Max New York Pinky

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SUMMER TRAINING PROJECT REPORT

MAX NEW YORK LIFE

Submitted in partial fulfillment of the requirement of Bachelor of

Business Administration (BBA)

AGENT DEVELOPMENT PROGRAM DONE AT

VARIOUS LEVELS

TRAINING SUPERVISOR

NAME : MR. RAJIV

DHALL

SUBMITTED BY:

NAME: PINKY YADAV

BATCH : 2008-2011

ENROLLMENT NO. :

1411241708

SESSION-2008-2011

GURU GOBIND SINGH UNIVERSITY

http://home.aspx/



NEW DELHI

ACKNOWLEDGEMENT

I am deeply indebted to Mr. RAJIV DHALL for his constant support andinspiration in completion of the internship program.

I would also like to thank my teachers for their encouragement and help in

making of this project report.

I am also grateful to other employees of MNYL for their help and support.

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ABSTRACT

This Report is an attempt to provide a detailed analysis of the process

of training program done by Max New York Life Insurance and the benefits of

the training.

However, survey done for this project suggests that maximum

number of employees, in the turbulent, fast changing world, effective

training has never been more important. Products are now increasingly

knowledge intensive; for this, employers are responsible for providing

opportunities for continued learning. This project gives a detailed analysis of

the training done by agents at various levels, its benefits and also their

personal growth which they will be having after the training. This project

gives a brief analysis about the benefits of the training and the improvement

of the agents because of the same.

In an Insurance Industry, training programs is the key to success. Its

effectiveness decides the fate of the Industry.

Finally, creating awareness of organization structure and its products

to the employee is very important to have individual as well as organization

growth. So it can be possible only when the employees go through the

training program.

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TABLE OF CONTENTS

CHAPTER 1 INTRODUCTION

• History / introduction

• Company profile

• Problem of organization

• Competitor information

• SWOT analysis

614242527

CHAPTER 2 OBJECTIVE AND METHODOLOGY

• Significance/Managerial usefulness

•

Objectives

• Research methodology

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3132

CHAPTER 3 LITERATURE REVIEW 37CHAPTER 4 DATA ANALYSIS 43CHAPTER 5 FINDINGS AND RECOMMENDATION 65CHAPTER 6 ANNEXURE 70CHAPTER 7 BIBLIOGRAPHY 76

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INTRODUCTIO

N

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Introduction

Indian Insurance industry is emerging rapidly after year 2000. To survive in

this highly competitive scenario, managers are being pressured to improve

quality, recruit quality, give the best training and skilled people and

eliminate inefficiency. The collective efforts of the employer, managers and

other relative people assume relevance in this context. And this is where

marketing management and human resources play important role.

Training is very important in today’s scenario. But still it is ignored and

considered as a secondary aspect. In case of insurance industry recruitment

and training only decide success or failure of company.

I have made an attempt to study this aspect of Insurance industry in my

project. In this project, I have tried to learn, what is the impression of training

in MNYL? I have tried to find out how exactly training is very important for

this firm as well as this industry, which are the different strategies firm use to

train quality people and so on. It is more qualitative rather than a

quantitative data.

To get knowledge of above questions and to fulfill the requirements for my

project on “A Study on agent development program done by max new

York life at various levels’. I have worked in MNYL and searched some

internet sites.

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Brief History of Insurance Sector in India

The insurance sector in India has came a full circle from being an open

competitive market to nationalization and back to a liberalized market again.

Tracing the developments in the Indian insurance sector reveals the 360-

degree turn witnessed over a period of almost 190 years.

The business of life insurance in India in its existing form started in India in

the year 1818 with the establishment of the Oriental Life Insurance Company

in Calcutta.

Some of the important milestones in the life insurance business in India are:

1912 - The Indian Life Assurance Companies Act enacted as the first statute

to regulate the life insurance business.

1928 - The Indian Insurance Companies Act enacted to enable the

government to collect statistical information about both life and non-life

insurance businesses.

1938 - Earlier legislation consolidated and amended to by the Insurance Act

with the objective of protecting the interests of the insuring public.

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 crore from the

Government of India.

The General insurance business in India, on the other hand, can trace its

roots to the Triton Insurance Company Ltd., the first general insurance

company established in the year 1850 in Calcutta by the British.

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Some of the important milestones in the general insurance business in India

are:

1907 - The Indian Mercantile Insurance Ltd. set up, the first company to

transact all classes of general insurance business.

1957 - General Insurance Council, a wing of the Insurance Association of

India, frames a code of conduct for ensuring fair conduct and sound business

practices.

1968 - The Insurance Act amended to regulate investments and set

minimum solvency margins and the Tariff Advisory Committee set up.

1972 - The General Insurance Business (Nationalization) Act, 1972

nationalized the general insurance business in India with effect from 1st

January 1973.

107 insurers amalgamated and grouped into four company’s viz. the

National Insurance Company Ltd., the New India Assurance Company Ltd.,

the Oriental Insurance Company Ltd. and the United India Insurance

Company Ltd. GIC incorporated as a company.

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Indian Insurance Industry:

Learn about Insurance may be described as a social device to reduce or

eliminate risk of life and property. Under the plan of insurance, a large

number of people associate themselves by sharing risk, attached to

individual.

The risk, which can be insured against include fire, the peril of sea, death,

incident, & burglary. Any risk contingent upon these may be insured against

at a premium commensurate with the risk involved.

Insurance is actually a contract between 2 parties whereby one party called

insurer undertakes in exchange for a fixed sum called premium to pay the

other party happening of a certain event.

Insurance is a contract whereby, in return for the payment of premium by

the insured, the insurers pay the financial losses suffered by the insured as a

result of the occurrence of unforeseen events.

With the help of Insurance, large number of people exposed to a similar risk

makes contributions to a common fund out of which the losses suffered by

the unfortunate few, due to accidental events, are made good.

