Banking Prjct
Transcript of Banking Prjct
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A PROJECT REPORT
ON
“LIC OF INDIA”
SUBMITTED TO
THE UNIVERSITY OF MUMBAI
IN PARTIAL FULFILMENT FOR THE AWARD OF
THE DEGREEOF BACHLOR OF COMMERCE
(BANKING AND INSURANCE)
SEMESTER VI 201!201"
BY ROSHNI DI#IT JANI
(SEAT NO$ 110"%1)
THE SIA COLLEGE OF HIGHER EDUCATIONACADEMIC YEAR (201!201")
DECLARATION
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I here by declare that this project titled “LIC OF INDIA” submitted is based on
actual work carried out by the guidance and supervision of “P&'$BABITA
NAGDEV”
Any reference to work done by any other person or institution or any materialobtained from other sources has been duly citied and reference made.
It is further stated that this work is not submitted anywhere else for any
examination.
SIGNATURE OF STUDENT
(ROSHNI$D$ JANI)
(SEATNO$110"%1)
ACKNOWLEDGMENT
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I am thankful to “Prof .Babita agdev! for the guidance in successful
completion of this project.
I am indebted our principal “"r.Padmaja Arvind! and librarian #rs.Bharti$ao!
for their unconditional support and motivation.
%ast& but not the least I cannot forget my parents and friends whose constant
encouragement and support made this task a happy job.
T* SIA C'++*,* O H-,*& E./-'3$
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P445 MIDC R*6-.*3-+ A&* D'78-9+- G:7;3 R'.5
N*& B+
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Chapte
r no.
Particulars Pg.no.
1 INTRODUCTION
2 LIC
3 RESEARCH ETHODOLO!"
4 DATA ANAL"SIS AND
INTERPRETETION5 CONCLUSION
6 #I#ILIO!RAPH"
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B;,&'/3. ' * 6/.:
'he present study entitled as %I( )* I"IA.!
S*7*3 ' * @&'8+*7
+,-',-$ “%I( )* I"IA! are popular among customer are not
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CHAPTER? 1
INTRODUCTION
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I'$)"/('I)
%ife Insurance (orporation 0India1 0%I(1 is an Indian state2owned insurance
group and investment company head3uartered in #umbai. It is the largest
insurance company in India with an estimated asset value of 456789: crore₹
0/;:? As of :74= it had total life fund of $s.48==47=.48 crore
with total value of policies sold of [email protected]: lakh that year.>citation needed?
'he %ife Insurance (orporation of India was founded in 456 when the
Parliament of India passed the %ife Insurance of India Act that nationalised the
private insurance industry in India. )ver :85 insurance companies and
provident societies were merged to create the state owned %ife Insurance(orporation.
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()#PA P$)*I%-
'ype C ;tate2owned enterprise Private company
Industry C *inancial services
*ounded C 4 ;eptember 456
,ead3uarters C #umbai& India
Dey People C ;.D $oy 0(hairman1& ;.B #ainak 0"#anaging "irector1&
.$.Euha 0#anaging "irector1& F.D ;harma 0#anaging "irector1&
/sha;angwan 0#anaging "irector1
Products C %ife insurance& health insurance& investment management& mutual
fund
$evenue C "ecrease /;< 99.877 billion 0:7451
Profit C Increase /;< .:5@ billion 0:7451
'otal assets C 456789: crore 0/;4?
;ubsidiaries C %I( ,ousing *inance
%I( Pension *und %td.
%I( International
%I( (ards ;ervices
%I( omura #utual *und
+ebsite www.licindia.in
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http://www.licindia.in/http://www.licindia.in/
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(,AP'-$ :
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+hat is life insurance
%ife insurance is a contract that pledges payment of an amount to the person
assured 0or his nominee1 on the happening of the event insured against.'hecontract is valid for payment of the insured amount duringC'he date of maturity&
or ;pecified dates at periodic intervals& or /nfortunate death& if it occurs earlier.
Among other things& the contract also provides for the payment of premium
periodically to the (orporation by the policyholder. %ife insurance is universally
acknowledged to be an institution& which eliminates GriskG& substituting certainty
for uncertainty and comes to the timely aid of the family in the unfortunate
event of death of the breadwinner.
By and large& life insurance is civilisationGs partial solution to the problems
caused by death. %ife insurance& in short& is concerned with two haHards that
stand across the life2path of every personC'hat of dying prematurely leaving a
dependent family to fend for itself.'hat of living till old age without visible
means of support.
