Table of Contents

 Summer Internship Report…………………………………………….1

 Internship Certificate………………………………………………….2
 Acknowledgement…………………………………………………….4
 Preface…………………………………………………………………5
 Chapter 1
Industry Profile………………………………………………………... 6-7
 Chapter 2
 Organization’s Profile…………………………………………...8-11
 Chapter 3
 Introduction to Insurance sector…………………………………12-14
 Chapter 4
 Introduction to Life Insurance sector…………………………….15-17
 Research Methodology…………………………………………..18-19
 Data Analysis and Data Interpretation……………………….,…20-37
 Conclusion………………………………………………………..37
 Suggestions and Recommendations………………………………38
 Bibliography………………………………………………………39

1
A study on the perception of Investors Investing in Life Insurance

2
CHAPTER – 1

INDUSTRY PROFILE

India has a large and diverse financial industry, and a large number of firms are interested in
doing business in India. Insurance has a very old history in India. The modern concept of
Insurance in India started with the establishment of East India Co in 18 th century. Some
insurance companies from Great Britain started insuring Britishers working in India. First
Insurance Company which was established in Calcutta in 1818 was the Oriental Life Insurance
Company. In 1823, Bombay Life Insurance started its business by insuring lives for 2-3 years.

3
Life insurance and non-life insurance are the two main divisions of the Indian insurance market.
General Insurance is another name for the non-life insurance market. Both the Life Insurance and
the Non-life Insurance is governed by the IRDAI (Insurance Regulatory and Development
Authority of India). There are 58 insurance companies in India's insurance sector, of which 24
provide life insurance and 34 provide general insurance. Over the past 20 years, this industry has
experienced an exceptional growth rate. In the case of insurance, the insurer or the insurance
business provides financial security and compensates the victim for their losses.

India's insurance industry contributes significantly to the health of the country's economy. It
greatly expands people's options to save money, protects their future, and aids the insurance
industry in building up a sizable fund reserve. Companies that provide risk management through
insurance contracts make up the insurance sector. The fundamental idea behind insurance is that
one party—the insurer—will make a financial commitment to cover a future event that is
uncertain.

The role of IRDA is to thoroughly monitor the entire insurance sector in India and also act like a
custodian of all the insurance consumer rights. This is the reason all the insurers have to abide by
the rules and regulations of the IRDAI.

Insurance is viewed as a slow-growing, secure industry by investors. When compared to other

financial industries, this view may not be as widespread as it was in the 1970s and 1980s, but it
is still usually accurate.

In general, life insurance firms issue policies that, in the event of the insured's death, pay a death
benefit in the form of a lump payment. Permanent life insurance is more expensive but lasts a
lifetime and has a cash accumulation. Term life insurance is less expensive but expires at the end
of the term. The insurance industry in India will experience significant development as a result of
certain demographic characteristics, including rising insurance awareness, retirement planning, a
growing middle class, and a young population that is eligible for insurance.

For the next three to five years, the country's life insurance market is anticipated to grow by 14 to
15% each year. IOT continues to have applications outside of telematics and consumer risk
assessment in the Indian insurance business. There are already more than 110+ InsurTech
startups in India. These firms are anticipated to give the sector a significant boost and contribute
to a rise in insurance penetration in India, which is essential to the nation's overall development.
Through a number of laws and programmes, the Indian government has in the past significantly
contributed to expanding the insurance sector's reach. These programmes combined with
demographic factors unique to India, including a developing middle class, a young, insurable
population, and a growing awareness of the need.

4
CHAPTER 2
Company Profile

THE LEADING SOLUTIONS

The Leading Solutions is the one stop solution provider for all the financial needs. Its main goal
is to provide consumers with the finest option for managing their money in the most
advantageous way.

TLS is one of the developing consulting firm in India. At TLS, high-end and HNI clients can get
a wide range of administrative services. They assist all of the procedures necessary to manage
customer funds and make future and current plans for the needs of the customer's family and
themselves.

The company offers clients services in taxation, accounting recruitment, and consulting in
addition to portfolio management.

5
Mission

To build a world-class company through excellent and sensible financial structures

supported by keen research and a strong team. These arrangements are provided by
experts who are aware of the unique desires of each client.

Vision

Their goal is to improve investors' perceptions by encouraging them to make diversified

investing decisions instead of the more conventional ones. In this dynamic economy, it is always
better to diversify the funds. TLS focuses on the fundamental mindset of investors and aims to
shift their focus from a traditional to a modern mindset by giving them more investment options.
to maintain a consistent level of commitment for each client while increasing the industry's share
each year Additionally, make sure they develop into every customer's most profitable resource.

6
Services offered by TLS
 Services for Consulting
 Accounting Services
 Taxation Services
 Portfolio Administration
 Recruitment Services

My Roles and Duties in TLS

I began my internship on June 6, 2022 and we conducted it entirely online through Google
workplace platform. On the first day HR Manager of the company gave us a brief about the
company and what will be our roles and responsibilities. The first module was the Learning
Module about the key concepts of financial services like financial products, taxation services and
some basics of human resource management etc.

In the second module, which was the crucial part was to bring in the clients in the organization.
We were assigned with a financial product which we need to introduce to our customers and
make them to invest in the same. We need to send a Daily Sales Report to our Respective Project
Manager about the daily performance.

In the third module we need to submit the PowerPoint presentation and a Research Paper on the
assigned topics so that we can successfully complete our Internship.

