CHAPTER - I

INTRODUCTION AND DESIGN OF THE STUDY

1.1 INTRODUCTION:
Human life is a most important asset and life insurance is the most important type of
insurance which provides financial protection to a person and his family at the time of
uncertain risks or damage. Life insurance provides both safety and protection to individuals
and also encourages savings among people. A life insurance policy is a contract that provides
financial protection in the event of death. It is an agreement between the life insurance
company and the person who takes out the policy. A life insurance policy can be bought by
individuals, companies, and other organizations to provide financial protection in case of
death.
As an individual each person possesses a certain amount of risk from various source.
Consumers in India are mainly lined towards various poignant aspects; however, at the same
time the purchase behaviour is mainly influenced based on the rational factors. At the same
time, it has a single responsibility. Typical Indian consumers consider the future and struggle
to make a heal their and safer life for his dependents in the future. Life insurance includes the
following parts: risk coverage and savings. Insurance is the best option to cover savings and
risks for a middle class employee. But in India, insurance is often taken as a tax exemption,
instead of a long-term financial plan. Indians tend to spend on real estate and jewellery, bank
balances and surveillance.

Life insurance is a contract between the policy owner and the insurer, where the insurer
agrees to pay a sum of money upon the occurrence of the policy owner’s death. In return, the
policy owner agrees to pay a stipulated amount called a premium at regular intervals. From
an investor’s point of view, an investment can play two roles – asset appreciation or asset
protection. While most financial instruments have the underlying benefit of asset
appreciation, life insurance is unique in that it gives the customer the reassurance of asset
protection, along with a strong element of asset appreciation. The core benefit of life
insurance is that the financial interests of one’s family remain protected from circumstances
such as loss of income due to critical illness or death of the policyholder. Simultaneously,
insurance products also have a strong inbuilt wealth creation proposition. The customer
1
therefore benefits on two counts and life insurance occupies a unique space in the landscape
of investment options available to a customer. Life insurance allows long term savings to be
made in a relatively painless manner because of the low and convenient investments made
through premiums. Moreover, it encourages ‘forced thrift’ which means the insured is made
to pay premiums and save money, which he/she may not do in the regular course of life.

More investment options make your money work harder, but there are no substitutes for
life insurance. Because only life insurance gives you both – risk cover against your life as
well as returns on your money invested. Amongst the most known benefits of Life Insurance
is the savings on your income taxes. Most importantly it provides you with that unique sense
of security and peace of mind that no other form of investment provides. So, a life insurance
policy is an ideal tool to gain security and ensure savings. If you require loans, say for
building a house, it can be easily obtained against a life insurance policy. Life insurance
cannot be compared with any other form of investment as life insurance gives you a lifelong
benefit and returns on your money when it is most required. Insurance premiums are linked
to age of the life insured and the earlier you buy, the lower are the premium requirements.
Besides, the money stays invested for a longer time and thereby maximizes your returns
through the power of rupee compounding. This study mainly deals with customer satisfaction
of life insurance policies with special reference to Shriram Life Insurance.

1.2 IMPORTANCE OF THE STUDY:

Life insurance is important for every individual. It provides financial protection against
sudden and unexpected death. Life insurance can be used to protect loved ones by making
sure that their financial needs are met if the person dies before them. It can also protect you
from a future financial collapse or a terminal illness. We should not think of life insurance as
a form of savings, but as an investment in your future. It provides financial security for those
who need it most in their time of need. In addition to providing financial security during
difficult times, it also helps reduce stress levels and improve emotional well-being among
family members left behind after the death of an insured individual. If you are looking for
protection for your family in case something happens to you, then you should consider
getting a life insurance policy.

2
1.3 STATEMENT OF THE PROBLEM:

Life insurance plays a key in promoting the socio -economic development of the modern
economy. It is a policy where an insurance company promises to pay benefits on the death of
the person whose life is insured. However, there are problems related to insurance industries,
which hinders its smooth operations. Some of the problems faced by insurance companies in
the case of life insurance are the alarming decline in premium rate due to unhealthy
competition and lack of life insurance professionalism and training staff.

1.4 SCOPE OF THE STUDY:

The scope of Shriram Life Insurance is vast, and it can be useful for a wide range of
individuals. The plan is ideal for individuals who have dependents, such as a spouse,
children, or elderly parents, who rely on their income. The plan ensures that the
policyholder's dependents are financially protected in case of his/her untimely demise. The
plan is particularly important for sole breadwinners in a family who are responsible for the
financial well-being of their dependents. In case of the policyholder's death, the plan ensures
that their dependents can continue to meet their financial needs. Overall, the scope of Shriram
Life Insurance is vast, and it can be useful for anyone who wants to provide financial security
to their dependents in case of their untimely demise. This study helps to find the awareness
and perception level of the customers towards the Shriram Life Insurance.

1.5 OBJECTIVES OF THE STUDY:

 To identify the factors influencing the consumer behaviour.

 To analyse the risk faced by the Customers of Shriram Life Insurance Company.
 To study the policy holder's perception towards the Shriram Life Insurance Services.
 To study about the awareness of insurance as a platform for investment
 To examine the returns of Shriram Life Insurance Company

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1.6 RESEARCH METHODOLOGY
Research methodology is a way of explaining how a researcher intends to carry out their
research. A methodology details a researcher’s approach to the research to ensure reliable,
valid results that address their aims and objectives.

 The primary data have been collected from the target respondents through structured
questionnaire.
 Secondary data have been collected from different sources such as publications and
unpublished research reports, doctoral thesis of various institutions, Books, Journals
Articles, etc.

1.6.1. RESEARCH DESIGN

The study is both exploratory and descriptive in nature. First stage of the research was
exploratory in nature. This was done in two phases. The initial phase was to undertake a
detailed review of secondary data available on the Shriram life insurance, its services, and the
perception of customers towards it. The second phase of review of literature helped in
framing questionnaires for the study. Second stage of the study was descriptive research,
which was carried out at the second stage by applying a survey method. Data for the study
were collected from the customers in Tirupur district. The tool used for data collection is a
structured questionnaire. Sample size is 120.

1.6.2. SOURCE OF DATA

The study includes both primary and secondary data.

➢ The primary data have been collected from the target respondents through interview
schedule.

➢ Secondary data have been collected from different sources such as publications and
unpublished research reports, Journals Articles, etc.

1.6.3. SAMPLING DESIGN

4
Simple purposive sampling technique is adopted to obtain the response from the
policyholder’s in Tirupur city. This study employs both analytical and descriptive types of
methodology. The study is conducted in two stage formats, with a preliminary study,
followed by the study.

1.6.4 TOOLS AND TECHNIQUES USED

SIMPLE PERCENTAGE ANALYSIS

In research various percentages are to be used for analysis. The data observed will be
converted into percentages for easy understanding. Simple percentage analysis refers to a
special kind of ratio. With the help of absolute figures, it will be difficult to interpret any
meaning from the collected data, but when the figures are represented as percentages, it
becomes easy to find the relative difference between two or more attributes.

