Submitted by : Robin Juriasingani

Harriet D’Costa

Bhagyashree Vaity

Introduction Problem Areas

Background

The LIC Way

The Insurance Bill of 2000

Private Players with Multinationals as their partners

Aggressive Marketing and Promotion Activities

Strategies Adopted by Private Players

LIC and Budget of Rs 1 Billion.

Private Insurance Companies : 70% of the total budget

LIC : Rs 1000 Cr Allianz Bajaj : Rs 200 Cr Kotak Mahindra : Rs 150 Cr ICICI Prudential : Rs 146 Cr

In 2002,LIC saw a 25% growth / Private Insurers saw 0.5 %

LIC : Growth due to Increased Public Awareness caused due to

heavy advertisement by private players.

Company Profile

Started operations on 12th Dec 2000.

India’s Biggest private sector life insurer.

2000 Branches all over India.

210000 Advisers and 7 Bancassurance partners

“Most Trusted Life Insurer” by Economic Times

“True life club” & “We cover you", the most effective

punch lines in the EFFIE Awards.

Highest Recall amongst all private players.

Joint Venture..where it all began

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Products

1. Saving and Wealth Creation Solutions

2. Protection Solutions

3. Child Plans

4. Retirement Solutions

5. Health Solutions

6. Group Insurance Solutions

7. Flexible Rider Options

Life Insurance

Retirement Insurance

Medical Insurance

Campaign Objectives

To influence the consumer

To create differentiation

To achieve leadership

To build credibility

Distribution Network

Bancassurance

Direct Marketing

Corporate Agents

Pricing Strategy

Rupee Cost Averaging Method:–

No need to time the market.

Pre-decided amount over a period of time.

Customer is not affected by fluctuating market conditions.

Average unit cost will always be lesser than the average sale price per unit

Pricing Strategy contd..

A Comparative Analysis –

Name Product Coverage (Rs)

Premium (Rs)

Policy Term (yrs)

Tata AIG Raksha 10,00,000 2,420 20

SBI Life SBI-Shield 10,00,000 2,454 20

Max New York Life

Level Term 10,00,000 2,710 20

Bharati AXA Secure Confident

10,00,000 2,850 20

MetLife Suraksha 10,00,000 3,100 20

LIC Anmol Jeevan 10,00,000 3,260 20

ICICI Pru iProtect 10,00,000 3,450 20

SWOT AnalysisStrengths1.No. 1 private life player in India.2.Innovative insurance policies.3.Motivation factors.4.Largest financial Institution of India.5.2nd largest bank with 469 branches and 1740 ATM’s across India.6.Huge database of clients.7.Training provided.8.Highest paid up capital deposited in IRDA.9.Assets base more then Rs.1, 08,000 Cr

WEAKNESS1.Very huge premiums of policies.2.Compare to other insurance sector.3.Minimum premium is 19000.(Expect tax saving policy only 12,000)4.Target upper class people only.5.Policy charges are very high.6.And problematic to advisors also.7.Poor distribution is in English language only.

OPPORTUNITIES 1.Tie up with more corporate agents.2.Tie up with brokers.3.No. of adopting new technology.4.Strong Brand of Company Helps to boost sales inn market 5.Customer centric products

THREAT1.From existing life insurance players2.Threat from new entrance.3.Threat to substitute products4.Change in the policy of IRDA5.People don’t aware of different distribution channel

Ansoff’s Matrix – Planning for Growth

ICICI Prudential Life Insurance will Lie in the Product Development Segment.

New Product Innovations like Online-Intent programs.

New Product Offerings to replace existing ones.

Increase Demand to suit customer needs require constant changes in policies offered.

Marketing & Media Strategy

Creative Strategy

Suraksha – Kandha Campaign

Chintamani

Retire From Work not Life

Marketing & Media Strategy contd..

Anytime insurance

Jeete Raho

Current Scenario

Current market share – 17.5%

Ranks no.1 among the private players

Statistics across India – Total number of branches – 1900 Advisor base – 2,10,000

Current Capital – Rs.4780 croresAssets held – 57,000 crores

Thank you…