Contents
Company Certificate
HOD Certificate
Candidate Declaration
Preface
Acknowledgement
Chapter –I
1) Introduction
a) Historical development of Insurance
b) About Insurance
c) About the company
2) Company profile
a) Vision
b) Partners
c) Distribution
d) Management
3) Product information
Chapter-II
a) Objective of study
b) Importance of study
c) Scope of study
d) Research Methodology
1. Research Design
2. Sample Size
3. Data Collection Method
4. Sampling Design
e) SWOT analysis
f) Research Findings and Analysis
g) Limitation of Study
h) Conclusion
i) Recommendation
j) Bibliography
k) Questionnaire 109
ACKNOWLEDGEMENT
I wish to express my deep sense of gratitude to Mr. Rajat
Arora (Unit Manager) ICICI prudential Meerut, for his
valuable guidance, adviser and suggestion, during the
course of this study.
Positive thinking, hopeful attitude and optimistic outlook are
indispensable that are developed by an instructor in his
students. He enables them to face the problem in different
ways for success.
I feel to express my Prof. P.K Agarwal (HOD of MBA
Department IIMS), Mr. Sharad Bisaria, Dr. Sharat
Sharma, Mr. Manoj Kumar for his expert guidance and
encouragement for my project work.
I offer my most sincere thanks to Mr. Abhiroop Pandey
(territory manager) who inspire me all the time.
And finally but immensely I express all my gratitude to my
parents and faculties who inspired me all the time with their
love and support, also my friends who always help me in the
course of study.
Devendra Prasad Ojha
PREFACE
Insurance is one of the fastest growing sectors in the
country. Four years after liberalization the Insurance industry
still holds vast opportunities for young and experienced
professionals.
On the life Insurance side public sector life Insurance
corporation of India is, of course, the largest player with a
history of over 50 years. After Privatization, the PSU has
been making efforts to improve efficiency and customer
service. Among the private Life Insurance players, ICICI
Prudential Life and Birla Sun Life are the first and second
largest players.
My this study about Life Insurance, giving special reference
to ICICI Prudential Life Insurance is an attempt to get a inner
look about the working of this private player, what made
them No.1 private Insurer in country , there mode of
recruiting advisors and customer satisfaction with this
company with in Meerut city.
As the company is operating in 54 cities with 70 branches,
Meerut is selected as a sample unit for study. The study will
consists of studying product basket of ICICI Prudential with
the help of secondary data and the market survey with the
help of Questionnaire to collect primary data and thereafter
the result will be generalized on universe (India) to get clear
picture about the performance of ICICI Prudential Life
Insurance Company on India.
I hope this study will provide useful academic as well as
practical information.
Devendra Prasad Ojha
CANDITATE’S DECLARATION
I hereby declare that the project report prepared &
submitted by me is the original work, the report is based on
the data collected by me during the training tenure.
During my training I worked under the able guidance of Mr
Rajat Arora (Unit Manager) ICICI PRUDENTIAL LIFE
INSURANCE COMPANY MEERUT.
Devendra Prasad Ojha
MBA III SEM
INTRODUCTION TO THE COMPANY
The business of insurance began with the marine industry. Traders,
who would gather at the Lloyd’s Coffee House in London, agreed to
share the losses their goods were prone to while being carried by
ships. The losses used to occur because of pirates who robbed on
the high seas, because of bad weather spoiling goods or due to ships
sinking. The first insurance policy was issued in 1583 in England.
In India, insurance began in 1870 with life insurance being transacted
by an English company, the European and the Albert. The first Indian
insurance company was the Bombay Mutual Assurance Society,
formed in 1870. Oriental Life Assurance in 1874, the Bharat in 1896
and the Empire of India in 1897 followed this.
Later, the Hindustan Co-operative was formed in Calcutta, the United
India in Madras, the Bombay Life in Bombay, the National in Calcutta,
the New India in Bombay, the Jupiter in Bombay and the Lakshmi in
New Delhi. These were all started as a result of the Swadeshi
movement in the early 1900s. By the year 1956, when the life
insurance business was nationalized and the Life Insurance
Corporation of India (LIC) was formed on September 1, there were
170 companies and 75 provident fund societies transacting business
in India. After decades of public sector monopoly, the relevant laws
were amended in 1999 and LIC lost the exclusives privilege of
conducting life insurance business in India. By March 31 ’02, 11 new
insurers had been registered and had begun to transact life insurance
in the country.
INTRODUCTION OF INSURANCE
Insurance is a mechanism that ensures an individual to thrive on
adverse consequences by compensating the individual for loss
financially. The meaning of insurance can be made from two points:
Function meaning of insurance
Contractual meaning of insurance
Functional meaning:
Insurance is a co-operative device to spread the loss caused
by a particular risk over a number of persons, who are
exposed to it and who agree to insure themselves against
the insurance is:
a) A co-operative device to spread the risk
b) The system to spread the risk over a number of
persons who are insured against the risk.
c) The principle to share the loss of each member of the
society on the basis of probability of loss to their risk
and
d) The method to provide security against losses to the
insured.
Contractual Meaning of Insurance:
The insurance is a contract where by:
(a) Certain sum, called premium, is charged in
consideration.
(b) Against the said consideration a large sum is
guaranteed to be paid by the insurer who received
the premium.
(c) The payment will be made in a certain definite sum
i.e. the loss or the policy amount whichever may be,
and
(d) The payment is made only upon a contingency.
KINDS OF INSURANCE
The insurance can be divided from two angels:
From the business point of view.
From the risk point of view.
Business Point of view:
The Insurance can be classified into categories from
business point of view.
1. Life Insurance:
Life Insurance is different from other insurance in the since
that, here, the subject matter of insurance is life of human
being. Life is the most important property of the society or
an individual. This insurance provides protection to the
family at the premature death or gives adequate amount at
the old age when earning capacities are reduced.
2. General Insurance:
The general insurance includes property insurance, Liability
insurance and other forms of insurance. Fire and Marine
insurance are strictly called Property insurance; Motor, Theft,
Fidelity and Machine insurances include the extent of liability
insurance to a certain extent.
(A) Property Insurance
Under the property insurance property of a person insured
against a certain specified risk. The risk may be Fire or
Marine perils, Theft of property or Goods damage to property
at accident.
1. Marine Insurance
Marine insurance provides protection against loss of Marine
perils. These perils cause damage, destruction of
disappearance of the ship and cargo and non-payment of
freight.
2. Miscellaneous Insurance:
The property Goods machine, Furniture, Automobile,
Valuable articles etc. can be insured against the damaged
due to accident or due to theft these are different forms of
insurances for each type of said property whereby not only
property insurance exist but liability insurance and personal
injuries are also insured.
(B) Liability Insurance:
The general insurance also includes liability insurance
whereby the ensured is liable to pay the damage of property
or to compensate the loss of personal injury or death. This
insurance is seen in the form of Fidelity insurance,
Automobile insurance and Machine insurance etc.
(C) Other Forms:
Besides the property and Liability insurance there are certain
insurances, which are included under general insurance. The
example of such insurance is Export credit insurance, state
employees insurance etc. whereby the insurer guarantees to
certain amount at the certain events.
(3) Social Insurance:
The social insurance is to provide protection to the weaker
section of the society who is unable to pay the premium for
adequate insurance. Pension Plans, Disability benefits,
unemployment benefits, sickness insurance and industrial
insurance are the various forms of social insurance with the
increase of socialistic ideas, the social insurance is an
obligatory duty of the nation.
THE COMPANY
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 operations in December 2000 after receiving approval
from insurance Regularly Development Authority (IRDA).
ICICI Prudential’s equity base stands at Rs 675crore with
ICICI Bank and Prudential plc holding 74% and 26% stake
respectively. In the year ended March 31,2004, the company
had issued over 430,000 policies, for a total sum assured of
over Rs.8, 000crore and premium income in excess of
Rs.980crore. Today the company is the No.1 private life
insurer in the country.
Vision
Company’s vision:
To make ICICI Prudential the dominant Life and Pensions
player built on trust by world-class people and service.
This we hope to achieve by:
Understanding the need of customer and
offering them superior products and service
Leveraging technology to service customers
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
dealings.
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
describe 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.
