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MBA 2009-11

INTRODUCTION

HDFCSLC is one of India’s leading private insurance companies. It offers both

individual and group insurance solution. It is a joint venture between HDFC and a

group of company of Standard Life. I have chosen insurance sector as the place for

summer training because in these days this sector is in boom and it will never go

down. All people invest their money in insurance and get more benefited. In the

sector the work of marketing is more challenging then the other sector because

there is 17 insurance companies in the market who are giving competition to each

other and the work of convince people for investment in respective company is a

challenging work and success in the sector proves that the respective person is a

good marketer. Today insurance sector India is on boom because all people want to

invest. Those who don’t know about investment in share market and don’t want to

invest in mutual funds they invest in insurance sector. Insurance sector gives them

investment plus risk cover. Those who don’t want to take risk in the investment go

to insurance sector. It also gives income tax benefits to the peoples. Insurance

company are now launching ULIP plan and gives chance to the investor to choose

their investment pattern according to their fund investment table(this table is

included in the product information of the product of HDFC Standard life). This

fund investment tells us that how much the investor want to take risk. Generally in

the ULIP plan, the thesis is that “The more you risk the more you have profit.”

HDFCSLIC stands for Housing Development Finance corporation standard life

insurance company. It is incorporated in 1977 as a public limited company with the

specialization in provision of housing finance to individuals’ cooperative societies

and the corporate sector. One significant matter about the HDFC is that it is first

private sector retail housing finance company and it is listed on both BSE and NSE.

Its market capitalization in June 2002.

Abhineet Anand[0953870001]



MBA 2009-11

Standard life insurance is founded in 1825. Standard life was reincorporated as a

mutual assurance company in 1925. It’s largest mutual life insurance company in

Europe. For the joint venture between HDFC and SLIC, the discussion commenced

in January 1995 and the agreement signed in October 1995. Further joint venture

agreement renewed in October 1998. In January 2000 the life insurance project

teem established in Mumbai. At last the company officially incorporated in 14th

August 2000. It is the matter of great happiness for HDFCSLIC is that it is the first

private sector life. insurance company to be granted a certificate of registration in

23rd October, 2000. Today 75% shareholding in the hand of HDFC and Standard

life has 25% shareholding in this joint venture




MBA 2009-11

OBJECTIVE OF THE STUDY

This project aims to know about the “ Financial product in Indian sub-continent ”

for the HDFCSLC to know how much people know and think about the insurance

specially in government employees like PWD engineers, Nagar nigam engineers etc.

the objective was to identify the scope of financial products in Indian subcontinent

and another objective was to find out potential investors who are seeking for new

investment and they are likely to join HDFCSLC as an activity partner,




MBA 2009-11

SCOPE AND LIMITATION OF STUDY

SCOPE OF STUDY

The scope of study was to know about the all financial product of insurance sector

specially of the HDFCSLC. It helps to know what are the benefits of the product &

are people aware or not about the benefits of insurance.

LIMITATIONS

1) Small Sample size:

In my survey, I have taken a sample size of 100 customers, but only with

these samples I can’t make a proper conclusion.

2) Time Constraint:

Time for this project is not sufficient. As I go for the survey at the various

Government department and residence then time for completing and filling

the questionnaires is not sufficient.

3) Sample Area:

The study was conducted in LUCKNOW only. Hence, the study may not be

useful for projection of behavioral aspect of consumers living in other cities.

4) Money Constraint:

Budget and finance are always been constraints in doing any project.




MBA 2009-11

5) Negative response

Some people shows negative response to the survey by not

Answering the questionnaire.




MBA 2009-11

RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the problem. It may be

understood as a science of studying how research is done scientifically. In it we

study the various steps that are generally adopted by the researcher in studying his

research problem along with logic behind them . it is necessary for the researcher to

know not only the research methods/techniques but also the methodology used.

Researchers not only need to know how to develop certain indices or tests , how to

calculate mean or median or mode, how to apply particular research techniques but

must also know which of these methods or techniques are relevant and what would

they mean and indicate and why Research process consists of series of actions or

steps necessary to effectively carry out the research.

RESEARCH DESIGN

A research design is the detailed blueprint used to guide a research study toward its

objectives. The process of designing a research study involves many interrelated

decisions. The most significant decision is the choice of research approach, because

it determines how the information will be obtained. To design something also means

to ensure that the pieces fit together. The achievement of this fit among objective,

research approach, and research tactics is inherently an iterative process in which

earlier decisions are constantly reconsidered in light of subsequent decisions.

The function of research design is to provide for collection of relevant evidence with

minimal expenditure of time effort and money

The following methodology was adopted for the study purpose:




MBA 2009-11

Source of data

Data is the key activity of marketing research. The design of the data collecting

method is backbone of research design.

Data can be obtained from two important sources, namely:

1. Primary Data

2. Secondary Data

I – Primary sources

• Personal interview through questionnaire

II-Secondary data

The secondary data was collected through following sources

• Through company’s website

• Through insurance book provided by IRDA

SAMPLE DESIGN

Area of Sample:

• The areas covered up in this survey was LUCKNOW

Selection of units under study:




MBA 2009-11

AREA OF LUCKNOW WHERE SURVEY IS DONE

1. PWD department

2. Nagar nigam office

3. Jankipuram

4. Kapoorthala

5. Gomtinager

6. Various branches of HDFCSLC

Source list (Sampling Frame):

GOVERNMENT EMPLOYEES: 59

NON GOVT EMPLOYEES: 26

RETIERED PERSON: 15

Sample size: 100

Sampling Procedure: Probability Sampling (Simple Random Sampling)




MBA 2009-11

METHOD OF DATA COLLECTION

Research Method/Technique:

In the project report the researcher used following techniques while conducting his

study:

• Analysis of documents

• Survey Method: A market survey was done on how much people are aware

of financial products of insurance & they know about its benefits or not.

• Questionnaire (Structured): A structured designed comprehensive

questionnaire was framed and Protested for data collection from the people

(scheduleing method) .

Survey:

Survey was done with the questionnaire as well as personal interaction

Personal interviews

This method of date collection involves the interviewers asking question in a face to

face contact situation there in direct personal investigation and the interview

innproperly structured as it involves the use of set of predetermined questions

which are asked in the form and order pre-decided that is given in questionnaire.

This technique is preferred as it is economical, more informative, non responses are

low, spontaneous reaction which are realistic. Lots of supplementary information

comes up.




MBA 2009-11

Secondary Data

Secondary data consists of information that already exists some where and may

have collected for a different purpose, it provide a starting point. As information

was taken for company profile as well as to know about financial product as well as

to know about the insurance.

To know about the company as well as about insurance the secondary data was

used.




MBA 2009-11

THE COMPANY”S BACKGROUND

When we talk about company profile then HDFC standard life insurance company

is targeting insurance sector. It is launching various type of insurance plan and

product which is enticing people to buy its plan. As a insurance company it focus

mainly in the recruitment of financial consultant and the whole company based on it

because the main aim of company is to get business and sell lots number of policy

and this work is done by financial consultant.

HDFC Standard Life Vision and Values

Vision of HDFCSL

The most successful and admired life insurance company, which mean that we are

the most trusted company, the easiest to deal with, offer the best value for money,

and set the standards in the industry. In short, “The most obvious choice for all”

For retention in the market and highest market share, we need trust of our

customer. The customer should trust on our policies, services, employs and they

should be friendly with us. It wants to live in the eye and heart of the customer. It

wants to give them the easiest deal so that they can be understood the terms and

policies. As we know that profit is the main aim of any business but it think not only

about his profit but also profit of the customer. It wants to be the choice of all

people on the basis of trust of customer, delivering high value to the customer, and

deliver of best value of the money




MBA 2009-11

Value that will be observed while we work with HDFCSLC

1. Integrity

HDFCSL believes in honest and trustfulness in every action. Transparency in

dealing with customers. It is stick to principles irrespective of outcome. When we

work in HDFCSL then we observed that its rules and activity of every person in the

organization is just and fair to every one.

Integrity is the bedrock on which the company and the expectations of the

customers and employees are built. Integrity gives inner feeling to both customer

and the employees to work with it. It establishes the credibility of the person, defines

the character and empowers one to do justice to the job. It enables confidence and

trust, achieving transparency and laying a strong foundation for a binding

relationship. It guide principle for all walks of life.

2. Innovation

It is the process of building a store house of treasures through experiences. Lots of

product is going to be launched by the competitors. So it is very important to look

every product and process through fresh eyes everyday. It is the significant part of

the business that attracts customer.

Innovation is essential to exceed customer expectation and maximize customer

retention because it is the sector of investment so you need to fulfill the customer

expectation which help you to retain customer. Innovation helps to achieve

competitive advantage. It promotes growth and upgrade standards in the industry.

It fosters creativity amongst employees and partners. It opens a world of new

possibilities because it brings new concept which helps to entice the customer.




MBA 2009-11

3. Customer centric

Customer becomes the main properties of any organization. Whatever work done

by the organization runs around the expectations of the customer. Customer

becomes centre point of the organization and the main focus of the organization

becomes to understand his expectations by keeping him as the centre point. It gives

more focus on customer activity and saying. It tries to understand customer needs

and deliver solutions. As we know that the market is changed. Lots of competitors is

here who search chance to increase their market share and entice your customer so

customer interest become always supreme.

4. People Care

Genuinely try to understand those people who are working with HDFCSL. It guides

their development through training and support. It helps them to develop their

requisite their skills so that they can reach their true potential. It tries to know them

on a personal front because it works as a performance appraisal. It try to create an

environment of trust and openness so that all people who are working here behave

friendly and helps to each other because team work is most important for getting

success and give respect for the time of others.

People are the most valuable assets of the company so it tries to motivate individual

to give his/her best. It wants to establish a valuable relationship with them to create

a joyful working environment. The most important thing is that it tries to provide

job satisfaction for their people.

5. Team work “One for all and all for one”

Here whole team takes the ownership of the deliverables. It consults all involved in

the work and try to understand their opinion and then arrive ant a common

objective. There is a cooperation and support across departmental boundaries. It




MBA 2009-11

identifies strengths and weaknesses accordingly allocate responsibility to achieve

common objectives.

Team work helps everyone to achieve more. it adds joy at work place which add

interest in the work and new stamina in the work. It generates synergy and provides

a focused approach. When an idea or activity performed in a group, it has greater

acceptability. “Team work proves one for all and all for one”.

6. Joy and simplicity

It believes in joy and simplicity so that people in the organization will be more

dedicated towards work and they will give more business to the organization. Work

with joy and simplicity brings creativity and new imagination which also brings new

innovative ideas that promote competitive advantage to the organization.

MISSION OF HDFSLIC

We aim to be the top new life insurance company in the market.

