A REPORT ON 

comparison between pension plan

of Bharti Axa and Hdfc standard

life insurance

(Jun 11-2009 to July 22- 2009)

Submitted To: Submitted by:

Manish Tayagi Ramakant gupta

Project Trainee

Poornima Group Of Colleges

Poornima Institute of Engineering & Technology (DMS)

ISI-2&6, RIICO institutional area, goner road, Sitapura, jaipur-22

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Acknowledgement

About insurance

About the life insurance sector

Introduction of the company

Products and services

Distribution strategy of bharti axa life insurance

Conclusions

Future growth

Prospects and suggestions

References

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We would like to take this opportunity to express our deep gratitude

to the person who made this project possible.

We are grateful to our project training advisor Mr. R.k Agarwal, who

showed us the right path to reach the final destination with minimum

hiccups and was always there with a helping hand in times of need

throughout our project.

I am also thankful to our project trainer Mr. Manish Tayagi with his all

training members who gave us knowledge practically with constantly

source of inspiration and encouragement also provided me with his

timely help and scholarly ideas in giving final shape to this report.

I am also very thankful to my friends who helped me in completion of

the project. I am thankful to that power that always inspires me to

take right step in the journey of success my life.

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ABOUT INSURANCE

Definition of Insurance

Insurance is a contractual-type financial intermediary that offers the

public protection against the financial costs associated with the loss

of life, health, or property in exchange for premiums.

An agreement that guarantees the payment of a stated amount of

monetary benefits upon the death of the insured. Risk insurance

intended as protection against the financial consequences of the

death of the insured person, which takes the form of payment of a

previously agreed lump sum or pension to a beneficiary, if the insured

person dies during the term of insurance. In the case of pure life

insurance, without any endowment insurance component, no

payments are due if the insured person survives the term of

insurance. Insurance is that which provides protection against the

economic loss caused by the death of the person insured.

Insurance is a federal subject in India. The insurance sector has gone

through a number of phases and changes. Since 1999, when the

government opened up the insurance sector by allowing private

companies to solicit insurance and also allowing FDI up to 26%, the

insurance sector has been a booming market. However, the largest

life-insurance company in India is still owned by the government.

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History

Insurance in India has its history dating back until 1818, when

Oriental Life Insurance Company was started by Anita Bhavsar in

Kolkata to cater to the needs of European community. The pre-

independent era in India saw discrimination among the life of

foreigners and Indians with higher premiums being charged for the

latter. In 1870, Bombay Mutual Life Assurance Society became the

first Indian insurance company covering Indian lives at normal rates.

At the dawn of the twentieth century, many insurance companies

were founded. In the year 1912, the Life Insurance Companies Act

and the Provident Fund Act were passed to regulate the insurance

business. The Life Insurance Companies Act, 1912 made it

necessary that the premium-rate tables and periodical valuations of

companies should be certified by an actuary. However, the disparage

still existed as discrimination between Indian and foreign companies.

The oldest existing insurance company in India is the National

Insurance Company Ltd., which was founded in 1906. It is in

business. Before that, the industry consisted of only two state

insurers: Life Insurers (Life Insurance Corporation of India, LIC) and

General Insurers (General Insurance Corporation of India, GIC). GIC

had four subsidiary companies.

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With effect from December 2000, these subsidiaries have been de-

linked from the parent company and were set up as independent

insurance companies: Oriental Insurance Company Limited, New

India Assurance Company Limited, National Insurance Company

Limited and United India Insurance Company Limited.

Currently, in India only two million people (0.2 % of the total

population of 1 billion) are covered under Mediclaim, whereas in

developed nations like USA about 75 % of the total populations are

covered under some insurance scheme. With more and more private

companies in the sector, the situation may change soon.

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Acts

The insurance sector went through a full circle of phases from being

unregulated to completely regulate and then currently being partly

deregulated. It is governed by a number of acts.

The Insurance Act of 1938 was the first legislation governing all forms

of insurance to provide strict state control over insurance business.

Life insurance in India was completely nationalized on January 19,

1956, through the Life Insurance Corporation Act. All 245 insurance

companies operating in the country were merged into one entity, the

Life Insurance Corporation of India.

The General Insurance Business Act of 1972 was enacted to

nationalize the about 100 general insurance companies and

subsequently merging them into four companies. All the companies

were amalgamated into National Insurance, New India Assurance,

Oriental Insurance and United India Insurance, which were

headquartered in each of the four metropolitan cities. Until 1999,

there were not any private insurance companies in India. The

government then introduced the Insurance Regulatory and

Development Authority Act in 1999, thereby de-regulating the

insurance sector and allowing private companies. Furthermore,

foreign investment was also allowed and capped at 26% holding in

the Indian insurance companies.7

What is life Insurance?

Life Insurance is a contract providing for payment of a sum of money

to the person assured or, to the person entitled to receive the same,

on the happening of a certain event.

The Insurance Institute of America defines insurance as three things’.

First, insurance is a transfer technique whereby the insured transfers

the risk of financial loss to another party, the insurance company or

insurer. Second, it is a contract between the policyholder and the

insurer that states what financial consequences of loss are

transferred and expresses the insurer's promise to pay for those

consequences. Third, insurance is a business and, as such, needs to

be conducted in a way that earns a reasonable profit for its owners.

The money a policyholder pays an insurer is small compared to the

potential for loss. If a family's house were to burn down, they

probably could not afford to replace it without insurance. The

insurance system enables someone to transfer the financial

consequences of this loss to an insurance company. The insurance

company, in turn, pays for covered losses and distributes the costs

among all of its policyholders. In that way, your fellow policyholders

share the cost of your loss, as you share in theirs.

