OBJECTIVES OF THE STUDY

To know the various investment alternatives that is mostly preferred by the customers. To find out the criteria that people think about before investing in a life insurance policy.

To find out the level of awareness of Reliance life insurance among people .

LITERATURE REVIEW
Gatzert, et.al (2009). Gatzert says that the life insurers often claim that the life settlement industry reduces their surrender profits and leads to an adverse shift in their portfolio of insured risks; that is, high risks remain in the portfolio instead of surrendering. In this article, we aim to quantify the effect of altered surrender behavior - subject to the health status of an insured - in a portfolio of life insurance contracts on the surrender profits of primary insurers. Our model includes mortality heterogeneity by applying a stochastic frailty factor to a mortality table. We additionally analyze the impact of the premium payment method by comparing results for annual and single premium payments. Bernier & mouelhi (2009) Bernier shows that the paper characterizes the (weak-form) efficiency of the Toronto Stock Exchange (TSX) with respect to the life insurance sector in a post-demutualization context, using a methodology called co integration analysis. The major conclusion that can be drawn from this analysis is that the Canadian stock market appears to have been inefficient in pricing the securities of the three newly demutualized life insurance firms that became part of the S&P/TSX index of Canada's financial sector. Indeed, it appears that it would have been possible to predict the future price behavior of these life insurance stocks by relying on past information following their demutualization. Graves (2009) Graves had explained about the recession has added many challenges to the already full plate faced by insurance executives. There is no question that changes are coming in the regulation of insurers. Even before the recession, the SEC proposed regulating indexed annuities as securities. It is still aggressively pursuing that issue (Rule 151A). Now that the regulatory shortcomings that

exacerbated the recession are exposed, it is clear that there will be significant new regulatory constraints imposed on most financial institutions, including insurers. The federal government bailout of financial institutions is a good example of the questionable outcome of a federal program. Insurers are having to decide if they are eligible for bailout funds and if so, if they want to seek such funds. The lobbying and legislative battles could end up being a life-or-death matter for the health insurance products of the company. It will be imperative that the health insurance industry mount an aggressive effort to preserve its very viability.
Lynch (2009) Lynch has explained the cash value life insurance (CVLI) is a cornerstone asset because it fits economic reality and human financial behavior. Now that people have viscerally experienced the financial dark side they are likely to realize CVLI is part of a fundamental foundation for rebuilding their security. People have known that risk involves the possibility of loss. Investors have been aware that risk and return are closely related. The more accurate the view of reality economics and human financial behaviors, the more life insurance will be seen as an important means to obtain the results required for financial security. CVLI operates as a commitment tool that motivates people to continue to invest their premiums notwithstanding changing financial circumstances, competing demands for their attention and funds, or discipline lapses. Plus, the product's safe, dependable accumulations and insurance benefits enable individuals to allocate resources to higher-risk, potentially higher-return investments. Chen & Wang (2009) Chen&Wang in recent service management literature, researchers have incorporated switching barriers as an important potential influential factor on customer loyalty and found that the impact of customer satisfaction on customer loyalty might vary under different switching barrier conditions. However, switching barriers and their importance in the life insurance service contexts have received little in-depth attention. This study aims to examine the impact of switching barriers as a potential moderator on the complex interrelationships among the antecedents and consequences of customer satisfaction in the life insurance service context. The main findings of this study show that the switching barriers do have a moderating effect and play a crucial role in winning customer loyalty. Jawadi, et.al (2009) Jawadis aim on this article is to study the adjustment dynamics of the non-life insurance premium (NLIP) and test its dependence to the financial markets in five countries (Canada, France, Japan, the United Kingdom, and the United States). First, we justify the linkage between the insurance and the financial markets by the underwriting cycle theory and financial models of insurance pricing. Second, we examine the relationship between the NOP, the interest rate, and the stock price using the recent developments of nonlinear econometrics. We use threshold co integration models: the switching transition error correction models (STECM). We show that STECM perform better than a linear error correction model (LECM) to reproduce the NLIP dynamics. Our empirical results show that the adjustment of the NLIP in France, Japan, and the United States is rather discontinuous, asymmetrical, and nonlinear. Moreover, we suggest a strong evidence of significant linkages between insurance and financial markets, show two regimes for the NLIP, and find that the NLIP adjustment toward equilibrium is time varying with a convergence speed that varies according to the insurance disequilibrium size.

