Main Project on birla sun life insurance

INTRODUCTION What is insurance? “Insurance is a contract between two parties whereby one party called insurer undertakes in exchange for a fixed amount of money on the happening of a certain event”. Insurance is a protection against financial loss arising on the happening of an unexpected event. Insurance companies collect premiums to provide for this protection. A loss is paid out of the premium collected from the insuring public and the insurance companies act as trustees to the amount collected. For example, in a life policy, by paying a premium to the insurer, the family of the insured person receives a fixed compensation on the death of the insured. Similarly, in car insurance and general insurance in the event of the car meeting with an accident, the insured receives the compensation to the extent of damage.

Why should you take insurance? Insurance is desired to safeguard oneself and one‟s family against possible losses on account of risks and perils. It provides financial compensation for the losses suffered due to the happening of any unforeseen events. By taking life insurance a person can have peace of mind and need not worry about the financial consequences in case of any untimely death. Certain insurance contracts are also made compulsory by legislation. For example, motor vehicles act 1988, stipulates that a person driving a vehicle in a public place should hold a valid insurance policy covering “act “risks. Another example of compulsory insurance pertains to the environmental protection act, wherein a person using or carrying hazardous substances (as defined in the act) must hold a valid public liability (act) policy.

Who provides insurance? In India, prior to liberalization insurance protection was made available through public sector companies, namely Life insurance Corporation of India (LIC) and the four subsidiaries of general Insurance Corporation of India (GIC). By the passing of the IRDA bill, insurance sector has been opened up for private companies to carry on insurance business.

What is the procedure to obtain insurance?   

Approach the insurance companies directly or through insurance agents of the concern companies or through intermediaries. Complete proposal FORM giving full details. Submit date of birth certificate and other relevant documents. Insurance contracts are based on good faith i.e. the details furnished by the proposer are accepted in good faith and this will form the basis of the contract.

What are the benefits of taking insurance? 1. Tax relief: under section 88 of Income tax act, a portion of premiums paid for life insurance policies are deducted from tax liability. Similarly, exemption is available for health insurance policy premiums. Money paid as claim including bonus under a life policy is exempted from payment of income tax. 2. Encourages savings: An insurance scheme encourages thrift among individuals. It

inculcates the habit of saving compulsorily, unlike other saving instruments, wherein the saved money can be easily withdrawn. 3. The beneficiaries to an insurance claim amount are protected from the claims of creditors by affecting a valid assignment. 4. for a policy taken under the MWP act 1874, (married women‟s property act) a trust is created for wife and children as beneficiaries. 5. Life policies are accepted as a security for a loan, they can also be surrendered for meeting unexpected emergencies. 6. Based on the concept of sharing of losses, the society will benefit as catastrophic losses are spread globally.

INSURANCE REGULATORY AND DEVELOPMENT AUTHORITY (IRDA) ACT, 1999 The Insurance Regulatory and Development Authority (IRDA) is a national agency of the GOVT. OF INDIA, based in HYDERABAD. It was formed by an act of Indian Parliament known as IRDA Act 1999, which was amended in 2002 to incorporate some emerging requirements. Mission of IRDA as stated in the act is "to protect the interests of the policyholders, to regulate, promote and ensure orderly growth of the insurance industry and for matters connected therewith or incidental thereto." In 2010, the Government of India ruled that the Unit Linked Insurance Plans (ULIPs) will be governed by IRDA, and not the market regulator Securities and Exchange Board of India.

FUNCTIONS OF IRDA: 1. Issue to the applicant a certificate of registration, renew, modify, withdraw, suspend or Cancel such registration. 2. Protection of the interests of the policy holders in matters concerning assigning of Policy, nomination by policy holders, insurable interest, settlement of insurance claim, Surrender value of policy and other terms and conditions of contracts of insurance. 3. Specifying requisite qualifications, code of conduct and practical training for Intermediary or insurance intermediaries and agents. 4. Specifying the code of conduct for surveyors and loss assessors. 5. Promoting efficiency in the conduct of insurance business. 6. Promoting and regulating professional organizations connected with the insurance and Reinsurance business. 7. Levying fees and other charges for carrying out the purposes of this Act. 8. Calling for information from, undertaking inspection of, conducting enquiries and investigations including audit of the insurers, intermediaries, insurance intermediaries and other organizations connected with the insurance business. 9. Control and regulation of the rates, advantages, terms and conditions that may be offered by insurers in respect of general insurance business not so controlled and regulated by the Tariff Advisory Committee under section 64U of the Insurance Act, 1938 (4 of 1938). 10. Specifying the form and manner in which books of account shall be maintained and

statement of accounts shall be rendered by insurers and other insurance intermediaries. 11. Regulating investment of funds by insurance companies. 12. Regulating maintenance of margin of solvency. 13. Adjudication of disputes between insurers and intermediaries or insurance intermediaries; 14. Supervising the functioning of the Tariff Advisory Committee. 15. Specifying the percentage of premium income of the insurer to finance schemes for promoting and regulating professional organizations referred to in clause (f).

LITERATURE REVIEW Insurance is a must because of the uncertain future adversities of life. Accidents, illnesses, disability etc are facts of life that can be extremely devastating. Other than the hospitalization, medication bills these may run up it‟s the aftermath of the incident, the physical well being of the individual that has to be taken into consideration. Will the individual be in a position to earn as before? A pertinent question, But what if he is not? Disability can be taken care of by insurance. Your family will not have to go through the grind due to your present inability. You think twice before taking the plunge into buying insurance. Is buying insurance a necessity now? Spending an 'extra' amount as premium at regular intervals where you do not see immediate benefits does not seem a necessity at the moment. May be later well you could be wrong. Buying Insurance cannot be compared with any other form of investment. Insurance gives you a lifelong benefit and the returns will definitely come but only when you need it the most i.e. at the right time. Besides buying insurance early in life is one of the wise decisions you could take. Because the premium you would be paying would be comparatively lower. INSURANCE HISTORY INSURANCE IN INDIA The insurance sector in India has come a full circle from being an open competitive market to nationalization and back to a liberalized market again. Tracing the developments in the Indian insurance sector reveals the 360 degree turn witnessed over a period of almost two centuries. A brief history of the Insurance sector The business of life insurance in India in its existing form started in India in the year 1818 with the establishment of the Oriental Life Insurance Company in Calcutta. Some of the important milestones in the life insurance business in India are: 1912: The Indian Life Assurance Companies Act enacted as the first statute to regulate the life insurance business. 1928: The Indian Insurance Companies Act enacted to enable the government to collect statistical information about both life and non-life insurance businesses. 1938: Earlier legislation consolidated and amended to by the Insurance Act with the objective of protecting the interests of the insuring public. 1956: 245 Indian and foreign insurers and provident societies taken over by the central government and nationalized. LIC formed by an Act of Parliament, viz. LIC Act, 1956, with a capital contribution of Rs. 5 core from the Government of India. The General insurance business in India, on the other hand, can trace its roots to the Triton Insurance

Company Ltd., the first general insurance company established in the year 1850 in Calcutta by the British.