Percentage = Number of respondents x 100

Total number of respondents

DESCRIPTIVE STATISTICS:
Descriptive statistics are used to describe the basic features of the data in the study. They
provide simple summarizes about the sample and the measures. The term “descriptive
statistics” refers to the analysis, summary, and presentation of findings related to a data set
derived from a sample or entire population. Descriptive statistics provides us the tools to
define our data in a most understandable way.

FRIEDMAN TEST:

The Friedman test is used for one-way repeated measures analysis of variance
by ranks. In its use of ranks it is similar to the Kruskal–Wallis one-way analysis of variance
by ranks. The Friedman test is widely supported by many statistical software packages. The
Friedman test is to test whether the k paired samples (k>2) of n size, are from the same
population or the samples from populations having similar properties, considering the
position parameter.

5
LIMITATIONS OF THE STUDY:
 The study is conducted on the basis of the responses collected from the respondents
through the structured questionnaire.
 The reliability of the results of the study depends on the data given by the
respondents.
 The study area is confined to Tirupur city only.

1.8 CHAPTER SCHEME:

CHAPTER I

It discusses the Introduction, statement of the problem, objectives of the study and
research methodology and limitations of the study.

CHAPTER II

It consists of Review of literature related to study.

CHAPTER III

It discusses about the information related to Shriram Life Insurance.

CHAPTER IV

This chapter reveals the analysis and interpretation of the collected data.

CHAPTER V

This Chapter summarized with finding, suggestion and conclusion of the study.

6
 CHAPTER – II

REVIEW OF LITERATURE

2.1. INTRODUCTION:
This chapter makes a brief review of the literature relevant to the study. There were only
limited research studies, which were directly relevant to the study concerned. The researcher
has made an attempt to present a brief review of literature available which consists of articles,
publications and PhD thesis in the related area.

2.2 REVIEW OF LITERATURE:

Guru and Umamaheshwari (2019)1, in their research on factors deciding selection of
policies of private life insurance companies among consumers in Thanjavur District explored
that Price, product uniqueness, accessibility and promotions impacts the purchase decision of
consumers upon the various policies of private life insurance companies significantly and
positively. The agents are supposed to provide better and accurate services and settle claims
without any delay or issues. Private life insurance companies are required to appreciate
precisely the financial needs of consumers and should set easy and uncomplicated terms and
conditions for purchasing their life insurance policies. In addition, private life insurance
companies must bring in different innovative products to fulfil needs of various consumer
segments.

Guru and Umamaheshwari (2018)2, in their research concluded that among the various
other factors, the major variables that control the insight of the consumers towards life
insurance policies positively were quality of the service offered, relationship between the
client and company and reputation of the company. The growth rate of the insurance industry
in India is faster and hence it has become significant for the insurance companies to identify
and comprehend the factors that persuade the perception of the consumers and the same can
be utilized as the supportive feature in developing fresh and pioneering items which meet the
consumer’s expectation.

7
M. Vijaya Raghu Nadhan (2016)3, in his study on consumer behaviour towards life
insurance companies with reference to two private companies revealed that consumer
behaviour and customer purchase service attempts are dependent on factors like search,
experience and credence factors.

Chakraborty Joy (2016)4, in his paper entitled "Efficiency Analysis of Indian Life Insurance
Firms: A DEA Investigation" examined the efficiency of the Indian life insurance sector
using a panel dataset of one public company and seventeen private life insurance companies.
Against the backdrop of the US financial crisis, the study period lasted 2008-09 to 2014-15. It
has highlighted the anomalies in the life insurer's operating efficiencies along with the
direction for improvement.

Sandeep Chaudhary (2016)5; has extracted six factors that influence consumer
behaviour namely customized and timely services, better company reputation, customer
convenience, better service quality, tangible benefits and effective customer relationship
management. This study revealed that new and innovative products will enhance
better customer relationship management based on a sample study of 100 respondents.

Abaidoo (2015)6, aimed at identifying the customer satisfaction strategies in the insurance
industry for a successful implementation of business. The strategic importance of customer
satisfaction to a business firm’s growth largely depended on the satisfaction of the customers.

Hussen (2015)7, investigated the level of satisfaction and loyalty of the policyholder towards
insurance companies. The study examined the customer satisfaction level through the
application of two different customer satisfaction tools such as SERVQUAL and overall
customer satisfaction models. Studies focused on the satisfaction among public and private
limited companies and the type of policies in the health insurance sector were minimal. To
fill this gap the current study has been carried out.

Sharma K.C. and Ghalavand Kiyanoush (2015)8, in their book entitled "An Introduction to
Risk Management and Insurance" explained risk management principles and concepts in
detail. It has explained ERM framework, the impact of risk on organisation, future of risk
coverage by insurance, claim settlement practices followed by insurers, and risk architecture
and structure. This book provides mainly fundamental knowledge and tools for risk
management and ERM.

8
Bapat H. B. and Soni V. et al (April 2014) 9, reverie states the requirement for insurance is
as old as commerce and trading that exists in the world. Uncertainty is built into life,
commerce, trading etc. where insurance will provide protection to it. The reverie finds out
their present levels of the products offered on the basis of Serval scope. This reverie provides
sagacity to the practicing administrator to recognize the gap in taking influence by aiming for
the expected quality product.

Chand M. (June 2014)10, studies the main change of the life insurance industry in India is
the gapping up of private and global players. The study will reveal the aspect of private
insurance players in the areas like number of policies gilded, amount of premium money
collected, agent or broker commission expenses, and operating expenses from 2001 -2012.

Jena Artta Bandhu (2014)11, in his paper entitled "Financial Performance of Selected Indian
Life Insurance Companies: An Analysis" has measured financial performance using financial
ratios like current ratio, liquid ratio, absolute liquid ratio, debt-equity ratio, and trend analysis
of Assets of selected life insurance companies in India. The study consisted of one public
company and four private companies and based on analysis it has been discussed suggestions
for their improvement in short term and long-term financial position.

Vazifehdust and Farokhian (2013)12, described the factors influencing the customer
satisfaction of policyholders in insurance International Journal of Engineering & Technology
161 industry. Firstly, the service quality factors were examined and then the customer
satisfaction and other factors identified.

Padhi B. (2013)13, a study on the Indian insurance market was nationalized in 1956 and LIC
of India was set up. LIC of India adored monopoly on the Indian Insurance market for more
than 4 decades. The study will reveal the performance of particular private insurance
companies in the segments like number of policies floated, number of moneys collected
through premium and the annual expansion in the specific areas from 2001 to 2012.

Sachin Surana & Amar (2013)14, in the research article lapsation of policy; a threat or curse
for life insurance industry. This research has attempted to find out the cause and effects
relationship of the Lapsation of policy. This study explains that Lapsation refers to the
situation when the customer fails to pay the premium on his policy within the timeframe plus
the grace period allowed by the company it is often termed as persistence. The research has
highlighted that wrong commitment by insurance agents, malpractices by the insurance
distribution agencies, financial burden of the customers & finally poor service quality are few
9
reasons causing lapse of insurance policies. This lapsation will not only affect the customers
in terms of lack of benefits but also majorly affect insurance companies in terms of high
initial cost, adverse effect on liquidity position and majorly decrease of public image all this
totally hamper the overall growth of insurance companies.

