Financial Consultant Recruitment-HDFC

8/3/2019 Financial Consultant Recruitment-HDFC

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A

Project Report

On

RECRUITMENT OF CERTIFIED FINANCIAL CONSULTANTS

Submitted In Partial Fulfillment Of

Requirement for the Award of Degree

Bachelor of Business Administration

(BBA)

Batch: 2009-2012

Submitted By Under the Guidance


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CERTIFICATE FROM COMPANY

This is to certify that i have successfully completed Project Report in our organization on

the topic titled, RECRUITMENT OF CERTIFIED FINANCIAL CONSULTANTS.

During his project tenure in the organization, we found him working, sincere and diligent

person and his behavior and conduct was good during the project. We wish him all the best

for his future endeavours.

Signature:

Name and Designation of the Guide


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DECLARATION

I, hereby declare that I have undergone the Summer Training at HDFC Standard life

Insurance under the supervision of Mr.

I also declare that the present project report is based on the above summer internship and is

my original work. The content of the project report has not been submitted to any other

university or institute either in part or in full for the award on any degree, diploma or

fellowship.

Further, I assign the right to the university, subject to the permission from the organization

concerned, use the information and contents of the project to develop cases, case lets, case

leads, and papers for publication and/ or for use in teacher


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ACKNOWLEDGEMENT

The purpose of compilation of the subject for a project report always involves creation of a

huge debt towards innumerable publications, managers, chartered accountants and senior

officers. I hereby put my sincere thanks to one and all.

A special thanks to Mr., for giving me an opportunity to work as a trainee in there esteemed

organization.

Special thanks to my faculty guide for his continued guidance and help throughout the

project.

Vote of thanks to for helping me in the entire training programme and also in enhancingpresentation skills.

They all have been a constant guiding force throughout the course of this project and

without their immense support and cooperation this report would not have been presented as

well as it could not been done.


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PREFACE:

During Summer Internship Program (SIP) a projects have been assigned:

1. Financial Consultants Recruitment- Mix of Human Resource Planning &

Marketing.

the basic phase of insurance around which this whole insurance roams. The objective of the

projects so assigned is to get me in depth knowledge about the insurance terms and policies and

to know the customer behavior and the corporate environment of insurance.

To get the in depth knowledge about HDFCSLIC that where it is providing better than the

market and to have an understanding of the insurance market.

Special training has been provided to know the companys products and their features and

to know the companys terms and conditions and its policies.

During SIP lots of data was given for tele calling so as to get associated with the company

and be the companys representative by being its certified financial consultant.


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TABLE OF CONTENTS

PAGE No.1. preface 1

2. Introductions 2-17

Introduction of Insurance

The Life Insurance Scenario in India

History of insurance sector

The Life Insurance Scenario in India

Vision of the company

Policies available in insurance sector

3-5

REVIEW OF INSURANCE SECTOR

Privatization of Insurance:

LIBERALIZATION OF INSURANCE SECTOR:

General introduction about HDFC LTD. 6-8

Company profile of HDFC SLIC 9-17

3.Objective and scope of Study 18-19

4. Research Methodology 20-23

5. Introduction to project topic 24-44

Financial Planning 24-29

Financial Consultant (FC) Recruitment 29-44

6. Analysis and Interpretation 45-57

7. Conclusion 58-59

8. Limitations 60

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9. Recommendations 61

10. Bibliography 62

11. Appendices 63-65

a. Brief note on IRDA 63

b. Questionnaire

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WHAT IS INSURANCE?

Insurance is not necessarily an investment from which one expects to get ones back. Nor it

is gambling a gambler takes risks. While insurance offers protection against risks thatalready exist Insurance is a way to share risk with others.

The Origin of Insurance

Insurance has existed for thousand of years a form of creditinsurance was included in the Code of Hammurabi, a collection ofBabylonian laws said to predate the Law of mosses for finance their

trading expeditions in ancient times. Ship owners obtained loansfrom investors, if a ship was lost the owners were not responsiblefor paying back the loans since many ship returned safely. Theinterest paid by numerous ship owners ship owners covered the riskto the lenders.

It was likewise in a maritime setting that later one of the worldsmost famous insurance providers. Lloyds of London was born By1688, Edward famous insurance provider accepts in exchange for

certain payment, to premium. These insurers came to be known asunderwriters. Finally in 1769 Lloyds became a formal group ofunderwriters that in time grew into the foremost market for marinerisks.

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What if I already have Life Insurance ?

As an individual for the extent of financial protection you need is

from that a married man which in turn is different from that as aparent. At each life stage, it is necessary to reevaluate the amountof protection and provision you require and adjust for the same.Below are some of the events in your life for which you should reevaluate and plan your life insurance needs.

Life StagesYour insurance need will change as your life does, from starting to

work to enjoying your golden years and all the stages in between.Each one of these stages may pose a different insurance need/coverfor you. In this section, we have drawn up the basic life stages andhelp you analyze various insurance needs accordingly.

STAGE 1 Young and Single

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An important stage where one lays downthe foundation of a successful life ahead. Takeadvantage of the time and power of compounding toensure that you build up your dreams. Start saving early.

Our needs

Save for a home and wedding

Tax Planning

Save for Golden years

STAGE 2 Just Married

Marriage brings about a significant change. Newdreams and new opportunities also bring in additionalresponsibilities. While both of you look forward to ahappy and secure life , it is equally important to ensurethat eventualities dont come in the way of shaping

your dreams.

Our needs

Planning for home / securing your home loan liability

Save for vacation

Save for your first child

STAGE 3 Proud Parents

Once you have children, your need for life insurance iseven more. You need to protect your family from an untowardincident. Ensure your protection umbrella takes into account the

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future cost of securing your childs dream. You willwant life to go on for your loved ones, and having enough lifeinsurance is a way to help ensure that.

Our needsProvide for childrens education

Safeguarding family against loan liabilities

Savings for post-retirement

STAGE 4 Planning for Retirement

While you are busy climbing the ladder of success today,it is important for you to take time and plan for your lifeafter retirement. Having an early start for retirement

planning can make a significant difference to your

savings. Think about your golden years even before you havereached them. The key is to think ahead and plan well using yourtime and money.

Our needs

Provide for regular income post retirement

Immediate Tax benefits

Lead a secure, independent and comfortable life style in your

retirement years

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How much Insurance do I need?

The main purpose of life insurance is to provide a financial cushionto urn loved ones in the event that something unfortunate shouldhappen to you. One must provide enough, so as to generate a futureincome stream that will take care of the financial needs of theirdependants. How much insurance you need depends on your annualincome, your expenses and your existing assets.

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Concept of Human life value

Generally speaking, one can estimate the extent of life insurance bycalculating ones human Life Value (HLV). This is the net presentvalue of ones future earnings. Put simply, it is the amount that a

persons family would permanently lose, should any thingunfortunate happen to that person. As a tomb rule, a 30 year oldshould insure oneself for about 8 times hrs or her annual income. At

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35, this is about 6 times. Of course the exact amountmust be adjusted according to the number of dependents, existinginvestments and ones life stage. For instance, if at 30 a person hastwo children and parents to provide for, the amount of insurance

should also be higher.

You can calculate your Human Life Value by multiplying yourcurrent annual income with the number of years remaining for yourretirement.

Lets assume that you are 30 years old and you earn Rs.4, 00,000per annum. Now if your retirement age in 55 you have 25 years togo before retirement. So your Human Life Value is (25 x 4, 00,000)

= Rs. 100, 00,000 (One Crore rupees).

So, your present Human life Value is one crore rupees, provided youstay healthy. You take factors like inflation and increase in incomeover a period of time to account your Human Life Value is a lotmore.