SWOT Analysis

7
STRENGTHS: -
 THE LEADING SOLUTIONS provides comprehensive financial solutions from a single
source, including advisory services ranging from equity research to retirement plans.
 They have a great deal of experience researching any industry.
 They deal with various financial products to meet everyone’s financial needs.

WEAKNESS: -
 Employee strength prevents them from taking on large tasks because the organization’s
industry is extremely competitive.
 There are very few promotions available at TLS.
 They have a small client base because they are new to industry.

OPPURTUNITIES: -
 There is a large pool of potential clients in this industry. Their clientele will only grow as
their numbers rise day by day.
 TLS provides investment in various financial products, demonstrating they have the
resources to address all aspects.
 This industry is expected to increase in the near future.
.

8
THREATS: -
 Existing businesses have a well-known brand and a sizeable market share; they operate in
an industry where entry is simple but market survival is difficult.
 Competitors have a large customer base and a significant amount of cash on hand.
 Fraud and Swindle Threats.

CHAPTER 3
INTRODUCTION TO INSURANCE SECTOR

Indian Insurance Industry

9
 The growth and development of insurance industry is altogether contributed to the economic
development of the nation. Basically, insurance sector plays a crucial role in promotion or
enhancement of investment, savings, stabilizing the financial market, financial intermediaries
and risk manager and an agent for allocating or distributing capital sources. Despite the fact that
general insurance in India dates back roughly 150 years, its growth has been slow, as seen by its
low penetration and density. A few components are responsible for this; the chief is being the
monopoly status of the industry till as of late.

The life insurance sector has nationalized in 1956 and the general insurance industry in 1973. In
India, the insurance business has been unable to expand and advance due to a lack of
competition, which has resulted in low productivity and poor service. The liberalization,
globalization and privatization have taken put in India in early 1990s. The insurance sector has
opened up for the private sector in 1999 because of the new economic policy.

The new competitive environment is expected to supply expansive benefits to the industry,
consumers and the economy. The consumer will have more options in terms of product quality
and quantity, affordable premium rates, and effective after-sales services, while the economy
will benefit from increased investment funds, increased funding options for long-term projects,
increased productivity, and the development of multiple debt instruments.

RECENT DEVELOPMENTS
1. Insurance Regulatory and Development Authority of India allowed insurers to invest debt
securities of Infrastructure Trusts and Real Estate Investment Trust this is expected to
provide more investment options for the country’s emerging start up ecosystem.

10
 2. The Union Cabinet approved an investment of Rs 6000 crore in businesses in September
2021, providing export insurance coverage to support further exports worth Rs 5.6 lakh
crore over the following five years.
3. To strengthen the general financial health of the companies, the Finance Ministry
declared in February 2021 that it will inject Rs. 3000 crores into state-owned general
insurance companies.
4. The purchase of Exide Life Insurance's whole share capital by HDFC Life Insurance was
given approval by the Indian Competition Commission in November 2021. The action is
thought to improve HDFC Life's standing in South India.
5. With a 10.11% increase over the previous year, LIC generated a record first year
premium income of Rs. 56,406 crores under the Individual Assurance business in FY21.
6. LIC Housing Finance announced intentions in June 2021 to raise Rs 2334.69 crore by
issuing preferred equity shares to the Life Insurance Corporation of India.
7. On July 1, 2021, the LIC launched its Saral Pension Scheme, a single-premium, non-
linked, individual instant annuity plan.
8. Aditya Birla Sun Life Insurance announced the introduction of a new vision Life Income
Plus Plan in June 2021. This plan will provide members with guaranteed regular income
as well as adjustable bonus payouts.

GOVERNMENT INITIATIVES
1. The Indian government intends to sell its 7% ownership of LIC in 2022 for a price of Rs.
50,000 crore ($6.62 billion). The size of this initial public offering (IPO) in India is the
largest.
2. The Indian government and the World Bank agreed a contract in November 2021 for a
$40 million initiative to improve Meghalaya's health services, including its health
insurance scheme.
3. In September 2021, the Union Cabinet authorized an investment of Rs. 6,000 crore (US$
804.71 million) in companies that provide export insurance coverage in order to promote
further exports of Rs. 5.6 lakh crore (US$ 75.11 billion) over the following five years.
4. The General Insurance Business (Nationalization) Amendment Bill was approved by the
Parliament in August 2021. The purpose of the measure is to allow state-run general
insurance businesses to be privatized.
5. The FDI cap in insurance was raised by Union Budget 2021 from 49% to 74%. The issue
of digital insurance policies by insurance companies using Digi locker has been
announced by India's Insurance Regulatory and Development Authority (IRDAI).
6. As part of the banking and insurance industry consolidation outlined in the Union Budget
2021, Finance Minister Ms. Nirmala Sitharaman declared that the initial public offering
(IPO) of LIC would take place in FY22. Although LIC's IPO has not yet undergone an
official market assessment, it has the potential to raise Rs. 1 lakh crore (US$ 13.62
billion).

11
 Road Ahead

CHAPTER 4

INTRODUCTION TO LIFE INSURANCE

INTRODUCTION TO LIFE INSURANCE

12
A contract for life insurance is made between the insured and the insurer. It is also referred to as
Life Assurance on occasion. Life insurance contracts are stipulated by the law. In the event of
death, disfigurement, an accident, retirement, future demands, etc., it offers financial protection.
Thus, life insurance contributes to the family's financial stability after their passing. When
buying a life insurance policy, they either pay the insurer in one lump sum or on a regular basis.
They are referred to as premiums.

