A PROJECT REPORT ON STRATEGIC ANALYSIS STUDY IN BAJAJ ALLIANZ LIFE INSURANCE COMPANY LIMITED

SUBMITTED IN PARTIAL FULFILLMENT OF REQUIREMENT FOR THE DEGREE OF BACHELOR OF BUSINESS ADMINISTRATION (B.B.A) JAMIA HAMDARD UNIVERSITY, NEW DELHI
UNDER THE SUPERVISION OF Ms. Monica Sharma SUBMITTED BY: Nikhil Chauhan ENROLMENT NO:02320501709 COURSE: BBA 3RD YEAR

SUBMITTED TO: Bihari director JAMIA HAMDARD UNIVERSITY THROUGH VAG INFOTECH STUDY CENTER (1014), SESSION: 2009-2012

ACKNOWLEDGMENT
With profound sense of gratitude and regard, I convey my sincere thanks to my guide and mentor, for their valuable guidance and the confidence they instilled in that helped me in successful completion of the project report. I wish to express my sincere gratitude to my project guide Mr. Rashid Farooqui, Vag InfoTech under whose guidance the study was undertaken. Without him guidance at each stage of the project study, the task could not have been accomplished. This acknowledgment would be incomplete without thanking the college faculty who helped me in all possible ways their wholehearted co-operation. Last but not the least I am ever grateful to my friends for their help and support in completing my project.

MOHAMMAD IKRAM

ABSTRACT
This project aims to study Strategic Analysis Study In Bajaj Allianz Life Insurance Company Limited. The scope of this research is Reliance Life Insurance limited among respondent from various cultures and backgrounds. It intends to show how the consumer reacts to the major uses of the advertising and the new media technology available to the consumers. Insurance sector has always been volatile right from the very beginning. As private players are entering into the Indian market, the competition has become very stiff. Today a lot of companies are there is the market with their products. The common consumer is under dilemma to decide to go for which company. The Reliance Life Insurance is also one among these private players. The project with Bajaj Life Insurance deal with the market survey of Life Insurance Policy. In todays world, one can hardly find a person without a life insurance policy. The project helps to find out that which company policy is most prevalent in the market and what was the reason of purchase. It also helps to find out which is the most prevalent insurance plan in the market. The project is also concerned about finding the awareness level of Bajaj Life Insurance is the market. At last the project suggests some recommendation to the organization which is the outcome of finding and analysis. The insurance sector has a long history in India. Insuring Indian lives with 10 percent of extra premium was a common practice prevalent in those times. The Indian Life Assurance Companies were the first to regulate the life insurance business in 1912. In 1928, the Indian Insurance companies act enabled the government to collect statistical information about both life and non life insurance business. The opportunities for insurance in India. The insurance was in private hands before 1971 and was nationalized in 1972 with all private companies merged into General Insurance Corporation of India as the parent company with four subsidiaries as National Insurance Company Ltd. with Head Office at Calcutta, New India Assurance Company Ltd. with Head Office at Bombay, Oriental Insurance Company Ltd. with Head Office at New Delhi and United India Insurance Company Ltd. with Head Office at Madras.

TABLE OF CONTENTS
S.No. 1. Chapter 1 INTRODUCTION 2. Chapter 2 LITERATURE REVIEW 3. Chapter 3 OBJECTIVE 4. Chapter 4 METHODOLOGY 5. Chapter 5 RESULTS REPORT OF DATA COLLECTION 6. Chapter 6 RECOMMENDATIONS 7. Chapter 7 CONCLUSIONS & IMPLICATIONS 8. 17 Appendices QUESTIONNAIRE BIBLIOGRAPHY Topic

Chapter 1

INTRODUCTION
THE INSURANCE SECTOR- An overview The insurance sector has a long history in India. It began in the early years of the 19th century. The first legal enactment was made in 1870. The first Indian Insurance Act was passed in 1938 and amended in 1950, when it was nationalized. However, the sector was once again thrown open to the private sector in December2009, followed by the establishment of the Insurance Regulatory and Development Authority (IRDA) in April 2010. Though the Insurance Sector is now being opened up for private players as a consequence of the new liberalization policies of the Government, the existing government owned Insurance companies will, nevertheless, continue to be in the government sector. These existing companies will, however, have to strive for better realization of their corporate objectives and goals to meet the demands and expectations of the public. Quality of service and product that an industry offers must move forward with progress in the state of the economy. As the quantum and quality of service change over time, the levels at which customers continue to remain satisfied with the services provided, also keep on increasing. Ultimately, the success of any industry depends upon its positioning in the state of economy and on meeting the expectations of the service users. With competition, the performance level of individual companies is expected to increase. Segmentation is taking place within the economy with a need for socially responsive service sector. Globalization is the new economic reality, which is here to stay, heralding a new era of insurance in India. With the opening of the insurance industry, India stands to gain with the following major advantages: Globalization will provide improved opportunities to the customer for better products, with more reasonable and affordable pricing. The customer will get quicker servicing It will enhance the savings rate Long-term funds for infrastructure development will be available to the Country.

It will secure for India larger inflows of foreign capital needed to sustain our GDP growth.

The opportunities for insurance in India Only 25% of the insurable population has been extended cover. Market penetration is low and potential to exploit is high. Insurance premium per capita is very low ($4) Lack of a comprehensive social security system/state benefit and welfare means that demand for pension products should be high. Huge middle class of approximately 300 million. Existing insurance companies score low on the customer service front. With steadily increasing corporate asset values, need for insurance is on the rise. Competition can help ensure the best products with better services. HISTORY OF INSURANCE The insurance was in private hands before 1971 and was nationalized in 1972 with all private companies merged into General Insurance Corporation of India as the parent company with four subsidiaries as National Insurance Company Ltd. with Head Office at Calcutta, New India Assurance Company Ltd. with Head Office at Bombay, Oriental Insurance Company Ltd. with Head Office at New Delhi and United India Insurance Company Ltd. with Head Office at Madras. In 1993 the need for Private Insurance Companies and Multinational Companies was felt and beginning of liberalization process started. The Insurance Reforms Route April 1993 January 1994 January 1996 September 1996 December 1996 August 1997 November 1997 June 1998 R N Malhotra Committee an Insurance Sector reforms and deregulation set up. Malhotra Committee submits report to finance minister. An interim insurance regulatory Authority set up through a resolution. Insurance Regulatory Authority Bill drafted The IRA Bill introduced in the Parliament and referred to a standing committee The IRA Bill is withdrawn following opposition to foreign participation in the domestic insurance sector. Union government gives greater autonomy to LIC, GIC and its four subsidiaries. Union Budget announces opening up of the insurance

January 2009

sector. Notification

of

IRA

is

statutory

authority

and

amendments LIC and GIC Acts. March 2009 IRA sets the procedure for filing applications. April July 2009 3 month open window for receipt of application. December 2009 In principal approvals to be granted. 2010 Private Insurance products hit the market. After a long wait, however, there was light at the end of the tunnel when the Union Cabinet first gave its nod for 26 per cent direct foreign equity in any insurance JV, and later allowed foreign institutional investors (FIIs) to hold 14 percent stake in such ventures. The Roadmap to Privatization Insurance Regulatory Authority Bill to be placed before Parliament. New act to grant statutory powers to IRA to issue guidelines and regulate industry. GIC and LIC Acts to be amended. Such an amendment is crucial as the Acts disallows any other entity to issue policies. Guidelines for new private insurance companies to be announced by IRA. These would include capital requirement, solvency margins etc. Legislation needed to permit institution of brokers to operate in the country. Guidelines for intermediaries such as surveyors, insurance agents and actuaries to be formulated. Invite business plans and applications from prospective participants, and actuaries to be formulated. Various associations of intermediaries to be given self-regulatory organization status through the creation of SROs. Insurance- what is it? Man has always been in search of security and protection from the beginning of civilization. This urge in him to lead to the concept of insurance. The basis of insurance was the sharing of the losses of a few amongst many. Insurance provides financial stability and strength to the individuals and organization by the distribution of loss of a few among many by many by building up over a period of time. The legal definition of insurance is that, it is a contract between the insurer and insured whereby, in consideration of payment of premium by the insured the insurer agrees to make good any financial loss the insured may suffer due to consideration of an insurance peril.

NATURE OF INSURANCE Insurance means Spreading of Losses or Sharing of Risks: Life is full of risks. For property, there are fire risks; for shipment of goods, there are perils of sea; for human life there are risks of death or disability; so on and so forth. The risks are uncertain-may or may not occur. People facing common risks come together and give their small contribution to the common fund. While it may not be possible to tell before, which persons will suffer, but it is possible to tell how many persons on an average out of the group will suffer loss. If any case risk occurs, loss is made good out of common fund. In this way, all shares common risk. Those who face common risk thus broadly understand insurance as the process of spreading of losses of an individual over the group of individuals or the process of sharing of risk. People who suffer loss get relief because their loss is made good out of common fund. People who do not suffer loss get relief because they are free of any worry of loss. Following 2 examples explain the above concept of insurance. Example-1: In a village, there are 400 houses; each valued at Rs. 20,000. Every year 4 houses get burnt, resulting into a total loss of Rs. 80,000. If all the 400 owners come together and contribute Rs. 200 each, the common fund would be Rs. 80,000. This is enough to pay Rs. 20,000 to each of the 4 owners whose houses got burnt. Thus the risk of 4 owners is spread over 400 house-owners of the village. Example 2: There are 1000 persons who are all aged 50 and standard lives. It is expected that 10 persons out of the group die during the year. If the economic value of the loss suffered by the family of each dying person is taken to be Rs. 20,000, the total loss would work out to Rs. 20,000/-. If each person of the group contributes Rs. 200/- a year, the Common Fund would be Rs. 2,00,000/- this would be enough to pay Rs. 20,000 to the family of each of the ten dying persons. Thus 1000 persons share the risks in cases of 10 persons. Classification of Insurance Business: The insurance is broad ly class ified as A. Life Insurance Business. B. Non-life Insurance /General Insurance Business. LIFE INSURANCE

AN INTRODUCTION: What is life insurance? Life insurance is an agreement between you (the insured) and an insurer. Under the terms of a life insurance contract, the insurer promises to pay a certain sum to someone (a beneficiary) when you die, in exchange for your premium payments. Why would you need life insurance? The most common reason for buying life insurance is to replace the income lost when you die. For example, say that you work, and that your income is used to support yourself and your family. When you die, and your paychecks stop, the life insurance proceeds can be used to continue to support the family members you've left behind. Another common use of life insurance proceeds is to pay off any debts you leave behind. For example, mortgages, car loans, medical bills, and credit card debts are often left unpaid when someone dies. These obligations must be paid from the assets left behind. This can deplete the resources that your family needs. Life insurance can be used to pay off these debts, leaving your other assets intact for your family to use. Life insurance provides liquidity to your estate. When you die, you may leave some liquid assets (such as cash, CDs, and savings bonds), and some illiquid assets (such as real estate, an automobile, and stocks). Your liquid assets may not be enough to pay all the debts that you leave behind, plus all the expenses that arise because of your death (such as funeral expenses and estate taxes). Your illiquid assets may have to be sold in order to meet these obligations when they come due. This may cause a financial loss if the assets must be sold cheaply in order to get the money on time. Life insurance can avert this situation, because the proceeds are available almost immediately upon your death. Life insurance creates an estate for your heirs. After your debts and expenses are paid, there may not be much left over for your family. Life insurance can automatically provide assets for them after your death. Life insurance is a great way to give to charity when you die. You may have always had a great philanthropic desire, but not the means to make it a reality. Life insurance can do that for you. Life insurance can be a critical component for specialized business applications, such as funding a buy-sell agreement. Under a buy-sell agreement, life insurance can be used to provide cash for the purchase of a deceased owner's interest in the business.

Finally, life insurance can be an investment vehicle. Some types of life insurance policies may actually make money for you, as well as provide the benefits described above. This can help you with long-term financial goals. LIFE INSURANCE NEEDS AT VARIOUS LIFE STAGES Your need for life insurance changes as your life changes. When you're young, you typically have no need for life insurance, but this changes as you take on more responsibility, and as your family grows. Then, as your responsibilities once again begin to diminish, your need for life insurance drops off. Let's look at how your life insurance needs change throughout your lifetime. School days Childhood is typically a time of no worries, no cares, and no responsibilities. A child depends on others to take care of them, not the other way around. Although it would be tragic, a child's death would likely have little financial impact on the child's family. Thus, there is generally no need for life insurance at this point in an individual's life. A child's death does create one short-term financial problem: funeral expenses. But buying a life insurance policy just for that purpose doesn't really make sense. Instead, think about saving the money you would spend on insurance premiums and open a savings account, or put the money in some type of investment vehicle. That way, the money can be used for college expenses or a first home, but it will also be available in case of a tragedy. Alternatively, a burial policy provides enough money for funeral expenses, at a much lower cost than a typical life insurance policy. Your growing family When you have young children, your life insurance needs reach a climax. In most any situation, life insurance for both parents is appropriate. Single-income families are completely dependent on the income of the breadwinner. If he or she dies without life insurance, the consequences could be disastrous. The death of the stay-at-home spouse would necessitate costly daycare expenses. Both spouses should carry enough life insurance to cover the expenses that would result from their death. Dual-income families need life insurance, too. If one spouse dies, it is unlikely that the surviving spouse will be able to keep up with the household expenses and pay for childcare with the remaining income. Moving up the ladder

For many people, career advancement means starting a new job with a new company. At some point, you might even decide to be your own boss and start your own business. It might not be your top priority, but it is important to review your life insurance coverage any time you leave an employer. Keep in mind, you probably won't be able to keep any life insurance that was provided by your employer. If you're going to work for a new company, you might receive a comparable life insurance benefit. But if you're going into business for yourself, you'll need to purchase an individual life insurance policy. Make sure the amount of your coverage is up-to-date, as well. The policy you purchased right after you got married might not be adequate anymore, especially if you have kids, a mortgage, and college expenses to consider. Business owners may also have business debt to consider. If you were not incorporated, your family would have to pay those bills if you die. Single again Unfortunately, divorce has become a fact of life in our society. You'll have to make many financial decisions during this stressful time, including the decision of what to do about your life insurance. Divorce raises both beneficiary issues and coverage issues. And if you have children, these issues become even more complex. If you and your spouse have no children, it may be as simple as changing the beneficiary on your policy and adjusting your coverage to reflect your newly single status. However, if you have kids, you'll want to make sure that they are provided for in the event of your death. This may involve purchasing a new policy and naming them as beneficiaries. The custodial and no custodial parent will need to work out the details of this complicated situation. If you can't come to terms, the court may make the decisions for you.