The History of Insurance in India :

The India Insurance market has a grand history. The development ofinsurance states back of the 19th century when the Europeans startedthe Oriental Life Insurance Company, Calcutta in 1888. The firstIndia Insurance Company Bombay Mutual life Insurance came intoexisting 1870 to cover India lives at normal rates. The year 1870 isalso important in the sense at British government for the first timeact that year. Four years later Firoz shah Mehta one of the doyens of

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India Financial Sector, Oriental Governmentestablished the Oriental Government Security Life AssuranceCompany and after that many Insurance companies in surfaced onIndian soil. However the first Indian insurance act was passed on

1912, again in 1938 an amendment in 1950 when it was nationalizedhowever the sector was once again thrown open to the private sectorin Dec 1999 followed by the establishment of IRDA (InsuranceRegulatory and Development Authority in April 2000.

The Indian Insurance Industry was dominated by twostates Insures the Life Insurance Corporation in Life Insurance andThe General Insurance Nationalization of the Life and non Lifesector in 1956 and 1972 respectively. In Dec 99 the IRDA act was

passed which limited foreign investors to a 26% cap on equity

participation, and minimum capital requirement of $20 million. Atpresent, more than 20 private players are in the market and some arein the pipeline. The advent of the new kids poses to LIC to somewhat extent, door which LIC will have to change its current policesregarding marketing and product management.

The Life Insurance Scenario in India:

Since 1956, with the nationalization if insurance Industry, the statesrun Life Insurance Corporation of India has held the monopoly incountrys life insurance sector. General Insurance Corporation ofIndia (GIC), with its four subsidiaries, was its counterpart in thecasualty sector. Over the time, taking advantages of its monopolyand virtual prerogative in establishing the premiums, LIC has

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evolved in to a monolith. With around 60000 agents inever nook and corner of the vast country, it has created an enviable

brand name. Particularly among the rural population of the country.It has around $40 billion as its financial sector. However, on the

qualitative side, it has every little pride in, and there lies thepotential for players to challenge this behemoth.

As typical with monopolies, the premiums rates charged LIC areamong the highest in the world, and its track record in customerservice can at best be called shabby. With a huge unionized, rigidworkforce mostly in clerical category. LIC run the risk of high fixedcost, which will be the deciding factor productivity in thecompetitive scenario. While boasting full scale automations of its

operation, the truth is that its technology outdated. The new players.With the state of the art technology under the belt, will be inadvantageous position . 80% of LICs business is procured by 20%of its ill trained agent force. The foreign player with the domestic

partners string brand value, can test the unconventional distributionchannels like brokers, the Internet the banking distribution systemetc., although foreign players may be tempted to keep theiroperations in big cities for the cream layer of the society, the real

market lies in rural India, which accounts for the lions share ofLICs present business. The foreign players must adapt to Indianrealities, the well published failures of the world famous consumergoods companies like Electrolux, whirlpool, Reebok, and Nike etc.to gauge the Indian Psyche and sentiments demonstrate the concept.They failed in the area of realistic pricing, product promotion andreaching to the consumer. The foreign companies know the groundrealities to the details.

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Policies available in insurance sector

Endowment Policy, India

An endowment policy covers risk for a specified period, at the endof which the sum assured is paid back to the policyholder, alongwith the bonus accumulated during the term of the policy.

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An endowment life insurance policy is designedprimarily to provide a living benefit and only secondarily to providelife insurance protection. Therefore, it is more of an investment thana whole life policy.Endowment life insurance pays the face value of

the policy either at the insured's death or at a certain age or after anumber of years of premium payment. Endowment policy is aninstrument of accumulating capital for a specific purpose and

protecting this savings program against the saver's premature death.

GROUP INSURANCE, INDIA

Group insurance offers life insurance protection under group policies to various groups such as employers-employees,professionals, co-operatives, weaker sections of society, etc. It also provides insurance coverage for people in certain approvedoccupations at the lowest possible premium cost.

Group insurance plans have low premiums. Such plans areparticularly beneficial to those for whom other regular policies are a

costlier proposition. Group insurance plans extend cover to largesegments of the population including those who cannot affordindividual insurance.

A number of group insurance schemes have been designed forvarious groups. These include employer-employee groups,associations of professionals (such as doctors, lawyers, chartered

accountants etc.), and members of cooperative banks, welfare funds,credit societies and weaker sections of society.

JOINT LIFE INSURANCE POLICY, INDIA

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Joint life insurance policies are similar to endowmentpolicies as they too offer maturity benefits to the policyholders,apart form covering risks like all life insurance policies.But joint life policies are categorized separately as they cover two

lives simultaneously, thus offering a unique advantage in somecases, notably, for a married couple or for partners in a businessfirm.

Under a joint life policy the sum assured is payable on the firstdeath and again on the death of the survivor during the term of the

policy. Vested bonuses would also be paid besides the sum assuredafter the death of the survivor. If one or both the lives survive to thematurity date, the sum assured as well as the vested bonuses are

payable on the maturity date.

LOAN COVER TERM ASSURANCE POLICY,

INDIA

Loan cover term assurance policy is an insurance policy, whichcovers a home loan. Such a policy covers the individual's home loanamount in case of an eventuality. The cover on such a policy keeps

reducing with the passage of time as individuals keep paying theirEMIs (equated monthly installments) regularly, which reduces theloan amount.

This plan provides a lump sum in case of death of the life assuredduring the term of the plan. The lump sum will be a decreasing

percentage of the initial sum assured as per the policy schedule.

Since this is a non-participating (without profits) pure risk coverplan, no benefits are payable on survival to the end of the term ofthe policy.

Various insurance companies offering loan repayment protectioninsurance policy are

HDFC Standard Life Insurance

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Tata AIG

ING Vysya

LIC

MONEY BACK POLICY, INDIA

Money back policy provides for periodic payments of partialsurvival benefits during the term of the policy, as long as the

policyholder is alive.

They differ from endowment policy in the sensethat in endowment policy survival benefits are payable only at the end of theendowment period.

An important feature of money back policies is that in the eventof death at any time within the policy term, the death claimcomprises full sum assured without deducting any of the survival

benefit amounts, which may have already been paid as money-backcomponents. The bonus is also calculated on the full sum assured.

PENSION PLAN, INDIA

A pension plan or an annuity is an investment that is made either ina single lump sum payment or through installments paid over acertain number of years, in return for a specific sum that is receivedevery year, every half-year or every month, either for life or for afixed number of years.

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Annuities differ from all the other forms of life insurance in that anannuity does not provide any life insurance cover but, instead, offersa guaranteed income either for life or a certain period.

Typically annuities are bought to generate income during one'sretired life, which is why they are also called pension plans. By

buying an annuity or a pension plan the annuitant receivesguaranteed income throughout his life.

TERM LIFE INSURANCE POLICY, INDIA

Term life insurance policy covers risk only during the selected termperiod. If the policyholder survives the term, the risk cover comes toan end. Term life policies are primarily designed to meet the needsof those people who are initially unable to pay the larger premiumrequired for a whole life or an endowment assurance policy.

No surrender, loan or paid-up values are granted under term lifepolicies because reserves are not accumulated. If the premium is notpaid within the grace period, the policy lapses without acquiring anypaid-up value.

UNIT LINKED INSURANCE PLANS (ULIP)

Unit linked insurance plan (ULIP) is life insurance solution thatprovides for the benefits of protection and flexibility in investment.The investment is denoted as units and is represented by the valuethat it has attained called as Net Asset Value (NAV). The policyvalue at any time varies according to the value of the underlyingassets at the time.

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ULIP provides multiple benefits to the consumer. The benefitsinclude:

Life protection

Investment and Savings

Flexibility

Adjustable Life Cover

Investment Options

Transparency

Options to take additional cover against

Death due to accident

Disability

Critical Illness

Surgeries

WHOLE LIFE INSURANCE POLICY, INDIA

A whole life policy runs as long as the policyholder is alive. As risk

is covered for the entire life of the policyholder, therefore, such

policies are known as whole life policies. A simple whole life policy

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whole life policy, the insured amount and the bonus is

payable only to the nominee of the beneficiary upon the death of the

policyholder. There is no survival benefit as the policyholder is not

entitled to any money during his / her own lifetime.