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%I( ;/B;I"IA$I-; C
/nlike provision for private players in the insurance sector. 'he %I( Act
provide for setting up subsidiaries through policy holders fund. It is due to the
%I( act and that %I( of india has a number of subsidiaries which help it in
leveraging its potential to the maximum& providing an enhanced set of
diversified service to its customers. 'hese subsidiaries include %I( international
& %I( epal & %I( %anka & %I( ,ousing *inance and %I( #utual *und.
%I( I'-$A'I)A%
'his is joint venture offshore company promoted by %I( which commencedoperations in july& 49 with the objective offering /; dollar denominated
policies to cater to the insurance needs of $ is and providing insurance
services to holders of %I( policies currently residing in the Eulf. %I(
international operates in all E(( countries.
%I( ,)/;IE *IA(- %'"
'he company is recogniHed by national housing bank listed on the national
stock exchange 0;-1 Bombay stock exchange limited 0B;-1. %I( housingfinance limited is one of the largest hosing finace company in india.
Incorporated on 4th june 49 under the company act& 456& the company was
promoted by %I( of india and went public in 48.
%ife Insurance Fs. )ther ;avings
(ontract )f InsuranceC A contract of insurance is a contract of utmost good faith
technically known as uberrima fides. 'he doctrine of disclosing all material
facts is embodied in this important principle& which applies to all forms ofinsurance.At the time of taking a policy& policyholder should ensure that all
3uestions in the proposal form are correctly answered. Any misrepresentation&
non2disclosure or fraud in any document leading to the acceptance of the risk
would render the insurance contract null and void.
ProtectionC ;avings through life insurance guarantee full protection against risk
of death of the saver. Also& in case of demise& life insurance assures payment of
the entire amount assured 0with bonuses wherever applicable1 whereas in othersavings schemes& only the amount saved 0with interest1 is payable.
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Aid 'o 'hriftC %ife insurance encourages GthriftG. It allows long2term savings
since payments can be made effortlessly because of the Geasy instalmentG facility
built into the scheme. 0Premium payment for insurance is either monthly&
3uarterly& half yearly or yearly1.
*or exampleC 'he ;alary ;aving ;cheme popularly known as ;;;& provides a
convenient method of paying premium each month by deduction from oneGs
salary.
In this case the employer directly pays the deducted premium to %I(. 'he
;alary ;aving ;cheme is ideal for any institution or establishment subject to
specified terms and conditions.
%i3uidityC In case of insurance& it is easy to ac3uire loans on the sole security ofany policy that has ac3uired loan value. Besides& a life insurance policy is also
generally accepted as security& even for a commercial loan.
'ax $eliefC %ife Insurance is the best way to enjoy tax deductions on income tax
and wealth tax. 'his is available for amounts paid by way of premium for life
insurance subject to income tax rates in for Assessees can also avail of
provisions in the law for tax relief. In such cases the assured in effect pays a
lower premium for insurance than otherwise.
#oney +hen ou eed ItC A policy that has a suitable insurance plan or a
combination of different plans can be effectively used to meet certain monetary
needs that may arise from time2to2time.
(hildrenGs education& start2in2life or marriage provision or even periodical needs
for cash over a stretch of time can be less stressful with the help of these
policies.
Alternatively& policy money can be made available at the time of oneGsretirement from service and used for any specific purpose& such as& purchase of
a house or for other investments. Also& loans are granted to policyholders for
house building or for purchase of flats 0subject to certain conditions1.
+ho (an Buy A Policy
Any person who has attained majority and is eligible to enter into a valid
contract can insure himselfJherself and those in whom heJshe has insurable
interest. Policies can also be taken& subject to certain conditions& on the life of
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oneGs spouse or children. +hile underwriting proposals& certain factors such as
the policyholderKs state of health& the proponentGs income and other relevant
factors are considered by the (orporation.
Insurance *or +omenC Prior to nationalisation 04561& many private insurancecompanies would offer insurance to female lives with some extra premium or
on restrictive conditions. ,owever& after nationalisation of life insurance& the
terms under which life insurance is granted to female lives have been reviewed
from time2to2time. At present& women who work and earn an income are treated
at par with men. In other cases& a restrictive clause is imposed& only if the age of
the female is up to =7 years and if she does not have an income attracting
Income 'ax.