The golden years Once your children are grown, your life insurance needs decrease. You'll live off your retirement savings, and hopefully you have accumulated assets that can be passed on to your heirs when you die. Not only is life insurance expensive at this point, but also it's probably unnecessary. NON-LIFE/GENERAL INSURANCE History of general insurance: As civilization progressed the incidence of losses started of giving rise to the concept of loss sharing. The Aryans through their village cooperatives practiced loss of profits insurance. Mediterranean merchants also practiced it in the century 4th B.C. through the issue of bottom bonds. The code of Manu indicates that there was the practice of marine insurance carried out by the traders in India with those Srilankans, Egypt and Greece. The earliest transaction of insurance as practiced today can be traced back to 14th century A.D. in Italy when ships are only being covered. Essential features of general insurance All insurance contracts are governed by principles of utmost faith and proximate cause. Insurable interestA person who wants to insure must have insurable interest in the property to be insured. The essentials of insurable interest are There must be a property capable of being insured. Such a property must be subject matter of insurance. The insured should have a legal relation to the subject matter insurable interest could arise in a number of ways such as: 1. Ownership 2. Mortgage 3. Trustee 4. Bailee 5. Lessee In fire insurance, the insurable interest must exit throughout the contract. It must exist: 1. At the inception i.e. while placing the property for insurance. of insurance. 2. During the currency of the policy i.e. the interest should not cease during the period

3.

At the time of loss in event of fire / accident the insured should continue to have an interest in the property to claim the insurance money.

In marine insurance the insurable interest must exist at the loss time. It need not necessarily be at the time of taking cover. In case of personal accident insurance a person has unlimited financial interest on his own life. How ever in practice suitable monetary benefits must be considered. There will be no contact of insurance in ht e absence of insurable interest that distinguishes from wagering contract. Indemnity The object of insurance is to place the insured in the same financial position as he was just before the loss. This principle prevents the insured from making a profit out of a loss and ensures public interest at large. For example if a sofa is insured and then damaged the in company will see the depreciation of the sofa having been in use by the insurer. It wills not be true indemnity to pay the price of a new sofa as the insurer has enjoyed the benefits of a sofa. For a building damaged by fire the measure of indemnity cost of repairing the building is the cost of repairs to it's prefer condition. For machinery is destroyed by fire the market value of such a machine after taking into consideration wear and tear and depreciation. In marine insurance the indemnity is " in the manner and to the extent agreed" by the insurers and the insured. It is so provided international he insurance act. In case of personal accident insurance policy it is not possible to place a value on life as such. Hence they are called benefit policies. There are four methods of indemnification: Cash payment Repair Replacement Reinstatement

Subrogation: Subrogation is a principle, which is applied to all the contracts of indemnity. It meant that after payment of the loss the insurer gets the right of taking all steps to recover any money in compensation from a third party. Subrogation is the right which an insurer gets after he has indemnified the loss to step into his shoes of the insured and avail himself of all the rights and remedies which the insured may have against their party in respect of the loss indemnified. Contribution: Indemnity is also governed by the principle of contribution. The insurer is liable to contribute proportionately loss to the extent of its interest. If a property has been insured with more than one insurer in the event of the loss of the insured will get a proportionate part of the loss from each insurer so that the insured does not make a profit out of the settle claim. Utmost good faith In insurance contract the prepares is the only person who is deemed to have come to know of all the facts of the subject matter of insurance and the insurer is to completely rely on what the prepares has disclosed. The prepares therefore should furnish all material facts concerning the property proposed which would enable the insurance company to decide whether to accept or reject and decide appropriate terms and rates. The duty of disclosure of material facts continues throughout the contract and the insured should advise the insurance company wherever change occurs in the property insured. He need not disclose fats of following nature: Facts which would diminish the risk of insured peril e.g. appointing a night watchman Which are presumed to have known to the insurer e.g. large scale riots Facts which are understandable from the disclosure already made

Proximate cause Propitious is exposed to various perils like fire, earthquake war, riot etc and policies of insurance covering various combinations of such perils can be procured. The insurers liability only rises only if the causes are not mentioned in the perils or excluded.

The contract of insurance It is a legal agreement between two parities and has to comply with the provisions of the Indian contract act of 1872. Contracts must have the following five essential elements so it can be enforced: Offer and acceptance- the person who wants to take up cover against particular peril offers his risk through a proposal form to the insurance company and not accepts the risk. Consideration- the premium paid is the consideration and on receipts of the premium by the insurance company the contract into force. Mutual consent ad idem- there should be a complete and unbiased agreement between the insurer and in insured regarding the terms of the contract. The intention of the insured should have been clearly understood by the insurance company and vice versa. Capacity to contract to the parties- both the parties must be legally competent to enter into an agreement. An agreement with a mentally unsound person is not a valid contract. So also an agreement with minor insolvent and foreigner is not a valid contract. The paper work Paper work on different policies differs from policy from policy. It is not possible to mention formatives of all the policies. Paperwork in case of motor vehicles is as follows Name and address of the insured. Agents code number. Particulars of the vehicle. Engine, chassis, registration number. Model of the vehicle. Period of insurance. Amount insured. Conditions of the policy. Amount of premium. Etc. Before issuing a policy a proposal form has to be signed by the insurer, which contains the basis of the contract.

Surveyor - his job, his background, the requirement for appointing a surveyor A surveyors job is to access the loss cause due to the clause mentioned in the insurance policy. In case of any loss a surveyor is deputed to ascertain the loss. A person has to have a professional qualification to be a surveyor, mostly: For motor vehicle mechanical engineer For fire insurance etc. charted accountant A person having the above qualification can get a certificate as a surveyor from the Controller of Insurance by passing through a proper screening process. The fees of surveyor licensee is Rs.250 only For assigning the losses both kinds of surveyors have to work hand in hand. The mechanical engineer assesses the technical claims and charted accountant assesses the accounts part of the claim.

Chapter 2

COMPANY PROFILE
About Us Bajaj Allianz Life Insurance Company Limited Bajaj Allianz Life Insurance is a union between Allianz SE, one of the largest Insurance Company and Bajaj Finserv. Allianz SE is a leading insurance conglomerate globally and one of the largest asset managers in the world, managing assets worth over a Trillion (Over INR. 55, 00,000 Crores). Allianz SE has over 119 years of financial experience and is present in over 70 countries around the world. At Bajaj Allianz Life Insurance, customer delight is our guiding principle. Our business philosophy is to ensure excellent insurance and investment solutions by offering customised products, supported by the best technology. Bajaj Allianz General Insurance Company Limited is a joint venture between Bajaj Auto Limited and Allianz SE. Both enjoy a reputation of expertise, stability and strength. Bajaj Allianz General Insurance received the Insurance Regulatory and Development Authority (IRDA) certificate of Registration (R3) on May 2nd, 2008 to conduct General Insurance business (including Health Insurance business) in India. The Company has an authorized and paid up capital of Rs 110 crores. Bajaj Auto holds 74% and the remaining 26% is held by Allianz, SE. As on 31st March 2009 Bajaj Allianz General Insurance maintained its premier position in the industry by garnering a premium income of Rs.1803 crore. Bajaj Allianz has made a profit before taxes of Rs.117 crore and emerged as the first private insurance company to make profit before taxes of more than Rs.100 crores. The company also was the one of the highest profitable insurer among private insurance companies and made a profit after tax of Rs.75 crores. Bajaj Allianz is the only company to make underwriting profits for the last three years consecutively. For more details on a summary of our financials, please click here. For a copy of our Annual Report 2008-2009, Please click here. Bajaj Allianz today has a network presence in over 200 towns spread across the length and breadth of the country. From Surat to Siliguri and Jammu to Thiruvananthapuram, all the offices are interconnected with the Head Office at Pune.

In the first quarter of the current financial year, 2009-10, Bajaj Allianz garnered a premium income of Rs. 574 crores, achieving a growth of 27% over the last year for the same period and Net profits rose to Rs.21 Crores. Vision To be the first choice insurer for customers To be the preferred employer for staff in the insurance industry. To be the number one insurer for creating shareholder value Mission As a responsible, customer focused market leader, we will strive to understand the insurance needs of the consumers and translate it into affordable products that deliver value for money. A Partnership Based on Synergy Bajaj Allianz General Insurance offers technical excellence in all areas of General and Health Insurance as well as Risk Management. This partnership successfully combines Bajaj Auto's in-depth understanding of the local market and extensive distribution network with the global experience and technical expertise of the Allianz Group. As a registered Indian Insurance Company and a capital base of Rs. 110 crores, the company is fully licensed to underwrite all lines of general insurance business including health insurance. Our Achievements Bajaj Allianz has received "iAAA rating, from ICRA Limited, an associate of Moody's Investors Services, for Claims Paying Ability.This rating indicates highest claims paying ability and a fundamentally strong position. History of AllianzDocumenting and researching its corporate history is part and parcel of Allianz's corporate culture.The Allianz Center for Corporate History devotes itself to these tasks. As a frequently used information center, it has evolved into the company's "living memory". Facts & Figures The Allianz Group is one of the leading global services providers in insurance, banking and asset management. With approximately 173,000 employees worldwide (as of June 30, 2009), the Allianz Group serves more than 70 million customers in about 70 countries. On the insurance side, Allianz is the market leader in the German market and has a strong international presence.

In fiscal 2008 the Allianz Group achieved total revenues of over 101 billion euros. Allianz is also one of the worlds largest asset managers, with third-party assets of 764 billion euros under management at year end 2008. Strategy & Values Program "3+One" Program "3+One" With its overall "3+One" program, Allianz is pursuing four important goals.Allianz's 3+One program was introduced in December 2003 to promote our business model and achieve sustainable and profitable growth. Since then, we have made significant progress in 1. protecting and enhancing the capital base, 2. substantially strengthening the operating profitability, and 3. reducing complexity. These efforts have become an integral part of our daily business and a lot of progress has been made towards increasing our sustainable competitiveness and value - the +One component of the program. 1. Protect and enhance capital base Sufficient risk capital is essential if Allianz is to remain a reliable partner for our clients. Capital reserves are also an essential factor in acquiring a good rating, which is key to gaining the trust of investors and customers. Today, Allianz has a sound capital base and sophisticated risk control in place. This has been achieved through measures, such as increasing our risk capital surplus, establishing a group-wide risk management system and improving our investment portfolio structure, for example, by reducing our equity exposure and investing into a broader range of European companies as well as private equity. 2. Substantially strengthen operating profitability One clear objective of Allianz is to be profitable through the operative business alone, in order to be as independent as possible from the prevailing economic situation and influences of the capital market. Every business unit and every Group company is committed to operational excellence, operating in a professional and customer-oriented manner, and leading the competition. Allianz's Sustainability Program in P/C and life insurance are helping to turn best practice into common practice within the Group. Further measures to strengthen profitability include maintaining cost discipline through streamlining of processes, enhancing underwriting quality and consistent risk selection. Also, turnaround cases at

Fireman's Fund, Allianz Global Corporate & Specialty, AGF and Dresdner Bank have been successfully concluded. 3. Reduce complexity Only companies with a clear structure and efficient operational processes are sufficiently flexible to react quickly to the fast-moving market conditions and to respond to changes in customer requirements - further prerequisites for profitable growth. Since the launch of the 3+One program, Allianz has therefore focused on core activities, on reducing structural inefficiencies and on streamlining processes and the product range. In September 2007, we announced our repositioning in Europe. The corresponding "Euroefficiency" measures include the merger of RAS into Allianz, the conversion into a European Company SE, and the streamlining of European insurance operations. In Germany, we are simplifying our insurance operations as well as Dresdner Bank's structures. One: Increase sustainable competitiveness and value In a joint effort with its operating units, Allianz has made considerable progress on the first three components of the 3+One program. Business is back on a solid footing. However, the work on strengthening the capital base, increasing profitability and reducing complexity continues. Today, Allianz is focused on driving forward the +One part of the program which aims at increasing sustainable competitiveness and value. +One initiatives include Customer Focus, Sustainability, Leadership Values, and Global Brand and Communication. The definition of Growth Markets (China, Russia and India) and the systematic exploration of future growth areas are examples of measures to secure long-term value. With its overall "3+One" program, Allianz is pursuing four important goals. Leadership Values The Leadership Values are meant to give orientation to managers for their business planning and operative implementation of the "3+One" program. Leadership Values The Leadership Values are meant to give orientation to managers for their business planning and operative implementation of the "3+One" program.The Leadership Values were introduced to raise the quality of leadership and accelerate the development of a high performance culture at Allianz, ensuring that leaders share a mutual understanding of our basic aims. They convey to every manager in the Group a clear framework linking business targets and desired leadership behavior.

