SUMMER INTERNSHIP PROJECT REPORT

AT

PEOPLE-CAPABILITY MATURITY MODEL (MetLife India Insurance Company Ltd)

A Project Report Submitted In Partial Fulfilment of the Requirements

for the Award of the Degree of

POST GRADUATE DIPLOMA IN BUSINESS MANAGEMENT

TO

M.S.RAMAIAH INSTITUTE OF MANAGEMENT

BY

MALINI 101225

PGDBM (AUTONOMOUS) 2010-2012

Under the guidance of

MISS. LAVANYA CHANDRA

M.S.RAMAIAH INSTITUTE OF MANAGEMENT

NEW BEL ROAD, BANGALORE-560054

STUDENT’S DECLARATION

I hereby declare that the Project Report conducted at METLIFE INDIA INSURANCE INDIA PVT.LTD under the guidance of Miss. Lavanya Chandra

Submitted in Partial Fulfillment of the requirements for the Degree of

POST GRADUATION DIPLOMA IN BUSINESS MANAGEMENT (AUTONOMOUS)

TO

M.S.RAMAIAH INSTITUTE OF MANAGEMENT

is my original work and the same has not been submitted for the award of any other Degree/Diploma/Fellowship or other similar titles or prizes

Place: Bangalore MALINI BISWAS

Date: Reg. No. 101225

CERTIFICATE

This is to certify that the Project Report at PEOPLE CAPABILITY MATURITY MODEL (MetLife India Insurance Company Ltd).

Submitted in partial fulfilment of the requirements for the award of the degree of

POST GRADUATION DIPLOMA IN BUSINESS MANAGEMENT (AUTONOMOUS)

TO

M.S.RAMAIAH INSTITUTE OF MANAGEMENT

Is a record of bonafide Training carried out by under my supervision and guidance and that no part of this report has been submitted for the award of any other degree/diploma/fellowship or similar titles or prizes.

FACULTY GUIDE

Signature:

Name:

Qualification: Seal of learning centre

ACKNOWLEDGEMENT

I extend my special gratitude to our beloved Dean Shri..............................., &

Academic Head.............................. & Programme Head....................... for

inspiring me to take up this project.

I wish to acknowledge my sincere gratitude and indebtedness to my project

guide Anita Singh of M.S. RAMAIAH INSTITUTE OF MANAGEMENT

Bangalore for his valuable guidance and constructive suggestions in the

preparation of project report.

MALINI BISWAS

EXECUTIVE SUMMARY

In today’s corporate and competitive world, I find that insurance sector has the maximum growth and potential as compared to the other sectors. Insurance has the maximum growth rate of 70-80% while as FMCG sector has maximum 12-15% of growth rate. This growth potential attracts me to enter in this sector and MET LIFE INDIA INSURANCE CO. LTD. has given me the opportunity to work and get experience in highly competitive and enhancing sector.

The success story of good market share of different organizations depends upon the availability of the product and services near to the customer, which can be distributed through a distribution channel. In Insurance sector, distribution channel includes only agents or agency holders of the company. If a company like MET LIFE INDIA INSURANCE CO. LTD has adequate agents in the market they can capture big market as compared to the other companies.

Agents are the best way for a company of Insurance sector through which policies and benefits of the company can be explained to the customer.

The P-CMM is been a integral part of the company, for doing continuous improvement within the organization by addressing the critical people issues in the organization.

The P-CMM describes an organization’s capability for developing its workforce at each maturity level. It describes how people can be applied as a standard for assessing workforce practices and guide in planning and implementing improvement activities.

CHAPTER 1- INDUSTRY ANALYSIS

1. COMPETITION IN THE INDUSTRY

The competition faced in the industry are related under these-

1. Product Innovation

Customers are now looking at Insurance as complete financial solution offering stable returns coupled with total protection. Companies will need to constantly innovate in terms of product development to meet ever changing consumer needs. Understanding the customer better will enable Insurance companies to design appropriate products, determine price correctly and increase profitability. In this context Management Guru Peter Drucker has rightly said "Markets are changing from Cost lead Pricing to Price lead Costing".

2. Distribution Network

While companies have been successful in product innovation, most of them are still grappling with right mix of Distribution Channels for:

a. Capturing maximum market share to build brand equity.

b. Building strong and Effective Customer relationships.

c. Cost effective customer service.

This calls for Selection of right type of Distribution channel mix along with prudent and efficient FOS (Feet On Street) Management.

3. Customer Education and Service

Insurance, particularly life insurance is never bought but sold. To convince a large population, which is comparatively not well informed about the intangible benefits of life insurance, is indeed an onerous task. This apart, the task would be to position Insurance as a risk planning tool rather than a tax saving and investment tool.

In the present competitive scenario, a key differentiator would be professional customer service in terms of quality of advice on product choice along with policy servicing. Servicing should focus on enhancing the customer experience and maximizing customer convenience. This calls for effective CRM system which eventually would create sustainable competitive advantage and build long lasting relationship.

4. Investment Management

The most difficult challenge would be to provide returns comparable to other financial instruments. The problem is further aggravated by interest rates moving south. Need of the hour for an insurer is to follow prudent underwriting practices and efficiently cut down management and administrative expenses. Insurers must follow best investment practices and have a strong Asset management Company to maximize returns.

2. POTENTIAL OF NEW ENTRANTS INTO INDUSTRY

Insurance is a product which is required in the period of recession as well. The demand of the insurance products can never get decreased in the crisis period as well, therefore this sector has always been a attractive opportunity to the new entrance in the business. So joining of new competitors has been always a threat in this business.