This does not just mean being the largest or the most productive company in the

market, rather it is a combination of several things like- Customer service of the

highest order Value for money for customers Professionalism in carrying out

business Innovative products to cater to different needs of different customers

Use of technology to improve service standards Increasing market sha

HDFC GROUP COMPANIES

HDFC Limited

HDFC Bank

HDFC Asset Management Co. Limited




MBA 2009-11

HDFC Securities LIMITED

HDFC Standard Life Insurance Company Intelnet Global

CIBIL–Credit Information Bureau Investigation Ltd

HDFC Chubb General Insurance




MBA 2009-11

THE PROMOTERS

Brief Profile of The Board of Directors

Mr. Deepak S. Parekh is the Chairman of the Company. He is also the Chairmanand Director of Housing Development Finance Corporation Limited (HDFC

Limited). He joined HDFC Limited in a senior management position in 1978. He

was inducted as a whole-time director of HDFC Limited in 1985 and was appointed

as its Chairman in 1993. Mr. Parekh is a Fellow of the Institute of Chartered

Accountants (England & Wales).

Mr. Keki M. Mistry joined the Board of Directors of the Company in December,

2000. He is currently the Vice Chairman and Chief Executive Officer of HDFC

Limited. He joined HDFC Limited in 1981 and became an Executive Director in

1993. He was appointed as its Managing Director in 2000. Mr. Mistry is a Fellow of

the Institute of Chartered Accountants of India and a member of the Michigan

Association of Certified Public Accountants.




MBA 2009-11

Ms. Renu S. Karnad is the Managing Director of HDFC Limited. She is a graduate

in Law and holds a Master's degree in Economics from Delhi University. She has

been employed with HDFC Limited since 1978 and was appointed as the Executive

Director in 2000 and Deputy Managing Director in 2007. She is responsible for

overseeing all aspects of lending operations of HDFC Limited.

Mr. David Nish joined Standard Life on 1 November 2006 as Group Finance

Director and remained in that position until December 2009. He is appointed as the

Executive Europe on 1st January 2010. In 2000 he was awarded the Scottish

Business Awards Finance Director of the Year and from 2004 to 2005 he served on

the Government Employers Pension Task Force. He is a member of the Institute of

Chartered Accountants of Scotland. He joined the Board of Directors in February

2010.




MBA 2009-11

Mr. Nathan Parnaby is appointed as the Chief Executive,

Europe & Asia of Standard Life in the year 2010. Nathan joined Standard Life in

1982 as Investment Manager, He is a Mathematics graduate from Oxford University

and the Member of the Securities Institute. He joined the Board of Directors in

December 2009. . He was appointed a Director of the Standard Life Investments’

board. He is responsible for all UK net funds

Mr. Norman K. Skeoch is currently the Chief Executive in Standard Life

Investments Limited and is responsible for overseeing Investment Process & Chief

Executive Officer Function. Prior to this, Mr. Skeoch was working with M/s. James

Capel & Co. holding the positions of UK Economist, Chief Economist, Executive

Director, Director of Controls and Strategy HSBS Securities and Managing

Director International Equities. He was also responsible for Economic and

Investment Strategy research produced on a worldwide basis. Mr. Skeoch joined the

Board of Directors in November 2005.




MBA 2009-11

Mr. Gautam R. Divan is a practicing Chartered Accountant and is a Fellow of

the Institute of Chartered Accountants of India. Mr. Divan was the Former

Chairman and Managing Committee Member of Midsnell Group International, an

International Association of Independent Accounting Firms and has authored

several papers of professional interest. Mr. Divan has wide experience in auditing

accounts of large public limited companies and nationalized banks, financial and

taxation planning of individuals and limited companies and also has substantial

experience in structuring overseas investments to and from india.

Mr. Ranjan Pant is a global Management Consultant advising CEO/Boards on

Strategy and Change Management. Mr. Pant, until 2002 was a Partner & Vice-

President at Bain & Company, Inc., Boston, where he led the worldwide Utility

Practice. He was also Director, Corporate Business Development at General Electric

headquarters in Fairfield, USA. Mr. Pant has an MBA from The Wharton Schooland BE (Honors) from Birla Institute of Technology and Sciences.




MBA 2009-11

Mr. Ravi Narain is the Managing Director & CEO of National Stock Exchange of

India Limited. Mr. Ravi Narain was a member of the core team to set-up the

Securities & Exchange Board of India (SEBI) and is also associated with various

committees of SEBI and the Reserve Bank of India (RBI).

Mr. A. K.T. Chari has joined HDFC Standard Life as a Director on March 10, 2010.

Mr. Chari has completed his Electrical Engineering from Madras University in

1962. He is associated with Infrastructure Development Finance Company Ltd.

(IDFC) for last 11 years. Currently he is handling project finance for infrastructure

projects at IDFC. Prior to this he was associated with Infrastructure Development

Bank of India (IDBI) from 1975 to 1999.




MBA 2009-11

Mr. Gerald E. Grimstone was appointed Chairman of Standard Life in May 2007,

having been Deputy Chairman since March 2006. He became a director of the

Standard Life Assurance Company in July 2003. He is also Chairman of Candover

Investments plc and was appointed as one of the UK’s Business Ambassadors by the

Prime Minister in January 2009. Gerry held senior positions within the Department

of Health and Social Security and HM Treasury until 1986. He then spent 13 years

with Schroders in London, Hong Kong and New York, and was Vice Chairman of

Schroders’ worldwide investment banking activities from 1998 to 1999. He is the

Alternate Director to Mr. David Nish.

Mr. Michael G Connarty is responsible for Standard Life's investments in life

assurance Joint Ventures in India and China. He holds a degree in Law and MBA.

He has worked with Standard Life for 33 years in managerial positions covering a

number of fields such as Pensions law, International Marketing, Operational

Management, Strategy, Risk, Compliance, Company Secretarial and Banking. He

has acted as Project Manager for the start-up project of the Company in 2000. He is

the Alternate Director to Mr. Norman K. Skeoch.




MBA 2009-11

Mr. Amitabh Chaudhry is the MD and CEO of HDFC Standard Life. Before joining

HDFC Standard Life, he was the MD and CEO of Infosys BPO and was also

heading an Independent Validation Services unit in Infosys Technologies. He started

his career with Bank of America delivering diverse roles ranging from Head of

Technology Investment Banking for Asia, Regional Finance Head for Wholesale

Banking and Global Markets and Chief Finance Officer of Bank of America (India).

He moved to Credit Lyonnais Securities in 2001 in Singapore where he headed their

investment banking franchise for South East Asia and structured finance practice

for Asia before joining Infosys BPO in 2005. Mr. Chaudhry completed his

Engineering in 1985 from Birla Institute of Technology and Science, Pilani and

MBA in 1987 from IIM, Ahmedabad.

Mr. Paresh Parasnis is the Executive Director and Chief Operating Officer of the

company. A fellow of the Institute of Chartered Accountants of India, he has been

associated with the HDFC Group since 1984. During his 16-year tenure at HDFC

Limited, he was responsible for driving and spearheading several key initiatives. As

one of the founding members of HDFC Standard life, Mr. Parasnis has been

responsible for setting up branches, driving sales and servicing strategy, leading




MBA 2009-11

recruitment, contributing to product launches and performance management

system, overseeing new business and claims settlement, customer interactions etc.

Brief Profile of The Management Team

Mr. Amitabh Chaudhry

Managing Director and Chief Executive Officer

Mr. Amitabh Chaudhry is the Managing Director and Chief Executive Officer of

HDFC Standard Life. Before joining HDFC Standard Life in January 2010, he was

the Managing Director and CEO of Infosys BPO and was also heading an

Independent Validation Services unit in Infosys Technologies. Mr. Chaudhry

started his career with Bank of America delivering diverse roles ranging from Headof Technology Investment Banking for Asia, Regional Finance Head for Wholesale

Banking and Global Markets and Chief Finance Officer of Bank of America (India).

He moved to Credit Lyonnais Securities in 2001 in Singapore where he headed their

investment banking franchise for South East Asia and structured finance practice

for Asia before joining Infosys BPO in 2005. Mr. Chaudhry completed his

Engineering in 1985 from Birla Institute of Technology and Science, Pilani and

MBA in 1987 from IIM, Ahmedabad.




MBA 2009-11

Mr. Paresh Parasnis

Executive Director and Chief Operating Officer

Mr. Paresh Parasnis is the Executive Director and Chief Operating Officer of

HDFC Standard Life. A fellow of the Institute of Chartered Accountants of India,

he has been associated with the HDFC Group since 1984. During his 16-year tenure

at HDFC Limited, he was responsible, for driving and spearheading several key

initiatives. As one of the founding members of HDFC Standard life, Mr. Parasnis

has been responsible for setting up branches, driving sales and servicing strategy,

leading recruitment, contributing to product launches and performance

management system, overseeing new business and claims settlement, customer

interactions etc.

Ms. Vibha Padalkar

Chief Financial Officer

Ms. Vibha Padalkar is the Chief Financial Officer of HDFC Standard Life.

Ms. Padalkar joined HDFC Standard Life in August 2008 after a seven year stint as

Executive vice President-Finance at WNS Global Services, a NYSE listed leading

global business process outsourcing company. Vibha’s key achievement during her




MBA 2009-11

tenure at WNS was to lead a team that successfully completed the Group’s IPO on

the New York Stock Exchange in a short span of six months. Prior to WNS, Vibha

was with Colgate Palmolive India for 7 years, including a short posting to the

Group's New York headquarters. Ms.Padalkar became a member of the Institute of

Chartered Accountants in England and Wales in 1992, after having completed the

last part of her schooling as well as college education in London.

Mr. Ashley Rebello

Chief Actuary and Appointed Actuary

Mr. Ashley Rebello is the Chief Actuary and Appointed Actuary of HDFC Standard

Life. He completed his degree in Mathematics at Imperial College, London, before

joining Prudential UK in 1996. During his six years at Prudential he worked in

Product Development and Pricing, Valuation and in the Appointed Actuary's team.

Subsequently he worked as an actuarial consultant at PricewaterhouseCoopers for

five years, working for over 20 life insurance companies on a large variety of

assignments in the UK, Netherlands, Switzerland, Greece and the US. He joined

Standard Life in April 2008 and immediately moved to HDFC Standard Life.

Mr. Rebello is a Fellow of the Institute of Actuaries of India and Fellow of The

Institute of Actuaries (UK).




MBA 2009-11

Mr. Vikram Mehta

General Manager, Sales and Marketing

Mr.Vikram Mehta heads the Sales and Marketing function for HDFC Standard

Life. Mr. Mehta joined HDFC Standard Life in February 2009. Before joining

HDFC Standard Life, he was associated with Citibank for 16 years serving various

responsibilities including the Head for Direct Sales - Citibank Credit Cards division

in Germany, Regional Director East - Citibank NA, India, and Acquisitions Head –

Credit Cards, Central and Eastern Europe cluster. Mr. Mehta started his career

with Reckitt and Colman (now Reckitt Benckiser) in 1988, and was associated with

the company for 4 years. He has been a part of FMCG and banking industry for

over 20 years. Mr. Mehta has completed Chemical Engineering from the Indian

Institute of Technology (IIT) Delhi and holds a PGDM from IIM Calcutta.

Mr. Prasun Gajri

Chief Investment Officer

Mr. Prasun Gajri is the Chief Investment Officer of HDFC Standard Life. Mr.