Definition: - An insurance policy holder and an insurer or assurer enter into a contract for life
insurance under which the insurer agrees to pay a specified beneficiary a certain amount of
money in exchange for a premium in the event that the insured person passes away.

The goal of life insurance is to provide financial security to the remaining dependents after the
death of an insured. Before acquiring a life insurance policy, it is crucial for applicants to assess
their financial condition and determine the level of living needed for their surviving dependents.
Agents or brokers that specialize in life insurance are essential in identifying needs and
determining the kind of life insurance that will best meet those needs.

Tax Advantages associated with Life Insurance Policies:

 Life insurance provides tax advantages in addition to ensuring the family's well-being.
 The premium payment you make can be subtracted from your overall taxable income.
 However, Section 80C of the Income Tax Act limits this to a total of Rs. 1.5 lakh.
 The premium amount used for tax deduction should not exceed 10% of the sum assured.

13
Types of Life Insurance Policies

1. Whole Life Policies

It is the most permanent life insurance policy with a fixed premium. It has a savings
element which earns cash value, but at the same time, the policy holders have not
controlled the investment. It covers against death irrespective of when it happens. The
policy holder has to pay premiums regularly till his/ her death, following that the money
is given to his/ her family.

2. Endowment Life Insurance Policy

The endowment policy provides benefits to the policy holders during their lifetime. The
life protection is the secondary importance of this policy. This endowment policy covers
risks only for particular period. After a specific period of time, the maturity amount will
be given to the policy holders along with interest and bonus. The endowment policies are
the most popular policies in the insurance world which combines both savings and risks.
The sum assured is payable even if the insured survives the policy term. If the insured
dies during the tenure of the policy, the insurance company has to pay the sum assured
just as any other pure risk cover. The insurers offer additional benefits namely double
endowment and education/ marriage endowment plans.

3. Term Life Insurance

Term life insurance policy protects the policy holder against the risk for the selected
terms of period. This is aimed to meet the financial need of the people who cannot pay
big amount of premium initially for their endowment or whole life insurance policies.
The premium amount has to be paid within grace period; otherwise, the policy goes to an
end.

4. Joint Life Insurance

As the name suggests, this type of policy is taken jointly by more than one person. In the
event of death of any one, the sum assured is paid to the survivor. If all the joint holders
of policy survive, the sum assured will be paid on date of maturity.

5. Money Back Plans

In these policies, the periodic payments of partial survival benefits is paid, In case of
death during the policy period, the full amount of sum assured plus bonus is paid to the
nominee. It means no deduction is made for periodic payments made.

6. Group Insurance Policy

Group Insurance Policy can be taken by an employer for his employees or by association
for its member. Only one policy is issued in the name of the group.

14
 7. Children Endowment policy
The greatest policy for preparing for children's financial requirements in future marriage
and school is the Children's Endowment Policy. Endowment to 18 or Endowment to 24
are the two varieties available.

8. Unit Linked Plans

Unit linked plan is life insurance solution rather that gives the benefits of safeguard and
elasticity in investments. The investments are shown as units and their Net Assets Value
serves as a representation of their Net Asset value (NAV). Depending on the value of the
fundamental assets, the policy value can change at any time. The unit-linked plan offers a
number of advantages, including investing and saving opportunities, flexibility, life
protection, flexible life coverage, disability, transparency, surgeries, severe sickness, and
liquid tax planning.

9. Annuity Policy
In Insurance, an annuity means a predetermined periodic payout to the insured until the
death of that person. The periodic payment may be on monthly, quarterly, half yearly or
annually basis. In this type of policy, lump-sum amount is not paid. The annuity plans
may also be offered in which periodic payments are to be made for specific number of
years.

Life Insurance Companies in India

In India, both public and private sector are in operation in the field of life insurance.

I. Public Sector
Life Insurance Corporation of India
II. Private Sector
 HDFC Standard Life Insurance Co. Ltd
 Max New York Life Insurance Co. Ltd
 ICICI-Prudential Life Insurance Co. Ltd
 Om Kotak Life Insurance Co. Ltd
 Birla Sun Life Insurance Co. Ltd
 Tata-AIG Life Insurance Co. Ltd
 SBI Life Insurance Co. Ltd
 ING Vysya Life Insurance Co. Ltd
 Allianz Bajaj Life Insurance Co. Ltd
 MetLife India Insurance Co. Ltd
 Reliance Life Insurance Co. Ltd
 AVIVA
 Sahara Life Insurance Co

15
  Shriram Life Insurance Co. Ltd
 Bharti AXA Life Insurance Co. Ltd
 Future General India Life Insurance Company Ltd
 IDBI Fortis Life Insurance Company Ltd
 Canara HSBC OBC Life Insurance Company Ltd
 Aegon Relegate Life Insurance Company Ltd
 DLF Pramerica Life Insurance Co. Ltd
 Star Union Daichi Life
 India First Life Insurance Company Limited

Objectives of Study
1. To know the overall perception of Investors for various parameters regarding Life
Insurance.
2. To study the significant difference for various demographics regarding perception of
Investors toward Life Insurance.
Hypothesis of Study

On the basis of 2nd objective of the study given below hypothesis has been formulated:

H0: There is no significant difference in the perceptions of investors towards life insurance
on the basis of various categories of demographics().

