Mahendra_Raut__nashik_
-
Upload
vikrant4us -
Category
Documents
-
view
217 -
download
0
Transcript of Mahendra_Raut__nashik_
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 1/23
INTERIM
REPORT
ON
“Sale 20 policies or generated
500000 /-Businesses”
Of
Presented By:-
Guided By:-
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 2/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
Jagdish V.Patil
Miss.Rupali Prabhugavkar
ICFAI NATIONAL COLLEGE Page 2
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 3/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
INDEX
ICFAI NATIONAL COLLEGE Page 3
Sr. No. Name of Chapter Page No.
1 Executive Summary 4
2 Introduction to Project 5
3 Industry Profile 6
4 Company Profile 10
5 Product Profile 13
6 Objectives of Study 15
7 Scope of the Study & Limitations. 16
9 Customer analysis 18
10 Findings 19
11 Recommendations & Suggestions 20
12 Conclusions 21
14 References 22
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 4/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
ACKNOWLEDGEMENTS
While more individuals and organizations are co-operative and extend
their support for an academic purpose, in case of this report, it has beenmore so.
I would like to acknowledge my special thanks to Hon’ble Principal
Prof.Mokashi, for providing me an opportunity for doing the Summer
Internship Project (SIP) training. I am sincerely thankful to Mr. Nitin Parkhi,
Branch Manager & Mr. Bharat Shinde, Unit Manager Reliance Life Insurance
Co. Pvt. Ltd. for giving me their invaluable time and for providing me the
relevant information about the company. They have also provided the properguidance regarding the project, so I am really thankful to them.
Finally I would like to extend my thanks to ICFAI National College and
Reliance Life Insurance Co. Pvt. Ltd. for providing me such a great
opportunity.
ICFAI NATIONAL COLLEGE Page 4
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 5/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
EXECUTIVE SUMMARY
The topic in this project report dealt with is “Sale 20 policies orgenerated 500000 /-business of Reliance Life Insurance Co.Ltd.”
Objective of the Research: -1. To study company’s (Reliance Life Insurance) marketing strategies.
2. To know about the ground level operations of the company.
3. To find out how the advisors are trained and motivated to perform the
selling of insurance products.
4. To get information about the company’s products.5. To find out the market share wise position of company.
6. To find out the strategies of Reliance Life Insurance Co. ltd. to face the
intense competition in the field.
Research Methodology:-1. Research Approach : Interview
2. Data Sources : Primary & Secondary.
3. Research Instrument : Questionnaire$
4. Type of Universe : Staff and Customers
ICFAI NATIONAL COLLEGE Page 5
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 6/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
INTRODUCTION TO PROJECT
In the times when insurance industry is one of the fastest growing industries
in India, this project report contains the policies of recruitment of sales
persons and the strategies to face the intense competition in the field, of
Reliance Life Insurance Co. Ltd. This report tells that how a life insurance
company approaches to customer. It tells that what are the skills required for
sales person and now they are trained and motivated to improve their skills.
This report also contains the information about the products, which are
marketed by the company.
In this project it is discussed that now lower level sales persons (Advisors,
Agents etc) play most important role in the marketing of life insurance
products and how they perform their activities. The competition in the
insurance sector and what are the strategies that Reliance Life Insurance Co.
Ltd. has acquired to face and fight the competition is described in the report.
Overall scenario of competition in the life insurance market is presented in
the report.
ICFAI NATIONAL COLLEGE Page 6
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 7/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
INDUSTRY PROFILE
Insurance may be defined as a social device to reduce or eliminate the risk of
life and properties. Risks which can be insured against include fire, peril of
sea, death incident and burglary. Insurance is a contract whereby in return
for the payment of premium by the insured. The insurance pay, financial
losses suffered by the insurer as result of the Occurrence of the unforeseen
events.
INSURANCE IN INDIA
The insurance sector in India has come a full circle from being an open
competitive market to nationalization and back to a liberalized market again.
Tracing the developments in Indian insurance sector reveals the 3600 degree
turn witnessed over a period of almost two centuries.
BRIEF HISTORY OF INSURANCE SECTOR
The business of life insurance in India in existing form started in India in the
year 1818 with the establishment of the “Oriental Life Insurance Company”
in Calcutta.
Milestones in the Life Insurance Business in India are:
1912:The Indian Life Insurance companies act enacted as the first statue to
regulate the life insurance business.
ICFAI NATIONAL COLLEGE Page 7
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 8/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
1928:The Indian insurance companies act enacted to enable the Govt. to
collect statically information about both life and non life
insurance business.