Gajri joined HDFC Standard Life in April 2009 with a rich experience of 14 years




MBA 2009-11

in investments and banking industry. He started his career in 1995 with Citibank

and was associated with it for over 6 years delivering various roles. He joined Tata

AIG Life Insurance Company in October 2001 to start the investment function and

stayed there until April 2009, the last role being that of the Chief Investment

Officer. He holds a PGDM from IIM Ahmedabad and is also a CFA Charter holder.

Associate Companies

HDFC Limited

HDFC Bank

HDFC Mutual Fund

HDFC Sales

HDFC ERGO General Insurance


http://www.hdfcergo.com/

http://www.hdfc.com/others/popup/about_us/hlsil.htm

http://www.hdfcfund.com/

http://www.hdfcbank.com/personal/default.htm

http://www.hdfc.com/



MBA 2009-11

Other Companies

• HDFC Trustee Company Ltd.

• GRUH Finance Ltd.

• HDFC Developers Ltd.

• HDFC Property Ventures Ltd.

• HDFC Ventures Trustee Company Ltd.

• HDFC Investments Ltd.

• HDFC Holdings Ltd.

• Credit Information Bureau (India) Ltd

• HDFC Securities




MBA 2009-11

THE COMPANY’S PRODUCT LINE

• Protection Plans

• HDFC Term Assurance Plan

• HDFC Premium Guarantee Plan

• HDFC Loan Cover Term Assurance Plan

• HDFC Home Loan Protection Plan

• Children's Plans

• HDFC Children's Plan

• HDFC Young Star Super

• HDFC Young Star Supreme

• HDFC YoungStar Super Suvidha

• HDFC Young Star Supreme Suvidha

• HDFC SL YoungStar Champion Suvidha

• Health Plans

• HDFC Critical Care Plan

• HDFC SurgiCare Plan

• Savings & Investment Plans

• HDFC Endowment Super

• HDFC Endowment Supreme

•

HDFC SimpliLife

• HDFC Endowment Super Suvidha

• HDFC Endowment Supreme Suvidha

• HDFC SL Endowment Champion Suvidha


http://www.hdfcinsurance.com/Products/ProtectionPlans/TermPlan.aspx


http://www.hdfcinsurance.com/Products/ProtectionPlans/PremiumGuaranteePlan.aspx

http://www.hdfcinsurance.com/Products/ProtectionPlans/LCTermPlan.aspx


http://www.hdfcinsurance.com/Products/ProtectionPlans/LCTermPlanPlus.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/ChildrensPlans.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarSuper.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarSupreme.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarSuperSuvidha.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarSupremeSuvidha.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarChampionSuvidha.aspx

http://www.hdfcinsurance.com/Products/HealthPlans/CriticalCare.aspx

http://www.hdfcinsurance.com/Products/HealthPlans/SurgiCare.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/EndowmentSuper.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/EndowmentSupreme.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/SimpleLife.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/EndowmentSuperSuvidha.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/EndowmentSupremeSuvidha.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/EndowmentChampionSuvidha.aspx


http://www.hdfcinsurance.com/Products/ProtectionPlans/PremiumGuaranteePlan.aspx


http://www.hdfcinsurance.com/Products/ProtectionPlans/LCTermPlanPlus.aspx


http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarSuper.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarSupreme.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarSuperSuvidha.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarSupremeSuvidha.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungStarChampionSuvidha.aspx

http://www.hdfcinsurance.com/Products/HealthPlans/CriticalCare.aspx

http://www.hdfcinsurance.com/Products/HealthPlans/SurgiCare.aspx









MBA 2009-11

• HDFC Wealth Builder

• HDFC Endowment Assurance Plan

• HDFC Money Back Plan

• HDFC Single Premium Whole of Life Insurance Plan

• HDFC Assurance Plan

• HDFC Savings Assurance Plan

• Retirement Plans

• HDFC Personal Pension Plan

• HDFC Pension Super

• HDFC Pension Supreme

• HDFC SL Pension Champion

• HDFC SL Unit Linked Pension Maximiser II

• HDFC Immediate Annuity

• Rural Products

• HDFC Gramin Bima Kalyan Yojana

• HDFC Gramin Bima Mitra Yojana

• HDFC Bima Bachat Yojana

• Social Products

• HDFC Development Insurance Plan

• Products Closed for Sale

(Serviced by Customer Service)

• HDFC Unit Linked Pension

• HDFC Unit Linked Pension Plus


http://www.hdfcinsurance.com/Products/SavingsPlans/WealthBuilder.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/EndowmentAssurance.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/MoneyBack.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/WholeLife.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/Assurance.aspx

http://www.hdfcinsurance.com/Products/SavingsPlans/SavingsAssurance.aspx

http://www.hdfcinsurance.com/Products/PensionPlans/Pension.aspx

http://www.hdfcinsurance.com/Products/PensionPlans/PensionSuper.aspx

http://www.hdfcinsurance.com/Products/PensionPlans/PensionSupreme.aspx

http://www.hdfcinsurance.com/Products/PensionPlans/PensionChampion.aspx

http://www.hdfcinsurance.com/Products/PensionPlans/PensionMaximiser.aspx

http://www.hdfcinsurance.com/Products/PensionPlans/Annuity.aspx

http://www.hdfcinsurance.com/Products/Rural/GaraminBimaKalyan.aspx

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MBA 2009-11

• HDFC Unit Linked Endowment

• HDFC Unit Linked Endowment Plus

•

HDFC Unit Linked Endowment Suvidha

• HDFC Unit Linked Endowment Suvidha Plus

• HDFC Unit Linked Young Star Suvidha

• HDFC Unit Linked Young Star Suvidha Plus

• HDFC Unit Linked Young Star

• HDFC Unit Linked Young Star Plus

• HDFC Unit Linked Pension II

• HDFC Unit Linked Wealth Maximiser Plus

• HDFC Unit Linked Endowment Winner

• HDFC Unit Linked Wealth Multiplier

• HDFC Unit Linked Endowment II

• HDFC Unit Linked Endowment Plus II

• HDFC Unit Linked Enhanced Life Protection II

• HDFC Unit Linked YoungStar II

• HDFC Unit Linked YoungStar Plus II

• HDFC Unit Linked YoungStar Champion




MBA 2009-11

FEATURES OF THE PRODUCT OF HDFCSLC

1) PROTECTION PLAN

Why do we need Protection Plans?

Protection Plans help you shield your family from uncertainties in life due to

financial losses in terms of loss of income that may dawn upon them incase of your

untimely demise or critical illness. Securing the future of one’s family is one of the

most important goals of life. Protection Plans go a long way in ensuring your

family’s financial independence in the event of your unfortunate demise or critical

illness. They are all the more important if you are the chief wage earner in your

family. No matter how much you have saved or invested over the years, sudden

eventualities, such as death or critical illness, always tend to affect your family

financially apart from the huge emotional loss.

For instance, consider the example of Amit who is a healthy 25 year old guy with a

income of Rs. 1,00,000/- per annum. Let's assume his income increases at a rate of

10% per annum, while the inflation rate is around 4%; this is how his income chart

will look like, until he retires at the age of 60 years. At 50 years of age, Amit’s real

income would have been around Rs. 10,00,000/- per annum. However, in case of

Amit’s unfortunate demise at an early age of 42 years, the loss of income to his

family would be nearly Rs. 5,00,000/- per annum.




MBA 2009-11

However, with a Protection Plan, a mere sum of Rs. 2,280/- annually (exclusive of

service tax & educational cess) can help Amit provide a financial cushion of up to

Rs. 10,00,000/- for his family over a period of 25 years.

Types of Protection Plans

Our range of Protection Plans includes

HDFC Term Assurance Plan

HDFC Premium Guarantee Plan

HDFC Loan Cover Term Assurance Plan

HDFC Home Loan Protection Plan*




MBA 2009-11

2) Retirement Plans

• Monetary security

• Financial independence even after retirement

• Live carefree in your golden years

Retirement Plans provide you with financial security so that when your professional

income starts to ebb, you can still live with pride without compromising on your

living standards. By providing you a tool to accumulate and invest your savings,

these plans give you a lump sum on retirement, which is then used to get regular

income through an annuity plan. Given the high cost of living and rising inflation,

employer pensions alone are not sufficient. Pension planning has therefore become

critical today.

India’s average life expectancy is slated to increase to over 75 years by 2050 from

the present level of close to 65 years. Life spans have been increasing due to better

health and sanitation conditions in the country. However, the average number of

years of employment has not been rising commensurately. The result is an increase

in the number of post-retirement years. Accordingly, it has become necessary toensure regular income for life after retirement, so that you can live with pride and

enjoy your twilight years.

Priorities at different stages of life:-




MBA 2009-11

However, skyrocketing costs can throw even a well-laid plan off balance. With costs

rising every day, you can just imagine how high they will be when you are ready to

hang up your boots. So, what should you do to counter this? It’s time to plan your

retirement and that too sooner than later.

.




MBA 2009-11

The above illustration shows how with each passing year your annual savings

requirement would increase. For instance, if you are 30 years old and plan to retire

at 60, then, with a current annual expenditure of Rs. 3,00,000/- , you would need a

corpus in excess of Rs. 2,00,00,000/- to maintain your living standards, assuming you

live till 85 years and the inflation rate is 4%. To build this retirement corpus, you

need to invest Rs 3,60,000/- per annum in a retirement plan that offers 8% returns

per annum. In case you delay planning your retirement by 5 years then the

investment amount would increase to Rs 6,90,000/- per annum.

Types of Retirement Plans

Our range of Retirement Plans includes

Type Conventional Plans Unit Linked Insurance Plans

Regular

Premium

HDFC Personal Pension

Plan

HDFC Pension Super

HDFC Pension Supreme

HDFC SL Pension Champion

Single

Premium/

Investment

HDFC SL Unit Linked Pension

Maximiser II

Let Us Help You Choose The Right Plan For You

Would you prefer to take a

a) Traditional plan in which the insurance company takes all the investment

decisions on your behalf over the entire policy term

b) Return on the policy is in the form of bonus payable on maturity




MBA 2009-11

Would you prefer to take a Unit Linked plan, where

a)You can regularly monitor and review your investment decision according to your

need

b) The choice of investment and the investment risk you take is in your control.

c) Return is in the form of growth in the NAV

• HDFC Personal Pension Plan

• HDFC Pension Super

• HDFC Pension Supreme

• HDFC SL Pension Champion

• HDFC SL Unit Linked Pension Maximiser II

• HDFC Immediate Annuity

3)Savings & Investment Plans

• Dual benefit of protection and long term savings

• Provide an assured sum for future needs

• Inculcate a habit of regular savings

Why do we need Savings & Investment Plans?

You have always given your family the very best. And there is no reason why they

shouldn’t get the very best in the future too. As a judicious family man, your
















MBA 2009-11

priority is to secure the well-being of those who depend on you. Not just for today,

but also in the long term. More importantly, you have to ensure that your family’s

future expenses are taken care, even if something unfortunate were to happen to

you.

A big factor that you need to consider while building your wealth is inflation. It has

a dual impact on your hard-earned savings. Inflation not only erodes your current

purchasing power but also magnifies your monetary requirements for the future.

Sample this: An 35 Year individual needs to invest Rs. 36,000/- per year with 8%

returns to build a corpus of Rs. 10,00,000/- by the age of 50 Years.