Partners
ICICI and Prudential came together in 1993 to form
Prudential ICICI Asset Management Company, which has
today emerged as one of the leading mutual funds in India.
The two companies bring together two of the strongest
financial service brands in Asia, known for their
professionalism, excellent quality of service and long term
commitment to people. Riding on the success of this
relationship, the two companies joined hands once more in
2000, to form ICICI Prudential Life Insurance, with a
commitment to provide leading-edge life insurance solutions.
ICICI Bank has 74% stake in the company, and prudential plc
has 26%.
ICICI Bank
ICICI Bank is India’s second largest bank with an asset base
of Rs.106812crore. ICICI Bank provides a broad spectrum of
financial services to individuals and companies. This includes
mortgages, car and personal loans, credit and debit cards,
corporate and agricultural finance. The Bank services a
growing customer base of more than 7 million customer
accounts and 5 million bondholders accounts through a multi
channel access network. This includes about 450 branches
and extension counters, 1665 ATMs, call centers and
Internet banking. ICICI Bank posted a net profit of Rs.1,
206crore for the year ended March 31,2003. ICICI Bank is the
only Indian company to be rated above the country rating by
the international rating agency Moody’s and the only Indian
company to be awarded and investment grade international
credit rating. The Bank enjoys the highest AAA (or
equivalent) rating from all leading Indian rating agencies.
Prudential plc
Established in 1848, Prudential plc is a leading international
financial services company in the UK, with around US$250
billion funds under management, and more than 16 million
customers worldwide. 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 UK’s largest life insurance company with a vast
network of 22 life and mutual fund operations in twelve
countries -China, Hong Kong, India, Indonesia, Japan, Korea,
Malaysia, the Philippines, Singapore, Taiwan, Thailand and
Vietnam. Since 1923, Prudential has championed customer-
centric products and services, supported by over 60,000
staff and agents across the region.
DISTRIBUTION
ICICI Prudential has one of the largest distribution networks
amongst private life insurers in India, having commenced
operations in 54 cities and towns in India. These are: Agra,
Ahmedabad, Ajmer, Allahabad, Amritsar, Aurangabad,
Bangalore, Bhatinda, Bhopal, Bhubhaneshwar, Chandigrh,
Chennai, Coimbatore, Dehradun, Goa, Guntur, Gurgaon,
Hyderabad, Hubli, Indore, Jaipur, Kanpur, Karnal, Kochi,
Kolkata, Kota, Kottyam, Lucknow, Ludhiana, Madurai,
Manglore, Meerut, Mumbai, Nagpur, Nasik, Noida, New
Delhi, Patiala, Pune, Rajkot, Ranchi, Surat, Thane, Thrissur,
Trichy, Trivandrum, Vadodara, Vashi, Vijayawada and Vizag.
The company has twelve bancassurance tie-ups, having
agreements with ICICI Bank, Allahabad Bank, Federal Bank,
South Indian Bank, Bank of India, Lord Krishna Bank and
Punjab & Maharastra Co-Operative Bank, Goa State Co-
Operative Bank and Indoor Paraspar Sahakare Bank, Manipal
State Co-Operative Bank, Shamrao Vithal Co-Operative Bank
And Jalgaon People’s Co-Operative Bank, as well as some
corporate agents. It has also tied Zindagi, a policy for the
socially and economically underprivileged sections of
society. ICICI Prudential has recruited and trained over
30,000 insurance advisors to interface with and advise
customers. Further , it leverages its state-of-the-art IT
infrastructure to provide superior quality of service to customers.
Management
Board of Directors
The ICICI Prudential Life Insurance Company Limited Board
comprises reputed people from the finance industry both
from India and abroad.
Mr. K.V. Kamath, Chairman
Mr. Mark Norbom
Mrs. Lalita D. Gupte
Mrs. Kalpana Morparia
Mrs. Chanda Kochhar
Mr. Kevin Holmgren
Mr. M.P. Modi
Mr. R Narayanan
Ms. Shikha Sharma, Managing Director
Management Team
Ms. Shikha Sharma, Managing Director
Mr. Sandeep Batra, Chief-Financial Officer & Company
Secretary
Mr. Shubhro J. Mitra, Chief- Human Resources
Mr. Puneet Nanda, Head - Investments
Ms. Anita Pai, Chief – Operations & Underwriting
Mr. V. Rajagopalan, Appointed Actuary
Mr. Shridhar Sethuram, Chief – Sales & Marketing
Mr. Anil Tikoo, Head – Information Technology.
ICICI PRUDENTIAL LIFE INSURANCE COMPANY LIMITED (ICICI
PRUDENTIAL)
Registered office: ICICI Prulife Towers, 1089 Appasaheb
Marathe Marg, Praabhadevi Mumbai-400025
Registrat of companies
Reg no. 11-127837
Date of Incorporation 20-jul-2000
Registered with IRDA as Life Insurance Company
Regn.No.105
Products
Young Professional
Life Stage Needs Solution
Young Professional Protect loved ones Life Guard
& Protection against
Liabilities
Saving/Investing for Traditional
the future
Save ‘n’ Protect
Cash Bak
Secure plus
Cash Plus
Unit Linked Insurance
Solutions
Life Time II
Life Link II
Retirement planning Traditional
Forever Life
Secure Plus Pension
Unit Linked Insurance
Solutions
Life Time Pension II
Life Link Pension II
Tax Planning All Life Insurance plans
– Sec 88
All Retirement plans –
sec 80 ccc (1)
Life StageNewly MarriedLife Stage Needs SolutionNewly married Protect loved ones & Life Guard
Protection againstLiabilities Saving/Investing for Traditionalthe future
Save ‘n’ Protect Cash BaK Secure plus
Unit Linked Insurance Solutions
Life Time II Life ink II
Retirement Planning Traditional Forever Life Secure Plus Pension
Unit Linked Insurance Solutions
Life Time Pension II Life Link Pension II
Tax Planning All Life Insurance plans – Sec 88All Retirement plans – sec 80 ccc (1)
Health Concerns Major Surgical Assistance RiderCritical Illness Rider
Additional Protection Accident & Disability Benefit Rider
Waiver of premium Rider
Life StageMarried With KidsLife Stage Needs SolutionMarried with Kids Protect loved ones Life Guard
& Protection againstLiabilities Saving/Investing for Traditionalthe future
Save ‘n’ Protect Cash Bak Secure plus Cash Plus
Unit Linked Insurance Solutions
Life Time II Life Link II
Retirement Planning Traditional Forever Life Secure Plus Pension
Unit Linked Insurance Solutions
Life Time Pension II Life Link Pension II
Tax Planning All Life Insurance plans – Sec 88All Retirement plans –sec 80 ccc (1)
Child’s education Smart Kid Education Plans
Health Concerns Major Surgical Assistance RiderCritical Illness Rider
Additional Protection Accident & Disability Benefit RiderWaiver of premium Rider
Secure Plus Pension
Secure Plus Pension
Power to choose your protection levels:
Secure Plus Pension provides you with three levels
of sum assured for the same amount total annual
contribution. You also have the option of opting for
a zero Death Benefit.
Power to choose the retirement date: You can choose a vesting
age between 50 –75 years. You have the flexibility to postpone the
vesting date from the originally chosen vesting date up to a maximum
of 75 years of age.
You can also enhance you policy by adding Critical Illness
Rider, Major Surgical Assistance Rider, Accident & Disability
Benefit Rider, Accident Benefit Rider and Waiver of Premium
Rider (WOP)
Life Line Pension II
Life Link Pension II
Life Link Pension II gives you the freedom to choose the
amount of premium, and invest in market-linked funds, to
generate potentially higher returns. On a future retirement
date, the accumulated value of the units will be used to
purchase an annuity that will provide you with regular
income for life.
Power to choose the retirement date: Choose a vesting
age between 45 – 75 years of age.
Power to increase you investment: Use your surplus
funds to top-up your investments during the deferment
period.
Power to invest in plan based on your priorities:
Choose from among four funds, based on your investment
objective and risk appetite. If at later stage your financial
priorities change, you can switch between the various fund
options, absolutely free, 4 times a year.
Forever Life
Forever Life
Life cover benefits: The plan simultaneously provides life
cover and the opportunity to save for your retirement in a
systematic manner. In the unfortunate event of your death,
your spouse has the option to receive the sum assured with
guaranteed additions and vested bonuses (if any) as a lump
sum or get an annuity that would provide a regular income
for life.