Research Methodology
The Research design is a conceptual structure within which the research is conducted. It
constitutes the blueprint for the Collection, Measurement and Analysis of data. The research's
technique will determine its success to a large extent. The appropriate methodology will improve
the validity of the findings.

Type of Research
Descriptive Research

Different types of survey and fact findings are included in descriptive research. The primary goal
of descriptive research is to describe the current state of circumstances. As it will describe facts
and other characteristics associated with Investors perception towards life insurance.

This study is descriptive in nature where the data was collected through a well-structured
Questionnaire and Interview.

Sample Size - A sample size of 72 Investors was selected for the purpose of study.

Sampling Procedure:
16
The Convenience Sampling method has been used in the current study. The sample has been
drawn from that part of the population that is close to hand. A Questionnaire was distributed to
them in order to gather information on the investor’s perception towards life insurance. The
responses were carried using 5 point Likert scale ranging from strongly agree to strongly
disagree.

Statistical Tools Employed:

Jamovi was the statistical software used to analyze the data in the current study. Jamovi was used
to validate the data collected from respondents.

The tools used in the study are

 Percentage Analysis
 T- test
 ANOVA Test

Data Collection Method

There have been two sources of information for the collection of data:

I. Primary Data
A questionnaire was used to collect primary data. Data was collected through forms from
various investors dealing in Investment. The company provided us with an opportunity
of working in our regional markets, but due to time and budget constraints we were only
able to survey 72 investors.
II. Secondary Data
Secondary data were gathered from newspapers, business magazines, journals and IRDAI
website.

Thus, combining primary and secondary data study enabled me to reach valuable
conclusions.

Limitations
Every attempt has been taken to make this project error free and obtain meaningful results but no
study is flawless or inclusive of all possible aspects. I believe that there will be chances for error
on account of following limitations-:

1. There may be errors due to biasness of respondents.

2. Representatives of the sample are not guaranteed as we’ve used Convenience
Sampling.
3. Due to lack of time and non-availability of respondent the sample of the investors
may not represent the whole universe and we cannot draw inferences about the
whole population on the basis of small sample.

17
DATA ANALYSIS & DATA INTERPRETATION
Table 1: Classification on the basis of their Gender

Gender Counts % Of Total

Male 35 48.6 %
Female 37 51.4 %
The above table makes it clear that 35 (48.6%) of the total respondents are male. 37
respondents or 51.4% are female.

Table 2: Classification of the Respondents on the basis of Marital Status

Marital Status Counts % Of Total

Married 41 56.9 %
Unmarried 31 43.1 %
The above table signifies that 41 or 56.9% are married and 31 (43.1%) are
unmarried out of the total respondents. Therefore, it is concluded that, Majority 56.9% of the
samples are Married.

Table 3: Classification on the basis of Place of Residence

Place of residence Counts % Of Total

Rural 29 40.3 %
Urban 43 59.7 %
According to the above table, 29 (40.3%) are Rural people where as 43 or
59.7% are Urban people from the total respondents. Therefore, it is concluded that Majority of
the respondents are from Urban Area.

18
Table 4: Classification on the basis of Age Group

Age Group Counts % Of Total

18 – 30 years 30 41.7 %
31 – 40 years 17 23.6 %
41 & above 25 34.7 %
According to this table, 30 (41.7%) of the 72 respondents are between the ages
of 18 to 30 years old. 17 respondents are between the ages of 31 to 40 years. 25 respondents are
of above 41 years. Thus, it signifies that majority of the respondents are young.

Table 5: Classification of the Respondents on the basis of Education Qualification

Educational Qualification Counts % of Total

Graduation 37 51.4 %
Post-Graduation 35 48.6 %
According to this table, 37 (51.4%) respondents are Graduates whereas 35 are
Postgraduates from 72 respondents.

Table 6: Classification on the basis of Occupation

Occupation Counts % of Total

Student 24 33.3 %
Service 23 31.9 %
Self Employed 25 34.7 %
This table states that 24 (33.3%) respondents are student, 23 (31.9%)
respondents are from service class and 25 respondents are of self employed out of the total
respondents.

19
Table 7: Classification of the Respondents on the basis of Annual Income

Annual Income Counts % Of Total

Below 1 Lac 22 30.6 %
1 Lac – 5 Lac 22 30.6 %
5 Lac – 10 Lac 18 25.0 %
Above 10 Lac 10 13.9 %
The above table states that 22 of the respondents belong to below 1 Lac
Income class, 22 respondents belong to 1 Lac to 5 Lac, 18 are from 5 Lac to 10 Lac and 10
respondents belong to above 10 Lac.

Table 8: Classification on the basis of What Percentage of Monthly Salary do you

save

What Percentage of Monthly Salary do you save Counts % Of Total

Up to 10 % 20 27.8 %
11 – 20 % 15 20.8 %
21 – 30 % 22 30.6 %
Above 30% 15 20.8 %
According to this table, 27.8% or 20 respondents save up to 10% of the
salary, 15 respondents save between 11 to 20%, 22 respondents save salary between 21 to 30%
and remaining out of 72 respondents saves above 30%.

Table 9: Classification of the Respondents on the basis of What Kind of

Investment do you prefer?

What Kind of Investment do you prefer? Counts % Of Total

Short Term 22 30.6 %
Long Term 24 33.3 %
Both 26 36.1 %

20
 This table reflects the preference of respondents towards short term as
well as long term investments. 22 respondents prefer short term investments, 24 respondents
prefer long term investments and 26 out of 72 respondents prefer both short term and long-term
investments.