Rajan J. and Gomatheeswaran M. (2013)15, a study by this scholar states that a complete
and persuasive banking system is required for a healthy economy. In the recent years new
trends have arisen in the banking sector. The correlative study conducted by public and
private sector banks limelight on the level of customer satisfaction on bancassurance services.

Bodla B. S. and Chaudhary K. (2012) 16, present study by, looks for to determine the
expected and anticipated service quality level along with gaps on the origin of service quality
model by Suresh Chandar et al (2001) in one of the superior private sector company,
ICICIPLI – ICICI Prudential Life Insurance Company. Though altogether the private sector
has importantly apprehended the market share at first but nowadays most of the private sector
companies are assaying for customary expansion in business and market share and the picked
company is one of them.

Das S. K. (2012)17, a study on insurance has been an essential part of the financial services
system and acknowledged as a vital element of a country’s financial health and mark of
progress. Insurance suppliers for the financial security of citizens and proposes valuable
investment advice and serves as a persuasive step towards both individual and national
financial stability. It is found that high operating cost, exertion break even, confluence of
accounting standard etc are the main issues of life insurance companies in India.

Singh H. and Loll M (2011)18, states that life insurance is one of the fastest growing and
emerging markets in India. Insurance diffusion in rural areas – the insurance industry has an
acceptance grant in socio-economic development. Objective of the present study is to
appraise the opportunities for insurers in the rural market and what would be new action to
tap the highly underinsured rural area.

Baal N. and Sandhog H. S. (2011)19, a study on Life Insurance Corporation of India (LIC)
the capital demanding business, supplies the most important financial instruments to
customers directed at safety as well as long term savings. The present study examines the
parts affecting agent’s perception towards Life Insurance Corporation of India. Moreover,
analysis of one way arrangement has also been performed to test the important results to

10
show that no important differences exist among various groups of respondents regarding their
apprehension towards Life Insurance Corporation of India.

Friar F. and Khanbashi M. et al., (2011)20, this study is one of the most conscious actions
taken in alluring and gratifying needs of customers is chattering a charismatic information
mechanism and feedback process between organisation and customers. The aim of this study
is finding the variation between anticipation of the employees and customers towards service
quality in the insurance industry of Iran. The study revealed that there is a cogent difference
between the anticipation of staff and customers towards the tangible dimension while the
anticipation of both the group towards the other dimensions is homogenous.

Kumar. P (2011)21, examined the customer expectation and satisfaction of insurance

policyholders towards the services provided by 11 life insurance companies in India.
According to the study the companies were offering different products, though they were
providing similar kinds of service.

Meera C. and Eswari M. (2011)22, in modern aggressive environment services are

ameliorate accumulating more denotation. Nowadays, greater absorption is paid to all the
bank customer touch points, addresses to optimize the reciprocal and user friendly services.
The aim of the study is to crumb the customers' bliss towards cross selling of insurance
products and other services accomplished by private sector banks.

Girish Kumar and eldhose (2008)23, published in insurance chronicle icfai monthly
magazine august 2008 in their paper titled "customer perception on life insurance services: a
comparative study of public and private sectors", well explained the importance of quality
services and its significance in raising customer satisfaction level. A comparative study of
public and private sectors helps in understanding the customer perception, satisfaction and
awareness on various life insurance services.

Kumar and Vaidya (2004)24, discussed the possible strategies that could be used by the
insurance companies for differentiating their products and service offering from their
competitors. The authors not only emphasized some of the new offerings by various payers,
but also discussed the possible innovations in the insurance sectors in terms of products,
customer service, distribution network, promotion and brand building. E-service or customer
service through the internet would play a vital role in facilitating the process of servicing
insurance products to their policyholders.

11
William H.Greene, and Dan Segal (2004) 25, in their research “Profitability and Efficiency
in the U.S. Life Insurance Industry” have discussed the relationship between cost inefficiency
and profitability in the U.S. life insurance industry. The life insurance industry is mature and
highly competitive, and cost efficiency may be the main driver of profitability. The authors
derive cost efficiency using the stochastic frontier (SF) method allowing the mean
inefficiency to vary with organizational form and the outputs. In addition, the estimation of
the cost efficiency measure takes into account the underlying accounting concepts. This study
suggests that cost inefficiency in the life insurance industry is substantial relative to earnings,
and that inefficiency is negatively associated with profitability measures such as the return on
equity.

2.3 REFERENCE:

1. Guru.P and Umamaheswari.D (2019), “A study on factors deciding selection of

policies of private life insurance companies among consumers in Thanjavur District”,
International Journal of Recent Technology and Engineering, 7(6S2), 2019, pp.45-48.
2. Guru.P and Umamaheswari.D (2018), “An Empirical Investigation to Analyze the
Factors Influencing the Consumer Perception Regarding Life Insurance Policies using
Path Analysis”, International Journal Supply Chain Management, 7(5), 2018, pp.927-
932.
3. Vijaya Raghunathan M (2016). A Study on Consumer Behaviour Towards Life
Insurance Products with Reference toidbi Fortis Company Limited, Dindigul District,
International Journal of applied science. 2016; 6(8).
4. Chakraborty, J. (2016). Efficiency Analysis of Indian Life Insurance Firms: A DEA
Investigation. SCMS Journal of Indian Management, 5-24.
5. Sandeep Chaudhary (2016): “Consumer perception regarding Life Insurance
policies: A factor analytical approach” Lyallpur Khalsa college, Jalandhar.
6. Abaidoo GG (2015), “Customer Satisfaction Factors in Life Insurance Growth in

Ghana (Published thesis)”, Walden University, Minnesota.

7. Hussen S (2015), “Service Quality, Customers Satisfaction and Loyalty: A Study on

Insurance Companies in Adama, Ethiopia”, European Journal of Business and
Management, Vol.7, No.4, (2015), pp. 269-276.

12
8. Sharma, K. C., & Ghalavand, K. (2015). An Introduction to Risk Management and
Insurance. New Delhi: Regal Publications.
9. Bapat H. B. and Soni V. et al (April 2014), A Study of Product Quality of Selected
Public and Private Sector Life Insurance Companies, IOSR Journal of Business and
Management (IOSR – JBM), Volume No. 16, Issue No. 4, Ver. III, Page No. 32 – 41.
10. Chand M. (June 2014), Role of Private Player in Life Insurance Industry in India,
International Journal of Marketing, Financial Services and Management Research,
Volume No. 3 (6), Page No. 170 – 183.
11. Jena Artta Bandhu A. (2014). Financial Performance of Selected Indian Life
Insurance Companies: An Analysis. IJCSMS (International Journal of Computer
Science & Management Studies), 14(7).
12. Vazifehdust H & Farokhian S (2013), “Factors influencing customer satisfaction
with the success factors identified in the insurance industry”, African Journal of
Business Management, Vol.7, No.21, (2013), pp.2026-2032.
13. Padhi B. (August 2013), Role and Performances of Private Insurance Companies in
India, in the Post Liberalisation Era, International Journal of Engineering, Business
and Enterprise Applications (IJEBEA), Volume No. 5 (1), Page No. 29 – 35.
14. Sachin S. Surana, A. K. G. (2013). "Lapsation Of Policy: A Threat or Curse for Life
Insurance Industry." International Journal of Social Science & Interdisciplinary
Research.
15. Rajan J. and Gomatheeswaran M. (2013), Bancassurance: A Comparative Study on
Customer Satisfaction towards Public and Private Sector Banks in Pathanamthitta
District – Kerala, The International Journal of Engineering and Science (IJES),
Volume No. 2, Issue No. 7, Page No. 12 – 18.
16. Bodla. B. S. and Chaudhary K. (2012), A study of service quality expected and
perceived by the customers of ICICI Prudential Life Insurance Company,
International Journal of Computing and Business Research (IJCBR), Volume No. 3,
Issue No. 2.
17. Das S. K. (June 2012), Critical Issue of Service Marketing in India: A Case of Life
Insurance Industry, AJRM: Asian Journal of Research and Marketing, Volume No. 1,
Issue No. 3, Page No. 49 – 68.