3. POWER OF SUPPLIERS

There are no suppliers for these kind of industries in the market. The products are handled by the company and its department itself. There are no outside suppliers for MetLife Insurance India pvt.ltd.

4. POWER OF CUSTOMERS

Customers play very important part in MetLife India Insurance pvt.ltd. The products of these companies directly deal with its customers. An insurance company is based on its customers because all its products directly targets its customers and it is completely depends on its customers. The growth of the company depends on the number of the customers.

Can be rephrased.

5. THREAT OF SUBSTITUTE PRODUCTS

Products available in the competitor companies in the market are of similar nature, so some times it may be difficult to attract the customers towards the company. It depends on the customers towards which the customers get attracted.

CHAPTER 2 – COMPANY ANALYSIS

1. ABOUT THE COMPANY

MetLife (India)

MetLife India Insurance Company Limited (MetLife) is an affiliate of MetLife, Inc. and was incorporated as a joint venture between MetLife International Holdings, Inc., The Jammu and Kashmir Bank, M. Pallonji and Co. Private Limited and other private investors. MetLife is one of the fastest growing life insurance companies in the country. It serves its customers by offering a range of innovative products to individuals and group customers at more than 600 locations through its bank partners and company-owned offices. MetLife has more than 50,000 Financial Advisors, who help customers achieve peace of mind across the length and breadth of the country.

MetLife, Inc., through its affiliates, reaches more than 70 million customers in the Americas, Asia Pacific and Europe. Affiliated companies, outside of India, include the number one life insurer in the United States (based on life insurance enforce), with over 140 years of experience and relationships with more than 90 of the top one hundred FORTUNE 500 companies. The MetLife companies offer life insurance, annuities, automobile and home insurance, retail banking and other financial services to individuals, as well as group insurance, reinsurance and retirement and savings products and services to corporations and other institutions.

Few highlights in 140 years of history:

1868 – Metropolitan Life Insurance Company is established 1912 – In partnership with American Red Cross, transforms the corporate

headquarters into an administrative relief and support centre for Titanic survivors and their families.

1930 – Helps thousands of farmers buy back their foreclosed farms and restores them to productivity during Great Depression

1931 – Provides financing for the construction of the Empire State Building and Rockefeller Centre

1974 – Auto and home insurance are added to our product offerings

1989 – First operations outside of the U.S. are established in Korea and Taiwan.

1991 - Becomes the first insurer in North America to surpass $1 trillion of life insurance in force

1992 – Establishes the first Latin American operation

2000 – Becomes a publicly owned stock company with MetLife, Inc. listed on the New York Stock Exchange

2001 – Enters the banking sector with establishment of MetLife Bank. Responds to 9/11 by paying claims immediately, awarding grants and investing over $1 billion in publicly traded stocks.

2002 – Acquires Aseguradora Hidalgo, S.A., becoming the largest life insurer in Mexico.

2005 – Acquires Traveller’s Life & Annuity and substantially all of Citigroup’s international insurance business, strengthening our leadership in the U.S. and expanding its distribution capabilities worldwide.

Key Facts

MetLife’s trusted brand, capital strength and existing relationships with millions of individual and institutional customers around the globe uniquely position us among our competitors.

Here are few facts that highlight our leadership in the global insurance industry:

The MetLife companies’ competitive positioning

• #1 life insurer in the United States• #1 life insurer in Mexico• #2 combined life and annuity in Chile• #1 life sales via telemarketing in Taiwan• #1 commercial dental carrier in the United States• #2 variable annuity sales in Japan

Corporate Social Responsibility

MetLife has always been committed to making a positive difference in the lives of the individuals and communities. Today, that commitment drives volunteer work and philanthropy across the globe. Working with non-profit organizations, MetLife supports programs that provide young people with the skills they need to succeed in life and create opportunities for people of all ages.

MetLife’s core values are personal responsibility, people count, partnership, integrity and honesty, innovation and financial strength. These values also shape the responsibility to the communities where the organization conducts its business.

Polio eradication exercise which is launched recently can be added.

AREA COVERED BY METLIFE FOR INSURANCE

1. Protection

a. Met Suraksha

b. Met Suraksha TROP

c. Met Suraksha Plus

d. Met Mortgage Protector Plus

e. Met Protect

2. Child

a. Met Bhavishya

b. Met Junior Endowment

c. Met Junior - Money Back

3. Monthly Income

a. Met Monthly Income Plan

b. Met Monthly Income Plan 7 Pay

c. Met Monthly Income Plan 15 Pay

4. Savings

a. Met Sukh

b. Met Suvidha

c. Met Saral

d. Met 100

e. Met Vishwas - Rural

f. Met Suvidha - Rural

g. Met Grameen Ashray

5. Retirement

a. Met Pension - Par

6. Investment

a. Met Smart Platinum

b. Met Smart One

c. Met Easy Super

7. Health

a. Met Health Care

MARKETING

PRODUCT PROFILE

1. Protection- Home loans, EMIs and other such liabilities are a regular feature in all of our lives. Yet none of us want the burden of these payments to fall on our loved ones. MetLife’s protection plans act as that all-important shelter, guaranteeing you complete peace of mind.

a. MetSuraksha - MetLife offers Met Suraksha - Term Assurance (TA), a non participating term assurance plan which provides you life cover at a nominal cost. To put it simply, it is a life insurance plan that gives you complete protection to enjoy life to the fullest. You can further customize your plan with two riders – Accidental Death Benefit and Critical Illness.