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A family is dependent for its food, clothing and shelter on the income

brought by the family's breadwinner. The family is secure so long as

this breadwinner is alive and is capable of earning. A sudden death

(or disability) may leave the family in a financially difficult situation.

Uncertainty of death is inherent in human life and this uncertainty

makes it necessary to have some protection against the financial loss

arising from untimely death. Life insurance offers this protection.

The Greeks and Romans started the earliest type of life insurance.

Contributions were made by all surviving members for the burial cost

of a member. In case of the death of a member the cost of burial was

made out of the contributed fund.

In the 17th century, the Tontine Annuity system was introduced

where associations of individuals were formed without any reference

to age, and a fund was created by equal contributions from each

member. The sum collected was invested, and at the end of each

year the interest was divided among the survivors. The last remaining

survivor received both the year's interest and the entire amount of the

principal.

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The first organized life insurance company was founded in 1759 in

Philadelphia, in North America. Subsequently, over the past three

centuries, numerous life insurance

Companies sprung up, making life insurance a popular tool for

protection coupled with investment.

Why do we need Life Insurance?

We need Life Insurance because typically the need for income

continues for those who are financially dependent on you, but there is

no guarantee of your ability to earn consistently and for the rest of

your life. Life insurance can help you safeguard the financial needs of

your family.

This need has become even more important due to steady

disintegration of the prevalent joint family system, and emergence of

nuclear families. The need to protect your family's ever growing

needs is why you need Life Insurance.

Replacement of Income

Life insurance products can provide support to the family and take

care of the family's financial requirements. It provides a lump sum or

periodic payments to help replace the income stream, in case of an

unfortunate event or an untimely demise of the breadwinner.

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Lifestyle Maintenance

Life insurance products can help you build a corpus to protect and

maintain your lifestyle against fluctuations in your future income.

Costs of Education

You need to support your child with a sound educational

background, to help your child achieve his/her dreams. Life insurance

products can help you fulfill these needs, whether you are there or

not.

Retirement Expenses

Retirement is an age when an individual has fulfilled almost all his

responsibilities and looks forward to relaxing. Life insurance products

can help you lead a secure and tension free retired life by ensuring

that you get guaranteed pension.

Mortgage and Debt protection

With increasing consumerism and ever-rising demands, loans and

debts are now part of life. Life insurance products help you ensure

that your family is not unduly burdened with their repayments, in case

of an unfortunate event or an untimely demise of the breadwinner.

Hardships Protection

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Life insurance provides a sense of security to the income earner and

to his/her family. Buying life insurance frees the individual from

various unnecessary financial burdens that can otherwise make one

spend sleepless nights.

Life Insurance V/S Other Investments

Most investment options make your money work harder, but

there are no substitutes to life insurance. Because only a life

insurance policy gives you both - risk cover against your life, as

well as returns on your money invested.

Life insurance allows long tem savings to be made in a

relatively painless manner because of the low and convenient

investments made through premiums. Moreover, it encourages

'forced thrift' which means the insured is made to pay premiums

and save money, which he/she may not do in the regular

course of life.

Should you require loans, say for building a house, it can be

easily obtained against a life insurance policy. Amongst the

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most known benefits of Life Insurance is the savings on your

income taxes.

Life insurance cannot be compared with any other form of

investment as life insurance gives you a life long benefit and

returns on your money when it is most required.

Insurance premiums are linked to age of the life insured and the

earlier you buy, the lower are the premium requirements.

Besides, the money stays invested for a longer time and

thereby maximizing your returns through the power of rupee

compounding. So, a life insurance policy is an ideal tool to gain

security and ensure savings.

Most importantly it provides you with that unique sense of

security and peace of mind that no other form of investment

provides.

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The Life Insurance Sector At A Glance

Overview

Economic growth in the emerging markets has time and again

outpaced the developed and industrialised countries. Alongside the

rising importance of emerging economies, their life insurance sectors

are also drawing more attention. It’s been four years since the life

insurance sector was opened up for private players in India. The

reasons that prompted the government to bring in reform in this

sector are well known. While the public sector life insurance

companies made enormous contribution in the spread of awareness

about insurance, and expanded the market, it was recognised that

their reach was still limited, the range of products offered restricted

and the service to the consumer inadequate. It was also felt that the

rapid economic growth witnessed in the 90s couldn’t be sustained

without a thriving insurance sector.

Today, the private sector accounts for nearly 20% of the market. The

market share of the private players has to be seen in the context of

this enlarged market. There has been a flurry of private players

providing a wide range of innovative products, services and

customised solutions. Emerging markets—such as China, India,

Mexico and Russia— are home to some 86% of the world’s

population. Collectively, they account for 23% of world economic

output. Yet, insurance business is underdeveloped in these markets.

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In fact, India as a country is under-insured. Only 35% of the 250

million insurable population is insured. Exploiting the growth potential

of emerging insurance markets — India and China are in the

spotlight. Both the countries currently attract a lot of attention due to

their size, strong growth performance and favourable regulatory

changes. To begin with, India and China are the most populous

countries and both have sustained impressive economic growth in the

last decade. Between 1993 and 2003, annual real GDP growth

averaged 8.9% in China and 5.9% in India. Interestingly, both

markets have gone through a similar period of nationalisation of their

insurance business, although China revoked state monopoly earlier

than India.

As the life insurance sector evolves, we will see a lot of transparency

in products, costs. There will be a lot of value added services

provided by insurers: financial advice, add-on facilities. There will be

a revolution in term of the IT used and the level of automation. Also,

there will be faster query handling and other issues relating to policy

servicing can be made simpler.

The flux of new products is primarily a response to the recognition of

the latent needs of the consumers. Today’s consumer goes for ‘pure

term insurance and plans’, which give him insurance-cum-investment

as compared to endowment, and money-back plans.

