RECRUITMENT AND SELECTION AT HDFC STANDARD LIFE INSURANCE COMPANY LTD

By:- Vinod Prajapat

Agenda
Executive Summary. Company Profile. Features Of The Product & Benefits. Marketing Strategies. Recruitment Of FC s . Data Analysis and Interpretation. SWOT Analysis. Conclusions & Suggestions

Executive Summary
Project Title: RECRUITMENT & SELECTION OF FINANCIAL CONSULTANT Objective:- To study of the perfect market for HDFC SLIC. And To approach to the interested people towards HDFC SLIC Name of the organization:-HDFC SLIC. Place of the work: F.C. Road, PUNE Organizational Guide: Mr. Anand Gawrade Duration: 1st April to 1st June 2009

Company Profile
HDFC Standard Life Insurance Company Ltd:-It was incorporated on 14th august 2000. It is a joint venture between Housing Development Finance Corporation Limited (HDFC Ltd.) India And UK based Standard Life Company. Both the joint venture partners being one of the leaders in their respective areas came together in this 81.4:18.6 joint venture to form HDFC Standard LifeInsurance Company Limited. Mr. Deepak Satwalekar is the MD and CEO of the venture. HDFC Standard Life Insurance Corporation is sure to become one of the leaders and the first preference for any life insurance customer.

Features Of The Product & Benefits

1. Accidental Death Benefit (ADB) 2. Critical Illness (CI) Benefit 3. Double Sum Assured (DSA) Benefit 4. Waiver of Premium (WOP) Benefit 5. Accelerated Sum Assured (ASA) 6. Term Assurance Plan 7. Money Back Plan 8. Endowment Assurance Plan 9. Loan Cover Term Assurance 10.Group Term Insurance (GTI)

1. Accidental Death Benefit (ADB):-ADB provides an additional amount equal to the basic sum assured (SA) in case of the death of the policyholder due to an accident, within 90 days of the accident. 2. Critical Illness (CI) Benefit:-CI provides an additional amount equal to the SA on diagnosis of the any one of the 6 specified critical illnesses --- cancer, coronary artery bypass graft surgery, heart attack, kidney/renal failure, major organ transplant (as recipient) and stroke. The sum assured is payable if the policy holder survives for 30 days after the date of the claim. 3. Double Sum Assured (DSA) Benefit:-DSA provides an additional amount equivalent to the basic SA in case of the death of the policyholder

4. Waiver of Premium (WOP) Benefit:-WOP basically waives the premium in case the policyholder becomes totally disabled. However, the waiver is applicable only during the period of the disability. 5. Accelerated Sum Assured (ASA):-Upon diagnosis of any of the specified six critical illnesses, ASA provides an amount equal to the amount payable on death. 6. Term Assurance Plan:-The SA is payable in the case of the death of the policyholder during the term but on survival, there are no maturity benefits. This is insurance in its purest form --- highest cover at lowest cost.

7. Money Back Plan:-This plan pays periodic cash lump sums during the tenure of the policy. The lump sums, essentially a proportion of the basic SA are paid at 5-year intervals. On survival, the basic SA plus bonus less the cash lump sums paid earlier are provided. However, in the case of the demise of the policyholder, the basic SA plus any bonus is provided to the family. 8. Endowment Assurance Plan:-As is normal with all endowments, on the death of the life assured during the term, the beneficiary will get the SA. On survival, the policyholder gets the SA.

9. Loan Cover Term Assurance:-This is a unique product meant as a safety net in case one has taken a loan to buy a house. It is designed to help the family repay the outstanding loan in the case of the death of the breadwinner. 10. Group Term Insurance (GTI) :-HDFC Standard Life also offers GTI, meant essentially for employees of an organization. GTI is extremely convenient for an employer as he can take insurance for all or certain categories of employees.