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Functions of Insurance

The functions of Insurance can be bifurcated into two parts:

• Primary Functions

• Secondary Functions

• Other Functions

The primary functions of insurance include the following:

Provide Protection - The primary function of insurance is to provide

protection against future risk, accidents and uncertainty. Insurance cannot

check the happening of the risk, but can certainly provide for the losses of

risk. Insurance is actually a protection against economic loss, by sharing the

risk with others.

Collective bearing of risk - Insurance is a device to share the financial loss of

few among many others. Insurance is a mean by which few losses are shared

among larger number of people. All the insured contribute the premiums

towards a fund and out of which the persons exposed to a particular risk is

paid.

Assessment of risk - Insurance determines the probable volume of risk by

evaluating various factors that give rise to risk. Risk is the basis for

determining the premium rate also

Provide Certainty - Insurance is a device, which helps to change from

uncertainty to certainty. Insurance is device whereby the uncertain risks may

be made more certain.

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The secondary functions of insurance include the following:

Prevention of Losses - Insurance cautions individuals and businessmen to

adopt suitable device to prevent unfortunate consequences of risk byobserving safety instructions; installation of automatic sparkler or alarm

systems, etc. Prevention of losses cause lesser payment to the assured by

the insurer and this will encourage for more savings by way of premium.

Reduced rate of premiums stimulate for more business and better protection

to the insured.

Small capital to cover larger risks - Insurance relieves the businessmen from

security investments, by paying small amount of premium against larger

risks and uncertainty.

Contributes towards the development of larger industries - Insurance

provides development opportunity to those larger industries having more

risks in their setting up. Even the financial institutions may be prepared to

give credit to sick industrial units which have insured their assets including

plant and machinery.

The other functions of insurance include the following:

Means of savings and investment - Insurance serves as savings and

investment, insurance is a compulsory way of savings and it restricts the

unnecessary expenses by the insured's For the purpose of availing income-

tax exemptions also, people invest in insurance.

Source of earning foreign exchange - Insurance is an international business.

The country can earn foreign exchange by way of issue of marine insurance

policies and various other ways.

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Risk Free trade - Insurance promotes exports insurance, which makes the

foreign trade risk free with the help of different types of policies under

marine insurance cover.

The end of the year 2000 marks a significant change and growth of 'India

Insurance' industry scenario. Monopoly of Public Sector Insurance company

marks an end and Private companies makes inroad. Foreign companies, both

Life and General flocked, collaborated and helped astronomical growth of

'Insurance Industry in India'.

'India Insurance' growth was long overdue. Within 1st 12 months of liberation

of 'Indian Insurance Industry' 10 licenses for selling life insurance products

and 6 licenses for selling non-life products were issued to private companies.

The Public sector giant LIC started losing its market share at the cost of

stupendous growth of private players. Now 'India Insurance' industry has

more than a dozen private life insurance players and 9 private general

insurance companies. Aggressive and penetrative marketing strategy

coupled with wide product bandwidth was an instant success among the

ignorant masses. Most of the private companies registered more than 100%

growth till then and are still continuing with such monstrous growth figures.

Although, 'Insurance in India' is not regarded as a basic need but it is getting

popular among semi urban to rural masses. Top rank private companies like

ICICI Prudential Life Insurance, Tata AIG, Bajaj Allianz etc are aggressively

researching and innovating products for huge untapped rural 'India

Insurance' market. Collaboration with micro finance companies, post offices,

rural banks and village management authorities for selling insurance is doing

wonders.

Life insurance products cover risk for the insurer against eventualities like

death or disability. A non-life insurance product covers risks against natural

calamities, burglary, etc. They are not as popular as life products in the '

Insurance India's' portfolio. Until very recently it had only corporate buyers,

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but with natural disasters like, earth quakes, tsunamis, storms and floods

becoming more frequent and damaging there has been a sudden spurt in

sales of general insurance amongst individuals. Consumerism of life style

goods and modern amenities has also contributed to its growth. With more

awareness and wide bandwidth of insurance product portfolio the growth for

'India Insurance' story will only get more competitive and more affordable to

all sections of Indian society.

Present Scenario

The Government of India liberalized the insurance sector in March 2000 with

the passage of the Insurance Regulatory and Development Authority (IRDA)Bill, lifting all entry restrictions for private players and allowing foreign

players to enter the market with some limits on direct foreign ownership.

Under the current guidelines, there is a 26 percent equity cap for foreign

partners in an insurance company. There is a proposal to increase this limit

to 49 percent.

The opening up of the sector is likely to lead to greater spread and

deepening of insurance in India and this may also include restructuring and

revitalizing of the public sector companies. In the private sector 12 life

insurance and 8 general insurance companies have been registered. A host

of private Insurance companies operating in both life and non-life segments

have started selling their insurance policies since 2001.

Insurance companies:

IRDA has so far granted registration to 12 private life insurance companies

and 9 general insurance companies. If the existing public sector insurance

companies are included, there are currently 13 insurance companies in the

life side and 13 companies operating in general insurance business. General

13



Insurance Corporation has been approved as the "Indian reinsurer" for

underwriting only reinsurance business.

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Company profile of MAX NEWYORK LIFE :

Max New York Life Insurance

“Max New York Life wants people to view insurance as a financial protection

and wealth creation instrument and not just a tax-saving tool.”

Max New York Life Insurance Company Ltd. is a joint venture between New

York Life, a Fortune 100 company and Max India Limited, one of India's

leading multi-business corporations. The company has positioned itself on

the quality platform. In line with its vision to be the most admired life

insurance company in India, it has developed a strong corporate governance

model based on the core values of excellence, honesty, knowledge, caring,

integrity and teamwork. The strategy is to establish itself as a trusted life

insurance specialist through a quality approach to business.

New York Life is a Fortune 100 company that has over 160 years of

experience in the life insurance business. Max India Limited is a multi-

business corporate dealing in Clinical Research, IT and Telecom Services, and

Specialty Plastic Products businesses.