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Financial planning is key to winning a customer today. Whether

capital generation, retirement planning or pension options, private

insurers today make these available with options. As to the prospect

of the emerging insurance market in India, we are cautiously

optimistic. This optimism is mainly based on the country’s economic

growth, which is faster than in industrialised nations, and on its

insurance demand growth, which is tangibly in excess of the

underlying economic development.

Competitive pressures have increased and are reshaping the Indian

insurance landscape, leading to variety in products and channels.

Unit-linked products (Ulips) are surely the way ahead. Compared with

them, traditional policies have more to do with the long-term financial

planning. Traditional policies also offer flexibility in broad planning.

First, one should cover for the financial liabilities and human life value

and then graduate to Ulip and participatory plans. Identifying that

Ulips are the way ahead, we have introduced a unit-linked retirement

income plan, two safe investment plans, an easy growth plan and a

flexi plan.

A key catalyst in the Indian insurance market growth has been the

entry of foreign players. India has allowed foreign joint ventures to

obtain national licenses, although there is still a 26% limit on foreign

stake holding. One of the factors that will influence insurance

business development in India is; how are we going to manage our

high natural catastrophe exposures?. Impending reforms of the

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pension systems in India is another key development, which will allow

private insurers to offer products to bridge the pension gap.

At every stage of life, a different plan may be required to cater to

changing financial needs and liabilities. However, the basic premise

of life insurance is coverage for life. Globally, mortality protection

accounts for roughly 80% of total risk premiums. In most markets,

there has been a trend of unbundling of savings and pure term

products, and term insurance has grown strongly over the past few

years.

In developed markets, like the US, UK and Australia, the term

products are widely sold and the penetration is higher. Following the

world-wide trends, Indian companies are also looking at introducing

innovative products. One such segment that they are in the process

of catering to is smokers and tobacco users. Our company, for

instance, has a preferred term plan for non-smokers and women.

The Banc assurance model is another successful distribution strategy

being adopted by many Indian companies, although variety of

distribution channels exist e.g. the traditional life-agency force,

insurance brokers, worksite marketing, corporate agents as well as a

proprietary sales force. Each channel has its own utility.

The Indian industry is at a nascent stage as far as insurance brokers

are concerned, and with development of the markets, insurance

broking will pay an important role in insurance distribution.

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Another move in the life insurance industry has been that of full-time

advisors. The old mutual sales model runs on only full time life

advisors, none of them are working on a part time basis. A large

number of our life advisors are lawyers, advocates, teachers,

accountants, engineers or government employees. We are

witnessing a demographic change in the country, and the younger

generation which is exposed to the outside world, demands products

and services which are at par with what is available in the advanced

countries. This is the biggest challenge.

Insurance Companies in India

In India, Insurance is a national matter, in which life and general

insurance is yet a booming sector with huge possibilities for different

global companies, as life insurance premiums account to 2.5% and

general insurance premiums account to 0.65% of India's GDP. The

Indian Insurance sector has gone through several phases and

changes, especially after 1999, when the Govt. of India opened up

the insurance sector for private companies to solicit insurance,

allowing FDI up to 26%. Since then, the Insurance sector in India is

considered as a flourishing market amongst global insurance

companies. However, the largest life insurance company in India

The history of Insurance in India dates back to 1818, when Oriental

Life Insurance Company was established by Europeans in Kolkata to

cater to their requirements. Nevertheless, there was discrimination

among the life of foreigners and Indians, as higher premiums were

18

charged from the latter. In 1870, Indians took a sigh of relief when

Bombay Mutual Life Assurance Society, the first Indian insurance

company covered Indian lives at normal rates. Onset of the 20th

century brought a drastic change in the Insurance sector.

In 1912, the Govt. of India passed two acts - the Life Insurance

Companies Act, and the Provident Fund Act - to regulate the

insurance business. National Insurance Company Ltd, founded in

1906, is the oldest existing insurance company in India. Earlier, the

Insurance sector had only two state insurers - Life Insurers i.e. Life

Insurance Corporation of India (LIC), and General Insurers i.e.

General Insurance Corporation of India (GIC). In December 2000,

these subsidiaries were de-linked from parent company and were

declared independent insurance companies: Oriental Insurance

Company Limited, New India Assurance Company Limited, National

Insurance Company Limited and United India Insurance Company

Limited.

Insurance Companies In India

Bajaj Allianz Life Insurance Company Limited

Birla Sun Life Insurance Co. Ltd

HDFC Standard life Insurance Co. Ltd

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ICICI Prudential Life Insurance Co. Ltd.

ING Vysya Life Insurance Company Ltd.

Life Insurance Corporation of India

Max New York Life Insurance Co. Ltd

Met Life India Insurance Company Ltd.

Kotak Mahindra Old Mutual Life Insurance Limited

SBI Life Insurance Co. Ltd

Tata AIG Life Insurance Company Limited

Reliance Life Insurance Company Limited.

Aviva Life Insurance Co. India Pvt. Ltd.

Shriram Life Insurance Co, Ltd.

Sahara India Life Insurance

Bharti AXA Life Insurance

Future Generali Life Insurance

IDBI Fortis Life Insurance

Canara HSBC Oriental Bank of Commerce Life Insurance

Religare Life Insurance

DLF Pramerica Life Insurance

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Star Union Dai-ichi Life Insurance

Agriculture Insurance Company of India

Apollo DKV Insurance

Cholamandalam MS General Insurance

HDFC Ergo General Insurance Company

ICICI Lombard General Insurance

IFFCO Tokio General Insurance

National Insurance Company Ltd

New India Assurance

Oriental Insurance Company

Reliance General Insurance

Royal Sundaram Alliance Insurance

Shriram General Insurance Company Limited

Tata AIG General Insurance

United India Insurance

Universal Sompo General Insurance Co. Ltd

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Corporate Profile of BHARTI AXA

Bharti AXA Life Insurance is a joint venture between Bharti, one of

India’s leading business groups with interests in telecom, agri

business and retail, and AXA, world leader in financial protection and

wealth management. The joint venture company has a 74% stake

from Bharti and 26% stake of AXA.

