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A PROJECT REPORT ON BUSINESS CHANNEL DEVELOPMENT AND SALES FORCE MANAGEMENT AT ICICI PRUDENTIAL LIFE INSAURRANCE COMPANY LIMITED UNDER THE GUIDANCE OF Mr. Vinay Dadhania (SALES MANAGER & CHANNEL DEVELOPMENT) AND INTERNAL GUIDE PROF. MANISH BHAYA PREPARED BY VAISHALI MODI AT SAURASTRA UNIVERSITY (2006-2008)
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ACKNOWLEDGEMENT
First of all I would like to express my heart felt gratitude towards ICICI prudential life insurance company ltd. for giving me this opportunity to work on a project at one of the most prestigious and professional organization. The training at the organization has been a great experience for me as it gave me an opportunity to use my theoretical knowledge in a practical way. No project sees the light of the day without the help of certain individuals, I would like to express my sincere my gratitudes to Mr. Vinay Dadhania (Sales Manager & Channel Development) of ICICI prudential life insurance company ltd, Yagnik Road Branch, Rajkot for their kind support and help. Their valuable suggestions had always helped me to choose the right path and thus making some very important decisions. I got tremendous help from them and I will be always grateful for their support and understanding I take this opportunity to thank my HOD Mr. Dharmesh Raval who is an ocean of knowledge and despite of his very busy schedule he has been very supportive to me and has also been a constant source of inspiration throughout my college life. I will be always obliged to him for his valuable support I thank my project guide Prof. Manish Bhaya without his kind co-operation, support and knowledge I would never have been able to complete my project. They have been a pillar of strength and support during the entire period of my project. Last but not the least I thank to my friends and colleagues who worked with me in ICICI Prudential Life Insurance Company Ltd, and gave me moral support.
DECLARATION
I hereby declare that the project titled Business Channel Development and Sales Force Management has been carried out at ICICI prudential life insurance company ltd. Yagnik Road Branch, Rajkot. It is an original and bonafide work undertaken by me, for the purpose of my summer training, in the course of Masters of Business Administration (MBA) Saurashtra University.
Date: Place:
Vaishali Modi
EXECUTIVE SUMMARY
I was given a task of developing & strengthening of advisors for finding out potential advisors who were ready to sell companys product. The work of an advisor is to promote and sell the companys products, they are the key channels through which the company sells their product and earn profit. The uphill task was to determine the potential people in different segments. The interested people must have to fulfill certain criteria which had been observed in first stage. For the satisfactorily completion of the task, it requires to update data and work to be done according to the proper plan. For searching a prospective person who is ready to work with company as a financial advisor firstly, I collected data from making cold calls and collecting respective contact details from them, after that fixing the meeting through making telephone calls and gave an impressive presentation to them. I targeted basically on the following segments for the Financial Advisors: Housewives Businessmen Doctors Chartered Accountants Lawyers Tax Consultants Students
I targeted on these segments because I felt these are the people who can sell the product of the organization very well, and can bring lots of customer to the company as well as by giving good impressive presentation to various customers. I thought they are the right people who can easily make a contact with other like minded people. I mainly worked by collecting data, making telephone calls to the prospects, having a appointment with them and presenting the overview of the job profile, making them understand about the procedure. I then evaluate every pros and cons, thus filtering out the efficient candidates. Finally, I submitted the report to the sales manager. I have to go through all the procedure i.e. proving all the material for passing the exams and telling all the details of the product so that first they are able to qualify the exam and after that sell the product of the company.
OBJECTIVES
The project carried out in Rajkot to know the potential. To know thinking of the people about ICICI Prudential Life Insurance. Strengthening the channel network for ICICI Prudential and eliminating the drawbacks, if any. Finding which factors been considered by advisors to join company. Building a database for the company. Find out the potential people to become an Advisor for the company. Recruitment of Financial Advisors for the company. Providing primary data for further use and development of company.
SCOPE
The ICICI Prudential Life Insurance Company Ltd. is the top-notch company in the Insurance sector. Though the company exists since 2000 after getting an approval from Insurance Regulatory and Development Authority of India, there is still need for the company to expand its network to the various part of India. Also it is necessary for the company itself to carry out the survey to know the demand of the company and also to understand what people thinks about ICICI Prudential Life Insurance Company Ltd. Strengthening of the network consists of two aspects, firstly increasing the density of the network and secondly, ensuring that the network thus obtained proves to be effective and efficient. This requires two-pronged approach made up of scanning the market for potential advisors. The objectives of the project are fulfilled by carefully analyzing the market of ICICI Prudential Life Insurance Company Ltd. Rajkot. For fulfilling the objective of ideal person as an Advisor by giving namely, gauging the image of the company in the public mind and also ascertaining whether they would like to extend this interest by becoming advisors for ICICI Prudential Life Insurance Company Ltd.
METHODOLOGY
My project title is Creation of New Business Channels and Strengthening of Channel Network for ICICI Prudential Life Insurance Co. ltd. The project title states that I have to meet people and tell them about the Companys potential and the career with it as an Insurance Advisors for ICICI Prudential. For fulfillment of project there are many activities had to be performed, which includes On field marketing for Organization- Under this I have performed various activities like face-to-face conversation, society activity, etc. Cold calling- under this I made phone calls to those persons whose numbers been collected from on field marketing. I also used to call to Chartered Accountants, Doctors, Legal Consultants, Advocates, Contractors, Engineers, Students, Fresh Marketing Executives, Housewives and VRS taken persons. Generally I have to make 25-30 calls in a day. Taking appointments- after generating database I have to take appointments of those people who had shown interest in this job. Fixing up the meetings- under this I have to fix their meeting with me so that he can know about the actual profile of the job. Providing the business opportunity- in the meeting, my Sales Manager and I tell them about the type of business opportunity they are going to get. We told them about the benefits which they will get from this business opportunity. The benefits are as follows: 12-40% commission structure. Feasibility of being your own boss. Becoming financially independent. Flexible time of the job. Lifetime income gaining capability of the job. Flexibility to work either from home or office. Creating awareness about Insurance- under this we tell them about the growth of insurance sector and the money, which is involved in this sector. Solving the queries of the clients- then we solve the queries, which the clients might have in his mind about the job. Then finally recruiting people as Financial Advisors- after all this I need to recruit the people by filling certain forms with some essential documents. The documents which company needs from person filling the form for the job of Financial Advisors were: o Age proof. o Address proof. o Education proof. o ID proof.
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The methodology used for collecting data was Cold Calling, Taking Appointments, etc. The sample size taken for enhancing the channel partners was 100.