WHY LIFE INSURANCE

Life Insurance has come a long way from the earlier days when itwas originally conceived medium for short periods of to me.Covering temporary risk situation, such as sea voyages. As lifeInsurance became more established, it was realized what a usefultool it was for a number of including.

Temporary need / threats :

The original purpose of the life Insurance remains an importantelements, namely for replacement of income on death etc.

Regular Saving :

Providing for ones family and oneself, as a medium to long term

exercise (through a series of regular payment or premiums)This has become more relevant in recent times as people sectfinancial independence for their family.

Investment:

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Put simply the building up of saving whilesafeguarding it forms the ravages of inflation. Unlike regular saving

products, investment products are traidanailly lump sum investment,where the individual likes a one off payment.

Retirement

Provisions for later years become increasingly necessary, especiallyin cultural and social environment. One can buy a suitable insurance

policy, which will provide periodical payments in ones old age.

REVIEW OF INSURANCE SECTOR

India is having population of 1 Billion with a middle class population estimated up to 300 million. It being the 5th largesteconomy in the world in terms of Purchasing Power Parity (PPP)has a GDP growth rate of over 6%per year on an average for the lastdecades. The saving rate is estimated to be about 26% of the GDP.

In the total population, the insured the population is estimated to beabout 70 million.

Privatization of Insurance :

The Indian insurance Sector has finally opened up and it is withmuch anticipation that new players are awaiting their share ofmarket. License have been issued to both Indian and foreign Playersreliance , HDFC standard life , Max India Network , RoyalSundaram Alliance, ICICI prudential , IFFCO Tokyo Marine, BajajAllianz , Birla Sun life, Tata AIG, AVIVA life Insurance , SBI life ,Om Kotak Mahindra are some of the entrants into the newlyliberalized Indian insurance market.

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ICICI Prudential and HDFC Standard life have issued their lifepolicies from the private sector after 45 years.

The first move for the liberalization came with the MalhotraCommittee Report in 1993 which recommended the privatization ofInsurance, setting of an insurance regulatory authority andrestructuring the government monopoly LIC and GIC and itssubsidiaries IRDA Act passed in November 1999 had set ball rollingfor the entry of Private Players in domestic sector.

LIBERALIZATION OF INSURANCE SECTOR :

Liberalization commitment of the country to help in disciplining

future economic policies will include the insurance reforms. When

world over insurance market has been opened up. India cannot

remain in isolation. History has shown that it is very difficult to

proper in isolation.

Globalization is the new economic reality, which is here to stay,

heralding a new era of Insurance in India. With the opening of the25


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insurance industry, Indian stands to gain with the

following major advantages.

Globalization will provide opportunities to the consumer for

the better production. With more reasonable and affordable

pricing.

The customer will get quicker service.

It will enhance the saving rate.

Long term funds for infrastructure development will beavailable to the country.

It will secure for India larger inflow of foreign capital need to

sustain our GDP growth.

Advantages of Liberalization :

The opening up will enable the country to save more andinvest more for the development in infrastructure.

With new insurance intermediaries and more distributionchannels the market is bound to develop by leaps and bounds.

In the next few years it is established that the Indian insurancesector will developed a better understanding of consumerrequirement leading to more satisfaction of consumers.

Lead to increase in employment.

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Social and rural obligations will also be served asIRDA has come out with clear regulation in this regard whichmakes the development in this area mandatory.

Global competition will help in building expertise with theirglobal practice.

GENERAL INTRODUCTION OF HDFC

LTD.

HDFC Incorporated in 1977 with a share capital of Rs.10 Crores, HDFC

has since emerged as the largest residential mortg age finance institution in

the countr y.The corporation hashad aseries ofshare issuesraising its capital

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to Rs. 119 Crores. The gross premium income for the year

endin g March 31,2009 stood at Rs. 5,564.69 Crores. The company has covered

over 8,33,070 lives year ending March 31, 2009.

HDFC operates through almost 450 locations throughout the country wi th

its corp orate head quarters in Mumbai, India. HDFC also has an

Inte rnational Office in Dubai, UAE with service associates in Kuwait,

Oman and Qatar.

SNAPSHO T -I

Inco rpora ted in 1977 as the first speciali zed Mortgage Comp any in

India.

Almost 90% of ini tial shareho lding in the hands of domestic institu tes

and retail investo rs. Current 77% of shares held by foreign institu tional

investor s.

Besides the core business of mortgage HDFC has evol ved into a

financial conglomera te with hold ings In:

HDFC Standa rd Life insurance Compan y- HDFC holds 78.07 %.

HDFC Asset Management Company HDFC h olds 50. 1%

HDFC Bank- HDFC holds 22.2 5%.

Intelenet Global (Bus iness Proces s Outsou rcing) HDFC holds 50%.

HDFC Chubb General Insuran ce Company HDFC h olds 74%.

GROU P COM P ANIES

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HDFC Bank: World Class Indian B ank- am ong

the top private ba nks in India.

HDFC AMC: O ne of the top 3 AMCs in India- Preferred

investment manage r.

Intelenet Global: BPO services for international cus tomers.

CIBIL: Credit Info rmation Bu reau India Limit ed.

HDFC Chu bb: Upcoming Private c ompanies i n the field of

General Insuran ce.

HDFC Mutual Fund HDFC reality.com : Helps to sea rch

propert ies in all major cities in Ind ia

HDFC securities.

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VISION STATEMENT

The most successful and admired life insurance company, whichmean that we are the most trusted company, the easiest to deal

with, offer the best value for money, and set the standards in theindustry.In short, The most obvious choice for all.

Admired mean the company should be known for its standards. Notonly customers, but also the competing life insurance companiesshould benchmark against HDFC SLI a nutshell, even the IRDAshould give an example of

HDFC SL as a guiding principle.


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Company Profile Of HDFCSTANDARD LIFE INSURANCE

Company Ltd.

Its being pleasure of doing SIP from HDFC Standard Life Insurance company Limited

which is one of the first companies to be licensed by IRDA to operate the Insurance sector.

It came into existence on 14th August 2000. Both CRISIL and ICRA have honored it with

AAA Ratings. Similarly, Moodys and Standard and Poor's have also honored it AAA

ratings. HDFC holds 81.4/o share in the joint venture and the remaining l8.6/o stake is

with Standard Life. It integrates the strong expertise and stability of Standard Life and

HDFC. It is one of the most trusted companies; it is easily accessible and approachable,

offering valuable services to its customers.

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STANDARD LIFE

Standa rd Life is Europes largest mutual life assurance company. Standa rd Life,

which has been in thelife insurance businessforthe past 175 yearsisa

mode rncompany surviv ingquite afew changes since sellingits first policyin

1825. The company expandedinthe 19th centuryfromkits original Edinbu rgh

premises, op ening offices in other towns and acquit ting other similar

businesses.

Standa rd Life currently has asse t s exceeding over 70 bill ion under i t s

management and has the distinction ofbeing accorded AAA rat ing

consequ ently for the six years by Standa rd and Poor.

SNAPSHOT

Foun ded in 1875, company supporti ng ge nera tion for last 134 y ears.

Currently

over 5mi

llion Policy holders

benef

iting from the

services offered.

Europes la rgest mutual li fe i nsu rer.

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JOINT VENTURE

HDFC Standrad Life Insurance Company Limited was one of the first comp any

regulated by the IRDA to operate in life insurance secto r. Reach of the JV

player is highly rated and been conferred with many awa rds. HDFC is

rated AAA by both CRISIL and ICRA. Similarly, Standa rd Life is rated

AAA

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both by Moody s and Standa rd and Poor s. These reflect the

effic iency with which HDFC and Standa rdLifemanage theirasset base ofRs.

15,000 Cr and Rs. 600,000 C r. respectiv ely.

HDFC Standa rd Life Insur ance Company Ltd was incorpo rated on 14th

August 2000. HDFC is the majority stakeholder in the insurance JVwith 81.4%

staple and Standa rd of as a staple18. 6% Mr. Deepak Satwale karis the MD and

CEO of t he ventu re.