#edical And on2#edical ;chemes C %ife insurance is normally offered after a
medical examination of the life to be assured. ,owever& to facilitate greater
spread of insurance and also to avoid inconvenience& %I( has been extending
insurance cover without any medical examination& subject to certain conditions.
+ith Profit And +ithout Profit PlansC An insurance policy can be GwithG or
GwithoutG profit. In the former& bonuses disclosed& if any& after periodical
valuations are allotted to the policy and are payable along with the contracted
amount.In GwithoutG profit plan the contracted amount is paid without anyaddition. 'he premium rate charged for a GwithG profit policy is therefore higher
than for a GwithoutG profit policy.
Deyman InsuranceC Deyman insurance is taken by a business firm on the life of
key employee0s1 to protect the firm against financial losses& which may occur
due to the premature demise of the Deyman.
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)BL-('IF-
;pread %ife Insurance widely and in particular to the rural areas and to the
socially and economically backward classes with a view to reaching all
insurable persons in the country and providing them ade3uate financial cover
against death at a reasonable cost.
#aximiHe mobiliHation of peopleGs savings by making insurance2linked savings
ade3uately attractive. Bear in mind& in the investment of funds& the primary
obligation to its policyholders& whose money it holds in trust& without losing
sight of the interest of the community as a wholeM the funds to be deployed to
the best advantage of the investors as well as the community as a whole&keeping in view national priorities and obligations of attractive return.
(onduct business with utmost economy and with the full realiHation that the
moneys belong to the policyholders. Act as trustees of the insured public in their
individual and collective capacities.
#eet the various life insurance needs of the community that would arise in the
changing social and economic environment. Involve all people working in the
(orporation to the best of their capability in furthering the interests of theinsured public by providing efficient service with courtesy.
Promote amongst all agents and employees of the (orporation a sense of
participation& pride and job satisfaction through discharge of their duties with
dedication towards achievement of (orporate )bjective.
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#I;;I) J FI;;I)
#I;;I)
“ -xplore and enhance the 3uality of life of people through financial security by
providing products and services of aspired attributes with competitive returns&
and by rendering resources for economic development.!
FI;;I)
“ A trans N nationally competitive financial conglomerate of significance to
societies and pride of india.
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P)%I(I-; 0;(,-#-1
%ife Insurance (orporation of india provide number to its consumers. %I(
differentiated their policies into five different types which areC
4. Insurance plans:. Pension plans=. /nit plans8. ;pecial plans5. Eroup plans
P$)"/('; B %I( I/$A(- P%A;
4. L--FA AA"*eaturesC Product summaryC
'his plan is a combination of endowment assurance and whole
life plans. It provides financial protection against death throughout
the life assured with the provision of payment of a lump sum at the
end of the selected term in case of this survival.
PremiumC
Premiums are payable yearly& half2yearly& 3uarterly& monthly orthrough salary deductions as opted by customer throughout the
selected term of the policy or till earlier death.
BonusesC
'his is a with Nprofit plan and participates in the profits of the
corporations life insurance business. It gets a share of the profits in
the form of bonuses. ;imple reversionary bonuses are declared per
thousand sun assured at the end of each financial year. )ncedeclared& they form part of the guaranteed benefits of the plan.
Bonuses will be added during the selected term or till death& if
occurs earlier. *inal bonus may also be payable provided the policy
has run for certain minimum period.
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BenefitsC
A. Benefits in case of death during the selected termC'he sum Assured along with the vested bonuses is payable
on death in a lump sum.B. Benefits in case of survival to the end of selected termC'he sum Assured along with the vested bonuses is payable in
a lump sum on survival to the end of the term. An additional
sum assured is payable on death thereafter.(. Accident BenefitC
An additional sum assured 0subject to limit of $s 4lakh1 is
payable in a lump sum on death due to accident of life
assured. In case of permanent disability of life assured due to
accident this additional sum assured is payable in instalment.". ;upplementary J -xtra BenefitsC
'hese are the optional benefits that can be added to your
basic plan for extra protectionJoption. An additional
premium is re3uired to be paid for these benefits.
;urrender valueCBuying a life insurance contract as is long2term
commitment. ,owever& surrender values are available on the
plan on earlier termination of the contact.Euaranteed ;urrender valueC'he policy may be surrendered after it has been in force for
= years or more. 'he guaranteed surrender value is =7O of
the basic premiums paid excluding the first years premium.
