teach them further.

5. Financial stability: Max life insurance is focuses on classes and not on masses thus they select
strong agent advisors.

6. Greed for money: Firm selects advisors who understand the language of commission. Because
people who want fix amount as their earnings are not suitable for this business.

7. Independent: Max life insurance select people who want to be entrepreneur. Housewives or
brokers who want flexible hours for work are prospective person for this business.

8. Persuasion: He should be persuasive in nature because the Agent Advisor needs to follow up
on regular basis with prospective and new clients without being a nuisance value.
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 9. Excellent interpersonal skills: Because developing and maintaining good relations can get
policies. Secondly since most of the insurance companies provide similar products, sales depend
on the convincing ability of the Agent Advisor.

DESIRABLE CANDIDATES
1) Housewives.
2) Employees having VRS.
3) CA’s.
4) Mutual Fund Brokers.
5) NSC brokers.
6) Tax Consultants.
7) Businessman.
8) Doctors.
9) Travel agents.
10) Lawyers.
11) Diamond merchants
12) Social workers.

4. SELECTION PROCESS OF FINANCIAL ADVISORS IN MAX LIFEINSURANCE

Becoming an agent with MAX LIFE is a systematic process, which includes 4 steps. Take a
look:
Step 1: Screening interview
This is the first step. Here, we have a simple interaction to find out more about the person. More
than an interview, it is a getting to know each other exercise.

Step 2: Career seminar

In the second step, we discuss and make you conversant with the complete agent value
proposition. Step by step, we introduce you to your role and profile of a Max Life insurance
agent.

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 Step 3: Project evaluation and compensation review
At this stage, we help you decide whether insurance is the right career option for you. We
explain you our sales process, with the targets and other details and show you the clear picture of
our expectations.

Step 4: Career interview

The final step, this is the actual personal and final interview. After this step, you are just one step
away from a career full of opportunities in the insurance arena.

TRAINING

If we just talk about a company which has more than 2, 00,000 employees just as agents,
How big & tough is it going to be to design a training program for the firm?

A company that has more than 30 insurance plans & 8 riders, which customize & give more than
400 products, how is the training going to be?

The answer is simple the company has a very well planned & Established trainingprogram
that meets the requirement of each & every individual, that make the firm a strong & powerful
insurance company. A person who would like to join the company as an agent g o e s

under several training programs that go on for about a week, when an agent is on his job. The training
sessions are both off job & on job training, which gives the best Agent Advisors to the Industry.

We completely know that Max life does not have shops or agencies that sell insurance. The company
basically operates through its Head Office in New Delhi & other Regional offices across India. Hence
accordingly, the best & only way of company selling Insurance is by appointing agents and according
to the above listed programs it become difficult to train the employees. Hence the company has various
training programs that help the employees to get the best for the company Every new candidate that
joins Max life goes through a 1 week induction training. This training Program is called the NEO i.e.
New Employee Orientation.

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 1. INPUTS IN TRAINING
Any training and programme must contain inputs which enable the participants to
gain skills, learn theoretical concepts and help acquire vision to look into the distant future.
The inputs of training and development are as follows:

1) Skills
2) Education
3) Development
4) Ethics
5) Attitudinal Changes
6) Decision making and problem solving skills
1) Skills
Training is imparting skills to the employees. A worker needs skills to operate machines,
and use other equipments with least damage and scrap. This is basic skills without which
the operator will not function. There is also a need of motor skills or psychomotor skills
as they are refer to performance of specific physical activities. These skills involve
learning to move various parts of their body in response to certain external and internal
stimuli. Employees particularly like supervisors and executives, need interpersonal skills
mostly know as people skills. These skills helps a person understand oneself and others
better and act accordingly. Examples of interpersonal skills include listening.Persuading
and showing an understanding of others feelings.

2) Education

The purpose of education is to teach theoretical concepts and develop a sense of reasoning
and judgment. That any training and development program must contain an element of
education is well understood by the HR specialist.