However, Rs. 10,00,000/- after 15 years would be worth roughly around half of what

it is today once adjusted for inflation at the rate of 4%. Therefore, an individual will

need to save nearer to Rs 50,000/- annually to reach your targeted savings at the age

of 50 Years, if you consider inflation.

Our Savings & Investment Plans provide you the assurance of lump sum funds for

your and your family’s future expenses. While providing an excellent savings tool

for your short term and long term financial goals, these plans also assure your

family a certain sum by way of an insurance cover. With HDFC Standard Life’s




MBA 2009-11

range of Saving & Investment Plans, you can therefore ensure that your family

always remains financially independent, even if you are not around.

Types of Savings & Investment Plans

Our range of Savings & Investment Plans includes

Type Conventional Plans Unit Linked

Insurance

Plans

Regular Premium HDFC Endowment Assurance Plan

•

HDFC Money Back Plan• HDFC Assurance Plan#

• HDFC Savings Assurance Plan^

HDFC

EndowmentSuper

HDFC

Endowment

Supreme

HDFC

SimpliLife

HDFC

Endowment

Super

Suvidha

HDFC

Endowment

Supreme

Suvidha

HDFC SL

Endowment

Champion

Suvidha

Single Premium/ HDFC Single Premium Whole of Life




MBA 2009-11

Investment Insurance Plan

Limited Premium

Payment

HDFC

Wealth

Builder

#HDFC Assurance Plan is available for sale through our Bancassurance Partners

(HDFC Ltd., HDFC Bank, Saraswat Bank and Indian Bank)

^HDFC Savings Assurance Plan is available for sale through HDFC Bank


Would you prefer to take

a )Traditional plan in which the insurance company takes all the investment


b)Return on the policy is in the form of bonus payable on maturity.



need

b)The choice of investment and the investment risk you take is in your control

c)Return is in the form of growth in the NAV

• HDFC Endowment Super






MBA 2009-11• HDFC Endowment Supreme

• HDFC SimpliLife

• HDFC Endowment Super Suvidha

• HDFC Endowment Supreme Suvidha

• HDFC SL Endowment Champion Suvidha

• HDFC Wealth Builder

• HDFC Endowment Assurance Plan

• HDFC Money Back Plan

• HDFC Single Premium Whole of Life Insurance Plan

• HDFC Assurance Plan

• HDFC Savings Assurance Plan

4)Health Plans

• Secure your health costs

• Financial independence despite illnesses

• Meeting medical expenses effortlessly

Why do we need Health Plans?

Health plans give you the financial security to meet health related contingencies.

Due to changing lifestyles, health issues have acquired completely new dimension

overtime, becoming more complex in nature. It becomes imperative then to have a


























MBA 2009-11

health plan in place, which will ensure that no matter how critical your illness is, it

does not impact your financial independence.

In the race to excel in our professional lives and provide the best for our loved ones,

we sometimes neglect the most important asset that we have – our health. With

increasing levels of stress, negligible physical activity and a deteriorating

environment due to rapid urbanization, our vulnerability to diseases has increased

at an alarming rate.

Source: National Commission on Macroeconomics and Health Report 2005.

Note: Current figures are for the year 2000(Cardiovascular diseases)), 2001 (COPD

and Asthma), 2004 (Cancer) and 2005(Diabetes and Mental Health). All figures

above are on a per lakh basis.

As can be seen in the above chart, lifestyle diseases are set to spread at disturbing

rates. The result – increased expenditure. In many cases, people need to borrow

money or sell assets to cover their medical expenses. All it takes is a suitable plan to




MBA 2009-11

help you overcome the financial woes related to your health by paying marginal

amounts as premiums. For example, if you are 30 years old, then a mere sum of

approximately Rs 3500* annually (exclusive of taxes) can provide you a health

insurance plan of Rs 5 lakh over a period of 20 years, and a worry-free future foryou and your family.

*Note: The assumption is based on the HDFC Critical Care Plan. The figure is only

indicative and the actual premium may depend upon numerous factors such as age,

sum assured, gender, policy term, premium payment frequency and additional

benefits opted for. It also differs from plan to plan and option to option

Types Of Health Plans

Our range of Health Plans includes

HDFC Critical Care Plan

HDFC SurgiCare Plan


I wish to have protection against critical illnesses that I may suffer from.

I prefer to financially safeguard my self against major surgical procedures that I

may undergo.

Children’s Plans


http://www.hdfcinsurance.com/Interactives/HealthPlan1.aspx?InteractivesId=HealthPlans

http://www.hdfcinsurance.com/Interactives/HealthPlans2.aspx?InteractivesId=HealthPlans


http://www.hdfcinsurance.com/Interactives/HealthPlan1.aspx?InteractivesId=HealthPlans





MBA 2009-11

• Helps you secure your child’s dreams

• Economic support when your child needs it most

• Funding major milestones

What is the need of Children’s Plans?

Children’s Plans helps you save so that you can fulfill your child’s dreams and

aspirations. These plans go a long way in securing your child’s future by financing

the key milestones in their lives even if you are no longer around to oversee them. As

a parent, you wish to provide your child with the very best that life offers, the best

possible education, marriage and life style.

Most of these goals have a price tag attached and unless you plan your finances

carefully, you may not be able to provide the required economic support to your

child when you need it the most. For example, with the high and rising costs of

education, if you are not financially prepared, your child may miss an opportunity

of a lifetime.

Today, a 2-year MBA course at a premiere management institute would cost you

nearly Rs. 3,00,000/- At a assumed 6% rate of inflation per annum, 20 years later,

you would need almost Rs. 9,07,680/- to finance your child's MBA degree.

An illustration of how education expenses could rise with passing time due to

inflation




MBA 2009-11Source: HDFC

Standard Life Survey 2008. Inflation assumed as 6% p.a.

So, how can you cope with these costs? Children’s Plans help you save steadily over

the long term so that you can secure your child’s future needs, be it higher

education, marriage or anything else. A small sum invested by you regularly can

help you build a decent corpus over a period of time and go a long way in providing

your child a secured financial future alongwith

Types of Children’s Plans

Our range of Children's Plans includes

Conventional Plans Unit Linked Insurance Plans

HDFC Children's

Plan

HDFC YoungStar Super

HDFC YoungStar SupremeHDFC YoungStar Super Suvidha

HDFC YoungStar Supreme Suvidha

HDFC SL YoungStar Champion Suvidha




MBA 2009-11


Would you prefer to take a

a)Traditional plan in which the insurance company takes all the investment


b)Return on the policy is in the form of bonus payable on maturity.



need

b)The choice of investment and the investment risk you take is in your control

c)Return is in the form of growth in the NAV

• HDFC Children's Plan

• HDFC YoungStar Super

• HDFC YoungStar Supreme

• HDFC YoungStar Super Suvidha

• HDFC YoungStar Supreme Suvidha

• HDFC SL YoungStar Champion Suvidha



http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarSuper.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarSupreme.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarSuperSuvidha.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarSupremeSuvidha.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarChampionSuvidha.aspx


http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarSuper.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarSupreme.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarSuperSuvidha.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarSupremeSuvidha.aspx

http://www.hdfcinsurance.com/Products/ChildrensPlans/YoungstarChampionSuvidha.aspx



MBA 2009-11

Group Plans

Group Term Insurance Plan

This plan offers Protection to an organisation's employees

Group Term Insurance Plan

GROUP TERM INSURANCE PLAN

Whatever the business – It’s the people who make it a success. Everybody requires

some type of life insurance, especially when others depend on them financially

The Group Term Insurance (GTI) plan meets this need and serves as an ideal way

for companies to reinforce their bond with their employees. The sort of needs, you,

as an employer need to cater to could be in form of:

• Employee benefits

• Cover for housing or vehicle loans given by you to your employees

• A GTI cover for future service gratuity liability to be taken along with the

HDFC Group Unit Linked Plan

The HDFC Group Term Insurance is a cost-effective plan that addresses these

needs. In addition you have the choice to opt for a GTI with an experience discount

feature ("Profit Share"), where a discount is given on future premiums in case of

favorable claim experience (subject to group size).


http://www.hdfcinsurance.com/GroupPlans/GTIP.aspx







MBA 2009-11

The HDFC group term insurance plan will have the following structure:

• One year renewable term insurance plan

• One master policy issued covering all members of the group

• Sum assured is payable on death (either due to natural causes or accidents)

The plan covers death due to any cause; accidental or natural, and hence is more

comprehensive than Group Personal Accident Insurance. Several multinational

corporations, large Indian companies, foreign banks and software companies have

already chosen the HDFC Group Term Insurance, an innovative product from

HDFC Standard Life Insurance, to protect their employees.

Optional Rider Benefits

• Accidental Death Benefit

• Total Permanent Disability

• Total Permanent and Partial Diability Benefit

• Critical Illness Benefit

• Terminal Illness Benefi




MBA 2009-11

Group Variable Term Insurance Plan

This Protection plan is a tailor made insurance policy for third party institutions

Group Variable Term Insurance Plan

GROUP VARIABLE TERM INSURANCE

The Group Variable Term Insurance is a tailor made insurance policy for third

party institutions. HDFC Standard Life Insurance Company will offer life insurance

to customers of one or more of the third party’s specific products in order that in

the event of their death, there will be a lump sum available.

The Group Variable Term Insurance:

• On death, will pay a lump sum known as a sum assured. The sum assured

varies over time in order that the customer receives the cover that they need

• Is a group policy

• Has no lengthy underwriting procedure

• Is simple to administer

The policy is without any participation in the insurer’s

profits


http://www.hdfcinsurance.com/GroupPlans/GVTIP.aspx







MBA 2009-11

Group Gratuity Solutions

This plan is a flexible and cost effective way to fund your Gratuity liability

Group Unit Linked Plan

Gratuity schemes

GROUP UNIT LINKED PLAN

Gratuity Schemes

Most employers have a statutory obligation to pay a gratuity to its employees on

termination of employment. This gratuity is in the form of a one-off payment made

on termination of employment. It depends on salary and number of years of service,

so will therefore increase with time. The HDFC Group Unit Linked plan is a new

and innovative unit-linked plan, which offer employers and gratuity scheme trustees

a flexible and cost effective way to fund this gratuity liability. The plan helps a

corporate by:

• Building a fund systematically, which will be used to meet your future

gratuity liability

• Providing the opportunity to maximise investment returns and thus provide

the benefit in a cost-effective manner One factor that helps you to maximise

the investment returns is low charges. Our charges are the lowest in the

industry and therefore can improve your long-term returns.


http://www.hdfcinsurance.com/GroupPlans/GULPG.aspx







MBA 2009-11

Group superannuation plan

This plan helps you manage your employees Superannuation funds

Group Unit Linked Plan

Superannuation Schemes


Superannuation Schemes

Many organisations realise that the statutory requirement benefits are not sufficient

for their trusted employees to continue enjoying their quality of life after they retire.

The HDFC Group Unit Linked Plan is a great way for an employer to show his

employees that he not only takes care of them while in service, but has also ensured

that they can lead a comfortable life after retirement.