Table 10: Impact of Gender on the perception of investors towards Life Insurance

Statements Mean T-test Decision

Male Female
Provide services on
1.26 1.57 0.884 Accepted
time.
Provide satisfactory
1.57 1.59 0.016 Rejected
services.
Agent is well informed
1.31 1.57 0.173 Accepted
about policies.
Agent responds
1.43 1.81 0.917 Accepted
promptly.
Cooperative and
1.46 1.84 0.388 Accepted
friendly agent.
Proper reminder of
1.71 1.89 0.023 Rejected
installment by agent.
Benefits are met by
1.63 1.65 0.041 Rejected
policy.
Employees responsible
1.49 1.78 0.119 Accepted
towards customers.
Provides claim on time. 1.60 1.78 0.397 Accepted
Settlement of claim easy
1.57 1.76 0.388 Accepted
on timely.
Satisfy with
relationship to 1.69 1.81 0.469 Accepted
company.
Company able to fulfil
1.54 1.84 0.110 Accepted
expectation.
Investment in Life
Insurance is more
1.80 2.11 0.193 Accepted
secure than Stock
Market.

21
Understand Customer’s
1.69 2.03 0.093 Accepted
financial needs.
Agent friendly nature
and their 1.60 1.92 0.159 Accepted
cooperativeness.

INTERPRETATION - The table 9 demonstrated the gender impact on the various parameters
for customer’s perception regarding Life Insurance. It has been found that out of 15 parameters
(statements) only 3 parameters that have rejected decision, which indicated that there is a
significant difference between the male and female perception regarding the life insurance .

Table 10: Impact of Marital Status on the perception of investors towards Life
Insurance

Statements Mean T-test Decision

Married Unmarried
Provide services on
1.37 1.48 0.702 Accepted
time.
Provide satisfactory
1.61 1.55 0.371 Accepted
services.
Agent is well informed
1.54 1.32 0.255 Accepted
about policies.
Agent responds
1.73 1.48 0.04 5 Rejected
promptly.
Cooperative and
1.68 1.61 0.994 Accepted
friendly agent.
Proper reminder of
1.80 1.81 0.684 Accepted
installment by agent.
Benefits are met by
1.80 1.42 0.192 Accepted
policy.
Employees responsible
1.63 1.65 0.955 Accepted
towards customers.
Provides claim on time. 1.85 1.48 0.089 Accepted
Settlement of claim easy
1.83 1.45 0.079 Accepted
on timely.
Satisfy with 1.71 1.81 0.570 Accepted

22
relationship to
company.
Company able to fulfil Accepted
1.76 1.61 0.445
expectation.
Investment in Life Accepted
Insurance is more
1.83 2.13 0.210
secure than Stock
Market.
Understand Customer’s Accepted
1.90 1.81 0.643
financial needs.
Agent friendly nature Accepted
and their 1.88 1.61 0.247
cooperativeness.

INTERPRETATION - The table 10 demonstrated the marital status impact on the various
parameters for customer’s perception regarding Life Insurance. It has been found that out of 15
parameters only 1 parameter that have rejected decision indicated that there is a significant
difference between the married and unmarried status of the respondent’s perception regarding the
life insurance.

Table 11: Impact of Place of Residence on the perception of investors towards

Life Insurance

Statements Mean T-test Decision

Rural Urban
Provide services on
1.41 1.42 0.032 Rejected
time.
Provide satisfactory
1.38 1.72 0.971 Accepted
services.
Agent is well informed
1.45 1.44 0.973 Accepted
about policies.
Agent responds
1.48 1.72 0.181 Accepted
promptly.
Cooperative and
1.45 1.79 0.861 Accepted
friendly agent.
Proper reminder of
1.83 1.79 0.046 Rejected
installment by agent.
Benefits are met by
1.48 1.74 0.215 Accepted
policy.

23
Employees responsible
1.59 1.67 0.654 Accepted
towards customers.
Provides claim on time. 1.66 1.72 0.767 Accepted
Settlement of claim easy
1.66 1.67 0.930 Accepted
on timely.
Satisfy with
relationship to 1.83 1.70 0.461 Accepted
company.
Company able to fulfil
1.52 1.81 0.114 Accepted
expectation.
Investment in Life
Insurance is more
2.17 1.81 0.136 Accepted
secure than Stock
Market.
Understand Customer’s
1.90 1.84 0.776 Accepted
financial needs.
Agent friendly nature
and their 1.83 1.72 0.646 Accepted
cooperativeness.

INTERPRETATION - The table 11 demonstrated the Place of Residence impact on the various
parameters for customer’s perception regarding Life Insurance. It has been found that out of 15
parameters only 2 parameters that have rejected decision indicated that there is a significant
difference between the rural and urban residence of the respondent’s perception regarding the
life insurance.

Table 12: Impact of Education Qualification on the perception of investors

towards Life Insurance

Statements Mean T-test Decision

Graduate Post
Graduate
Provide services on
1.35 1.49 0.579 Accepted
time.
Provide satisfactory
1.54 1.63 0.304 Accepted
services.
Agent is well informed
1.43 1.46 0.895 Accepted
about policies.