HDFC Standard Life Insurance Company Ltd. Is one of India s leading Private Life

Insuran ce Compan ies, which offers a range of indi vidual and group

insuran ce solutions. It is a joint ventu re betwe en Housing Development

Finance Corpor ation Limited (HDFC Ltd.) Indias leading housing

finance institution and the Standa rd Life Assurance Company, a leading

provi der of financial services from the United Kingdom. Both the

promoters are well known for theirethical dealin gs and financial strength and

are thus committed to being a long-te rm player in the life insuran ce

industr y- all important fa ctors to consider w henchoosing your insurer.

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BUSINESS GROWTH

Track Record so far

The gross premium income of HDFC, for the y ear endin g Ma rch 31, 2009 stood

at Rs. 5,564.69 c rores .The comp any has covered over 8,33,070 lives year

ending March 31, 2009.

KE Y STRENGTH

Financial Expertise

As a joint vent ure of leading financial services groups. HDFC standa rd

Life has the financial expertise required to manage long-te rm investments

safely and effic ientl y.

Range of Solutions

HDFC SLIC has a range of individual and group solutions, which can be

easily custo mized to specific needs. These group solu tions have been

designed to offer comple te fl exibi lity co mbined w ith a low cha rging

structu re.

Strong Ethical Values:

HDFC SLIC is an ethical and Cultural Organization. False selling or

false commitment with the customer s is not allowed.

Most respected Private Insurance Company

HDFC SLIC was awa rded No-1 Private Insurance Company in 2004 by

the World Class Magaz ine Business World for Integrity, Innov ation and

Cust omer Care.

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CORPORATE OBJECTIVE

Vision

'The most succes sful and admi red li fe ins urance c ompany, w hich means that

we a re the most trusted co mpany, the eas iest to deal wi th, offer the b est

val ue for money, and set t he st anda rds in the i ndustry' .

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Values

Integrity

Innovation

Customer centric

People Care One for all

Teamwo rk

Joy and Simp licity

BOARD MEMBERS

Brief profile of the Board of Directors

Mr. Deepak S Parekh is the Chairman of the Company. He is also the

Executive Chairman of Housing Development Finance Corporation Limited

(HDFC Limited). He joined HDFC Limited in a senior management position

in 1978. He was inducted as a whole-time director of HDFC Limited in

1985 and was appointed as its Executive Chairman in 1993. He is the

Chief Executive Officer of HDFC Limited. Mr. Parekh is a Fellow of the

Institute of Chartered Accountants (England & Wales).

Mr. Keki M Mistry joined the Board of Directors of the Company in

December, 2000. He is currently the Managing Director of HDFC Limited.

He joined HDFC Limited in 1981 and became an Executive Director in

1993. He was appointed as its Managing Director in November, 2000. Mr.

Mistry is a Fellow of the Institute of Chartered Accountants of India and a

member of the Michigan Association of Certified Public Accountants.

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Mr. Alexander M Crombie joined the Board of Directors of the Company in

April, 2002. He has been with the Standard Life Group for 34 years holding

various senior management positions. He was appointed as the Group

Chief Executive of the Standard Life Group in March 2004. Mr. Crombie isa fellow of the Faculty of Actuaries in Scotland.

Ms. Marcia D Campbell is currently the Group Operations Director in the

Standard Life group and is responsible for Group Operations, Asia Pacific

Development, Strategy & Planning, Corporate Responsibility and Shared

Services Centre. Ms. Campbell joined the Board of Directors in November

2005.

Mr. Keith N Skeoch is currently the Chief Executive in Standard Life

Investments Limited and is responsible for overseeing Investment Process

& Chief Executive Officer Function. Prior to this, Mr. Skeoch was working

with M/s. James Capel & Co. holding the positions of UK Economist, Chief

Economist, Executive Director, Director of Controls and Strategy HSBS

Securities and Managing Director International Equities. He was also

responsible for Economic and Investment Strategy research produced on

a worldwide basis. Mr. Skeoch joined the Board of Directors in November

2005.

Mr. Gautam R Divan is a practising Chartered Accountant and is a Fellow

of the Institute of Chartered Accountants of India. Mr. Divan was the

Former Chairman and Managing Committee Member of Midsnell Group

International, an International Association of Independent Accounting

Firms and has authored several papers of professional interest. Mr. Divan

has wide experience in auditing accounts of large public limited companies

and nationalised banks, financial and taxation planning of individuals and

limited companies and also has substantial experience in structuringoverseas investments to and from India.

Mr. Ranjan Pant is a global Management Consultant advising CEO/Boards

on Strategy and Change Management. Mr. Pant, until 2002 was a Partner

& Vice-President at Bain & Company, Inc., Boston, where he led the

worldwide Utility Practice. He was also Director, Corporate Business

Development at General Electric headquarters in Fairfield, USA. Mr. Pant38


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has an MBA from The Wharton School and BE (Honours)

from Birla Institute of Technology and Sciences.

Mr. Ravi Narain is the Managing Director & CEO of National Stock

Exchange of India Limited. Mr. Ravi Narain was a member of the coreteam to set-up the Securities & Exchange Board of India (SEBI) and is

also associated with various committees of SEBI and the Reserve Bank of

India (RBI).

Mr. Deepak M Satwalekar is the Managing Director and CEO of the

Company since November, 2000. Prior to this, he was the Managing

Director of HDFC Limited since 1993. Mr. Satwalekar obtained a

Bachelors Degree in Technology from the Indian Institute of Technology,

Bombay and a Masters Degree in Business Administration from TheAmerican University, Washington DC.

Ms. Renu S. Karnad is the Executive director of HDFC Limited, is a

graduate in law and holds a Master's degree in economics from Delhi

University. She has been employed with HDFC Limited since 1978 and

was appointed as the Executive Director in 2000. She is responsible for

overseeing all aspects of lending operations of HDFC Limited.

PRODUCTS & SERVICES

The right investment strateg ies won't just help plan for a more

comfort able tomo rrow -- they will help you get Sar Utha ke Jiyo.

At HDFC SLIC, life insuran ceplans are created keeping in mind the

changi ngneedsoffam ily.Its life insurance plans are designed toprovi de

you with flexible options that meet both protec tion and savings needs. It

offers a full range of transpa rent, flexible and value for money product s.

HDFC SLIC products are mode rn and contempor ary unitiz ed product s that

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offer uniqu e custo mer benefits like flexibil ity to choo se

cover levels, indexation and partial withdrawals. (Source:

ww w.hdfcslic.com )

PRODUCTSANDSERVICES

INDIVIDUAL PRODUCTS

We at HDFC Standard Life realize that not everyone has the same kind of needs. Keepingthis in mind, we have a varied range of Products that you can choose from to suit all yourneeds. These will help secure your future as well as the future of your family.

Protection Plans

You can protect your family against the loss of your income orthe burden of a loan in the event of your unfortunate demise,disability or sickness. These plans offer valuable peace of mind at

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a small price.

Our Protection range includes

Term Assurance PlanLoan Cover Term Assurance Plan

Home Loan Protection Plan

Investment Plans

HDFC Standard Life provides you with attractive long term returns through regularbonuses.

Our Investment range includes

Single Premium Whole Of Life plan

Pension Plans

Our Pension Plans help you secure your financial independence even after retirement.

Our Pension range includes

Personal Pension PlanUnit Linked Pension,Unit Linked Pension Plus

OurImmediate Annuity plan will aid you in receiving income post retirement andsecuring you financial independence.

Savings Plans

Our Savings Plans offer you flexible options to build savings for your future needs suchas buying a dream home or fulfilling your childrens immediate and future needs.

