1

K.E.S’s SHROFF COLLEGE OF ARTS & COMMERCE

SUBJECT:

Business Ethics

Class : S.Y.B.F.M. Semester: 3rd

 PRESENTATION ON :Ethics in Insurance Sector

Submitted to : Prof. Rupal Jain

Academic year : 2011-122

NAME ROLL NO.

PRIYANK DARJI

06

HARDIK NATHWANI 27

SHASHANK PAI 28

SAGAR PANCHAL 29

DHARMIK PATEL 32

KUSH SHAH 39

SIDDARTH TAWDE 46

Group members

3

4

Ethics involves learning what is right or wrong, and then doing the right thing -- but "the right thing" is not nearly as straightforward as conveyed in a great deal of business ethics literature.

Many ethicists consider emerging ethical beliefs to be "state of the art" legal matters, i.e., what becomes an ethical guideline today is often translated to a law, regulation or rule tomorrow.

What Is ethics ?

5

In 1993, Malhotra Committee, headed by former Finance Secretary and RBI Governor R.N. Malhotra, was formed to evaluate the Indian insurance industry and recommended its figure direction. The Malhotra committee was set up with the objective of complementing the reforms initiated in the financial sector.

The key industry drivers are related to lifestyle issues in terms of perceiving insurance as a savings instrument rather than for risk cover, need based selling, quality of service and customer awareness. 

Introduction Of Insurance Sector

6

Insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the insurance; an insured, or policyholder, is the person or entity buying the insurance policy. The insurance rate is a factor used to determine the amount to be charged for a certain amount of insurance coverage, called the premium. Risk management, the practice of appraising and controlling risk, has evolved as a discrete field of study and practice.

Meaning of Insurance Sector

7

INSURANCE

TYPE OF INSURANCE

8

Life Insurance Corporation of India (LIC) was formed in September 1956 by an Act of Parliament, LIC Act 1956 with a contribution of Rs. 50 million.

Subsidiary of Life Insurance:1. Birla Sun Life Insurance2. SBI Life Insurance3. ICICI Prudential 4. Kotak Mahindra

Life Insurance Corporation

9

Working Of Insurance

10

MAJOR PLAYERS

11

Prior nationalization there were 68 Indian insurers (including

LIC) and 45 non-Indian insurers did the business.

In Nov. 1972, the general insurance business was nationalized by the General Insurance Business (Nationalized), Act 1972 (GIBNA) and vested in the hand of the GIC and its four subsidiaries viz.1. National Insurance Co. Ltd.,2. New India Assurance Co. Ltd., 3. Oriental Fire and General Insurance Co. Ltd., and4. United India Insurance Co. Ltd.

General Insurance Corporation

12

1. To perform his / her duties in high esteem.

2. To give utmost priority to the client's interest.

3. Not to disclose client's confidential and personal information.

4. To ensure prompt and sincere service to the client and his or her family.

5. To use appropriate methods in convincing clients to protect their insurable interest.

CSR Towards Insurance Sector

13

Establishing and defining the client

Gathering client data, including goals

Analyzing and evaluating the financial status

Developing and presenting Financial Planning recommendations

Implementing the Financial Planning recommendations

Financial System Of Insurance

14

Two types of Books

Account Of Insurance

15

Conclusio

n

THANK

YOU!

16