Cultural transformation through the Leadership Values will help us to communicate openly and create an atmosphere of trust with both clients and employees. This will provide the leadership needed to drive our strategic objectives.Align strategy and communication We work together to deliver a consistent business strategy. One of our main responsibilities is to communicate this strategy to all our stakeholders.Promote a high performance culture We set and agree on clear targets which are aligned with our strategy. We provide feedback and coaching to our employees to encourage and reward exceptional performance. Focus on our customers We ensure a relentless focus on our customers. We develop and grow strong customer relationships and seek to achieve profitable growth and thereby increase shareholder value. This requires us to deliver excellence in all our products, operations, processes and behaviors. Develop our employees We invest in our employees. We select and develop potential according to high standards. We leverage diversity and encourage a culture that respects, values and benefits from different backgrounds and perspectives. We are transparent in the way we create career opportunities based on personal achievements and capabilities. We want to be an employer of choice.Build on mutual trust and feedback We build our success on mutual trust, fairness, integrity, and clear and open communication. We encourage employees to innovate, identify business opportunities, share knowledge and ideas, and provide constructive feedback. Company Structure An overview of the regions we are operating in is set up below. The links at the end of each paragraph direct you to the tables of our operating subsidiaries (by geographic region including our ownership percentage as per 31 December 2008). Western and Southern Europe Europe is our home market. We consider property-casualty insurance in the region to be rather saturated. In life/health insurance, we see the characteristics of aging societies and their rising need for private retirement provision products and additional health insurance coverage as a growth opportunity. Western and Southern Europe New Europe

New Europe We are committed to a region in transition: We are established in the most important insurance markets in the region and have leading market positions. New Europe offers substantial opportunities across all lines of business alongside rising living standards. New Europe North and South America The Americas We are well-positioned in the United States, the largest insurance market of the world. Overall, our American operations take place in attractive markets. North and South America Asia Pacific / Africa Asia-Pacific is the Allianz Groups largest emerging region. Many markets in this part of the world are characterized by high growth rates. >Asia Pacific / Africa Board of Management The Board of Management is the sole management body of the company.As part of Allianz AGs conversion to Allianz SE the existing two-tier system consisting of a Board of Management and a Supervisory Board has been retained. The Board of Management is solely responsible for the management of the company, while the Supervisory Board has a monitoring and advisory function. The members of the Board of Management are collectively responsible for managing the company. The tasks of the Board of Management are coordinated by its chairman. The Supervisory Board is responsible for the appointment, advice, control and dismissal of the Management Board members. The Board of Management of Allianz SE currently is made up of eleven members. Chairman of the Board of Management is Michael Diekmann. Supervisory Board The Supervisory Board appoints, supervises and advises the company's Board of Management.In addition to its supervisory function, the Supervisory Board is responsible for providing advice to the Board of Management. The Supervisory Board is directly involved in decisions of essential importance to the company. However, it does not assume any executive tasks. One of its key responsibilities is the appointment and dismissal of members of the Board of Management. Furthermore, the Supervisory Board is responsible for appointing the auditor for German insurance companies. The work of the Supervisory Board is coordinated by its chairman.

The Supervisory Board of Allianz SE consists of twelve members divided equally into six shareholder representatives and six employee representatives. In accordance with the SE regulations, the Chairman of the Supervisory Board must be a shareholder representative. Mr Henning Schulte-Noelle has been elected Chairman. The vicechairpersons of the Supervisory Board are Mr Gerhard Cromme and Ms Claudia EggertInternational Executive Committee The International Executive Committee includes all members of Allianz SE's Board of Management and heads of major Allianz subsidiaries. Chaired by Michael Diekmann, this body discusses overall strategic issues for the Allianz Group. International Executive Committee Michael Diekmann Paul Achleitner Gary C. Bhojwani Clement Booth Jan R. Carendi Markus Rie Enrico Cucchiani Joachim Faber Charles Kavitsky Manfred Knof Wolfram Littich Helmut Perlet Thomas Pleines Markus Rie Ulrich Rumm Chairman, Allianz AG Allianz SE Allianz Life Insurance Company of North America Allianz SE Allianz SE Allianz Deutschland AG / Sales Organization Allianz SE Allianz SE Allianz of America Allianz Suisse Allianz Elementar Versicherungs AG Allianz SE Allianz Deutschland AG / Allianz Versicherungs-AG Allianz Deutschland AG / Allianz Private Krankenversicherungs-AG Allianz Deutschland AG / Allianz Private Germany Germany USA Germany Germany Germany Germany Germany USA Switzerland Austria Germany Germany Germany Germany Germany Spain Germany Germany

Krankenversicherungs-AG Gerhard Rupprecht Allianz SE Vincente Tardio Allianz, Compania de Seguros y Reaseguros, SA Barutel Axel Theis Jean-Philippe Thierry William S. Thompson Andrew Torrance Terry Towell Herbert Walter Allianz Global Corporate & Specialty Allianz SE

PIMCO (Pacific Investment Management Company) USA Allianz Cornhill Insurance PLC Allianz Australia Ltd. Allianz SE UK Australia Germany

Werner Zedelius Maximilian

Allianz SE Allianz Deutschland AG / Allianz

Germany Germany

Zimmerer Lebensversicherungs-AG Last update: 09-2009 International Advisory Board and Joint Advisory Council The International Advisory Board and the Joint Advisory Council of the Allianz Companies consist of members from various fields and industries. International Advisory Board Dr. Jrgen Hambrecht Khalifa Al-Kindi Chairman of the Board of Executive Directors, BASF AG Deputy Managing Director, Germany United Arab Emirates Australia Portugal Spain Spain Turkey Netherlands Japan

Abu Dhabi Investment Authority Donald R. Argus AO Chairman, BHP Billiton Group Belmiro de Azevedo Presidente, Sonae SGPS SA Alfonso Cortina de Alcocer Chairman, Repsol YPF Foundation Angel Ron Gimil Chairman, Banco Popular Espaol Rahmi Ko Honorary Chairman Board of Directors, Aarnout Loudon Minoru Makihara Jaques A. Nasser James W. Owens Dr. Marco Tronchetti Provera Dr. Gianfelice Rocca Anthony Salim Louis Schweitzer Peter Sutherland Iain Vallance (Lord Ko Holding AS Retired Senior Corporate Advisor, Mitsubishi

Corporation Senior Partner, One Equity Partners LLC USA Chairman and CEO, Caterpillar Inc. USA Chairman and CEO, Pirelli SpA Italy Chairman, Techint Group President and CEO, Salim Group Chairman, Renault SA Chairman, BP PLC Chairman, Amsphere Ltd Italy Indonesia France United Kingdom United Kingdom Mexico

Vallance of Tummel) Lorenzo H. Zambrano Chairman and CEO, CEMEX Joint Advisory Council of the Allianz Companies Dr. Henning Schulte-Noelle Professor Dr. Bernd Gottschalk Professor Dr. Peter Gruss Herbert Hainer Dr. Jrgen Hambrecht

Chairman Supervisory Board, Allianz SE President, German Association of the Automotive Industry President, Max Planck Society Chairman, adidas AG Chairman, BASF AG

Prof. Dr. h.c. Hans-Olaf Henkel Senior Advisor, Bank of America Dr. Jrgen Heraeus Chairman Supervisory Board, Heraeus Holding GmbH Dr. Dieter Hundt, Honarary Managing Partner, Allgaier Werke GmbH Senator Dr. Hans-Peter Keitel Dr. Hartmut Mehdorn Dr. h.c. Bernd Pischetsrieder Professor Dr. Klaus Pohle Dr.-Ing. Norbert Reithofer Harry Roels Dr. h.c. Walter Scheel Dr. Manfred Schneider Professor Dr. Dennis J. Snower Holger Strait Dr. h.c. Heinrich Weiss Manfred Wennemer Our Employees Chairman, Hochtief AG Chairman, Deutsche Bahn AG Chairman, Volkswagen AG Until April 2008 German Accounting Standards Committee Chairman, BMW Group Chairman, RWE AG Former President of the Federal Republic of Germany Chairman Supervisory Board, Bayer AG President, The Kiel Institute for the World Economy Managing Partner, J. G. Niederegger GmbH & Co. KG Chairman Managing Board, SMS GmbH Chairman, Continental AG

The number of Allianz employees worldwide was 173,215 on June 30, 2009. Each employee's commitment contributes to the satisfaction of our customers, and thus to the long-term success of Allianz.The working environment at Allianz is currently changing from a former focus on careers in one business line and country to a working environment which is characterized by a high performance culture, increased internationalization and intensified cooperation across operational divisions. Crossborder and cross-functional careers In addition to the benefits of a large enterprise, we offer ample career opportunities, challenging projects and international assignments in the dynamic insurance and financial services fields. Experts from a wide range of companies, functions and countries are participating in the project teams which are responsible to develop the best solutions to drive the strategic initiatives of Allianz Group. Thousands more are involved in the implementation process. We promote cooperation between employees of different cultural origins and those of different ages, levels of experience and abilities. We believe diversity is the ideal way to boost our capacity for innovation and find viable solutions to varied and constantly changing markets. This is also why we support the international mobility of our staff and managers.

Between 2004 and 2008, the number of international assignments within Allianz Group rose by just over 19 percent per annum: The number of employees from Group companies working at head office grew by 29 percent p.a.; and the number of expatriates worldwide by 14 percent.Emphasis on qualification programs In order to develop and use our employees' expertise more effectively, Allianz attaches great importance to educational opportunities for employees and to sharing ideas and experiences through inter-company relationships. New group-wide standards in Operational Excellence (OPEX) were introduced with the so-called Black Belt Program. This program which one percent of the global workforce will pass through trains managers and experts as certified change managers using the OPEX method which is based on the Six Sigma approach. Another platform for international collaboration and exchange is our corporate university, Allianz Management Institute (AMI). It offers the expertise and leadershiporiented, management qualification for the Allianz Group. At AMI, we work with renowned universities and research centers to transfer the latest in research and knowhow to our management teams. The program is complemented by a wide range of qualification opportunities for all levels of employment.Employee incentives Our remuneration systems are geared towards offering both managers and staff incentives for implementing the Allianz Groups business strategy in a targeted and efficient manner, and to contribute to our performance culture. We determine the variable components of salary by agreeing individual targets and then monitoring whether these have been met. In recent years we have steadily expanded the proportion of variable salary components on all levels, 29 percent of the total payments made by the Group was performance-related in 2008. Total payments made by the Group to its employees worldwide amounted to 10.2 billion euros in 2008. Social security contributions, pensions and other additional employee benefits amounted to 2.7 billion euros. As an additional incentive to contribute to the Allianz Groups performance, an employee stock purchase offer was again launched in 2008. This gave 124,000 employees in 22 countries the opportunity to acquire Allianz SE shares on preferential terms.Employee representation in a Societas Europaea (SE) The Supervisory Board of Allianz SE consists of twelve members, giving equal representation to the shareholders and to employees. The employee representatives come from different European countries: four from Germany and one each from France

and the UK. In the first pan-European SE Staff Council, 37 members from 24 countries represent the interests of employees. Property & Casualty Insurance Private Customers In order to safeguard your life's achievements, it is essential to protect your property and ensure your personal safety. Allianz offers a wide range of private insurance solutions that can provide you with security and peace of mind. Get an overview of what we can do for you. >more... Business Customers To be successful in your business, you need financial stability and risk protection. Allianz offers property and casualty insurance for all businesses and industries - from small and mid-size companies to large corporations - and from agriculture through service provision to industrial output. In response to today's ever-changing marketplace, our specialists worldwide are working together to develop the best solutions in insurance and risk management. Unit Linked Insurance Plans Market linked insurance plans invest the premium in to the equity, debt and cash markets by the way of allocating units, which like any other mutual fund have a NAV and the customer is free to switch between one fund class to another depending on the risk factor he wishes to be in. ULIPs offer a better return than the traditional endowment plans and offer a great deal of flexibility along with great returns making them the finest product offering. We at Bajaj Allianz Life Insurance have developed a number of ULIP products which range from single premium to a regular premium option along with investment funds ranging from index funds to mid-cap funds and debt market linked funds. Pension Plans We at Bajaj Allianz Life Insurance offer Pension Plans which will make sure that we are there to support you in every stage of your life and your savings today become your wealth and support for your future years to come. Traditional Plans Saving Plans that offer bonus are completely safe and are ideal for long term investments. Our products offer additional benefits including 4 times life cover at little extra costs, limited premium payment terms and compounded reversionary bonuses. These features make our traditional plans excellent long term saving instruments.