Max New York Life Insurance started its operations in India in 2000. It is the

first life insurance company in India to be awarded the IS0 9001:2000

certification. Max New York offers customized products tailored to suit

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http://home.aspx/



individual's needs. With its various Products and Riders, there are more than

400 product combinations to choose from. Today, Max New York Life

Insurance has a network of 57 offices spread over 37 cities all over India.

In line with its values of financial responsibility, Max New York Life has

adopted prudent financial practices to ensure safety of policyholder's funds.

The Company's paid up capital is Rs. 657 crore, which is more than the norm

laid down by IRDA.

Max New York Life has identified individual agents as its primary channel of

distribution. The Company places a lot of emphasis on its selection process,

which comprises four stages - screening, psychometric test, career seminar

and final interview. The agent advisors are trained in-house to ensure

optimal control on quality of recruitment.

Max New York Life invests significantly in its recruitment program and each

agent is trained for 152 hours as opposed to the mandatory 100 hours

stipulated by the IRDA before beginning to sell in the marketplace.

Recruitment is a continuous process for agents at Max New York Life and

ensures development of skills and knowledge through a structured programspread over 500 hours in two years. This focus on continuous quality

recruitment has resulted in the company having amongst the highest agent

pass rate in IRDA examinations and the agents have the highest productivity

among private life insurers.

It has established a wide agency distribution network with 172 offices and

representatives across 120 cities in India. The company has established

additional channel with 22 bancassurance relationships, corporate tie-ups

and a strong Direct Sales Team. Through its wide network of highly

competent life insurance agent advisors, flexible product solutions and

strong customer focus, Max New York life is creating a partnership for life

with its customers in India.

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Max New York Life, one of India’s leading life insurance companies, expanded

its presence in the southern region by opening its first general office in the

city of Mysore. Max New York Life now has established a countrywide

network of 172 offices and representatives across 120 cities in India.

Max New York Life, which has till date sold over 1.53 million policies and

recorded a sum assured of over Rs. 46,000 crore, has positioned itself on the

quality platform. The company has developed a strong corporate governance

model based on defined core values of caring, knowledge, excellence and

honesty. Its strategy is to establish itself as a trusted life insurance specialist

on the bedrock of quality of advice. The company has over 25,300 agent

advisors, who are widely considered the best in the business.

Max New York Life aspires to be the "life insurance brand of first choice"

amongst Indian consumers. To achieve this the company will draw on New

York Life's demonstrated competence in developing and managing a superior

personal sales network. For the last 46 years consecutively, the largest

number of agents qualifying for membership to the Million Dollar Round

Table (MDRT) have been from New York Life. The MDRT is the industry's most

prestigious organization comprising the world's most successful insurance

agents. Max New York Life, a merit oriented and equal opportunities

employer, is looking for a few good men and women who will spearhead the

effort to realize this vision.

“Max New York Life wants people to view insurance as a financial protection

and wealth creation instrument and not just a tax-saving tool. Since the

launch of our operations, our focus has always been on providing risk

protection and long-term wealth creation solutions to our customers. With a

diverse product portfolio to meet customer requirements, it is evident that

we are setting benchmarks in the marketplace and are well on course of

realizing our vision to become India’s most admired Life Insurance

Company.”

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“An ever expanding presence of Max New York Life offices across India

reinforces our commitment to serving the nation. We are extremely pleased

with our progress in the region and feel that opening an office in Mysore

would help us educate people about the true potential and benefits of life

insurance. As life insurance specialists, Max New York Life will continue to

help consumers make the right choices to meet their financial goals, both for

the short and long-term, through sound quality advice offered by our agent

advisors and a right mix of product offerings.” he added.

Max New York Life has been instrumental in changing the paradigm of life

insurance in India. It is the first life insurance company in India to introduce

cause related marketing.

Children are at the very heart of Max New York Life's strategy. SOS Children's

Villages of India is internationally recognized for its work in giving

underprivileged children a wholesome life. The mission of SOS is "to help

orphaned and abandoned children, by providing them with a family, a

permanent home, education and strong foundation for an independent life."

It's mission ties in with Max New York Life's philosophy of helping people

secure the future of their near and dear ones.

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Vision:

Vision statement "Most Admired Life Insurance Company in India".

Mission:

• Become one of the top quartile life insurance companies in India

• Be a national player

• Be the brand of first choice

• Be the employer of choice

• Become principal of choice for agents

Max New York Life Values and Beliefs

Excellence

"In every aspect of work, ranging from the in-house training institute to the

detailed Personal Insurance Plan, Max New York Life is focused on achieving

the highest standards of quality in every aspect of their business".

Honesty

"Is the heart of the Life Insurance business. Max New York believes that

above all, Life Insurance is based on trust. Transparency, Dependability and

Integrity will form the cornerstones of the Max New York Life experience."

Knowledge

"Is what makes experts. Max New York Life is focused on the Life Insurance

business. Perfectly combining global expertise with local knowledge, Max

New York Life is the Indian Life Insurance specialist."

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Caring

"For the customer,Max New York Life is redefining the Life Insurance

paradigm to focus on the needs of the customers. The Max New York serviceprocess is responsive, personalized, humane and empathetic."

Culture:

Our "in house culture recipe" has some of the finest ingredients going into its

making. Some of the more prominent aspects of our culture are stated

below:

• Customer comes first

• Do it right the first time

• Bias for result oriented action

• Financial strength and discipline

• Clarity of purpose

• International quality standards

•

Inclusive Meritocracy• Learning opportunities

• Fun at work

• Commitment to published value system

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Products of Max New York Life

Max New York Life Insurance offers an inangible product that is an insurance

cover. Max New York Life offers a suite of flexible products. It now has 43 life

insurance products and 8 riders that can be customized to over 800

combinations enabling customers to choose the policy that best fits their

need. The products that are offered by Max New York Life are broadly divided

into:

Various types of life insurance policies:-

Endowment policies: This type of policy covers risk for a specified

period, and at the end of the maturity sum assured is paid back to

policyholder with the bonuses during the term of the policy.

Money back policies: This type of policy is for periodic payments of

partial survival benefits during the term of the policy as long as the

policy holder is alive.