13
18. Singh H. and Loll M. (2011), an Empirical Study of Life Insurance Product and
Services in Rural Areas, ZENITH International Journal of Multidisciplinary Research,
Volume No.1, Issue No. 8, Page No. 290 – 305.
19. Bala N. and Sandhu H. S. (2011), Analysis of Factors Influencing Agents’
Perception towards Life Insurance Corporation of India, Macro think Institute
International Journal of International Marketing, Volume No. 1, Page No.1.
20. Friar F. and Khanbashi M. et al (2011), the Analysis of different Customers and
Employees’ Perceptions from Service Quality in the Insurance Industry of Iran,
Volume No. 6, Page No.12.
21. Kumar P (2011), “A Study of Customer Satisfaction of Life Insurance in India”,
Journal of Doctoral Studies, Vol.1, No.1-2, (2011), pp.65- 82.
22. Meera C. and Eswari M. (2011), A study on Customer Satisfaction towards Cross
Selling of Insurance Product and Supplementary Services – With reference to Private
Sector Banks in Coimbatore District, International Journal of Research in Commerce,
Economics and Management, Volume No. 1, Issue No. 7, Page No. 107 – 111.
23. Girish Kumar and eldhose (2008), “A Study on factors affecting customer
preference toward Life Insurance policies”, Gulzar Institute of Engineering &
Technology, Khanna, India.
24. Kumar, R., and K. Vaidya (2004), “Differentiation Strategies of Life Insurance
Companies”; Insurance Chronicle, Vol. iv, Issue 3, pp: 43-49.
25. William H.Greene, a. D. S. (2004). "“Profitability and Efficiency in the U.S. Life
Insurance Industry”." Journal of Productivity Analysis vol, 21: pp. 229–247.

14
 CHAPTER - III

THEORETICAL OVERVIEW OF SHRIRAM

LIFE INSURANCE

3.1 INTRODUCTION
Human life is a most precious asset and life insurance is one of the ways which provides
financial protection to a person and his family at the time of any disaster. Life insurance
provides both safety as well as protection to individuals and also boosts savings among
people. Insurance companies play an important role in the welfare of human well-being by
providing protection to millions of people against life risks such as uncertain death or
accident. The market share of private insurers is gradually increasing with people trust. The
new private players offer many new innovative products and services. They are increasing
the awareness level among consumers by using innovative and new techniques of
advertisement, introducing new products, increasing penetration of life insurance of
consumers in uninsured markets. The competition among public and private players has
helped to increase in variety of products being offered from pure risk based to ULIP plans.

3.2 OVERVIEW

15
Shriram Group, established in 1974, is among the leading corporate houses in India and is a
major player in the Indian financial services sector. Shriram Group’s focus is on financial
services that reach out to a large number of common people providing them opportunities to
improve their prosperity. With its philosophy of "Customers Are Really Everything"
(C.A.R.E.), Shriram Group has taken the financial services to the doorsteps of the common
man. This focus on the common man has proven to be a profitable business strategy and has
resulted in millions of win-win relationships for the Group. Shriram Capital Limited (SCL) is
the overarching holding arm of the financial services entities of the Group. Financial Services
constitute the core business of the Group. Shriram Group’s presence in financial services is
diverse ranging from Commercial Vehicle Financing, Retail Financing, Enterprise Financing
to small business, Housing Finance, Equipment Financing, Life Insurance, General
Insurance, Retail Stock Broking, Distribution of Financial Products and Wealth Advisory
Services.

3.3 HISTORY OF SHRIRAM LIFE INSURANCE COMPANY

Shriram Life Insurance Company, also known as (SLIC) was founded in the year 2005 and
commenced operations in the year 2006. SLIC is well known for their efficient use of capital
and low operational costs.

Shriram Life Insurance Company is a joint venture between Shriram Group founded in 1974,
headquartered in Chennai and Sanlam, a leading financial services group based in Cape
Town, South Africa. Together, Sanlam and Shriram’s group aims to provide the best life
insurance products to cater different segments of the Indian market. In 2016, Shriram Life
Insurance Company received the Bizz Americas 2016 Awards. The company’s objective is to
reach out to the common man with products and services that would be helpful to him/her as
they set out on the path to prosperity.

SHRIRAM GROUP:

Shriram Group is a financial services corporation founded on April 5, 1974, by Ramamurthy

Thyagarajan, AVS Raja and T. Jayaraman. Shriram life insurance has their headquarters in
Chennai, Tamil Nadu, India. Shriram group did chit funds business before launching their
group business and later came into the lending business in a big way through Shriram

16
Transport Finance (Commercial Vehicle Finance) and Shriram City Union Finance
(Consumer and MSME Finance). R. Thyagarajan also won Padma Bhushan award in 2013.

SHRIRAM LIFE INSURANCE PLANS:

 Child life insurance plans

 Term life insurance plans
 Pension life insurance plans
 Investment Linked life insurance plans
 Endowment Life Insurance Plans
 Group Life Insurance Plans
 Micro Life Insurance Plans
 Savings Plans
 Women Life Insurance Plans
 Combi Life Insurance Plans

Shriram life insurance Child plans

Child Life insurance plans are needing based insurance policy cover primed for achieving the
financial goals and ambitions of children post maturity. This could be for any financial
objective such as higher education, marriage. Various type of child plans offered by Shriram
finance are

New Shri Vidya Plan - An investment cum insurance-based plan from Shriram Life
Insurance with maturity benefit and regular surge of monthly income in the event of death of
on death to compensate any monetary losses.

New Shri Vivah Plan - A reasonable premium based insurance plan from Shriram Life
Insurance with double protection and regular monthly source of income in case of any
misfortune event.

Shriram Life Insurance Term Plans

This is a low-cost insurance plan which has been exclusively premeditated to provide
economical constancy and protection to the insurer’s family, in the event of any misfortune in
future.