1956:245 Indian and Foreign insurers and provident societies taken over by
the central government and nationalized. LIC formed by an act of
parliament, viz. LIC Act, 1956, with a capital contribution of Rs. 5
Cores from the Government of India.
Insurance Sector Reforms:-
In 1993, Malhotra Committee, headed by Former Finance Secretary and RBI
Governor R. N. Malhotra, was formed to evaluate the Indian insurance
industry and recommend its future direction.
The Malhotra Committee was set up with the objective of complementing the
reforms initiated in the financial sector.
The reforms were aimed at “creating a more efficient and competitive
financial system suitable for the requirements of the economy keeping in
mind the structural changes currently underway and recognizing that
insurance is an important part of the overall financial system where it was
necessary the need for similar reforms…”
Some of the key points of the recommendations of the Committee in 1994
are as below:-
• Govt. stake in the insurance companies to be brought
down to 50%.
ICFAI NATIONAL COLLEGE Page 8
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 9/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
• All the insurance companies should be given greater
freedom to operate.
• Private companies with a minimum paid up capital of Rs.
1 Bn should be allowed to enter the industry.
• No company should deal in both life and non-life
insurance through a single entity.
• Foreign companies may be allowed to enter the industry
in collaboration with the domestic Co’s.
• An insurance regulatory body should be set up.
• Mandatory investments of Lice Life Fund in Govt.
securities to be reduced from 75% to 50%.
• Insurance companies must be encouraged to set up unit
linked-pension plans.
• Computerization of operations and updating of
technology to be carried out in the insurance industry.
ICFAI NATIONAL COLLEGE Page 9
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 10/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
IRDA
The Insurance Regulator and Development Authority (IRDA) were
established in December, 1999 by the parliament. As name suggests IRDA isthe statutory body, which regulates all the insurance companies operating in
India.
All the agents (advisors) of insurance companies get license after exams
held by IRDA and then they can work as insurance agents.
Entry of Private Players:-
The introduction of private players in the industry has added to the colours in
the dull industry. The initiatives taken by the private players are very
competitive and have given immense competition to the one time monopoly
of the market LIC. Since the advent of the private players in the market the
industry has seen new innovative steps taken by the players in the sector.
The new players have improved the service quality of the insurance.
The following companies are present in the life insurance industry in India:-
• LIC• ICICI Prudential Life Insurance Co. Ltd.
• Bajaj Allianz Life Insurance Co. Ltd.
• Birla Sun Life Insurance Co. Ltd.
• HDFC Standard Life Insurance Co. Ltd.
• ING Vysya Life Insurance Co. Ltd.
• Max New York Life Insurance Co. Ltd.
• Met Life India Insurance Co. Ltd.
• Kotak Mahindra Old Mutual Life Insurance Limited.
• SBI Life Insurance Co. ltd.
• Tata AIG Life Insurance Co. Ltd.
• Reliance Life Insurance Co. Ltd.
• Aviva Life Insurance Co. India Pvt. Ltd.
ICFAI NATIONAL COLLEGE Page 10
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 11/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
• Sahara India Life Insurance Co. Ltd.
• Shriram Life Insurance Co. Ltd.
• Bharati AXA Life Insurance Co. Ltd.
COMPANY PROFILE
Reliance Life Insurance offers you products that fulfill your savings andprotection needs. Our aim is to emerge as a transnational Life Insurer of global scale and standard.
Reliance Life Insurance is an associate company of Reliance Capital Ltd., apart of Reliance - Anil Dhirubhai Ambani Group. Reliance Capital is one of India’s leading private sector financial services companies, and ranks amongthe top 3 private sector financial services and banking companies, in termsof net worth. Reliance Capital has interests in asset management and mutualfunds, stock broking, life and general insurance, proprietary investments,private equity and other activities in financial services.
Reliance - Anil Dhirubhai Ambani Group also has presence inCommunications, Energy, Natural Resources, Media, Entertainment,Healthcare and Infrastructure.
Distribution:-
• RLIC has been one of the fast gainers in market share in new
business premium amongst the private players with an incrementalmarket share of 4.1% in the Financial Year 2007-08 – from 3.9% inApril 07 to 8% in Feb 08. ( Source: IRDA)
• Also continues to be amongst the fast growing Private LifeInsurance Companies with a YOY growth of 195% in new businesspremium as of Mar’08.
• A Company that has crossed 1.7 Million policies in just 2 years of operation, post takeover of AMP Sanmar business.
• Initiated Express Life – and Unique ’Over the Counter’ sales
process for Unit Linked Insurance Policies in the Industry.