The company launched national operations in December 2006.

Today, we have over 8000 employees across over 12 states in the

country and a national footprint of distributors trained to provide

quality financial advice and insurance solutions to the large Indian

customer base.

As we further expand our presence across the country with a large

network of distributors, we continue to provide innovative product and

service offerings to cater to specific insurance and wealth

management needs of customers. Whatever your plans in life, you

can be confident that Bharti AXA Life will offer the right financial

solutions to help you achieve them.

The vision of Bharti AXA Life Insurance Company Limited is to

become the preferred life insurance company in India. This vision

extends to our recruitment philosophy as well. Both the Bharti Group

in India and AXA globally enjoy the status of being a very employee

focused organization.

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At Bharti AXA Life Insurance, we are determined to achieve our

vision through talent who are empowered, focused on customer

service, and champions of strategic and operational excellence.

The guiding Human Resources principles at Bharti AXA

are:

Clearly define scope of responsibilities and empower people to

deliver

Provide people with the means to develop their competencies

Consider individual training and development a priority

investment

Build organizations that are conducive to teamwork and that

involve everyone

Promote ongoing dialogue between managers and the people

who report to them

Make cultural difference a key source of strength

Vision

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To be a leader and the preferred company for financial protection and

wealth management in India

Values

Professionalism

Innovation

Team Spirit

Pragmatism

Integrity

Strategy

To achieve a top 5 market position in India through a multi-

distribution, multi-product platform

To adapt AXA's best practice blueprints as a sound platform for

profitable growth

To leverage Bharti's local knowledge, infrastructure and

customer base

To deliver high levels of shareholder return

To build long term value with our business partners by

enhancing the proposition to their customers

To be the employer of choice to attract and retain the best

talent in India 24

To be recognised as being close and qualified by our

customers

Strategic differentiators

Strong partner Bharti - provides access to customer base of

more than 20 million

Multi channel execution capability

Current Asia product range which is a strong match to products

sold to the mass and mass affluent

Global scale providing cost effective and speedy re-use of

systems, products and business capability

Individual Plans of BHARTI AXA:

Bharti AXA Life Guarantee Builder

A Unit Linked Guarantee Plan

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Guarantee Builder provides you with a comfort factor on your

investments and you can be sure that this comfort factor keeps

building year-on-year. It's a solid investment plan that lets you

achieve your long-term goals by investing in a mix of debt and

equities, while providing a Guaranteed Maturity Value over 15 years.

What's more, you need not worry about your family's security as it

has a strong life insurance protection embedded.

. Guarantee Builder provides you with a comfort factor on your

investments and you can be sure that this comfort factor keeps

building year-on-year. It's a solid investment plan that lets you

achieve your long-term goals by investing in a mix of debt and

equities, while providing a Guaranteed Maturity Value over 15 years.

What's more, you need not worry about your family's security as it

has a strong life insurance protection embedded.

Key Benefits:

Ensure solid protection for your family through a Death Benefit

that offers Sum Assured PLUS Fund Value

Get the comfort of a Guaranteed Maturity Value (GMV) which

means at least your investment premiums are returned at

maturity.

Get the power of Builder, which means that you can expect

your GMV to potentially increase by 1% each year till it reaches

115% by the time Guarantee is applicable.

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The new Build n Protect Fund ensures not only safety to your

investments, but also provide you the springboard for growth of

your investments over the long-term by allocating upto 40% in

large-cap stocks.

Get tax benefits on the premiums paid and benefits received as

per the prevailing tax laws.

Bharti AXA Life Bright Stars

A Unit Linked Child product.

Bharti AXA Life Bright Stars provides a launch pad for your child’s

bright future. What else, You also have Jumpstart benefit which is

paid out at maturity along with Policy Fund Value, which enables your

child to explore more career options.

Bharti AXA Life Bright Stars provides a launch pad for your child’s

bright future. What else, You also have Jumpstart benefit which is

paid out at maturity along with Policy Fund Value, which enables your

child to explore more career options.

Key Benefits:

Get 360` protection in securing your child’s future.

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o Payment of sum assured immediately on death;

o Payment of future premiums by the company till maturity;

o Get Policy Fund Value along with Jumpstart benefit at

maturity.

A Jumpstart benefit to boost your maturity proceeds.

A flexible Policy which adjusts to your financial needs by giving

you various options like top ups, choice of investment funds,

switch, withdrawals, cover continuance option, decrease in

premium and more.

Choice of 5 policy terms to match your financial goals.

Get tax benefits on the premiums paid and benefits received as

per the prevailing tax laws.

 

Bharti AXA Life Spot Suraksha

Spot Suraksha helps you create a pool of wealth to meet your long-

term needs, with an added advantage of simplified buying process

Spot Suraksha helps you create a pool of wealth to meet your long-

term needs, with an added advantage of simplified buying process

Key Benefits:

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Easy to buy Investment solution - with a simplified

proposal form, no medical examinations & you are insured

on the spot with the issuance of a cover note!!

130% of first year premium is returned as Guaranteed Special

Addition on death or on Maturity.

Allocation rates 100% from year 2 onwards!