Power to choose the retirement date: You can choose a
vesting age between 50 –70 years. You have the flexibility to
postpone the vesting date from the originally chosen vesting
date up to a maximum of 70 years of age.
You can also enhance your policy by adding Critical Illness
Rider, Major Surgical Assistance Rider, Accident & Disability
Benefit Rider, and Accident Benefit Rider.
Life Time II
Life Time II
A single policy that meets your changing needs over a
lifetime. This solution has been developed to meet your
savings, protection and investment needs at every stage in
life.
Protection
Choose from two levels of Sum Assured
Flexibility to increase or decrease your sum
assured.
Add-on riders to protect you against any
eventuality.
Savings
Flexibility to increase or decrease your
contribution.
Automatic Cover Continuance, wherein the policy
continues even if there is a temporary break in the
payment of annual contribution.
Top-up your investment any time you have surplus
funds.
Additional allocation of units on a periodic basis.
Loans against the policy
Investment
Choose from among four funds, based on your
investment objective and risk appetite.
Choice to switch between investment options (4
free switches every policy year).
You can also enhance your policy by adding Critical Illness
Rider, Major Surgical Assistance Rider, Accident & Disability
Benefit Rider, and Accident Benefit Rider.
Insurance Plans
Insurance Plans
Life is unpredictable. But in face of adversity, our
responsibilities towards our parents, children and loved ones
need not be compromised. Insurance planning equips you to
smooth out the uncertainties and adversities that life might
send your way, so that the best that life has to offer, secure
in the knowledge that your beloved ones are well provided
for.
ICICI Pru offers a complete range of insurance products
1. Protection Plans
2. Savings Plans
3. Child Plans
4. Investment Plans
5. Retirement Plans
6. Group Plans
7. Rural Plans
8. Plans for NRIs
9. Keyman Plans
10. Riders
Protection Plans
Life Guard
ICICI Prudential Life Insurance offers Life Guard – a set of
pure protection plans. Choose from amongst three different
product structures to insure your life and provide total
security to your family, at a very affordable cost.
Level Term Assurance with return of premium
On death the entire sum assured will be paid.
On maturity, all the premiums paid will be
returned.
Level Term Assurance without return of premium
On death the entire sum assured will be paid.
No survival or maturity benefits.
You can also enhance the above two policies by adding
Accident & Disability Benefit Rider and waiver of Premium
Rider (WOP).
Level Term Assurance – Single premium
On death entire sum assured will be paid.
No survival or maturity benefits.
Savings Plans
Savings Plans
ICICI Prudential offers a variety of policies that give you the
benefit of protection and the opportunity to save for
important assets or events, like a home, a car or a wedding.
Secure Plus
An insurance plan that gives added protection savings and
multiple options, all in one!
Cash Plus
An insurance plan that gives added protection savings,
multiple options, plus the power of liquidity.
Life Time II
A complete market-linked insurance plan that adapts itself to
your changing protection and investment needs, throughout
a lifetime.
Save ‘n’ Protect
A traditional endowment savings plan that offers both high
returns and protection.
Cash Back
An endowment savings plan that allows you to get back
substantial survival benefits without having to wait till the
maturity date.
Child Plans
Smart Kid Education Plans
As a responsible parent, you will always strive to ensure a
hassle-free, successful life for your child. However, life is full
of uncertainties and even the best-laid plans can go wrong.
Here’s how you can give your child a 100% safe and assured
tomorrow, whatever the uncertainties. Smart Kid is
designed to provide flexibility and safeguard your child’s
future education and lifestyle, taking all possibilities into
account.
1. Smart Kid regular premium
2. Smart Kid unit-linked regular premium
3. Smart Kid unit-linked single premium
All these plans offer you:
Guaranteed Financial Benefits: Regular
payments at critical stages in your child’s life
board examinations, Graduation and Post-
graduation.
Total peace of mind
i. Sum Assured is paid immediately:
Ensures that your loved ones stay financially
secure, even in your absence.
ii. All future premiums are waived: Ensuring
that your family is not financially burdened in
your absence.
iii. Policy benefits continue: The educational
benefits of the policy continue, ensuring that
your child can realize his or her dreams
without any hassles.
Development Allowance: Smart Kid
guarantees regular income to secure your
child’s educational career and also ensures his
all-round development, for a nominal additional
amount. The income benefit Rider takes care of
this through an annual payment of 10% of the
sum assured, to your child, till the maturity of
the policy, in the unfortunate event of the
death of the parent.
All smart Kid plans can be enhanced
with the Accident & Disability Benefit Rider and
Income Benefit Rider. You can also an Accident
Benefit Rider to a Smart Kid Regular Premium
policy, and a Waiver of premium Rider (WOP) to
Smart Kid unit-linked regular premium policy.
Investment Plan
Investment Plans
Life Link II
Life Link II is a unique plan that combines the security of a
life insurance policy with the opportunity of enjoying high
returns on your investments, without the market risks
compromising on the protection of your family!
Death Benefit: The sum Assured under the product has 2
options, either 500% of the initial premium or 105% of the
initial premium. In the event of an unfortunate death, the
beneficiary will receive higher of the value of units or the
initial death benefit, less any withdrawals.
Withdrawal Benefit: One can make partial withdrawals
from the accumulated value of the policy after completion of
one policy year.
Flexibility: Choose from four fund options, based on your
investment objective and risk appetite. If at a later stage
your financial priorities change, you can switch between the
various fund options, absolutely free, 4 times a year.
Retirement Plans
Retirement Solutions
Life Expectancy has been rising rapidly and today you can
expect to live longer than you earlier generations. For you,
this increase will mean a longer retirement life, stretching
into a couple of decades. ICICI Prudential presents
Retirement Solutions that combine the best of insurance and
investment. These solutions are developed to ensure uour
peace of mind for the years to come.
Choose from amongst 4 retirement plans:
Life Time Pension II
A regular premium linked pension plan that gives you the
freedom to choose the amount of premium, and invest in
market-linked funds, to generate potentially higher returns.
Life Link Pension II
A single premium linked pension plan that gives you the
freedom to choose the amount of premium, and invest in
market-linked funds, to generate potentially higher returns.
Secure Plus Pension
A regular premium pension plan that gives the flexibility to
choose between 3 levels of sum assured for the same level
of total annual contribution.
Forever Life
A regular premium pension plan that helps you save for your
retirement while providing you with life insurance protection.
Choose from 5 Annuity options at the time of vesting
1. Life Annuity
2. Life Annuity with return of purchase price
3. Life Annuity guaranteed for 5, 10, 15 years
4. Joint Life, Last Survivor without return of purchase price
5. Joint Life, Last Survivor with return of purchase price
Read on to find out more about planning for your
retirement….
Why plan for retirement?
How much should I set aside for retirement?
The impact of inflation on your retirement savings.
Why plan early?
Group Solutions
Group Solutions
In an era of competitive party, the only asset that makes a
decisive difference between corporate success and failure is
the quality of human capital. Employee benefits have proven
to be an excellent tool to optimize the retention of talent and
improve an organization’s bottomline. The quality of an
organization’s employee benefits establishes and maintains
a company’s image as a caring employer. Optimum care of
employees is a long-term investment that results in a
sustained competitive advantage for an organization in the
times to come.
ICICI Pru Group Solutions Advantage
An integrated basket of employee benefit solutions
that offer in incomparable flexible benefits.
Sound investment management that focuses on
safety, stability and profitability of the portfolio.
Personalized financial planning for your employees
that takes care of his/her changing financial needs
at every stage of life.
Quality service initiatives and transparency across
all operations, promising superlative operational
efficiency.
Group term Assurance: Helps provide affordable cover to
members of a group.
Group Gratuity Plan: Helps employers fund their statutory
gratuity obligation in a flexible and hassle-free manner.
Group Superannuating Plan: A flexible scheme (defined
benefit and defined contribution) to provide a retirement
kitty for each member of the group.