b. MetSurakshaTROP - MetLife offers Met Suraksha - Term with Return of Premium (TROP), a non participating term assurance plan which provides you life cover at a nominal cost. To put it simply, it is a life insurance plan that gives you complete protection to enjoy life to the fullest. You can further customize your plan with two riders – Accidental Death Benefit and Critical Illness. What’s more, it also gives you the option of getting back all the premiums paid at maturity.

c. MetSurakshaPlus - MetLife offers ‘Met Suraksha Plus’- Term Assurance (TA) a non participating term assurance plan which provides you life cover. It is designed for people who want to take care of their financial commitments, should anything unfortunate happen, at a nominal cost. To put it simply, it is a life insurance plan that gives you the complete protection so that you can enjoy life to the fullest. You can further customize your plan with two riders – Accidental Death Benefit and Critical Illness.

d. MetMortgageProtectorPlus - MetLife presents 'Met Mortgage Protector Plus' – a plan which provides you life cover for home loans taken for any period above 5 years. It is a decreasing term insurance with single and limited premium options. The plan covers you for an amount equal to the outstanding amount as per the policy schedule.

f. Child- MetLife’s child insurance plans help future-proof your child’s tomorrow. They assure you that there will be no  surprise roadblocks down the road. So that you can make your child’s dreams a reality.

a. MetBhavishya - MetLife offers 'Met Bhavishya' - a guaranteed money back plan that pays out funds to help you meet the education and career milestones of your children. With this plan, the Life Insured is that of the parent. The plan also has inbuilt guaranteed additions to add value to the policy over its term. There are two options to choose from and fixed term benefits, periodic additions & terminal additions are payable based on the option that you select. The policy is suitable for parents with children between the ages 0-12 and parents in the age group of 20-50 years old.

b. MetJuniorEndowment - MetLife offers 'Met Junior' - a flexible endowment plan that combines savings and security. Your children's well-being is your highest priority. So we offer a plan which offers both timely and efficient "Return on Investment". All with a guarantee. Met Junior is available in both participating (UIN:117N010V01) as well as non-participating versions(UIN:117N005V01).

c. MetJunior-MoneyBack - MetLife offers 'Met Junior Money Back' - a money back plan that combines savings and security. Your child's well-being is your highest priority. So we offer you a money back plan which provides guaranteed periodic survival benefits at the end of 5, 10 & 15 years, along with guaranteed growth of your savings.

g. Met Monthly Income Plan - MetLife offers 'Met Monthly Income Plan' a participating plan which guarantees you a monthly regular income for you and your family when you are there and even if you are not there for 15 years or till end of the policy term. Moreover you choose the monthly income that you want and we guarantee you that amount. A plan which provides for your retirement needs and helps you achieve financial freedom - 'Guaranteed'.

a. Met Monthly Income Plan -MetLife offers 'Met Monthly Income Plan' a participating plan which guarantees you a monthly regular income for you and your family when you are there and even if you are not there for 15 years or till end of the policy term. Moreover you choose the monthly income that you want and we guarantee you that amount. A plan which provides for your retirement needs and helps you achieve financial freedom - 'Guaranteed'.

b. Met Monthly Income Plan - 7 Pay- MetLife offers 'Met Monthly Income Plan-7 Pay' where you are required to pay premium only for 7 years and get back the Guaranteed Monthly Income that you choose at inception for 8 years. At the end of the term you will also get the accrued bonuses as a lumpsum. A Monthly Income Plan that guarantees income to add to your income every month. Because these days growing needs demand more than one income.

c. Met Monthly Income Plan - 15 Pay - MetLife presents, Met Monthly Income Plan 15 Pay where you now have the option to pay for 15 years and get a steady guaranteed# monthly income for 15 years. What’s more, at the end of the term you will also get the accrued bonuses as a lumpsum. Hence, this is a Monthly Income plan that guarantees# income to add to your income every month.

h. Savings - MetLife savings plans help you realize your dreams and protect you and your loved ones from life’s uncertainties. Keep your savings growing and ensure complete peace of mind.

a. Met Sukh - MetLife offers Met Sukh - a guaranteed Money-Back Policy which provides guaranteed periodic survival benefits at the end of 5, 10, 15 & 20 years and guaranteed additions of 10% of the Sum Assured for the entire term. It not

only covers your life, but also guarantees you cash payments at various milestones along with guaranteed growth of your savings.

b. Met Suvidha - Met Suvidha is a Flexible Endowment Plan that combines savings and security. In addition to providing you protection till the maturity of the plan, it helps you save for your specific long term financial objectives. This long term savings-cum-protection plan comes to you at affordable premiums.

c. Met Saral - MetLife presents Met Saral - a non- participating endowment plan. As the name suggests, it’s a simple savings plan which gets you into the savings habit without any medical tests. All you need to do is fill in a simple application form and you are ensured a guaranteed maturity amount of Rs 1,00,000, even in the case of your death during the term. Take the first step towards a better financial future for yourself and your family. Ensure and insure the first Lakh.

d. Met 100 - MetLife presents Met 100 - a whole life policy where you pay premiums for 15, 20 or 25 years. It helps create a legacy for the children, leaving money for a dependant spouse and, more importantly, provides insurance cover at affordable rates.

i. Retirement- MetLife’s comprehensive retirement plans ensure a financially secure retirement and guarantee your peace of mind.  So that you can make your dreams a reality, anytime, anywhere.