3 investment fund options as per your investment preferences

& the facility to switch amongst the investment funds as per

your investment objectives.

Flexibility of partial withdrawals after fifth Policy Year, cover

continuance option after seven policy years

Tax benefits under section 80C and 10(10D) of Income Tax

Act.

Bharti AXA Dream Life Pension

A Unit Linked Pension Product

Dream Life Pension, Bharti AXA Life Insurance's unique pension

product ensures that your retirement life is your Dream Life.

Live your Dreams! Be Life Confident.

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Dream Life Pension, Bharti AXA Life Insurance’s unique pension

product ensures that your retirement life is your Dream Life.

Live your Dreams! Be Life Confident.

Key Benefits:

Unmatched flexibility for retirement wealth creation

o Pay one time lump sum or regular premiums

o At the inception systematically increase your premiums by

5 % or 8% each year with the Accumulator Option

o Increase/decrease premiums any time after the 2nd policy

year

o Add top up premiums any number of times after the 1st

policy year

Dream Life Pension enhances your retirement kitty by providing

special addition, starting from the end of 10th policy year

Change your planned retirement age any time during the policy

term

Obtain tax benefits as per the prevailing tax laws on the

premiums paid and the benefits received under the policy.

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Bharti AXA Life Aspire Life

Unit Linked Endowment Product.

Aspire Life helps you create a pool of wealth to meet your long-term

needs, while also providing you adequate protection in case the need

arises.

Aspire Life helps you create a pool of wealth to meet your long-term

needs, while also providing you adequate protection in case the need

arises.

Now you can be confident of your long term financial goals

turning into reality. Be Life Confident.

Key Benefits:

Allocation rates as high as 100% i.e. no allocation charges for

premiums greater than or equal to Rs.50,000 on your

investment in the unit-linked fund from year 2 - to maximize

your investment returns.

Up to 175% of the first year premium paid by you is returned as

Guaranteed Special Addition, at maturity of the policy or on

unfortunate event of death of the Life Insured.

3 investment fund options as per your investment preferences.

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Flexibility of partial withdrawals after fifth Policy Year, premium

holiday option after seven policy years and facility to switch

amongst the investment funds as per your investment

objectives.

Protection benefit which provides high Sum Assured for longer

policy terms.

Tax benefits under section 80C and 10(10D) of Income Tax Act

Bharti AXA Life Invest Confident

Unit Linked Single Premium Product.

You have always strived hard to achieve the best for you and your

loved ones, so when it comes to making an investment decision, we

know that you would expect the best from it too.

You have always strived hard to achieve the best for you and your

loved ones, so when it comes to making an investment decision, we

know that you would expect the best from it too.

Presenting Invest Confident, a unique single premium, unit linked

investment and protection product which not only strives to maximize

your investment returns but also gives you an enhanced flexibility to

suit it according to your protection needs, because we at Bharti AXA

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Life Insurance, believe that your hard earned money deserves

nothing but the best.

Now, be confident of choosing the best financial solution for

your investment and life insurance needs. Be Life Confident.

Key Benefits:

Convenient single premium product with policy benefit period till

the age of 70.

Unique special additions starting from the end of 5th policy year

and thereafter at the end of every 5 years till the maturity date.

3 investment fund options as per your investment preferences.

Basic Sum Assured of five times the single premium.

Unique option of investing additional amount at your

convenience through Top Up Premiums.

Flexibility of partial withdrawals after the third Policy Year

Additional benefit of Rs.5, 00,000 in the event of death due to

an accident.

Tax benefits under section 80C and 10(10D) of Income Tax

Act.

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Why should you buy Invest Confident?

Invest Confident is a suitable product for lump sum investment needs.

You can enhance your investment and protection needs by adding

money as much as the initial lump sum amount every year through

top ups. Being a unit-linked plan, it also suits your requirement of

deriving potentially higher returns by assuming the appropriate risks.

Invest Confident offers you flexibility, loyalty and convenience and

gives your investments a premier treatment.

Bharti AXA Life Wealth Confident

A unit-linked investment cum protection policy.

Your wealth, your status ensures that you get preferential status

wherever you go. So why shouldn't your money get the same?

Your wealth, your status ensures that you get preferential status

wherever you go. So why shouldn't your money get the same?

Wealth Confident, a unit-linked investment cum protection product,

with its limited period premium payment facility of 5 years, premium

payment flexibility, higher allocation of your premium for investment,

unique special additions and life insurance benefit, not only makes

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your money grow but also provides your investment the special

treatment that it deserves.

"Be confident of providing your investments the right mix of growth,

flexibility and loyalty benefits. Live confident with Wealth Confident."

Key Benefits:

Pay premium for five years, while your policy continues for ten

years.

Higher allocation of your premium up to 88% for investment.

Special additions of units added every year from 6th Year for

incremental wealth creation.

Choose from four different investment funds to meet your

financial objectives.

Five times the life cover of your annual premium.

Tax benefit under 80C and 10(10D).

Why should you buy this plan?

Wealth Confident is a suitable product for you, if your key objective is

to potentially maximize your wealth to fulfill your future financial

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objectives such as child's higher education, building a retirement kitty,

asset creation, etc.

The limited premium payment term of 5 years for a 10 year policy,

also suits your requirements of premium payment flexibility.

Being a unit-linked plan, it also suits your requirement of earning

potentially higher returns by assuming the appropriate risks.

Bharti AXA Life FutureConfident

A unit-linked policy which offers comprehensive protection along with

wealth creation in the long term.

Imagine this, 12 years from now, your son will go for his MBA degree,

or 15 years from now, you will have to find a suitable son-in-law, or

20 years from now, you will require money, to spend a happily retired

life.