Group Term Assurance
ICICI Pru’s flexible group term solution helps provide
affordable cover to members of a group. The cover could be
uniform or based on designation/rank or a multiple of salary,
and can be extended to all employees between the ages of
18 and 65 years. The benefit under the policy is paid on the
event of the member’s death to the beneficiary nominated
by the member. It is a one-year renewable policy where one
master policy covers all proposed employees comprising the
group, with a minimum group size of 25 persons. New
members can join the group and outgoing members can
leave the group at any point during the policy term.
Highlights include:
Greater convenience: for the employees with
relaxed underwriting and medical requirements.
“Free Cover Limits”: With simplified
underwriting depending upon the number of
employees in the group and the level of cover
chosen.
Guaranteed benefit: On death during the term
of the contract (while in service), the sum assured
will be paid to the beneficiary of the employee.
Choice of additional coverage in from an Accident
and Disability Benefit Rider and Critical Illness
Cover.
Premium is viewed as a business expense in the
year of payment.
Rural Plans
ICICI Pru Life Rural Products are designed to meet the needs
of the rural consumers. These products offer the following
features:
1. Low and Affordable Premiums
2. Life Cover
3. Savings Option
4. Hassle free procedure
ICICI Prudential offers 2 specially designed rural plans.
ICICI Pru Mitr – Endowment Plan
ICICI Pru Suraksha – Regular Premium
ICICI Pru Mitr –Endowment Plan
ICICI Pru Miter offers the following features:
Life Cover and Savings
Regular Premiums
Age at entry :18-45 Yrs
Premium Mode :Half Yearly / Yearly
Term :5, 10, 15 Yrs
Sum Assured :Rs. 5,000 – 20,000
Premium / Year :Rs. 507 – 553 (SA: Rs.
10,000)
Maturity / Death :Sum Assured
benefit
ICICI Pru Suraksha – Regular Premium
ICICI Pru Suraksha is a regular premium policy with the
following features:
Individual policy
Only Life cover
Term – 3 & 5 Yer
Age independent premium
Age at entry :18 – 45 Yer
Sum Assured :Single
Premium / Year :Rs. 50 – 200
Maturity / Death :Rs. 5,000 – 20,000
Benefit
Death Benefit :Sum Assured
Riders
ICICI Prudential gives the freedom to form very own
comprehensive insurance policy by adding the rider benefits
to the basic life insurance policy. Add from the following list
of benefits to increase the scope of your policy, at a nominal
cost.
Critical Illness Rider
Major Surgical Assistance Rider
Accident & Disability Benefit Rider
Accident Benefit Rider
Income Benefit Rider
Waiver of Premium Rider (WOP)
Critical Illness Benefit Rider
This rider provides protection against 9 critical illnesses,
namely: Major organ transplants, Complete renal failure,
Stroke, Paralysis, Heart attack, Valve replacement surgery,
Major surgery of the aorta, CAGS (Bypss) and Cancer.
Benefits paid on contracting the illness
Accelerated benefits (available with Save ‘n’ Protect
and cashbook): If the policyholder is diagnosed with any of
the specified illnesses, then the policyholder is paid the
entire sum assured under the rider. The policy along with all
the riders (to the extent of the Rider Sum Assured) is then
terminated. However, the remainder of the base policy
continues till the end of the term. The policyholder will have
to continue paying his premiums for the remainder of the
policy.
Accelerated benefits (available with SecurePlus,
CashPlus and SecurePlus Pension): If the policyholder is
diagnosed with any of the specified illnesses, then the
policyholder is paid the entire sum assured under the rider.
The life cover along with all the riders is then terminated.
However, the policy value accumulation continues till the
end of the term of death, whichever is earlier.
Standalone benefits (available with Life Time II,
Forever Life and Group Term Plan): If the policyholder is
diagnosed with any of the specified illnesses, he/she is paid
the rider Sum Assured and the rider terminates. However,
the base policy continues till maturity.
Premiums paid under this are eligible for tax benefits under
Section 80D.
Major Surgical Assistance Rider
This rider provides assistance to the policyholder against 43
surgical procedures. There surgical procedures are divided
into 3 categories and the extent of assistance provided
depends on the type of procedure.
Major procedures – 50% of the rider sum assured is paid
Intermediate procedures – 30% of the rider sum assured is
paid
Minor procedures – 20% of the rider sum assured is paid
This benefit is payable on more than one occasion when the
life assured undergoes surgery. However the total benefit
payable in case of all the procedures is restricted to a
maximum of 50% of the sum assured.
Major Surgical Assistance rider is available with Save ‘n’
Protect, Cashbak, Lifetime II, Forever Life, Forever Life,
Secure Plus, Cash Plus and Secure Plus Pension.
Premiums paid under this rider are eligible for tax benefits
under Section 80D.
Accident & Disability Benefit Rider
Benefits Payable on death due to an accident
If the policyholder dies due to an accident, 100% of the rider
sum assured is pad in addition to the basic sum assured.
In case the policyholder dies in a land surface, mass public
transport system wherein the policyholder was traveling as a
fare-paying passenger, then 200% of the rider sum assured
is paid.
Benefit payable in case of permanent disability due to an
accident.
If the policyholder survives an accident but become
permanently disable then the premium for the basic plan is
completely waived off to the extent of the rider
sum assured.
Plus, 10% of the rider sum assured is paid for the next 10
years, which helps in providing that extra money and takes
care of sudden financial set back that occurs after a tragic
disability.
Accident & disability Benefit rider is available with save ‘n’
Protect, Cashbak, SmartKid Child Plan, Lifetime II, Life Time
Pension II, Forever Life, Secure Plus, Cash Plus, Secure Plus
Pension, Life Guard ROP and Life Guard WROP, the waiver of
premium benefit is not available.
Premiums paid under this rider are eligible for tax benefits
under Section 88.
Accident Benefit Rider
If the policyholder dies due to an accident, 100% of the rider
sum assured is paid in addition to the basic sum assured.
Accident Benefit rider is available with save ‘n’ Protect,
Cashbak, Smart Kid regular premium, Forever Life, secure
Plus, Cash Plus and Secure Plus Pension.
Premiums paid under this rider are eligible for tax benefits
under Section 88.
Income Benefit Rider
In case of death of the life assured during the term of the
policy, 10% of the rider sum assured is paid annually to the
beneficiary, on each policy anniversary till maturity of the
rider.
Income Benefit rider is available with Smart Kid Child Plans,
Secure Plus and Cash Plus.
Premiums pad under this rider are eligible for tax benefits
under Section 88.
Waiver of Premium Rider (WOP)
On total and permanent disability due to an accident, all
future premiums for both the base policy and rider (s) will be
waived till the end of the term of the rider of death of the life
assured, if earlier.
Waiver of Premium rider is available with Secure Plus, Case
Plus, Lie Guard ROP, Life Guard WROP, Smart Kid Unit linked
regular premium II, Life time II , Life Time Pension II and
Secure Plus Pension.
Premiums paid under this rider are eligible for tax benefits
under Section 88.
ICICI Pru Save ‘n’ Protect
(With profits endowment plan with extended life
cover)
This product is participating (with profits) endowment
product. As the name suggest the product encompass the
features of saving and life cover protection in equal
measures. The product is meant for the masses and has
flexible features. The product specification is as under:
Min Sum assured
Max Sum assured
Rs. 50,000
Unlimited
Min Age at Entry
Max Age at Entry
0 Years
60 Years
Min Maturity Age
Max Maturity Age
………..
70 Years
Min Term
Max Term
10 Years
30 Years
Sum assured
Multiples of
Rs. 1,000
Premium Payment
frequencies
Yearly, Half – yearly, quarterly and
monthly
Premium Payment
period
The Entire Term of Policy.
Benefit Coverage
period
Term of Policy + 5 years after maturity
(extended life cover)
Death benefits
During the term of
the policy
During ELC period 5
Sum Assured + Guaranteed Additions
+ Vested Bonus (if any) + Terminal
Bonus (on policies with term of 16
years or more).
years maturity 50% of sum assured in case the policy
holder dies during the 5 year term.
Maturity Benefits Sum assured + Guaranteed addition
(for the first 7 years) + Vested Bonus
+ Terminal bonus on policy with term
of 16 years of more.
Surrender/Paid up After 3 full year premium have been
paid.
Riders allowed Critical illness (CIR), Major surgical
(MSAR), Accident Benefit (ADBR), Term
Rider (LTAR).
Remarks Extended cover will be given only if
policy is in force for the full sum
assured at maturity.