Cory Chmelka, (2010) Cory chmelka suggested that life insurance policies often form a large percentage of a client's net worth. As goals, needs and products evolve, advisers should review their clients' insurance portfolio to make sure it is optimized. Here are these steps to get started: 1. Confirm the need, purpose and goal of the existing policy. 2. Determine whether the insured's health has improved since the policy was purchased. 3. Check the client's estate tax exposure. 4. Check the policy's design. 5. Check the insurance company's credit quality. 6. Consider alternatives to IRC Section 1035(a) exchanges for policies with significant cash value. 7. Check the policy's projected performance. 8. Check who owns the policy. 9. Make sure any insurance professional involved is independent. McShane, et.al (2010) Mcshane explained in this theory that indicates a system with multiple regulators leads to less forbearance and limits producer gains while a model of banking regulation developed by Dell'Ariccia and Marquez (2006) predicts the opposite. Fragmented regulation of the US life insurance industry provides an especially rich environment for testing the effects of regulatory competition. We find positive relations between regulatory competition and profitability measures for this industry, which is consistent with the Dell'Ariccia and Marquez model. Our results have practical implications for the debate over federal versus state regulation of insurance and financial services in the US. Cooper & nakabayashi ( 2010) Cooper has ranked the first and second in size, the highly competitive national markets for life insurance in the United States and Japan have both experienced periods of serious ethical misconduct in the marketing and management of insurance products, resulting in an erosion of public trust in the industry. A comparison of the findings of surveys of leading U.S. and Japanese sales professionals revealed difference insurance markets. These differences can be attributed, at least in part, to the influence of markedly differing cultures on business conduct in these countries.

F Commito, et.al ( 2010). F commits Private Letter Ruling 200945032 allows a loss deduction for a life insurance policy. Unfortunately, the IRS continues to assert that in certain situations, basis in a life policy must be reduced by COI charges. This is already an element of contention, and it will remain to be seen how this issue plays out

QUESTIONNAIRE

1. NAME: 2. GENDER: ? 3. AGE GROUP: 20-30YEAR 41-50YEAR 60ABOVE 31-40YEAR 51-60YEAR

Male

Female

4.) What is your total yearly annual income? < 2 lacs 6 lacs to 10 lacs 2 lacs to 5 lacs > 10 lacs

5. WHAT PERCENTAGE OF SALARY DO YOU USUALLY SAVE? BELOW10 16-20% ABOVE25% 6. WHAT KIND OF INVESTMENT DO YOU PREFER? SHORTTERM MIDTERM LONGTERM 11-15% 21-25%

7. RANK THESE VARIOUS INVESTMENT ALTERNATIVES ACCORDING TO YOUR PREFERENCES. S NO 1 2 3 4 5 INVESTMENT ALTERNATIVES INSURANCE MUTUAL FUND BANK DEPOSITS REAL ESTATE GOLD&SILVER RANK

8.GIVE YOUR RESPONSE TO YOUR EXPECTATION ON INVESTMENT ALTERNATIVES?

EXPECTATIONS ON INVESTMENT SAFETY CAPITAL GROWTH LIQUIDITY RETURN TAX BENEFITS

STRONGLY AGREE

AGREE

NEUTRAL

DISAGREE

STRONGLY DISAGREE

9. DO YOU HAVE LIFE INSURANCE POLICY? YES NO

10. IF YES WHICH INSURANCE COMPANY POLICY DO YOU HAVE? LIC MET LIFE RELIANCE LIFE BAJAJ ALLIANZ

OTHERS (SPECIFY)

11. WHAT SCHEME OF INSURANCE POLICY HAVE YOU TAKEN? LIFE PLAN HEALTH PLAN RETIERMENT PLAN MONEY GROWTH PLAN OTHERS (SPECIFY)..

12. WHAT KIND OF PARAMETERS DO YOU CONSIDER BEFORE TAKING INSURANCE? PARAMETER S CONSIDER BEFORE POLICY PREMIUM CHARGES POLICY TERM BONUS& INTEREST SERVICES COMPANY IMAGE STRONGLY AGREE AGRE E NEUTRA L DISAGREE STRONGLY DISAGREE

13. WOULD YOU LIKE TO INVEST IN RELIANCE LIFE INSURANCE? YES NO

14. WHAT WILL MAKE YOU TO INVEST IN RELIANCE LIFE INSURANCE? BRAND IMAGE TRANSPARENCY GROWTH POTENTIAL GOOD FAITH

OTHERS (SPECIFY). 15. WHICH LIFE INSURANCE POLICY ARE YOU WILLING TO TAKE? LIC BAJAJ ALLIANZ MAX NEWYORK HDFC STANDARD RELIANCE LIFE MET LIFE ICICI PRUDENTIAL

16. FROM WHOM DO YOU GET ADVICES BEFORE MAKING AN INVESTMENT IN INSURANCE? FRIENDS AGENTS RELATIVES COLLEGUES

OTHERS (SPECIFY).. 17. ARE YOU SATISFIED WITH THE PRESENT FEATURES OF THE INSURANCE?

Highly Dissatisfied

Dissatisfied

Neither Satisfied nor Dissatisfied 3

Satisfied

Highly Satisfied

18. HOW OFTEN DO YOU MAKE INVESTMENTS? MONTHLY QUARTERLY SEMI ANNUALLY ANNUALLY