COMPANY PROFILE SYMBOL

Birla Sun Life Insurance: Birla Sun Life Insurance Company (BSLI) is an industry leader and ranks among the top five private players with a market share of 8.4 per cent in terms of new business premium for FY 2009-10. Since its inception, it has been credited for innovation in products and services. The company offers a spectrum of products to meet the growing needs of individuals and group customers through a multichannel distribution network. In recent times, the company has quadrupled the distribution network to 600 branches and more than 170,000 advisors. With a rapidly growing national footprint, the company is now positioned to capture an increased market share in the fast growing life insurance market. BSLI enjoys the support of over 675 corporate agents that include Citibank NA, Deutsche Bank, Catholic Syrian Bank, Karur Vysya Bank, Development Credit Bank, Bajaj Capital, BSDL Insurance Advisory Services, Karvy Insurance, Anand Rathi and Angel Broking. The company offers a range of solutions that include protection, health, wealth with protection, children and retirement needs, and has an extensive pan-India reach with over 650 branches. Enjoying the trust of over two million customers, BSLI is ranked among the top five private life insurance companies in India today. The company has pioneered the launch of Unit Linked Life Insurance Plans (ULIPs) in India and was the first to introduce benefit illustrations, free-look period and issue policies through the internet.

ADITYA BIRLA FINANCIAL SERVICE GROUP: The ADITYA Birla Group through ADITYA Birla Financial Services Group (ABFSG) has a strong presence across various financial services verticals that include life insurance, fund management, distribution and wealth management, security-based lending, insurance broking, private equity and retail broking. In FY 2008-09, the consolidated revenues of ABFSG from these businesses crossed Rs.4763 crore, registering a growth rate of 36 per cent.

ABOUT SUN LIFE FINANCIAL INC: Sun Life Financial is a leading international financial services organization providing a diverse range of protection and wealth accumulation products and services to individuals and corporate customers. Chartered in 1865, Sun Life Financial and its partners today have operations in key markets worldwide, including Canada, the United States, the United Kingdom, Ireland, Hong Kong, the Philippines, Japan, Indonesia, India, China and Bermuda.

As of 31 March 2009, the Sun Life Financial group of companies had total assets under management of $375 billion.

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Birla Sun Life Insurance Company Ltd. (BSLI) won the prestigious „Good Corporate Citizen Award‟ from Bombay Chamber of Commerce and Industry for the year 200910 under the category of „Banking and Financial Institutions ICAI Awards for Excellence in Financial Reporting, Awarded a Silver Shield in the Insurance category by the Institute of Chartered Accountants of India (ICAI) for the financial year ended 31st March, 2009 Outlook Money Awards 2004 BSLI - Best Life Insurer (Runner Up) 2004 TROPHY. The 8th Asia Insurance Industry Awards 2004 - Birla Sun Life Insurance was among the top five nominees in the category. Birla Sun Life Insurance was awarded 'The Great Place to Work Seminar Series 2007‟ Presented by Anil Sachdeva Robert Levering (Co-founder Great Place to Work Institute) and Jehangir Pocha (Business World Magazine). The BhartiyaShiromaniPuraskar awarded to BSLI at the seminar on "Economic Development” New Delhi, on February 13, 2006. This is a Certificate of Excellence for Enhancing the image of India presented by Dr. BhishmaNarain Singh (Former Governor of Tamil Nadu & Assam) in association with the "Institute of Economic Studies (IES)".

Types of Birla Sun life insurance: Taking out a life insurance policy covers the risk of dying early, by providing for one‟s family in the event of one‟s death. It also manages the risk of retirement providing an income for one in non- earning years. There are a variety of policies available in the market, ranging from term endowment and whole life insurance, to money back policies, ULIPS, and pension plan. Term insurance: Term insurance, as the name implies, is for a specified period, and has the lowest possible premium among all insurance plans. You can select the length of the term for which you would like coverage, up to 35 years .payments are fixed and do not increase during your term period . In case of an untimely death, your dependents will receive your benefit amount specified in the term life insurance agreement. Endowment insurance: Endowment insurance is ideal if you have a short career path, and hope to enjoy the benefits of the plan in your life time. Endowment plans are especially useful when you retire, by buying an annuity policy with the sum received, generates a monthly pension for the rest of your life. Whole life insurance: Whole life policies have no fixed end date for the policy, only the death benefit exists and is paid to the named beneficiary. The policy holder is not entitled to any money during his or her lifetime, i.e. there is no survival benefit. Money back plan: Regularly receive a percentage of the sum assured during the life time of the policy. Money

back plan are ideal for those who are looking for the product that provides both insurance cover and savings. It creates a long term savings opportunity with a reasonable rate of return. ULIP: It introduced by the private players, are hugely popular, because they combine the benefits of life insurance policies with mutual funds. A certain part of premium is invested in listed equities/debt funds, bonds and the balance is used to provide for life insurance and fund management expenses. Pension plan: Insurance companies offer two kinds of pension plans-endowment and unit linked. Endowment plan invest in fixed income products, so the rate of return is very low. Unit linked plans are more flexible.

Private market players in life insurance industry:                 

HDFC standard life insurance limited. Max New York life insurance co. ltd. ICICI prudential life insurance co.ltd. Kotak Mahindra old mutual life insurance ltd. BIRLA sun life insurance ltd. Tata AIG LIFE insurance co.ltd. SBI life insurance co.ltd. ING Vysya life insurance co. Private ltd. BAJAJ Allianz life insurance co. MetLife India insurance co. Future generally India life insurance IDBI fortis life insurance co.ltd. Reliance life insurance ltd. Aviva life insurance co. private ltd. Sahara India insurance co. ltd. Shriram insurance co. ltd. Bharti axa life insurance co.ltd Figure: 1 Total Percentage of Company’s Share

Products offered by the company: The many pioneering activities by BIRLA sun life include unit linked life insurance solutions, investment linked insurance products and web based insurance policies.  Protection plans,  saving plans ,  health solution plans,  retirement plans,  children plans,  rural plans,  group plans,  NRI plans

VISION To be a world class provider of financial security to individuals and corporate and to be amongst the top three private sector life insurance companies in India.

MISSION To be the first preference of our customers by providing innovative, need based life insurance and retirement solutions to individuals as well as corporates. These solutions will be made available by well-trained professionals through a multi channel distribution network and superior technology. Our Endeavour will be to provide constant value addition to customers throughout their relationship with us, within the regulatory framework. We will provide career development opportunities to our employees and the highest possible returns to our shareholders VALUES

 Integrity: Honesty in every action.  Commitment: Deliver on the promise  Passion: Energized action  Seamlessness: Boundary less in letter & spirit  Speed: One step ahead always

SWOT ANALYSIS STRENGTH:  Multi-channel distribution and one of the largest distribution networks in India.  Implementing Six-Sigma process.  Customer centric products and services.  Superior investment and risk management framework  1 Million Policies sold within 3 and half years.  Company has maximum number of MDRT as well as good number of HNI advisors.  Training process of the company is very strong.  Different plan for different peoples  According to the change in surrounding environment like changes in customer requirement. WEAKNESS:  COMPANY does not penetrate on the rural market at a time.  There is no plan for the low income group.  Fees for the advisor is high than the other company. OPPORTUNITY:  Insurance market is very big, where company can expand its horizon in insurance industry.  Though good investment and insurance it is easy to top Indian customers.