a. Met Pension (Par)- Met Pension (Par) serves as a friendly helping hand so you can stay financially independent even after retirement. It helps you build up a fund for your golden years. With this plan, you can ensure you enjoy retirement as a happy new chapter.

j. Investment- MetLife’s Unit-Linked Insurance Plans ensure systematic enhancement of your wealth. Be it higher returns or the right blend of protection and wealth optimization, they help you ensure the right choice and peace of mind.

a. Met Smart Platinum - You have always wanted the best for yourself in life. Not surprisingly, your wealth creation & protection needs, which keep changing with your Lifestage, also deserve the best. Keeping this in mind, MetLife is proud to present Met Smart Platinum, a Unit-Linked Plan which can be customized to match your ever changing financial needs! This

whole life plan offers you the flexibility of short premium payment commitments along with a multitude of other benefits including the unique Auto Rebalancing Portfolio Strategy.

b. Met Smart One - You work hard to fulfill your family dreams and wish everything that is best for them, whether it is your children's education or your child marriage or buying your dream house. We at MetLife understand that your hard earned money should work equally harder for you. Hence we bring to you Met Smart One, which is investment cum protection single premium plan which along with its various investment management options facilitates accelerated wealth creation with Loyalty additions. With this plan you may also choose NAV Guarantee Fund which offers you attractive guaranteed Net Asset Value (NAV).

c. Met Easy Super - "IN THIS POLICY, THE INVESTMENT RISK IN THE INVESTMENT PORTFOLIO IS BORNE BY THE POLICYHOLDER”. While you plan to secure the happiness and future of your loved ones, give wings to your dreams of wealth creation. Security for your family and your need of wealth creation should work together as you move ahead in life. We understand that at MetLife, and hence we bring you Met Easy Super – an Easy Protection, Super wealth creation plan. While you ensure security for your loved ones, we work towards your goals of wealth creation - because you and your family deserve the very best.

k. Health Care- Health problems strike unexpectedly. In addition to causing ill health, it can also scar your financial health. You need to protect yourself against such a situation through a health insurance plan. In order to ensure you are well protected to face any health condition that could befall you, MetLife presents - Met Health Care, a simple health insurance policy with unique and smart advantages for you and your family.

a. Met Health Care- Met Health Care is a long term health insurance plan from MetLife. This plan covers you

1. Against Hospitalisation expenses by providing you a Daily Cash benefit as chosen by you.2. Against 10 major Critical Illnesses by providing you a lump sum benefit.

3. Against Total & Permanent Disability due to accident by providing you a lump sum benefit.

Further, all the above benefits can be availed without the hassle of undergoing any medical examination. Just fill up the simple application form and start enjoying the unmatched benefits of Met Health Care.

DISTRIBUTION NETWORKThe products which are being served by MetLife Insurance ltd. are distributed under three categories- 1. Individual - They target individual people for different individual schemes

of insurance. 2. Group - In a group insurance scheme a whole group of people will be

targeted for a particular type of insurance.3. Company - in this scheme all the employees of the company will be under

the insurance scheme. One insurance plan will be for all the employees based on their salaries and incentives.

Individual, Bank Partners, Corporates.

SALES FORCE

In MetLife insurance ltd. The complete sales force is their agents.

There are about 30,000 agents working in and for MetLife insurance ltd. and 5000 executive agents.

Sales Process

In this part the agents are introduced about their customers. They follow an outline called sales Turbine and practiced it week after week until it becomes natural to them. The outline is as follows

PROSPECTING

Prospecting is the first step of the sales process which means to prospectfor different customers through personal contacts or from any other source. We can also prospect a customer by taking referrals from our old customers.

APPROACH

Approach is the process after prospecting a customer in which we have to make an approach to the customer for an appointment at his/her convenient time and introduce your company and its service.

FACT FINDING

In this process we have to find out the need of a customer in order to provide a suitable product. This is done by explaining the financial securities three corner i.e. protection, accumulation and retirement.

SOLUTION

This is the step in which we have to find out the perfect product which will solve the requirement of the customer

CLOSING

This is the last step of the complete sales process in which we assist the customer in underwriting process.

This policy takes the agents to the next level by giving them insight into the advanced concepts of life insurance advisory that will enable them to reach greater levels of success. The program discusses critical subjects such as persistency and case rate and also some important traditional products. It also puts lights on important topic of retirement planning, which is an integral part of financial planning for all their clients.

PROMOTION STRATEGIES

MetLife insurance Pvt. Ltd. Uses only 1 promotional strategy, they advertise through television and internet.

MARKET SHARE

NAME OF THE PLAYER MARKET SHARE (%)

Name of the Player Market share (%)

LIFE INSURANCE CORPORATION OF INDIA 82.3

ICICI PRUDENTIAL 5.63

BIRLA SUN LIFE 2.56

BAJAJ ALLIANZ 2.03

SBI LIFE INSURANCE 1.80

HDFC STANDARD 1.36

TATA AIG 1.29

MAX NEW YARK 0.90

AVIVA 0.79

OM KOTAK MAHINDRA 0.51

ING VYSYA 0.37

MET LIFE 0.21

 The table & the pie diagram does not match. Also, pls mention that data is as on which date.