17
Shriram Life Cash Back Term Plan - A simple and hassle-free cover plan at affordable
premium. In case of a fateful event such as death, a lump sum payment is paid towards the
financial assistance to the insurer's family. The death benefits are offered @ 10 times annual
premium if age is less than 45 years and 7 times annual premium if age is 45 years and above

Shriram Group Term Life Insurance - A One Year Renewable Group Term Assurance
plan incorporated with the death benefit on lump sum payment or monthly regular payment to
insurer’s family members. The plans come with a wonderful feature of setting up and
monitoring the schemes at a low cost.

Shriram Group Term Life Insurance in lieu of EDLI - A substitute to Group Term Life
Insurance with enhanced life insurance benefit to all employees irrespective of their PF
balances, salary level and service.

Shriram Life Secure Plus Plan - A plan premeditated to cater the need of financial
obligation or debt of the insured’s family in the event of any misfortune. The sum assured is
paid in lump sum to the family of the insured after his death. The other features include
Maturity sum assured & 105% of the premiums paid till the date of death.

Shriram Investment Life Insurance Plans - A plan is good for those who want to earn
through systematic investment in the capital market and avail the benefit of insurance
protection at the same time.

 Wealth Plus
 Fortune Builder
 Ujjwal Life
 Ujjwal Life (sp)

Shriram Combi Life Insurance Plans

Combi Life Insurance Plans are comprehensive insurance plans from Shriram life insurance
premeditated to cater the needs of both life and health protection cover. Various type of
Combi Life Insurance Plans offered by Shriram finance are

Star Shri Family Care - In today’s age we all are vulnerable towards life threatening
diseases and the swelling medical expenses. Star Shri Family Care offers complete coverage
for our life and takes care of healthy expenses at the same time. The benefits include regular

18
hospitalization benefits on floater basis and provides lump sum assured payment in the event
of death.

Star Shri Individual Car - In partnership with Star Health and Allied Insurance Co. Ltd.,
this plan assures all medical expenses such as Hospitalization Cover, nursing, surgeon
expenses all are taken care of while a sum assured in integrated in the event of death of
person insured.

Shriram Life Insurance Endowment Plans

Shriram Endowment Life Insurance Plan is a unique combination of triple benefit of saving,
insurance and tax benefits with assured return. Various type of endowment plans offered are

New Shri Life - A participating endowment plan from Shriram life insurance offering
systematic savings option and unswerving protection cover against any misfortune event in
future. Apart from enhanced return on investment due to compounding reversionary bonuses,
the plan proffers return on maturity as well.

New Shri Raksha - A non-linked participating plan from Shriram life insurance with
integrated double insurance protection during the term and traditional life coverage after the
maturity of plan term. Sum assured survival is another luminous benefit of the plan.

New Shri Vidya - An Endowment plan from Shriram life insurance designed to accomplish
the dream of children. Adjustable survival benefits as per the financial requirement of a
child's education and insurance cover for continuity of education in the event of any
misfortune event of any calamity are the key advantages of the plan.

New Shri Vivah - An Investment based plan from Shriram life insurance to make the
marriage of our loved one most memorable of their life. With expert guidance from Shriram
insurance the financial requirement for marriage is taken care of.

Shriram Group Life Insurance Plans:

To strengthen the relationship of Employer and employee and other groups with members
under the same set of contracts, Shriram Group Life Insurance Plans are good. The group
insurance in most cases is a part of employee benefit package, wherein the major chunk of
premium is paid by the employer or company.

Eligibility of Group plans

19
  Employer- Employee Group
 Creditor- Debtor Groups
 Professional Groups
 Miscellaneous Groups such as SHC etc.

Shriram Micro Life Insurance Plans

Micro Life Insurance Plans are designed to meet the insurance requirement of those who
cannot afford the regular premium plans due to their financial limitations.

Various type of plans under this category are

Shri Sahay - A Micro Insurance plan from Shriram life insurance offered in two premium
variants as single premium or special premium (one time). The premium is paid either one
time or for a particular term, however it offers insurance cover for lifetime to the weaker
section of society.

Shriram Grameena Suraksha - A non-linked non-participating term insurance plan from

Shriram life insurance which provides insurance cover to the rural segment of economy at an
affordable premium.

Shriram Life Insurance Savings Plans

The convention & comfort Savings is an integral part of financial planning for most of the
Indian Consumers. At Shriram Life insurance, the products for saving cum insurance plans
are tailor-made to encourage the same.

New Shri Life - A participating endowment plan offering systematic savings option and
unswerving protection cover against any misfortune event in future. Apart from enhanced
return on investment due to compounding reversionary bonuses, the plan proffer return on
maturity as well.

New Shri Raksha - A non-linked participating plan from Shriram life insurance with
integrated double insurance protection during the term and traditional life coverage after the
maturity of plan term. Sum assured survival is another luminous benefit of the plan.

New Shri Vidya - An Endowment plan from Shriram life insurance designed to accomplish
the dream of children. Adjustable survival benefits as per the financial requirement of a
20
child's education and insurance cover for continuity of education in the event of any
misfortune event of any calamity are the key advantages of the plan.

New Shri Vivah - An Investment based plan from Shriram life insurance to make the
marriage of our loved one most memorable of their life. With expert guidance from Shriram
insurance the financial requirement for marriage is taken care of

New Akshay Nidhi Plan - A savings cum investment plan from Shriram life insurance with
triple benefit of savings, investment and insurance. The plan offers periodical survival
benefits apart from the maturity and death benefits.

Shriram Secure Investment Plan - A onetime investment cum insurance plan from Shriram
life insurance with double benefit of life protection and earning on capital investment.
Customers can avail the tax benefit as per IT rules.

Shriram Women Life Insurance Plans:

Shriram insurance salutes the spirit of womanhood by offering customized options in their
bouquet of plan. The options are provided basis the category to which they belong i.e.

 Working women, who have a regular source of income.

 Women who get their earnings via various interests, rent, dividend, etc. Their incomes
from these sources are also taxable.
 Homemakers, who do not have any fixed source of regular income.
 Term Insurance Plans: the traditional plans to offer financial protection to self and
the family. Apart from protection cover on life, it ensures the life of family and other
dependents is unscathed even when they are not around.
 Retirement Insurance Plans: for working women, to lead a contented and pleasant
lifestyle even post-retirement. Retirement Insurance Plans make certain the financial
obligation such as medical expenses etc are not a matter of fret after the regular
income source is clogged.
 Child Insurance plans: Being a mother, brings higher degree of responsibility and
Child Insurance plans in Shriram insurance for women share the load of this
responsibility. All the way from their higher education to their daughter's marriage
and any further expenses, every bend of expenses is taken care of.
 Health Insurance Plans: Different kinds of health insurance plans have been
designed to especially cater to women’s health requirements. These insurance plans
21
 provide cover for a wide range of critical illnesses for singles mothers, working
mothers, single ladies and married women. There are also other insurance plans that
offer cover for personal accidents and risks pertaining to travelling.