Our Savings range includes

Endowment Assurance PlanAssurance PlanSavings Assurance PlanChildrens PlanMoney BackUnit Linked Endowment

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Unit Linked Endowment PlusUnit Linked Endowment SuvidhaUnit Linked Endowment Suvidha PlusUnit Linked Endowment Plus IIUnit Linked Young StarUnit Linked Young Star Plus

Unit Linked Young Star SuvidhaUnit Linked Young Star Suvidha PlusUnit Linked Young Star Plus IIUnit Linked Enhanced Life Protection II

GROUP PRODUCTS

One-stop shop for employee-benefit solutions HDFC Standard Life has the mostcomprehensive list of products for progressive employers who wish to provide the best andmost innovative employee benefit solutions to their employees. We offer different productsfor different needs of employers ranging from term insurance plans for pure protection tovoluntary plans such as superannuation and leave encashment. We now offer the followinggroup products to our esteemed corporate clients:

Group Term InsuranceGroup Variable Term InsuranceGroup Unit-Linked Plan

An investment solution that provides funding vehicle to manage corpuses withGratuity, Defined Benefit or Defined ContributionSuperannuation orLeaveEncashmentschemes of your companyAlso suitable for other employee benefit schemes such as salary saving schemes andwealth management schemes

Social Product

Development Insurance PlanDevelopment Insurance plan is an insurance plan which provides life cover to members ofa Development Agency for a term of one year. On the death of any member of the groupinsured during the year of cover, a lump sum is paid to that member beneficiary to helpmeet some of the immediate financial needs following their loss.

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Eligibility

Members of the development agency and their spouses with:

- Minimum age at the start of the policy 18 years last birthday

- Maximum age at the start of policy 50 years last birthday

Employees of the Development Agency are not eligible to join the group. The group to be

covered is only eligible if it contains more than 500 members.

Premium Payments

The premium to be paid will be quoted per member in the group and will be the same forall members of the group.The premium can only be paid by the Development Agency as a single lump sum thatincludes all premiums for the group to be covered. Cover will not start until the premiumand all the member information in our specified format has been received.

The premium rate is Rs. 25 per Rs. 10,000 of lump sum, per member.

Benefits

On the death of each member covered by the policy during the year of cover a lump sumequal to the sum assured will be paid to their beneficiaries or legal heirs. Where thedeath is as a result of an accident, an additional lump sum will be paid equal to half thesum assured. There are no benefits paid at the end of the year of cover and there is nosurrender value available at any time.

The role of the Development Agency

Due to the nature of the groups covered, HDFC Standard Life will be passing certainadministrative tasks onto the Development Agency. By passing on these tasks thepremium charged can be lower. These tasks would include:

Submission of member data in a specified computer format

Collection of premiums from group members

Recording changes in the details of group members

Disbursement of claim payments and the mortality rebate (if any) to group members

These tasks would be in addition to the usual duties of a policyholder such as:

Payment of premiums

Reporting of claims

Keeping policy holder information up to date

Training and support will be available to give guidance on how to complete the tasksappropriately.Since these additional tasks will impose a burden on the Development Agency, theDevelopment Agency may charge a Rs. 10 administration fee to their members.

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Prohibition of rebates

Section 41 of the Insurance Act, 1938 states

No person shall allow or offer to allow, either directly or indirectly, as an inducementto any person to take out or renew or continue an insurance in respect of any kind ofrisk relating to lives or property in India, any rebate of the whole or part of the

commission payable or any rebate of the premium shown on the policy, nor shall anyperson taking out or renewing or continuing a policy accept any rebate, except suchrebate as may be allowed in accordance with the published prospectus or tables of theinsurer

Tax Benefits

INCOME TAX

SECTION

GROSS

ANNUAL

SALARY

HOW MUCH TAX

CAN YOU SAVE?

HDFC STANDARD LIFE

PLANS

Sec. 80CAcross Allincome Slabs.

Upto Rs. 33,990 savedon investment ofRs. 1, 00,000.

All the life insurance plans.

Sec. 80 CCCAcross allincome slabs.

Upto Rs. 33,990 savedon Investment of Rs.1,00,000.

All the pension plans.

Sec. 80 D* Across allincome slabs.

Upto Rs. 3,399 savedon Investment ofRs. 10,000.

All the health insurance ridersavailable with theconventional plans.

TOTALSAVINGSPOSSIBLE **

Rs. 37,389

Rs. 33,990 under Sec. 80C and under Sec. 80 CCC, Rs.3, 399 underSec. 80 D, calculated for a male with gross annual income

exceeding Rs. 10, 00,000.

Sec. 10 (10)DUnder Sec. 10(10D), the benefits you receive are completely tax-free,subject to the conditions laid down therein.

* Applicable to premiums paid for Critical Illness Benefit, Accelerated Sum Assured andWaiver of Premium Benefit.** These calculations are illustrative and based on our understanding of current taxlegislations, which are subject to change.Please contact your tax consultant for exact calculation of your tax liabilities.

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ELIGIBILITY

IRDA MANDATORY PREFERED BY HDFC

SLIC

18+ YEARS OF AGE/10+2PASS

CANDIDATE PREFEREDSHOULD SCORE HIGHINVALUES AND ETHICSAND SHOULD BE AMATCH WITH HDFCSLIC VALUE

WILLING TO UNDERGO100 HRS IRDAMANDATORY TRAINING

AMBITIOUS, SELFMOTIVATED SHOULDBE ABLE TO BECOMMITMENT WITHTIME AND WANTS TOMAKE SERIOUS MONEY

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HAS NO AGENCY WITHANY LIFE INSURANCECOMPANY

1.Profiling of prospect

Random observation, personal contacts and individualapproach has been used in data collection

The target areas for the FCs are CAs, Dr, housewives,

student,selfemployed,graduates and retired people. These people are contacted through references given by ourcolleagues,seniors,family members and so on. The first targetareas was housewifes because the are educated and have the

potential to engage in such activities.Also,they want to investtheir free time in part time working for better growth

These are explained as follows:-

CA/CS

CAs being quite active in this field & have knowledge of each& and every aspects of this field.They were being contacted with the data base provided bySDMs

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RETIRED PEOPLE

Retired people from government jobs were been approaches as

their enthusiasm for working did not fade up. The mainobjective for targeting retired people is their experience,market knowledge, contacts with people, & their readymadeimage in society.

GRADUATES

Graduates have the ability to work in any situations. The havezeal, power, enthusiasm, & urge to do something. Thegraduates were been approached as they can flourish theircareer by being FCs

DOCTORS

Doctors are one of the essential target areas of recruiting FCsDoctors meet hundreds of people from every sphere of societyeveryday. Moreover doctors are hard working people & will

be easy to convince to earn an additional income.

SELF-EMPLOYED

Self employed can also proved to be a major group forrecruiting FCs. Self employed people have the opportunity totake the FC ownership in their own name. Also, they do nothave fixed hours of working &moreover as is the case with thedoctors, their social sphere is not limited

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HOW DO WE MAKE YOU A FINANCIAL

CONSULTANT?

1. The company would support you by providing the requiredtraining and regular coaching2. We also provide information in the form if sales at, so that youare able to provide the best service to costumers.

3. One of the principle responsibilities of our business developmentmanager is to insure that each FC is supported at all times.

WHY RECRUTMENT OF FINANCIAL

CONSULTANT

These are two aspects of employment in the insurance sector today,one is permanent employment, for sales, operation, it support, backoffice service and so on. We are also offering the other kind ofemployment for people to sell Life insurance they are called lifefinancial advisors. This is a big area of employment

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Because we are supposed to.

That the way to do this business

More recruits, more active advisors

THINGS TO CHECK WHILE RECRUITINGHis past/present occupation gives tremendous insight into his energylevels.1. Show him the path in his current environment how insuranceselling can fit in lowers the resistance of time availability.2. Check his environment, his family locality

3. Find out if he is looking for money or career as can have bothhere4. Energy energy always check the persons energy level, as careeris all about meeting new people, finding new prospect and more sohandling rejections.5. Always try to meet the person at his residence check for thelocality, his household standards of living, try to involve the spousein the presentation so that they know what they are getting into.