Market Share of MetLife:-

Company New Business Premium in (Crs)

Market Share

ICICI Prudential . 7861 6.3%SBI Life 7571 6.0%

HDFC Life 4065 3.2%Bajaj Allianz 3462 2.8%Reliance Life 3035 2.4%Birla Sun life 2077 1.7%

Max New York 2060 1.6%Tata AIG 1331 1.1%

Kotak Mahindra 1253 1.0%Canara HSBC

OBC Life823 0.7%

Star Union Dai-ichi

759 0.6%

Aviva 745 0.6%IndiaFirst 705 0.6%Met Life 704 0.6%

ING Vysya 660 0.5%Shriram Life 575 0.5%

Future Generali Life

449 0.4%

IDBI Federal 445 0.4%Bharti Axa Life 362 0.3%

Aegon Religare 275 0.2%Sahara Life 91 0.1%

DLF Pramerica 74 0.1%Total 39381 31.3%

CUSTOMER SERVICE

MetLife insurance Pvt.Ltd. have a separate department for its customer support.

Mention the type of support provided – Email support, Phone support

You can call them on Toll Free number 1800-425-6969 (24 Hour Helpline, reachable from all mobile numbers.)

OR +91 80 26502244 (8.00 AM to 8.00 PM)

Email them at indiaservice@metlife.co.in

MARKETING STRATREGIES OF THE COMPANY

THIS TALKS ABT THE MARKETING PROFILES THAT IS OFFERED

& NOT THE STRATEGIES.

Marketing at MetLife play a pivotal role in positioning a wide array of insurance and financial services products that are essential to our success and our mission of building financial freedom for people everywhere. MetLife's core marketing functions work together to provide the insight and knowledge needed to generate successful, comprehensive, end-to-end solutions that are critical to our varied lines of business. As one of the most recognized brands anywhere, MetLife offers jobs in Marketing with a truly global reach.

From conducting market research and analyzing competitive intelligence to identifying market opportunities and developing communications programs, careers in marketing at MetLife are as dynamic as the markets we serve and as diverse as the marketing functions we perform. We actively seek experienced marketers with proven track records of success in the following disciplines: market research, competitive intelligence, communications, database management, lead generation, marketing strategy, business development and sales support, incentives and recognition, field marketing, and multicultural marketing. Whether you have a degree or related industry experience, we'll provide you with the tools, training and opportunities you need to reach your professional goals at every step of your career.

PROMOTIONAL CRITERIA IN METLIFE INSURANCE This is incorrect.

SENIOR PARTNER

ASSOCIATE PARTNER

SENIOR BUSINESS DIVISION MANAGER

BUSINESS DIVISIONAL MANAGER

LOCATING CUSTOMER

Marketing and personnel contact

Using reference

Self selling

Through recruitment of advisor and their contacts

TARGET CUSTOMER

Temples, schools, advocate assistant, matrimonial, CA, clerk, musical and dance

Classes, gym, fashion designer, railways colonies, bank RTO, NGO, hotel

Travels and tourism, ATMs, were the place given to me to collect data.

EXECUTIVE SALES MANAGER

SENIOR SALES MANAGER

SALES MANAGER

ASSISTANT SALES MANAGER

JUNIOR SALES MANAGER

PROHIBITIONARY SALES MANAGER

CUSTOMERS

Ages: 16 to 25 (Unmarried, young professionals)

Your stage overview

  Might still be in higher education   First job

  May or may not have a spouse

  May or may not own a home

  May or may not have dependants

Your financial needs

May still have some support from parents May be saving towards future family needs - say buying a home

May be paying off education loans

Likes to spend money

Your insurance needs

since there are likely to be no dependants, your life insurance needs are probably zero. However, there is a need for savings.

Examples: 1. Go on a holiday.2. Buy a new car.3. Buy furniture, curtains, carpets etc., for their home.4. Buy a house.5. Buy jewellery.

Suggested Insurance Products

Shorter term Endowment Assurance products

MetLife products

Met Suvidha Par and Non Par Met Mortgage Protector Plus

Met Smart Platinum

Met Easy Super

Riders

Accidental Death Benefit

Term Rider

Critical Illness

Waiver of Premium

Ages 25-35 (Married, with or without kids)

If you are in this stage, you are probably a young professional (might be married, with or without kids).

Your stage overview

May be married with or without kids Probably in debts - (for e.g. home loan)

Earns a moderate income

Has a high expenditure

Does not have much accumulated wealth 

Needs tax planning

Your financial status 

High expenditure due to installment payments for house, car, etc. Worried about protecting dependants in case of death, prolonged illness or disability 

Need to save for children for their education, marriage etc.

Need to support elderly parents 

Need to start planning for retirement

Your insurance needs

This stage calls for maximum insurance protection because of the following reasons:

High debt, high expenditure phase Family’s dependency on your income 

Low accumulated wealth 

Need for retirement planning

Suggested insurance products

If you are in this stage of life, there is a vital need for temporary (Term) or whole life insurance products, critical illness products and long-term disability products. The policy duration should be at least as long as the expected period of dependency or up to the normal

age of retirement. 

If you’re in this stage, Term Insurance products such as Met Mortgage could benefit you. With Met Mortgage, you can be sure that your loved ones won’t be put under financial stress of paying back loans in case something unfortunate happens to you.

You could also invest in endowment products that promise periodic returns for life’s milestone moments - your child’s education, marriage etc. Endowment assurance products and deferred annuity products can be considered for retirement savings. Profit and unit-linked versions can protect you from future inflation. 

Including Critical Illness, Disability Income and Term Insurance products as riders with Permanent or Endowment Assurance products will form the cheapest way of getting income, death benefit protection and savings.