Marketing Strategies
REASON FOR THEIR GOOD CONDITION:
1. Consultants hold on the market When it comes for the case of market, there is a clear and complete hold of HDFC SLIC Consultants. 2.Quality HDFC SLIC provides good quality of products, which is praised by most of the consumers. The reason for 65% of the market cover by HDFC Standard Life Insurance is because of quality of products. 3.Demand Demand for the product of HDFC Standard life is very high in the societies. 4.Supply Supply of product is also good, but in capturing whole market it take some time.

COMPETITORS:-

ADVERTISEMENT AND SALES PROMOTION:-

Film opens in the compound of a house. Father is checking something inside the bonnet of an old small car. His daughter, around 27-28 years old, is working on a lap top next to him

Daughter: Dad. Father: Bolo Daughter: Nayi car lene mein hee bhalaai hai. Dad nods in agreement without looking up. Dad: Hmmm

Father looks at her and says emotionally. Dad: Car badi ho gayi, aur beti bhi. Daughter smiles with pride.

Dad doesnt know what to say as he looks at the cheque. Daughter pleads: Pleasedad

Mother enters with tea. She senses something serious and questions them. Mother: Aree Kya hua?

Super: Unit Linked Savings Plans MVO: Unit Linked Savings Plans from HDFC Standard Life. zimmedari nibhao, Aaj bhi kal bhi

Recruitment of Financial Consultants (FC) in HDFC Standard Life

Criteria for FC: He should be at least 12th passed. He should complete IRDA training. He should clear the IRDA exam. He should through successfully the exam and training. Some other criteria: He should have good personal contacts. He should have convincing power. He should be above 18th year old.

EXCELLENT OPPORTUNITY:-

1. 2. 3. 4. 5.

Flexible work timings Any one can join Zero Investment Certificate by IRDA Attractive Remuneration

Documents Required: 1. 8 photograph 2. Age proof (passport, Birth certificate, College Leaving Certificate, Driving License) 3. Address proof 4. Education proof 5. Copy of PAN Card Duely Signed Cancelled Cheque of self 6. A candidate needs to bring a DD of Rs. 925/- in case of offline training and Rs.825 in case of online training towards HDFC SLIC LTD payable at Mumbai.

Recruitment process of FCs

Fill up of Agency form IRDA Training (50 hrs)

IRDA Exam

Fail

Pass

Exit

Product Training

Traditional Pr.

ULIP Product

Internal Assessment

Fail

Pass

Exit

Certification

Benefits to FCs
Financial Benefits: Commission on issuance of
every policy. Commission directly credited to bank account of FCs within 15 days. These commission varies from 7.5-40% according to plan. BASIC COMMISSION
Name of the plan
Endowment Assurance plan Money Back plan Childrens plan Term Assurance plan Lone cover Term Assurance plan Personal Pension Plan 1st year commission
40% 40% 40% 25% 25% 7.5%

RENEWAL COMMISSION: Renewal commission would be paid from the 2nd year onwards on regular premium policies. Renewal commission is not payable on single premium plans.
Name of the plan
Endowment Assurance plan Money Back Plan Childrens plan Lone cover Term Assurance Plan Term Assurance plan Personal Pension Plan Renewal commission year onwards 5% 5% 5% 5% 5% 2% 2nd

REWARDS & RECOGNITION:Within 30 days of Licensing Consultant can become Converted premium 2 Lacs Silver Medal-Worth Rs 5200(approx) RISING STAR Converted premium of 5 Lacs Gold Medal-Worth Rs 13,000(approx) MILLIONAIRE STAR Converted premium of 10 Lacs Gold Medal-Worth Rs 25,000(approx) GLOBAL STAR Converted premium of 24 Lacs Gold Medal-Worth Rs 60,000(approx) STAR

MONTHLY & QUARTERLY CONTESTS: Gift Vouchers Home Appliances Two-Wheelers Gold/Diamonds Jewelry Foreign Trips Mobile Phones Laptops Cars etc.