 The huge insurance market (77%) is left so company has opportunity to expand our products.  To associate with the more number of HNI. THREATS:  „OLD HABITS DIE HARD‟: It‟s still difficult task to win the confidence of public towards private company.  The company is facing major threats from LIC -which is an only government company.

The group is India's leading business house with a number of key organizations. These are as follows: 1. Grasim 2. UltraTech Cement Ltd 3. Hindalco 4. Indian Aluminum Company Ltd 5. Aditya Birla Nuvo 6. Idea Cellular Ltd. 7. Birla Sun Life Insurance Co.Ltd 8. Birla Sun Life Asset Mgmt. Co.Ltd 9. Birla Sun Life Distribution Co. Ltd 10. PSI Data Systems 11. Indo Gulf Fertilizers Ltd. 12. Birla Global Finance Ltd Sun Life Financial Inc. and its partners today have operations in key markets worldwide, including Canada, the United States, the United Kingdom, Hong Kong, the Philippines, Japan, Indonesia, India, China and Bermuda. Sun Life Financial Inc. is a leading player in the life insurance market in Canada. Share Holding Pattern: In Birla-Sun Life, the two companies are having shareholding pattern as follows: 74 %--> Aditya Birla Group

26 %--> Sun Life Financial Inc. The group has 3 businesses: 1. Mutual Funds 2. Wealth Management 3. Life Insurance Birla Sun Life Insurance co ltd. is the Life-Insurance arm of Birla-Sun Life Birla Sun Life Insurance in its 7 successful years of operations has contributed significantly to the growth and development of life insurance industry in India. It pioneered the launch of Unit Linked Life Insurance plans amongst the private players in India. It was the first player in the industry to sell its policies through the Bancassurance route and through the Internet. It was the first private sector player to introduce a Pure Term plan in the Indian market. This was supported by sales practices, which brought a degree of transparency that was entirely new to the market. The process of getting sales illustrations signed by customers, offering a free look period on all policies, which are now industry standards were introduced by BSLI. Being a customer centric company, BSLI has covered more than a million lives since inception and its customer base is spread across more than 1000 towns and cities in India. All this has assisted the company In cementing its place amongst the leaders in the industry in terms of new business premium income. The company has a capital base of more than Rs.672 crores. Many ONEs with Birla Sun Life Insurance: BSLI is a company that has a very unique contribution in the history of Insurance sector. The company not only has varying plans and funds, rather also is a pioneer in many aspects. These pioneering features of BSLI are as follows: 1. Free Look Period: BSLI offers its policyholders with a free look period of 15 days. Client gets freedom to have an in-depth look over all the terms and conditions regarding his/her life-insurance policy. If he finds policy not worth opting for, he can also return the policy, but at BSLI, co. people ensures this not to happen. 2. Bancassurance: BSLI pioneered Bancassurance in India. Bancassurance means to include Banks as one of the distribution channels with the company. BSLI is the first company, which realized that banks, with their huge customer base and strong customer loyalty, are a readymade platform to acquire new business on a more cost effective and sustainable basis. 3. Unit Linked Life Insurance Plans: BSLI was the first in India to introduce Unit Linked Plans. A ULIP is an auspicious coming together of security from life

4. Insurance and earnings from investment. Which means, apart from securing the future they offer efficient returns. These plans provide the customer with a certain number of units, in the same way as a mutual-fund holder gets units. ULIPs offer market-linked returns to policyholders. 5. Sales Illustrations: BSLI is the first company to introduce Sales Illustrations in the Insurance Industry. Sales people of BSLI give demonstrations of fund 6. Performance on two points of projections i.e. on 6% and 10%. Now IRDA has also made it mandatory to have sales illustrations. 7. BSLI‟s has launched Century SIP, a unique systematic investment plan offering an opportunity to create wealth with as little as Rs 1000 per month plus a life insurance cover of up to 100 times the monthly installment. This plan comes along with free term insurance for an individual up to 55 years of age. The life insurance cover comes at no extra cost to the investor. The cover is hassle free. The investor need not go thru any medial test to avail of the life cover. All an investor needs to do is enroll for CSIP & sign a “Declaration of Good Health”. In case of unfortunate demise of investor the insurance claim will be directly paid to the nominee by the insurance company (Birla Sun Life Insurance Company). Announcing the launch of Century SIP, Anil Kumar, CEO, and Birla Sun Life MF said, “This offering touches all aspects of an investor‟s financial planning needs. We wish to encourage the investment habit among investors by providing them life insurance cover.” Insurance cover to the investor would continue even after the SIP‟s minimum maturity tenor of 3 years. Any individual between 18 to 46 years of age may invest in this plan. Investment in this plan may be made through Electronic clearing system (ECS), direct debits or post dated cheques. 8. Others: Some other ONEs with BSLI are:  1st to issue daily NAVs of funds for better transparency.  1st to have a distinct CRISIL benchmark.  1st to disclose portfolio on a monthly basis.  Policyholders can view their policy details online; they can be accessed from BSLI website using your unique password.  Out of every 100 claims intimated to BSLI 98.28 stands cleared. Also the average Turn Around Time (TAT) : From the receipt of the last requirement till dispatch of cheque is 5 days and From intimation of claim till its decision & dispatch of cheque is 36 days. Sales Procedure of Insurance in BSLI:

BSLI ensures that its policyholders get the best out of the policy offered to them by their Advisors. For this, BSLI follows a set procedure of selling Insurance to the clients. The sales procedure can be diagrammatically presented as follows:

SUSPECTING

PROSPECTING

APPOINTMENT FIRST SALES CALL

FOLLOW UPS

SALES CLOSED

OFFICE WORK

This procedure can be stepped down as follows: 1. Pitching the customer: The first and foremost thing is that, client should be ready to purchase the Insurance plan. Insurance is not a very preferable product yet in India. And, thus, co. has to be very vigilant. Advisors, at BSLI, maintain relationships and make the most of their Goodwill. Insurance is a Relationship oriented business. Keeping this in mind BSLI also initiated Bancassurance, where Banks‟ image of being loyal to the customers, plays a major role in pitching the customer to buy Insurance. BSLI uses following routes for distributing their Product to general public: Direct Personal Contacts (through Advisors) Bancassurance (through Banks) Personal Relations (through co. employees) Existing Policyholders.

2. Sales Illustration: BSLI is the first company to give demonstration of the fund performance i.e. how a certain policy will perform or will give returns. BSLI Advisors give sales illustration. Fund performance is shown on 6% and 10% projections. If client find these projected returns suitable to his/her risk profile, he go for purchasing the policy. 3. Proposal Form: Now as client is ready to get insured, advisor gives him the proposal form and asks for all the documents required. Proposal form is a 4 page document that contains all the necessary information related to the Insured and the Owner of the policy. Documents required along with the proposal form are: A. Date-Of-Birth Proof B. Address & ID Proof C. Income Certificate D. Medical Certificates (only if Insurer is a senior citizen) 4. After Sales Service: Now after the Insurance is sold, follow-ups are required. Advisor needs to maintain good relations with the policyholder. Insurance co. can generate further business, only if, existing policyholders are satisfied with the services being provided by the advisor of the co. Thus, BSLI keeps this in mind and Business Development Executives continuously track the needs of the policyholders. BSLI provides the policyholders with monthly updates of the fund performance and also discloses the asset portfolio of the fund. This assists the policyholders to manage their policy according to their risk profile. They can, thus, change their fund allocation as well as the asset allocation in any fund, chosen by them.