MetLife products

Met Suraksha Met Bhavishya

Met Sukh

Met Suvidha Par and Non Par

Met Health Care

Met Mortgage Protector Plus

Met Smart Platinum

Met Easy Super

Riders

Accidental Death Benefit Term Rider

Critical Illness

Waiver of Premium

Ages over 60 (Post retirement)

Your stage overview

Need to move from employment to retirement Debts are either paid off or very minimal

Reduced income 

More accumulated wealth / savings

Risk of running out of money, in case of long life spans

Imminent need for long term care

Your financial needs

Need for considerable savings if you live a long time  Need to save for spouse 

Save for medical expenditures - for both self and spouse

Need to save for children

Your insurance needs

Protection for remaining years Protection for spouse in case of death

Wealth accumulation for children

Suggested insurance products

Single premium immediate annuities (with certain annuity option) Long - term care products

Whole life products for wealth transfer

MetLife products

Met 100 Par and Non-Par Met Mortgage Protector Plus

Met Smart One

Riders

Accidental Death Benefit Term Rider

Critical Illness

Waiver of Premium

Ages 35-60 (Pre retirement)

Your stage overview

Older, financially independent children

Reduced debts or loans 

Decreased expenditure

Probable period of redundancy

Your financial needs

Save for retirement Enjoy a lifetime holiday on retirement

Protect dependants financially against your death, prolonged illness or disability

Save for children 

Your insurance needs

Retirement planning, wealth transfer or other savings vehicles could be used for this stage of life. Your emphasis should be on return on investment, so with-profit or unit-linked products would be ideal. If you are close to retirement, you could also opt for guaranteed products.

Suggested insurance products

Provide for your retirement with either with-profit or unit-linked endowment assurance or deferred annuities. If you are risk-averse, choose deferred annuities. 

With-profit or unit-linked whole life insurance products would be most useful for accumulating wealth to be transferred to the next generation. Moreover, with the higher disposable income at this stage, single premium products could also be attractive, providing a lump sum benefit for the future. 

If you are in this stage of life you can opt for 'Met Monthly Income Plan' a participating plan which guarantees you a monthly regular income for you and your family when you are there and even if you are not there for 15 years or till end of the policy term. Moreover you choose the monthly income that you want and we guarantee you that amount.

MetLife products

Met Suraksha Met Bhavishya

Met Pension (Par)

Met 100 Par and Non-Par

Met Monthly Income Plan

Met Health Care

Met Mortgage Protector Plus

Met Smart One

Met Easy Super

Riders

Accidental Death Benefit Term Rider

Critical Illness

Waiver of Premium

COMPARISON OF DIFFERENT COMPETITOR’S CHILD PLAN

Features LIC Komal Jeevan Child Plan

ICICI Pru Smart Kid Regular Premium Child Plan

ING Vysya Creating Life Child Plan

Type of Plan Money Back Plan Money Back Plan Endowment Plan

Min And Max Age Limit  (Child)

0-10 years 0-12 years 0-17 years

Min And Max Age Limit  (Parent)

20-50 years 20-60 years 18-55 years

Min And Max Sum Assured

Rs 1,00,000 – Rs 25,00,000

Rs 1,00,000 – Rs 30,00,000

Min – Rs 80,000 Max – No limit

Premium Payment Term

8 – 18 years. Till child turns 18 years

10 – 25 years 10 – 25 years

Min Premium Rs 7281 p.a. Rs 8,400 p.a.  Rs 8,000 p.a.

Premium payment Frequency

Single premium, semi annually, annually, quarterly, monthly or salary saving scheme.

Monthly, semi annually or annually.

Monthly, quarterly, semi annually or annually.

Premium waiver benefit

Has to be bought with additional premium payment.

Built-in with the policy Built-in with the policy

 ULIP Plan: Some of the child ULIPs plans available on the market are:

Features LIC’s Child Fortune Plus

Max New York Life Smart Steps Plus

SBI Life Smart Scholar

Min And Max Age 0-10 years 91 days – 15 years 0-17 years

Limit  (Child)

Min And Max Sum Assured

Min SA is  5 times  and max SA is 25 times of the annualized premium

Min SA = Annual Target Premium (ATP) x policy term x 0.5 Max SA = Annual Target Premium x policy term.

Min SA is 10 times of the annualized premium. The maximum is 20 times of the annualized premium.

Fund Switching The plans allows 4 free switches in a year between different funds

The plan allows 6 free switches in a year. The min switch amount is Rs 5000.

2 switches allowed free in a year for a minimum of Rs 5,000.

Min Premium Rs 10,000 p.a. Rs 20,000 p.a. Rs  24,000 p.a.

Premium  Payment Frequency

Monthly, quarterly, semi annually or annually.

Monthly, quarterly, semi annually or annually.

Monthly, quarterly, semi annually or annually.

Premium Waiver Benefit

Premium will be waived, in case of death of the parent.

Premium will be waived, in case of death of the parent.

Premium will be waived, in case of death of the parent.

 

a) Traditional Retirement Plans:Some of the traditional pension plans available in the market are:

Features LIC Jeevan Surksha – I

ICICI Pru Forever Life

Bajaj Allianz Swarna Vishranti

Product Type Deferred Annuity Deferred Annuity Deferred Annuity

Min And Max Age Of Entry

18-70 years 20 – 60 years 18 – 65 years

Min And Max Vesting Age  ( Retirement age)

50-79 years 50 – 70 years 45 – 70 years

Premium  Payment Frequency 

Quarterly, half yearly, yearly, monthly and under salary deduction scheme.