Group insurance: This type of insurance offers life insurance

protection under group policies to various groups such as employers-employees, professionals, co-operatives etc it also provides insurance

coverage for people in certain approved occupations at the lowest

possible premium cost.

Term life insurance policies: This type of insurance covers risk only

during the selected term period. If the policy holder survives the term,

risk cover comes to an end. These types of policies are for those

people who are unable to pay larger premium required for endowment

and whole life policies. No surrender, loan or paid up values are in such

policies.

Whole life insurance policies: This type of policy runs as long as

the policyholder is alive and is covered for the entire life of the

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policyholder. In this policy the insured amount and the bonus is

payable only to nominee on the death of policy holder.

Joint life insurance policies: These policies are similar to

endowment policies in maturity benefits and risk cover, but joint life

policies cover two lives simultaneously such as married couples. Sum

assured is payable on the first death and again on the death of survival

during the term of the policy.

Pension plan: a pension plan or annuity is an investment over a

certain number of years but does not provide any life insurance cover.

It offers a guaranteed income either for a life or certain period.

Unit linked insurance plan: ULIP is a kind of insurance plan which

provides life cover as well as return on premium paid over a certain

period of time. The investment is denoted as units and represented by

the value called as net asset value (NAV).

The products offered by Max New York are :

Life Partner Plus Plan 20 year Endowment (Par) Plan

Life Gain Plus 20

Participating Plan

Life Gain Endowment Plan

Life Gain Plus 25 Participating

Plan

Endowment to Age 60 (Par)

Plan

Children Plan Whole Life Participating Plan

SMART Invest Pension Plan Five Yr Renewable and

Convertible Plan (Non - Par)

Level Term Plan LifeLine MediCash Plus Plan

LifeLine Wellness Plan LifeLine MediCash Plan

LifeLine-Safety Net Plan Life Pay Money Back

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Life Maker Gold Plan Smart Assure

Smart Assure Life Invest Plan

Life Maker Premium

Investment Plan

SMART EXPRESS

The latest product that MNLY has come up with is known as the SMART

EXPRESS where the minimum premium is 50,000 but the benefit of this

policy if taken on a yearly mode is since it being a ULIP product and the

markets trend not looking too great the value of the fund freezes when the

stock price increases hence it to an extent offers a fixed return it can say

that one who invest in this plan is assured of a positive return. This product

was introduced since it had to discontinue its very famous product Life Invest

again this was due to the guidelines of IRDA when it says if the plan crosses

a certain limit of sum assured offered it has to close the product.

ACHEIVEMENTS

Max New York Life is the first life insurance company in India to be awarded

the IS0 9001:2000 certifications.

Max New York Life was among the top 25 companies to work with in India,

according to 2003 Business World magazine, "Great Workplaces in India",

Max New York Life was ranked at the 20th position. This survey is the local

version of the "Great Places to Work" survey carried out every year in 22

countries.

Been among top five most respected private life insurance companies inIndia according to a 2004 and 2006 Business World survey.

Have truly built an enviable sales force. With 345 agents becoming members

of the MDRT in 2006, Max New York Life has moved up to 21st rank in MDRT

global list.

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Benefits

A career at Max New York Life has innumerable advantages. With low start

up investment you can become a part of a world-class organization and

make a positive difference to people’s lives.

Our agents sell more policies and make more money than agents of any

other life insurance company. The financial rewards are in the form of

• Commissions on new sales

• Ongoing renewal commissions

• Performance linked bonus

• Referral commissions

• Training reimbursement

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Problems of the organization

New York Life Insurance has been in the Big Apple since it was just a tiny

seed. The company (the top mutual life insurer in the US) is adding products

but retaining its core business: life insurance and annuities. New York Life

has added such products and services as mutual funds for individuals. It also

offers its investment management services to institutional investors. Other

lines of business include long-term care insurance and special group policies

sold through AARP and other affinity groups or professional associations. The

company, through New York Life International, is also reaching out

geographically, targeting areas such as Mexico and India where the lifeinsurance markets are not yet mature.

Life insurance was an infant industry when New York Life's predecessor,

Nautilus Insurance Company, began operations in the 1840s. Marine and fire

insurance were important, but people hesitated to assign a cash value to

human life, and often associated life insurance with gambling.

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Competition information

Insurance companies:

IRDA has so far granted registration to 12 private life insurance companies

and 9 general insurance companies. If the existing public sector insurance

companies are included, there are currently 13 insurance companies in the

life side and 13 companies operating in general insurance business. General

Insurance Corporation has been approved as the "Indian reinsurer" for

underwriting only reinsurance business. Particulars of the life insurance

companies and general insurance companies including their web address are

given below:

Public Sector

Life Insurance Corporation of India www.licindia.com

Private Sector

Allianz Bajaj Life Insurance Company Limited www.allianzbajaj.co.in

Birla Sun-Life Insurance Company Limited www.birlasunlife.com

HDFC Standard Life Insurance Co. Limited www.hdfcinsurance.com

ICICI Prudential Life Insurance Co. Limited www.iciciprulife.com

ING Vysya Life Insurance Company Limited www.ingvysayalife.com

Max New York Life Insurance Co. Limited www.maxnewyorklife.com

MetLife Insurance Company Limitedwww.metlife.com

Om Kotak Mahindra Life Insurance Co. Ltd. www.omkotakmahnidra.com

SBI Life Insurance Company Limited www.sbilife.co.in

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http://www.licindia.com/

http://www.allianzbajaj.co.in/

http://www.birlasunlife.com/

http://www.hdfcinsurance.com/

http://www.iciciprulife.com/

http://www.ingvysayalife.com/

http://www.maxnewyorklife.com/

http://www.metlife.com/

http://www.omkotakmahnidra.com/

http://www.sbilife.co.in/

http://www.licindia.com/

http://www.allianzbajaj.co.in/

http://www.birlasunlife.com/

http://www.hdfcinsurance.com/

http://www.iciciprulife.com/

http://www.ingvysayalife.com/


http://www.metlife.com/

http://www.omkotakmahnidra.com/

http://www.sbilife.co.in/



TATA AIG Life Insurance Company Limited www.tata-aig.com

AMP Sanmar Assurance Company Limited www.ampsanmar.com

Dabur CGU Life Insurance Co. Pvt. Limited www.avivaindia.com

GENERAL INSURERS

Public Sector

National Insurance Company Limited www.nationalinsuranceindia.com

New India Assurance Company Limited www.niacl.com

Oriental Insurance Company Limited www.orientalinsurance.nic.in

United India Insurance Company Limitedwww.uiic.co.in

Private Sector

Bajaj Allianz General Insurance Co. Limited www.bajajallianz.co.in

ICICI Lombard General Insurance Co. Ltd. www.icicilombard.com

IFFCO-Tokio General Insurance Co. Ltd.