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Content
Introduction of Insurance History of IRDA Insurance in India History Indian Insurance Company Profile Vision-Values ICICI Group Product Portfolio Private Players Research Methodology Analysis of Data Distribution Channel Advisor Recruitment Benefits of Advisor SWOT Analysis Awards Project Summary Annexure - Questionnaire - Bibliography
Page No.
13-19 20 21-22 23-25 26-27 28 29-34 35-39 40-42 43-49 50-55 56-57 58-63 64-67 68-71 72-75 76-79 80 81
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(A)INTRODUCTION:
Every risk involved the losses of one or another kind. The function of insurance is to spread the loss over a large number of persons who are agreed to co-operate each other at the time of loss. The risk cannot be averted but the loss occurring due to a certain risk can be distributed amongst the agreed persons. They are agreed to share loss because the chances of loss, i.e. the time amount to the person are not known. In fact, the loss is shared by them by payment of premium which is calculated on the probability of loss. Today in the globalize era insurance plays a vital role to safeguard the right of the people and industries. So it is very important to study the insurance sector.
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authority bill 1999 paving the way for entry of private companies into both life and general sectors there was bound to be a newfound excitement-and new success stories.
Today just 3 years since their entry their cumulative share has crossed 135. [SourceIRDA] Insurance sector in India governed by Insurance Act, 1938, the Life Insurance Corporation Act, 1956 and General Insurance Business (Nationalization) Act, 1972, Insurance Regulatory and Development Authority (IRDA) Act, 1999. Revolution in economic undertaking produced rapid progress but risks and probable uncertainties are associated with all industrial and agricultural activities. Revolution introduced innovations in almost all occupation which are generally trapped by frequent unforeseen losses. Man of business is worried with the incidental losses, insurance became inevitable. Uncertainties of death, unemployment, sickness, price fluctuation, etc. stare at the face of a man; his property is exposed to the risks arising from fire, water, accidents, cyclones, sea perils, earthquakes, floods, dishonesty, negligence, etc.
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The Insurance (Amendment) Act 2000 has allowed co-operative societies to carry on insurance business wit a view to enhancing coverage in rural areas.
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CURRENT SCENARIO
As is typical with monopolies, the premium rates charged by LIC are among the highest in the world, and its track record in customer service can, at best, be called shabby. With a huge unionized, rigid workforce mostly in the clerical category, LIC runs the risk of high fixed cost, which will be the deciding factor in productivity in the competitive scenario. While boasting full-scale automation of its operation, the truth is that its technology is outdated. The new players with the state-of-the-art technology under their belt, will be in an advantageous position. 80% of LIC business is procured by 20% of its ill-trained agent force. The foreign player, with the domestic partners strong brand value, can test the unconventional distribution channel like brokers, the internet, the banking, distribution system, etc. Although foreign players may be tempted to keep their operation in the big cities for the creamy layer of the society, the real market lies in rural India, which accounts for the lions share of LICs present business. The foreign player must learn to adapt to Indian realities. The well publicized failures of world famous consumer goods companies like Electrolux, Whirlpool, Reebok, Nike, etc. to gauge the Indian psyche and sentiments demonstrate the concept. They failed in the areas of realistic pricing, product promotion and reaching to the consumer. The foreign companies need to know the ground realities to the details.
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General Insurers:
General Insurance Corporation of India (GIC) (with effect from Dec'2000, a National Reinsure)
GIC had four subsidiary companies, namely (with effect from Dec'2000, these subsidiaries have been de-linked from the parent company and made as independent insurance companies. 1. 2. 3. 4. Yr: The Oriental Insurance Company Limited The New India Assurance Company Limited, National Insurance Company Limited United India Insurance Company Limited. 2000-2001: (From in 2nd April '2000 to 31st December'2001) entrants, namely:
Insurance Industry Life Insurers: S.No. Registration Number 1 2 3 4 101 104 105 107
the year
2000-2001 had
16 new
Date Reg.
23.10.2000 HDFC Standard Life Insurance Company Ltd. 15.11.2000 Max New York Life Insurance Co. Ltd. 24.11.2000 ICICI Prudential Life Insurance Company Ltd. 10.01.2001 Kotak Mahindra Old Mutual Life Insurance Limited
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5 6 7 8 9 10
31.01.2001 Birla Sun Life Insurance Company Ltd. 12.02.2001 Tata AIG Life Insurance Company Ltd. 30.03.2001 SBI Life Insurance Company Limited . 02.08.2001 ING Vysya Life Insurance Company Private Limited 03.08.2001 Bajaj Allianz Life Insurance Company Limited 06.08.2001 Metlife India Insurance Company Pvt. Ltd.
General Insurers : S.No. 1 2 Registration Date of Name of the Company Number Registration 102 103 23.10.2000 23.10.2000 Royal Sundaram Alliance Insurance Company Limited Reliance General Company Insurance Limited.
3 4 5 6
IFFCO Tokio General Insurance Co. Ltd TATA AIG General Insurance Company Ltd. Bajaj Allianz General Insurance Company Limited ICICI Lombard General Insurance Company Limited.
Yr:
2001-2002: Industry in
(From this
1st year, so
Jan far
2001 has
to 5new
Dec. entrants;
2002) namely
Insurance
Life Insurers: S.No. Registration Date Number Reg. 1 121 of Name of the Company
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122
General Insurers : S.No. 1 2. 3. Registration Date of Name of the Company Number Registration 123 124 125 15.07.2002 27.08.2002 27.08.2002 Cholamandalam General Insurance Company Ltd. Export Credit Corporation Ltd. HDFC-Chubb Insurance Co. Ltd. 1st year, so far Jan has Guarantee General
Yr: Insurance
2003-2004: Industry in
(From this
2003 1new
till entrants;
Date) namely
Life Insurers: S.No. Registration Date Number Reg. 1 127 of Name of the Company
Yr:2004-2005: Insurance Industry in this year, so far has 1new entrants; namely
Life Insurers: S.No. Registration Date Number Reg. 1 128 of Name of the Company
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COMPANY PROFILE
ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a premier financial powerhouse and Prudential plc, a leading international financial services group headquartered in the United Kingdom. ICICI Prudential was amongst the first private sector insurance companies to begin operation in 24th November 2000 after receiving approval from the Insurance Regulatory Development Authority (IRDA). India's Number One private life insurer, ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank-one of India's foremost financial services companiesand Prudential plc- a leading international financial services group headquartered in the United Kingdom. Total capital infusion stands at Rs. 20.60 billion, with ICICI Bank holding a stake of 74% and Prudential plc holding 26%. We began our operations in December 2000 after receiving approval from Insurance Regulatory Development Authority (IRDA). Today, our nation-wideteam comprises of over 580 offices, over 234,000 advisors; and 22 bancassurance partners. For the past five years, ICICI Prudential has retained its position as the No. 1 private Life Insurance in the country, with a wide range of flexible products that meet the needs of the Indian customer at every step in life. ICICI Prudential posts 57% growth in premium The company has underwritten 111,522 policies over the period and notch up a total sum assured of Rs. 2,619 crore. New business-received premium stood at Rs. 335 crore for the quarter.