6. Always check on need for money and a drive to do well in life ifhe has been doing well in life he will make efforts to do well withus.7. Keep checking on the pointers and do mental checks list of theacceptable points8. Be convinced about the profile and only go ahead

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BENEFIT OF RECRUITMENT:1. High probability of success

2. Tax and financial consultant3. Bond/and mutual fund agent

4. LIC agent- surrogate

5. Small business owners

ROLE OF FINANCIAL CONSULTANT:

TO PROVIDE ON GOING FINANCIAL ADVICE FOR HIS/HERCLIENTS:

Identify future client

Making appointment

Conduct financial review meetings with prospects/clients

Close sale

Get referrals

Provide services to clients

WORKING ENVIRONMENT

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To be part of a world class sales team

Work from your own office or residence

Work full time or part time

Earn commissions, bonus and incentives

No upper limits of earning

Flexible career

YOUR OPPORTUNITY

No stamp capital required

Flexible working environment

Be your own boss

Unlimited earning potential

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EXTENSIVE TRAINING TO MAKE YOU A

PROFESSIONAL ADVISOR

STATE OF THE ART TRAINING ON:

Selling skills

Product knowledge

Relationship skills

TRAINING DELIVREY THROUGH SEVERAL

CONVINIENT OPTIONS:

Face to face

Online

Self learning

Easy way to start on your own:

Zero investment:

There is no start up capital. Be ones own boss with a flexibleworking hour, unlimited earning potential and the opportunityto be part of a world class sales team.

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Flexible work timing, part time

or full time:

One can work whenever one likes and wherever one likes. One

can work fulltime or part time, depending upon onesconvenience its like no other job. However, time one investswill determine ones success.

Sunrise industry:

Life insurance in India has a huge potential for growth.Statistics reveal that only 25% of the insurable population in

India is not insured and those insured are in need of still higherinsurance cover. The over 100% growth displayed by privatelife insurers indicating this huge untapped potential.

Professional training programs

At HDFC standard life, training is an inherent element of oursupport system (at no cost) for our new financial consultants. Someof our training & support imitative are as follows:-

IRDA Training

Online training of 100 hours prepare One for One career as FC and

enables one to pass the IRDA examination. After the IRDA license,one takes ones first step towards a successful career as a FC

Basic Training & Induction

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Independent of ones working experience; this trainingwill perfect ones knowledge about the insurance industry alongwith comprehensive knowledge about HDFC SLIC

Disha Training

This is a professional sales skill program devised by us to honeones selling skills. This program enables one to understandcustomer needs and provide need based insurance solutions. A hugestep from an amateur to a true finance professional.

Advanced Training:-

Once one have settled down as a FC professional HDFC willcontinuously upgrade ones capability and knowledge throughsophisticated training program, fit for this dynamic world of finance

product and market.

Unmatched support:-

Market activity support to make our task easier.

Advertising & communication support throughout the year.

Customer friendly Brochures and sales aid to help one inselling insurance solutions to customers.

24 hours information support,to help one track ones supportand income.

High Potential income:-

Attractive commission structure & rewards:

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As a FC one have the opportunity to earn highcommission & time to time one also can get rewards according to

ones performance.

Decide ones own pay cheque:

Ones income earning potential is directly proportional to the effortput in by one. Its a simple formula the more people one meet, themore one sell & the more one earn. Our commission structure hasthe liability to give one the maximum benefits for every policy onesells. Its as easy as writing ones own pay ceque.

Long term earning potential:

The policies sold by one will give one a reward income incomeevery year. So every year ones income keeps increasing steadly,even if one sells the same no. of policies every year.

Regular income:

The commission one earn is paid by the company every 15 days.This ensures that one get a regular income.

Ones Reward:

We have several reward programs to inspire good performance &create a positive spirit amongst our FC. These reward programsinclude foreign trips, seminars, prizes & special club membershipsto the silver club, Gold club & platinum club.We also sponsor our top performing FCs for international training

programs & seminars. This year HDFC SLIC are sponsoring 124FCs for such events.

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PROCES

OF

RECRUITMENT1. No. of prospects contacted:

The no. of prospects being contacted were 100 including CAs, Doctors, Housewives,

Retired persons, Students, Businessmen, among all the people contacted the

percentage of housewives were maximum, it was approximately 30% of the total, the

percentage of retired persons, businessmen, were 20%, the remaining 50% included

students, salaried people, self employed graduates.

2. No. of appointments generated:

Among all the people contacted 50 persons were ready to give appointment via

following modes like telecommunication, personal visits.

3. No. of FCs recruited:

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The no of FC recruited were 6 which include businessmen,

professionals, students ,etc.

4. Critical ratio:

Out of 100 people the no. of people were converted as FC were 1 which is 1% of the

total contacte

RESULT:

Out of 100 people contacted through different modes only 1 were converted as a

financial consultant resulting in low critical ratio.

Hence the project named as RECRUITMENT OF CERTIFIED FINANCIAL

CONSULTANT was successfully completed.

SCOPE OF STUDY:

CHANNELDEVELOPMENT

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CHANNEL DEVELOPMENT:

Why to RECRUIT? Who to RECRUIT? How to RECRUIT? Recruitment Activities What to Check while we are Recruiting Role of consultant Working Environment Support Package for successful Advisor. Extensive trading for successful Advisor. Payment and benefit commission Structure Recognition Program

Why to RECRUIT?

These are two aspect of employment in the insurance sector today.One in Permanent Employment for sales operation, it support backoffice services and so on. We are also offering the other kind of

employment fee people to sell life insurance they are called LifeAdvisor or Financial Advisor . This is a big area of employmentwhich is very successful. However they have not been sustainableon long period.

Who to RECRUIT?

Quality department has given some indicator in terms of what arethe commonalities (Q score) of one successful advisor---The commonalities were

Age between 30 45 Education graduate Family income above Rs. 2 lacs. P. a.

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The most important fact to remember inthat 61% of our red category advisors do not fall into anyof their category.

This is a broad pointer for us to remember what are

the /her profile. Some other pointer from Quality Income Profile Apron Rs. 1 lacs p.a. People who do not own their transport

How to RECRUIT?

Things which you should have while meeting theprospect

BOP presenter Reward points booklet or take a copy of the catalog

from the website Advisor manual can show how the manual can answer

many procedural Talk about email id and tech support the prospect

would like to know

Recruitment Activities

Many market shows too show the booklet itsimportance.

Copy of any certificate MDRT certificates, saleschampion certificate etc. to show recognition

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Things to check while recruiting

Energy , energy always check the persons energy

levels , as this career is all about meeting new peoplefinding new prospects and more so handling rejections His past present occupation gives tremendous insightinto his energy levels Show him the path in his current environment howinsurance selling can fit in lowers the resistance of timeavailability Check his environment his family locality Check whether he can work on his own Find out if he is looking for money or career as he canhave both here

Things to check while recruiting

Always try to meet the person at his residence checkfor the locality his household standard of living try toinvolve the spouse in the presentation so that they knowwhat they are getting into.

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Always check on need for money and adrive to do well In life if he has been doing well in life , hewill make efforts to do well with us Ask questions about his past , find instances of

accomplishments Keep checking on the pointers & do a mental checklist of the acceptable pointer Be confined about the profile and then only go ahead

Advisor Role

To provide on going financial advice for his/her client Identify future client Marking appointments Conduct financial review meeting with prospects/ clients Close sale Get referrals Provide service to clients

Following internal sales and reporting system

Working environment

To be part of a world class sales team.

Work from your own office or residence Work full time or part time Earn commission bonus ,incentives No upper limits in earnings Flexible career

Your Opportunity:

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No startup capital required. Flexible working environment Be your own boss Unlimited earning potential

To be part of world class team

BENEFITS OF JOINING HDFC SLIC

Commission & Renewals: As insurance advisor you can earnhandsome commission, which varies from 5% to 40% dependingupon product to product and in addition 1st year commission entitledto renewal commission also.Star on debut: If our new advisor sources RENP 2,00,000 in 30days licensing then he/she is entitled to Silver Medal(Approxvalue Rs. 5,000) + certificate (signed by ZM & Reg. Mgr).