Online Life Insurance Plans from Shriram Life Insurance

Shriram insurance offers an online platform for the purchase of plans online. Enrolling plans
online is not a hassle-free process, but it also brings transparency into the entire process.
Some of the key benefits of online conscription of Shriram life insurance plans are

 Lower enrolment cost as the customer can enrol directly without the involvement of
any third party. As there are no intermediaries the commission charges are not applied
on the cost of purchasing the plans.
 Larger Cover: Because of the lesser add-on costs on the company, it provides more
insurance coverage to the online policy buyer in comparison to the one who buys
plans via traditional methods.
 Greater Transparency: Policyholders can review their plans periodically and
monitor them. All the access to all the information regarding the insurance plans such
as its terms and conditions, features, etc., is duly placed on the company’s website.
They can also compare between various plans and features with the help of
information available, making the evaluation more accurate and easier.
 Multiple option and easy comparison: The buyer can compare instantly amongst
various plans based on the past records of the insurance company and the collective
experience of the people and then choose the plan as per their requirement
 More opportune and tranquil: It is relatively uncomplicated to buy insurance plans
online. Post evaluation, one can buy plans with few steps and clicks.

Other Online facilities from Shriram life Insurance

 Online renewal of policies

 Premium payment online
 Calculators such as
 Premium Calculator
 Human Life value calculator
 Minimum life value calculator

22
Claim Settlement Ratio:

Shriram Life insurance is one of the leading insurers operating in the life insurance industry.
The insurer follows a simple and hassle-free claim settlement process and its claim settlement
ratio (CSR) for the financial year 2020-21 is 95.12%, indicating the quick settlement of death
claims. This CSR value indicates the reliability of an insurer. The more the CSR value, the
more credibility the insurer has.

Number of intimated Number of Claims paid Claims Settlement Ratio

Claims
3681 3506 95.12%

Now, let’s understand the claim settlement ratio trend of last 3 year

YEAR 2017-2018 2018-2019 2019-2020 2020-2021

Claim
Settlement
Ratio 80.23% 85.30% 91.61% 95.12%

Shriram Life Insurance Company offers a simpler and hassle-free claim experience. The
insurer provides both online as well as offline modes of claim settlement to its customers. To
intimate the insurer about a claim, a nominee must visit the claim intimation page online
through the official website of the company. Fill in all the required details and submit the
requested documents to the claims department. You can also report and submit the claim

23
supporting documents to the nearest office branch. Then, the claim documents will be
reviewed by the claims team and the assured pay-out is provided to the claimant.

As discussed, the nominee is required to submit the following documents at the time of
making a claim:

Mandatory Documents

 Original Policy Documents

 Death certificate issued by the local authorities
 Death intimation form

Claim Supporting Documents

 ID proof
 Age proof
 Address Proof
 Duly filled claim application form
 Nominee’s passbook
 FIR and post-mortem copy attested by the policy authority,

in case of an accidental death

CHAPTER-IV
ANALYSIS AND INTERPRETATION OF DATA

24
 In this chapter, the following statistical tools and techniques were used to analyse the
details from the data collection.

4.1 SIMPLE PERCENTAGE ANALYSIS:

In research various percentages are to be used for analysis. The data observed will be
converted into percentages for easy understanding. Simple percentage analysis refers to a
special kind of ratio. With the help of absolute figures, it will be difficult to interpret any
meaning from the collected data, but when the figures are represented as percentages, it
becomes easy to find the relative difference between two or more attributes.

Percentage = Number of respondents x 100

Total number of respondents

4.2 DESCRIPTIVE STATISTICS:

Descriptive statistics are used to describe the basic features of the data in the study.
They provide simple summarizes about the sample and the measures. The term “descriptive
statistics” refers to the analysis, summary, and presentation of findings related to a data set
derived from a sample or entire population. Descriptive statistics provides us the tools to
define our data in a most understandable and appropriate way.

4.2 Likert Scale

A Likert Scale is a type of rating scale used to measure attitude or opinion. With this
scale, respondents are asked to rate items on level of agreement. For example,
• Highly Satisfied
• Satisfied
• Neutral
• Dissatisfied
• Highly Dissatisfied

4.3 Henry Garret Ranking:

This technique was used to evaluate the problems faced by the researchers. The orders
of merit given by the respondents were converted in to rank by using the formula. Garrett’s
ranking technique was used to rank the preference indicated by the components on different
factors. As per this method, respondents have been asked to assign the rank for all factors and
the outcomes of such ranking have been converted more value.
25
 Percent Position ═ 𝟏𝟎𝟎 (𝐑𝐢𝐣−𝟎.𝟓) X 100
Nj
Where,
Rij = Rank given for the ith variable by jth respondents.
Nj = Number of variables ranked by jth respondents.
With the help of garrett’s table, the percentage position estimated is converted into
scores then for each factor, the scores of each individual are added and then total value of
scores and 36 mean value of scores is calculated. The factors having highest mean value is
considered to be the most important factor.

TABLE NO.4.1.1
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED
ON THEIR AGE
1.Age:
Age Number of Respondents Percentage
15-30 years 31 26
31-40 years 42 35
51-50 years 36 30
Above 50 years 11 9
Total 120 100

Source: Primary data

INFERENCE:

26
 The above table shows that 35% respondents belong to the age group 31-40 years,
followed by 30% are belong to the age group of 51-50 years, followed by 26% are belongs to
the age group of 15-30 years, and 9%of them belong to the age group Above 50 years

CHART NO 1.1

27
TABLE NO.4.1.2

28
 TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED
ON THEIR GENDER
2. Gender:
Gender Number of Respondents Percentage
Male 85 71
Female 35 29
Total 120 100

Source: Primary data

INFERENCE:
The above table shows that the majority 71% are male, followed by 29%are female.

CHART NO 1.2

29
TABLE NO.4.1.3

30
 DISTRIBUTION OF RESPONDENTS BASED ON THEIR MARITAL
STATUS
3.Marital Status:
Marital Status Number of Respondents Percentage
Married 103 86
Unmarried 17 14
Total 120 100

Source: Primary data

INFERENCE:
The above table shows that the majority of 86% of the respondents are Married, and
the 14% of respondents are Unmarried.

CHART NO 1.3

31
32
 TABLE NO.4.1.4
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED
ON THEIR EDUCATIONAL QUALIFICATION

4.Educational Qualification:
Educational Qualification Number of Respondents Percentage
No formal education 22 18
School level 55 46
Graduate 43 36
Total 120 100

Source: Primary source

INFERENCE:
The above table shows that the majority of 46% of the respondents are School level,
followed by 36% of the respondents are Graduate, and 18% of the respondents have formal
education.

CHART NO 1.4

33
 TABLE NO.4.1.5
DISTRIBUTION OF RESPONDENTS BASED ON THEIR
FAMILY TYPE
5.Family type:
Family type Number of Respondents percentage
Nuclear family 80 67
Joint family 40 33
Total 120 100

Source: Primary data

INFERENCE:

34
 The above-mentioned table shows that the majority 67% of respondents are from
nuclear families, and 33% of respondents are from joint families.

CHART NO.1.5

35
 TABLE NO..4.1.6
DISTRIBUTION OF RESPONDENTS BASED ON THEIR
ANNUAL INCOME
6.Annual income:
Annual Income Number of Respondents Percentage
Below Rs.3,00,000 57 48
Rs.3,00,001-5,00,000 59 49
Above Rs. 5,00,000 4 3
Total 120 100

Source: Primary data

INFERENCE:
The above table shows that the majority 49% of respondents earn annual income
between Rs.3,00,001-5,00,000, followed by 48% of the respondents earn annual income
below Rs.3,00,000 and 3% of the respondents earn above Rs. 5,00,000.
.