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The insurance companys renewal premiums have seen a huge jump on a quarter onquarter basis, from Rs. 77 crore to Rs. 212 crore, a growth of 177%. Unit linked policies continued to be the most popular product platform, comprising 86% of the total business. Commenting on the companys future plans Ms. Shikha Sharma, Managing Director and CEO of ICICI Prudential said, With over a million customers across the country, ICICI
Prudential will continue to expand its service network to ensure even core conventional access for the premium payments and other policy transaction. The companys market share in April-June 2005 stood 33% amongst all private companies and nearly 10% of the total market. ICICI Prudential was the first life insurer in India to receive a National Insurer Financial Strength rating of AAA (Ind) from Fitch ratings. For three years in a row, ICICI Prudential has been voted as India's Most Trusted Private Life Insurer, by The Economic Times - AC Nielsen ORG Marg survey of 'Most Trusted Brands'. As we grow our distribution, product range and customer base, we continue to tirelessly uphold our commitment to deliver world-class financial solutions to customers all over India.
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VISION
To make ICICI Prudential the dominant Life and Pension player built on trust by world class people and service. This we hope to achieve by: Understanding the needs of customers and offering them superior products and services. Leveraging technology to service customer quickly, efficiently and conveniently. Developing and implementing superior risk management and investment strategies to offer sustainable and stable returns to our policyholders. Providing an enabling environment to foster growth and learning for our employees. And above all, building transparency in all our dealing. The success of the company will be founded in its unflinching commitment to 5 core values integrity, Customer First, Boundary Less, Ownership and passion. Each of the values describes what the company stands for, the qualities of our people and the way we work. We do believe that we are on the threshold of an exciting new opportunity, where we can play a significant role in redefining and reshaping the sector. Given the quality of our parentage and the commitment of our team, there are no limits to our growth.
VALUES
Every member of the ICICI Prudential team is committed to 5 core values: Integrity Customer First Boundryless Ownership 28
Passion These values shine forth in all we do, and have become the keystones of our success.
ICICI GROUP
ICICI Bank Ltd ICICI Prudential Life Insurance Company ICICI Venture ICICI Securities ICICI Lombard General Insurance Company Prudential ICICI AMC & Trust
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Mr. Barry Stowe Mrs. Kalpana Morparia Mrs. Chanda Kochhar Mr. H T Phong Mr. M P Modi Mr. R Narayanan Mr. Keki Dadiseth Ms. Shikha Sharma, Managing Director Mr. N S Kannan, Executive Director
Management Team
The ICICI Prudential Life Insurance Company Limited Management team comprises reputed people from the finance industry both from India and abroad. Ms. Shikha Sharma, Managing Director & CEO Mr. N S Kannan, Executive Director Mr. Bhargav Dasgupta Executive Director Ms. Anita Pai, EVP- Customer Service and Techonology Mr. Azim Mithani, Chief Actuary Mr. Puneet Nanda, Chief Investments Officer Mr. Binayak Dutta, Chief Sales & Distribution
PROMOTERS
ICICI BANK
ICICI Bank id Indias second largest bank with the total assets of about 3446.58 billion and a network of about 950 branches & offices and about 3300 ATMs, call centers and internet banking as on March 31, 2007. It offers a wide range of banking products and financial services to corporate and retail customers through a variety of delivery channels and through its specialized subsidiaries and affiliates in the area of investment banking, life and non-life insurance, venture capital, asset management and information technology. ICICI Banks equity shares are listed in India on stock exchange at Chennai,
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Delhi, Kolkata and Vadodara, the Stock Exchange, Mumbai and the National Stock Exchange of India Limited and its American Depository Receipts (ADRs) are listed on the New York Exchange (NYSE).
PRUDENTIAL PLc
Established in London in 1848, Prudential Plc, through its businesses in the United Kingdom and Europe, the US and Asia, provides retail financial services products and services to more than 21 million customers, policy holders and unit holder worldwide. As of June 30, 2006, the company had over 238 billion in funds under management. Prudential has brought to market an integrated range of financial services products that now includes life assurance, pensions, mutual funds, banking, investment management and general insurance. In Asia, Prudential is the leading European life insurance company with life operations in China, Hong Kong, India, Indonesia, Japan, Korea, Malaysia, the Philippines, Singapore, Taiwan, Thailand, and Vietnam. Prudential is the second largest retail fund manager for Asian sourced assets ex-Japan as at June 2006. Its fund management business has expanded into a total of ten markets: China, Hong Kong, India, Japan, Korea, Malaysia, Singapore, Taiwan, Vietnam and United Arab Emirates.
DISTRIBUTION
ICICI Prudential has one of the largest distribution networks amongst private life insurers in India. As of January 31, 2007 the company has over 540 offices across the country and over 200,000 advisors. The company has over 20 bancassurnace partners, having tie-ups with ICICI Bank, Federal Bank, South Indian Bank, Bank of India, Lord Krishna Bank, Idukki District Cooperative Bank, Jalgaon Peoples Co-operative Bank, Shamrao Vithal Co-op Bank, Ernakulam Bank and 9 Bank of India sponsored Regional Rural Banks (RRBs). It has also tied up with NGOs MFIs and corporates for the distribution of rural policies.