Endowment Money Back Invest Gain Save Care Economy SP Life Time Care Super Saver Super CashGain Insurance Plan Child Gain Child Gain

Term Plans The sole objective of Term plans is to serve the protection needs of the customers and by doing so, safeguard one's family from the financial implications of unfortunate circumstances that one cannot foresee. These plans are pure risk cover plans with or without maturity benefit. These pure risk plans cover your life at a nominal cost and you may want to take this plan to cover your outstanding debts like a mortgage, a home loan etc. Protector Term Care New Risk Care II

Products For House Wives Download Brochure Housewives need to safeguard their financial independence. Our additional benefits like Mahila Gain have special features for women which offers: Critical Illness Benefits Reconstructive Surgery Benefits for Breast(s) due to Breast Cancer Congenital Disability Benefits Complications of Pregnancy Benefits Women Insurance Need Analyzer

Bajaj Allianz Life Insurance Co Ltd is a unique joint venture among the global giants Allianz Group (AG) and Bajaj Auto. Allianz AG's world ranking establishes it among the top insurance companies in the world. Bajaj is the biggest two and three wheeler manufacturer in the world. Bajaj Allianz Life Insurance Company boasts of a nationwide presence with 876 offices and over 4 million satisfied customers. The various insurance products include

Individuals Plans

Unit Gain Insurances Term Care Plans Lifetime Care Insurance Policy Business Insurance Policies Savings And Security Policies For You And Your Family Rural Insurance Plan Healthcare Insurance Financial Insurance Pension Plus Retirement Plans Children's Policies Endowment Plans and many more. Insurance For Employee-Employer Groups Insurance For Non-Employer - Employee Groups Employees Deposit Linked Insurance New Group Superannuation Scheme New Group Gratuity Care Scheme Investgain Endowment Plan Cashgain Money Back Plan Childgain Kids Special Plan Swarna Vishranthi

Group Insurance Schemes

Special Insurance Policies for NRI's

Chapter 3

LITERATURE REVIEW
Your Plans, Your Dreams & Their Future: The Essence of Life Insurance Your family counts on you every day for financial support: food, shelter, transportation, education, and much more. You and your spouse have plans for your future and dreams for your family: another child, a bigger home, a new business, college education, travel, and retirement Life insurance is all about making sure your family has adequate financial resources to make those plans and dreams come true, if you were to die prematurely. And just as your spouse and children (as beneficiaries) count on you, you count on your spouse. That's why coverage for your spouse is also important. If he or she were to die unexpectedly, you would feel similar financial strains. This is especially true today, with so many "double income families. The answer, of course, is right now! Since no one can tell when is the best time to invest, it is whenever you have the money! One should first invest in any plans for which tax-deductible contributions can be made because these types of savings reduce current taxes. Then, any more surplus funds should be invested in a variable annuity, especially in equities so as to get the maximum growth of the capital. The function of insurance is to protect you against losses you can't afford. Transferring the risks of a person, business, or organization --(the insured) -- to an insurance company, or insurer does this. The insurer then reimburses the insured for "covered" losses -- i.e., those losses it pays for under the policy's terms. As the insurance consumer, you pay an amount of money, called a premium, to the insurer to transfer the risk. The insurer pools all its premiums into a large fund, and when a policyholder has a loss, the insurer draws funds from the pool to pay for the loss. Life is full of unexpected events that can create large financial losses. For example, whenever you drive, it is possible that you may have a costly accident. Risks affect you by causing worry about potential loss and how to deal with the consequences. Insurance reduces anxiety over a possible loss and absorbs the financial brunt of its consequences. However, while insurance coverage is essential, how much and what type of insurance people need differ with each individual. You must decide how much risk you're willing to tolerate without insurance. For example, benefits for disability policies typically begin after a waiting period of one to six months. Therefore,

you should ensure that you have some form of coverage or financial resources before the policy period begins. Since insurance can be expensive, it makes sense to get more than one price quote for coverage. At one time, we in India had no option but the nationalized insurance companies like LIC, GIC, etc. Now several private players, often with foreign tie-ups, are entering the fray. There are now several companies selling any one type of insurance, each with its own price structures, coverage, and policy exclusions. To help consumers choose among the various types of coverages, companies train sales representatives in the technical points of their insurance products. Many representatives work for just one insurance company. There are also brokers and independent agents -self-employed business people who sell insurance on commission for several insurers -who claim they can comparison-shop to get the best coverages for consumers. Certain banks also sell insurance. With multiple players in the life insurance field now, a choice should be first made regarding the insurance company before choosing an agent. To determine a company's willingness to pay claims, ask a policyholder who has filed several claims. Obviously, the more claims an insurer has handled with no complaints, the more likely that the company will provide you with good service. Barring LIC, the remaining players in life insurance are still new in the field, so this kind of information will not be available for another few years at the least. It remains to be seen how the newer players will perform on the claims front, but given the regulatory framework and their strong parentage, their performance should be comparable, if not better than LIC. It is quite imperative that your insurance agent be competent and professional enough to clearly understand your insurance requirements and suggest a suitable scheme. Also, with insurance companies offering varying rate of commissions on different schemes, there is a likelihood that a 'not-so-professional' agent may be tempted to recommend a scheme which pays him a higher commission, though it may not be very suitable for your needs. This is especially so in the case of LIC, sole provider of life insurance in our country till recently, where the eligibility criteria are not very rigorous and very often the level of knowledge and competence of the agents leave a lot to be desired. The new players seem to be much more stringent in appointing agents and more committed in providing training to them. In today's context, especially in case of LIC, it may be advisable to go in for an agent who comes recommended from one of your friends, relatives or associates. Further, the agent should be able to provide you with a

comparison of multiple schemes and also explain them in simple terms, so that you are able to make an informed decision. In case an agent is not inclined to spend the time and resources to provide you with relevant information and solve your queries, it may be better to give a go-by to such a person and start looking for a new agent. The market is becoming increasingly competitive and it should not be a difficult task to find a good agent. THE INSURANCE SECTOR- An overview The insurance sector has a long history in India. It began in the early years of the 19th century. The first legal enactment was made in 1870. The first Indian Insurance Act was passed in 1938 and amended in 1950, when it was nationalized. However, the sector was once again thrown open to the private sector in December2010, followed by the establishment of the Insurance Regulatory and Development Authority (IRDA) in April 2010. Though the Insurance Sector is now being opened up for private players as a consequence of the new liberalization policies of the Government, the existing government owned Insurance companies will, nevertheless, continue to be in the government sector. These existing companies will, however, have to strive for better realization of their corporate objectives and goals to meet the demands and expectations of the public. Quality of service and product that an industry offers must move forward with progress in the state of the economy. As the quantum and quality of service change over time, the levels at which customers continue to remain satisfied with the services provided, also keep on increasing. Ultimately, the success of any industry depends upon its positioning in the state of economy and on meeting the expectations of the service users. With competition, the performance level of individual companies is expected to increase. Segmentation is taking place within the economy with a need for socially responsive service sector. Globalization is the new economic reality, which is here to stay, heralding a new era of insurance in India. With the opening of the insurance industry, India stands to gain with the following major advantages: Globalization will provide improved opportunities to the customer for better products, with more reasonable and affordable pricing.

 The customer will get quicker servicing It will enhance the savings rate Long-term funds for infrastructure development will be available to the Country. It will secure for India larger inflows of foreign capital needed to sustain our GDP growth. The opportunities for insurance in India Only 25% of the insurable population has been extended cover. Market penetration is low and potential to exploit is high. Insurance premium per capita is very low ($4) Lack of a comprehensive social security system/state benefit and welfare means that demand for pension products should be high. Huge middle class of approximately 300 million. Existing insurance companies score low on the customer service front. With steadily increasing corporate asset values, need for insurance is on the rise. Competition can help ensure the best products with better services. NON-LIFE/GENERAL INSURANCE History of general insurance: As civilization progressed the incidence of losses started of giving rise to the concept of loss sharing. The Aryans through their village cooperatives practiced loss of profits insurance. Mediterranean merchants also practiced it in the century 4th B.C. through the issue of bottom bonds. The code of Manu indicates that there was the practice of marine insurance carried out by the traders in India with those Srilankans, Egypt and Greece. The earliest transaction of insurance as practiced today can be traced back to 14th century A.D. in Italy when ships are only being covered. Essential features of general insurance All insurance contracts are governed by principles of utmost faith and proximate cause. Insurable interestA person who wants to insure must have insurable interest in the property to be insured. The essentials of insurable interest are There must be a property capable of being insured. Such a property must be subject matter of insurance.

The insured should have a legal relation to the subject matter insurable interest could arise in a number of ways such as:

6. Ownership 7. Mortgage 8. Trustee 9. Bailee 10. Lessee In fire insurance, the insurable interest must exit throughout the contract. It must exist: 4. At the inception i.e. while placing the property for insurance. of insurance. 6. At the time of loss in event of fire / accident the insured should continue to have an interest in the property to claim the insurance money. In marine insurance the insurable interest must exist at the loss time. It need not necessarily be at the time of taking cover. In case of personal accident insurance a person has unlimited financial interest on his own life. How ever in practice suitable monetary benefits must be considered. There will be no contact of insurance in ht e absence of insurable interest that distinguishes from wagering contract. Indemnity The object of insurance is to place the insured in the same financial position as he was just before the loss. This principle prevents the insured from making a profit out of a loss and ensures public interest at large. For example if a sofa is insured and then damaged the in company will see the depreciation of the sofa having been in use by the insurer. It wills not be true indemnity to pay the price of a new sofa as the insurer has enjoyed the benefits of a sofa. For a building damaged by fire the measure of indemnity cost of repairing the building is the cost of repairs to it's prefer condition. 5. During the currency of the policy i.e. the interest should not cease during the period

For machinery is destroyed by fire the market value of such a machine after taking into consideration wear and tear and depreciation. In marine insurance the indemnity is " in the manner and to the extent agreed" by the insurers and the insured. It is so provided international he insurance act. In case of personal accident insurance policy it is not possible to place a value on life as such. Hence they are called benefit policies. There are four methods of indemnification: Cash payment Repair Replacement Reinstatement

Subrogation: Subrogation is a principle, which is applied to all the contracts of indemnity. It meant that after payment of the loss the insurer gets the right of taking all steps to recover any money in compensation from a third party. Subrogation is the right which an insurer gets after he has indemnified the loss to step into his shoes of the insured and avail himself of all the rights and remedies which the insured may have against their party in respect of the loss indemnified. Contribution: Indemnity is also governed by the principle of contribution. The insurer is liable to contribute proportionately loss to the extent of its interest. If a property has been insured with more than one insurer in the event of the loss of the insured will get a proportionate part of the loss from each insurer so that the insured does not make a profit out of the settle claim. Utmost good faith In insurance contract the prepares is the only person who is deemed to have come to know of all the facts of the subject matter of insurance and the insurer is to completely rely on what the prepares has disclosed. The prepares therefore should furnish all material facts concerning the property proposed which would enable the insurance company to decide whether to accept or reject and decide appropriate terms and rates.

The duty of disclosure of material facts continues throughout the contract and the insured should advise the insurance company wherever change occurs in the property insured. He need not disclose fats of following nature: Facts which would diminish the risk of insured peril e.g. appointing a night watchman Which are presumed to have known to the insurer e.g. large scale riots Facts which are understandable from the disclosure already made

Proximate cause Propitious is exposed to various perils like fire, earthquake war, riot etc and policies of insurance covering various combinations of such perils can be procured. The insurers liability only rises only if the causes are not mentioned in the perils or excluded. The contract of insurance It is a legal agreement between two parities and has to comply with the provisions of the Indian contract act of 1872. Contracts must have the following five essential elements so it can be enforced: Offer and acceptance- the person who wants to take up cover against particular peril offers his risk through a proposal form to the insurance company and not accepts the risk. Consideration- the premium paid is the consideration and on receipts of the premium by the insurance company the contract into force. Mutual consent ad idem- there should be a complete and unbiased agreement between the insurer and in insured regarding the terms of the contract. The intention of the insured should have been clearly understood by the insurance company and vice versa. Capacity to contract to the parties- both the parties must be legally competent to enter into an agreement. An agreement with a mentally unsound person is not a valid contract. So also an agreement with minor insolvent and foreigner is not a valid contract. The paper work Paper work on different policies differs from policy from policy. It is not possible to mention formatives of all the policies.