In fact, sometimes, organizations depute or encourage employees to do courses on a part

time basis. Chief executive officers (CEO’s) are known to attend refresher course conducted

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in many Business schools. The late Manu Chabria, CMD, Shaw Wallace, attended such a
two month programme at the Harvard business school. Education is more important for
managers and executives than for lower - cadre workers.

Development

Another component of a training and programme is development which is less skill – oriented
but stress on knowledge. Knowledge about business environment, management principles
and techniques, human relations, specific industry analysis and the like is useful for better
management of a company. Development programme should help an employee to be a self-
starter, build sense of commitment, motivation, which should again helps him being self
generating. It should make their performance result oriented and help them in being more
efficient and effective. It should also help in making the employee sensitive towards the
environment that is his work place and outside. This programme should keep the employee
aware of him i.e. his potentials and his limitations. Help him see himself as others see him
and accept his self image as a prelude to change. It helps teach an individual to
communicate without filters, to seeand feel points of view different from their own. Also helps
them understand the powers in their hands and thereby develop leadership styles which
inspire and motivate others. And finally helps install a zest for excellence, a divine discontent,
a nagging dissatisfaction with the status quo.

Ethics

There is a need for imparting greater ethical orientation to a training and development
programme. There is no denial of the fact that ethics are largely ignored in businesses. They
are less seen and talked about in the personnel function this does not mean that the HR
manager is absolved if the responsibility. If the production, finance or marketing personnel
indulge in unethical practices the fault rest on the HR manager. It is his/her duty to enlighten
all the employees in the organization about the need for ethicalbehavior.

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Attitudinal Changes

Attitudinal represents feelings and beliefs an individual towards others.

Attitudes affect motivation, satisfaction and job commitment. Negative
attitudes needs to be converted into positive attitudes. Changing negative
attitudes is difficult because of

(1) Employees refuse to change

(2) They have prior commitments and
(3) Information needed to change attitudes may not be sufficient.
Attitude must be changed so that the employee feels committed to the
organization and give better performance.

Decision making and problem solving skills

Decision making and problem solving skill focus on methods and techniques
for making organizational decision and solve work related problems.
Learning related to decision making and problem solving skills seeks to
improve trainee’s abilities to define and structure problems, collect and
analysis information, generate alternatives. Training of this type is typically
provided to potential managers, supervisors and professionals.

IMPORTANCE OF TRAINING

There are many benefits of Training and to the organization as well

as employee. Wehave categorized as under:

1. Benefits for the organization

2. Benefits for the individual

3. Benefits for personnel and human relation, intra group and internal
group relation andpolicy implementation.

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Benefits for the organization

a) Improves communication between group and individuals.

b) Aid in orientation of new employee and those taking new job through
transfer or promotion.

c) Provides information on equal opportunities and affirmative action.

d) Provides information on other government laws and administration policies.

e) Improve interpersonal skills.

f) Makes organizational policies, rules and regulations viable.

g) Builds cohesiveness in group.

h) Provides a good climate for learning, growth and coordination.

i) Makes the organization a better place to work and live.

Benefits for the individual

j) Helps and individual in making better decision and effective problem solving.

k) Through training and development, motivational variables of

recognition achievement, growth, responsibility and advancement are
internalized andoperationalised.

l) Aid in encouraging and achieving self–development and self confidence.

m)Helps a person handle stress, tension, frustration and conflict.

n) Provides information for improving leadership, knowledge,

communication skills and attitudes.

o)Increases job satisfaction and recognition.

p) Moves a person towards personal goals while improving interactive skills.

q) Satisfies personal needs of a trainee.

r) Provides the trainee an avenue for growth in his or her future.

s)Develops a sense of learning.

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CHAPTER – 4

SUMMARY AND CONCLUSIONS

A. Findings/Results

Based on the work done in the company major findings of the study
have been highlightedbelow….

The success rate of calling is 5/10 for inviting people to the branch

Many people hesitate on the first instance to visit the office and tend to
misinterpret it with an agent’s job.

The screening and documentation process certainly does not guarantee thatthe
prospective will be joining office.

Many prospective candidates tend to leave in between the training period or

immediately after the office without contributing significantly to the business.