24
Agent responds
1.73 1.51 0.637 Accepted
promptly.
Cooperative and Accepted
1.78 1.51 0.958
friendly agent.
Proper reminder of Accepted
1.81 1.80 0.111
installment by agent.
Benefits are met by Accepted
1.59 1.69 0.253
policy.
Employees responsible Accepted
1.59 1.69 0.637
towards customers.
Provides claim on time. 1.68 1.71 0.859 Accepted
Settlement of claim easy Accepted
1.62 1.71 0.667
on timely.
Satisfy with Accepted
relationship to 1.76 1.74 0.936
company.
Company able to fulfil Accepted
1.73 1.66 0.696
expectation.
Investment in Life Accepted
Insurance is more
1.86 2.06 0.418
secure than Stock
Market.
Understand Customer’s Accepted
1.95 1.77 0.394
financial needs.
Agent friendly nature Accepted
and their 1.86 1.66 0.361
cooperativeness.

INTERPRETATION - The table 12 demonstrated the Educational Qualification impact on

the various parameters for customer’s perception regarding Life Insurance. It has been found that
all of 15 parameters have accepted decision indicated that there is no significant difference
between the graduates and postgraduates’ qualification of the respondent’s perception regarding
the life insurance.

Table 13: Test for Equality of Variance, Welch, ANOVA and Mean of Age Group

S. No. Statements Mean Levene

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 18 – 31 – 41 & Welch ANOVA
30 40 above
years years
1 Provide services
1.43 1.53 1.32 0.122 0.476
on time.
2 Provide
satisfactory 1.53 1.59 1.64 0.786 0.843
services.
3 Agent is well
informed about 1.30 1.94 1.28 0.003 0.113
policies.
4 Agent responds
1.43 1.94 1.64 0.848 0.108
promptly.
5 Cooperative and
1.57 1.76 1.68 0.961 0.648
friendly agent.
6 Proper reminder
of instalments by 1.77 2.06 1.68 0.900 0.366
agent.
7 Benefits are met
1.47 1.76 1.76 0.211 0.317
by policy.
8 Employees
responsible
1.67 1.82 1.48 0.635 0.396
towards
customers.
9 Provides claim
1.53 1.88 1.76 0.603 0.416
on time.
10 Settlement of
claim easy on 1.53 1.76 1.76 0.577 0.578
timely.
11 Satisfy with
relationship to 1.80 1.94 1.56 0.598 0.222
company.
12 Company able to
fulfil 1.63 1.76 1.72 0.250 0.844
expectation.
13 Investment in
Life Insurance is
2.13 2.12 1.64 0.069 0.143
more secure
than Stock
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 Market.

14 Understand
Customer’s 1.77 2.24 1.72 0.039 0.187
financial needs.
15 Agent friendly
nature and their 1.60 2.12 1.72 0.317 0.198
cooperativeness.

INTERPRETATION - The table 13 demonstrated the impact of age on various parameters. It

has been resulted from the Levene’s test for equality of variance that parameters 3 and 14 have
its p-value less than 0.05. So, it has been assumed that there is significant difference regarding
these parameters. So, here on these parameters Welch (equal variance not assumed) has been
applied. For other parameters it has been assumed that value is greater than 0.05. So, Fisher test
(equal variance assumed) has been applied. Further after the application of the Welch and
ANOVA and then viewing its p-value.

Table 14: Test for Equality of Variance, Welch, ANOVA and Mean of
Occupation

Statements Mean
S.
Student Service Self Levene Welch ANOVA
No.
Employed
1 Provide services
1.46 1.65 1.16 < .001 0.005
on time.
2 Provide
satisfactory 1.58 1.87 1.32 0.120 0.015
services.
3 Agent is well
informed about 1.38 1.65 1.32 0.157 0.301
policies.
4 Agent responds
1.33 2.09 1.48 0.661 0.002
promptly.
5 Cooperative
and friendly 1.58 1.87 1.52 0.380 0.204
agent.

27
6 Proper
reminder of
1.88 1.96 1.60 0.119 0.327
installment by
agent.
7 Benefits are met
1.54 1.96 1.44 0.162 0.066
by policy.
8 Employees
responsible
1.75 1.91 1.28 0.012 0.006
towards
customers.
9 Provides claim
1.63 1.96 1.52 0.125 0.232
on time.
10 Settlement of
claim easy on 1.67 1.96 1.40 0.027 0.064
timely.
11 Satisfy with
relationship to 1.88 1.91 1.48 0.929 0.068
company.
12 Company able
to fulfil 1.75 1.96 1.40 0.011 0.014
expectation.
13 Investment in
Life Insurance
is more secure 2.17 2.22 1.52 < .001 0.007
than Stock
Market.
14 Understand
Customer’s 1.96 2.13 1.52 0.931 0.037
financial needs.
15 Agent friendly
nature and
1.67 2.17 1.48 0.561 0.033
their
cooperativeness.

INTERPRETATION - The table 14 demonstrated the impact of Occupation on various

parameters. It has been resulted from the Levene’s test for equality of variance that parameters 1,
8, 10, 12 and 13 have its p-value less than 0.05. So, it has been assumed that there is significant
difference regarding these parameters. So, here on these parameters Welch (equal variance not
assumed) has been applied. For other parameters it has been assumed that value is greater than

28
0.05. So, Fisher test (equal variance assumed) has been applied. Further after the application of
the Welch and ANOVA and then viewing its p-value. If the p-value of both the test is less than
0.05 then post-hoc test has been applied.

Table 14.1 Games-Howell Post-hoc Test – Provide services on time.