Rising Star on Debut: If our new advisors sources RENP of Rs.5,00,000 in 30 days of licensing then he/she is entitled to GoldMedal(Approx value Rs.13000) + certificate (signed by ZM &

Reg. Mgr).

Millionaire Star on Debut: If our new advisors sources RENP ofRs.10,00,000 in 30 days of licensing then he/she is entitled to GoldMedal(Approx value Rs.25000) + certificate (signed by ZM &

Reg. Mgr).

Global Star on Debut: If our new advisors sources RENP of Rs.24,00,000 in 30 days of licensing then he/she is entitled to GoldMedal(Approx value Rs.60000) + certificate (signed by ZM &

Reg. Mgr).

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Star of the Month: Top 3 FCs, 1st Rank: Trophy +Certificate recognizing the performance signed by ZM & Reg. Mgr.,2nd &3rdReg. Mgr.

To recognize best talent our company has

following clubs:

Bronze Club: Non Monetary Benefit 1%. Minimum RENP Rs. 3,

00,000 (contest period 5th July-30th

Jun)

Silver Club: Non Monetary Benefit 3% and Retention Bonus

Rs.5,000. Minimum RENP Rs. 6, 00,000 (contest period 5th July-30th Jun)

Gold Club: Non Monetary Benefit 5% and Retention Bonus

Rs.10,000. Minimum RENP Rs. 15, 00,000 (contest period 5th July-30th Jun)

Toppers Club: Top 101st to 225th ranked CFCs on RENP MinimumRENP Rs.40, 00,000 Non Monetary Benefit 5% and RetentionBonus 1% Total 6%. (Contest Period 5th July-30th Jun)

Centurion Club: Top 100 ranked CFCs on RENP Minimum RENP

Rs.40,00,000 Non Monetary Benefit 5% and Retention Bonus1.25% Total 6.25% up to 10% (Contest Period 5th July-30th Jun)

Other Schemes & Incentives: Our Company announces from timeto time different incentive schemes in which gifts vary from small

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item like Leather bag to luxury car for example SkodaOctavia.

Career Opportunity for Certified FCs

Branch Manager

Assistant Sales Manager

Branch Development Manager

Sales Development Manager

Certified Financial Consultants

CFC Welcome Kit:

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1. Welcome letter2. Laminated Identity Card3. Copy of agency agreement4. IRDA License

5. Bank account6. 100 visiting card from the branch7. Commission booklet8. Reward& recognition booklet9. Pin to access HDFCSLIC website

Extensive training to make you a professional advisor

Selling skills Product knowledge Relationship skills

Training delivery through several convenient options Face to face Online Self learning

Next steps

Confirmation of mutual interest Selection interview Profiling test dates Draft payment favoring ICICI prudential life insurance co . Ltd Payable at Mumbai Finalize Training Date, venueSupport team the Company

Field visits Training on products

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And selling skills Regular business reviews Be a coach and mentor Recognize high performers Help you become financially independentExpectations of team Achieve sales targets Participate in all meetings Attend all training program Weekly reviews at the office Follow the sales process Follow weekly reporting process

Financial Consultants are those sources of a company who have their own relations and

personal contacts among common public that they use to generate business through.

Insurance sector plays a vital role in assuring people about their future. As the scope of

insurance enhancing, the need of an insurance Agent who can guide the potential

customers is growing. Being an Insurance Agent of HDFC-STANDARD LIFE

INSURANCE provides a legal mean to earn money which protects a person from earning

through a illegal source which is harmful for society as well as himself. For the youngsters

it provides great platform to prove them. On the basis of their performance they can be

recruited as unit

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RE SEARCH DESIGN

A Research Design is the framework orplan for a study which is used as

a guideincol lectingand analyzi ngthe data collected. Itisthe blue print that

is followed in comp leting the stud y. The basic objective of research

cannot be attained without a proper research design. It spec ifies the

methods and procedures for acquir ing the information needed to

conduct the research effectiv ely. It is the overall operational patte rn of

the project that stipulates what informa tion needs to be collected, from

which sources and by what methods. The data for this research project has been

collected through self Administration. Due to time limitation and other constraints direct

personal interview method is used. A structured questionnaire was framed as it is less

time consuming, generates specific and to the point information, easier to tabulate and

interpret. Moreover respondents prefer to give direct answe

METHODS OF COLLECTING DATA:

The method of data collected was personal interaction, telephonic interview, observations

of the existing appraisal system of HDFC SLIC. The data so far collected or provided is

secondary as total tele-calling was done on an already existing data for financial planning

and to become companys certified financial consultant. But telephone directories are also

used to find out the contacts.

TYPE OF DATA COLLECTED

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There are two types of data used. They are primary and secondary data.

Primary data is defined as data that is collected from original sources for a specific

purpose. Secondary data is data collected from indirect sources.

(Source: Research Methodology, By R. Kothari)

PRIMARY SOURCES

These include the survey or direct communication with employees and questionnaire

method, telephonic interview as well as the personal interview methods of data collection.

SECONDARY SOURCES

These include books, the internet, company brochures, product brochures, the company

website, official records of the company newspaper articles etc.

Websites covered are:

www.google.com

www.hdfcinsurance.com

HDFCSLIC s Green Page.

SAMPLING

Sampling refers to the method of selecting a sample from a given universe with a view to

draw conclusions about that universe. A sample is a representative of the universe selected

for study.

Sampling Units: Business Man, Professionals ,Service persons, Students and

House Wives .

Sample Technique: Random Sampling.

Research Instrument: Structured Questionnaire.

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Contact Method: Personal Interview.

SAMPLE SIZE:

My sample size for this project was 100 respondents. Since it was not possible to cover

the whole universe in the available time period, it was necessary for me to take a sample

size of 100 respondents.

DATA COLLECTION INSTRUMENT:

The mode of collection of data will be based on Survey Method and Field Activity.

Primary data collection will based on personal interview. I have prepared the questionnaire

according to the necessity of the data to be collecteD

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Ques 1. Your Age ?

Sr. No. Category No. of Respondents Percentage

1. 18-23 Years 25 25%

2. 24-29 Years 14 14%3. 30-35 Years 40 40%

4. Above 35 21 21%

Total 100 100%

Objective: To Find out the average age of the Sample size .

Findings: Most of the people were from age group of 30-35 years followed by age group

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Age of Respondents

25%

14%

40%

21%

18-23 Y ears

24-29 Y ears

30-35 Y ears

Abo ve 35 Y ears


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of 18-23 years.

Ques 2. Your Educational Qualification?


1. 12th 25 25%

2. Graduate 40 40%

3. Post graduate 35 35%

Total 100 100%

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Educational Qualification of

Respondents

25%

40%

35%

12th

Gr aduate

Post Gr atuate


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Objective: To find out Qualification level of the respondents.

Findings: Most of the people out of respondents were graduate followed by post

graduate.

Ques 3. Your current occupation ?

Sr.No. Category No. of Respondents Percentage

1. Student 23 23%

2. Business 35 35%

3. Professional 20 20%

4. Service 22 22%

Total 100 100%

Objective: To find out Occpation so that the natural networking of the respondents can be

used.

Findings: Most of the people were from business class and after this majority was of

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Occupation of Respondents

23%

35%

20%

22%

Student

Business

Professional

Service


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Students.

Ques 4. Your Annual Household income ?

Sr. No. Categoy No. of Respondents Percentage

1. Less than 2 lacs 52 52%

2. Between 2 to 5 lacs 22 22%

3. Between 5 to 8 lacs 11 11%

4. More than 8 lacs 15 15%

Total 100 100%

Objective: To find out the financial soundness of the Respondents .

