Meaning and Definition of Insurance

Insurance is a means of compensating for probable losses in which one person agrees to compensate the other in case of a loss in consideration of premium.

Important insurance terms:

Insurer: Insured: Proposals:

Premium: Policy:
Claim:

IMPORTANCE OF INSURANCE
Investment: Minimization Of Risk: Protection: Old age Provision: Raising Of Loans: Transfer of Risk: Tax Relief: National Development: Source Of Employment:

LICS MISSION
To ensure 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.

LICS VISION
To transform lic selves in to a transnationally competitive financial conglomerate of significance to societies and the pride of India.

OBJECTIVE OF LIC
Spread Life Insurance 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 peoples 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 the trustees of the insured public in their individual and collective capacities.

10 P's of Marketing in Insurance

PRODUCT PRICE PLACE
PROMOTION

PHYSICAL EVIDENCE

PROCESSES

PEOPLE

POSITIONING

PERCEPTION

PLANNING

PEOPLE
LIC employs people in various departments publicity and public relation department, development department, personnel department, accounts department, actuarial department, secretarial department, legal department, investment department, inspection department, mortgages department, vigilance department, foreign department, corporate planning department, building department etc.The insurance corporation performs various tasks with each department having its own set of responsibilities. The various posts and their specific jobs are mentioned hereupon

PRODUCTS
As individuals it is inherent to differ. Each individuals insurance needs and requirements are different from that of the others. LIC? s Insurance Plans are policies that talk to you individually and give you the most suitable options that can fit your requirement. Jeevan AnuragKomal Jeevan CDA Endowment Vesting At 21 Marriage Endowment Or Educational Annuity Plan Jeevan Aadhar Jeevan Vishwas The Endowment Assurance Policy The Endowment Assurance Policy-Limited Payment Jeevan Mitra(Double Cover Endowment Plan) Jeevan Anand

PERCEPTION
"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." "A trans-nationally competitive financial conglomerate of significance to societies and Pride of India.

POSITIONING
1. Life Insurance Corporation Of India 2. Tata AIG Insurance Solutions 3. AVIVA Life Insurance 4. MetLife 5. ING Vysya Life Insurance 6. Birla Sun Life Financial Services 7. MAX New York Life 8. Aditya Birla Group 9. Bajaj Allianz 10. Bharati AXA Life Insurance

 ONLINE PROCESS Guidelines This site has been designed for giving a variety of general and policy information to our policyholders. For viewing the policy related information, new customers are required to go through a Registration procedure, the details of which are stated in the ensuing paragraph.

Login Login facility is provided on the Home Page for the use of registered users.
Registration All new users are required to complete the Registration Form online selecting username and password of their choice. The username can be alpha, numeric, with characters dot and underscore. The password must be in between 8 to 30 characters. The information marked with (*) are mandatory fields and cannot be left blank. The pin-code cannot be more than 6-digits. The e-mail id entered should be a valid one for further correspondence. The user-id chosen should be unique. Password should be unique and be kept confidential.

 Pysical evidence
The tools & equipment used in providing the service. Physical Evidence is the element of the service mix,which allows the consumer to make judgments about the organization.

 PLACE:
The places were lic is located as per the corporate office, zonal offices, divisional offices, branch offices and agents.

 PLANNING: Spread Life Insurance 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. 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 sense of participation, pride and job satisfaction through discharge of their duties with dedication towards achievement of corporate objectives.

 PROMOTION: Sales promotion is one of the five aspects of promotional mix. (The other four parts of the promotional mix are advertising, personal selling, direct marketing and publicity/public relations.) Media and non-media marketing communication are employed for a pre-determined, limited time to increase consumer demand, stimulate market demand or improve product availability. PRICE: Price means the premium over here in life insurance, it vitally effect the volume of sales. Price is a valuation upon then products by the offerer. The various variables of price mix are insured sum, interest on loan, investment return, mode of payment, underwriting, commission, tax benefit, incentives etc.

SWOT ANALYSIS

A)On positive side : 1. Spread the insurance culture fairly widely; 2. Mobilized large savings for national development and financed socially important sectors such as housing, electricity, water supply and sewerage; 3. Acquired considerable financial strength and gained confidence of the insuring public; 4. And had built up a large talented pool of insurance professionals. B) On the negative side: 1, the vast marketing and services network of LIC was inadequately responsive to customer needs; 2. Insurance awareness was low among the general public; 3. Work culture within the organization was unsatisfactory; 4. Failure to adequately computerize had seriously affected the efficiency of the organization and the quality of customer service;