Areas where population is less than
10,000 live or less the minimum sum
assured of Rs. 20,000 Shall apply.
The rider specifications are as follows:
SV = Total Premium – 1st year Premium + Bonus + Cash
Value / 3
TARGET MARKET FOR ICICI PRU SAVE
‘N’
PROTECT AND THE RIDERSThe ICICI save ‘n’ protect is a product that has a mass
appeal. The product has a good return feature as well as a
good life cover feature since the facility of life cover provides
cover for 5 years for 50% of the sum assured over and above
the maturity period. It subscribes to all the strata of the
society, but this product primarily targets to:
1. The salaried class.
2. Gross annual income of Rs. 1.2 lace. Ana above.
3. People with family responsibility.
4. Age group 20-40
The product imbibes a concept of compulsory saving and the
Such a kind of product is more comfortable with middle
class. It is mostly for people within the age group of 20 to 40
who have a family responsibility.
The rider extremely beneficial when sold to age group of 20
to 40. Since rider make the life cover and risk cover
qualitatively rich and the premiums are very low, attach
ability of riders should be advised by us.
ICICI PRU SAVE ‘N’ PROTUCT – FEATURES
ADVANTAGES BENEFITS
Now we know what ICICI Pru save ‘n’ protect is and how is
the product placed in the Market. It is important for us to
communicate to the client the features, benefits and the
advantages that ICICI Pur save ‘n’ protect has and others.
Features of Save ‘n’ Protect:
a) Extended Life Cover
Advantage
The feature is unique to ICICI prudential save ‘n’ protect. The
concept of extension of life cover is not new thought it has
been associate with a product like save ‘n’ protect.
Benefits
Free life cover for 5 years for 50% of the sum assured
payable on death offers value for money.
b) Riders Benefits
Advantage
Competitor products do not offer protection against illness
under one CIR rider.
MSAR is the rider, which is offered by ICICI prudential alone
covers 43 illnesses.
Level term assurance rider extends the advantage of double
cover under one single plan at lower cost.
There are products offered by LIC with double cover like
Jeevan Mitra, however. The premium towards the policy
restricts it to a niche.
Benefits
Additional protection against small price. Rider not only
covers contingencies that may cause death, but also those
which might incapacitate the individual from earning a
regular income required to maintain his life style.
c) Affordable Premium Rates
Advantages
A male client of age 30 pays a premium of 4484 for 1 lac of
cover, which for the same one lac he pays at least 5% more
if the decides to opt for the competitor product.
Benefit
Lower premiums ensure larger cover at nominal costs.
ICICI PRU CASHBAK
(With profits anticipated endowment plan)
This is a popular product with a three in one feature, of life
cover, liquidity and savings, ICICI Pru. Cashbak provides the
policyholder with survival benefits during the term of the
policy. The policyholder receives money regularly after every
few years there by incorporating an element of liquidity. The
products has the features mentioned below:
Minimum Sum assuredMaximum Sum assured
Rs. 75,000/-Unlimited
Minimum age at entryMaximum age at entry
16 Years55 Years
Minimum maturity ageMaximum maturity age
Not applicable70 Years
Term 15 Years and 20 YearsSum assured multiples of Rs 1000Premium payment frequencies
Yearly, Half Yearly, Quarterly and Monthly
Loading for premium frequencies
5% extra for monthly mode of premium payment
Premium payment period The entire term of policyDeath benefitsDuring the term of policy
Sum assured + guaranteed additions + vested bonus (if any) + terminal bonus (on policies with term of 16 years of more. Death benefit will be paid even if the survival benefits have been paid.
Survival(% age of the sum assured)
1 5 year plan 20 year plan 3 year
10% 4 Year
10%
6 year
15% 8 year
15%
9 year
20% 12 year
20%
12 year
25% 16 year
25%
15 year
50%Maturity
20 year
50%Maturity
Total 120% Total 120%Maturity benefits 50% of sum assured +
guaranteed additions + vested bonus (if any) + terminal bonus (on policies with term of 16 years or mover)
Surrender/Paid up After 3 full years premium have been paid
Policy Loans No LoansRiders allowed Critical illness benefit rider
(CIBR), Major surgical assistance rider (MSAR), Accident and disability benefit rider (ADBR), Level term assurance rider (LTAR)
Remarks The entire death benefit is payable even if the complete survival benefit is paid.
Target Market
ICICI Pru cashbak is a product that has mass appeal and
specifically for individuals who look for some interim benefits
in their life insurance policy. It helps the client to develop
and plan his investment as well as asset acquisition. The
product. Is mainly targeted towards:
The salaries and mid-sized businessmen
In the age group of 25 years to 45 years.
Gross income of Rs. 2,00,000/- and above.
Having families and children.
Looking for liquidity in insurance.
Will require periodic money for their children
education, asset creation.
ICICI PRU CASHBAK – FEATURES
ADVANTAGES BENEFITS
New we know ICICI cashbak is and how is the product placed
in the market. It is important for us to communicate to the
client the features, benefits and the advantages that ICICI
Pru Cashbak has and offers.
Features of Cashbak
a) More on Maturity
Advantage
All other anticipates endowment plans give only 100% of the
sum assured as survival and maturity benefits.
Benefits
The policyholder gets more than any other endowment plan.
b) Liquidity
Advantage
No other anticipate endowment plan in the market gives
money after every three years in a 15 years plan and after 4
years in a 20 year plan regularly.
Benefit
ICICI Pru cashbak gives more liquidity, thus enabling the
policy holder to plan for more during the term.
c)Rider Benefits
Advantages
The double death benefit offered by ADBR on death due to
accident while traveling in a mass public transport system
along with added benefits like disability cover and waiver of
premiums at a flat rate of 1.35 make it easily accessible to
all income groups.
Competitor products do not offer protection against 9 illness
under on CIR rider.
Benefit
Additional protection against small price. Rider not only
covers contingencies that may cause death, but also those
which might incapacitate the individual from earning a
regular income required to maintain his life style.
d) Riders cont
Advantage
Level term assurance rider extends the advantage of double
cover under one single plan at lower costs.
There are products offered by LIC with double cover like
Jeeven Mitra, however the premiums towards the policy
restricts it to a niche.
e) Affordable premium rates
Advantage
A male client of age 30 pays a premium of 4484 for 1 lac of
cover, while for the same 1 lac he pays at least 5% more if
he decides to opt for the competitor product.
Benefit
Lower premium ensure larger cover at nominal costs.
ICICI PRU LIFE GUARD (RETURN OF PREMIUM)
(Regular Premium Term Insurance Plan with Return of
Premium)
this is a term insurance plan providing the life assured with a
reasonable and economical life cover at very low cost. This
plan is a regular premium-playing plan and at the end of the
term the total premium received from the policyholders is
returned back to the policyholder with any interest or
additions.
Min Sum Assured
Max Sum Assured
Rs. 100,000/-
Rs. 10,00,000/-
Min Age at Entry
Max age at Entry
18 Years
50 Years
Min Maturity age
Max Maturity age
…………….
65 Years
Min Term
Max Term
5 Years
25 Years
Sum assured multiples of Rs. 1,000/-
Premium payment
frequencies
Yearly, half yearly, quarter
and monthly
Loading for Premium
frequencies
5% extra for Monthly
Premium payment period The entire term of policy
Benefit coverage Period Term of Policy
Death Benefits
Maturity Benefits Return of Premium Paid
Surrender/Paid up After 3 full years premiums
have been paid
Policy Loans No Loans
Riders Allowed Accident Benefit (ADBR)
Remarks Minimum Annual Premium
needs to be 2400/-
Target Market
ICICI Pur Life Guard, focuses on the two extremes of the
society:
High network Individuals as their priority is only life cover
and not returns on investments.
Lower income groups because they do not have a capacity
to pay huge premiums.
The Target Market will Comprise of:
The age group of 25 to 45.
Businessmen looking for life cover and security against
liabilities.
People wanting to insurance as per their HLV.