Yearly, half yearly, quarterly, monthly.

Quarterly, half yearly, yearly and monthly.

Policy Term 2-35 years 5 – 30 years 5 – 40 years

Premium Rs 2500 p.a. Rs 6000 p.a. Rs. 5000 p.a.

Min   And Max Sum Assured

Min-Rs 50,000Max- No limit

Rs 50,000Max – No limit

Rs. 50,000Max- No limit

Provides Life Cover Yes Yes Yes

Tax Relief Tax relief under Section 80CCC on premium paid.

Tax relief under Section 80CCC on premium paid.

Tax relief under Section 80CCC on premium paid.

b) Unit Linked Retirement Plans:Some of the unit linked retirement plans available in the market are:

Features LIC Pension Plus ICICI Pru LifeLink Pension SP

Birla Sun Life Insurance ( Flexi SecureLife Retirement Plan II)

Min/Max Age Of Entry

18 – 75 years 35 – 70 years 18 – 65 years

Min /Max Vesting Age

40 – 85 years 45 – 80 years 50 – 70 years

Min Premium Rs. 15,000 p.a.   Rs. 5,000 p.a.

Sum Assured Nil Nil Optional. 10 times of the regular premium

Switches  2 free switches in  a year

NA 2 free switches in  a year

Provides Life CoverNo No Optional

COMPETITORS

1. Bajaj Allianz Life Insurance Company Limited 2. Birla Sun Life Insurance Co. Ltd 3. HDFC Standard Life Insurance Co. Ltd 4. ICICI Prudential Life Insurance Co. Ltd. 5. ING Vysya Life Insurance Company Ltd. 6. Life Insurance Corporation of India 7. Max New York Life Insurance Co. Ltd 8. Kotak Mahindra Old Mutual Life Insurance Limited 9. SBI Life Insurance Co. Ltd 10. Tata AIG Life Insurance Company Limited 11. Reliance Life Insurance Company Limited. 12. Aviva Life Insurance Co. India Pvt. Ltd. 13. Sahara India Life Insurance Co, Ltd. 14. Shriram Life Insurance Co, Ltd. 15. Bharti AXA Life Insurance Company Ltd. 16. Future Generali Life Insurance Company Ltd. 17. IDBI Fortis Life Insurance Company Ltd. 18. Canara HSBC Oriental Bank of Commerce Life Insurance Co. Ltd 19. AEGON Religare Life Insurance Company Limited. 20. DLF Pramerica Life Insurance Co. Ltd. 21. Star Union Dai-ichi Life Insurance Comp. Ltd.

OPERATIONS

You can mention just 2 lines of what each of the sub functions do. You have explained only 2 of the sub functions.

Operation department has many sub-divisions which performs different integral roles and responsibilities-

Operation - It mainly deals with the Benefit Administration, Background Verification and Appointments.

1. Benefit Administration- These department deals with the deciding of benefits which should be provided to its employees according to their post, designation, performance and being the part of the company. It handles the rate of benefits which has to be given to its workers.

2. Background Verify- before the joining of any new employee, a hard copy of the information provided by the employee is being maintained in met life insurance pvt. Ltd. While joining the company the new joiner needs to submit the documents about their education qualification and if they have worked before then their employee-code as well. The operation team has the responsibility to verify the authenticity of the worker and its given information.

Payroll- this department deals with the salary of the employees, full and final settlement and provident fund given to the employees.

1.Salary- what should be the salary structure for the employees is being decided by the operation department. The scale between which the salary should be of the employee is decided and generated by operations department.

2. full and final- full and final settlement of the employee’s salary is done by the operations department.

3. Provident Fund- provident fund is also handled by the operation department.

Corporate HR Stat compliance Automation Compensation and benefits Management Information System Learning and Devalopement Performance Management Programmes.

ROLES AND RESPONSIBILITIES

Being a part of the P-CMM(People Capability Maturity Model) got to know that the P-CMM plays a very integral part in the organization. P-CMM is a tool that helps you successfully address the critical people issues in the organization. I have been a part of the P-CMM team where I was a part in the organization who supports organization in-

Charecterize the maturity of their workforce practices

Establish a programme of continuous workforce development

Set priority for improvement actions

Reviewing the different HR policies

Redrafting the policy.

Discussion with the process owners about the policies

Creating templates for E-Cod generation, retirements etc.

CONCLUSION

Our exhaustive research in the field of Life Insurance threw up some interesting trends which can be seen. A general impression that we gathered was the immense awareness and knowledge among people about various companies and their insurance products. People are beginning to look beyond LIC for their insurance needs and are willing to trust private players with their hard earned money.

People in general have been impression by the marketing and advertising campaigns of insurance companies. A high penetration of print, radio and Television ad campaigns over the years is beginning to have its impact now.

Another heartening trend was in terms of people viewing insurance as a tax saving and investment instrument as much as a protective one. A very high number of respondents have opted for insurance for such purposes and it shows how insurance companies have been successful to attract public money in recent times.

The general satisfaction levels among public with regards to policy and agents still requires improvement. But therein lies the opportunity for a relative new comer like MetLife.

FINDINGS Insurance companies are booming itself at a very high rate.

Met life Insurance pvt.ltd. being a new company in India has placed a very firm position in the field of insurance company.

The P-CMM is a very fresh but very integral part of any organization these days.

It describes an organizations capability for developing its workforce at each maturity level.

It is used for assessing workforce practices and as a guide in planning and implementing improvement activities.

It is a living document shaped by the needs of organization’s rapidly evolving workplaces.