Paperwork in case of motor vehicles is as follows Name and address of the insured. Agents code number. Particulars of the vehicle. Engine, chassis, registration number. Model of the vehicle. Period of insurance. Amount insured. Conditions of the policy. Amount of premium. Etc. Before issuing a policy a proposal form has to be signed by the insurer, which contains the basis of the contract. Surveyor - his job, his background, the requirement for appointing a surveyor A surveyors job is to access the loss cause due to the clause mentioned in the insurance policy. In case of any loss a surveyor is deputed to ascertain the loss. A person has to have a professional qualification to be a surveyor, mostly: For motor vehicle mechanical engineer For fire insurance etc. charted accountant A person having the above qualification can get a certificate as a surveyor from the Controller of Insurance by passing through a proper screening process. The fees of surveyor licensee is Rs.250 only For assigning the losses both kinds of surveyors have to work hand in hand. The mechanical engineer assesses the technical claims and charted accountant assesses the accounts part of the claim. State Insurers Continue To Dominate There may be room for many more players in a large underinsured market like India with a population of over one billion. But the reality is that the intense competition in the last five years has made it difficult for new entrants to keep pace with the leaders and thereby failing to make any impact in the market. Also as the private sector controls over 26.18% of the life insurance market and over 26.53% of the non-life market, the public sector companies still call the shots. The countrys largest life insurer, Life Insurance Corporation of India (LIC), had a share

of 74.82% in new business premium income in November 2005. Similarly, the four public-sector non-life insurers New India Assurance, National Insurance, Oriental Insurance and United India Insurance had a combined market share of 73.47% as of October 2005. ICICI Prudential Life Insurance Company continues to lead the private sector with a 7.26% market share in terms of fresh premium, whereas ICICI Lombard General Insurance Company is the leader among the private non-life players with a 8.11% market share. ICICI Lombard has focused on growing the market for general insurance products and increasing penetration within existing customers through product innovation and distribution. Reaching Out To Customers No doubt, the customer profile in the insurance industry is changing with the introduction of large number of divergent intermediaries such as brokers, corporate agents, and bancassurance. The industry now deals with customers who know what they want and when, and are more demanding in terms of better service and speedier responses. With the industry all set to move to a detariffed regime by 2007, there will be considerable improvement in customer service levels, product innovation and newer standards of underwriting. Intense Competition In a de-tariffed environment, competition will manifest itself in prices, products, underwriting criteria, innovative sales methods and creditworthiness. Insurance companies will vie with each other to capture market share through better pricing and client segmentation. The battle has so far been fought in the big urban cities, but in the next few years, increased competition will drive insurers to rural and semi-urban markets. Global Standards While the world is eyeing India for growth and expansion, Indian companies are becoming increasingly world class. Take the case of LIC, which has set its sight on becoming a major global player following a Rs280-crore investment from the Indian government. The company now operates in Mauritius, Fiji, the UK, Sri Lanka, and Nepal and will soon start operations in Saudi Arabia. It also plans to venture into the African and Asia-Pacific regions in 2006. The year 2005 was a testing phase for the general insurance industry with a series of catastrophes hitting the Indian sub-continent. However, with robust reinsurance programs in place, insurers have successfully managed to tide over the crisis without any adverse impact on their balance sheets. With life insurance premiums being just 2.5% of GDP and general insurance premiums being 0.65% of GDP, the opportunities in the Indian market place is immense. The next

five years will be challenging but those that can build scale and market share will survive and prosper. OBJECTIVES OF BAJAJ LIFE INSURANCE Spread Life Insurance much more widely and in particular to the rural areas and to the socially and economically backward classes with a view to reaching all insurable persons in the country and providing them adequate financial cover against death at a reasonable cost.

Maximize mobilization of people's savings by making insurance-linked savings adequately attractive. Bear in mind, in the investment of funds, the primary obligation to its policyholders, whose money it holds in trust, without losing sight of the interest of the community as a whole; the funds to be deployed to the best advantage of the investors as well as the community as a whole, keeping in view national priorities and obligations of attractive return.

Conduct business with utmost economy and with the full realization that the moneys belong to the policyholders. Act as trustees of the insured public in their individual and collective capacities. Meet the various life insurance needs of the community that would arise in the changing social and economic environment. Involve all people working in the Corporation to the best of their capability in furthering the interests of the insured public by providing efficient service with courtesy.

Promote amongst all agents and employees of the Corporation a sense of participation, pride and job satisfaction through discharge of their duties with dedication towards achievement of Corporate Objective VISION "A trans-nationally competitive financial conglomerate of significance to societies and Pride of India" MISSION "Explore and enhance the quality of life of people through financial security by providing products and services of aspired attributes with competitive returns, and by rendering resources for economic development." CITIZEN'S CHARTER

OUR MISSION To ensure and enhance the quality of life of people through financial security by providing Life Insurance products and services of high quality, and by providing resources for economic development. OUR VALUES Integrity and Transparency Caring and Courtesy Initiative & Innovation OUR COMMITMENT TO THE COMMUNITY: We will Provide insurance cover and financial security to every insurable person; Meet its insurance needs in consonance with the changing social and economic environment; Also cater to the insurance needs of the socially and economically weaker sections of the society through schemes specially designed for them; Conduct all aspects of our business keeping in view its interest and national priorities. TO OUR CUSTOMERS: We will Provide them prompt, efficient and courteous service; Act as trustees of their funds and invest the funds to their best advantage; Conduct our business with utmost economy and on sound business principles; Build and maintain enduring relationship; Keep the customer informed. TO OUR WORKFORCE: We will Promote a sense of participation and make them partners in progress; Work towards ensuring their job satisfaction and sense of pride; Provide an environment and the opportunities for growth to enable them to realize their full potential; Take steps to develop professional skills to enable them to handle their assignments more efficiently. STANDARDS FOR FAIRNESS IN DEALING WITH CUSTOMERS: We will Strive to deal with our customers in an open and transparent manner;

Explain the rationale behind our decisions, consistent with requirements relating to business Principles, wherever such decisions are likely to affect the customers' interests adversely; Continuously expand our product-line and services to afford wider choice. This Charter is a summary of what we propose to offer to the community, to our customers and to our choice workforce. This Charter does not become a part of the policy conditions of our customers or the conditions of service of our work force. This Charter does not also address the responsibility of our customers. Their responsibilities concerning their insurance can be found in their policies. People's Money for People's Welfare With the formation of the Life Insurance Corporation of India on 1st September 1956, it can be said that utilization of people's money invested in Life Insurance for planned economic development of the country took roots. One of the objectives of nationalization of the life insurance industry was channelizing of its funds for the benefit of the community at large. In pursuance of this objective, Bajaj Life Insurance has, over the years, been investing a major part of its funds primarily in the Socially Oriented Sector. As at 31st March 2010, 84.49% of its total investments were in the Public Sector, 1.84% was in the Co-operative Sector and 13.67% were in the Private Sector. For the Welfare of the Society: Keeping in mind the primary obligation of the Corporation to its policyholders, as enshrined in the objectives of nationalization, the funds of the Corporation are deployed to the best advantage of the policyholders as well as the community as a whole. While investing these monies, which are held in trust, the Corporation has to keep in view the national priorities and obligation of reasonable returns. The Life Funds, so invested for the benefit of the community at large has accumulated to Rs.1, 27,389 crore as at 31st March, 2010 after meeting the liabilities towards the claims, management and other expenses, registering an increase of Rs.21, 556 crore during the year 2009-10. The investment of the Corporation's funds is governed by Section 27A of the Insurance Act, 1938, and subsequent guidelines/instructions issued there under by the Government of India from time to time. Not less than 75% of our accretions to the fund are invested in Central Government Securities, Government Guaranteed Marketable Securities, Loans in the Socially Oriented Sector for approved purposes such as Power (Electricity), Housing, Water Supply and Sewerage, Road Transport and Co-operative Industrial

Estates. The total investment made by Bajaj Life Insurance in the Socially Oriented Sector including investment in Central/State Government Securities and Government Guaranteed Marketable Securities up to 31st March, 2010 amounted to Rs.98, 003 crore. Better Health, More Power and Houses for Masses: The Corporation has been promoting Social Welfare through Socially Oriented investments. These investments are regulated by the Government from time to time to benefit the people at large by providing basic amenities like potable water, drainage, housing, electrification and transport. Under the Corporation's scheme of providing financial assistance for piped water supply and drainage schemes, 1960 urban/local bodies in 23 States and the Union Territory of Chandigarh have benefited. In addition, 507 Zillah Parishads in 7 States are also receiving financial assistance from the Corporation for rural piped water supply schemes. The investment in this sector up to 31st March 2010 was Rs.2, 512 crore. The Corporation also provides financial assistance to State Electricity Boards/Power Corporations for power generation projects by way of loans/subscriptions to their bonds. The investment of the Corporation in the power sector was Rs.11, 392 crore up to 31st March 2010 thus reflecting the Corporation as the largest single contributing factor in the progress of electrification schemes in the country. Housing is one of the basic necessities of human beings. Housing Finance, therefore, occupies a prime place in Corporation's socio-purposive investments. Since inception, the Corporation has been providing finance for housing to individuals, Co-operative Housing Societies and private undertakings under its various mortgage-housing schemes. With a view to solving the housing shortage in the country, the Corporation joined in a big way in the massive efforts by providing financial assistance to State Governments for Social Housing Schemes for Economically Weaker Sections, Low Income Groups, Middle Income Groups, State Government employees and rural population. The Corporation has also been extending financial assistance to State level Apex Co-operative Housing Finance Societies, the benefits of which are passed on to individuals through Primary Societies. Besides, the Corporation is providing bulk loans to Housing Finance Institutions like Housing Development Finance Corporation, Housing and Urban Development Corporation, National Housing Bank and State Policy Housing Corporations in a few States. In the year 1989, with a view to accelerating individual housing activities further, in consonance with national priorities, the

Corporation decided to promote a new Housing Finance Company with a view to taking over the individual housing portfolios of the Corporation. Accordingly, Bajaj Life Insurance Housing Finance Company Ltd. Was formed initially with equity participation by LIC, UTI, ICICI and IFCI, which has since become a Company with equity participation by public. The Corporation also extends financial assistance to LIFHFL for its on-lending operations. The total contribution of the Corporation up to 31st March, 2010 to housing development activities by way of loans to State Governments, State-Level Apex Societies, HDFC, HUDCO, NHB, LIFHFL, etc. and loans under Mortgage Housing Schemes amounted to Rs.12, 242crore. The Corporation has been assisting development of road transport by providing financial assistance to State Road Transport Corporations for augmenting their fleet of buses. The total investment in this sector up to 31st March 2010 was Rs.671 crore. In 1997-98, the scope of the socially oriented sector was widened to accommodate infrastructure projects pertaining to Ports, Railways (BOLT Projects), Roads, Highways and Airports. Further, it has also been classified that the Corporation can make Private Sector Investment in addition to Public Sector Investment subject to availability of suitable schemes, which satisfy prudential norms. Boosting Industrial Growth: The Corporation helps boost the industrial growth in the country. It helps small scale and medium scale industries by granting loans for setting up Co-operative Industrial Estates and an amount of Rs.45 crore has so far been advanced to Co-operative Industrial Estates and Industrial Development Corporations. The Corporation's assistance to State Level Finance Corporations and All India Finance Corporations like IDBI, IFCI, ICICI, etc. by way of subscription to bonds/debentures issued by such institutions, also indirectly helps development of small scale and medium scale industries. The Corporation also makes investment in the corporate sector in the form of long, medium and short-term loans to Companies/Corporations. The total investment made by way of loans up to 31st March 2010 was Rs.6, 615 crore and by way of subscription to shares/debentures/bonds as at 31st March 2010 was Rs.20, 242 crore. All these make a distinct contribution towards growth in industrialization and generation of skilled and unskilled employment opportunities in the country.

Operations We Operate All Over India Corporate Office: Mumbai Zonal Offices -7 Divisional Offices -100 Branch Offices-2048 Agents - 6,28,301 BENEFITS Life Insurance is a contract for payment of a sum of money to the person assured (or failing him/her, to the person entitled to receive the same) on the happening of the event insured against. Usually the contract provides for the payment of an amount on the date of maturity or at specified dates at periodic intervals or at unfortunate death, if it occurs earlier. Among other things, the contract also provides for the payment of premium periodically to the Corporation by the assured. Life insurance is universally acknowledged to be an institution, which eliminates 'risk', substituting certainty for uncertainty and comes to the timely aid of the family in the unfortunate event of death of the breadwinner. By and large, life insurance is civilizations partial solution to the problems caused by death. Life insurance, in short, is concerned with two hazards that stand across the life-path of every person: that of dying prematurely leaving a dependent family to fend for itself and that of living to old age without visible means of support. Why is it superior to other forms of Savings? Protection: Savings through life insurance guarantee full protection against risk of death of the saver. In life insurance, on death, the full sum assured is payable (with bonuses wherever applicable) whereas in other savings schemes, only the amount saved (with interest) is payable. Aid to thrift: Life insurance encourages 'thrift'. Long term saving can be made in a relatively 'painless' manner because of the 'easy instalment' facility built into the scheme (method of paying premium either monthly, quarterly, half yearly or yearly). Take, for example, our Salary Saving Scheme popularly known as SSS. This scheme provides a convenient method of paying premium each month by deduction from one's salary. The employer remits the deducted premium to the LIC. The Salary Saving Scheme can be introduced in an institution or establishment subject to specified terms and conditions.