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LESSON LEARNT

My experience with MAX LIFE will always be grateful for me. I have learned
many things. Thevery first thing I learned in MAX LIFE is to handle objections
from the customers. Different types of scripts of MAX LIFE helped me in this.

I am thankful to my manager who was always behind me to support during

initial calls andhelped me in completing my training.

My telephonic conversation with the prospect always gave me a positive direction

to build myconfidence and even in bad phase of response, I learnt the art of
making calmness. All the trainees from different background also remained a
source of energy for my daily activities.
To convince a person to become an agent of any life insurance company is a very
tough job, because after opening up of the insurance sector the agent force of LIC
has created a mess in themarket, by paying the first premium of client from their
own pocket. This type of activities demoralizes people from becoming the agent
of a life insurance company. Out of the data provided by the company as well as
from my own sources. Generally people declined to becomefinancial advisor due
to reasons which are as follows:
According to them, its not a prestigious job as they belong to good families
(interms of money).

According to them, LIC has a strong monopoly in the insurance market and
nobodyis going to break it, so it is a time wastage to become an insurance agent
for Max life.

They thought that instead of spending their time on Max life, they should go for
LIC,which is more beneficial.

Since they are not ready to become an insurance agent but when I explained
about the Max India and about max Life that it is the second largest insurance
company in theworld and has a good market, goodwill with ethics.

Whenever I met a person and talked about Max life, the person told me that he
already has a life insurance policy from LIC. In almost 80% cases I found such
answers.
Lastly I would like to conclude my report with a wish that all the employees of
Max Life willremember me for days to come and with all due respect, I would
like to thank again Mr. UmaShankar, Senior Agency Development Manager

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for giving me an opportunity to serve the company and giving me days which
have been the most learning for me.

SUGGESTIONS
Max Life as an insurance firm has a very strong presence in India and is rapidly
expanding itsoperations in India. After working on this project, I feel that
following are some of the ways in which the company can improve the current
market base and selection procedure, the key revenue generating resource for the
company :-
➢ Advertising of the insurance product should stress on the need of security.

➢ Insurance should be popularized as the means of securing future

rather than savingtax.

➢ New entrants should come out with innovative riders.

➢ Policies should be issued quickly and with fewer formalities.

➢ Other services should also be improved.

➢ Newspaper/Magazines and television are the most effective medium

of advertising lifeinsurance.

➢ Insurance agents should be well trained.

➢ Training fees should be less.

➢ Highlight the core strengths of the company like very old firm in
the insurance sector,highest paid up capital etc.

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 CONCLUSION
In this market, competitive edge provided by product innovation can sustain only
for a couple ofmonths, since products can easily be cloned. Hence “Selection &
Training ” is one of the important process through which an insurer can have an
EDGE over other competitor.
The project has various facets and the tenure in my SIP has been the best part in my
life as there were moments of happiness, sorrow and stress. At the end, the winner
is “True Manager” and one who has control on his emotions. I have learned to live
the hard way and I came to knowmy strength and weaknesses. It was really valuable
for me as I got a project, which could test myskills in various areas, and this helped
me a lot to decide the field I am most confident and successful.

The Indian Insurance Industry has suddenly witnessed a major boom. Being a
globalize market, the customer seeks and demand world-class products. In global
market, everything is bench marked and compared. The market for Insurance
business is found vast. So, the study on life insurance business with the reference to
quality becomes more important, this quality-based strategy called as ‘service
sigma’. Six Sigma is a management philosophy. It is a customer based approach
realizing the defects are expensive. It is considered to be a way or path to achieve
strategic business results. Fewer defects in the operation mean lower costs and
improved customer loyalty. It is not a single activity, it is a continuous process.
Potential policyholders are in a very good number. And their needs and requirements
are not identical.

The market share of life insurance business is comparatively superior to general

insurance business. Free markets and globalization have increased competition in
the changed scenario; lifeinsurance business has to reengineer its approaches and
strategies on quality basis.

So, the project revolves round the above-mentioned approach with a right kind
of mix oftechnical and marketing aspects of life insurance industry.

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