www.itgi.co.in

Reliance General Insurance Co. Limited

www.ril.com

Royal Sundaram Alliance Insurance Co. Ltd. www.royalsun.com

TATA AIG General Insurance Co. Limited www.tata-aig.com

Cholamandalam General Insurance Co. Ltd. www.cholainsurance.com

Export Credit Guarantee Corporation

www.ecgcindia.com

HDFC Chubb General Insurance Co. Ltd.

REINSURER

General Insurance Corporation of India www.gicindia.com

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http://www.tata-aig.com/

http://www.ampsanmar.com/

http://www.avivaindia.com/

http://www.nationalinsuranceindia.com/

http://www.niacl.com/

http://www.orientalinsurance.nic.in/

http://www.uiic.co.in/

http://www.bajajallianz.co.in/

http://www.icicilombard.com/

http://www.itgi.co.in/

http://www.ril.com/

http://www.royalsun.com/


http://www.cholainsurance.com/

http://www.ecgcindia.com/

http://www.gicindia.com/


http://www.ampsanmar.com/

http://www.avivaindia.com/

http://www.nationalinsuranceindia.com/

http://www.niacl.com/

http://www.orientalinsurance.nic.in/

http://www.uiic.co.in/

http://www.bajajallianz.co.in/

http://www.icicilombard.com/

http://www.itgi.co.in/

http://www.ril.com/

http://www.royalsun.com/


http://www.cholainsurance.com/

http://www.ecgcindia.com/

http://www.gicindia.com/



SWOT ANALYSIS

A scan of the internal and external environment is an important part of the

strategic planning process. Environmental factors internal to the firm usually

can be classified as strengths (S) or weaknesses (W), and those external to

the firm can be classified as opportunities (O) or threats (T). Such an analysis

of the strategic environment is referred to as a SWOT analysis.

Strengths

The intense competition brought about by deregulation has

encouraged the industry to innovate in all areas; from underwriting,

marketing, policy holder servicing to record-keeping.

Aggressive marketing strategies by private sector insurers will buoy

consumer awareness of risk and expand the markets for products.

Competition in a deregulated environment will allow market forces to

set premiums that are appropriate for exposures and push insurers to

differentiate their products and services.

Weaknesses

Premiums rates will remain under pressure due to intense competition

on the more profitable lines.

Falling premium income without a corresponding reduction in claims is

likely to drive down profits.

Reinsurance is likely to cost more as treaty reinsurers reduce ceding

commissions to compensate for the lower rates following deregulation.

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Opportunities

Innovations in distribution and improvements in market penetration

will follow as public and private insurers compete to market theirproducts.

Allowing insurers to issue their own policy wordings and set their own

rates will enable underwriters to tailor products to meet client needs.

The existence of stringent licensing requirements ensures that only

adequately capitalized and professionally managed companies are

eligible to carry out insurance and reinsurance.

Threats

Public and private sector insurers‟ greater reliance on their investment

portfolios to generate sufficient income and gains for net profits would

subject them to the volatility of the financial markets.

Private insurers need to raise more capital; otherwise growth could be

constrained since reliance on reinsurance for capital relief is not

always viable or available.

Traditional distribution channels, especially tied agents, need to be

improved to match the new product offerings.

Like all developing economies on a fast track, the shortage of trained

insurance professionals and technicians at all levels cannot be

remedied in the short term.

29



OBJECTIVE AND

METHODOLOGY

30



MANAGERIAL USEFULL NESS/SIGNIFICANCE

The study is very useful as it helps to develop quality agent advisors for

MNYL who provide various solutions to customer’s problems which helps themanagement in gaining and retaining customers for themselves. The

objective of my project is to know about various developmental programmes

which take place in MNYL for the betterment of agent advisors.

31



OBJECTIVES

The main objective of doing this project is to study Financial Consultants’

attitude regarding the training program and the benefits of the training

program.

The main objective of this study is to know the agents’ opinion

regarding the training program and to identify training needs for the

agents.

To find out the benefits of the training program to the agent and to the

organization.

To find out the contribution of the training towards individual growth of

agents.

To suggest ways to improve the quality of training for the agents.

32



Research Methodology:

The Research Methodology adopted for the present study has been

systematic and was done in accordance to the objectives set which has been

detailed as below.

Research Definition

Research is a process in which the researcher wishers to find out the

end result for a given problem and thus the solution helps in future course of

action.

According to Redman & Mory research is defined as a “Systemized

effort to gain new knowledge”.

So, This project here finds out the training procedure and it’s

effectiveness and the benefits of the training process for the employees who

undergo training here.

Research Design:

According to “Claire Seltiz”, a research design is the arrangement

of condition and analysis of data in manner that aims to combine relevance

to the research purpose with economy in procedure.

Nature of Research:

Research is basically of two types.

1. Descriptive research

2. Explorative research

33



1. Descriptive Research: These studies are concerned with describing the

characteristic of a particular individual or a group.

Determining sources of Data:

There are two main sources of data

1. Primary data

2. Secondary data

Primary Data: It consists of original information collected for specific

research.

Primary data for this research study was collected through a direct survey to

obtain this primary data a well structured questionnaire was prepared by the

researcher.