ICICI PRU FORVER LIFE (REGULAR PREMIUM)
(Regular Premium Deferred Annuity Plan)
The following are the specification of the plan:
Min Sum Assured
Max Sum Assured
Rs. 50,000/-
Unlimited
Min Age at Entry
Max age at Entry
18 Years
60 Years
Min vesting age
Max vesting age
45 Years
65 Years
Min Term
Max Term
5 Years
30 Years
Sum assured multiples of Rs. 1,000/-
Premium Payment Yearly, half yearly, quarterly
Frequencies and monthly
Premium payment Period The entire term of policy
Death Benefits
During the term of policy
Sum assured + guaranteed
additions + vested bonus (if
any) + terminal bonus (on
policies generate annuity for
the spouse.
If spouse is not there then
given as lump sum to the
nominee
Maturity Benefits Annuity
Surrender/Paid up After 3 full years premiums
have been paid
Policy Loans No Loans
Riders Allowed Critical illness benefit
standalone (CIBRS), Major
Surgical Assistance Reder
(MSAR), Accident and
disability benefit rider
(ADBR), level term assurance
rider (LTAR).
options Open Market Option.
Extension of vesting age.
Annuity Options.
25% of Purchase Price can be
obtained at lump sum.
Target Market
The annuity plan can be targeted to:
1.People working in the private companies and in
organization where there is no pension facility to the
employees, Businessmen and traders.
2.People with income group of 1.2 lacs plus.
3.Age group of 20 to 45 years.
ICICI PRU FOREVER LIFE (REGULAR PREMIUM)
FEATURES ADVANTAGES AND BENEFITS
A product like forever life is more relevant in today’s time
when the cost of living and life expectancy is increasing
regularly. Thus annuity plans are the only solution where by
an individual can take care of his future financially and
maintain his lifestyle.
Features of Forever life (RP):
a) Minimum vesting age is 45 year
Advantage
Product currently available in the market allow any individual
to being annuity not before 55 year, while forever life
provides a vesting age as early as 45 years.
Benefits
An individual policyholder get return in the form of annuity
right from the time he expects the productivity to reduce. So
the money come to him as a supplement for all his life and
enabling him to sustain his standard of living.
b) Extension of vesting period
Advantage
The product allows extension of vesting period where by the
policy holder can start the annuity Whenever he need it to
being.
Benefits
The policy holder enjoy the flexibility of creating his own
policy and getting the returns from the policy when he
requires them.
c) Four annuity options
Advantages
Forever life provides four annuity options viz.
Life annuity
Life annuity with return of purchase price.
Joint life, last survivor annuity with return of
purchase price.
Guaranteed annuity for 5, 10 & 15 years.
Benefits
These four options allow the customer enough choice to suit
his requirements.
In the joint life survivor option the spouse is given 100% of
annuity.
ICICI PRU FOREVER LIFE (SINGLE PREMIUM)
(Single Premium Deferred Annuity Plan)
Following are the specification of the plan:
Min Sum Assured
Max Sum Assured
Rs. 50,000/-
Unlimited
Min Age at Entry
Max age at Entry
30 Years
62 Years
Min vesting age
Max vesting age
45 Years
65 Years
Min Term
Max Term
3 Years
15 Years
Sum assured multiples of Rs. 1,000/-
Premium Payment
Frequencies
Yearly, half yearly, quarterly
and monthly
Premium payment Period The entire term of policy
Death Benefits
During the term of policy
Cash Value of sum assured +
guaranteed additions +
vested bonus (if any) used to
generate annuity for the
spouse.
If spouse is not there than
given as lump sum to the
nominee.
Maturity Benefits Annuity
Surrender After one full years premiums
have been paid
Policy Loans No Loans
Options Open Market Option.,
Extension of vesting age,
Annuity option, 25% of
purchase price can be
obtained as lump sum.
Target Market:
1.People at higher ages looking for annuity and not life
cover.
2.Like to pay money in one go.
3.People who have got a VRS or just retired, and wanting
annuity not now but after few years.
ICICI PRU FOREVER LIFE (SINGLE PREMIUM
FEATURES ADVANTAGES AND BENEFITS)
A product like forever life appeals to a customer whom the
fear of living too long keeps haunting. He is a customer who
expects to live long and therefore his prime need is to
sustain the standard of living, which he has been
maintaining when he has working.
Features of Forever Life (SP):
a) Minimum vesting age is 45 years
Advantage
Product currently available in the market allows any
individual to begin annuity not before 55 years, while forever
life provides a vesting age as early as 45 years.
Benefits
An individual policyholder gets return in the form of annuity
right from the time the expects his productivity to reduce. So
the money comes to him as a supplement for all his life and
enabling him to sustain his standard of living.
b) Extension of vesting period
Advantage
The product allows extension of vesting period whereby the
policyholder can start the annuity whenever he needs it to
being.
Benefits
The policyholder enjoys the flexibility of creating his own
policy and getting the returns from the policy when he
requires them.
c) For annuity options
Advantages
Forever life provides four annuity options viz:
Life annuity
Life annuity with return of purchase of price
Joint life annuity
Guaranteed annuity for 5, 10 & 15 years
Benefit
These four options allow the customer enough choice to suit
his requirements.
d) No. Life Cover
Advantages
The other deferred annuity plan in the market contains life
cover due to which the plan become expensive and
unaffordable at higher ages.
Benefits
Due to no life cover the plan can be taken at any age and
the premiums for the particular term remains the same.
Thus, making it affordable at higher ages also.
LIFE TIME
In Life Time a person can choose a specified level of
protection according to his needs. Part of the premium paid
is adjusted towards mortality and administration charges
and the rest is invested in the plan of the choice. Entry into
the plan will be based on the unit value of the plan based on
the unit value is base on the value of the units allotted to the
person.
“A single policy that meets your changing needs over
a Life Time”
Benefits:
Death Benefit: In the unfortunate event of death, the close
ones are spared on uncertain future. The guaranteed death
ensures that the nominee/s will receive the higher of death
benefit chooses (less any withdrawals) or value of the units.
Liquidity option: There is no maturity date. Anytime after
three years of commencement (provided to the person have
paid premium for 3 full years), the person can make partial
or complete withdrawals at no penalty to meet the
immediate requirements.
“The once in a Life financial solution for a complete
peace of mind”
Options :
Choice of investment Plan
Maxi miser (Growth): Enjoy long term capital appreciation
from a portfolio i.e. invested primarily in equity related
issues.
Protect or (Income): The priority is steady returns; a
person can opt for the “income plan”.
Balancer (Balanced): Balance of growth and steady
returns choose the balancer plan.
Flexibility
Increase the death benefit
Decrease the death benefit
Premium holiday option
Add on Riders
a) Accident & Disability rider
In the unfortunate event of an accidental death,
apart from the emotional trauma there are financial
liabilities that face a family. ICICI PRUDENTIAL LIFE
TIME ensures the nominees to get an additional sum
under the rider in such an event.
b) Critical illness Rider
In case the person contract any of the specified critical
illness, ICICI Pru make the whole process easier by paying
the person sum assured under the rider.
c) Major surgical assistance benefit rider
And even if the person, require emergency surgery, ICICI Pru
assist the person with a lump sum payment.
ICICI PRU. SMART KID
Guaranteed Educational Benefits
ICICI Pru. Smart Kid is so designed that it provides money at
important milestones. Whatever be the uncertainty, these
payment will the made to your child at the critical milestones
in the child’s life.
At the end
of
Child’s
age
Education Payout Needs met
10th year of
the policy
15 years Secondary
completed
20% of SA* Extra tuition,
preparation
for
professional
coerces,
change of
school of
colleges
12th year of
the policy
17 years Higher
Secondary
completed
25% of the
SA*
Join a
Professional
college,
graduation
college
15th year of
policy
20 years Graduation
completed
25% of the
SA*
Higher
studies, post
graduation
17th year of
policy
22 years Post
graduation
completed
30% of the
SA* +
guaranteed
additions
+vested
bonuses
Further
education in
India or
Abroad.
Alternatively,
used for
marriage or
career
establishment.
Additional Benefits
With ICICI Pru. Smart kid, two optional add-on riders are
attachable, Income benefit rider and accident and disability
benefit rider, that help to secure the child’s future in a
holistic manner.
Income benefit rider besides education, aspects like extra
curricular activities, sports, picnics, trips etc. to ensure the
all round development of your child. So, long as the parent is
alive, these needs are taken care of. But, what if something
unfortunate was to happen?
Income benefit rider takes care of this through payment of
10% of sum assured annually to your child each policy
anniversary following death, till maturity of the rider.