Liquidity: Loans can be raised on the sole security of a policy, which has acquired loan value. Besides, a life insurance policy is also generally accepted as security for even a commercial loan. Tax Relief: Tax relief in Income Tax and Wealth Tax is available for amounts paid by way of premium for life insurance subject to Income Tax rates in force. Assesses can avail themselves of provisions in the law for tax relief. In such cases the assured in effect pays a lower premium for his insurance than he would have to pay otherwise. Money when you need it: A suitable insurance plan or a combination of different plans can be taken out to meet specific needs that are likely to arise in future, such as children's education, start-in-life or marriage provision or even periodical needs for cash over a stretch of time. Alternatively, policy moneys can be so arranged to be made available at the time of one's retirement from service to be used for any specific purpose, such as for the purchase of a house or for other investments. Subject to certain conditions, loans are granted to policyholders for house building or for purchase of flats. Who can buy a Life Insurance Policy? Any person who has attained majority and is eligible to enter into a valid contract can take out a life insurance policy for himself and on those in whom he has insurable interest. Policies can also be taken out, subject to certain conditions, on the life of one's spouse or children. While underwriting proposals, factors such as the state of health of the life to be assured, the proponent's income and other relevant factors are considered by the Corporation. Insurance on Women. Prior to nationalization (1956), many of the private insurance companies used to offer insurance to female lives with some extra premium or on restrictive conditions. After nationalization of life insurance, the terms under which life insurance is granted to female lives have been reviewed from time to time. At present, women with earned income are treated on par with male lives. In other cases, a restrictive clause is imposed and that too only if age of the female is up to 30 years and if she does not have an income attracting Income Tax. Medical and Non-Medical Schemes. Life insurance is normally offered after a medical examination of the life to be assured. However, to facilitate greater spread of insurance and also as a measure of relaxation,

Bajaj Life Insurance has been extending insurance cover without any medical examination, subject to certain conditions. With Profit and Without Profit Plans. An insurance policy can be 'with' or 'without' profit. In the former, bonuses disclosed, if any, after periodical valuations are allotted to the policy and are payable along with the contracted amount. In 'without' profit plan the contracted amount is paid without any addition. The premium rate charged for a 'with' profit policy is therefore higher than for a 'without' profit policy. Key man Insurance. Key man Insurance is taken by a business firm on the life of key employee(s) to project the firm against the finance loss, which may occur due to the premature demise of the Key man. INFORMATION TECHNOLOGY AND BAJAJ LIFE INSURANCE Bajaj Life Insurance has been one of the pioneering organizations in India who introduced the leverage of Information Technology in servicing and in their business. Data pertaining to almost 10 crore policies is being held on computers in BAJAJ LIFE INSURANCE. We have gone in for relevant and appropriate technology over the years. 1964 saw the introduction of computers in BAJAJ LIFE INSURANCE. Unit Record Machines introduced in late 1950s were phased out in 1980s and replaced by Microprocessors based computers in Branch and Divisional Offices for Back Office Computerization. Standardization of Hardware and Software commenced in 1990s. Standard Computer Packages were developed and implemented for Ordinary and Salary Savings Scheme (SSS) Policies. FRONT END OPERATIONS With a view to enhancing customer responsiveness and services, in July, Bajaj Life Insurance started a drive of On Line Service to Policyholders and Agents through Computer. This on line service enabled policyholders to receive immediate policy status report, prompt acceptance of their premium and get Revival Quotation, Loan Quotation on demand. Incorporating change of address can be done on line. Quicker completion of proposals and dispatch of policy documents have become a reality. All our 2048 branches across the country have been covered under front-end operations. Thus all our 100 divisional offices have achieved the distinction of 100% branch computerization. New payment related Modules pertaining to both ordinary & SSS policies have been added to the Front End Package catering to Loan, Claims and

Development Officers Appraisal. All these modules help to reduce time lag and ensure accuracy. METRO AREA NETWORK A Metropolitan Area Network, connecting 74 branches in Mumbai was commissioned in November 1997, enabling policyholders in Mumbai to pay their Premium or get their Status Report, Surrender Value Quotation, Loan Quotation etc. from ANY Branch in the city. The System has been working successfully. More than 10,000 transactions are carried out over this Network on any given working day. Such Networks have been implemented in other cities also. WIDE AREA NETWORK All 7 Zonal Offices and all the MAN centers are connected through a Wide Area Network (WAN). This will enable a customer to view his policy data and pay premium from any branch of any MAN city. As at May 2002, we have 91 centers in India with more than 1320 branches networked under WAN. INTERACTIVE VOICE RESPONSE SYSTEMS (IVRS) IVRS has already been made functional in 59 centers all over the country. This would enable customers to ring up Bajaj Life Insurance and receive information (e.g. next premium due, Status, Loan Amount, Maturity payment due, Accumulated Bonus etc.) about their policies on the telephone. This information could also be faxed on demand to the customer. BAJAJ LIFE INSURANCE ON THE INTERNET Our Internet site is information. We have displayed information about Bajaj Life Insurance & its subsidiaries-Bajaj Life Insurance (International) E.C., Bajaj Life Insurance (Nepal) Ltd, Bajaj Life Insurance Mutual Fund, Bajaj Life Insurance Housing Finance and their products. Efforts are on to upgrade our web site to make it dynamic and interactive. The addresses/e-mail Ids of our Zonal Offices, Zonal Training Centers, Management Development Center, Overseas Branches, Divisional Offices and also all Branch Offices with a view to speed up the communication process. PAYMENT OF PREMIUM AND POLICY STATUS ON INTERNET Bajaj Life Insurance has given its policyholders a unique facility to pay premiums through Internet absolutely free and also view their policy details on Internet premium payments. There are 11 service providers with whom L I C has signed the agreement to provide this service. INFORMATION KIOSKS

We have set up 150 Interactive Touch screen based Multimedia KIOSKS in prime locations in metros and some major cities for dissemination information to general public on our products and services. These KIOSKS are enabling to provide policy details and accept premium payments. INFO CENTRES We have also set up 8 call centers, manned by skilled employees to provide you with information about our Products, Policy Services, Branch addresses and other organizational information. THE PROCESS Help Us To Serve You Better Need for care while completing Proposal Papers: A contract of insurance is a contract of utmost good faith technically known as uberrima fides. The principle of disclosing all material facts is embodied in this important concept, which applies to all forms of insurance. The proposer, who is one of the parties to the insurance contract, has means of knowledge, which are not accessible to the insurer, viz., the Corporation, which is the other party to the contract. Therefore, it is the duty of the proposer to inform the insurer of everything likely to affect the judgment of the insurer, howsoever unimportant it may seem to him (the proposer). Hence, the proposer should ensure that all questions in the proposal form are correctly answered. It may be noted that in the 'proposal' along with other related papers and the representations, made for the grant of insurance, the proposer declares that full and correct information is being furnished by him. Any misrepresentation, non-disclosure or fraud in any document leading to the acceptance of the risk will render the insurance contract null and void. In such an event, there is the possibility of the contract becoming in fructuous and the intended beneficiary being deprived of expected benefits because of an unwise act of the proposer. It is, therefore, in the interest of the would-be policyholder to disclose all material facts to the Corporation to avoid the possibility of complications at a future date. Importance of Age Admission: The rate of premium payable on a life insurance policy generally varies with age and, therefore, age is one of the most important factors in determining the rate of premium payable in an individual case. It follows that the age of the life to be assured must be proved to the satisfaction of the Corporation. In order of preference, the following will be accepted as evidence of age:

(a) Certified Extract from Municipal or Local Body's records made at the time of birth. (b)Certificate of Baptism or Certified Extract from Family Bible if it contains age or date of birth. (c) Certified Extract from School or College records if age or date of birth is stated therein. (d) Certified Extract from Service Register in the case of Government employees and employees of Quasi-Government institutions. (e) Passport issued by the Passport Authorities in India. Modes of Payment of Premiums other than single premiums may be paid by the policyholders to Bajaj Life Insurance in yearly, half-yearly, quarterly or monthly installments. Days of Grace: Policyholders are required to pay the premiums to the Corporation on the due dates. One month but not less than thirty days of grace is allowed for payment of yearly, halfyearly and quarterly premiums, and fifteen days for payment of monthly premiums. When the days of grace expire on a Sunday or a holiday observed by the Office of the Corporation where premiums are payable, the premium may be paid on the following working day to keep the policy in force. Revival of Lapsed Policy: When the premium is not paid within the days of grace, the policy lapses, It can, however, be revived during the life-time of the assured but before the expiry of a period of five years from the due date of the first unpaid premium and before the date of maturity, if applicable. The Corporation offers three convenient schemes of revival, viz. the Ordinary Revival scheme, the Special Revival scheme and the Installment Revival scheme. It is also possible to revive a policy by raising a loan under the policy provided that the policy is one with loan eligibility and has acquired adequate loan value to pay the arrears of premiums with interest. Requests for revival may be made to the Branch Office servicing the policy.

Change of Address and Transfer of Policy Records: As and when a policyholder desires a change of his address in the Corporation's records, intimation of such change should be given to the Branch Office servicing his policy. Policy records can be transferred from the Branch Office, which services the policy to any other Branch Office nearest to the policyholder's place of residence. The correct address facilitates better service and quicker settlement of claims. Care of Document and Loss of Policy: The policy document (policy bond) is an evidence of contract between the insurer and the insured. The policyholder should preserve the policy bond carefully till the contracted amount under it, is settled, as it is required to be submitted to the Corporation at the time of claims. The loss of the policy document, if it occurs, should be immediately intimated to the Branch/Divisional Office of the Corporation where it is serviced. The office will then quote the requirements for a duplicate policy or a copy of the policy, whichever is required by the policyholder. It may, however, be noted that the loss of the policy bond does not extinguish the rights of the policyholder in the policy. Loan: At present loans are granted on unencumbered policies up to 90 percent of the Surrender Value under policies, which are in force for the full sum assured, and up to 85 percent of the Surrender Value on policies, which are paid-up for a reduced sum assured. The minimum amount for which a loan can now be granted under a policy is Rs.150/-. The rate of interest charged at present is 100.5 percent or 12 percent per annum payable, payable half yearly, depending on plan per annum payable half-yearly. Loans are not granted for a period shorter than six months, or on the security of lost policies (duplicate policies must be got issued for loan) or on policies issued under certain plans. The Branch Office servicing the policy will quote the loan value on request from the policyholder. Certain types of policies are, however, without loan facility. The terms and conditions printed on the policy bond reveal whether a particular policy is with or without loan facility.

Relief to Policyholders: The Corporation allows concessions on payment of premiums, settlement of claims, issue of duplicate policies etc. when the policyholders are affected by natural calamities such as droughts, cyclones, floods, earthquakes etc. Nomination/Assignment of Policy: When the policy money becomes due for payment on the death of the policyholder, it can be paid only to that person who is legally entitled to give a valid and effective discharge to the Corporation. The importance of nomination/assignment cannot be over-emphasized, especially when a death claim arises. If the policy bears nomination, the claim is settled in favor of the nominee. Similarly, if the policy is assigned, the assignee receives the claim amount. In maturity claims, the payment is made to the life assured, subject to the policy being free from encumbrances. For quick settlement of claims, policyholders are strongly advised to effect either a nomination or an assignment in respect of their policies. It should be noted that an assignment of a policy automatically cancels the existing nomination. Hence, when such a policy is reassigned in favor of the policyholder, it is necessary to make a fresh nomination to avoid delay in payment of the claim. Claim by Maturity/Installment Payment: The Corporation strives to settle maturity claims and make periodic payments, as in the case of Money Back Policies, on the due date itself. The branch office concerned which services the policy sends out an intimation regarding the payment along with the necessary discharge voucher for execution by the assured, approximately two months before the due date of such payment. In case the policyholder does not hear from the concerned branch office in this connection, he/she may contact them by quoting the policy number. Death Claim: In the event of the death of the policyholder, the claimant (the nominee, assignee or next of kin) should immediately intimate the Branch Office, where the policy is serviced, the fact of such death, along with the following particulars:

Policy number/s, Name of the life assured, Date of death and Claimant's relationship with the assured.

Soon after the receipt of the intimation of death, the concerned Branch Office will send the necessary claim forms for completion along with instructions regarding the procedure to be followed by the claimant. The claim is usually payable to the nominee/assignee or the legal successor, as the case may be. However, if the deceased policyholder has not nominated/assigned the policy or if he/she has not made a suitable width=450 provision regarding the policy moneys by way of a Will, the claim is payable to the holder of a Succession Certificate or some such evidence of title from a Court of Law. The Corporation, however, may consider settlement of claims under such policies without insisting on the court-evidence-of-title in favor of the natural heirs of the deceased, subject to certain terms and conditions. The Corporation grants claim concessions whereby payment of full sum assured is made, subject to the deduction of unpaid premiums with interest, and premiums falling due before the next anniversary of the policy, in the event of death of the life assured within a period of six months or one year from the date of the first unpaid premium, provided premiums have been paid at least for three years or five years respectively. The Corporation has also provided some relief's as mentioned below, to the claimants under certain plans where, subsequent to the payment of premiums for two full years but less than 3 years, the death takes place after the Days of Grace but within one year from the date of first unpaid premium Within 3 months - Full Sum Assured along with declared bonus, subject to recovery of unpaid premiums to complete the policy year. Between 3 months to 6 months - Claim will be considered for half Sum Assured without declared bonus. There will be no deduction of unpaid premiums. Between 6 months to 12 months - Claim will be considered for proportionate notional paid-up value on the basis of actual premiums paid without adding declared bonus. There will be no deduction of unpaid premiums. Claims Review Committee: The Corporation settles a large number of death claims every year. Only in case of fraud or suppression of material information a claim is repudiated. The number of death claims repudiated is, however, very small. Even in these cases, an opportunity is given to the claimant to make a representation for consideration by the Review Committees at the Zonal Office and the Central Office. As a result of such reviews, depending on the merits of each case, appropriate sanctions are made. Claims Review Committee at the Central Office has been reconstituted in December'93 with the induction of an outside member Justice S.C.Pratap, former Chief Justice of Andhra Pradesh High Court which