Secondary Data: It consists of information that already exists somewhere

and has been collected for some specific purpose in the study.

The secondary data for this study is collected from various Management

books and Internet.

Questionnaire: A set of questions containing a few Technical questions and

more number of opinionated questions are prepared for the employees of

both Centralized and Decentralized sections of HR Department.

Sample Size: Total sample size is 30

Questionnaire Development:

Questionnaire is the most common instrument in collecting

primary data, In order to gather primary data from viewers,

34



The present questionnaire consists of following type of questions.

• Open ended questions

• Closed ended questions

• Dichotomous questions

• Multiple choice questions

• Ranking question.

Open ended questions: It has no fixed alternatives to which the answer

must conform. Thus, respondent answer in his/her own words at any length

they choose.

Closed ended questions: Closed ended questions have no other options

other than the selecting the one that close matches the respondent’s opinion

or attitude.

Dichotomous questions: A dichotomous questions refers to one, which

offers the respondents a choice between only two alternatives.

Multiple Questions: A multiple choice question refers to one, which

provides several sets of alternatives for the respondents’ choice.

Ranking questions: These questions are given when there are many points

to be considered and to be ranked in priority.

35



LIMITATIONS

The survey was conducted with in the company.

And in survey I have to interact with the employees. But the

employees will be busy their works.

Getting the good response from the employee will be difficult because

of their busy schedule.

Time to interact with employees inside the branch is not sufficient.

Time Period of my OJT is one of the limitations.

Small sample size may not be sufficient to generalize regarding all the

employees.

36



LiteratureReview

37



Definition of Development:

The systematic development of the knowledge, skills and attitudes

required by an individual to perform adequately a given task or job.

Development refers to efforts that help enhance employee skills for carrying

out the present job. According to Edwin B Flippo, Development is the act of

increasing knowledge and skills of an employee for doing a particular job.

Needs for Development:

• To improve the current job performance of employees

• To familiarize employees with the policies and procedures of the

organization.

• To enhance the creativity, adaptability and versatility of the employees

and to facilitate learning at the work place

• To prepare employees for future job.

• To change the skills, knowledge and attitudes of the employees on a

permanent basis.

• To help employees manage their careers.

• To maintain knowledgeable work force.

• To gain competitive advantage through a knowledgeable work force.

•

To promote organizational growth through individual growth.

Areas of Development:

• Company policies and procedures

• Human relations Development

38



• Skill based Development

• Problem solving Development

39



Onsite Workshops for Leadership Team

Employees need more than bosses... They need mentors: Professionals

skilled at assessing employee development needs and committed to guidingemployees toward professional success.

Team Leadership Workshop provides managers with proven techniques

for effective personnel management. By helping leaders understand and

address their employees' requirements, this interactive seminar offers

significant benefit to managers at all levels. New supervisors gain a solid

grounding in the concept of ''leadership,'' while more experienced managers

refresh their commitment to teaching and coaching their team members.

This Development program provides healthy perspectives for

managers at all levels, making it an ideal morale-boosting leadership

development experience for mixed groups of front-line supervisors and

senior staff members.

40



Development programs for Success

Leadership Development for Success

All managers need methods. Leaders need to know the most effective

techniques for guiding teams, mentoring individuals, and validating the

results. Without solid methods, managers will revert use a one-size-fits-all

approach to leadership that reflects the leader's personality, rather than the

employees' needs.

Committed, mentoring leadership is essential to employee morale,

productivity, and retention.

A Results-Oriented Development Program

Team Leadership Workshop provides proven methods and procedures

for successful people management. Participants receive a step-by-step plan

for guiding each employee toward success.

This workshop includes elements of Frank Whyte's nationally respected Team Building Workshops expanding upon that foundation to help leaders:

• Recognize each employee's personality preferences and supervisory

needs,

• Align their leadership style with those of their bosses, colleagues, and

subordinates,

• Develop competent and committed employees by mentoring and

guiding their employees toward success,

• Schedule their management responsibilities to ensure that nothing is

left to chance, and

• Use practiced real-world scenarios to resolve challenges and remove

barriers.

41



Development programs done by MNYL

Development is must for every individual when he enters into the

organization. Even though the candidate has experience he also should get

Development. Why because the organization culture, values and beliefs are

different from one organization to other. That’s why the Development

program plays a key role in every organization.

Development program following by Max New York Life Insurance is different

at various levels.

Mainly in Development program the company concentrates on sales

managers, agents, operations executives and telecallers.

Development program for sales managers:

• The Development program duration is 15 – 20 days

• They get Development on product knowledge.

• Motivating and encouraging Advisors

Development program for Advisors:

• The Development program duration is 15 – 20 days

• They get Development on product knowledge

• How to convince the people.

• Objection Handling

42



Development program for operations executives:

• They will get Development on customer database files

• Taking care of the customer files

• Well trained in product information and documentation

• Renewals will be informed periodically.

Required skills for employees in Max New York Life Insurance:

• Interpersonal skills

• Excellent communication skills

• Understanding nature

• Aggressiveness

• Convincing skills

• Ability to motivate others

• Interest to learn

43



ANALYSIS

44



Analysis of office staff who are having sufficient Knowledge on life

Insurance .

New Advisors 6

Advisors 18 Telecallers 4

Marketing Executives 2

Diagram of the table:

0

5

10

15

20

new advisors advisors telecallers marketing executives

Analysis of the table:

The above chart shows that advisors only have more knowledge thantelecallers, marketing executives and new advisors. Advisors will

complete the deals. But after that everything will be taken care by

operations executives and telecallers. Without sufficient knowledge these

both people can’t work well. When the telecaller is calling to customer for

renewal premium that person should have a knowledge how the premium

should calculate, and they should know any extra charges for late

payment, and how much grace period will be… these things should be

known even by telecallers and operations executives too.

Q.1. How do you feel about the Development Programme?

45



Very good 15Good 8Fine 4Bad 2 Time waste process 1

0

24

6

8

10

12

14

16

very good good fine bad time waste

process

Here 50% of the employees feel good about the program and

another 50% says that it is not upto that extent which was

expected. That means Development process should still more be

improved.