36
 CHART NO 1.6
*

37
 TABLE NO.4.1.7
DISTRIBUTION OF RESPONDENTS BASED ON THEIR
OCCUPATION
7. Occupation:
Occupation Number of Respondents percentage
Business 46 38
Agriculture 30 25
Employee 36 30
Others 8 7
Total 100 120

Source: Primary data

INFERENCE:
The above table shows that 38% of the respondent’s occupation is business and
followed by 30% of them are employee’s and 25% of them are farmer's and the rest of them
belong to other occupation groups.
38
CHART NO 1.7

39
 TABLE NO.4.1.8
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON
FACTORS INFLUENCED TO GET INSURANCE POLICY

Factors Number of respondents Percentages

Media 8 7

Insurance Agent 36 30

Federal Government 4 3

Friends 33 27.5

Neighbour 21 17.5

Others 18 15

40
 Total 120 100

Source: Primary data

INFERENCE:

The above table shows that 30% of the respondents were influenced by Insurance agent to
insured, followed by 27.5% of them were influenced by Friends, 17.5% of them were
influenced by Neighbours, 15% of them were influenced by Others, 7% of them were
influenced by Media and 3% of them were influenced by Federal government .

TABLE NO.4.1.9
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON
TYPES OF INUSRANCE POLICIES

Insurance Plans Number of respondents Percentage

Child Life Insurance Plan 10 8

Pension Life Insurance Plan 23 19

Term Life Insurance Plan 16 13

Investment Linked Life 1 1

Insurance Plan
41
 Endowment Life Insurance 6 5
Plan
Group Life Insurance Plan 2 2

Micro Life Insurance Plan 3 3

Saving Plan 49 41

Women Life Insurance Plan 10 8

Combi Life Insurance Plan - -

Total 120 100

Source: Primary data

INFERENCE:
The above table shows that 41% of the respondents are insured to Saving plan, followed 19%
of them are insured to Pension life insurance plan, 13% of them are insured to Term life
insurance plan, 8% of them are insured to Child and Women life insurance plan, 5% of the
are insured to Endowment life insurance plan ,3% of them are insured to Micro life insurance
plan , 2% of them are insured to Group life insurance plan , and 1% of them are insured to
Investment linked life insurance plan.

TABLE NO.4.1.10

TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON

AVERAGE TERM POLICY

Average term policy No of respondents Percentage

Below 5 years 37 31

5 - 10 years 50 42

42
 11 - 15 years 21 17.5

15 - 20 years 12 10

Total 120 100

Source: Primary data

INFERENCE:
The above table shows that 42% of the respondents were investing between 5-10 years,
followed by 31% of them were investing below 5years, 17.5% of them were investing 11-15
years and 10% of them were investing between 15-20 years.

TABLE NO.4.1.11
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON
PAYMENT OF PREMIUM

Payment of premium No of respondents Percentage

Monthly 42 35

43
 Quarterly 26 22

Half Yearly 30 25

Yearly 22 18

Total 120 100

Source: Primary Data

INFERENCE:
The above table shows that 35% of the respondents are pay premium Monthly, followed 25%
of them pay Half yearly, 22% of them pay Quarterly, and 18% of them pay Yearly.

TABLE NO.4.1.12
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON
POLICY CLAIM

44
 Policy claim No of respondents Percentage

Yes 57 47.5

No 63 52.5

Total 120 100

Source: Primary Data

INFERENCE:
The above table shows that majority (52.5%) of the respondents have not claimed
their policy, followed by 47.5% respondents have claimed their policy.
.

TABLE NO.4.1.13
45
 TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON
PERCEPTION TOWARDS CLAIM SETTLEMENT

Perception towards claim No of respondents Percentage

settlement

Highly Satisfied 29 24

Average 28 23

Dissatisfied - -

None 63 53

Total 120 100

Source: Primary Data

INFERENCE:
The above table shows that majority (53%) of the respondents were not claimed, followed by
24% of the were claimed averagely satisfied and 23% of them were claimed Highly satisfied.

TABLE NO 4.1.14
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED
ON CLAIM SETTLEMENT IN TIMELY MANNER
Claim settlement No of respondents Percentage
Yes 53 44
No 5 4.2
Not yet 62 52
Total 120 100

Source: Primary data

INFERENCE:

46
The above table shows that majority (52%) of the respondents have not yet claimed their
policy followed by 44% of them are claimed timely manner and 5% of them are not claimed
at time.

TABLE E NO 4.1.15
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON
COMSUMER EXPECTATION
Expectation No of respondents Percentage
Innovation 34 28
Better customer service 35 29
47
 Alternative riders 24 20
High risk coverage 27 23
Total 120 100

Source: Primary data

INFERENCE:
The above table shows that 29% of the respondents expect better customer service, followed
by 28% of them are expect Innovation, 23% of them are expect High risk coverages and 20%
of them are expect Alternative Riders.

TABLE NO.4.1.18
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON
SATISFACTION

Satisfaction No of respondents Percentage

Highly Satisfied 78 65

Satisfied 42 35

48
 Dissatisfied - -

Total 120 100

Source: Primary data

INFERENCE:
The above table shows that majority (65%) of the respondents are Highly satisfied, followed
by 35% of them are not satisfied.

TABLE 4.2.1

TWO WAY TABLE SHOWING THE RELATIONSHIP BETWEEN GENDER AND

KINDS OF POLICIES .

A B C D E F G H I J
Male 11 17 13 1 3 0 3 35 2 0 85
(100 (8 (76% (100 (60% (-) (100 (67% (22% (-)
%) 5 ) %) ) %) ) )
%
)
Female 0 3 4 0 2 2 0 17 7 0 35
(-) (1 (24% (-) (40% (100 (-) (33% (78% (-)
5 ) ) %) ) )
%
)
11 20 17 1 5 2 3 52 9 0 120
(100 (1 (100 (100 (100 (100 (100 (100 (100 (-)
%) 00 %) %) %) %) %) %) %)
%
)

49
TABLE 4.3.1
CHI SQUARE TABLE SHOWING THE RELATIONSHIP BETWEEN THE GENDER
AND KINDS OF POLICIES.
Hypothesis: There is significant relationship between the gender and kinds of policies .
Observed frequency Expected frequency O-E (O-E)2/E
(0)ed frequency (O) (E)
11 7.7916 3.2084 1.3211
17 14.1666 2.8334 0.5666
13 12.0416 0.9584 0.0762
1 0.7083 0.2917 0.1201
3 3.5416 - 0.5416 0.0828
0 1.4166 - 1.4166 1.4166
3 2.125 0.875 0.3602
35 36.833 -1.833 0.0912
2 6.375 -4.375 3.0024
0 0 0 0
0 3.2083 -3.2083 3.2083
3 5.8333 -2.8333 1.3761
4 4.9583 -0.9583 0.1852
0 0.2916 -0.2916 0.2916
2 1.4583 0.5417 0.2012
2 0.5833 1.4167 3.4408
0 0.875 -0.875 0.875
17 15.666 1.8334 0.2216
7 2.625 4.375 7.2916
0 0 0 0
TOTAL 24.1286
Degree of freedom V=(r-1) (c-1)
=(2-1) (10-)
=9