DETAILS OF PRODUCTS Insurance Plans Life is unpredictable. But in face of adversity, our responsibilities towards our parents, children and loved ones need not be compromised. Insurance planning equips you to smooth out the uncertainties and adversities that life might send your way, so that the best that life has to offer, secure in the knowledge that your beloved ones are well provided for. BSLI offers a complete range of insurance products 1. Protection Plans 2. Savings Plans 3. Child Plans 4. Investment Plans 5. Retirement Plans

6. Group Plans 7. Rural Plans 8. Plans for NRIs 9. Keyman Plans 10. Riders

OBJECTIVE OF STUDY  To determine and analyze the Market Potential Company.

of

the

Birla Sun Life Insurance

 To study the overall scenario currently prevailing in the market, namely, the per capital income, purchasing power, occupation, literacy rate, etc.  To study and determine the competitor position in the market.

INSURANCE ADVISOR A professional who provides specialized guidance and advice for investment in various insurance schemes is an insurance advisor or insurance consultant. In an insurance industry, the insurance agent possesses multi-faceted roles to play as enlisted below: The insurance agent helps in promoting and selling of insurance products and services to its customers. Giving sound financial advisory services and customer support to the client‟s. Needs to deal with not only individuals but their families and corporate businesses too. Needs to have good relationship including good rapport with his/her existing and prospective client‟s General awareness about the markets. Promotion of insurance brands need to have a carefully drawn roadmap. Marketing strategies needs to be drawn and re-drawn from time to time, keeping in mind the customer preferences. Well-planned strategies and plans needs to be chalked out. Public-relation (PR) building exercise should be given significant importance. Business Development tactics needs to be pursued aggressively.

INSURANCE ADVISOR AGREEMENT Insurance advisor it is a kind of agreement done between advisor to be recruited and Birla Sun life Insurance Company Ltd.

BSLI is desires of appointing the as its Insurance advisor for soliciting and procuring life Insurance business for on behalf of BSLI and to provided various services the policy holders. Similarly Insurance advisor has to obtain and Insurance license to act and Insurance agent under Section 42 of Insurance act 1938 and it‟s desires of being appointed as Insurance advisor of BSLI This is the kind of agreement which each and every advisor has to adhere. It‟s agreement give the brief discussion effective date of appointment, area of Insurance, advisor minimum performance requirement and service standards others conditions confidentially to be maintain and compensation and remuneration.

Effective Date and Appointment as Insurance Advisor: This Agreement shall come into force on and from the date of issue of the license to the Insurance Advisor to act as an insurance agent, provided that the Company may choose, in writing, a date other than the date of issue of the license on and from which this Agreement shall come into force (such date of coming into force to this Agreement referred to as “ Effective Date ” in this Agreement). However, where the Insurance Advisor already holds a valid subsisting license before execution of this Agreement, the Effective Date of this Agreement shall be the date of execution of this Agreement. BSLI hereby appoints the Party of the Other Part as Insurance Advisor and the Party of the Other Part hereby accepts his appointment as an Insurance Advisor of BSLI. The appointment, continuance and functioning of the Insurance Advisor shall be also governed by and shall be subject to the provisions of the Applicable Laws. Business Area of Insurance Advisor: The Insurance Advisor will be entitled to solicit insurance business from such territories (and whether in India only or outside of India as well ) as shall be informed to the Insurance Advisor separately (such area referred to as “Business Area” and, area other than Business Area will be referred to as “Non-Business Area”). Where the Insurance Advisor proposes to source business from any Non- Business Area, he shall obtain the prior approval of BSLI. Would be entitled to change / transfer his appointment to any other area. The Insurance Advisor further agrees that even within his Business Area, he shall not solicit or procure life insurance business from any place/location which is on the list of NonServiceable Pin codes (“Serviceable Pin code” refers to pin codes of such areas where BSLI can provide customer service to its customers / policyholders, and any pin code other than Serviceable Pin code refers to “Non- Serviceable Pin codes”). The list of Serviceable Pin code areas as updated from time to time, Is available/posted on the Restricted Website Area and no separate communication in this regard will be sent. The appointment of the Insurance Advisor for a Business Area shall be without prejudice to BSLI‟s right to appoint any other insurance advisor(s) in / for the same Business Area and

such appointment of any other insurance advisor(s) shall not entitle the Insurance Advisor to claim any relaxation in the Minimum Performance Requirements applicable to him, nor shall accrue in his favor any cause of action. Minimum Performance Requirements and Minimum Service Standards: The Insurance Advisor shall at all times fulfill the Minimum Performance Requirements in terms of new business, premium income, number of proposals, number of lives insured or on any other criteria as stipulated by BSLI from time to time (hereinafter referred to as the “Minimum Performance Requirements”). BSLI may stipulate from time to time the Minimum Performance Requirements and any revision thereto, for a specified period(s) or for any shorter period(s) within such overall specified period(s) or to specify the Insurance Product(s), which the Insurance Advisor shall solicit and procure for BSLI. The Minimum Performance Requirements (MPR) criteria would be intimated by BSLI to the Insurance Advisor in writing or by Email or by posting the same on the Restricted Website Area. The Insurance Advisor would take all reasonable steps to conserve the insurance procured by him. He shall also endeavor that the policyholders for whom the is acting as the insurance adviser pay their premiums regularly and timely. The Company will be entitled to fix minimum service standards / service measures in respect of the Insurance Advisor. Such Minimum Service Measures would be intimated by BSLI to the Insurance Advisor in writing or by Email or by posting the same on the Restricted Website Area and the action that can be taken in case of the Insurance Advisor not being able to achieve the Minimum Service Standards. Other conditions: Without prejudice to the generality of the application of the provision of Applicable Law, the Insurance Adviser shall scrupulously follow, adhere to and affirm to comply with the Code of Conduct prescribed by the Insurance Regulatory and Development Authority (Licensing of Insurance Agents) Regulations, 2000, as amended from time to time (hereinafter referred to as the “Code of Conduct”) as though they said Code of Conduct has been explicitly set out in and forms part of this Agreement. The Insurance Advisor shall not allow or offer to allow, either directly or indirectly, as an inducement, to a prospect or a policyholder, to take out or renew or continue a policy, any rebate of the premium payable under the Policy or of the commission payable to him; nor shall he offer any other rates, advantages, terms or conditions than those offered by BSLI. The Insurance Advisor specifically confirms his awareness of and continued adherence to the provisions of Section 41 of the Insurance Act, 1938. Breach of this clause will entitle BSLI to terminate this Agreement forth with and without any notice. The Insurance Advisor agrees and undertakes to abide by the following conditions:

The Insurance Advisors shall not to obtain / seek / provide / give undue favors or graft from / to any employee of BSLI or any co-advisor or any person, customer or policyholder of BSLI. The Insurance Advisors shall not accept / give gift of substantial value (greater than Rs 1,000 or such amounts as BSLI may specify) from / to any employee of BSLI or any co-advisor or any person, customer or policyholder of BSLI in connection with any matter or dealing concerning BSLI. The Insurance Advisor shall operate with values and standards befitting the standing of BSLI. In the event of violation of Code of Conduct or any of the guidelines / operating instructions of the Company or on happening of any act of commission or omission which constitutes a malpractice, BSLI shall be entitled, without prejudice to its right of termination of this Agreement, to warn the Insurance Advisor or require it to take any steps or do any act in rectification of any such act, and Insurance Advisor agrees to act in accordance with any such communication. The Insurance Advisor shall be responsible for the accuracy, truthfulness and completeness of the information furnished in the Agent‟s Confidential Report in proposal forms logged by him or otherwise made available to BSLI in respect of any proposal. The Insurance Advisor shall, promptly and in any case not later than the time stipulated by BSLI in that behalf transmit to the concerned office of BSLI all proposals for insurance and all other documents procured or received by or called for from him. This would include but shall not be restricted to customer‟s / policyholder‟s proposal forms, supporting or other documents, information, payment instruments, letters / communications addressed to BSLI and documents relating to assignment / nomination, Insurance Advisor shall ensure compliance with Section 64 VB of the Act. The Insurance Advisor shall not and is not authorized to accept any money, in case from any prospect / customer / policyholder. Where any such person wishes or proposes to make any payment in cash, the Insurance Advisor shall direct him to the appropriate office of BSLI for making such payment personally or advise him of the permissible modes of payment to BSLI. Insurance Advisor can accept cheque, demand draft or other payment instruments (not being a bearer cheque) from a prospect or a policyholder if and only if they are drawn in the name of BSLI. Without prejudice to the other provisions of this Agreement providing for indemnification to BSLI by the Insurance Advisor, the Insurance Advisor specifically confirms and undertakes to hold BSLI safe, harmless and indemnified at any time and at all times against any demand, claim , action or proceeding arising from any breach, whether intended or not, of the provision of this clause. The Insurance Advisor further confirms that where he accepts any cash in breach of this clause, he shall be acting an agent of the customer / policyholder till the time the cash in deposited by him with BSLI, and will continue to be such agent till he continues to hold any cash accepted from such customer / policyholder. The Insurance Advisor shall attend all meetings, workshops, trainings and briefings conducted by or on behalf of BSLI to create / enhance awareness as to the Insurance Products, business plans and policies of BSLI and any other matter of relevance to them of

which reasonable notice has been given to the insurance advisor. In particular the Insurance Advisor shall attend all training and refresher sessions for Insurance Advisors unless prevented by a cause, which in the opinion of BSLI is reasonable. Where the Insurance Advisor intends to bring out or publish any material in any form through any medium, concerning BSLI, its business or its Insurance Products, the Insurance Advisor shall obtain prior written approval of BSLI. Further, he shall observe, follow and comply with the provisions of the Insurance Regulatory and Development Authority (Insurance Advertisements and Disclosure) Regulations, 2000 of the same. The Insurance Advisor shall solicit and procure life insurance business for BSLI and discharge his obligations under this Agreement in accordance with BSLI‟s corporate objectives and with particular regard to BSLI‟s image and standing in the industry and in the community. The Insurance Advisor shall observe, follow and comply with all the communication, directions and instructions given by BSLI from to time, either generally or with particular reference to the Insurance Advisor. Such communications, directions and instructions may be sent by courier, email, post, and fax or may be posted on the Restricted Website Area. The Insurance Advisor shall familiarize himself with the Application Law as in force time to time and which has a bearing on the discharge of his obligations as an insurance agent; provided that in the event of any change in the Applicable Law resulting in a dilution or abrogation of his obligations under this Agreement, to the extent not provided otherwise, the Insurance Advisor shall continue to be bound by the obligations as were existent prior to such change, unless expressly approved in writing by BSLI, or unless inconsistent with Applicable Law. The Insurance Advisor shall not solicit or procure life insurance business for or promote the sales or distribution of the Insurance Products of any other Insurance company or seek or obtain or commence any employment in any other life insurance company so long as this Agreement is in force and for a period of six months after its termination. BSLI may however in writing waive the conditions under this sub clause. The Company will be entitled to levy charges of deduct them from amounts payable to the Insurance Advisor as it may deem fit in respect to any of the services provided by the Company to the Insurance Advisor. Compensation and Remuneration: As compensation and remuneration for the due performance of his obligations under this Agreement, the Insurance Advisor shall be paid commission at such rates as may be notified by BSLI to the Insurance Advisor from time, subject to deduction of applicable taxes under the law in force from time to time in respect of policies effected through the insurance Advisor; provided that the Insurance Advisor may be paid commission for effecting the revival of lapsed policies subject to the provision of Sub-section(2A) of Section 40 of the Act. The Insurance Advisor agrees to provide his income tax PAN number, or if acquired

subsequently, immediately after the same has been so acquired. In the event of failure to provide PAN number, the Company will be entitled to block the payments of the Insurance Advisor. BSLI shall be entitled to deduct the service tax (or any similar tax, in lieu of or in addition to service tax), including any cess, surcharge or similar tax thereon, from the commissions or any other amounts payable to the Insurance Advisor. However, in best commercial interests BSLI may decide to recover only a part of such taxes and bear the rest. The Insurance Advisor shall be deemed to have notice of the revised commission rates at the earliest of (a) on receipt of the written notice as per (a) above; or (b) publication or posting on the Restricted Website Area as per clause (b) above; or (c) copies of such revision being made available to BSLI office, branch, outlet or franchise nearest to the address of the Insurance Advisor as per clause (c) above. BSLI shall be entitled to specify (and revise) differential commission rates for different Insurance Products and based on various parameters including new business premiums, renewal premiums, business done by Insurance Advisor etc. In case of any excess or wrong payment of commission or any amount to the Insurance Advisor or any commission or any amount which subsequent to their payment becomes recoverable or receivable from the Insurance Advisor for any reason whatsoever, BSLI shall be entitled to adjust such amounts (which have been paid in excess or wrongly or have to be received / recovered back ) in the subsequent payment(s) to the Insurance Advisor, Alternatively, or where no amounts are due to the Insurance Advisor, BSLI will require the Insurance Advisor to repay or refund forthwith such amounts, and thereafter the Insurance Advisor shall repay the amount within 15 days after the receipt of any communication from BSLI in that regard. Miscellaneous provisions: All forms, applications, documents, properties or securities received by the Insurance Advisor for or on behalf of BSLI shall be held by him in trust for BSLI, and shall be promptly handed over to BSLI. Upon termination or cessation of this Agreement the Insurance Advisor shall promptly deliver / return, to BSLI in good condition all forms, application, documents, properties or securities and all sales literature, manuals and computer software received from or for or on behalf to or provided by BSLI In the event of failure of the Insurance Advisor to do so, BSLI shall be entitled to inform about such failure to IRDA, to organizations with which the Insurance Advisor has employment or to his business associates including any insurance company of which the Insurance Advisor becomes or proposes to become the insurance advisor, and further I BSLI will not furnish the NOC to the Insurance Advisor till such time the failure continues. Definition of market potential According to personal.umich.edu, market potential is defined as the capacity of a location, such as a country, to become or to grow as a demander of goods and services that outside