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Tied Agency Tied Agency is the largest distribution channel of ICICI prudential, comprising a large advisors force that targets various customers segments. The strength of tied agency lies in an aggressive strategy of expanding and procuring quality business. With force on sales and people development, tied agency has emerged as a robust, predictable and sustainable business model. Bancaasurance and Alliances ICICI Prudential was a pioneer in offering life insurance solutions through banks and alliances. Within a short span of two years, and with nearly a large number of partners Bancaasurance and Alliance has emerged as a vital component of the companys sales and distribution strategy, contributing to approximately one-third of companys total business. The business philosophy at Bancaasurance and Alliance is to leverage distribution synergies with our partners and add value to its customers as well as the partners. Flexibility, adaptation and experimenting with new ideas are the hallmarks of this channel. Customer Service and Operation The Operations department oils the work processes between the customer and the company to ensure consistent and quality service to the customer. To streamline the operations, the Operations department interfaces between the clients and the agents, the branches and the underwriters, and manages work processes. The Vision at Customer Service is to deliver World Class Service at every opportunity. Units such as the 9 to 9 contact centre, Outbound Call Centre, Customer Care and Query
Resolution Unit are all committed to providing effective solutions to over lac of customers across the country. Distribution Network ICICI PRUDENTIAL has one of the largest distribution networks amongst private life insurers in India. There networks are in Agra, Ahmedabad, Ajmer, Allahabad, Amritsar, Anand, Aurangabad, Bangalore, Bareilly, Bharuch, Bhatinda, Bhopal, Bhubhaneshwar, Calicut, Chandigarh, Chennai, Coimbatore, Dehradun, Durgapur, Faridabad, Goa, Guntur, Guwahati, Gurgaon, Gwalior, Hyderabad, Hubli, Indore, Jaipur, Jalandhar, Jamnagar, Jamshedpur, Junagadh, Jodhpur, Kanpur, Karnal, Kochi, Kolkata, Kolhapur, Kota, Kottayam, Kozhikode, Lucknow, Ludhiana, Madurai, Mangalore, Meerut,
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Mehsana, Mumbai, Mysore, Nagpur, Nasik, Noida, New Delhi, Patiala, Pune, Raipur, Rajkot, Ranchi, Rourkela, Saharanpur, Salem, Shimla, Siliguri, Surat, Surendranagar, Thane, Thrissur, Trichy, Trivandrum, Udaipur, Vadodara, Vapi, Vashi, Vijayawada and Vizag. The company has seven bancassurance tie-ups, having agreements with ICICI Bank, Federal Bank, South Indian Bank, Bank Of India, Lord Krishna Bank and some Cooperative banks, as well as over 150 corporate agents and brokers. It has also tied up with NGOs, MFIs and corporate for the distribution of rural policies and organizations like Dhan for distribution of Salaam Zindagi, a policy for the socially and economically underprivileged section of society. ICICI Prudential has recruited and trained over 200,000 insurance advisors to interface with and advice customers. Further, it leverages its state-of-the-art IT infrastructure to provide superior quality of service to customers.
Marketing The marketing function at ICICI Prudential Life Insurance Company Ltd covers an array of activities brand and media management, channel support, direct marketing and corporate communications. The brand and communications team is in charge of advertising, consumer research, media planning & buying and public relations; that helps develop and nurture ICICI Prudentials corporate identity while effectively communicating its varied product offering to the customers. Channel marketing provides support to the sales force by streamline the design and development of collaterals and sales tools across distribution channels. The direct
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marketing team was set up to generate high quality leads for profitable business. The team achieves this through target database acquisition and communicating customized product information through e-mailers, telemarketing and innovative direct mailers. Business Excellence The Business Excellence function is committed to building a quality of mindset across the organization. ICICI Prudential is the first organization in the Insurance Industry that has adopted the Six Sigma Methodology for process efficiency and measurement. The team is also driving the Malcolm Baldrige framework across the organization, in an intervention that examines management of key inputs for Business Excellence.
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Cash Back is an anticipated endowment policy ideal for meeting milestone expenses like childs marriage, expenses for childs higher education or purchase of an asset.
Secure Plus is a transparent and feature-packed saving plan that offers 3 levels of protection. Cash Plus is a transparent, feature- packed savings plan that offers 3 levels of protection as well as liquidity options. Save n Protect is a traditional endowment saving plan that offers life protection along with adequate returns. Life time & life time II offers customers the flexibility and control to customize the policy to meet the changing needs at different life stages. Each offers 4 funds options- Preserver, Protection, Balancer and Maximiser. Life link II a single premium Market Linked Insurance Plan, which combines life insurance cover with the opportunity to stay, invested in the stock market. Premier Life is a limited premium-paying plan that offers customers life insurance cover till the age of 75. Invest Shield Life is a Market Linked plan that provides capital guarantee on the invested premiums and declared bonus interest.
Invest Shield Cash is a Market Linked plan that provides capital guarantee on the invested premiums and declared bonus interest along with flexible liquidity options.
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Invest Shield Gold is a Market Linked plan that provides capital guarantee on the invested premiums and declared bonus interest along with limited premium payment terms.
Protection Solutions
Life Guard is a protection plan, which offers life covers at very low cost. It is available in 3 option- level term assurances, level term assurance with returns of premium and single premium.
Child Plans Smart Kid education plans provide guaranteed education benefits to a child along with life insurance cover for the parent who purchases the policy. The policy is designed to provide money at important milestones in the childs life. Smart Kid pals are also available in Unit-Linked form-both single premium and regular premium.
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Retirement Solutions
Forever Life is a retirement product targeted at individuals in their thirtys. Secure plus Pension is a flexible pension plan that allows one to select between 3 levels of cover. Market-Linked Product
Life Time Pension II is a regular premium market-linked pension plan. Life Link Pension II is a single premium market-linked pension plan. Invest Shield Pension is a regular premium pension plan with a capital guarantee on the ingestible premium and declared bonuses.
Golden Years is a limited premium paying retirement solutions that offers tax benefits up to Rs. 100,000 u/s 80C, with flexibility in both the accumulation and payout stages.
ICICI Prudential also launched Salaam Zindagi, a social sector group insurance policy targeted at the economically underprivileged sections of the society.
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Group Insurance Solutions ICICI Prudential also offers Group Insurance Solutions for companies seeking to enhance benefits to their employees. ICICI Pru Group Gratuity Plan helps employers fund their statutory gratuity obligations in a scientific manner. The plan also is customized to structure schemes that can provide benefits beyond the statutory obligations. ICICI Pru Group Superannuation Plan offers a flexible defined contribution Superannuation scheme to provide a retirement kitty for each member of the group. Employees have the option of choosing from various annuity options or opting for a partial commutation of the annuity at the time of retirement. ICICI Pru Group Term Plan solution helps provide affordable cover to member of a group. The cover would be uniform or based on designation/rank or a multiple of salary. The benefit under the policy is paid to the beneficiary nominated by the member on his/her death.
Flexible Rider Options ICICI Pru Life offers flexible riders, which can be added to the basic policy at a marginal cost, depending on the specific needs of the customer. Accident & disability benefit: If death occurs as the result of an accident during the term of the policy, the beneficiary receives an additional amount equal to the sum assured under the policy. If the death occurs while traveling in an authorized mass transport vehicle, the beneficiary will be entitled to twice the sum assured as additional benefit. Accident benefit: This rider option pays the sum assured under the rider on death due to accident. Critical Illness Benefit: Protects the insured against financial loss in the event of 9 specified critical illnesses. Benefits are payable to the insured for medical expenses prior to death. Income Benefit: This rider pays the 10% of the sum assured to the nominee every year, till maturity, in the event of the death of the life assured. It is available on Smart Kid, Secure Plus, and Cash Plus.