The HDFC Group Unit Linked plan is also a great employee retention and

motivation tool that helps employers to fund their employees’ post-retirement needs

in a systematic, tax-efficient and cost-effective manner. Moreover, as a unit-linked

plan, it gives you tremendous flexibility and freedom to customise individual

retirement funds for your employees based on their appetite for risk and the stage of

life they are in.


http://www.hdfcinsurance.com/GroupPlans/GULPS.aspx





MBA 2009-11

This plan helps an organisation by:

• Providing an investment vehicle to trustees for making the contribution for

each member

• Helping build a substantial retirement fund for each member

• Presenting a potential to provide higher benefits to employees

• Offering tax benefits for investments made through the formation of a trust

Group Leave Encashment Solution

This plan is an effective way to fund your company's Leave Encashment liability

Group Unit Linked Plan Leave

Encashment Schemes


Leave Encashment Schemes

Many employers provide their employees with the option of encashing their leave to

their credit at the time of retirement or resignation. Accounting Standard 15

requires that an actuarial valuation of a company leave encashment liability be

carried out and reflected in the books of accounts. The HDFC Group Unit Linked

Plan is an innovative plan, which offers employers a flexible and cost effective way

to fund this Leave Encashment liability. The plan helps an organisation by:


http://www.hdfcinsurance.com/GroupPlans/LeaveEncash.aspx








MBA 2009-11

• Creating a fund that can be built up to meet your future leave encashment

liability

• Providing the opportunity to maximise investment returns and thus provide

the benefit in a cost-effective manner

One factor that helps maximise investment returns is low charges. Our fund

management charges are the lowest in the industry today and therefore can improve

your long-term returns

HDFC SL Group Savings Plan

Exclusive plans that will let your cherished member's save effectively

HDFC SL GROUP SAVINGS PLAN

As a company or an affinity group, you want to express to your group members that

you care for them, and want them to have stronger financial future.

HDFCSLC GROUP SAVINGS PLAN is a simple conventional group plan wherein

the company/affinity group is the policyholder & the group members

/employees/depositors are the scheme members.

This ‘with profits’ group plan would enable your scheme members to

• Provide financial protection to their loved ones

• Build savings in a simple & systematic manner


http://www.hdfcinsurance.com/GroupPlans/GroupSavingsPlan.aspx







MBA 2009-11

• Pay premiums only for a limited period of 5 years

• Is simple to administer

• Is without lengthy documentation




MBA 2009-11

Marketing strategies of HDFCSLC In India

HDFC Standard Life believes that establishing a strong and ethical foundation is an

essential prerequisite for long-term sustainable growth. To ensure this, they have

concentrated our focus on expansion of branch network, organizing an efficient and

well trained sales force, and setting up appropriate systems and processes with

optimum use of technology. As all these areas form the basic infrastructure for

establishing the highest possible customer service standards.

The core values are drilled down to all levels of employees, as these are inviolable.

We continue to promote high integrity in business practices and shun short cuts and

unethical practices, as we wish to be perceived as an institution with high moralstanding. Since our inception in 2000, when the Indian insurance space was opened

for private participation, we have consistently focused on setting benchmarks in all

aspect on insurance business. Being the first private player to be registered with the

IRDA and the first to issue a policy on December 12, 2000,

Strong Promoter

HDFC Standard Life is a strong, financially secure business supported by two

strong and secure promoters – HDFC Ltd and Standard Life. HDFC Ltd’s excellent

brand strength emerges from its unrelenting focus on corporate governance, high

standards of ethics and clarity of vision. Standard Life is a strong, financially secure

business and a market leader in the UK Life & Pensions sector.

Preferred and Trusted Brand

Their brand has managed to set a new standard in the Indian life insurance

communication space. We were the first private life insurer to break the ice using

the idea of self-respect instead of ‘death’ to convey our brand proposition (Sar Utha

Ke Jiyo). Today, they are one of the few brands that customers recognize, like and




MBA 2009-11

prefer to do business. Moreover, our brand thought, Sar Utha Ke Jiyo, is the most

recalled campaign in its category.

Investment Philosophy

They follow a conservative investment management philosophy to ensure that their

customer’s money is looked after well. The investment policies and actions are

regularly monitored by a formal Investment Committee comprising non-executive

directors and the Principal Officer & Executive Director.

As a life insurance company, they understand that customers have invested their

savings with us for the long term, with specific objectives in mind. Thus, our

investment focus is based on the primary objective of protecting and generating

good, consistent, and stable investment returns to match the investor’s long-term

objective and return expectations, irrespective of the market condition.

Need-Based Selling Approach

Despite the criticality of life insurance, sales in the industry have been characterized

by over reliance on tax benefits and limited advice-based selling. Our eight-step

structured sales process ‘Disha’ however, helps customers understand their latent

needs at the first instance itself without focusing on product features or tax benefits.

Need-based selling process, 'Disha', the first of its kinds in the industry, looks at the

whole financial picture. Customers see a plan not piecemeal product selling

Risk Control Framework

HDFC Standard Life has fully implemented a risk control framework to ensure that

all types of risks (not just financial) are identified and measured. These are

regularly reported to the board and this ensures that the company management and

board members are fully aware of any risks and the actions taken to ensure they are

mitigated




MBA 2009-11

Focus on Training

Training is an integral part of our business strategy. Almost all employees have

undergone training to enhance their technical skills or the softer behavioural skills

to be able to deliver the service standards that our company has set for itself.

Besides the mandatory training that Financial Consultants have to undergo prior to

being licensed, we have developed and implemented various training modules

covering various aspects including product knowledge, selling skills, objection

handling skills and so on.

Focus on long term value

HDFC Standard Life do not focus in the business of ramping up the topline only,

but to create maximization of stakeholder's value. Today, we are extremely satisfied

with the base that we have created for the long-term success of this company.

Transparent Dealing

They are one of the few companies whose product details, pricing, clauses are

clearly communicated to help customers take the right decision.

Strict compliance with Regulations

They have initiated and implemented many new processes, some of which were

found useful by the IRDA and later made mandatory for the entire industry. The

agents who successfully completed this training only, were authorized by the

company to sell ULIPs. This has now been made compulsory by IRDA for all

insurance companies under the new Unit Linked Guidelines.




MBA 2009-11

Diversified Product Portfolio

HDFC Standard Life’s wide and diversified product portfolio help individuals meet

their various needs, be it:

• Protection: Need for a sound income protection in case of your

unfortunate demise

• Health: Cover for health related exigencies

• Savings: Save for the milestones and protect your savings too

• Pension: Need to save for a comfortable life post retirement

• Investment: Need to ensure long-term real growth of your

money




MBA 2009-11

COMPETITORS OF HDFCSLC

1. Max New York Life Insurance Co. Ltd.

. Max New York Life Insurance Company Limited is a joint venture that brings

together two large forces - Max India Limited, a multi-business corporate, together

with New York Life International, a global expert in life insurance. With their

various Products and Riders, there are more than 400 product combinations to

choose from. They have a national presence with a network of 57 offices in 37 cities

across India

2. ICICI Prudential Life Insurance Company Ltd

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 Regulatory Development

Authority (IRDA). The company has a network of about 56,000 advisors; as well as

7 banc assurance and 150 corporate agent tie-ups.

3. Om Kotak Mahindra Life Insurance Co. Ltd.

Kotak Mahindra Old Mutual Life Insurance Ltd. is a joint venture between Kotak

Mahindra Bank Ltd. (KMBL), and Old Mutual plc.




MBA 2009-11

4.Birla Sun Life Insurance Company Ltd.

Birla Sun Life Insurance Company is a joint venture between Aditya Birla Group

and Sun Life financial Services of Canada.

Other life insurance companies

Tata AIG Life Insurance Company Ltd.

SBI Life Insurance Company Limited

ING Vysya Life Insurance Company Private Limited

Allianz Bajaj Life Insurance Company Ltd.

Metlife India Insurance Company Pvt. Ltd.

AMP SANMAR Assurance Company Ltd.

Dabur CGU Life Insurance Company Pvt. Ltd

GENERAL INSURANCE COMPANIES

1.Royal Sundaram Alliance Insurance Company Limited

The joint venture bringing together Royal & Sun Alliance Insurance and Sundaram

Finance Limited started its operations from March 2001. The company is Head

Quartered at Chennai, and has two Regional Offices, one at Mumbai and another

one at New Delhi

2.Bajaj Allianz General Insurance Company Limited

Bajaj Allianz General Insurance Company Limited is a joint venture between Bajaj

Auto Limited and Allianz AG of Germany. Both enjoy a reputation of expertise,

stability and strength.




MBA 2009-11

Bajaj Allianz General Insurance received the Insurance Regulatory and

Development Authority (IRDA) certificate of Registration (R3) on May 2nd, 2001 to

conduct General Insurance business (including Health Insurance business) in India.

The Company has an authorized and paid up capital of Rs 110 crores. Bajaj Auto

holds 74% and the remaining 26% is held by Allianz, AG, Germany.

3. ICICI Lombard General Insurance Company Limited

ICICI Lombard General Insurance Company Limited is a joint venture between

ICICI Bank Limited and the US-based $ 26 billion Fairfax Financial Holdings

Limited. ICICI Bank is India's second largest bank, while Fairfax Financial

Holdings is a diversified financial corporate engaged in general insurance,

reinsurance, insurance claims management and investment management. Lombard

Canada Ltd, a group company of Fairfax Financial Holdings Limited, is one of

Canada's oldest property and casualty insurers. ICICI Lombard General Insurance

Company received regulatory approvals to commence general insurance business in

August 2001.

4. Cholamandalam General Insurance Company Ltd.

Cholamandalam MS General Insurance Company Limited (Chola-MS) is a joint

venture of the Murugappa Group & Mitsui Sumitomo. Chola-MS commenced

operations in October 2002 and has issued more than 1.4 lakh policies in its first

calendar year of operations. The company has a pan-Indian presence with offices in

Chennai, Hyderabad, Bangalore, Kochi, Coimbatore, Mumbai, Pune, Indore,

Ahmedabad, Delhi, Chandigarh, Kolkata and Vizag.




MBA 2009-11

5. TATA AIG General Insurance Company Ltd.

Tata AIG General Insurance Company Ltd. is a joint venture company, formedfrom the Tata Group and American International Group, Inc. (AIG). Tata AIG

combines the strength and integrity of the Tata Group with AIG's international

expertise and financial strength. The Tata Group holds 74 per cent stake in the two

insurance ventures while AIG holds the balance 26 per cent stake.

Tata AIG General Insurance Company, which started its operations in India on

January 22, 2001, offers the complete range of insurance for automobile, home,

personal accident, travel, energy, marine, property and casualty, as well as several

specialized financial lines.

6. Reliance General Insurance Company Limited.

7. IFFCO Tokio General Insurance Co. Ltd

8. Export Credit Guarantee Corporation Ltd.

9. HDFC-Chubb General Insurance Co. Ltd.




MBA 2009-11

GOVERNMENT POLICIES

The Insurance Act 1938, which came into effect from 1st july 1939, and was

amended in 1950 and later in 1999, is the principal enactment relating to the

business of insurance in India. The act contains provisions regarding licensing of

agents and their remunerations, prohibition of rebates, and protection of

policyholder’s interest

Till the constitution of the IRDA Act in 1999, the controller of insurance was

responsible for the administration of the insurance Act since 1999, the IRDA has

replaced the controller of insurance.