For your long-term financial milestones, our endeavor at Bharti AXA

Life Insurance is to provide you with suitable long-term financial

solution.

"Future Confident is a complete financial solution that serves you in

building wealth for your long-term needs, but most importantly,

36

provides comprehensive financial protection to your loved ones,

against all odds."

Now be confident of a solution that works for your long-term

needs to make your future confident. Be Life Confident.

Key Benefits:

Life insurance benefit of up to 420 times the monthly premium.

Comprehensive overall protection through "Protection

Enhancers" in the form of riders.

Wealth creation for your long term financial needs.

Special additions at regular intervals, starting from 7th year, to

enhance your wealth.

Four different investment funds to meet your financial

objectives.

Tax benefit under 80C and 10(10D).

Why should you buy this plan?

Future Confident is a suitable product for you, if your objective is

long-term targeted wealth creation over 15-20 years, either for your

own retirement or for your children's future, while at the same time

providing your family a comprehensive protection against unfortunate

incidences in life.37

Being a unit-linked plan, it also suits your requirement of deriving

potentially higher returns by assuming the appropriate risks.

Bharti AXA Life Future Confident ii

A unit-linked product which offers enhanced protection along with

wealth creation in the long term. Imagine this, 12 years from now,

your son will go for his MBA degree, or 15 years from now, you will

have to find a suitable son-in-law, or 20 years from now, you will

require money, to spend a happily retired life.

When financial protection along with the wealth creation for long-term

needs is your key financial objective, you need a solution that

provides that extra protection for your loved ones, while creating

wealth for your long-term goals. Future Confident II is a complete

financial solution that serves you in building wealth for your long-term

needs, but most importantly, provides comprehensive financial

protection to your loved ones, against all odds."

Now be confident of a solution that works for your long-term

needs to make your future confident. Be Life Confident.

Key Benefits:

Build Wealth for your long term financial needs with enhanced

financial protection.

38

Sum assured up to 420 times the monthly premium.

Life insurance benefit as Sum assured PLUS Policy fund value.

Four different investment funds to meet your financial

objectives.

Comprehensive overall protection through "Protection

Enhancers" in the form of riders.

Special additions at regular intervals, starting from the end of

7th year, to enhance your wealth.

Tax benefit under sections 80C and 10(10D) of Income Tax

Act.

Why should you buy this plan?

Future Confident II is a suitable product for you, if your objective is

long term targeted wealth creation over 15-20 years, either for your

own retirement or for your children's future, while at the same time

providing your family a enhanced protection against unfortunate

incidences in life.

Bharti AXA Life Save Confident

Traditional money back insurance product for long term savings.

Your changing life stages decide your financial milestone planning.

When you foresee intermittent financial requirements in the years to

come, like regular expenses related to your child’s education, liquidity

39

becomes a key aspect of your planning along with long term savings,

and protection for your family.

Imagine this, 12 years from now, your son will go for his MBA degree,

or 15 years from now, you will have to find a suitable son-in-law, or

20 years from now, you will require money, to spend a happily retired

life.

When financial protection along with the wealth creation for long-term

needs is your key financial objective, you need a solution that

provides that extra protection for your loved ones, while creating

wealth for your long-term goals.

"Future Confident II is a complete financial solution that serves you in

building wealth for your long-term needs, but most importantly,

provides comprehensive financial protection to your loved ones,

against all odds."

Now be confident of a solution that works for your long-term

needs to make your future confident. Be Life Confident.

Key Benefits:

Build Wealth for your long term financial needs with enhanced

financial protection.

Sum assured up to 420 times the monthly premium.

Life insurance benefit as Sum assured PLUS Policy fund value.

40

Four different investment funds to meet your financial

objectives.

Comprehensive overall protection through "Protection

Enhancers" in the form of riders.

Special additions at regular intervals, starting from the end of

7th year, to enhance your wealth.

Tax benefit under sections 80C and 10(10D) of Income Tax

Act.

Why should you buy this plan?

Future Confident II is a suitable product for you, if your objective is

long term targeted wealth creation over 15-20 years, either for your

own retirement or for your children's future, while at the same time

providing your family a enhanced protection against unfortunate

incidences in life.

Being a unit-linked plan, it also suits your requirement of deriving

potentially higher returns by assuming the appropriate risks.

41

Bharti AXA Life Secure Confident

A Long Term Life Insurance.

All of us desire to maximize the happiness for our family at all times,

irrespective of the circumstances. The thought of unfortunate events

befalling us may cause us anxiety about providing a secured

happiness to our loved ones.

All of us desire to maximize the happiness for our family at all times, irrespective

of the circumstances. The thought of unfortunate events befalling us

may cause us anxiety about providing a secured happiness to our

loved ones. Insurance can help you ease your worries. Now, Bharti

AXA Life Insurance Company Limited presents Secure Confident, a

simple long-term life insurance product that aims to ensure that the

dreams that you aspired for your family in your lifetime, don’t remain

unfulfilled by the financial void which might get created due to

unfortunate event of death.

Now be confident of the happiness of your loved ones at all

times, irrespective of the circumstances. Be life confident.

Key Benefits:

42

Term Assurance for 5, 10,15,20,25 years.

Financial protection against unfortunate event of death at an

affordable cost.

Comprehensive overall protection with help of riders.

Tax benefit under section 80C and 10(10D) of Income Tax Act.

Why should you buy Secure Confident?

Secure Confident is suitable to you, if your objective is to protect your

family against any financial loss caused due to unfortunate death,

disability or critical illnesses, which may deprive them of a secured

future.

Group Plans:

Bharti AXA Life - Credit Secure

Bharti AXA Life Credit Secure is a group product, offering life

insurance coverage to customers of financial institutions who have

availed of a loan. Credit Secure is comprehensive solution that helps

43

protect your customer’s assets and savings in the unfortunate event

of death.