FINANCE

CAPITAL STRUCTURE

Assets allocation of Unit Linked Funds as on 31 March 2011 Preserver Fund

F&U Guidelines Min - Max % of funds to be invested in

Current Exposure

Government & Govt. Guaranteed Securities

80%-100% 83%

Money Market Investments 0%-40% 17% Preserver II Fund F&U Guidelines Min - Max % of

funds to be invested in Current Exposure

Government & Govt. Guaranteed Securities

60%-100% 68%

Money Market Investments 0%-40% 32% Protector Fund F&U Guidelines Min - Max % of

funds to be invested in Current Exposure

Government & Govt. Guaranteed Securities

25%-90% 33%

Infrastructure / Social Sector Securities

0%-60% 9%

Long Term Bonds 10%-60% 25%

Short Term Bonds 0%-45% 0%

Money Market Investments 0%-40% 33% Protector II Fund F&U Guidelines Min - Max % of Current Exposure

funds to be invested in Government and other debt securities

60%-100% 64%

Money Market Investments 0%-40% 36% Moderator Fund F&U Guidelines Min - Max % of

funds to be invested in Current Exposure

Government & Govt. Guaranteed Securities

10%-60% 12%

Infrastructure / Social Sector Securities

0%-60% 12%

Listed Equities 10%-30% 21%

Long Term Bonds 0%-60% 34%

Short Term Bonds 0%-35% 1%

Money Market Investments 0%-40% 20% Balancer Fund F&U Guidelines Min - Max % of

funds to be invested in Current Exposure

Government & Govt. Guaranteed Securities

10%-60% 11%

Infrastructure / Social Sector Securities

0%-60% 5%

Listed Equities 35%-65% 48%

Long Term Bonds 0%-60% 24%

Short Term Bonds 0%-35% 3%

Money Market Investments 0%-40% 9%

SWOT ANALYSIS

1. STRENGHTS:

Brand name:

The Metropolitan Life Insurance Company (MetLife ) is the number one insurer in

the U.S. based on over US$2 trillion of life insurance in force. MetLife serves

approximately 9 million individual households in the U.S. as well as 87 of the

Fortune 100 companies. MetLife's institutional clients have approximately 33

million employees and members. Headquartered in New York, MetLife through

its affiliates, subsidiaries and representative offices operates in 15 countries

throughout the Americas, Europe and Asia. The MetLife brand, known for

empowering people to feel protected, guided and hopeful about their lives, will it

is hoped do the same for its Indian customers. 

Experience in this particular field of insurance (136 yrs old):

MetLife India inherits its parent company's over-130-year-old reputation of

helping build financial independence for its customers. MetLife India has

developed and distributes a range of life insurance products in India.

International Backup:

MetLife India benefits from its parent company's global presence in the field of

insurance, track record of establishing successful insurance operations in

emerging markets and the unique strengths of its other Indian promoters. Drawing

from these experiences, MetLife India hopes to be able to address the needs of the

Indian customer. MetLife India aspires to build on MetLife's history of meeting

policy holder and contract obligations and the ability to withstand the impact of

adverse economic factors.

2. WEAKNESSES:

Weaker tie-ups

The major problem with the progress of Metlife in India is its weak partners. In

India partners of Met-life are J & K Bank, M Palonji & co. pvt ltd, Dhanlaxmi

bank,all three of them are certainly cannot be considered as India wide banks.

Also in comparison to other strong competitors such as ICICI Prudential, Tata

AIG etc who are in partnership with strong names in India such as ICICI &

TATA, MetLife’s partners are too weak

Late entry

As compared to other Insurance companies who are at present have more market

share than Met-life, it had entered into the market after these companies, Also,

Met-Life was the last one to enter into the market of MLPI’s (market link

products),which are the major selling products of any insurance company.

3. OPPORTUNITY:

Large untapped Indian market

With such a large population and the untapped market area of this population

Insurance happens to be a very big opportunity in India. Nearly 80% of Indian

populations are without Life insurance cover and the Health insurance. This is an

indicator that growth potential for the insurance sector is immense in India.

Can go for product diversification

Innovative products and aggressive distribution have become the say of the day.

Indians, have always seen life insurance as a tax saving device, are now suddenly

turning to the private sector that are providing them new products and variety for their

choice. The There has been a plethora of new and innovative products offered by the

new players. Customers have tremendous choice from a large variety of products.

More customers are buying products and services based on their true needs and not

just traditional money back policies, which is not considered very appropriate for

long-term protection and savings. There is lots of saving and investment plans in the

market. However, there are still some key new products yet to be introduced - e.g.

health products.

4. THREAT:

Increased competition in the insurance sector

The insurance sector remains a very competitive market and those companies that are

able to best utilize their data and provide their customer with the most personalized

options will have the distinct competitive advantage. The insurers that come up to the

top will be those who leverage the appropriate technology solutions effectively in

order to foster customer loyalty, attract new customers and improve operational

efficiency by providing common information across their lines of business.

Increase in the number of new players in this sector

The introduction of private players in the industry has added to the colors in the dull

industry. The initiatives taken by the private players are very competitive and have

given immense competition to the on time monopoly of the market LIC.Since the

advent of the private players in the market the industry has seen new and innovative

steps taken by the players in this sector. The new players have improved the service

quality of the insurance. As a result LIC down the years have seen the declining phase

in its career. The market share was distributed among the private players

DISCUSSION ON TRAINING

1. ROLES AND RESPONSIBILITIES