The insurance Act vest the IRDA with power to

1. Register insurance companies & also cancel their registration.

2. Monitor & certify the soundness of the terms of life insurance

business

3. Make reggulation relating to the conduct of the business of the

insurance

4. Inspect the document of insurers5. Appoint additional directors

6. Issue directions

7. Take over the management of an insurer & appoint administrators

8. Adjudicate on disputes between isurers and intermediaries or between

intermediaries.

9. Decide on disputes relating to settlement of claims of amounts not

exceeding 2000.




MBA 2009-11

TAXATION ASPECTS

The tax law of India have always encouraged people to save through life insurance

and other instruments, by providing relief from tax liabilities. The taxation law can

change at any time through budget provisions or otherwise. The agent should keep

himself up-to-date with the changes.

Any sum received under a life insurance policy,including the bonus additions is

exempt from income tax. That means that income tax does not have to be paid on

policy claim & surrender amounts. This is subject to the premium being not more

than 20% of the sum assured on any policy during the year. There are someexceptions to this rule.one is the amount to be refunded under certain plans, meant

for the handicapped dependents. The other is a claim under a key-man insurance

policy.

The income of the assesse is reduced by the aggregate of amounts paid towards

insurance premiums contribution to provident fund or approved superannuation

funds, NSC etc,upto a maximum amount of 1 lakh. If the premium during the policy

exceeds 20% of SA, only 20% will be taken into account for debate.

Commuted values of pensions are exempt from income tax.




MBA 2009-11

Achievements

2006

The year witnessed the launch of ‘My Account’, a web-based facility with various

policy servicing options such as switch, premium redirection to be executed by

clients, without recourse to visiting a branch

As against a regulatory requirement of writing 18% of all policies in rural areas, the

company issued over 1, 21,000 policies accounting for more than 23% of all policies

issued during the year.

The company had been awarded the “Intelligent Enterprise” Award by the Express

Computer Magazine – Part of the Indian Express Group, for investing in workflow

and imaging technology which helped in increasing volumes without affecting

service standards.

Was selected as the '4Ps Power Brand 2006', for being one of India's Top 25 'Most

Innovative Companies' in an exclusive survey conducted by ICMR (Indian Council

of Market Research) and 4Ps - Business and Marketing (a Business and Marketing

magazine published by Planman Media).

Biggest NGO covered on 28th March 2006 with 14000 lives

2007

HDFCSL expanded its reach in the Bancassurance channel by arrangements with

co-operative banks in the rural areas.

Continued to increase its focus on quality service, by putting in place a robust

mechanism to capture ‘Voice of the Customer’ through service audits across its




MBA 2009-11

offices. This was complemented by use of technology that enabled capture of all

interactions with customers across all touch points

Sar Utha Ke Jiyo was honoured as ‘Among India’s 60 Glorious Advertising

Moments. The advertisements of the company were ranked 6th amongst ‘The 10

most effective Advertisements’ in September 2007.

Received the PCQuest Best IT Implementation Award 2007 for Wonders, its path-

breaking implementation of an enterprise-wide workflow system. In addition the

company also bagged the EMC storage award for being the most innovative users of

storage and storage management.

Pension Plan Tops Mint’s Survey of Best TV Ads.HDFC Standard Life’s

advertising created high awareness for the brand and bagged 2 silver and 1 bronze

awards at the ADFEST 2007 National Awards organized by the Advertising

Agencies Association of India (AAAI). The 3 awards are the highest won by any

single brand in the financial services business (including banking, mutual fund,

insurance and other financial services).

Ranked 29th most trusted Indian Brands amongst the Top 50 Service Brands of 2006

according to a study conducted by the Brand Equity – Economic Times, the leading

business publication of India.

2008

Received the PC Quest Best IT Implementation Award 2008 for Consultant Corner,

the applications for its financial consultants, providing centralized control over a

vast geographical spread for key business units such as inventory, training,

licensing, etc.




MBA 2009-11

Received the 2008 CIO Bold 100 Award for its mobile workforce portal and the

Special 2008 CIO Security Award for a secure computing environment, including

identity management respectively.

2009

Mr. Deepak M Satwalekar Awarded QIMPRO Gold Standard Award in 2009

Ou

r Parentage




MBA 2009-11

HDFC Limited

HDFC Limited, India's premier housing finance institution has assisted more than

3.4 million families own a home, since its inception in 1977 across 2400 cities and

towns through its network of over 271 offices. It has international offices in Dubai,

London and Singapore with service associates in Saudi Arabia, Qatar, Kuwait and

Oman to assist NRI's and PIO's to own a home back in India. As of December 2009,

the total asset size has crossed more than Rs. 104,560 crores including the mortgage

loan assets of more than Rs.90,400 crores. The corporation has a deposit base of

over Rs. 23,000 crores, earning the trust of nearly one million depositors. Customer

Service and satisfaction has been the mainstay of the organization. HDFC has set

benchmarks for the Indian housing finance industry. Recognition for the service to

the sector has come from several national and international entities including the

World Bank that has lauded HDFC as a model housing finance company for the

developing countries. HDFC has undertaken a lot of consultancies abroad assisting

different countries including Egypt, Maldives, and Bangladesh in the setting up of

housing finance companies.

Standard Life

Standard Life is one of the UK's leading long term savings and investments

companies headquartered in Edinburgh and operating internationally. Established

in 1825, Standard Life provides life assurance and pensions, investment

management and healthcare insurance products to over 6 million customers

worldwide. The Group has around 10,000 employees across the UK, Canada,

Ireland, Germany, Austria, India, USA, Hong Kong and mainland China. At the

end of December 2010 the Group had total assets under administration of £170.1bn.




MBA 2009-11

Standard Life's diverse business includes one of the largest life and pensions

businesses in the UK with more than 4 million customers; Standard Life

Investments, which currently manages assets of over £138.7bn globally and

Standard Life Healthcare, a private medical insurance company which is one of thelargest in the UK. On 10 July 2006, after 80 years as a mutual company, Standard

Life Assurance Company demutualised and Standard Life plc was listed on the

London Stock Exchange. Standard Life now has approximately 1.5 million

individual shareholders in over 50 countries around the world .




MBA 2009-11

O

ur Investment Committee

In addition to the various plan features , what makes our plans a truly obvious

choice is our investment expertise. This expertise comes as a result of the combined

experience of our investment management team comprising of our own investment

committee and HDFC Asset Management Company in an advisory capacity.

HDFC Standard Life Investment Committee

• Mr. Deepak S. Parekh is the Chairman of HDFC Standard Life Insurance

Company Ltd. and is the Executive Chairman and CEO of Housing

Development Finance Corporation Limited (HDFC). He is a Fellow of the

Institute of Chartered Accountants (England & Wales). He has been on the

board of several committees set-up by the Government of India and other

regulatory bodies

• Mr. Paresh Parasnis is the Principal Officer and Executive Director of the

HDFC Standard Life Insurance Company Ltd. and is a fellow of Institute of

Chartered Accountants of India. He has been associated with HDFC Ltd.

since 1984 and has been the founding member of the insurance company

• Mr. Keki M. Mistry is the Managing Director of HDFC Limited. Mr. Mistry is

a Fellow of the Institute of Chartered Accountants of India and a member of

the Michigan Association of Certified Public Accountants

• Ms. Vibha Padalkar is the CFO of HDFC Standard Life Insurance Company

Ltd. Ms. Vibha is a 1992 Member of Institute of Chartered Accountants of

England and Wales




MBA 2009-11

• Mr. Ashley Rebello is the Appointed Actuary of HDFC Standard Life

Insurance Company Ltd. He is a Fellow of the Institute of Actuaries of India

and Fellow of UK Institute of Actuaries.

• Mr. Prasun Gajri is the Chief Investment Officer of HDFC Standard Life and

is responsible for managing the entire portfolio of the company. He holds a

PGDM from IIM Ahmedabad and is also a CFA Charter holder.

• Mr. Amitabh Chaudhry is the Managing Director and CEO of HDFC

Standard Life Insurance Company. He holds a bachelor’s degree in

Engineering from BITS Pilani and MBA from IIM Ahmedabad.




MBA 2009-11

INSURANCE

WHAT IS INSURANCE?

The business of insurance is related to the protection of the economic value of assets.

Every assets has a value. The assets would have been created through the efforts of

the owner. The asset is valuable to the owner, because he expects to get some

benefits from it. It is a benefit because it meets some of his needs. The benefit may

be an income or in some other form.

The business of insurance is related to the protection of the economic values of

assets. Every asset has a value. The asset would have been created through the

efforts of the owner. The asset is valuable to the owner, because he expects to get

some benefit may be an income or in some other form. It is a benefit because it

meets some of his needs. The benefit may be an income or in some other form. In the

case of a factory or a cow, the product generated by it is sold and income is

generated. In the case of a motor car, it provides comfort and convenience in

transportation. There is no direct income. Both are assets and provide benefits.

Every asset is expected to last for a certain period of time during which it will period

of time during which it will provide the benefits. After that, the benefit may not be

available. There is a life-time for a machine in a factory or a cow or a motor car.

None of them will last for ever. The owner is aware of this and he can so manage his

affairs that by the end of that period or lifetime, a substitute is made available.

Thus, he makes sure that the benefit is not lost. However, the asset may get lost

earlier. An accident or some other unfortunate event may destroy it or make it

incapable of giving the benefits. We can classify insurance in these terms:-




MBA 2009-11

It is a system by which the losses suffered by a few are spread over many, exposed to

similar risks. Insurance is a protection against financial loss arising on the

happening of an unexpected event.

It is essential that:

The calamity is either natural or unexpected

The insured person does not gain out of this arrangement




MBA 2009-11

Scope of insurance

We all know that assets are insured, because they are likely to be destroyed or made

nonfunctional before the expected life time, through accident occurrences. Suchpossible occurrences are called perils. Perils are the events. Risks are the

consequential losses or damages. The risk to an owner of a building may be a few

lakhs or a few crores of rupees, depending on the cost of building, the contents in it

and the extent of damage. The risk only means that there is a possibility of loss or

damage. Insurance is done against the possibility that the damage may happen.

There has to be an uncertainty about the risk. The word “possibility” implies

uncertainty. Insurance is relevant only if there are uncertainties.

Insurance does not protect the asset. It does not prevent its loss due to the peril. The

peril cannot be avoided through insurance. The risk can sometimes be avoided,

through better safety and damage control measures. It only tries to reduce the

impact of the risk on the owner of the asset and those who depend on that asset.

They are the ones who benefit from the asset and therefore, would lose, when the

asset is damaged. Insurance compensates for the losses- and that too, not fully.

In conclusion we can say that the scope of insurance is very broad and specific

because it reduces the losses and risk of owner of the assets due to perils. It also

gives supports to the person in the period of adverse situation. It insured economic

consequences. When a person saves, the amount of funds available at any time is

equal to the amount of money set aside in past, plus interest. Insurance has no

substitute and one more thing about the insurance is that this is not similar to a hire

purchase scheme. In the event of death, the balance installments are not excused.