• Accomplished a large distribution ramp-up in the Industry in a shortspan of time by opening 600 branches in 10 months taking theoverall branch network above 740.
• RLIC continues to be one of the two Life Insurance companies in Indiato be certified ISO 9001:2000 for all the processes.
ICFAI NATIONAL COLLEGE Page 11
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 12/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
• Awarded the Jamnalal Bajaj Uchit Vyavahar Puraskar 2007-Ceritificate of Merit in the Financial Services category by Council forFair Business Practices (CFBP).
Vision & Mission
Vision
Empowering everyone live their dreams.
Mission
Create unmatched value for everyone through dependable, effective,transparent and profitable life insurance and pension plans.
Our Goal
Reliance Life Insurance would strive hard to achieve the 3 goals mentionedbelow:
• Emerge as transnational Life Insurer of global scale and standard
• Create best value for Customers, Shareholders and all Stake holders
• Achieve impeccable reputation and credentials through best businesspractices
ICFAI NATIONAL COLLEGE Page 12
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 13/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
Leadership Team
ICFAI NATIONAL COLLEGE Page 13
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 14/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
PRODUCT PROFILE
Reliance Life Insurance Co. Ltd. has a wide range of products, which can satisfy the
needs of all type and class of customers. All the products are classified into 5 basic
types; each type targets the different segments of customers. Following table
presents the project basket of the Reliance Life Insurance Co. Ltd.
Type Traditional(Unit Linked Plans)
ULIP
Protection Lifeguard -
Protection, Savings
& Investment
- Save & Protect
- Cash Back
- Life Time Plus
- Life Time Super
- Premier Life Gold
- Life Link SuperChild Plan Smart Kid Smart Kid New
Pension Plans Forever Life Life Time Super-
Pension
Wealth & Health
Plan
-complete cover to
support all health
expenses
-Liquidity through
partial withdrawals
- Flexibility to takecare of your family’s
health
-Unmatched
flexibility of free
switches & liquidity
through partial
withdrawals
- Unique Savings
Component
These are the products, which are solutions to meet the varying needs of
diverse customer segments. There is another classification of products viz.
ICFAI NATIONAL COLLEGE Page 14
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 15/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
Traditional & ULIP. In traditional plans there are no returns or lower returns.
Unlike traditional plans in ULIP (Unit Linked Plans) not only insurance but
higher returns too is there. As name suggests in ULIP, the money of
customer is invested into share market (Mutual Funds) and returns are given
customer.
1. Protection types of plans are for those people who only want to insure
their lives they do not want any returns on their policy.
2. The combination of protection, savings and investment plans are for
those people who want the benefit of savings and investment with theinsurance.
3. Child plans are for the parents who want to require future of their
children. Parents can plan, expenses of future education of their children.
4. Pension plans are for those people who want to secure their lives after
the retirement. After retirement a person need money but he can’t work in
that case pension plans are best in which a person invest money when he is
in work and earning and after retirement he gets pension.
5. Wealth & Health Plans are best for those people who are Wealth &
Health conscious. Wealth & Health plans can help the person when they get
critically deceased. These plans can compensate. Financially to the person
who have health problems which make him unable to work and earn.
ICFAI NATIONAL COLLEGE Page 15
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 16/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
OBJECTIVE OF THE STUDY
As the name suggests this project report is being prepared to find out
the recruitment process of the company and how company faces the
competition in the sector but there are other many objectives which are
related with the topic.
Following are the main objectives of the study:-
1. To study the company’s marketing strategies.
2. To know the ground revel operations of the company.
3. To study the products of the company.
4. To find out how the advisors are trained and motivated to perform
the selling of insurance products.
5. To find out the competition scenario in the life insurance sector.
6. To find out the market share wise position of life insurancecompanies.
7. To find out the strategies of Reliance life Insurance to face the
intense competition in the field.
ICFAI NATIONAL COLLEGE Page 16
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 17/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
SCOPE OF THE STUDY AND LIMITATIONS
Scopes:-
1. This project report gives information about the sales policies of the
company which marketing strategy use by selling the policy.
2. This project report reveals those motivational tools, whichencourage advisers to work with more proficiency.
3. This project report also tells about license given by the IRDA. Inshort the relationship between a life insurance company and IRDA isrevealed in this project report.
4. This project report, also tells about process of marketing of financialservices.
5. This project report gives the information about Reliance LifeInsurance Company’s position in market and the level of competitionthat is being faced by the company.