Waiver of Premium: In case of total and permanent disability due to an accident, the premiums are waived till maturity. This rider is available with Secure Plus and Cash Plus.
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PRIVATE PLAYERS
India still has a low insurance penetration of 1.95%, which is 51st in the world. Despite the fact that India boasts a saving rate of around 25%, less than 5% is spent on Insurance. The Insurance landscape in India is undergoing major change. Closed to foreign competition since nationalization in 1956, the life insurance had been protected from
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competitive pressure. Now, with the reopening of this sector, several new players have entered the scene. Besides Bajaj Allianz Life Insurance Company Ltd, there are 11 other private companies working in Life Insurance sector which are as follows: 1. Bajaj Allianz Life Insurance Company Ltd. 2. ING Vysya Life Insurance Company Ltd. 3. AMP Sanmar Assurance Company Ltd. 4. SBI Life Insurance Company Ltd. 5. TATA AIG Life Insurance Company Ltd. 6. HDFC Standard Life Insurance Company Ltd. 7. Birla Sunlife Insurance Company Ltd. 8. Aviva Life Insurance Company Ltd. 9. Om Kotak Mahindra Life Insurance Company Ltd. 10. Max New York Company Ltd. 11. Metlife India Insurance Company Ltd. 12. Sahara Life Insurance Company Ltd. Bajaj Allianz Life Insurance Company Ltd: Bajaj Allianz Life Insurance Company Ltd., is a joint venture between two leading conglomerates; Bajaj Auto, one of the biggest 2 and 3 wheeler manufacturers in the world and Allianz AG, one of the world largest Insurance Company. Bajaj Allianz was amongst the first private sector insurance company to begin their operation in December 2000 often receiving approval from Insurance Regulatory Development Authority of India (IRDA). ING Vysya Life Insurance Company Ltd: ING Vysya Life Insurance Company Ltd is expected to be first bancassurance venture in the country. Together they have roped in GMR group, which has wide-ranging interests in fields such as power generation infrastructure, manufacturing, software and banking. As per JV agreement Vysya Bank would hold 49% stake, ING (Europe, Dutch origin) 26% and GMR group would hold 25%.
AMP Sanmar Assurance Company Ltd: AMP Sanmar Assurance Company Ltd., is joint venture between AMP largest life insurer in Australia and New Zealand, Sanmar is one of the largest industrial groups in South India dealing in Chloro-chemicals and shipping and engineering.
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SBI Life Insurance Company Ltd: Indias largest bank SBI and Cardiff S A is a leading insurer in France came together to form SBI Life. TATA AIG Life Insurance Company Ltd: TATA AIG Life Insurance Company Ltd. is capitalized at Rs. 185 crore of which 75% has been brought by TATA Sons and the American partner brings the balance 26%. HDFC Standard Life Insurance Company Ltd: HDFC Standard Life Insurance Company Ltd. was amongst the first company to be granted license by IRDA to operate in life insurance sector. It was incorporated on 14th August 2000. HDFC is the majority stack holder in insurance JV with 81.4% stake and standard life (largest mutual assurance company in Europe) has a stake of 18.6%. Birla Sunlife Insurance Company Ltd: Birla Sunlife Insurance Company Ltd is a 74 : 26 joint venture between Aditya Birla Group and Sunlife Financial Services of Canada. Aviva Life Insurance Company Ltd: Aviva Life Insurance Company Ltd., a joint venture between Dabur India and CGU a wholly owned subsidiary of Aviva PLC (UK). Om Kotak Mahindra Life Insurance Company Ltd: Old mutual PLC is a financial leading services provider in South Africa. Kotak Mahindra Bank Ltd is holding company and flagship of Kotak Mahindra Group. The joint venture Om Kotak Mahindra Life Insurance has 74:26 stakes between KMBL and Om. Max New York Insurance Company Ltd: It was incorporated I April 2001 as a joint venture between international holding, Inc Jammu & Kashmir Bank, M. Pallonji and Company Pvt. Ltd.
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90 80 70 60 50 40 30 20 10 0
LIC ICICI PRUDENTIAL BIRLA SUN LIFE BAJA ALLIANZ SBI LIFE HDFC STANDARD TATA AIG MAX NEW YORK AVIVA OM KOTAK MAHINDRA ING VYASA AMP SANMAR METLIFE
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RESEARCH METHODOLOGY
INTRODUCTION Research is an art of scientific investigation or enquiry, especially through the search of new facts in any branch of knowledge. It is a journey from unknown to known.
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Research comprises of defining and redefining problem, formulating hypothesis or suggested solutions, collecting organizing and evaluating the data making deduction and researching conclusion and at last carefully testing the conclusion to determine whether they fit the formulating hypothesis. It is the pursuit of truth with the help of study, observation, comparison and experiment. In short, it is a search for knowledge, through objective and systematic method of finding solution of a problem. Adoption of appropriate methodology is an essential characteristic of quality research studies, irrespective of the discipline with which they are relative. The market research is an applied type of research or fundamental research. A. Research Approach Primary data can be collected by five ways:
I had mainly collected data through observations, focusing a group and by doing some cold calls. The database which is created by me was further used by the company fro the further recruitment of the financial consultant. B. Research Instrument Marketing researchers has a choice of three main research instruments in collecting the primary data: Questionnaires, Psychological Tools and Mechanical Devices. Questionnaire is by far the most common instrument used to collect primary data, as it consists of a set of questions which are presented to the respondents, and I preferred this method as it helps me to collect more other information as well as helped to create a insurance awareness among the people.
C. Sample Plan After deciding on the research approach and instrument the marketing researcher must design a sampling plan, and decided to make out the sample by visiting the various Companies and putting a campaign to various places where I can find the suitable people for the recruitment of financial consultant as well as selling of the policies.
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D. Method of Data Collection 1. Primary Data This data has been collected on the basis of hit and trial method, as the researcher first selects an area and then makes calls in that area randomly. If the people called are found to be fit as per companys norms, their names and addresses are noted down and are further used for meeting purpose, showing them the presentation and briefing them out that how they have to do the work and for that what the various norms they have to follow. 2. Secondary Data The sources for collecting secondary data are as follows:
LIC & GIC Agents Telephone Directory and Yellow Pages Event Management Companys Promotional Activities References
3. Others
Natural Market: This is being considered as the most prominent, fast and reliable source of recruiting financial advisors. Natural market consists of all the relatives, friends, well-wishers and contact person of the trainee who are residence of the city in which the organization is operating. Contacts are made with them to take up the business opportunity offered by ICICI Prudential Life Insurance and become financial advisor with the company. Since the people whom the trainees called up were their relatives or friends, the responses from their side were nominal. Irrespective of taking up the opportunity they were willing to listen to the opportunity, which was being appreciated as marketing strategy for the company. The hit rate expected through this method that the person taking up this opportunity was around 10% - 20%.