Any extra premiums paid and premium towards accident
benefit are also excluded.
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:. Leevan ;hree24CP$)"/(' ;/##A$M'his is an endowment assurance plan offering the choice of many
convenient premiums paying terms. It provides financial protection
against death throughout the term of plan with the payment of maturityamount on survival to the end of the policy term.PremiumsCPremiums are payable yearly& half yearly& 3uarterly or through salary
deductions& as opted by you& throughout the premium paying term or till
earlier death. Alternatively premium may be paid in one lump sum 0single
premium1Euaranteed AdditionC'he policy provides for the guaranteed additions at the rate of $s.57J2 per
thousand sum assured for each completed year for first five year of the
policy. 'he guaranteed Additions are payable along with the basic sum
assured at the time of claim.BonusesC'he policy participate in the profit of the (orporations life insurance
business from the 6th year onwards. It will get a share of the profit in the
form of bonuses. ;imple reversionary bonuses will be declared per
thousand basic sum assured annually at the end of each financial year.
)nce declared& they will form part of the guaranteed benefits of the plan.BenefitsC
a1 "eath BenefitsC'he sum assured along with guaranteed additions and vested bonuses&
if any& is payable in a lump sum on death of the life assured during the
policy term. b1 #aturity BenefitC
'he sum assured along with guaranteed additions and reversionary
bonuses& if any is payable in a lump sum on survival to the end of the
policy term.c1 ;upplementary J -xtra BenefitsC
'hese are the optional benefits that can be added to your basic plan for
extra protection J option. An additional premium is re3uired to be paid
for these benefits.d1 ;urrender FalueC
Buying a life insurance contract is a long2term commitment. ,owever&;urrender value is available on the plan on earlier termination of the
contract.e1 Euaranteed surrender valueC
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'he policy may be surrendered after it has been in force for = years or
more. 'he guaranteed surrender value is =7O of the basic premium
paid excluding the first years premium. In case of a single premium
paid excluding any extra premium.
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%I( Pension Plans Introduction
%I( Pension Plans are Individual plans that will concentrate on your future
needs and financial stability in your old age. Pension plans are best suited for
senior citiHens to plan their future securely& 'hen they do not need to give up on
the best things in their life. By taking pension plans you can enjoy your life
even after your retirement with your loved ones. %I( pension Plan provides
minimum guarantee on the premium paid.
By taking %I( Pension plan while you are earning& the invested amount in
pension plan will help you in old age after your retirement. 'he company will
pay the pension through out the life time of the policy holder. ou can purchase
the policy by paying lump2sum amount or by paying regular premiums. ou
have an option to choose the type and mode of payment of pension such as
earlyJ ,alf2yearlyJ uarterlyJ#onthly according to your re3uirements.
If you have purchased the policy with high price you can get incentives. 'he
different pension plans available under the L-* I36/&3* C'&@'&-'3 '
I3.- are0%I(1& %I( Leenan Akshay26& Faristha Pension Bima ojana and %I(Ks
ew Leevan idhi. -ach plan has different eligibility criterias& you can select
any one of them by comparing each plan conditions according to your
re3uirements. ou can calculate the returns available in %I( Pension plans
using Return ca+cu+ator .
LIC P*36-'3 P+3 B*3*-6
'he basic Benefits available in %I( Pension Plans are
• "eath Benefit.
• Income 'ax Benefit.
D* B*3*-? )n "eath of the policy holder during the policy period& the
purchased amount will be refunded or the premium will be paid to the nominee
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till the end of the guaranteed period or the policy will be seiHed. It completely
depends on the pension option chooses by the policy holder.
I3'7* T B*3*-? Premiums paid to buy any of the %I( Pension plan areexempted from tax. Pension which will be received by the policyholder is
taxable.
*or more Information please check the below %I( pension plans available.
LIC P*36-'3 P+3 E7@+*
*or example if you have taken the %I( Pension Plan at a age =7 years for a
policy term of :7 years and you have chosen to pay premium regularly& on
vesting of your policy you will get Basic ;um Assured along with Euaranteed
Additions& *inal Additional bonus and vested ;imple $eversionary bonuses as
maturity benefit which will be converted in to pension. If the policy holder dies
within the policy period of Basic ;um Assured along with Euaranteed Addition
will be paid as lump sum to the nominee In %I( Pension Plans.