They have to be paid by the surviving family. There is a tax benefits, both in income

tax and in capital gins. Marketability and liquidity are better. Life insurance is not

only the best possible way for family protection there is no other way. The term of

life is hard but the terms of insurance are easy




MBA 2009-11

OBJECTIVES

When we talk about objective of the insurance sector we can divide it into

three categories which are thus.

Broad

Increased coverage of the population

Specific

Customer has a wider choice & range of products

Service standards to customer

Economic

Savings mobilization

In this objective part the first part deals with its market share because it deals with

all people who live in India and it has a broad market potential. So the main motto

is to increase and entice more and more people for insurance.

In the second part it deals with innovative plans and schemes for the wider choice of

people and different range of products of its competitors. It tries to serve its

customer with significant way.

HDFCSLC invest the investment in the share market through the unit link plan and

get and give significant return from the markets and satisfy their customer.

“We are All at risk"

A little mouse living on a farm was looking through a crack in the wall one




MBA 2009-11

day and saw the farmer and his wife opening a package. \

The mouse was intrigued by what food the package may contain.

He was aghast to discover that it was a mousetrap. The mouse ran to the farmyard

warning everyone "there is a mouse trap in the house, there is a mouse trap in the

house."

The chicken raised his head and said "Mr. Mouse, I can tell you this trap is a grave

concern to you, but it has no consequence to me and I cannot be bothered with it. "

The mouse turned to the pig "I am so very sorry Mr. Mouse, but the trap is no

concern of mine either."

The mouse then turned to the goats, "sounds like you have a problem Mr. Mouse,

but not one that concerns me."

The mouse returned to the house, head down and ejected that no one would help

him or was concerned about his dilemma. He knew he had to face the trap on his

own.

That night the sound of a trap catching its prey was heard throughout the house.

The farmer's wife rushed to see what was caught.

In the darkness she could not see that it was a venomous snake who's tail the trap

had caught. The snake bit the farmers wife. The wife caught a bad fever and the

farmer knew the best way to treat a fever was with chicken soup.

The farmer took his hatchet to the farmyard to get the soups main ingredient. The

wife got sicker and friends and neighbors came by to take turns sitting with her

round the clock.

The farmer knew he had to feed them, so he butchered the pig.




MBA 2009-11

The farmer's wife did not get better, in fact she died and so many friends and family

came to her funeral that the farmer had to slaughter the goats to feed all of them. So

the next time we hear that one of our team-mates is facing a problem and think it

does not concern or affect us, Let us remember that when anyone of us is in trouble,We are All at risk.

THE HISTORY OF INDIAN INSURANCE INDUSTRY




MBA 2009-11

Life Insurance

In 1818 the British established the first insurance company in India in Calcutta, the

Oriental Life Insurance Company. First attempts at regulation of the industry were

made with the introduction of the Indian Life Assurance Companies Act in 1912. A

number of amendments to this Act were made until the Insurance Act was drawn

up in 1938. Noteworthy features in the Act were the power given to the Government

to collect statistical information about the insured and the high level of protection

the Act gave to the public through regulation and control. When the Act was

changed in 1950, this meant far reaching changes in the industry. The extra

requirements included a statutory requirement of a certain level of equity capital, a

ceiling on share holdings in such companies to prevent dominant control (to protect

the public from any adversarial policies from one single party), stricter control on

investments and, generally, much tighter control. In 1956, the market contained 154

Indian and 16 foreign life insurance companies. Business was heavily concentrated

in urban areas and targeted the higher echelons of society. “Unethical practices

adopted by some of the players against the interests of the consumers” then led the

Indian government to nationalize the industry. In September 1956, nationalization

was completed, merging all these companies into the so-called Life InsuranceCorporation (LIC). It was felt that “nationalization has lent the industry fairness,

solidity, growth and reach.”




MBA 2009-11

Some of the important milestones in the life insurance business

in India

1912: The Indian Life Assurance Companies Act enacted as the first statute to

regulate the life insurance business.

1928: The Indian Insurance Companies Act enacted to enable the government to

collect statistical information about both life and non-life insurance businesses.

1938: Earlier legislation consolidated and amended to by the Insurance Act with the

objective of protecting the interests of the insuring public.

1956: The market contained 154 Indian and 16 foreign life insurance companies.

General Insurance

The General Insurance industry in India dates back to the Industrial Revolution

and the subsequent increase in trade across the oceans in the 17th century. As for

Life Insurance, the British brought General Insurance to India, and a similar path

was followed in the development of this industry. A number of private companies

were in existence for years and years until, in 1971, the Indian Government decided

that the public interest would be served by nationalizing the industry, merging all

the 107 companies into four companies, depending on the sort of business transacted

(Marine, Fire, Miscellaneous). These were the National Insurance Company Ltd.,

the Oriental Insurance Company Ltd., the New India Assurance Company Ltd., and

the United India Insurance Company Ltd. located in Calcutta, New Delhi, Bombay

and Madras respectively. The General Insurance Corporation (GIC) was set up in

1972 as a ‘holding’ company, having these four companies as its subsidiaries.




MBA 2009-11

The new players have improved the service quality of the insurance. As a result LIC

down the years have seen the declining phase in its career. The market share was

distributed among the private players. Though LIC still holds the 75% of the

insurance sector but the upcoming natures of these private players are enough togive more competition to LIC in the near future. LIC market share has decreased

from 95% (2002-03) to 82 %( 2004-05) & now it is apptropritde between 65-75%




MBA 2009-11

The Future Prospects

The most successful and admired life insurance company, which mean that we are

the most trusted company, the easiest to deal with, offer the best value for money,

and set the standards in the industry. In short, “The most obvious choice for all”

For retention in the market and highest market share, we need trust of our

customer. The customer should trust on our policies, services, employs and they

should be friendly with us. It wants to live in the eye and heart of the customer. It

wants to give them the easiest deal so that they can be understood the terms andpolicies. As we know that profit is the main aim of any business but it think not only

about his profit but also profit of the customer. It wants to be the choice of all

people on the basis of trust of customer, delivering high value to the customer, and

deliver of best value of the money




MBA 2009-11

About The Project Topic

This project is an attempt to deep & thorough approach of knowing about the

financial product in Indian-subcontinent, A deep attempt was made to know about

how much people are aware about the importance of Insurance & are they are

interested in associating with HDFCSLC or not.

At the present scenario of business world, the company requires to attract the

potential investors towards insurance. This project is actually to find out what

actually financial products are & what are their importance in today’s scenario in

human life, what are their features and types pof financial products. Some pointsare listed below which can be considered as the objective of this project topic;-

To know about the financial products of HDFCSLC.

How much people are aware about Insurance.

Seeking potential investors for HDFCSLC.

Creating awareness among people.




MBA 2009-11

QUESTIONNAIRE

1.Do You Have Any Insurance Policy?

a) Yes b) No

39%

61% YES

NO

Fig 3.1

INTERPRETATION

Through this analysis, I found out that 61% don’t have policy and 31% have the

policy.




MBA 2009-11

2. Which Co’s Insurance Policy You Prefer The Most? (Rank Them)

A) LIC B) ICICIPRUDENTIAL

C) SBI LIFE INSURANCE D) HDFCSLC

E) RELIANCE LIFE INSURANCE F) TATA AIG LIFE

G) Any Other________( Specify)

59%

12%10% 11%

2% 3%

0%

10%

20%

30%

40%

50%

60%

70%

LIC ICICI SBI HDCSLCF RELIENCE TATA AIG

LIC

ICICI

SBI

HDCSLCF

RELIENCE

TATA AIG

OTHES

Fig 3.2

INTERPRETATION

Through this analysis, I found out that 59% show their interest towards LIC , 12 %

on ICICI 11% on HDFCSLC, , 10% on SBI, , 3 % on Tata AIG , 3 % on others &

2% on RELIENCE.




MBA 2009-11

3. For How Many Years Do You Have Insurance Policy? (Please Tick)

a) <5Yrs b) 5-10 Yrs

c) 10-15 Yrs d) Any Other______(Specify)

22%

59%

15%4%

<5Yrs

5-10Yrs

10-15Yrs

ANY OTHERS

Fig 3.3

INTERPRETATION

Through this analysis, I found out that 22% have taken policy for 5 years, 59% has

taken for 5-10 years, 15% had taken for 10-15 years & 4% had taken any other.




MBA 2009-11

4. What Do You Think Are The Benefits Of Insurance Cover?

(Rank Them)

A) Cover Future Uncertainty B) Tax Deductions C) Future Investment

68%

22%

10%

Cover future uncertaiity

Tax deduction

Future investment

Fig 3.4

INTERPRETATION

Through this analysis, I found out that most of the people thinks that insurancecovers uncertainty i.e. 68% ,22% thinks it is effective in tax deduction, only few i.e.

10% know that is can be a future investment. People were unable to give any other

benefits of insurance.




MBA 2009-11

5. Which Feature Of Your Policy Attracted You To Buy It?

(Rank Them)

A) Low Premium B) Larger Risk Coverance

C) Money Back Guarntee D) Reputation Of Company

0%

10%

20%

30%

40%

50%

60%

Low premium Larger back

coverage

Money back

gurantee

Reputation of

company

15%

55%

20%

10%

Low premium

Larger back coverage

Money back gurantee

Reputation of company

Fig 3.5

INTERPRETATION

Through this analysis, I found out that people who prefer policy having lower

premium is 15% people who had taken policy to cover larger risk were 55% ,people

taken policy for money back guarantee is 20% & only 10 % prefer reputation of the

company for taking policy.




MBA 2009-11

6. Your Monthly Income?

A) <10k B) 10k-20k

C) 20k-25k D) 25k-30k

E) Other_____(Specify)

0%

5%

10%

15%

20%

25%

30%

35%

<10K 10K-20K 20k-25K 25K-30K OTHERS

10%

15%

27%

35%

13%

OTHERS

25K-30K

20k-25K

10K-20K

<10K

Fig 3.6

INTERPRETATION




MBA 2009-11

Through this analysis, I found out that People having salary less than 10k is 10%

,people having salary between 10k-20k is 15% people having salary between 20-25k

is 27% and person having salary between 25-35 is 35% and others are 13%

7. What’s Your Perception About Insurance?(Rank Them)

A) A Saving Tool B) A Tax Saving Device C) A Tool To Protect Future

18%

4%

78%

0%

10%

20%

30%

40%

50%

60%

70%

80%

90%

A Saving Tool A Tax Saving

Device

A Tool To Protect

Future

A Saving Tool

A Tax Saving Device

A Tool To Protect Future

3.7

INTERPRETATION

Most of the people think insurance as a tool to protect the future i.e. 78% and 18 %think as a saving tool because it provides return. Only 4% think it is a tax saving

device. People are still unaware of other benefits of insurance.