suppliers might provide. Various measures of market potential are provided especially for emerging economies, intended as guides to exports and foreign direct investment. On the other words, market potential is a measure of probable demand for a product or service in a classified geographic area. Hence, based on the case scenario, we would like to know can seaweed be marketed in Ampang area. In order to determine whether seaweed can be marketed or no, the study of market potential for seaweed is being applied. Related to that, there are elements in market potential need to be followed to get accurate results. From the market potential information, researcher will be able to determine and analyze markets for seaweed by the sales, awareness, taste, perception, price of the competitor product, purchase patterns and so forth. Elements included in market potential  Target market The first elements that need to be considered in market potential are the target market and market segment for the product. According to bodyscan.human.cornell.edu, target market is defined as a set of people from the population to which a company wishes to sell. Target markets are typically defined by demographic information such as age, income level, ethnicity, or interests, and not by body size or shape. In other words, target market is a specific group of people that a company focuses to do a research regarding their marketing plan for the products or services. For example, in researching information for seaweed, we have identified that the target market for seaweed is health conscious people. For instance, according to health.learninginfo.org, seaweed contains a lot of nutrients which can help to cure diseases such as cancer. The health conscious people will be one of the potential customers to buy this product.  Demographic Demographic is commonly refers as the study on people population regarding their age, gender, income, race, education and so forth. By determine demographic, researcher will be able to know general information about a population at a given time because demographic data consists of statistics about people. Related to that, demographic data will give information for the market potential of the product, such as seaweed. Demographic will provide useful information for the researcher such as people income level. It is because, customers are really special that they are differs in their needs and wants based on the income level etc. For example, some customer who has higher income level will buy the seaweed product more often and in large quantities vice versa. Related to that, we have outlined that potential customer are located at Ampang and the total amount of residents are 574 300. Therefore, we will do a research about the income level, race etc based on the data.  Income level Income level is the average earnings of individuals. Income level is essential to be consider in market potential research as the information about income level will guide the researcher on what kind of product that the customer will buy such as a BMW car or a Proton car, how much quantity will potential customer buy for the product such as in small amount or large amount and how often the potential customer will buy the product at a moment as well as the

average consumption such as in a month, how frequently they buy the product. For example, our group have outlined that the appropriate buyer for seaweed come from the middle class income which is RM 700 to RM 7, 000. It is because; seaweed product is affordable and cheap. It will encourage the buyer to buy seaweed regularly because seaweed is a choice of vegetable in the daily diet.  Consumer behavior In consumer behavior, we would like to determine what is the customer perception about seaweed such as “do you think that seaweed is good for health” and their opinion about the taste of seaweed whether it is very good, good, average etc. The consumer behavior also will provide information about how many seaweed products do they purchase and how often they buy seaweed. From the information in the questionnaire results, we will be able to conclude that whether seaweed can be marketed in the Ampang area or no after determine seaweed have the market potential in that area. As a result, seaweed have a small market potential in Ampang area since the many of the customer are likely identified that seaweed is good for health.  Competition According to wordnetweb.princeton.edu, competition is defined as a compete for something. In other words, competition is refers as two or more company strives to achieve their same goals. It is essential for a market researcher to determine the competition aspect, it is because, and competition information will give information about the competitor product and the market share in the industry. For example, our group are necessarily would like to know about the competition for seaweed product because we want to know what is the competition in the industry, who is our competitor, what is our market share, and the market potential to be develop. So, it is important to know the competition information in order to know market potential for our product.  Economic in term of price of the product The economic factor is also important in determining market potential for the proposed product that is seaweed. It is because, economic will give information on what will people pay for the product. So, it is necessarily for our group to identify the customer preferred price for seaweed and their opinion whether seaweed is affordable to be purchased. Therefore, we will be able to know the market potential for price placing for seaweed food product in the market.  Government incentives Market potential for seaweed become larger as the government gives full cooperation on supporting, developing and commencing seaweed in Malaysia. For example, according to moa.gov.my, government of Malaysia have estimate to spend RM 1.96 billion to help the agriculturist in expanding their business especially in seaweed. So, this point is important in considering market potential for seaweed for our group as the market potential for seaweed is increasing with the government support.

MARKETING MIXPRODUCTS— Life is unpredictable. But in face of adversity, our responsibilities towards our parents, children and loved ones need not be compromised. Insurance planning equips you to smooth out the uncertainties and adversities that life might send your way, so that the best that life has to offer, secure in the knowledge that your beloved ones are well provided for. BSLI offers a complete range of insurance products 1. Protection Plans 2. Savings Plans 3. Child Plans 4. Investment Plans 5. Retirement Plans 6. Group Plans 7. Rural Plans PRICING POLICY OF THE COMPANY: KEEP TRACK OF YOUR POLICY FUND: Birla sun life insurance sends you an annual policy statement on every policy anniversary to keep you completely informed on the performance of our various funds based on the unit price will be available on our website ELECTRONIC CLEARING SERVICE (ECS): The ECS is a convenient and hassle- free method of paying premiums through an electronic debit to your bank account. Integrated marketing communication 1. Advertising: The tool can get your messages to large audiences efficiently through such avenues as radio, TV, Magazines, Newspapers (ROP), Internet, Billboards and other mobile technological communication devices. This method can efficiently reach a large number of consumers, although the costs may be somewhat expensive. 2. Sales Promotion: This tool is used through coupons, contests, samples, premiums, demonstrations, displays or incentives. It is used to accelerate short-term sales, by building brand awareness and encouraging repeat buying. 3. Public Relations: This integrated marketing communications tool is initiated through public appearances, news/press releases or event sponsorships, to build trust and goodwill by presenting the product, company or person in a positive light. 4. Direct Marketing: The BIRLA SUN LIFE has direct marketing through email, mail, catalogs, encourage direct responses to radio and TV, in order to reach targeted audiences to increase sales and test new products and alternate marketing tactics. 5. Personal Selling: Setting sales appointments and meetings, home parties, making presentations and any type of one-to-one communication, to reach the customers and strengthen relationship with Birla sun life, Employee role in service delivery

Listen to customers Obtain customer feedback Provide excellence services to customers Getting closer to customer Customer role in services delivery Without the contact of customers the services could not deliver so the customer is very important role for services delivery he physical presences and participation is required of customer's .The customer as productive resource; -- The customer as contributor to quality, satisfaction and value; and -- The customer as competitor to the service organization Word of mouth advertising. A happy and satisfied customer is much more likely to send more customers your way Maintaining waiting lines When the demand exceeds the supply then the Birla sun life has managing the waiting lines through different ways— (1) How long do your customers expect to wait? Set operational objectives based on what is acceptable. (2) This is especially important when the waiting time will be longer than normal. Tell them why the waiting time is longer than normal and what you are doing to alleviate the queue f a group of customers needs something that can be done very quickly, give them a special line so they do not have to wait for the slower customers 3) Inform customers of times when they usually would not have to wait; also tell them when the peak periods are—this may help to smooth the load (4) Develop plans for alternative ways to serve your customers. Where appropriate, develop plans for automating \or speeding up the process in some manner. This is not o say you want to eliminate personal attention; some customers expect this. Expectation of the consumers Hence old as well as new insurers will have to offer innovative products to the consumers. The consumers are particularly expecting good pension plans, health insurance, and term insurance and investment products like unit-linked insurance, from the life insurers. Similarly the consumers expect innovative products from the general insurers for managing healthcare, property insurance, accident insurance and other products related to the personal line of insurance Increase exposure through media (TV, Radio and Internet). In this case, the traditional model is more generic and there is a need to reinvent the messages based on target groups to achieve the business Delivering Service through Intermediaries An insurance intermediary is a person or a company that helps you in buying insurance. Insurance agents, insurance brokers and financial advisers are insurance intermediaries.