%I( Leevan Akshay 6 plan is a type of %I( pension plan. 'his plan is an
immediate annuity pension plan. you can purchase this policy by paying a lump
sum amount as a single Premium. In %I( Leevan Akshay 6 Plan after buying the
policy& pension will start immediately without delay. In %I( Leevan Akshay 6
plan you can select mode of pension payment such as yearly& half2yearly&
3uarterly and monthly. )nce the payment mode is chosen& the option cannot be
changed because the pension starts immediately after buying the %I( Leevan
Akshay 6
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%I( ew Leevan idhi Plan is a regular premium %I( pension plan. Premium
needs to be paid till the completion of the policy period. In %I( ew Leevan
idhi Plan at the end of the accumulation period& the maturity benefit
comprising of the sum assured& final additional bonus and the increment bonus
will be converted into pension. After the end of the accumulation period& the
vesting period starts in which pension will be paid out in regular intervals till
the end of policy period. After the expiry of the life insured& a lump sum will be
paid to the nominee.
LIC New Jeevan Nidhi Pensin P!an
%I( Farishtha Pension Bima ojana is a type of %I( pension plan introduced by
%ife Insurance (orporation of India0%I(1. Eovernment of India announced the
revival of %I( Farishtha Pension Bima ojana in /nion Budget :7482:745.
%I( Farishtha Bima ojana is a single premium pension policy for senior
citiHens& with pension starting to flow in immediately. )ne can opt to receive
the pension in different modes like yearly&half2yearly&3uarterly and monthly.
LIC Varistha Pension Bima yojana
All content provided in this post is for informational purposes only. 'he owner
of this site makes no representations as to the accuracy or completeness of any
information on this site. *or detailed and accurate information please refer the
official website www.licindia.in.
23
http://www.onlinelic.co.in/lic-new-jeevan-nidhi-policy/http://www.onlinelic.co.in/lic-varishtha-pension-bima-yojana/http://www.licindia.in/http://www.onlinelic.co.in/lic-new-jeevan-nidhi-policy/http://www.onlinelic.co.in/lic-varishtha-pension-bima-yojana/http://www.licindia.in/
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>$LIC B-7 B P+3
LIC B-7 B P+3 is actually a single premium M'3*: B; P+3. 'his
is a non unit2linked insurance traditional plan where a certain amount of money
is paid as pre2decided intervals. In this plan the premium is paid only once and
45O of the ;um Assured is paid after every = years and the entire ;ingle
Premium paid plus %oyalty Additions are paid on #aturity. ,owever& if the %ife
Insured dies within the policy tenure& the entire ;um Assured is paid
irrespective of the amount of money paid as ;urvival Benefits.
K*: F*/&*6 ' LIC B-7 B @+3
• 'his is a single premium plan
• %oyalty Additions are payable on Policy #aturity
• ;urvival Benefit is payable every = years of 45O of the ;um Assured
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• 'here are = policy tenures possible2 years& 4: years and 45 years
• 'here is a ;um Assured $ebate for large ;um Assured.
B*3*-6 :'/ ,* &'7 LIC B-7 B @+3
D* B*3*- In case of death of the %ife Insured& the nominee receives the
entire ;um Assured Q accrued Bonus
S/&9-9+ B*3*- 'he %ife Insured would receive the following ;urvivalBenefit
RSRSRSRSRSRSRSRSRR*or a Policy 'erm of years& 45O of ;um is payable at
the end of = and 6 years& a total of =7O of ;um Assured is payable
R*or a Policy 'erm of 4: years& 45O of ;um is payable at the end of =& 6
and years& a total of 85O of ;um Assured is payable
*or a Policy 'erm of 45 years& 45O of ;um is payable at the end of =& 6&
and 4: years& a total of 67O of ;um Assured is payable
M/&-: B*3*- +hen the policy matures& the entire single premium paid
Q %oyalty Additions are paid.
I3'7* T B*3*- Premiums paid under life insurance policy are
exempted from tax under ;ection 97 ( and maturity proceeds are exempted
from tax under ;ection 47 047"1
E+-,-8-+-: '3.--'36 3. '*& &*6&--'36 -3 LIC B-7 B
@+3
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M-3-7/7 M-7/7
;um Assured 0in $s.1 :7&777 o %imit
Policy 'erm 0in years1 & 4: 45
Premium Payment
'erm 0in years1;ingle
-ntry Age of %ife
Insured 0in years145 66
Age at #aturity 0inyears1
2 @5
Premium 0in $s.1 othing ;pecified
Payment modesearly& ,alf2yearly& uarterly& #onthly and
;;;
S7@+* -++/6&-'3 ' @&*7-/7 ' LIC B-7 B @+3
'he below illustration is for a healthy M+* 0non2tobacco user1 opting for a
A,* =7 years& =5 years and 87 years& S/7 A66/&*. T $s 4&77&777
P'+-: T*&7 45 years.