Telecalling: The company made data available to trainees. Calling over the phone was done to the persons whose name and the number was given in the list in order to present the business opportunity. Initial screening was also done at this stage. The main purpose of telecalling was to give little information about the sector in which the
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company is dealing in and fix up an appointment. The expected hit ratio was around 1% - 2%.
Cold calling: Under this method, trainees were provided with telephone directories and were instructed to make phone calls to the selected person from selected area only. These persons were selected on the basis of their name and area in which they reside from yellow pages. Calls were made to these persons and appointment was fixed. Later on, the trainees had to visit that person and present him the opportunity and answer his/her queries and convince him/her to become the advisor with the company. The hit rate expected through this was around 1% 2%.
Pamphlet distribution: Printed pamphlet was given to the trainees to distribute in the market. These pamphlets consist of mysterious information about the opportunity. The information printed on the pamphlet was made mysterious in order to create interest and excitement in the reader. Along with this one more advantage of making it mysterious was the concealment of the fact that the opportunity is in the field insurance and provided by ICICI Prudential. Phone numbers of the Sales managers were printed on those pamphlets. The Sales manager did this with the view that, if the interest is created in the mind of the reader, he/she will contact the printed number and accordingly can be convinced by the unit manager.
Cold Canvassing: This one is of the fasted method of recruiting an advisor for the company. Under this method, trainees were sent to the field and they had to contact the general public. Along with the presentation of the opportunity in the first contact, initial screening were also done by the trainees. They also had to gather the background information about the person they are contacting. The main aim was to create an interest in the contacted person about the opportunity and convince him to visit the office. Before his/her visit to the office, trainees had to inform to their respective unit manager and schedule an appointment with that person. Unit
manager helps the trainee to convince the person visiting the office. The expected hit rate under this method was around 5% - 6%.
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Fish pond activity was provided to the trainees to create database of the people. The drop-boxes had pre-inserted small size cards to gather some basic information about the person like names, address, occupation, mobile number and qualification. These drop-boxes have to be placed in different societies, fitness centers, trade shows, exhibitions, restaurants and retail outlets where large number of people visit. Then data collected were summarized, screened and put in a presentable format and then calls were made to persons whose name was mentioned in the list. And then again the whole procedure was done as mentioned earlier.
1. Necessity of study
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The study is all about finding Financial Advisors for the ICICI Prudential Life Insurance Company Ltd. and getting the work done by them & providing them with proper training, and them fully fit so that they are able to sell the product in the market. The advisors are key ingredients of the company as they sell the companys products and bring profits to the company as well as to themselves. They are also responsible for the name and fame of the company and therefore the selection of the financial advisors and providing them the proper training do that they are able to sell the product in the market, requires great attention. The financial advisors promote the business, which is based on face-to-face communications; therefore they play an important role in innovative marketing decisions of the organization, as they are the front line staffs they need to show their excellence in the process of offering. ICICI Prudential is doing aggressive marketing in selecting quality financial advisors so that they can give good businesses, because more advisors bring more business to the company. The life insurance sector in India is witnessed an unprecedented growth in theses days, besides LIC, several private players are in field to cater the need of the people. The competition is very intense and increasing day to day, adoption of new ideas and excellence in performance is the only way to remain in this field of competition. ICICI Prudential Life Insurance Company is number one among all the private players having its market share of nearly 40%. ICICI Prudential is in expanding mode as several new branches are opening in short span of time, it requires effective and loyal advisors who can be proved fruitful for the company.
2. Sampling Units
This combines all those segments of the society who has a prospect of becoming a financial advisor in ICICI Prudential, and those people who are able to do the work with their full potential. I had targeted sample in these segment which are as follows:
Chartered Accountants
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Lawyers Students
The required data for the above segments should be such that it is helpful to know the background and the creativity of the prospects. For this I had gathered information of every prospect in these fields:
Name Age Addresses Occupation Contact numbers Education Family income Experiences in selling Family background Familiarity with the place
The above informations has been collected from both primary as well as secondary data
ANALYSIS OF DATA
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Advisors Profiling With the help of questionnaire various aspects has been of insurance advisors, like their qualification, satisfaction level, salary, their association etc. The analysis of data is made by using simple tally bar and then converting it into table. I had done this basically to understand the analysis more easily and it will help to make an easily conclusion from them. The Life Insurance Advisors consists of: Private Life Insurance Company Advisors -- 69 Public Life insurance Company Advisors -- 31
All these financial advisors are taken on a stratified random sampling, which has been taken from various companies like ICICI Prudential, Bajaj Allianz, LIC of India, Max New York, etc.
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12 th Graduates Others
no.of person 48 22 30
Category
Married Unm arried
no.of person 38
Married
Unmarried 62
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no. of persons 24 76
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no. of persons
no. of persons 32 41 27
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no. of persons 62 38
no. of persons
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no. of persons 29 42 18 11
no. of persons
no. of persons 24 41 35
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Hard and luc rative Hard but not rewarding S m ooth and rewarding No idea
Category Hard and lucrative Hard but not rewarding 36 Smooth and rewarding 25 No idea 15
no. of persons 24
no. of persons 18 36 21 25
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The number of Financial Advisors Public Awareness Public perception of the need for protection and long term savings Favorable tax treatment professionalism of financial advisors Quality and range of products. The distribution channels would play an important role in meeting the increased volumes.
The need for New Channels The need for new channels can also be appreciated if distribution is approached from the point of view of the customers. Customers choice of the distribution channel is dictated by:
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On the other hand the insurers choice of distribution channel is dictated by:
Cost associated relative to the premium charged Access to customer base Complexity of the products
Globally, as a result, many different channels such as agents, brokers, banks and rest have emerged and there are also several variations between these like brokers, banks & advisors employed by insurers working out of bank branch, and bank as a whole acting as a broker or agent.
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The market, in which these intermediaries operate and achieve their purpose, should be transparent, fair, effective and enforceable so that they are able to work in a very smooth manner and without any problem. It can be organized along four dimensions: Market forces Self regulation, if necessary endorsed by regulator. Directives from regulator Regulations
However, adequate measures should be taken to ensure that the environmental and industry specific practices that have led to a market conduct crisis in some markets are avoided.