On the other hand, an intermediary is someone who solicits tactful business or invites potential customers to enter into tactful contracts with operators. They are also known as tactful agents and tactful brokers LIMITATIONS OF INSURANCE Lack of awareness among the people This is the biggest limitation found in this sector. Most of the people are not aware about the importance and the necessity of the insurance in their life. They are not aware how useful life insurance can be for their family members if something happens to them. Perception of the people towards Insurance sector People still consider insurance just as a Tax saving device. So today also there is always a rush to buy an Insurance Policy only at the end of the financial year like January, February and March making the other 9 months dry for this business. Insurance does not give good returns Still today people think that Insurance does not give good returns. They are not aware of the modern Unit Linked Insurance Plans which are offered by most of the Private sector players. They are still under the perception that if they take Insurance they will get only 5-6% returns which is not true now days. Nowadays most of the modern Unit Linked Insurance Plans gives returns which are many times more than that of bank Fixed deposits, National saving certificate, Post office deposits and Public provident fund. Lack of awareness about the earning opportunity in the Insurance sector People still today are not aware about the earning opportunity that the Insurance sector gives. After the privatization of the insurance sector many private giants have entered the insurance sector. These private companies in order to beat the competition and to increase their Insurance Advisors to increase their reach to the customers are giving very high commission rates but people are not aware of that. Increased competition Today the competition in the Insurance sector has become very stiff. Today each and every company is trying to increase their Insurance Advisors so that they can increase their reach in the market. This situation has created a scenario in which to recruit Birla sun life insurance Advisors and to sell life Insurance Policy has became very- very difficult.

Research Methodology While making a study we very often look for what type of research methodology is to be used in this type of study. For implementation of a proper research methodology we have to first understand the meaning of research.

Research is a process with the help of which new concepts arises. It is the increase in the actual knowledge stock. It can be called as movement from known to unknown and viceversa. It is also a continuous process. It is a scientific as well as systematic process, which includes defining and redefining the problem to develop hypothesis, to collect and define the information/data, to analysis the information and bring out the mother of Discovery. An individual makes the effort in research and society or public takes its benefits because the results are usually generalized. Data collection The word data means any raw information, which is either quantitative or qualitative in nature, which is of practical or theoretical use. The task of data collection begins after a research problem has been defined and research design chalked out. While deciding about the method of data collection, the researcher should keep in mind that there are two types of data primary and secondary. Primary data: This is those, which are collected afresh and for the first Time, and thus happen to be original in character. There are many ways of data collection of primary data like observation method, interview method, through schedules, pantry Reports, distributors audit, consumer panel etc. The Team Managers and employees of both the Department were consulted to get information about procedure of both the online and off line share trading. But the method used by us for the primary data collection was through questionnaires. Questionnaire method For the collection of primary data I used questionnaire method. A formal list of questions, which are to be asked, is prepared in a questionnaire and questions are asked on those bases. There are some merits and demerits of this method. These as under: Merits: 1. Low cost even when universe is large. 2. It is free from bias of interviewer. 3. Respondents have proper time to answer. 4. Respondents who are not easily approachable can also be reachable. 5. Large samples can be made. Secondary data: These are those data, which are not collected afresh and are used earlier also and thus they cannot be considered as original in character. There are many ways of data collection of secondary data like publications of the state and central govt., reports prepared by

researchers, reports of various associations connected with business, Industries, banks etc. And the method, which was used by us, was with the help of reports of the company. Sample Size We have meet 25 people during requirement Advisor and policy selling after that I have taken 15 People they have fill up the questionnaire and given response.

Q1. Which Birla Sun Life Scheme do you have? No of Peoples Have BSLI Plan

Health, 10% Retierment , 22%

Health Retierment Life

Life, 68%

Inference On the basis of above analysis it has been concluded that around 68% of the policy holders are having life plan, 22% of them are having Retirement plan and rest of them are having the health plan.

Q2. Are you satisfied with the Insurance plan you have? No. of people satisfied with the plan

28% Yes No 72%

Inference On the basis of the analysis it has been concluded that around 72%of the people are satisfied with plan they have and rest of them are not satisfied.

Q3. Are you satisfied with the information provided by the company regarding new plans and schemes?

No. of people satisfied with the services provided by the company

18% Yes No 82%

Inference On the basis of the above analysis it has been concluded that around 82% of the policy holders are satisfied with the services provided by the company and rest of them are not satisfied.

Q4.Are you interested to make more investments in BSLI? No. of Peoples want to more investment in BSLI

33% Yes No 67%

Inference On the basis of the above analysis it has been concluded that around 67% of the policyholders are interested to make more investments in BSLI and rest of them are not interested.

Q5. Have you any other Insurance Plan apart from BSLI? No. of Peoples have other Insurance Plan apart from BSLI?

22%

Yes No

78%

Q6. If yes, then of which Life Insurance Company?

8% 11% 9%

LIC

12%

BSLI BAJAJ ALIYANZ 60%

ICICI Others

Inference From the above analysis it has been concluded that around 89% of policy holders are having other insurance plans apart from BSLI, in which around 60 % are having LIC insurance plans, 11% are having Bajaj Allianz, 9% are having Birla Sunlife, and 8% are having ICICI Pru. And 12% are having other company insurance plans.

Q7. If you get any attractive plan than are you ready to switch over? People ready to switch to attractive Schemes if offered by other companies 18% Yes No 82%

Inference On the basis of the above analysis it has been concluded that around 82% of the policy holders are ready to switch over if they get good attractive insurance plan and rest of them don‟t.

Q8. Do you think that investment in BSLI is better than LIC?

Comparison 30% LIC

70%

BSLI

Inference On the basis of above analysis it is stated as 30% think investment is better in BSLI than LIC

Q9. When company launch new product, then you are interested in getting any information for that new product?

YES/NO 20% Yes No

80%

Inference From above chart it is stated that 80 % of people get information about new products launched by company.

Q10. Why do you invest in this BSLI Company?

What People Think 10%

High Interest

20% Good Image of company

40%

30%

Annual premium is Reasonable Maturity benefits

Inference From above pie chart we came to know to know that 40% of people think Annual premium is Reasonable, 30% of think Company have a good Image in the Market, and 20% of think Interest rate is good and in the end 10% of people think of good maturity benefits.

Q11. Do you think that investment in Insurance sector is good option?

Investment in Insurace sector is good 35% Yes

65%

No

Inference The above chart states that 65% of people think that investment in Insurance sector is a good option similarly 35 % thinks it is not good.

Q12. In near future, do you think BSLI will have high growth rate?