Bharti AXA Life - Sanjeevani

Sanjeevani is a single premium group term life insurance product,

offering protection to your family.

Bharti AXA Life - Swasthya Sanjeevani

Swasthya Sanjeevani is a single premium group critical illness

product, providing comprehensive protection against 6 critical

illnesses.

Bharti AXA Life - Sanjeevani

Sanjeevani is a single premium group term life insurance product,

offering protection to your family.

44

Bharti AXA Life Mortgage Credit Shield

Mortgage Credit Shield is a Group Product that provides coverage to

people who have availed of a Mortgage\ Home loan\ Home equity

loan from an Institution/Bank.

Bharti AXA Life Credit Shield

Credit Shield is a Group Product that provides coverage to people

who have availed of a loan for 1 to 5 years from Group Policyholder.

Bharti AXA Life Life Shield

Life Shield is a single premium group term life insurance product.

45

Comparative between pension plan of Bharti Axa and

Hdfc standard Life Insurance company

S.NO. COMPANY BHARTI AXA LIFE INSURANCE

Hdfc standard LIFE INSURANCE

1. Name of Product Bharti Axa Pension plan

Hdfc satandard Insurance Pension plan

2. Premium type REGULAR/SINGLE SINGLE3. Age at Entry (Min/Max) 18 Years- 60 Years 18 Years- 60

Years 4. Premium payable

(Min/Max)Minimum Premium Rs. 24000 for yearly, Rs. 12000 for half-yearly , Rs. 6000 for quarterly and Rs. 2000 for monthly Premium max up to no. max limit

Minimum Premium Rs. 50000 Max up to – no max limit

5. Premium Paying term Yearly Yearly6. Policy benefit period 10 years 10 years7. Premium paying term 5 years 3 years8. Top up premium Min Rs. 5000 Min Rs. 5000

46

(Min/Max) Max no – limit Max no – limit 9. Death Fund Value of the

basis plan along with fund value of top-ups is payable.

Fund Value of the basis plan along with fund value of top-ups is payable .

10. Maturity/Survival/vesting Policy Fund Value Policy Fund Value

11. Investment Fund 1. Growth Money Fund 2. Save ‘n’ grow Money Fund 3. Steady Money Fund

1. Assure Fund 2. Protector Fund 3.Builder Fund 4. Enhancer Fund 5. Creator Fund 6. Magnifier Fund 7. Maximiser Fund

12. Fund Switch (Freee Sewtches in a year

Switches freee in each policy year. Subsequent switches in any year will be charged at Rs. 100 per switch.

Switches free in each policy year subsequent switches in any year will be charged at Rs. 100 per switch

13. Surrender Value Can be done anytime without any surrender charges, for regular premium, at least 2 years premium are to be paid.

Can be done anytime without any surrender charges. For regular premium, at least 3 years premium are to be paid.

15. Fund Management Charges

Fund Type1.Grow Money Fund2. Steady Money Fund 3. Save ‘n’ Grow Money Fund

1. Assure 2. Protector 3. Builder 4. Enhancer 5. Creator 6. Magnifier 7. Maximiser 8. Multiplier

16. Top up charges Top up Premium 2% of Top up

47

Premium 17. Benefit of partial

withdrawals Partial withdrawal facility from policy fund for early liquidity after the completion of 3 policy years minimum withdrawal amount is Rs. 10000

Partical withdrawal facility from policy fund for easy liquidity after the completion of 3 policy years. Minimum withdrawal amount is Rs. 5000

18. Tax benefit Tax benefits under section 80 c, 80ccc, 80ccd and (1 OD ) of Income Tax Act.

Tax benefits under section 80 C ,80ccc, 80ccd and 10 (10 D) of Income Tax Act.

About Bharti Foundation

 

 “As a first step towards fulfilling the vision of the Government and the

leadership of the country, Bharti has kick-started it’s voluntary and

affirmative action in making significant contribution to provide education to

the weaker sections of the society, so as to make them employable. We

need to ensure that our children and young people have access to quality

education. Through Bharti Foundation we are determined to make a

substantial impact in this area.”

Mr. Sunil Bharti Mittal, Founder, Chairman & Group CEO, Bharti

48

Enterprises

“As a responsible corporate citizen, we have decided to substantially scale

up our existing programs in the area of education, in order to support the

aspirations of under-privileged in the country.”

Mr. Rakesh Bharti Mittal, Vice Chairman, Bharti Enterprises while

unveiling Bharti Foundation’s roadmap ahead

Bharti Foundation was set up in the year 2000 with the vision, “To help

underprivileged children and young people of our country realize

their potential“. In order to realize this vision, we have been creating and

supporting programs that bring about sustainable changes, predominantly

in the field of education.

We have adopted a two-pronged strategy to impact the quality of

education in schools. On one hand, we are adopting government schools,

in order to create a positive impact on the quality of education being

delivered to underprivileged children. On the other hand, we are in the

process of setting up pre-primary, primary and senior secondary level

schools under our Satya Bharti School Program. This program launched

in 2006, supports our search for excellence and sets benchmarks for

quality education.

Under the Satya Bharti Schools program, we aim, to set up 500 pre-

primary and primary schools and 50 senior secondary schools in public-

private partnership model which will deliver high quality education to

underprivileged children in the deepest rural pockets of the country. By 49

setting up a chain of Satya Bharti Schools across the country, we will not

only learn to operate at scale, in diverse cultures and languages but also

deal with ground-based issues.