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Insurance business in India and also globally is carried out through various distribution channels. In most of the countries maximum life insurance products are sold through advisors. The global average of obtaining business through agencies form is around 83% In India too financial advisors are the major channels of selling life insurance is around 90%. For instance LIC sell its products through a wide network of advisors (approx 1.5 lacks). Post liberalization of the insurance industries, private insurance companies have also followed same path of selling business through agencies, but also developing new channels such as Bancassurance and corporate agencies. Hence, it becomes imperative to efficiently manage such large chunk of advisors efficiently and productively.
INSURANCR REGULATORY AND DEVELOPMENT AUTHORITY (Licensing of Insurance Advisors) Regulations, 2000
1. Short title and commencement These regulations may be called Insurance Regulatory and Development Authority (Licensing of Insurance Advisors) Regulations, 2000. 2. Issue or Renewal of Licenses A person desiring to obtain or renew a license (hereinafter referred to as the applicant) to act as an insurance agent or a composite insurance agent shall proceed as follows:-
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In Form IRDA- Advisors- VA, if the applicant is an individual In Form IRDA- Advisors- VC, if the applicant is a firm or a company: Provided that the applicant, who desires to be a composite insurance agent, shall make two separate applications.
3. Qualifications of the ApplicantThe applicant shall possess the minimum qualification of a pass in HSC or equivalent examination conducted by any recognized Board/Institution, where the applicant resides in a place with a population of five thousand or more as per the last census, and a pass in SSC or equivalent examination from a recognized Board/Institution if the applicant resides in any other place.
4. Practical Training The applicant shall have completed from an approved institution, at least, one hundred hours practical training in Life or General Insurance business, as the case may be, which may be spread over three to four weeks, where such applicant is seeking license for the first time to act as insurance agent. Provide that the applicant shall have completed from an approved institution, at least one hundred fifty hours practical training in Life and General Insurance business, which may be spread over six to eight weeks, where such applicant is seeking license for the first time to act as a composite insurance agent. He shall have completed, at least, fifty hours practical training from an approved institution, provided that such applicant shall have completed from an approved institution, at least, seventy hours practical training in life and general insurance business, where such applicant is seeking license for the first time to act as a composite insurance agent. An applicant, who has been granted a license after the commencement of theses regulations, before seeking renewal of license to act as an insurance agent, shall have completed, at least, twenty-five hours practical training in life or general insurance business, as the case may be, from an approved institution, provided that such applicant before seeking renewal of license to act as a composite insurance agent shall have completed from an approved institution, at least, fifty hours practical training in life and general insurance business. 5. Examination-
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The applicant shall have passed the pre-recruitment examination in life or general insurance business, or both, as the case may be, conducted by the Insurance Institute of India, Mumbai, or any other examination body. 6. Fees Payable The fees payable to the Authority for issue or renewal of license to act as insurance agent or a composite insurance agent shall be One thousand only. The additional fees payable to the Authority, under the circumstances mentioned in sub-section. In section 42 of the Act, shall be rupees one hundred.
7. Cancellation of LicenseThe designated process may cancel a license of n insurance agent, if the insurance agent suffers, at any time during the currency of license, from any of the disqualification mentioned in sub-section (4) of section 42 of the Act, and recover from him the license and the identity card issued earlier. 8. Issue of Duplicate LicenseThe Authority may issue a duplicate license replace a license lost, destroyed, or mutilated on payment of fees of fifty rupees only. 9. Non-application to Existing Insurance AdvisorsNothing contained in Regulation 4 to 6 of these Regulations shall apply to the existing advisors before the commencement of these Regulations.
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FUNCTIONS OF ADVISORS
The agency force will play an important role in the SELL of insurance products. The agent plays an important role in any of the insurance company, and one of the major channel in the distribution network, has got various functions that an agent should be expected to perform which include:
Client identification Marketing and servicing (selling of policies and post sales servicing of in force policies) Investors education and counseling Market expansion and quality control of front-line advisors Collection of premium on behalf of the insurance company where specifically authorized to do so by the insurer. Issuance of cover notes where authorized
It should, however, be the individual companies responsibility to ensure that the process comply with regulatory requirements.
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VARIOUS BENEFITS OF BEING AN INSURANCE ADVISOR WITH THE ICICI PRUDENTIAL LIFE INSURANCE
Tiger Trainee: Advisor has an option of joining the company as a trainer (full time employee) Norms for selection: a. Age Group 25-45 b. Minimum of 2 policies every month for at least one year c. Selected candidates have to clear an Assessment centre before getting selected Mobile Trainee: Advisor has the option of joining the company as a trainer (part time employee) Norms for selection: a. Age group 25-45 b. Minimum of 2 policies every month for at least one year c. Selected candidates have to clear an Assessment centre before getting selected
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Pinnacle: Advisor has the option of joining the company as a unit manager Criteria for selection: a. Age Group 25-45 b. Minimum of 2 policies every month for at least one year c. Selected candidate have to clear an Assessment centre before getting selected
Fast Track Pinnacle: Advisor has the option of joining the company as a unit manager Criteria for selection: a. b. Age Group 25-45 Minimum of 30 issued policies within a period of 6 months.
Advisor Loyalty ProgrammeGrand Perks The unique Loyalty Programme for performing advisors, there are 3 qualifying slabs. This is an annual programme for the period of 1st July 30th June. A. B. C. Grand Perk Silver Benefits Grand Perk Gold Benefits Grand Perk Platinum Benefits
International Recognition and Foreign Trips a. Presidents Club For 30 advisors (10 with spouse) eligible for the contest, this programme is conducted by ICICI Prudential at an exotic foreign location every year for 3N/4D.
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b. International Star Club For top 225 advisors (25 with spouse) eligible for the contest, this programme is conducted by ICICI Prudential at an exotic foreign location every year for 3N/4D. c. India Star Club For top 220 advisors (25 with spouse) eligible for the contest, the advisors are sending to beautiful locations in the country for a period of 3N/4D. d. Debut Star Club For 25 advisors eligible for the contest, the advisors are sending to beautiful location in the country for a period of 2N/3D.