BSLI will have high Growth rate in Future 35%

40%

Agree Neutral

15%

10%

Disagree Can't say

Inference From above chart it is stated that about 40% of people Agree that BSLI will have higher growth in future, similarly 35% of people can‟t say anything and 15% of people disagree with it and 10 % say it will be neutral.

Q13. What quality of service is given to you by BSLI?

Quality of service 10%

20%

25%

Excellent Good Average

40%

bad

Inference The above chart shows the quality of service provided by the Company 20% of people thinks its Excellent, But 40% of them think Good service and 25% of them think its average and 10% think it‟s bad.

Q14. Will you refer any of your friend/relative to buy insurance policy in BSLI?

How many of you recommend BSLI 15% Recommend

50% 35%

Don't Recommend Can't say

Inference The above chart states that 50% of people will recommend their friends/Relatives to buy insurance policies from BSLI; Similarly 35% say they will not recommend and 15 can‟t say anything about it.

Q15. Do BSLI have proper Potential to become No. 1 leader in insurance

sector in the market?

Potential to be No. 1 in the market 32%

38%

Yes No

30%

Don't Know

Inference From the above chart we came to know that 38% of people don‟t know about it and 32% say yes BSLI has potential but 30% of them say no.

Findings from above Research 68% of people have life Insurance Policy, 10% of them have general health insurance, 22% have Retirement insurance policy. 72% of people are satisfied with the plan they have, But 28% of them are not satisfied. 82% of people are satisfied by the information provided by the company, but 18 % are not satisfied. 67% of people are agreed to invest more in Birla sun life Insurance, But 33% of people are not agreed. 78% of people are having insurance policies in other companies also but 22% are having their policy only in Birla Sun Life Insurance. 60% of people are having policies in LIC, 8% are having in ICICI, 11% of them are having in Bajaj Allianz, and 9% are having in Birla Sun Life Insurance, 12% in other insurance companies. 82% of people are Ready to switch from Birla Sun Life Insurance if they get any better offer from any another company. But 18 % of them are not ready to switch. 30 % of people think investment in Birla Sun Life Insurance is better than LIC, But 70% of people consider LIC over BSLI 80% of People are interested in getting information about new products launched by company. Similarly 20 % of people are not interested.

40% of people invested in Birla Sun Life Insurance because they think annual premium is reasonable, 30% due to good image of the company, 20% due to high Interest rate, and 10% due to high maturity. 65% of people think investment in insurance sector is good, 35% think it is not good. 40% of people are agreed Birla Sun Life Insurance will have high growth rate in future, 35% of people can‟t say about it and 15% of people are disagreed to this. 20% of people think service quality is excellent, 40% say service is good, 25% say its average, and 10% think it‟s bad. 50% of people will recommend BSLI to their friends and relatives, 35% say they will not recommend, 15% can‟t say anything about it. 32% of people think Birla Sun Life Insurance have full potential to become number 1 in the market, 30% of them say no and 38% don‟t know about it.

CONCLUSION Over the past three years, around 40 companies have expressed interest in entering the sector and many foreign and Indian companies have arranged anticipatory alliances. The threat of new players taking over the market has been overplayed. As is witnessed in other countries where liberalization took place in recent years we can safely conclude that nationalized players will continue to hold strong market share positions, but there will be enough business for new entrants to be profitable. Opening up the sector will certainly mean new products, better packaging and improved customer service. Both new and existing players will have to explore new distribution and marketing channels. Potential buyers for most of this insurance lie in the middle class. New insurers must segment the market carefully to arrive at appropriate products and pricing. Recognizing the potential, in the past three years, the nationalized insurers have already begun to target niches like pensions, women or children. Given the industry‟s huge requirement of start-up capital, the initial years after opening up are bound to see a strong inflow of foreign capital. Substantial shift in the distribution of insurance in India is likely to take place. Many of these changes will echo international trends. Worldwide, insurance products move along a continuum from pure service products to pure commodity products. Initially, insurance is seen as a complex product with a high advice and service component. Buyers prefer a face-to-face interaction and place a high premium on brand names and reliability. Finally, some potential Indian entrants into insurance hope to ride their existing distribution networks and customer bases. For example financial organizations like ICICI, HDFC or BIRLA intend to tap the thousands of customers who already buy their deposits, consumer loans or housing finance. Other hopeful entrants anticipate specific alliances such as with hospitals to provide health cover.

Suggestions 



   

Even though most of the policy holders are satisfied with policies, plans they have but some new attractive insurance plans should be introduce to bind them not to switch over to other companies insurance plans. The company should find out the no. of people who are not having any of the insurance plans through an intensive market research and motivate them to get insured. Leveraging technology to service customers quickly, efficiently and conveniently. Developing and implementing superior risk management and investment strategies to offer sustainable and stable returns to our policyholders. Company should target each and every class of the society Company should provide full information to the customers before targeting so they can take interest



Information regarding new product should be provided to the customers.



The company should find out the no. of people who are not having any of the insurance plans through an intensive market research and motivate them to get insured.



At some level Company should provide information to the customers about the charges of the policy.



Company should target each and every class of the society.



Charges should be low of the policies.



Annual premium should be reasonable.



BSLI Company should work in systematic way.

LIMITATIONS  Some of the respondents were not cooperative.  There are chances of biased information provided by the respondents.  As the sample size is small compared to the total population, therefore there can‟t be full accuracy.  The time was limited.  Area was limited.  Some of the respondents were not cooperative.

BIBLIOGRAPHY BOOKS Kothari C.R., Research Methodology, 4th Edition 2002  Kottler Philip, Marketing Management, 10th Edition, Prentice- Hall of India Pvt. Ltd., 2001  Thakur Devendra, Research Methodology, Deep & Deep Publication Pvt. Ltd., 2005 MAGAZINES  India Today  Business World  Business Week INTERNET 1. 2. 3. 4.

http://insurance.birlasunlife.com/Pages/Individual/Home.aspx http://insurance.birlasunlife.com/Pages/Individual/Our-Solutions/Overview.aspx http://insurance.birlasunlife.com/Pages/Individual/Customer-Service/Overview.aspx http://insurance.birlasunlife.com/Pages/Individual/Customer-Service/TaxBenefits.aspx 5. http://insurance.birlasunlife.com/Pages/Individual/Tools-Knowledge/Overview.aspx 6. http://insurance.birlasunlife.com/Pages/Individual/About-Us/Overview.aspx 7. http://insurance.birlasunlife.com/Pages/Individual/About-Us/Know-Our-Funds.aspx

ANNEXURE QUESTIONNAIRE 1) Which Birla Sun Life Scheme do you have?  Health ………………... ( )  Life…………………… ( )  Retirement………….… ( ) 2) Are you satisfied with the insurance plan you have?  Yes…………………….... ( )  No………………………. ( ) 3) Are you satisfied with the information provided by the company regarding new plans and schemes?  Yes……………………... ( )  No…………………….... ( ) 4) Are you interested to make more investments in bsli?  Yes…………………...… ( )  No…………………….... ( ) 5) Have you any other insurance plan apart from BSLI?  Yes……………………... ( )  No………………………. ( ) 6) If Yes, Then of which life insurance company? 7)