ICFAI NATIONAL COLLEGE Page 17
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 18/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
Limitations:-
1. Out of whole research & analysis, only few segments could behighlighted, leaving the aside the other segments.
2. Unwillingness of certain professional to part with vital informationsuch as client base.
3. The data had to be collected to the convenience & thus the timerestrictions were major hurdle.
4. Project is limited to the Pune City only.
ICFAI NATIONAL COLLEGE Page 18
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 19/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
Customer Analysis
NAME PLAN SUM ASSUERD TERM (YER) PREMIUM
RAKESH PATIL AIP 100000 10 1
AMIT PATIL AIP 100000 10 1
KALPESH PATIL AIP 100000 15 2
DEEPAK MAHAJAN AIP 100000 12 1
BALVANT SHARMA AIP 150000 11 2
SHEKHAR PATIL AIP 100000 15 2
SONALI PATIL AIP 100000 12 1
Weekly Record
WEEK NO. TARGET ACHIVEMENT BUSINESS
1ST Week Sales two policies Sold two policies 200000
2nd Week Sales two policies Sold two policies 200000
3rd Week Sales two policies Sold two policies 200000
4 TH Week Data collection Data collected _
5th Week Attend the trainingprogram
Attend thetraining program
_
6th Week Data collection Data collected _
7th Week Sale one policy Sold two policies 300000
ICFAI NATIONAL COLLEGE Page 19
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 20/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
FINDINGS
2) The fund collected from the customers are allocated to number of high
performing sectors like, software & I.T., Finance, FMCG, Telecom & Media
etc. to get the maximum returns, which in turn can be distributed among the
customers.
3) Govt. sector life insurance company (LIC) has market share of 64%,
where private sector companies combinable have market share of 36%.
4) In private sector life insurance companies, Reliance Life Insurance is
the No. 1 with the market share of 36% where as Bajaj Allianz has the 20%
market share.
5) Financial advisors can be categorized according to their social status,
such as:
i) Professionals (CA’s, Tax Consultant, Brokers, etc.)
ii) Salaried or Self-employed
iii) Housewives
iv) Retired Persons
v) Students
Professionals are the biggest contributors in sales with 40% followed
by salaried with 30%, housewives, retired persons and students
contribute 20%, 51 and 5% respectively.
ICFAI NATIONAL COLLEGE Page 20
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 21/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
RECOMMENDATIONS & SUGGESTIONS
1) Company should expand its distribution in rural areas of the country
keeping competition in the mind.
2) More financial advisors should be added to expand the business.
3) Most of the trainee advisors are part timers. So they don’t get time to
attend training program organized by the company. So there should be
flexibility in training program for example night training classes, distance
training program, online training, etc. By which more and more people will
comfortably get the training, which in turns will be beneficial for the
company.
4) New investment plans for lower income class should be launched. So
that they’ll also be able to invest and get profits of returns and insurance.
5) More TV advertisement should be delivered on the channels, which
have more reach among rural areas, on the prime time of the channels like
Doordarshan and Metro etc.
6) It is suggested to publish claim settlement cases to increase the
reliability in the minds of public.
7) To provide tangibility to insurance policies there should be some free
gifts for customers on each purchase of the policy.
8) It is suggested to perform social activities like opening schools, old age
homes, orphan Aries etc. to spread social responsibilities of the company,
which in turn, will increase the reliability of company in minds of public.
9) To increase awareness about life insurance in the country, it issuggested to perform awareness companies in all over India.
ICFAI NATIONAL COLLEGE Page 21
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 22/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
CONCLUSION
1) Lower Level distribution channel i.e. financial advisor is the mostimportant part of the marketing structure of the insurance company.
2) Any insurance company’s performance depends on the performance of
the financial advisors.
3) India is one of the biggest and highest potential market for life
insurance. There are big opportunities for the company to grab this market.
4) Lack of awareness about the benefits of life insurance can be clearly
seen.
5) Reliance Life Insurance Co. Ltd. is performing very well in private life
insurance sector and is on the No. 1 position in private players.
ICFAI NATIONAL COLLEGE Page 22
8/6/2019 Mahendra_Raut__nashik_
http://slidepdf.com/reader/full/mahendrarautnashik 23/23
Sale 20 Policy & Generated 500000 /- Business Of Reliance Life InsuranceCo.Ltd
REFERENCES
Websites
1) www.google.com
2) www.irdaindia.com
3) www.reliancelife.com
2) “Marketing Management” by Philip Kotler.
3) Intranet of the Company.
4) Study material of the company.
Product Hand Book for effective sales version 2.0,
ICFAI NATIONAL COLLEGE Page 23