Contest Qualifying Premium Qualifying Commission No. of Qualifiers Criteria in Lacks Criteria in Lacks Last year MDRT COT TOT 22 66 132 5.5 16.5 33 448 46 10
MDRT: Million Dollar Round Table This is one of the most prestigious recognition in the world for an insurance advisor. The qualifying advisors get together from across the world at the location in the U.S. COT: Count of the Table This is one of the most prestigious recognition in the world for an insurance advisor. The qualifying advisors are sponsored by ICICI Prudential to attend the MDRT Convention abroad. TOT: Top of the table This is most prestigious recognition in the world for an insurance advisor. The qualifying advisors are sponsored by ICICI Prudential to attend the MDRT Convention abroad. For Example:-
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Company Recognitions
Certificate of Excellence: This certificate has been given to top 3 advisors of each branch on the basis of sales. Other Benefits:
Participation in other recognition programme i.e. COT/TOT. Individual Email IDs Segmented training programmes SMS alert for renewal premium
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SWOT ANALYSIS
Insurance Advisors
The satisfaction level of insurance advisor was determined by giving order of satisfaction as highly satisfied, satisfied. Dissatisfied, highly dissatisfied. The criteria for satisfaction were taken on the basis of commission given by the company and claim settlement by the company. 68% of total insurance advisor whether they are from public or private company are satisfied. The private insurance companies advisors are giving equal importance to incentive while associating with a company. The 60% of public insurance company were giving importance to company image and remaining other reason while associating with a company. Any other reason includes fear of unemployment, family force and security of job. According to insurance advisor the market share of private insurance player will be 40%-42% at the end of financial year 2006-07. According to insurance advisors the investors are giving prime importance to company service. Secondly, reputation and thirdly, tax saving factor while taking a life insurance policy. 20% of public insurance companies advisors are interested to join private life insurance company, because of job security and lower sales target. Some of the insurance advisors of both private and public are un-happy with incentive structure.
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Strengths
I.C.I.C.I has a very a strong foundation in the Indian market. They are present in almost all the financial markets be it the Banking business or the Home Loan segment or the equity business. All this has helped the company in becoming the no 1 company in the private life insurance business. Most of the companies in its initial year face cash crunches. This was not the problem with I.C.I.C.I Prudential. Infect the company has the largest reserve base with IRDA. The presence of the parent company ensured that I.C.I.C.I Prudential never suffer business because of cash crunches. The association with Prudential, which is an internationally recognized life insurance company, further helped the cause. It brought with it the International Expertise and it also ensured the regular the cash inflows from the foreign company. The brand name of the I.C.I.C.I helped the company in enjoying the goodwill benefit, which the parent company had earned after years hard, and toil work and the same to the life insurance business also. The companys mass appeal is very effective. Its advertisement relating to Protection Plans & the Jeete Raho ad was very effective.
Weaknesses
Due to large competition between other private players ICICI Prudential Life Insurance Company has a need to identify its image in customers mind which is needed to create brand image within the market
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Some times there is a negative image in the mind of unfamiliar persons with company which becomes a main weak point to loss business due to lack of marketing.
Threats
Due to the growing insurance business in the Indian market, the market has seen the entry of lot many new players in the business. This is a potential threat for the company as these companies might eat up the companys share. The political instability at the centre is a further threat to the insurance company. Frequent changes in the policy due to changes in the government at the centre, may offset the working of the company.
Opportunities
The insurance penetration in India is still at an abysmal rate of 15%.There is a lot of potential in this business as majority of the population is still uninsured The post liberalization- era of India has the made the economy more open to foreign players. This has made the entry of FDIs easier in the market. Increased FDIs means more cash inflows and more international expertise to the regional players.
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AWARDS
The ICICI Prudential achieved followed awards:-
Indias Most Customer Responsive Insurance Company Avaya Global Connect - Economic Times Customer Responsiveness Awards Most Trusted Private Life Insurer The Economic Times - A C Nielsen Survey of Most Trusted Brands 2003, 2004 and 2005
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Prudence Customer Centricity Award 2004 & 2005 Prudential Corporation Asia
Best Life Insurer 2003 Outlook Money Awards 2003 & 2004 IMM Award for Excellence Institute of Marketing & Management Organisation with Innovative HR Practices Indira Group of Institutes
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Super brand 2003-04 Organisation with Innovative HR Practices Asia-Pacific H R Congress Awards for HR Excellence
Silver Effie for Effectiveness of the Retire from Work not life advertising campaign Effies 2003
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RECOGNITIONS
IMM Award for Excellence Institute of Marketing & Management Organisation with Innovative HR Practices Indira Group of Institutes Organisation with Innovative HR Practices Asia-Pacific H R Congress Awards for HR Excellence
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CONCLUSION
The Insurance industry has become highly competitive and performance driven. There are 13 players operating in India, which provide a lot of schemes to the investors to invest their money with a very thin line between the schemes of the competitors. Each and very company has to think something innovative to stay ahead of its competitors. I.C.I.C.I. Prudential Life Insurance Company Ltd is today the no 1 player in the private insurance industry. After L.I.C it has the largest chunk of the market share. However the company must prevent itself from being complacent. The company must continuously strive for excellence in order to maintain it leading position in the market. The project undertaken at I.C.I.C.I. Prudential Life Insurance Company Ltd really helped me in getting an over all idea about the working of the insurance industry and converting my text book knowledge into practical exposure.
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RECOMMENDATIONS
The recommendations are:
The company should maintain a customer database and aim for Database Marketing, which is the process of building, maintaining, and using customer databases for the purpose of contacting, transacting, and building relationships. This will help the company in knowing people who are interested in becoming the Financial Advisors. Thereafter all those people should be left untouched who are not at all interested in the same. The company should try and work to create a better image of itself in the market so that people perception about the company does not changes because of any stray incidents in some part of the country.
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The discrepancies in the medical report of the company and the customers own report should be minimal or rather it should be zilch.
LIMITATIONS
Some persons assumed me as an Insurance agent and they have not entertained for the purpose of the research. Due to the time constraint, some areas were not covered under the project. Study is based on the assumption that respondents were truthful in contributing the data
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ANNEXURE QUESTIONNAIRE TO GENERATE DATABASE OF PROSPECTS FOR RECTRUITMENT OF FINANCIAL ADVISORS FOR ICICI PRUDENTIALLIFE INSURANCE COMPANY
NAME: _________________________ AGE: ________________
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How long have you been in particular city/town? Less than 3 years[ ] More than 3 years[ ] What is your business occupation? Business[ ] Others[ ] Service[ ] What is the nature of the job? Full time[ ] Part time[ ] How much is your monthly income? Below 5000[ 5000-10000[ ] 10000-15000[ ] More than 15000[ ] Do you want to earn extra while working part-time? Yes [ ] No [ ] Depends on job [ ] What is your perception about the insurance sector? Hard and lucrative [ ] Hard but not rewarding [ ] Smooth and rewarding [ ] No idea [ ] How do you perceive the brand image of ICICI Prudential life insurance co ltd? Excellent [ ] Good [ ] Bad [ ] No idea [ ]
BIBLIOGRAPHY WEBSITES
REFERENCE BOOKS:
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Ramaswami and Namakumari : Marketing Management Schiff man and Kanuk : Consumer Behavior
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