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A..--'3+ F*/&*6 3. B*3*-6 ' LIC B-7 B @+3$
R-.*&6 ! 'here are 3' ..--'3+ &-.*&6 in this plan
8. 'he (onvertible 'erm Assurance policyC*eaturesC
'his plan of assurance is designed to meet the needs of those who are
initially unable to pay the larger premium re3uired for a whole life or
endowment assurance policy& but hope to be able to pay for such
policy in the near future. 'his plan would be found useful also in cases
where its is desired to leave the final decision as to the plan to a laterdate when& perhaps a better choice could be made. Policy holder get
an option of converting an policy into endowment assurance or limited
payment whole life assurance.
;uitable forCAll people with earned income under category I and unearnedincomes under category It basically standard and substandard
lives attracting -#$ classes I and I'.
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BenefitsC
A1;urvival BenefitC ot Applicable
B1"eath BenefitC'he sum assured is payable only in the event of death of the%ife Assured before the expiry of the specified term.
P-;I) P%AC
4. ew Leevan "hara24
*eatures
Product ;ummaryC 'here are deferred annuity plans that allow the policyholder to make
provision for regular income after the selected term.
PremiumC
Premiums are payable yearly& half2yearly& 3uarterly& monthly or
through salary deduction as opted by you& thoughout the term of the
policy or till earlier death. Altetrnatively& the premium may be paid in one
lump sum 0 single premium 1BonusesC
'hese are with Nprofit plans and participate in the profit of the
corporations annuity J pension business. Policies get a share of the profit
in the form of business. ;imple reversionary bonuses are declared per
thousand sun assured annually at the end of each financial year. )nce
declared& they form part of the guaranteed benefits of the plan. *inal
0Additional1 Bonuses may also be payable provided policy has run for a
certain minimum period.Benefits
A1 "eath Benefits
)n death of the life assured during the term of the policy the basic
premium paid& excluding any rider premiums or extra premiums& up to
the date of death accumulated with interest at such rate as decided by
the corporation will be payable to the nominee. (urrently& the interest
rate is =O& 8O or 5O if the death occurs within the first 47 years& :7
years or thereafter respectively.
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B1 #aturity BenefitsC
A #aturity the policyholder can encash up to a maximum :5O of the
maturity proceeds as a 'ax2*ree lump sum. 'he balance should be
compulsorily converted to an annuity at the rates applicable at the time
of maturity of the policy. 'he policyholder has the choice of opting for
any one of 5 annuity options. 'he annuity options available areC
4. Annuity payable for remainder of life
:. Annuity payable for life with guaranteed period of 5&47&45 or :7
years
=. Loint life and last survivor annuity to the annuitant and his J her
spouse under which annuity payable to the spouse on death of the
purchaser will be 57O of that payable to the annuitant
8. %ife annuity with a return of purchase price on death of theannuitant
5. %ife annuity increasing at a simple rate of =O per annum.
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/I' P%A; N 4
4. #arket Plus N 4
'his is a unit linked pension plan where in the pension is payable
after a specified period. *our type of investment funds namely bond &secured& Balanced and growth fund are offered. 'hough primarily a
pension product & the plan has many attractive features and option which
make it an ideal retirement solution for the future.
BenefitsC
A1 )n vestingC
)n vesting of the policy & the fund value will be utiliHed to provide a
pension based on them prevailing annuity rates. An option to commute
up to one third of the payable benefit in a lump sum.
B1 )n "eathC
In event of the unfortunate death of the policy holder the fund
value along with the riders &if any& will be payable in a lump sum or as
a pension.
)P'I);
'hree attractive benefits& viH 2 %ife cover& Accident benefit and
critical lines benefits are available as option or riders. %ife option is
available within certain limits depending on the age at entry of the life
assured. 'he other option are available to all proposers who have
opted for life cover. 'he 3uantum of the risk covers can also be
reduced. subject to the minimum limits once a year. A policy can be
taken without any of the riders also.