46



Q.2. How far is the Development effective?

Very helpful 7Helpful 8Fine 2Can b done from other sources 3 Time waste process 0

0

1

2

3

4

5

6

7

8

very helpful helpful fine othersources time waste

This shows that the Development process is very effective and it

is very much needed. Development of agents in Insurance

Industry almost decides its success and failure. Therefore,

Development to Advisors is very important.

47



48



Q.3. Did you understand about all the products during the process?

All the products 10Some products 10Few products 5No clear idea 5Nothing 0

0

2

4

6

8

10

all the products some products few products no clear idea nothing

As we have already known that the Development process is

effective, here hence forth it is clear that the products they deal

is quite well communicated to the agents. But still if more focus

is given to the agents who are poor in understanding then it

would a complete deal.

49



Q.4. After the Development, do you think you improved your

interpersonal skills?

Yes 25No 5

0

5

10

15

20

25

yes no

As we know, Development is good for Agents, it is also necessary to

improve their interpersonal skills for their individual growth and till to

very good extent it is successful.

So, because of this Development they even improve their skills for their

individual growth which is important for their career.

50



Q.5. During the process, is there any Development program, which

can improve your communication skills?

Yes 10No 20

0

5

10

15

20

yes no

To communicate the products well to our customer, we should have

very good communication skills, but here there are no good sessions to

practice and improve their communication skills. Now I recommend

having more sessions to improve this quality of theirs’.

51



Q.6. Are you satisfied with the Development process in terms of

teaching, and environment?

Very much satisfied 8Satisfied 10Needs improvement 10Not at all 2Cant say 0

0

2

4

68

10

very much satisfied satisfied needs

improvement

not at all cant say

Teaching environment is good but it still needs more improvement

because more agents are not completely satisfied with theenvironment and they complained about its punctuality.

52



Q.7. Is the approach of your trainer with you is good and friendly?

Good 15Fine 8

Bad 5Rude 3

0

5

10

15

good fine bad rude

53



Q.8. Do you think, you have made any improvement in your

performance after the Development?

Lot of improvement 8Don’t know 10No improvement 10Instead deteriorated 2

0

5

10

15

20

lot of improvement don’t know no mprovement deteriotated

This is a mixture of comments. These people here were not able assist

themselves. But anyway the majority gave positive results.

54



Q.9. Who needs much knowledge regarding the company and its

products?

Agents 5 Tele callers 4Operational executives 1Recruitment consultants 0All the above 20

0

5

10

15

20

agents telecallers operational

executives

recr consultants all

This table shows that all the people related to Insurance companies

should be having sufficient knowledge about the company and its

products. When a customer approaches he may not have idea about

his designation, so everyone should be aware of the same.

55



Q.10. For which areas, the agent needs Development?

Company policies and

procedures

1

Skill based Development 0Problem solving skills/objections

handling.

2

Communications skills. 2All 20

0

5

10

15

20

company policies sills based problm solving communitn skills all

The survey tells us that, an agent should take Development for all the

areas. It is not sufficient to have proper knowledge only about the

products when you don’t know how to present them. He should be

talented enough to answer or solve all the odd questions a customer

asks. So, agent should get Development for all the areas mentioned.

56



Q.11. Are all the benefits, incentives and promotions in MNYL are

communicated properly to you? Are you satisfied?

Yes 25No 5

0

5

10

15

20

25

yes no

57



Q.12. To which level did the Development motivate you to give your

best performance?

Very strong 17Fine 9Didn’t get motivated 2 Time wasted 0

0

5

10

15

20

very strong fine ddnt get motivated time wasted

As we know that the Development process has been very effective, the

trainer has a very good motivating skill which motivates other people very

well. This survey tells that after the Development they got goose bumps and

they felt very strongly motivated and they will be doing their work very

efficiently.

58



Q.13. Group activities are conducted to find out creative

ideas and suggestive from the participants?

Strongly agree 20Agree 5Neutral 0Disagree 3Strongly disagree 2

0

5

10

15

20

strongly agree agree neutral disagree strongly disagree

As there is a saying, “Unity is stronger”. It tells that, when a group

activity is done it unconsciously creates very good ideas and suggestions

which can be very beneficial for the other team members as well as for the

organization.

59



Q.14. Is the environment of MNYL friendly?

Yes 25No 5

0

5

10

15

20

25

yes no

60



Q.15. The Development is very stressful?

Interesting 15Fine 10Boring 4Cant Comment 1

0

5

10

15

interesting fine boring no comments

The agents feel very interesting about the Development program

which shows good vibes to us. But a very few people find it a bit boring

which is negligible.

61



Q.16. Do you want to make any changes in the Development?

Yes 20No 10

0

5

10

15

20

yes no

Maximum people are satisfied with the Development and they

don’t want any changes. But still there are a few people who want

some changes in the program.

62



Q.17. If yes what?

33% of the people wanted changes in the Development program.

The changes which they wanted are listed below:-

• Change in timings.

• Instead of coming every day, they wanted a few holidays in

between.

• Some people wanted to have online Development programs.

• Some wanted brief description instead of detailed which is taking

10 days.

Q.18. Do you think the participants were involved properly during

the Development process?

Yes, all the participants or agents were involved very well in theDevelopment programs. Everyone was excited to know the products to

play tasks, and they were attentive also.

63



Q.19. Were you are exposed to

Brainstorming sessions 2Group Discussion 8Lecture Sessions 20Business Game 0All the above 0

0

5

10

15

20

brainstorming group discussion lecture business game all the above

The survey tells that agents were mostly exposed to Lecture Sessions,

which means the trainer was giving more information about the

projects instead of asking or making ice-breaking sessions. But anyway

30% of the people also say that they were exposed to Group

Discussions as well.

64



Q.20. During the Development, how well you were

communicated the objectives of the Development programme?

The survey tells that the objectives were communicated very well

for which they were tempted and joined MNYL. And now they were

happy to be a member of MNYL family.