Accident and disability benefit rider
This provides cover against an unfortunate death due to an
accident. If the individual gets permanently disabled due to
an accident, it will also provide a regular income for the next
10 years or till maturity of the policy. All future premium, in
respect of sum assured under the basic plan equal to
accident cover, will be waived.
Objective of study
The various objectives of the project were:
Awareness of insurance sector.
Measure the awareness of insurance policies and
company.
To identify the various aspects of customer satisfaction.
Measuring the impact of the ICICI life insurance
companies in the Indian market and Indian consumers.
Familiarizing oneself with various products available
and the additional features or the riders attached to
them.
Analyzing the schemes offered by the private sector
players.
Importance of study
ICICI Prudential has grown exponentially over the past three
years , making its mark in a number of segments such as
retirement solutions, child plans and market- linked plans.
The success of the business thus far, has reaffirmed the
commitment of both the partners-ICICI Bank and prudential
plc- towards achieving the company’s vision of being a
leader in life insurance business in India.
ICICI Prudential is the leading private sector life insurance in
India. In December 2003, it crossed the Rs 1000 crore total
premium mark, the first private life insurer to do so.
So, the research work is important in respect of
understanding the changing Insurance sector with special
reference to ICICI Prudential. The study is about products of
leading private insurer, their mode of recruiting advisors and
their approach – which made them customer centric.
Scope of study
ICICI Prudential Life Insurance has increased its market share
among private life insurers to nearly 40% from 33% as of
end-December. The company’s first-year premium income in
the April-January period stood at Rs 464.6 crore, accounting
for 39.3% of the Rs 1,364 crore premium booked by all
private life insurers together.
Considering the entire life market, including the Rs 9,780
crore booked by Life Insurance Corporation, ICICI Prudential
market share works out to around 4.17%. The Life Insurance
market continues to be dominated by LIC which has about
87.8% share. This is only a marginal dip from its 88.2% share
in end-December. These comparisons are only for first year
or new business premium.
The gap between ICICI Prudential and the second–in-line
private insurer is vast. In fact, this hiatus has led some
analysts to wonder if the company is not a trifle too
aggressive. But others say this has more to do with the
company’s customer-centric focus, its pan-India presence
and superior risk management and investment strategies.
ICICI Prudential is not, however, resting on its laurels.
Company’s customer centric approach will be studied during
the training period and the finding of the research work will
definitely focus on the present condition & future
requirement (if any) relating to products of company.
RESEARCH OBJECT
AIM To study the “Product Basket of ICICI PRUDENTIAL Life
Insurance Company Limited”
To survey the “Market Potential” of ICICI PRUDENTIAL Life
Insurance Company in Meerut City
To study the opinion of the policy holders related to their
satisfaction
To do the project on the “Recruitment of the Insurance
Advisors in ICICI PRUDENTIAL Life Insurance Company
Limited (Meerut City)
To survey the “Market strategy of ICICI PRUDENTIAL” for
recruiting advisors
LOCATION
Meerut City
Recruitment of insurance advisors in
ICICI Prudential
The field of the Life Insurance is the challenging one, though
by far one of the most rewarding careers, one can get into.
The mantra to succeed in this business is to:
“Right activities at right time and do the right
activities regularly”
The first right activity which, one needs to do, is to develop a
market for purpose of selling life insurance. The question
that comes is
“How do an advisor identifies his natural market and
reach to them?”
The answer to this question involves four steps:
Prospecting
Sales Call
Tele calling
Closure
While going through the whole of “Recruitment Project”, I
recognized that ICICI Prudential like to have persons as
advisor who wants to earn money, position and status. They
like to have profile who can devote there most of the time in
their job.
During this recruitment project, I met lots of people who like
to be the advisors. I make them understand, the work to be
perform as an advisor. An advisor can decide his/her work
style, in which they can become his/her own boss and work
in a flexible hours.
During this course of training I met various advisors of ICICI
Prudential who are giving their best.
There are various monthly competitions of advisors in which
they get whole sole opportunity to win various items
including the foreign trip at company’s expanse. In the
process of recruitment I met various people. People of
different perception and mentality which is a fruitful
experience. I surveyed different areas of Meerut.
A person is eligible to be an advisor when,
He/she is more than 25 years
If possible, married
He/she should be at least residents of Meerut for at least 5
years
He/she should be graduate
The profiles I targeted are mainly from the following class of
people:
Business class
Insurance agents
House wives and
Students
It was a challenging job to motivate the person to be the
advisors, as we are having various competitions in insurance
companies like
LIC
Allianz Bajaj
Birla Sun life
HDFC Insurance
But I was succeeded in motivating them to be the part of
most trustworthy company ICICI Pru. Life Insurance
Company.
Advisors of ICICI get same respect and status as the
employee of ICICI because ICICI believes in
“GIVE RESPECT, GET RESPECT”
In the process of recruitment I realized that working with
ICICI Prudential Life Insurance as advisor can be comprised
in four words,
“NO CHINTA, ONLY MONEY”
1) Universe of study – Meerut City
2) Sample size - One Hundred
3) Type of Research used - Descriptive Research
4) Data Collected:
(a) Primary
(b) Secondary
5) Sample Design Used:
(a) Cluster sampling
(b) Random sampling
6) Tools & Techniques: Questionnaire
1) Universe of study
Meerut City
2) THE SAMPLE
The study is based on the data collected from the peoples of
MEERUT. I have taken a sample of 100 customers. The aim is
to know the views of the people. Due to shortage of time the
sample taken is small, but extreme care has been taken to
the views of the people. Thus, for the present study, the
sample can be said to be representative of all the peoples of
MEERUT.
3) DESCRIPTIVE RESEARCH
Descriptive research studies are those studies, which are
concerned with describing the characteristics of a particular
individual, or of a group. In descriptive studies the
researcher must be able to define clearly, what he wants to
measure and must find adequate method for measuring it
along with a clear cut definition of ‘population’ he want to
study. Since the aim is to obtain complete and accurate
Information in studies, the procedure to be used must be
carefully planned. So according I have planned my research
work.
4) DATA COLLECTION:
I used following data collection methods during my studies
PRIMARY DATA &
SECONDARY DATA
I. Primary Data: Primary data is the data that we have
taken from survey method.
II. Secondary Data: Secondary data is the data that is
taken from manuals, books, generals and business
magazines etc. it is also called second hand data.
5) SAMPLE DESIGN USED
Although there are many methods of sampling, which can be
applied in research study, But during the survey, basically I
have adopted two methods, which are as follows:
(a) CLUSTER SAMPLE METHOD:
It is difficult and even impossible to identify uniquely each
member of the population. Yet it may be possible to identify
certain sub-groups with relative cases.
The cluster is a geographical or social unit; through it may
be defined by other properties. Typical clusters are city
blocks, households, family organization, farms etc.
Thus for example in a survey of a city population no up date
lists of the residents was available but a map showing blocks
and then sample of each blocks may be drawn on complete
count may be taken of those who live in these blocks.
Now, second method, which I had adopted during the
survey, is cluster-sampling method.
Under which I had divided the whole MEERUT CITY, from
where I had started my survey, into clusters like first,
second, third and fourth.
(b) RANDOM SAMPLING METHOD:
A sampling procedure for which possible combination of two
or four elements had equal chance of being selected is called
simple random sampling.
In general, a simple random sampling procedure of ‘n’
elements from the population has equal chance of being
selected.
Simple Random has important property related to variability
of estimates obtained from such sample decrease as
sampling size increases.
In this stage of my survey I adopted random sampling
method. In this I have selected the customer randomly and
asked questions
6)Tools & Technique
As we know that collection of data is very necessary for
completion of research work, so in my survey basically I
have used Questionnaire method for collecting the data.
SWOT ANALYSIS
The diagnosis of a company’s strengths & weaknesses can
be fruitful only if the environment factors and market
conditions are considered along with the internal capability.
This approach essentially involves matching of the internal
capabilities with the environmental opportunities and
threats, and is known as SWOT (Strength & Weaknesses,
Opportunity and Threats) Analysis.
Strength
ICICI Prudential is the largest Private player in the insurance
industry in India.
It is one of the largest financial institutions in India.
It is the fifth largest insurance company (in terms of
revenue) in the world.