PA#-' )* P$-#I/#;CPremiums can be paid in a lump sum 0 single premium 1 and also by
monthly 0-(;1& 3uarterly& half2yearly and yearly modes.
(,AE- I */" 'P- 0 ;+I'(,1C
'he plan also allows a policy holder to switch from one type of fund
to another up to four time a year& free of charge.
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;P-(IA% P%A;
4. Bima ivesh
*eatures
Bima ivesh :775 is a plan with compound rate of guaranteed additionsand loyalty additions. 'his is the revised version of our popular bima
nivesh plan :778 and is introduced to meet the overwhelming demand for
a single premium plan from our customers. It is a single premium & ideal
investment plan for those who have no regular income but good
periodical income. Bima nivesh :745 is available for terms 5 or 47 years
'he guaranteed surrender value is payable after the policy has run for at
least one year. 'erm assurance rider is also available by payment of a
single premium at the option of the proposer.
BenefitsC
4. Euaranteed additionsC
Euaranteed addition at the compound rate of $s.57 per thousand sum
assured per annum for the policy with term of 5years and at the
compound rate of rs.55 per thousand sum assured per annum for the
policy with term of 47 years.
:. %oyalty AdditionC
"epending upon the corporations experience with regard to morality&
interest and expenses and based on term of the policy& %oyalty
addition& if any may be declared by the corporation and paid on
maturity.
=. #aturity BenefitsC
'he basic sum assured along with compounded guaranteed additions
will be payable. %oyalty addition& if any will also be added to this
benefit.
8. Payment on deathC
In case of the unfortunate death of the life assured during the term ofthe policy& sum assured along with the accrued guaranteed additions
will be payable.
5. ;urrender valueC
;urrender value is payable after the policy has run at least for one
year.
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E$)/P ;(,-#-C
4. Eroup 'erm Insurance ;chemeC
A1 ature of the schemeC
Eroup insurance scheme is meant to provide life insurance protectionto groups of people. Administration of the scheme is on group basis
and cost is low. /nder group insurance scheme& life insurance cover is
allowed to all members of a group subject to some simple insurability
conditions without insisting upon any medical evidence. scheme offers
covers only on death and there is no maturity value at the end of the
term.
B1 Premium (hargeableC
Eroup insurance scheme is at present offered under one yearrenewable
group term assurance plan. -very year on annual renewal date %I(
charges the premium depending upon the changes in siHe and age
distribution of the age group.
(1 "ifferent ;chemeC
Eroup insurance scheme has a number of varieties. 'he scheme may
provide for a uniform cover to all members of the group or graded
covers for different categories of members & cover for all amount of
outstanding housing loans or vehicle advance& ors some other benefits.
'he sheme may have add2ons like double accident benefit& critical
iilness benefit& disability benefit etc.
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E--$A% *-A'/$-; )* FA$I)/; E$)/P I;/$A(- ;(,-#-C
4. P$-#I/#C
'he premium under such scheme may be wholly paid by the employer or
the nodal agency. 'he scheme may be contributory i.e. the members mayalso contribute.
:. ")/B%- A((I"-' B--*I'C
"ouble accident benefit& i.e. payment of double the sum assured on death
due to accident 0 without permanent disability benefit 1 may be allowed
under group insurance scheme for an extra premium.
=. -%IEIBI%I'
*or group insurance scheme in lieu of the insurability condition is that
should be a member of the provident fund scheme of the employer. *or
other EI scheme of employer2employee groups the insurability condition
is that the member should not be absent on ground of sickness on the
entry date. *or all non2employer2employee group scheme the basic
insurability condition is that the member should be in good health on the
date of entry.
8. A"#II;'$A'I) )* ',- ;(,-#-C
At the commencement and thereafter on each annual renewal date& the
group policyholder will have to send all the members data 0 particular of
the new entrants from time to time1 to the P E; unit of %I(&. "etailed
)$E'A premium calculation will be made on each annual renewal
date.
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:. Lanashree Bima ojana 0 LB 1
*eature
'he objective of the scheme is to provide life insurance protection to the
rural and urban poor persons below poverty line and marginally above the
poverty line.
-%IEIBI%I'C
A Person who is
Aged between 49 and 5 years
Below or marginally above poverty line
A member of any of the approved vocation J occupation groups
#II#/# #-#B-$;,IP ;IU-C
'wenty five.