Student Service Self Employed

Student Mean difference — -0.194 0.298

p-value — 0.496 0.062
Service Mean difference — 0.492
p-value — 0.008
Self Employed Mean difference —
p-value —

In table 14.1, Games-Howell Post-Hoc test has been applied because while applying Welch
test, we found that the value of parameter (Provide services on time) is less than 0.05. So, for this
parameter, we tested it for multiple comparisons for different categories of occupation. For this
parameter it has been found that for that for category student with other categories of occupation
there found to be no difference as p-value is greater than 0.05. Further, for occupation category
service there found to be significant difference with self employed as p-value is less than 0.05.

Table 14.2 Games-Howell Post-hoc Test –Employees responsible towards

customers.
Self
Student Service
Employed

Student Mean difference — -0.163 0.470

p-value — 0.811 0.042
Service Mean difference — 0.633
p-value — 0.024
Self Employed Mean difference —
p-value —

In table 14.2, Games-Howell Post-Hoc test has been applied because while applying Welch
test, we found that the value of parameter (Employees responsible towards customers) is less
than 0.05. So, for this parameter, we tested it for multiple comparisons for different categories of

29
occupation. For this parameter it has been found that for category student with occupation
category service there found to be no difference as p-value is greater than 0.05 and with category
self-employed there found to be difference as p-value is less than 0.05. Further, for occupation
category service there found to be significant difference with self-employed as p-value is less
than 0.05.

Table 14.3 Games-Howell Post-Hoc Test – Investment in life insurance is more

secure than stock market.
Self
Student Service
Employed
Student Mean difference — -0.0507 0.647
p-value — 0.985 0.095
Service Mean difference — 0.697
p-value — 0.007
Self Employed Mean difference —
p-value —

In table 14.3, Games-Howell Post-Hoc test has been applied because while applying Welch
test, we found that the value of parameter (Investment in Life Insurance is more secure than
stock market) is less than 0.05. So, for this parameter, we tested it for multiple comparisons for
different categories of occupation. For this parameter it has been found that for that for category
student with other categories of occupation there found to be no difference as p-value is greater
than 0.05. Further, for occupation category service there found to be significant difference with
self-employed as p-value is less than 0.05.

Table 14.4 Games-Howell Post-hoc Test – Company able to fulfill expectation.

Self
Student Service
Employed
Student Mean difference — -0.207 0.350
p-value — 0.690 0.254
Service Mean difference — 0.557
p-value — 0.015
Self Employed Mean difference —

30
Table 14.4 Games-Howell Post-hoc Test – Company able to fulfill expectation.
Self
Student Service
Employed
p-value —
In table 14.4, Games-Howell Post-Hoc test has been applied because while applying Welch
test, we found that the value of parameter (Company able to fulfill expectation) is less than 0.05.
So, for this parameter, we tested it for multiple comparisons for different categories of
occupation. For this parameter it has been found that for that for category student with other
categories of occupation there found to be no difference as p-value is greater than 0.05. Further,
for occupation category service there found to be significant difference with self-employed as p-
value is less than 0.05.

Table 14.5 Tukey Post-hoc Test - Provide satisfactory services.

Student Service Self Employed
Student Mean difference — -0.286 0.263
p-value — 0.277 0.322
Service Mean difference — 0.550
p-value — 0.011
Self Employed Mean difference —
p-value —

In table 14.5, Tukey Post-Hoc test has been applied because while applying fisher (ANOVA)
test, we found that the value of parameter (Provide satisfactory services) is less than 0.05. So, for
this parameter, we tested it for multiple comparisons for different categories of occupation. For
this parameter it has been found that for that for category student with other categories of
occupation there found to be no difference as p-value is greater than 0.05. Further, for occupation
category service there found to be significant difference with self-employed as p-value is less
than 0.05.

Table 14.6 Tukey Post-hoc Test – Agent responds promptly.

Student Service Self Employed
Student Mean difference — -0.754 -0.147
p-value — 0.002 0.766
31
Table 14.6 Tukey Post-hoc Test – Agent responds promptly.
Student Service Self Employed
Service Mean difference — 0.607
p-value — 0.016
Self Employed Mean difference —
p-value —

In table 14.6, Tukey Post-Hoc test has been applied because while applying Fisher (ANOVA)
test, we found that the value of parameter (Agent respond promptly) is less than 0.05. So, for this
parameter, we tested it for multiple comparisons for different categories of occupation. For this
parameter it has been found that for category student with occupation category service there
found to be difference as p-value is less than 0.05 and with category self-employed there found
to be no difference as p-value is greater than 0.05. Further, for occupation category service there
found to be significant difference with self-employed as p-value is less than 0.05.

Table 14.7 Tukey Post-hoc Test – Understand customer's financial needs.

Self
Student Service
Employed
Student Mean difference — -0.172 0.438
p-value — 0.759 0.163
Service Mean difference — 0.610
p-value — 0.035
Self Employed Mean difference —
p-value —
In table 14.7, Tukey Post-Hoc test has been applied because while applying fisher (ANOVA)
test, we found that the value of parameter (Understand customer’s financial needs) is less than
0.05. So, for this parameter, we tested it for multiple comparisons for different categories of
occupation. For this parameter it has been found that for that for category student with other
categories of occupation there found to be no difference as p-value is greater than 0.05. Further,
for occupation category service there found to be significant difference with self-employed as p-
value is less than 0.05.