has helped in providing transparency to our operations which resulted in greater satisfaction among the claimants, policyholders and public as well. Hi Tech Services: To provide quicker and better services to our policyholders, approx.97% of our total Branches have front-end computerization for giving on-lone service to policyholders. In addition to this, New Delhi, Chennai, Bangalore and Mumbai have installed Metro Area Network (MAN) and interactive Voice Response System (IVRS). Through MAN policyholder in the cities can obtain their policy status and make premium payment to any of the Branches within the city, and any Branch of the city can handle their policy enquiries. Through IVRS policyholders can obtain on phone and by fax-ondemand various information about their policy e.g. loan quotation, paid-up value, revival quotation, acquired bonus statement etc. 2009-10: A YEAR OF BRILLIANT NEW BUSINESS PERFORMANCE BY LIFE INSURANCE CORPORATION OF INDIA The New Business performance of the Bajaj Life Insurance in respect of individual assurances (inclusive of Single Premium, Bema Nivesh and Individual Pension Plans) during the Financial Year 2001-02 has been as follows: NUMBER OF POLICIES - Rs.2, 32,50,078 crore SUM ASSURED - Rs.1, 92,575.36 crore FIRST PREMIUM INCOME - Rs.14, 844.05 crore These represent Growth Rates (over the previous year) of 16.24% on the basis of the Number of Policies, 54.34% on Sum Assured, and 137.03% on First Premium Income. Out of the 2.32 crore policies sold during the year, 14.03 Lakh have come under Bema Nivesh /Single Premium and Individual Pension Plans. Out of the total First Premium Income of Rs.14, 844.05 crore, Rs.6, 917.84 crore has come under Individual Assurances (excluding Bema Nivesh and Individual Pension Plans) alone; Rs.5, 364.85 crore under Bema Nivesh /Single Premium; and Rs.2, 561.35 crore under Individual Pension Plans. PENSION & GROUP SUPERANNUATION BUSINESS: The New Business Premium procured under the Group and Superannuating Schemes was Rs.994.46 crore, which marks a growth of 43% over the performance of last year. The Number of Lives covered was 14,61,825 representing an increase of 17% over the coverage in 2009-10. CLAIM SETTLEMENTS:

During the year 2010-2011, L.I.C. settled in all 85.27 Lakh Claims, both Maturity and Death, as compared to 73.47 Lakh settled in the previous financial year. By far, we believe, this should be the largest number of claims settled by any life insurance company anywhere in the world. Bajaj Life Insurance is The Pride of India Bajaj Investments - Some Highlights (Rs. in crore) TYPE OF INVESTMENTS UP TO INVESTMENT 31.3.200 31.3.2010 31.3.2011 9 CENTRAL GOVT. 981 4675 37330 SECURITIES STATE GOVT & 715 1683 8906 OTHERS ELECTRICITY 733 2603 8214 (SEBs) HOUSING 618 1872 10967 WATER SUPPLY& 203 718 2028 SEWERAGE STATE ROAD TRANSPORT 180 540 CORP LOANS TO INDUSTRIAL 9 37 45 ESTATES LOANS TO 22 37 37 SUGAR CO-OPs DEVELOPMEN 1 1 T AUTHORITY ROADWAYS, PORT, RAILWAYS POWER GENERATION (PVT SECTOR) MUNICIPALITI ES TOTAL Note: 1) Item 1 & 2 are shown as at Book Value as on 31.3.10. 2) Items 3 to12 are Gross Investment made so far. 3281 11806 68068 31.3.2007 45876 10471 9153 12242 2264 551 45 37 1 25 276 4 80945 31.3.2008 56185 12928 10591 14207 2508 671 45 37 1 25 801 4 98003 31.3.09 70533 14156 11931 15885 2997 736 45 37 1 85 1478 4 117888 31.3.1 0 85181 17877 12402 17998 3657 784 45 37 1 325 1615 4 13992 6 31.3.1 1 10993 8 21463 13447 19054 4000 893 45 37 1 681 3797 4 17337 0

Investments - 2009-10

For The Financial Year 2009 - 2010 * The value of the Total Assets of the corporation stood at Rs.1, 93,282.99 crore, the growth rate being 20.09%. * The Total Income amounted to Rs.54, 736.30 Crore, registering a growth of 21.17%. * The Total payments to policyholders amounted to Rs.14, 025.75 crore as against Rs.11, 171.48 crore in the previous year.

The Total Life Fund as at the close of the year increased to Rs.1, 86,024.75 crore, the percentage increase over the previous year being 20.76%.

Claims Performance:

Ratio of outstanding claims was only 3.58% in terms of amount and 1.67% in terms of number as on 31.3.2011. * During 2010 - 2011, Bajaj Life Insurance settled 75.86 Lakh claims for an amount of Rs. 11,637.98 crore. * On an average, Bajaj Life Insurance settles over 26249 claims amounting to Rs. 40.27 crore every working day 81% of Maturity Claims are settled on or before the date of maturity 85% of Non-Early Death Claims are settled within 45 days.

Chapter 4

OBJECTIVE
1. To study the analysis of insurance sector in India with special reference Bajaj Allianz Life Insurance co. Ltd 2. To study the Comparative Analysis of product provided by Insurance company. 3. To know the consumer feedback. 4. To know the marketing strategies adopted to promote these products. 5. To make the private players responsible to the investors and not to the government. 6. The objective of this analysis was to find out the reasons for the success of the India's top private insurance sector Bajaj Allianz other Indian insurance companys as compared its counterparts. 7. To know awareness about life insurance among earning public. 8. Comparative study on Bajaj Allianz with other Indian insurance companys 9. To know the type of life cover most preferred by the public 10. To find out what policies Bajaj Allianz is providing 11. To find out the various policies in life insurance 12. To find out what are the benefits of each of the policy 13. To find out the working process of an insurance agent 14. To understand the functioning of an insurance company 15. To study the benefits of this product provided by Bajaj Allianz. 16. To increase the competition in this sector so that the common people has the advantage of enjoying quality services at a reasonable cost Sub Objective: To increase the competition in this sector so that the common people has the advantage of enjoying quality services at a reasonable cost Insurance has a far reaching effect in synchronizing between the various service sectors. So if this sector can grow, the prospects of the various other services sector remains to be promising.

SCOPE OF THE STUDY Research is the solution of the problem, whether created or already generated. When research is done, some new out come, so that the problem (created or generated) to be solved. The study is designed and focused primarily on identifying the present market position of the Bajaj Life Insurance. It also includes identification of its core competitors and enhancing efforts towards brand repositioning in present and in future. No study is generally full proof this report suffers from certain limitation with respect to information and analysis. Scope of Life Insurance industry in India is full of opportunities & a huge potential lies in rural areas.

Chapter 5

METHODOLOGY
RESEARCH METHODOLOGY This with the research methodology that has been followed. Research methodology can be defined as the step by step procedure that is designed and followed for the purpose of doing a research work. Other main purpose is to design the work in such a way that all the areas to be covered in the research work fall in a correct manner and in the purview of the research work and nothing is left out the methodology is develop din such a way that the flow of the work is continuous and desired results are obtained. The methodology followed for the purpose of this study is as follows: PRIMARY DATA SOURCES USED: Appointments with different people who seem to be prospective advisors Interview Method (Cold calling): This method involves presentation of oral verbal stimuli and reply in terms of oral - verbal responses. This method can be used through personal interviews and, if possible, through telephone interviews. SECONDARY DATA: Secondary data means data which is already available i.e. we refer to the data which has already been collected and analyzed by someone else. Secondary data may be either published data or unpublished data. In this project secondary data collected from following sources. Usually published data are available: Telephone directory, which contains telephone number of all residents of the area, companies and shops. Newspapers, books and magazines. Reports and publications of various associations connected with business and industry. Websites and other publications of company. STATISTICAL TOOLS USED The main statistical tools used for the collection and analyses of data in this project are:

Questionnaire Pie Charts Tables Limitations of research

Although the project has been worked out at its best yet there are some limitations which cannot be overlooked. Had these limitations been overcome, the findings would be more accurate. Some of the limitations are 1) Time constraint- Time was really a limiting factor in the project. Its really difficult to work out such a large project between two months time. 2) Data Constraint- since Delhi is very vast, its really difficult to collect data from whole of Delhi, Most of the data has been collected from South and central part of Delhi.

Chapter 6

RESULTS REPORT OF DATA COLLECTION

1. Do you know about Bajaj Life Insurance? (a) Yes(b) 92% No 8%

8%

92%

Yes No

The study states that 71.42% people knows about insurance and 28.57% people doesnt knows about insurance.

2.

Have you ever opted for Insurance from Any Company? (a) Yes(b) No 61% 39%

39%

61%

Yes No

The study states that 57.14% people have opted for insurance of any type, but 42.85% have not opted for insurance in their lives.

3. If Yes, Which Company have you taken Insurance from? LIC Shriram 42% life 7% 12% 19% 8% 10% 2%

Life

Insurance

Insurance HDFC Standard Life Insurance Shriram Life Insurance Life Max New York Life Insurance Birla san life Insurance Met life insurance

45%

42%

40%

35%

30%

25% 19%

20%

15%

12% 10% 8%

10%

7%

5%

2%

0% LIC Reliance life Insurance ICICI Pur Max new life HDFC birla sun life Met life insuracne

The study states that maximum people with the % of 28.57% have opted for L.I.C and people with minimum 5.71% have opted for Birla sun life Insurance.

4.

How did you come to know about Insurance? (a) Advertisement (b) Word of Mouth (c) Referred by your company / Friend 76% 14% 10%

10% 14%

Advertisem ent Word of Mouth Referred by your com pany/friend

76%

According to the research study states that maximum people with the % of 57.14% gets aware through advertisement about insurance.

5.

What made you select a particular Company for the Insurance? (a) EMI (b) Brand name (c) Procedures (d) Facilities (e) Policies (f) Advertisement 78% 3% 9% 1% 7% 2%

The study states that maximum people with the % of 57.14% gets awared through advertisement about insurance.

6.

How do you like the Marketing strategy by different Companies? (a) Good (b) Average (c) Bad 68% 19% 13%

13%

Good Average

19%

Bad

68%

This states that maximum people with % of 57.14% percent are satisfied with the marketing strategies by different insurance company.

7.

What motivates you for selecting any Company for Insurance? (a) EMI (b) Brand name (c) Procedures (d) Facilities (f) Policies 76% 4% 9% 3% 8%

80% 70% 60% 50% 40% 30% 20%

76%

9% 10% 0% EMI Brand Name Procedures Facilities 4% 3%

8%

Policies

The study states that maximum people are motivated through services while selecting any insurance company.

8. Advantages or Comment about Insurances (a) Advertisement should be more on the advantages and fact rather the features. (b) There is a Tax saving factors while opting for Insurance. (c) Procedure should be made easier for the normal public as it consumes a lot of time and effort for providing all the documents. (d) Insurance is a need and not Luxury.

9.

Which Company would you prefer if you have never applied for Insurance? LIC Birla sun life Insurance HDFC Standard Life Insurance Icici Pur Max New York Life Insurance Shriram Life Insurance life Insurance Met Life Insurance 56% 7% 12% 17% 8% 5% 3%

60% 50% 40% 30% 20%

56%

19% 12%

10% 0% LIC

7%

5%

3%

HDFC Bank ICICI Bank Birla sun Reliance Met Life life life insuracne insurance Insurance

This states that maximum people with % of 25.71% will prefer LIC for their insurance.