Data Analysis and Interpretation

1. Your Age?
15%

Age of Respondents
20% 18-23 Years 24-29 Years

35 35%

2. Marital status?
Marital Status
30%

70%

30%

30-35 Years a ove

Married Unmarried

3. Educational Qualification?
Educational Qualification of Respondents
25% 35% Under graduate Graduate Post graduate

40%

4. Number Of year s Are You in Pune?

Staying Years in Pune

39% Less than five years 61% More than five years

5. Your Occupation?
Occupation
26% 20%

Business Profession Service

54%

6. Your annual household income?

Annual Household Income
5% 15% 49% Less than 2 lacs Between 2 to 5 lacs Between 5to 8lacs 31% More than 8 lacs

7. Are you a member of a club/gymkhana?

Mebership of Club/Gymkhana

42% Yes 58% No

8. What is your perception about insurance sector?

Perception About Insurance
20% 30% Hard and lucrative 2 Hard but not rewarding 3 Smooth and rewarding 9% 4 % 4 No idea

9. Do you know about HDFC Standard Life Insurance?

Awareness About HDFCSLIC
18%

Yes No

82%

10. Do you have any Insurance Policy?

No. of Insured
20%

Yes No

80%

11. Name of Insurance Company?

No. of Respondents
20%

5%

LICI ICICI

10% 65%

HDFC SLIC OTHERS

12. Do you know about HDFC Standard Life Insurance recruitment policies related to financial consultant?
Knows about HDFCSLIC recruitment policies

41% Yes 59% No

13. Will you be interested to become Financial Consultant?

Interested to Become Financial Consultant
30% Yes No 70%

14. Would you like to earn an additional income through a business opportunity with HDFC STANDARD LIFE?
Willing To Earn Additional Income
10% Yes No

90%

SWOT Analysis :STRENGTH :1. Domestic image of HDFC supported by Prudential s international image is strength of the company. 2. Strong and well spread network of qualified intermediaries and sales person. 3. Strong capital and reserve base. 4. The company provides customer service of the highest order. 5. Huge basket of product range which are suitable to all age and income groups. 6. Large pool of technically skilled manpower with in depth knowledge and understanding of the market. 7. The company also provides innovative products to cater to different needs of different customers.

WEAKNESS 1. Heavy management expenses and administrative costs. 2. Low customer confidence on the private players. 3. Vertical hierarchical reporting structure with many designations and cadres leading to power politics at all levels without any exception. 4. Poor retention percentage of tied up agents. . OPPORTUNITIES 1. Insurable population According to ING only 10% of the population is insured, which represents around 30% of the insurable population. This suggests more than 300m people, with the potential to buy insurance, remain uninsured. 2. There will be inflow of managerial and financial expertise from the world s leading insurance markets. Further the burden of educating consumers will also be shared among many players. 3. International companies will help in building world class expertise in local market by introducing the best global practices.

THREATS : Other Private Insurance Companies Also vying For The Same uninsuranced Population. Big Public Secter insurance Companies Like LIC India, National insurance Company Ltd, Oriented Insurance Ltd, New India Assurance Company Ltd, And United Insurance Company Ltd. People Trust Them And go to them more. Poaching of Customer by other companies. Most People donot understand the need or are not willing to take insurance policies in general.

SUGGESTIONS:
To make people aware about the benefit of becoming HDFC Standard Life s Financial Consultant, following activities of advertisement should be done through : Print Media. Hoarding & Banners. Stalls in Trade Fares Distribution of leaflets containing details information. Company can recruit sales promoters so that maximum information can be provided to the potential client

 By showing additional and alternative income source along with various schemes for Financial Consultant in the company so that more and more FC can be recruited. Free life cover for every active Financial Consultant. Discounted rate premium for its family members. Make people understand about the meaning of the IRDA authorization and its validity. Company should organize the program in the society, so that people will be aware about the company Separate time slot for Working Professionals, House Wives and Retired people.

Agency of non-life products should also be provided along with life. Company should open more branches in different cities

Questions