Prudential is 154-year-old company in has over 75 years of
experience in Asia.
Prudential operates in 12 countries in Asia and employs over
25,000 staff around the world.
ICICI Prudential has AAA rating from standard and Poors for
the financial strength of its core life funds.
Weakness: -
Some customers are not satisfied with the service of
the company.
ICICI Prudential has only 28 branches all over India.
High period insurance duration.
There are some customers who do not pay their
Premium regularly.
Opportunity: -
There is huge opportunity in insurance market.
ICICI Prudential is the first life insurance company
to offer ECS debit facility.
ICICI Prudential is the first company to introduce
unit linked pension products.
Threats: -
There is very tuff competition with LIC. Govt. has
given the license to many other companies providing
insurance facility like SBI life, ING Vysya, Tata AIG, Birla
Sun Life, Allianz Bajaj, Aviva, HDFC Standard life.
PEOPLE HAVING ICICI PRUDENTIAL POLICY
According to the survey 22% customers are having ICICI Pru. Products
and 78% customers do not have the ICICI Pru. Products. As ICICI Pru. Is
recently entered into the insurance sector & in approx 4 years ICICI
capture a big market, it’s a great achievement for ICICI Prudential.
ICICI Pru. Satisfied the requirement and the need of the
customers and provides them better policy as well as
services.
People buy ICICI Pru. Product because it them dual benefits.
It ensures the money and give good rate of return &
secondly, is able to sell its product much more effectively in
a very short period of time.
SATISFIED WITH ICICI POLICY PREMIUM
Approximate 82% customers, are satisfied with the premium of
policies. It means the large number of policyholders are satisfied with
the policy premium and 28% customer are not satisfied with the policy
premium. It means that some people are not satisfied with the policy
premium.
SINGLE REASON BEHIND PURCHASING
ICICI PRU PRODUCTS
According to the survey 43% customers purchase policy
because of risk cover and 27% customers purchased the
policy because of tax liabilities. Generally, the single most
reason behind purchasing the policies either for covering the
risk or for reduction in tax.
Types of Policy Prefer
According to the survey approx. 15% customers prefer save
‘n’ protect policy because it is fixed term policy which
combines savings with life cover and 27% customers prefer
smart kid, because as parents the biggest concern is that of
securing the future of the child & it is the superior way to
safe the future of your child & 11% customer prefer cashbak
policy it is a there in one plan that combines saving, liquidity
and protection. Approx, it’s a pension plan that works after
your retirement. Approx 20% customers prefer pension plan.
The company must introduce such type of policies in the
market, which satisfied the need, & the requirement of the
general peoples.
ICICI PRU. CAPABLE TO FACE OTHER
COMPETITOR
According to the survey approx. 78% customers are agreed and they think the ICICI Pru. Is capable of facing other competitor in insurance sector. But still there 22% customers are not satisfied with this comment. But large numbers of policyholders are agreed from the ICICI Pru. Market strategy. Marketing strategies of ICICI Pru. are as follows :
Understanding customer’s needs and offering them superior products.
New technology to service customers quickly, efficiency and conveniently.
Developing and implementing superior risk management and investments strategies to offer stable returns to the policyholders.
Providing an enabling environment to foster growth and training for the advisors.
And above all building transparency in all prospect’s dealings.
CHANNEL OF COMMUNICATION
According to the survey approx. 30% customers are aware
about ICICI Pre. Through advisor, 55% customers are aware
through advertisement. 15% customers are aware through
word of mouth & 5% customers are aware through reference
groups. It shows that advisor and advertisement is the best
medium to sell the product of ICICI Pru. And only through
advisor & advertisement most of the people are aware about
ICICI Pru. The company must maintain its advertisement
strategy and make changes time to time according to the
need & requirement.
ADVERSINTING STRATEGY OF ICICI
PRUDENTIAL
According to the survey, the advertisement strategy of ICICI
Pru is excellent i.e. approx. 40% and customers remarks are
“EXCELLENT” towards its advertisement strategy. 25%
remarks “SATISFACTORY” and 30% “GOOD”, that means
almost all the customers are happy and satisfied with the
advertisement strategy of ICICI Pru., only 5% says the
presentation is “NOT GOOD”.
PROFILES OF INSURANCE ADVISORS
While doing the survey, of Recruitment Advisors, I
recognized that 40% of population who are agree for doing
the job of advisors belongs to “INSURANCE AGENTS” group.
35% of them belong to “HOUSE WIVES” groups 15% of them
belong to “BUSINESS CLASS” and 10% of them are
“STUDENTS”.
This graphical representation shows that most of the
population who are interested in doing this jobs belongs to
“HOUSEWIVES”.
DEGREE OF INTEREST
According to the survey, I recognized that around 60% of the
populations interested in doing the job of insurance advisors
are “FEMALE”, while only 40% of them are “MALE”.
This survey shows that “FEMALE” are more interest than
“MALE”.
BEHAVIOUR OF OFFICE STAFF
According to the survey 42% customers agreed that the behavior of
office staff is excellent. 34% says that the behavior is satisfactory. 22%
says that it’s good and 2% customers say it’s not good.
SATISFIED WITH REGULAR
SERVICE OF ICICI PRUDENTIAL
According to the survey, 8.5% customers are satisfied with
the regular service of ICICI Pru. And 15% customers are not
satisfied with this. The service which is provided by office
such as intimation of due premium in time and other related
documents of the policies.
Limitation
While working on the topic assigned to me for research work,
I have chosen the way of random sampling. But while
carrying out the work I have faced the following problems i.e
limitation to my studies:
In the month of June to August in Meerut, when the
temperature was high & due to frequent power cut in
city some people were not ready to talk over the topic
covered under Questionnaire.
Due to uneven social environment in Sadar, the area
was not fully covered as planned.
While involved in advisor recruitment process,
sometime not got appointment from the persons due
to their busy schedule.
CONCLUSION:
On the basis of data collected and analysis of those data,
following are the conclusion that I have drawn:
People in Meerut are aware of Insurance and its
importance.
They are aware of private players in Insurance and
generally know the name of ICICI Prudential Life
Insurance.
General people are not aware of unit-linked plans.
ICICI Prudential life Insurance is giving tough
competition to leader (LIC) In Meerut city.
People are ready to join the ICICI Prudential family as
advisors.
ICICI Prudential Life Insurance has managed a good
customer relation in Meerut city.
So, it can be generalized that due to its customer
centric approach, product features and service
provided by its advisors ICICI Prudential Life Insurance
is considered to be No. 1 private Insurance in INDIA.
RECOMMENDATION:
While studying the Insurance market in Meerut city giving
special reference to ICICI Prudential Life Insurance. I have
gone through number of statements of people about policies
they have taken from the market leader but were not
satisfied with after sale service they are receiving. On the
basis of that I recommend the market challenger that:
There should be post purchase interaction with
the policyholder.
More customer oriented educated sales force should be
employed to educate the people about unit-linked plans.
BIBLOGRAPHY
PHILIP KOTLER (MARKETING)
SANTOSH GUPTA (RESEARCH METHODOLOGY)
TIMES OF INDIA
ECONOMIC TIMES
www.IrdaIndia.org
www.ICICIPrulife.com
JOURNAL
1. IRDA 2002-03
2. IRDA 2003-04(I)
QUESTIONNAIRE
1. Have you taken any insurance policy?
Yes No
2. Which policy you are having?
LIC Private Company
3. Have you taken any ICICI Prudential Product?
Yes No
4. If yes then which policy?
Retirement Policy Saving Plan
5. How many policies do you have in your family?
6. Through which channel you get aware about ICICI
Prudential?
(a) Advisor (b) Friend/Relative
(c) Advertisement (d) Neighbor
7. Is the policy/policies taken by you are suitable for you &
your family?
Yes No
8. What is the single most important reason behind
purchasing ICICI Prudential Product?
(a) Persuasion of Advisor (b) tax liability
(c) Indirect motivation by someone
(d) Risk coverage
9. Are satisfied with the regular services, which are being
provided by ICICI Prudential Product?
Yes No
10. Whether in your opinion ICICI prudential is capable to
face competition from other players?
If “Yes”
If “No”
And what are your suggestions to make it competitive
DATE: Name
PLACE: Address
Contact No.