10. Percentage of Respondents Who Are Under Different Plans of Bajaj Life Insurance.

PARTICULARS Invest gain plan Unit gain plan Child gain plan Whole life plan Pension plan TOTAL

NO.OF.RESPONDENT 41 36 8 15 No 100

PERCENTAGE 41% 36% 8% 15% No 100%

INSURANCE PLANS OF SHRIRAM LIFE INSURANCEPRUDENTIAL

15% 8% 41%

Invest gain plan Unit gain plan Child gain plan Whole life plan Pension plan

36%

ANALYSIS: From the survey it was found that amongst 100 respondents a) 41% of the respondents are under invest gain plan b) 36% of the respondents are under unit gain plan c) 8% of the respondents are child gain plan d) 15% of the respondents are whole life plan e) No body under pension plan

11. Percentage of respondents benefits of choosing the particular products?

PARTICULARS Risk coverage Additional benefit Maturity date Sum Assured TOTAL

NO.OF.RESPONDENT 60 20 12 8 100

PERCENTAGE 60% 20% 12% 8% 100%

ANALYSIS: a) 36% of the respondents say that a benefit of choosing the particular Product is for Safety of life. b) 20% of the respondents say that a benefit of choosing the particular products is for additional benefit to family c) 12% of the respondents say that a benefit of choosing the particular products is for maturity date d) 8% of the respondents say that a benefit of choosing the particular products is for sum assured

12 Percentage of Disadvantages In Insurance Plan? PARTICUALRS Liquidity Lapsation Unable to premium High risk coverage Fixed Term TOTAL NO.OF.RESPONDENT 35 20 decide 19 14 12 100 PERCENTAGE 35% 20% 19% 14% 12% 100%

ANALYSIS: From the survey it was found that amongst 100 respondents a) 35% of the respondents say that disadvantages in insurance plan are liquidity. b) 20% of the respondents say that disadvantages in insurance plan are lapsation. c) 19% of the respondents say that disadvantages in insurance plan is unable decide premium. d) 14% of the respondents say that disadvantages in insurance plan are high-risk coverage at high premium. e) 12% of the respondents say that disadvantages in insurance plan is fixed term

Chapter 7

RECOMMENDATIONS
The Indian insurance sector is undergoing change. Earlier there was a big monolith; in 2010 all of this changed with the entry of 11 private insurers. The way the private insurers took for making themselves known to the customer was through agents. Later they realized that distribution could form one of the major points of differentiation for insurance players especially in a country like India where most of the people are not aware of the necessity of insurance. One can clearly see that agents ruled the roost in the distribution of insurance products. This is changing; the private players have understood the potential of bancassurance and are moving in to use the same as strength. Banks do form cooperation with the insurance companies in order to increase their fee based incomes while insurance companies take into account the brand name of the banks for choosing them as their agents. There is a saving for the insurance company while taking up the bancassurance route as compared to agents; the costs being that of training the bank employees. Bancassurance also has its share of concerns after the internal customers - whom are the banks going to target, the concerns of the insurance companies regarding the lack of selling culture in banks , the continuous swapping of partners in the last 2 years all call for careful introspection in above the model. LIC by virtue of its huge no of agents is not able to clearly understand whether it should go in for the bancassurance as the major channel of distribution while most of the private insurers are ready to use it as strength. This is seen in the barely .5 % of the new business premium generated by the bancassurance model whereas it is on an average 20 % in case of the private players. In this regard LIC has to initiate steps by taking their bank partners into confidence by incorporating their views in their model. In all Bancassurance is to go to greater heights- all the insurance companies believe that bancassurance is going to significantly increase. T This is also true with the banks which are also gearing up to take up bancassurance model to greater heights of success. There are certain flaws existing in this working of the insurance industry. There are some of the recommendation we ad come up with while doing this project. It will help to make insurance more important sector in todays economy.

The need of the hour is to devise a comprehensive strategy that will help the firms face the challenges of the future. The financial services industry around the world over is undergoing a major transformation. It is very important that trained marketing professionals who are able to communicate specific features of the policy should sell the policy. From our research we could find out that people are not aware about the policies and features of insurance. Therefore Birla Sun Insuracen and HDFC are recommended to shed light on policies and explain the benefits, thus increasing the awareness. The penetration of insurance in India is around 22%. This indicates that a vast majority of rural population is not covered. The market player needs to explore this untapped potential through their marketing and sales network. The returns of the policies are not properly managed and never given in time. So, these must be looked at. Pricing of insurance products, as empirically available in India, shows that pricing is not in consonance with market realities. Life Insurance premium is generally perceived, as being too high while general insurance (especially motor insurance) is priced too low. Some insurance products, which are not available in India, should, be introduced in market. There are areas for new product development: liability cover Insurance companies will also had to get savvy in distribution. Enhanced marketing thus will be crucial. Already many companies have full operation capabilities over a 12hour period. Facilities such as customer service center are already into 24-hour mode. These will provide services such as motor vehicle recovery. Technology will also play an important role on the market. The lines of distinction between banks insurance companies and brokerages are getting blurred. The future seems to belong to financial supermarkets that will offer a host of services and products to the consumer. In the next millennium all these activities would play a crucial role in the overall development and maturity of the insurance industry Industry all risk policies, Large projects risk cover, Risk beyond a floor level, Extended public and product

Chapter 8

CONCLUSIONS & IMPLICATIONS

This deals with the concluded aspects of the study carried out on the basic objective is for the study is for which study was carried out has been fulfilled in the Bajaj Life Insurance chapter, based on the objective interview schedule was designed. Data collected based on schedule was analyzed and some findings have emerged.

Major Findings of the Study

a) Based on the quantitative analysis the major findings of the study have been highlighted below. b) Most of the people are satisfied with the extent of their life insurance cover. They are not interested in buying more life insurance. c) People do not consider life insurance as a good savings because of low returns. d) As life insurance is a long term contract. Maximum people do not have faith on private life insurance companies, they still prefer LIC. e) Because of less advertising not many people are aware about private life insurance companies. f) Most of the people do not know about broker, corporate agents and banc assurance, they rely on their agents only g) The most preferred type of plan is money back. The reason being availability of funds after every five years which can be used for paying further premium, thus saving the regular income. h) Some people have no idea about what type of cover they have. i) Most of the people feel that life insurance is essential but they think returns are low. j) Advertising of the insurance product should stress on the need of security. k) Insurance should be popularized as the means of securing future rather than saving tax. l) Policies should be issued quickly and with less formalities m) Other service should also be improved. n) Newspaper/Magazines and television are the most effective medium of advertising life insurance. o) Insurance agents should be well trained. Dividend for the Financial Year 2009-10

The Board of Directors of the Corporation has recommended payment of dividend of 170% (Rs. 17 per share), for the financial year ended March 31, 2010, for approval of the shareholders at the AGM. [Previous year 135% (Rs. 13.50 per share)]. Dividend entitlement is as follows:

For shares held in physical form: shareholders whose names appear on the register of members of the Corporation as at the close of business hours on June 30, 2009.

For shares held in electronic form: beneficial owners whose names appear in the statements of beneficial position furnished by NSDL and CDSL as at the close of business hours on June 30, 2010.

There has been tremendous change in the insurance history. And with it there has been continuous growth in this sector both in Indian as well as world context. The opening up of the insurance sector has changed the whole look of the industry. While the LIC in order to face the competition is coming with new strategies. New players like Shriram Life Insurance are leading the sector due to their strategic management and tailored made projects. From our research also we conclude that though the awareness and people opting for LIC plans are more as compare to MNYL but the later are gaining momentum in the market day by day. The primary reasons for buying an insurance policy, whether life or non-life is to protect us from vagaries of life. We do not invest in insurance for returns; rather we invest in it for regrettable necessities. Though a large proportion of policies available in the country provide for returns, but nobody is looking for returns to the inflation rate. So what does insurance offer, perhaps peace of mind, but even that takes time, due to poor claim performance The demand for insurance is likely to increase with rising per-capita incomes, rising literacy rates and increase of the service sector, as has been seen from the example of several other developing countries. In fact, opening up of the insurance sector is an integral part of the liberalization process being pursued by many developing countries Insurance is a Rs.400 billion business in India and yet its spread in the country is relatively thin. Insurance as a concept has not been able to make headway in India. There has been a strong fall in insurance business in recent years. On the other hand, growth fluctuations have been relatively small with growth rates varying between 1% and 5%. Life insurance business by contrast achieved average growth rates of 6%,

although the actual rates ranged from 0% to 13%. This shows on the one hand the increasing significance of life insurance as an instrument for old age provisions and on the other hand indicates the sensitivity of life insurance to changes in the institutional and economic environment. THE PROJECT STUDY REPORTS HAS THE FOLLOWING CONCLUSIONS: 1. Almost 80% of respondents have an insurance policy.

2. People have more number of life nsurance policies as compared to non life insurance. 3. Majority of the respondent preferred/have l.i.c. Policy since it was the only option due to complete government control in insurance sector. (though now privatised) 4. Majority of the respondents believe that covering future uncertainity is the most important benefit of an insurance policy. 5. Majority of the respondent believed that larger risk coverance of their policy was the main feature of their policy that attracted them buy that policy.though low premium was the next important feature. 6. Due to the increasing concern of people towards their health/life the life insurance business has godd prospects. 7. Due to increased in consumerism new product is launched everyday.thus nonlife/general insurance business is also going to have boom period.

BIBLIOGRAPHY
References 1. Parihar Rachana, Bancassurance: Challenges and Opportunities in India, INSURANCE CHRONICLE, July 2004, pg 51 56 2. Flur K Dorlisa, Huston Darren and Lowie Y Lisa, Bancassurance: Three Partnership Models, Bancassurance-An Introduction (Kesiraju Krishnaphani ,ICFAI Press( 2003) ), pg 35 42 3. Mayne Geoff and Taylor Matthew, Bancassurance: Driving Factors, Bancassurance - An Introduction (Kesiraju Krishnaphani , ICFAI Press ( 2003) ), pg 1- 12 4. Daswani Neil, Building a Long Term Solution Partnership ,pg 129 - 136 Bancassurance- An Introduction (Kesiraju Krishnaphani , ICFAI Press ( 2003) , pg 129 135 5. Jayaprakash S, Time to tame Insurance Distribution Channels in India, INSURANCE CHRONICLE, Oct 2004,pg 43-48 6. Designing Distribution, ASIA INSURANCE POST, Sept 2004, pg 25 34 Books 1. Bajpai N G & Navare Jyoti , The Marketing Of Insurance , pg 8- 23 2. Palade S P, Shah S R & Lunawat L M, Changing Policies And Emerging Opportunities, ResponseBooks (2003), pg 415 -429 3. Vaughan J Emmett & Vaughan M Therese, Essentials Of Risk And Insurance, ,John Wiley & Sons ( 2001), pg 221 231 4. Ganguly Anand, Careers In Insurance, Gyan Sagar Publications ( 2002) 5. Kesiraju Krishnaphani , Bancassurance An Introduction, ICFAI Press ( 2003)

Magazines
1. Singh Gina , Risky Business, Businessworld, 10 Feb 2003, pg 24 25 2. Singh Gina , Premia On training, Businessworld , 25 September 2010 pg 16 3. Gupta Hima, Gupta Sudhir and Aggarwal Naresh , Growth Of Life Insurance Sector, INSURANCE CHRONICLE , May 2004, pg 25 29 4. Gupta Vivek , Global Insurance Industry A Perspective , INSURANCE CHRONICLE , July 2004 ,pg 29 33 5. Bhattacharya Anabil, BANCASSURANCE Need & Effects , THE INSURANCE TIMES , Oct 2004 ,pg 27 35

6. Bharti Veena , Bancassurance A Paradigm Shift Insurance Marketing , , THE INSURANCE TIMES , Oct 2004 ,pg 37 38 7. Kumar Manoj , Marketing and Distribution Channels in Bancassurance, THE INSURANCE TIMES, Oct 2004 , pg 44 50 8. Boyle E Charles , Bancassurance Model is Business as Usual in European Countries, THE INSURANCE TIMES , Oct 2004, pg 51 9. Jayaprakash S Time to Tame Insurance Distribution Channels In India, INSURANCE CHRONICLE, Oct 2004, pg 43 48 10. Editorial Team, Transformation Of Insurance In India, Accountant, June 2004 , pg 1343 1347 11. Barua Abheek, Bancassurance New Concept catching up fast In India Chartered Accountant, June 2004,pg 1348 1351 12. Kumar Vikas , Life is Beautiful, Brand Equity,15 October 2003 13. Kumar Manoj, Bancassurance In India : A SWOT Analysis, BancassuranceAn Introduction , pg 96 105 Websites 1. 2. 3. 4. 5. 6. 7. 8. http://www.irdaonline.org/ http://www.irdaindia.org/ http://www.insuremagic.com/Content/Articles/Life/bancassurance.asp http://www.insuremagic.com/Content/Articles/Life/bkng_bancassurance.asp http://www.ficci.com/ficci/media-room/speechespresentations/2001/oct/FICCIpresentation.ppt www.ficci.com/ficci/media-room/speeches-presentations/2002/sep/sep-insuranceaviva.ppt http://www.kotaklifeinsurance.com/omkm/index.jsp www.hdfcinsurance.com/ Chartered

APPENDICES
QUESTIONNAIRE
Hello. This is ____________________ Bajaj Life Insurance, working here as a management trainee. I would appreciate it if you could lend me just 2 minutes of your time for my project on Insurance Industry. I would like to assess if you are interested in taking a business opportunity available in the insurance sector which requires no investment of yours. 1. Name: 2. Occupation 3. Do you know about Insurance? a. Yes b. No

4. Have you ever opted for Insurance from any company? a. Yes b. No

5. Which company have you taken Insurance from? a) LIC b) SBI Insurance c) HDFC Standard Life Insurance d) Icici Pur e) Max New York Life Insurance f) LIC g) Shriram Life Insurance life Insurance 6. How did you come to know about Insurance? a) Advertisement b) Word of Mouth c) Referred by your company / Friend

7. What made you select a particular company for the Insurance? a) EMI b) Brand name c) Procedures d) Facilities e) Policies f) Advertisement 8. How do you like the Marketing strategy by different Insurance Company? a) Good b) Average c) Bad 9. What motivates you for selecting any Company for Insurance? a) EMI b) Brand name c) Procedures d) Facilities e) Policies 10. Advantages or Comment about Insurances 11. Which Company would you prefer if you have never applied for Insurance? a) LIC b) SBI Insurance c) HDFC Standard Life Insurance d) Shriram Life Insurance Life e) Max New York Life Insurance f) LIC g) Shriram Life Insurance life Insurance

12. Percentage of Respondents Who Are Under Different Plans of Bajaj Life Insurance. a) Invest gain plan b) Unit gain plan c) Child gain plan d) Whole life plan e) Pension plan

13. Percentage of respondents benefits of choosing the particular products? a) Risk coverage b) Additional benefit c) Maturity date d) Sum Assured 14 Percentage of Disadvantages In Insurance Plan? a) b) c) d) e) Liquidity Lapsation Unable to decide premium High risk coverage Fixed Term