50
 TABLE NO 4.2.1

TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON

LEVEL OF PERCEPTION
Range Level of Perception Number of Percentage%
respondents
Above 27 Agree 120 100
51
 19-26 Neutral Nil Nil
Below 18 Disagree Nil Nil
Total 120 100

Source: primary data

INFERENCE:
The above table shows that majority (100%) of the respondents are agreed with the service
provided by Shriram Life Insurance Company

TABLE.4.3.1
PERCENTILE POSITION AND GARRETT VALUE

S.NO 100 (Rij -0.5)/10 Calculated value Garrett value

1 100(1-0.5)/10 9.95 76
2 100(2-0.5)/10 19.95 67
3 100(3-0.5)/10 29.95 67
4 100(4-0.5)/10 39.95 55
5 100(5-0.5)/10 49.95 50
6 100(6-0.5)/10 59.95 45
7 100(7-0.5)/10 69.95 40
8 100(8-0.5)/10 79.95 34
9 100(9-0.5)/10 89.95 25
10 100(10-0.5)/10 99.95 1

INFERENCE:
Position of the rank 1,2,3,4,5,6,7,8,9 & 10 in the Garrett ranking table for the
rank 1, the percentage position is calculated as 9.95 and the table values 76 and
in the same way the Garrett value of rank 2 to 10 is Identified.

TABLE.4.3.2
GARRETT RANKING TABLE

52
PO TO
LIC TA RA
IES 1 2 3 4 5 6 7 8 9 10 L NK
Chil
d
life
insu
ran
ce 304 134 855 1100 1250 585 840 340 200 2 5610 7
Ter
m
life
insu
ran
ce 2356 2948 798 550 300 360 0 204 25 0 7577 2
Pen
sion
life
insu
ran
ce 1064 2613 1653 550 450 90 320 102 150 0 6992 3
Inve
stm
ent
link
ed 152 134 228 440 250 495 680 1054 550 80 4001 9
End
ow
men
t life
insu
ran
ce 532 1206 1254 1375 950 720 320 136 25 0 6518 4
Gro
up
life
insu
ran
ce 0 335 684 660 550 585 1160 476 100 2 4552 8
Mic
ro
life
insu
ran
ce 380 335 912 990 800 900 760 442 200 0 5719 5
savi 5548 1139 285 273 200 90 80 136 150 2 7905 1
ng
life
53
 insu
ran
ce
Wo
men
life
insu
ran
ce 608 670 570 605 900 855 760 544 200 1 5713 6
Co
mbi
life
insu
ran
ce 0 67 57 110 150 45 160 612 1300 38 2539 10

INFERENCE:
The above table sources that Garret score value and ranking. Firstly, the Garret rank are
calculated by using appropriate garret ranking formula. Then based on the Garret ranks the
Garret table value is ascertained. The Garret value given in which are multiplied to record
Garret scores in table.
Finally, by adding each row the total garret score is obtained. Then the garret scores are
ranked according to their values:
The First Rank is given to “Saving Plan”
The Second Rank is given to “Term Life Insurance Plan ˮ
The Third Rank is given to “Pension Life Insurance Plan ˮ
The Fourth Rank is given to “Endowment Life Insurance Plan ˮ
The Fifth Rank is given to “Micro Life Insurance Plan ˮ
The Sixth Rank is given to “Women Life Insurance Plan ˮ
The Seventh Rank is given to “Child Life Insurance Plan ˮ
The Eight Rank is given to “Group Life Insurance Plan ˮ
The Ninth Rank is given to “Investment Linked Life Insurance Plan ˮ
The Tenth Rank is given to “Combi Life Insurance Plan ˮ

54
 TABLE 4.6.1

PROBLEMS YES No TOTAL

Financial Security 30(25%) 90(75%) 120
Fear of Fraud 16(13%) 104(87%) 120
Terms and 40(33%) 80(67%) 120
Conditions
Lengthy Legal 32(27%) 88(73%) 120
Formalities
Potential Crime 28(23%) 92(77%) 120
Incidents
Hidden Clauses 33(27.5%) 87(72.5%) 120
Limited Offers 48(40%) 72(60%) 120
TOTAL

TABLE.4.6.2

PROBLEMS MEAN VALUE

Financial Security 0.25
Fear of Fraud 0.13
Terms and 0.33
Conditions
Lengthy Legal 0.27
Formalities
Potential Crime 0.23
Incidents
Hidden Clauses 0.28
Limited Offers 0.4
Source : Primary data
INFERENCE:
The above table shows that the hidden clauses the respondents have highly agreed 0.28,
followed by Lengthily legal formalities 0.27, Financial security

55
 CHAPTER -V

FINDINGS, SUGESSTION AND CONCLUSION

5.1 FINDINGS
5.1.1 SIMPLE PERCENTAGE ANALYSIS
 Mostly 35% of the respondents are between 31 –40 years of age group.
 Majority (71%) of the respondents are Male.
56
  Majority (86%) of the respondents are Married.
 Mostly 46% of the respondents studied up to School level.
 Majority (67%) of the respondents are from nuclear family.
 Mostly 49% of the respondents are earning Annual income between Rs.
3,00,001-5,00,000.
 Mostly 38% of the respondents Occupation is Business.
 Mostly 30% of the respondents were influenced by Insurance Agent.
 Mostly 41% of the respondents are insured to Saving plan.
 Mostly 42% of the respondents were investing between 5-10 years.
 Mostly 35% of the respondents are paying premium Monthly.
 Majority (52.5%) of the respondents have not claimed their policy.
 Majority (53%) of the respondents were not claimed their policy.
 Majority (52%) of the respondents have not yet claimed their policy.
 Mostly 29%of the respondents expect better customer service.
 Majority (65%) of the respondents are Highly satisfied.
5.1.4 LIKERT SCALE:
Majority (100%) of the respondents are satisfied with the level of perception towards
the services provided by Shriram Life insurance company.
5.1.5 GARRET RANKING:
The highest score is awarded to “Savings Plan”, the least score is awarded to “Combi
Life insurance”

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 TABLE NO 4.18
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON
CONSUMER SATISFACTION
Satisfaction No of respondents Percentage
Highly satisfaction 78 65
Average 42 35
Dissatisfaction - -
Total 120 100
Source: Primary data

INFERENCE:
The above table shows that majority (65%) of the respondents are Highly satisfied and 35%
of them are Averagely Satisfied.

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 TABLE NO 1.19
TABLE SHOWING DISTRIBUTION OF RESPONDENTS BASED ON
PROBLEMS FACED
PROBLEMS FACED YES NO TOTAL
Financial security
Fear of fraud
Terms and conditions
Lengthy legal formalities
Potential crime incidence
Hidden clauses
Limited offers
Source: Primary data
INFERENCE:

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