MBA 2009-11

8. How Has/Would You Bought/Buy Insurance?

A) Customer Approached Insurance CosB) Insurance Cos Approached Custome

Fig 3.8

INTERPRETATION

Now also companies are approaching to customers it is 71% but nowadays

customers are also approaching to companies as they want good investment i.e. 29%




MBA 2009-11

9. Are You Satisfied With The Policy?

A) Satisfied Saving Tool B) Not Satisfied C) Not Responding

73%

23%

4%

0%

10%

20%

30%

40%

50%

60%

70%

80%

Satisfied saving tool Not Satisfied Not Responding

Fig 3.9

INTERPRETATION

Most of the people are satisfied with their policy because insurance is the only tool

which covers the risk and provide protection they are 73% & person who also want

other benefit they are not satisfied they are 23% and 4 % doesn’t respond to the

question.




MBA 2009-11

10. Which Is The Best Form Of Investments?

(Rank Them)

A) Fixed Assets B) Bank Deposits

C) Precious Items D) Securities, I.E. Bonds, Mfs

41%

33%

9%

17%

Fixed assets

Bank deposits

Precious items

Securities, i.e. Bonds,MFs

Fig 3.10

INTERPRETATION41% thinks fixed assets best because of increasing value of land & building. 33 %

had ranked bank deposit as 1st because it provides gurantee return & it is save. 9%

think precious items because the rate of gold is increasing consistently. Rest think

securities it includes shares, debentures,mutual funds ,insurance i.e 17%




MBA 2009-11

11). Have You Heard About HDFCSLC?

A) Yes B) No

Fig 3.11

INTERPRETATION

In this question most of the people that is 79 % people know about HDFCSLC while

21% are still unaware about it.




MBA 2009-11

12. From Where You Have Known About HDFCSLC?

A) Advertisement B) Peers

C) Newspaper D) Through Agent

0%

10%

20%

30%

40%

50%

60%58%

8%

24%

10%

Advertisement

Peers

Newspaper

Through Agents

Fig 3.12

INTERPRETATION

Most of the people come to know about HDFCSLC through advertisement i.e. 58%,

Newspaper is the second important source to which people come to know about the

company i.e. 24%, then through agents 10% & at last through their peers 8%




MBA 2009-11

13. Do Want To Associate With HDFCSLC?’

A) Yes B) No C) Can’t Say

0%

10%

20%

30%

40%

50%

60%

70%

80%

Yes No Can't Say

13%

71%

16%

Yes

No

Can't Say

Fig 3.13

INTERPRETATION

Now also people lack trust in private companies 71% doesn’t show interest in

associating with HDFCSLC 13% were ready to associate & 16% said they can’t say

about it.




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14. What Do You Intent To Gain From Investments?

A) Saving & Returns B) Security

C) Tax Benefits D) All

25%

15%

10%

50%

0%

10%

20%

30%

40%

50%

60%

Saving & Returns Security Tax Benefits All

Fig 3.14

INTERPRETATION

Nowdays people want all the benefits i.e. saving & return, securities,tax benefits so

almost 50% people want all this features in one investment.




MBA 2009-11

15. What Would You Look For In An Insurance Cos?

(Rank Them)

A) A Trusted Name B) Friendly Service & Responsiveness

C) Good Plans D) Accessibility

.

42%

24%

26%

8%

A Trusted name

Friendly Service & Responsivenes

Good Plans

Accessibility

Fig 3.15

INTERPRETATION




MBA 2009-11

Most of the investor want a trusted name in insurance almost 42% then they give

preference to good plans i.e. 26, 24% give priority to friendly service &

responsiveness, & 8% give priority to accessibility.

FINDINGS

1) During the survey now also people are not aware of life insurance. They think it

as wastage of money 61% people don’t have insutance policy.

2) Now also people most people had faith in LIC because it is a government

company and the oldest also. But people are also started trusting on private

companies because they provide better service as well as comfort to customer.

3) Mostly the people take life insurance for 5 to 10 years; mainly young people take

policy for longer period.

4) Now a days also people are thinking insurance cover future uncertainty, they

don’t know the other benefits of the insurance. They are not aware that insurance is

a tool of investment also.

5) Mostly the people are attracted if there is low premium in the insurance, then

they give preference to money back guarantee and large risk cover.

6) Mostly the people whom survey was done told their salary 25k to 35k as they

include engineers, doctors, managers etc.

7) Most people think that insurance is a tool to protect future, it shows that they arenot aware of other benefits of insurance.

8) In survey it was found that the insurance companies are approaching to the

customers through financial consultant as well as managers. They help financial

consultants to make the customer aware about the products and their benefits.




MBA 2009-11

9) In the survey it was found that mostly people are satisfied with the insurance

because it is only tool which covers life though some are not.

10) Most people give preference to fixed assets (land & building specially) as their

prices increases very quickly.

11) In the survey it was found that most people had heard about HDFCSLC i.e.79%

12) Most of the people come to know about HDFCSLC through advertisement i.e.

58%, Newspaper is the second important source to which people come to know

about the company i.e. 24%, then through agents 10% & at last through their peers

8%

13) Most of the people dn’t want to assosiate with HDFCSLC.

14) In the survey it was found that people wants saving and return, security as well

as tax benefits in the investment.

15) Most of the investor want a trusted name in insurance almost 42% then they

give preference to good plans i.e. 26, 24% give priority to friendly service &

responsiveness, & 8% give priority to accessibility.

.




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Recommendation

1) As the people think that insurance is a tool to protect their family & a tax saving

device. They are aware of the fact & realizing its, importance. The company should

try to expand & build up its infrastructure because there is a large potential for

insurance in India.

2) Company should come up with its branch in Southern parts. With the objective

and goals to meet the demands & expectations of the public. Because the entrance of

private players will increase the competition and it would be a tough task to secure a

good position in market.

3) Since HDFC Standard Life Insurance Company Ltd is leading with several

companies’ policies it should be easy for them to penetrate into the market and

secure a good position if they pay greater attention to the service part provided to

their customer and thereby forming a long and trusted relationship.

4) As seen from the survey that at present most of the customer are having

insurance policy out of which many of the customer are planning for new

investments. So it can be a good potential for the company and they should make an

attempt to trap these customers.




MBA 2009-11

5) As the company has completed its ten years now it has become a trusted name in

life insurance field so company should try to take advantage of this fact.

6) As company believes in innovation it should try to bring new plan which are more

flexible and make it known to customer.

7) As people are now also mostly trust Government Company so HDFCSLC as a

private company had to put more effort to attract the new customer.

8) Company requires to open new branches all over India.(specially rural areas).




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SWOT ANALYSIS

STRENGTHS

1) Company had a good infrastructure

2) As company has completed its 10 years it has become a trusted name in insurance

sector.

3) Company has a brand name of HDFC.

4) Company is growing very well it is near about to become profit earning

company..

5) As company believes in innovation it is the positive aspect of the company

.

6) Large and competent work force

WEAKENESS

1) As it is a private company people don’t have much trust on private companies

2) Company don’t have branches all over India specially rural area.




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OPPORTUNITY

1) As insurance had good future in India company had chance to grow

2) As now people are interested in taking new investment and insurance had also

become a tool of investment so company had the chance to attract new investors

3) Effectively meet the demand create by way of operation visitor creating

awareness among the rural consumer.

THREATS

1) Other insurance companies had created tough competition. So they are threat

for the company.

2) Sudden change done by the IRDA in rules regarding in insurance

3) People don’t think that life insurance is essential for them.




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CONCLUSION

1) Our exhaustive research in the field of Life Insurance threw up some interesting

trends which can be seen in the above analysis. A general impression that I gathered

during Data collection was the lack of awareness and knowledge among people

about the benefits of insurance products. People are beginning to look beyond LIC

for their insurance needs and are willing to trust private players with their hard

earned money.

2) People in general have been impressioned by the marketing and advertising

campaigns of insurance companies. A high penetration of print , radio and

Television ad campaigns over the years is beginning to have it’s impact now. Like

HDFCSLC’s advertisement “Sir uttha ke jiyo” become very popular.

3) Another heartening trend was in terms of people not viewing insurance as a tax

saving and investment instrument as much as a protective one. A very high number

of respondents have opted for insurance for only protection purposes and it shows

how insurance companies have not been successful to attract public money in recent

times.

4) The general satisfaction levels among public with regards to policy and agents

still requires improvement. But therein lies the oppurtunity for a relative new comer

like HDFC Standard Life Insurance Company Ltd . LIC has never been known for




MBA 2009-11

prompt service or customer oriented methods and HDFC Standard Life can build

on these fact

BIBLIOGRAPHY

1. BOOKS/MAGAZINES REFFERED:

• Study Guide- Princiles & Practices Of Life

General Insurance, By Aima.

• Books Published By Insurance Institute Of India

• Life-Insurance, By Mc Gill

• Insurance Watch.

• Money Out Look.

• IRDA IC-33

2. WEBSITES REFFERED:

1) www.cifainsurance.com

2) www.moneyoutlook.com

3) www.insurance.ind.com


http://www.cifainsurance.com/

http://www.moneyoutlook.com/

http://www.insurance.ind.com/

http://www.cifainsurance.com/

http://www.moneyoutlook.com/

http://www.insurance.ind.com/



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4) www.hdfcinurance

Annexure

QUESTIONNAIRE

Name……………… Contact No…………………………………

Address……………………………………………………………………………

Income……………………………………………………………………………

1.Do You Have Any Insurance Policy?

A) Yes B) No

2. Which Co’s Insurance Policy You Prefer The Most?

(Rank Them)

A) LIC B) ICICIPRUDENTIAL

C) SBI LIFE INSURANCE D) HDFCSLC

E) RELIANCE LIFE INSURANCE F) TATA AIG LIFE

G) Any Other________( Specify

3. For How Many Years Do You Have Insurance Policy?

(Please Tick)

A) <5yrs B) 5-10 Yrs

C) 10-15 Yrs D) Any Other______(Specify)

4. What Do You Think Are The Benefits Of Insurance Cover?

(Rank Them)

A) Cover Future Uncertainty B) Tax Deductions C) Future Investment


http://www.hdfcinurance/

http://www.hdfcinurance/



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5. Which Feature Of Your Policy Attracted You To Buy It?

(Rank Them)

A) Low Premium B) Larger Risk CoveranceC) Money Back Guarntee D) Reputation Of Company

6. What’s Your Perception About Insurance?(Rank Them)

A) A Saving Tool B) A Tax Saving Device C) A Tool To Protect Future

7. How Has/Would You Bought/Buy Insurance?

A) Customer Approached Insurance Cos

B) Insurance Cos Approached Customer

8. Are You Satisfied With The Policy?

A) Satisfied Saving Tool B) Not Satisfied C) Not Responding

9. Which Is The Best Form Of Investments? (Rank Them)

A) Fixed Assets B) Bank Deposits

C) Jewellery D) Securities, I.E. Bonds, Mfs

10. Have You Heard About HDFCSLC?

A) Yes B) No

11. From Where You Have Known About HDFCSLC?

A) Advertisement B) Peers

C) Newspaper D) Through Agent

12. Do you want To Associate With HDFCSLC?’

A) Yes B) No C) Can’t Say

13. What Do You Intent To Gain From Investments?




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A) Saving & Returns B) Security

C) Tax Benefits D) All

14. What Would You Look For In An Insurance Cos? (Rank Them)

A) A Trusted Name B) Friendly Service & Responsiveness

C) Good Plans D) Accessibility

report of abhineet

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