32
 Table 15: Test for Equality of Variance, Welch, ANOVA and Mean of Annual
Income

Mean
Statements Below 1 1 Lac – 5 Lac – Above Levene ANOVA
Lac 5 Lac 10 Lac 10 Lac
Provide services on
1.55 1.27 1.50 1.30 0.277 0.316
time.
Provide satisfactory
1.41 1.59 1.83 1.50 0.623 0.243
services.
Agent is well
informed about 1.36 1.55 1.44 1.40 0.189 0.894
policies.
Agent responds
1.50 1.50 1.89 1.70 0.482 0.374
promptly.
Cooperative and
1.45 1.55 1.83 2.00 0.411 0.126
friendly agent.
Proper reminder of
1.73 1.68 2.22 1.50 0.705 0.107
installment by agent.
Benefits are met by
1.45 1.59 2.00 1.50 0.359 0.165
policy.
Employees
responsible towards 1.45 1.59 1.78 1.90 0.102 0.434
customers.
Provides claim on
1.59 1.68 1.89 1.60 0.374 0.759
time.
Settlement of claim
1.64 1.59 1.78 1.70 0.714 0.930
easy on timely.
Satisfy with
relationship to 1.82 1.68 1.67 1.90 0.603 0.796
company.
Company able to
1.64 1.55 1.83 1.90 0.579 0.544
fulfil expectation.
Investment in Life
Insurance is more
2.05 1.68 2.28 1.80 0.497 0.271
secure than Stock
Market.

33
Understand
Customer’s financial 1.91 1.77 2.00 1.70 0.870 0.780
needs.
Agent friendly
nature and their 1.64 1.73 2.00 1.70 0.533 0.676
cooperativeness.

INTERPRETATION - The table 15 demonstrated the impact of Annual Income on various

parameters. It has been resulted from the Levene’s test for equality of variance that all
parameters have been assumed that p-value is greater than 0.05. So, Fisher test (equal variance
assumed) has been applied.

Objective: - To know the overall perception of Investors for various parameters

regarding Life Insurance.

Table 16: Mean value and Standard Deviation of parameters

S. No. Statements Mean SD

1 Provide services on time. 1.42 0.550
2 Provide satisfactory services. 1.58 0.666
3 Agent is well informed about policies. 1.44 0.785
4 Agent responds promptly. 1.63 0.795
5 Cooperative and friendly agent. 1.65 0.715
6 Proper reminder of installment by agent. 1.81 0.866
7 Benefits are met by policy. 1.64 0.810
8 Employees responsible towards customers. 1.64 0.810
9 Provides claim on time. 1.69 0.914
10 Settlement of claim easy on timely. 1.67 0.904
11 Satisfy with relationship to company. 1.75 0.727
12 Company able to fulfil expectation. 1.69 0.781
13 Investment in Life Insurance is more secure 1.96 0.999
than Stock Market.
14 Understand Customer’s financial needs. 1.86 0.861
15 Agent friendly nature and their 1.76 0.957
cooperativeness.

34
INTERPRETATION - In the above table for most of the parameters of Mean value is near by
one and two for the perception towards life insurance. So, it is concluded that the perception of
investors will remain inclined towards Life Insurance. The Standard Deviation of the variation
should always find between 0 to 1. In this, the standard deviation of all the parameters is come
between 0 to 1. If standard deviation is more than 1, it indicates that respondent’s response can
vary in future from the current state.

Conclusions: -
In current Indian market, the habits of Indian consumers towards investment are changing
very frequently. The study of this research work was focused over the perception of
investors investing in Life Insurance. The objectives of the study were to evaluate the
overall perception of Investors for various parameters regarding Life Insurance and to
study the significant difference for various demographics regarding perception of
Investors toward Life Insurance. The tests that were used for our research studies are: -
Percentage Analysis, T- test, ANOVA Test. The consumer’s perception towards Life
Insurance Policies is positive and stable to some extent. Its stability will be defined from
standard deviation because of all the parameters(statements) is less than 1. But still some
actions are needed for developing the insurance market so that more and more customers
invest in the Life Insurance Policies. Insurance industry has to go ahead. A lot of
opportunities are still waiting. This research will help in developing the market share and
further development in insurance sector by study the impact of various demographics on
the various parameters related to Life Insurance.

Suggestions and Recommendations: -

On the basis of various objectives formulation and analysis for the same, the following
recommendations has been suggested:

35
  The agents have to define the terms and conditions of the policy clear and no ambiguity.
They also have to respond both urban and rural investors in more appropriate manner.
 The insurance companies should design their websites with more security features and
provide accurate, correct and sufficient information about products and services so that
they will more secure in investment than stock market.
 Clear information about the policy that is covered under that specify policy and also
should update the information regularly.
 To create more reach in the market, they have to develop the different products to cater
the needs of various categories of population.
 Empathy towards customers always takes precedence in non-monetary issues related to
policies. In this regard, it is strongly advised to provide the employees, agents, and others
who engage with clients with the necessary training and personality development.
 To generate awareness among customers about benefits of insurance products will help
them to increase the more customer base and improve their performance.
 Effective handling customer queries and customer care services is also recommended to
companies should provide after the issue also.
 It is also suggested that the cost of the product must be as per customer expectations and
price of the product would be given firstly by understanding their financial needs.

BIBLIOGRAPHY

https://www.theleadingsolutions.com/

36
https://www.ibef.org/industry/insurance-sector-india

https://www.irdai.gov.in/

https://financialservices.gov.in/

https://www.google.com/

https://www.academia.edu/43821533/Research_Methodology_by_C_R_Kothari

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