The curriculum and teaching-learning processes in our schools stem from

our belief that each child is different and this diversity needs to be

encouraged by creating classrooms that are truly child-friendly. Our

teachers, the school-curriculum as well as classroom transactions are

geared to bring out the best among first-generation learners.

Our adoption of government schools will work towards strengthening the

network of government primary schools and have a deep and sustainable

impact on the quality of education. Partnering with various state

governments and adopting existing schools for an extended period of time

will achieve this. The program will look at schools as composite units and

provide holistic support on need basis to ensure delivery of quality

education. The adopted schools will continue to follow the state-prescribed

curriculum, supplemented by interesting teaching-learning material and

processes developed by the curriculum design team of Bharti Foundation

In addition to the above two flagship programs, we have also initiated and

set up a number of Bharti Computer Centers across the country in

association with organizations like Pratham InfoTech, Kalakar Trust and

Adharshila. This initiative has made computers accessible to 50

underprivileged children studying in NGO based schools.

In January 2005, we also launched the Bharti Library and Activity Center

(BLAC) program with a goal to introduce underprivileged children to the

world of books and help them upgrade their reading skill.

in order to provide education and training opportunities to young peoIple

and develop future leaders and entrepreneurs, we have partnered with

premier institutes like the Indian Institute of Technology, Delhi to set up

Bharti School of Telecommunication Technology and Management, IIT

Delhi. We have also instituted a scholarship and mentorship program to

encourage large numbers of bright young people from underpriv

Key milestone 2008

Bharti Foundation was awarded the Asian CSR Award for Support

51

and Improvement in Education  for the year 2008 ( November 21,

2008).

Bharti Foundation was awarded the Social and Corporate

Governance Award for Best Corporate Social Responsibility Practice

(CSR) for the year 2008 ( February 5, 2009).

Bharti Foundation was awarded the Indian NGO Award ( Joint

Regional Winner- North)  for the year 2008 ( March 30, 2009).

2007

School Improvement Program (SIP) formally launched with the

signing of a Memorandum of Understanding (MoU) between Bharti

Foundation and state Government of Rajasthan to adopt

50 government schools in Rajasthan. (August 23, 2007)

Bharti Foundation was awarded the Golden Peacock Award for

Corporate Social Responsibility (CSR) for the year 2006 in the NGO

category. (January 12, 2007).

2006

The first Satya Bharti School started with 55 children in Ladhowal

village in Punjab. ( August 7, 2006)

Bharti Scholarship Scheme re-launched to provide financial

assistance to students on a merit-cum-means basis to facilitate

higher education. ( July 2006)

52

Satya Bharti School program launched with an aim to establish 1000

village-based primary schools across the country for poor and

underprivileged children. ( May 4, 2006)

The Promoters of Bharti Enterprises and their Associates committed

an initial endowment of Rs 200 Crores to Bharti Foundation to

support its work. ( May 4, 2006)

A Governing Board comprising of several prominent personalities

formed to guide the programs of Bharti Foundation. ( May 2, 2006)

Hon’ble Prime Minister of India, Dr. Manmohan Singh, formally

inaugurated the campus of Bharti School of Telecommunication

Technology and Management at IIT, Delhi (March 20, 2006).

2005

CII-Bharti Woman Exemplar Award instituted with an aim to promote

women’s empowerment at the grassroots level. ( May 3, 2005)

Bharti Library Centers program initiated in rural and semi-urban

areas with an aim to instill reading habits in underprivileged children.

( March 29, 2005)

Support given to the Fellowship Program in IIM, Lucknow to develop

competent managers and conduct research and training initiatives.

( January 11, 2005)

2004

Bharti Computer Centers introduced across schools to enhance and 53

stimulate children’s interest in education and bridge the digital divide.

( November 1, 2004)

Going to School book launched with the actress, Sushmita Sen. as

the Chief Guest. ( January 31, 2004)

2003

State-of-the-art kitchen facility set up in Vrindavan with Akshay Patra

Foundation to provide mid-day meals to students from

underprivileged backgrounds, studying in the local government

schools. ( August 2003)

2002

Bharti Centre for Entrepreneurial Initiatives (BCEI) established in

partnership with Entrepreneurship Development Institute of India

(EDI) to promote entrepreneurial skills among youth. ( June 28,

2002)

2001

The project “Going to School” was launched to bring alive the reality

of various education initiatives and schools in India. ( October 15,

2001)

Agreement concluded with IIT Delhi to set up Bharti School of 54

Telecommunications, Technology and Management with an

objective to develop telecom leaders at the campus of IIT, Delhi.

Bharti Foundation launched to give shape and scale to the

philanthropic activities of the Bharti group of companies. (August 7,

2000)

Golden Peacock Award for Corporate Social

Responsibility

Bharti Foundation was awarded the prestigious Golden

Peacock Award for Corporate Social Responsibility (CSR) for

the year 2006 in the NGO category. The winner for the

award was chosen by an eminent jury panel chaired by

Justice P. N. Bhagwati, former Chief Justice of India and

55

Member, United Nations Human Rights Commission.

The Golden Peacock award has been instituted to encourage

Corporate Social Responsibility initiatives by the Centre for

Social Responsibility supported by the Institute of Directors

(IOD), Centre for Corporate Governance (CFCG) and the World

Council for Corporate Governance (WCFCG), UK.

The award recognizes the initiatives undertaken by

Bharti Foundation, primarily in the area of education.

The Satya Bharti School program which provides quality

primary education to underprivileged children; Bharti

Computer Centers (BCC) and Bharti Library & Activity

Centers (BLAC) programs to improve the learning levels

of children; Bharti Scholarships for higher education and

Bharti School of Telecommunication Technology and

Management at IIT-Delhi to develop young Telecom

Leaders were some of the initiatives considered by the

eminent jury.

56