Findings: Most of the people out of respondents were having the income of less

than 2 lacs followed by people having income of 2 to 5 lacs.

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Annual household income of Respondents

52%

22%

11%

15%

Less than 2 lacs

Between 2 to 5 lacs

Between 5 to 8 lacs

More than 8 lacs


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Ques 5. Do you know about HDFC Standard Life Insurance ?


1. Yes 64 64%

2. No 36 36%Total 100 100%

Objective: To know the awareness of the Company among people.

Findings: Out of Respondents 64% people are aware of the companys existence.

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Aw areness about HDFCS

64%

36%

Yes

No


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Ques 6. Do you have any insurance policy ?


1. Yes 70 70%

2. No 30 30%Total 100 100%

Objective: To find out the no. of existing customers and the potential customers.

Findings: Most of the people out of respondents ie. 70% are already insured and rest

30% people are still not insured so this 30% market is the potential Customer for

the company.

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No. of insured people

70%

30%

Yes

No


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Ques 7. Name of the Insurance Company ?

Sr. No. Insurance Company No. of Respondents Percentage

1. LIC 52 52%

2. ICICI 10 10%

3. HDFCSLIC 7 7%4. Others 31 31%

Total 100 100%

Objective: To find out the Market leader among several insurance companies.

Findings: Most of the people out of Respondents are insured by LIC followed by

ICICI . Most of the people even now have a great faith in LIC because its a Govt.

organization, Here market leader is LIC .

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Policy Distribution

52%

10%

7%

31%

LIC

ICICI

HDFCSLIC

Others


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Ques 8. Do you know about HDFCSLIC recruitment policies related to

Financial Consultants ?


1. Yes 18 28%

2. No 46 72%

Total 64 100%

Objective: To find out the awareness about HDFCSLICs Financial Consultants

among people.

Findings: Most of the people out of Respondents are unaware about the

HDFCSLICs Financial Consultants Recruitment policy, only few people are aware,

so there is a great need of creating awareness through promotional activities.

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Awareness about FC

28%

72%

Yes

No


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Ques 9. Will you be interested to become a Financial Consultant For

HDFCSLIC ?


1. Yes 3 17%

2. No 11 61%

3. May be in future 4 22%

Total 18 100%

Objective: To find out the readiness and the interest level of the Respondents.

Findings: Out of 18 people who are aware of Financial consultant recruitment only

3 people ie. 17% are ready to be a financial consultant for the HDFCSLIC, despite

of being aware most of the the people are not ready to be a financial consultant.

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Interested to be a Financial Consultant

17%

61%

22%

Yes

No

May be in future


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Ques 10. If yes then, what attract you most out of all these benefits given to a

Financial Consultant ?

a) Financial Independence b) Flexible working hrs. c) Zero investment

d) No control over you e) Rewards and Recognition

Sr. No. Category No. of respondents Percentage

1. A & D 2 67%

2. A & B 1 33%

Total 3 100%

Objective:To find out the parameters on which their interest of becoming

financial consultant depends.

Findings: Out of these 3 people , 67% means 2 are interested towards Financial

independence and no control over them, rest 33% means 1 is interested in financial

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prioritization of benefits

67%

33%

A & D

A & B


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independence and Flexibility of working hrs.

So here every one is looking to be financially independent and after that what comes

is that they dont want any type of control over them, they want to be their own boss,

after these two then comes flexibility of working hrs.

Ques 11. If no, then what are the reason of not opting this Carrer opportunity

of becoming a Financial Consultant ?

a) Not interested in Financial Sector

b) Targets are high

c) Perceive insurance as inauspicious

d) Convince people to take policy is very tough

e) Time constraint

f) Selling insurance policy is still considered inrespectible

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Reason of dissatisfaction Tow ards

27%

18%

55%

A

B & E

B & F


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Objective: What are the parameters or reasons which stop them from becoming the

financial consultants.

Findings : Out of 18 people who are aware of Financial consultant recruitment most

of them ie. 11 people are not ready to accept it as a career option.

Most of the people among these dont want to be a financial consultant because they

think that selling insurance is not respectable and a lot of target is given to these

financial consultant.

Some people are not at all interested in doing any kind of job in

financial sector because of some hidden reasons, and rest of them think that they

dont have enough time for this.

Conclusions:

After doing a research study on a sample size of 100 people It has been seen

that only 3 people get converted to the financial consultant, here rate of conversion is

very low so its a very tough job of searching such people who are interested to be a


1. A 3 27%

2. B & E 2 18%3. B & F 6 55%

Total 11 100%

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financial consultant and have all requisite a financial consultant

should have like age and qualification criteria.

People who are having income of less than 2 lacs and of age group 30-35 are

the most interested people towards becoming financial consultant, and those who are

having their small business are most enthusiastic to be a financial consultant, these

people want to grab this opportunity of becoming a financial consultant and want to

earn money by investing nothing and selling insurance policies for the company.

LIC being a Govt. organization is the market leader in this sector of

insurance, most of people are insured by LIC , after LIC , people are having

insurance policies ICICI, and after this people are having insurance policies of

HDFCSLIC. It has been found about the awareness of HDFCSLIC, about 64%

people are aware of the company and its products, rest 36% people are unaware, so

various awareness and promotion activities need to be conducted.

Out of people who are aware of HDFCSLIC and its policies only few are

aware of recruitment policies of HDFCSLIC as financial consultant and out of aware

people only few people wants to be a financial consultant.

The parameters any person looks on which their interest of becoming

financial consultant depends then it has been found that most of the people prefer84


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financial consultants job just because they want to be financially

independent and they dont want any kind of control over them from the

organizations side, after these two features any one look for this as a career option

because of flexibility of working hours.

Most of the people among those who dont want to be a financial consultant,

think that selling insurance is not respectable and a lot of target is given to these

financial consultant. Some people are not at all interested in doing any kind of job in

financial sector because of some hidden reasons, and rest of them think that they

dont have enough time for this

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SWOT

ANALYSIS

SWOT ANALYSIS

STRENGTH:

Multi channel distribution and one of the largest distributionnetworks in India

Implementing six sigma process86


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Customer centric products and services Superior investment and risk management frame work 1Million policies sold within 3 and half years company has maximum number of MDRT as well as good

number of HNI advisors training process of the company is very strong different plan for different peoples According to the change in surrounding environment like

change in customer requirement.

WEAKNESS:

Company does not penetrate on the rural market at a time There is no plan for the low income group. Fees for the advisor is high than the other company.

OPPORTUNITY:

Insurance market is very big. Where company can expand itshorizon in insurance industry.

Through good investment and insurance it is easy to topIndian customers

The huge insurance market is left so company has opportunityto expand our products

To associate with the more number of HNI

THREATS:

Sold habits die hard: its still difficult task to win theconfidence of public towards private company.

The company is facing major threats from LIC which is anonly government company.

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Plans for all income groups are not availablewhich can create adverse effect later on the market share of thecompany.

CONCLUSION:

The market potential for private insurance companies is found to begreater in the long run as most of the Indians are of the opinion that,

private insurance companies would be able to perform well in thefuture. The private and foreign insurance companies have to takeimmediate steps in appointing more number of agents and / or

advisors in addition to the employees as it has been found out thatagents are the best channel to reach the general public regardingselling of insurance products. The private and foreign insurancecompanies have to concentrate on the factors like Prevention ofLoss. Assured Returns and Long tern Investment they can alsofocus on an insurance amount of Rest 1- 2lakh with money back

policies Hence the market has potential. The private and foreigninsurance companies that are taking immediate steps can

tap it easily and rapidly.

Limitations:

As per my experience at HDFC Standard Life Insurance Company what88


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I got to know is:

Out of l00% tele-calling only l0% agrees and 2% gets converted that

too by approaching the customers again and again and time allotted to us was

limited as it even takes three to four months or may be more to get one call

converted.

I was given a limited geographical coverage area i.e. confined to

only Jaipur because clients are also there from other citie

Financial Consultant Recruitment-HDFC

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