65



RESULTS AND

DISCUSSIONS

66



Findings

Development program is good but it should still more be improved.

During Development program, poor agents who are weak in their

communication skills and English are not able to understand.

Because of Development, employees became more loyal to the

organization, as they came to know the vision and mission of the

Industry.

Development made the employees and agents more useful to the firm.

Development improved their interpersonal skills which is very helpful

for their career growth and individual growth.

But there are no sessions which can improve their communication

skills.

Development classes are not commencing on time.

The trainer is good and friendly.

All the members in the Industry should have knowledge about the

products.

Development can contribute to higher production and fewer mistakes,greater job satisfaction and lower employee turnover. Also, it can

enable employees to cope up with organizational, social and

technological change.

67



Recommendations

Create awareness: The Company has to take care of awareness

creation about the products and services among the Advisors/Agents

There should be more sessions which can improve their communication

skills.

The classes should commence on time.

The company has to give periodic Development.

Extra Development should be given to poor students. Product promotion strategies should be improved.

Company should consider the present competition and should act

according to the customer needs.

It Should be like long term Development like Fundamental Carrier class

, Basic Carrier class which helps the advisors in different stages.

68



Key Learning’s

Before this internship project my knowledge about the insurance

industry was quite bleak. This internship in MNYL has immensely

helped me in categorizing the different financial products.

Another of my crucial learning has been in the area of communication

with the outside world. Finding a possible prospect and then giving

them information about the opportunities available was a really tough

challenge.

Majority of the population in Bhubaneswar and Berhampur have a

negative perception about the insurance industry. Giving themappropriate information about the opportunity to earn in this field was

a challenging task.

Along with the information on the job, the staff of MNYL also gave

many inputs that would definitely help in the management field.

69



CONCLUSION

It has been a great experience working with Max New York Life. I have

gained a lot of knowledge and improved immensely on my skills. I got the

opportunity to meet and communicate with many people and undertake

responsibility. I feel that MNYL is a great organization with plenty scope for

growth. One of the main reasons in the success of this project was the

constant appreciation and motivation from the concerned guides of company

as well as college. The internship was both informative and also interactive.

In this Knowledge-based economy, Development helps people to learn

how to do the things differently or to the different things. Products are nowincreasingly knowledge-intensive; for this employers are responsible for

providing opportunities for continued learning. To cope with the challenges

and competitiveness in the world, every organization needs the services of

trained persons for performing the activities in the systemic way. So,

Development program plays a key role in individual as well as organizational

performance.

70



ANNEXURE

71



QUESTIONNAIRE FOR FINANCIAL CONSULTANTS

Name:

Age:

Designation:

Work Experience:

Income Level

Q.1. How do you feel about the Development Programme?

A. Very Good

B. Good

C. Fine

D. Bad

E. Time waste process

Q.2. How far is the Development effective?

A. Very helpful

B. Helpful

C. Fine

D. Can be done from other sources

E. Time waste process

Q.3. Did you understand about all the products during the process?

A. All the products

B. Some products

72



C. Few products

D. No clear idea

E. Nothing

Q.4. After the Development, do you think you improved your

interpersonal skills?

A. Yes

B. No

Q.5. Do you think or feel, the Development program is helpful for your

individual growth in your career?

A. Yes

B. No

Q.6. During the process, is there any Development program, which

can improve your communication skills?

A. Yes

B. No

Q.7. If Yes, What is the programme?

73



Q.8. Are you satisfied with the Development process in terms of

teaching, and environment?

A. Very much satisfied

B. Satisfied

C. Needs improvement

D. Not at all

E. Cant say

Q.9. Do you feel the Development program is very lengthy and

boring?

A. Yes

B. No

Q.10. How many days do you think this Development process should

take place.

A. 4-5 days

B. 5-6

C. 6-7

D. 7-8

E. 8-9

Q.11. Is the approach of your trainer with you is good and friendly?

A. Good.

74



B. Fine.

C. Bad.

D. Rude.

Q.12. Does your boss or trainer give you a patient ear and clear all

the doubts?

A. Yes.

B. No.

Q.13. Do you think, you have made any improvement in your

performance after the Development?

A. Lot of improvement.

B. Don’t know.

C. No improvement.

D. Instead deteriorated.

Q.14. Who needs much knowledge regarding the company and its

products?

75



A. Agents.

B. Tele callers.

C. Operational executives.

D. Recruitment consultants.

E. All.

Q.15. For which areas, the agent needs Development?

A. Company policies and procedures.

B. Skill based Development.

C. Problem solving skills/objections handling.

D. Communications skills.

E. All the above.

Q.16. Is the environment of MNYL friendly?

A. Yes.

B. No.

Q.17. Are all the benefits, incentives and promotions in MNYL are

communicated properly to you? Are you satisfied?

76



A. Yes.

B. No.

Q.18. To which level did the Development motivate you to give

your best performance?

A. Very strong.

B. Fine.

C. Didn’t get motivated.

D. Time waste.

Q.19. The Development is very stressful?

A. Interesting.

B. Fine.

C. Boring.

D. Can’t comment.

Q.20. Do you want to make any changes in the Development?

A. Yes.

77



B. No.

Q.21. If yes what?

Q.22. 3 modules you liked the most?

Q.23. Do you think the participants are involved properly during

the Development process?

Q.24. Group activities are conducted to find out creative

ideas and suggestive from the participants?

A. Strongly agree.

B. Agree.

C. Neutral.

D. Disagree.

E. Strongly disagree.

Q.25. Are you are exposed to

78



A. Brainstorming sessions.

B. Group discussion.

C. Lecture sessions.

D. Business game.

E. All the above.

Q.26. During the Development, how you were communicated the

objectives of the Development programme?

79



BIBLIOGRAPHY

• www.maxnewyorklife.com

• www.google.com

• www.encylopedia.com

• IC 33 book of max newyork life


http://www.google.com/

http://www.encylopedia.com/


http://www.google.com/

http://www.encylopedia.com/

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