BenefitsC
In the events of
"eath of the member& an amount of rs. =7777J2 is payable.
"eath J 'otal permanent disability& due to accident & An amount of rs .
@5777J2 is payable. Permanent partial disability & due to accident& an amount of rs. =@577J2 is
payable.
P$-#I/#C
'he premium under the scheme is rs.:77J2 per annum per member.
Balance 57O will be born by the social security fund.
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(,AP'-$C =
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I'$)"/('I)
'he purpose of the methodology is to describe the research procedure.
'his includes overall research design. 'he sampling procedure& the data
collection method and the analysis procedure and method.
In this study Benefits of Products of ew India Insurance. "escriptive
type of research has been done for collecting the primary data. 'he primary data
was collected through ;urvey of the customers.
#-',)")%)E
;tudy design
Primary data which has been collected by interview and 3uestionnaire
method. 'he primary data was collected through the personal interview survey
of the customers.
*or secondary data collection method the help of various reference book
have been taken which are mentioned in bibliography and also by way of
suffering through the insurance company website. 'he secondary data was
collected through websites& reference book for topic through selected.
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(,AP'-$C 8
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4. ou have taken insurance policy from which company
%I( ,"*( I(I(I )',-$;
57O =7O :7O 47O
45 = 6 6
LIC" 45#
$%FC" 27#
ICICI" 18#
&T$ER'" 9#
Chart Title
I'-$P$-'A'I)C 57O of respondent taken a %I( policy =7O of respondent
taken a ,"*( insurance policy& :7Oof respondent taken a I(I(I prudential
policy& 47O of respondent taken a another company policy.
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:. +hich policy you have taken from %I(
Bima ivesh 4=O 5
Bima Bachat :6O 8#arket plus :7O =
Any other :7O =
(i)a Nivesh" 16#
(i)a (a*ha+" 33#
,a-.e+ /!s" 25#
An +he-" 25#
Chart Title
I'-$P$-'A'I)C 4=O of respondent satisfy with the Bima ivesh
Plan& :6O of respondent satisfy the Bima Bachat plans and policies& :7O
of respondent satisfy the market plus plan :7O of respondent satisfy
the other plans and policies.
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=. Are you satisfied with the services of %I(
yes o
9@O 4=O4= :
es" 87#
N" 13#
Chart Title
I'-$P$-'A'I)C 9@O of people satisfied the services of their
company& 4=O of people are not satisfied with services of %I(.
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8. ,ow is the claim settlement procedure of %I(
-xcellent 5=O @
Eood ==O 5
;atisfactory 4=O : ot satisfactory 6O 4
E*e!!en+" 50#
d" 31#
'a+isa*+-" 12#
N+ sa+isa*+-" 6#
Chart Title
I'-$P$-'A'I)C 5=O of customers feels that %I( provide excellent
services& ==O of customers says they provide good services& for 4=O of
customers& feels they provide satisfactory services and 6O of customers says
%I( not provide satisfactory services.
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5. "o your complaints ueries are resolved property
es o
97O :7O
4: =
es" 80#
N" 20#
Chart Title
I'-$P$-'A'I)C 97O of customers feel that there complaints 3ueries are
resolved properly other :7O customer feels that there complaints and 3ueries
are properly not resolved.
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(,AP'-$C 5
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()(%/;I)
After completing the project it is concluded that %I( develop its various plans
and policies& flexible in nature& according to the re3uirements of its targeted
market or customers and is thus beneficial to its customers in various ways. 'hemost important benefit it provide to its customers is that it is a government
owned company. 'his lead to increase in the satisfaction level of its customer
that is why %I( has more than :77 million policyholders which is e3ual to the
fourth largest country in world. 'herefore it is not only beneficial better than
other insurance companies not only regarding its provide its product but also its
services.
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(,AP'-$C 6
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BIBI%I)E$AP,
Information and data used in the project has been collected from the following
sourcesC2
www.licindia.com
www.licmutual.com
www.lichousing.com
www.wikipedia.org
www.reportbuyer.com
www.google.com
47
http://www.licindia.com/http://www.licmutual.com/http://www.lichousing.com/http://www.wikipedia.org/http://www.reportbuyer.com/http://www.google.com/http://www.licindia.com/http://www.licmutual.com/http://www.lichousing.com/http://www.wikipedia.org/http://www.reportbuyer.com/http://www.google.com/
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