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DECLARATION

I hereby declare that this report titled An In-depth Analysis on Unit link insurance plan at Aegon Religare is a record of independent work carried out by me towards the partial fulfillment of MBA course of Dravidian University at St.Hopkins college of Management. This has not been submitted in part or fulfillment towards any degree.

PLACE: BANGALORE Suraj Singh

DATE : 25/04/2013 (22205611040)

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PRINCIPALS CERTIFICATE

This to certify that this report titled Unit Link Insurance plans (ULIP) has been prepared by Suraj Singh bearing the Reg. No.22205611040 under the guidance and supervision of Miss Ragini, Professor,

St.hopkins college, Bangalore.

Place: Bangalore Mr.Mohan

Date: 25/04/2013 Principal

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GUIDES CERTIFICATE

This is to certify that the Project Report entitle Unit link

Insurance Product is done by Suraj Singh bearing Registration No.22205611040 is a bonafide work done carried under my guidance during the academic year(2011-2013) in a partial fulfillment of the requirement for the award of MBA degree by Dravidian University. To the best of my knowledge this report has not formed the basis for the award of any other degree.

Place: Bangalore Miss.Ragini

Date: 25/04/2013 (professor-St.Hopkins college of management)

4

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GUIDES CERTIFICATE

This is to certify that the Project Report entitled Unit Link Insurance Product is done by Suraj Singh bearingRegistration No.22205611040 is a bonafide work done carried under my guidance during the academic year2011-2013 in a partial fulfillment of the requirement for the award of MBA degree by Dravidian University. To the best of my knowledge this report has not formed the basis for the award of any other degree.

Place: Bangalore Miss.Ragini

Date: (Professor St.hopkins college)

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Acknowledgement

I am indebted to Mr.Suresh CA, the Branch manager, Aegon Religare Life Insurance Pvt Ltd for providing me guidance throughout the project. A very special thanks to Miss Ragini, Faculty, St.Hopkins College of Management, Bangalore who has always helped the students to achieve the best through his words of encouragement and being very supportive by providing us with an excellent Concepts of Marketing.

Finally, I remain indebted to my parents who helped me throughout the project by giving me their invaluable feedback, inspiring me and guiding me and all the team leaders and team members who helped me out in knowing the grass root functioning of the store.

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Table of Content

1. Introduction about industry

2. Company profile

3. Research design

4. Our product

5. Product comparison

6. Data analysis and interpretation

7. Findings

8. Suggestions/recommendations

9.Annexure

10.Bibliography

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Industry BackgroundA contract (policy) in which an individual or entity receives financial protection or reimbursement against losses from an insurance company. This is known as insurance.

Indian insurance sector has remained on rails even in the toughest of the times, thanks to the Insurance Regulatory and Development Authority (IRDA)'s tough and conservative apparatus. A sound insurance segment ensures better economic development as indicated by a study which states that 1 per cent increase in insurance penetration leads to 13 per cent reduction in uninsured losses and 22 per cent reduction in taxpayers' contribution to recovery following a natural catastrophe. Keeping pace with international happenings, Indian insurance industry has remained in a good health and maintained absolute transparency and highest standards of corporate governance. Assets under management (AUM) of the Indian insurers are slated to touch Rs 20 trillion (US$ 376.51 billion) while the general insurance sector is anticipated to grow 18 per cent in 2012-13. Insurance sector has grown substantially over the last few years, with its AUM from Rs 8 trillion (US$ 150.57 billion) in 2008 to Rs 18 trillion (US$ 338.82 billion) in 2011-12.

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History of life insurance companies in India

Some of the important milestones in the life insurance business in India are:

1818: Oriental Life Insurance Company, the first life insurance company on Indian soil started functioning.

1870: Bombay Mutual Life Assurance Society, the first Indian life insurance company started its business.

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: 245 Indian and foreign insurers and provident societies are taken over by the central government and nationalized. LIC formed by an Act of Parliament, viz. LIC Act, 1956, with a capital contribution of Rs. 5 crore from the Government of India.

The General insurance business in India, on the other hand, can trace its roots to the Triton Insurance Company Ltd., the first general insurance company established in the year 1850 in Calcutta by the British.

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Market share of various life insurance companies of India

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Life insurance companies in India

Public Sector

Government of India Fully owns 1 company:

Life Insurance Corporation of India

Private Sector

AEGON Religare Life Insurance

Aviva Life

Shriram Life Insurance

Bajaj Allianz Life Insurance

Bharti AXA Life Insurance Co Ltd

Birla Sunlife

Canara HSBC Oriental Bank of Commerce Life Insurance

Star Union Dai-ichi Life Insurance

DLF Pramerica Life Insurance

Edelweiss Tokio Life Insurance Co. Ltd

Future Generali Life Insurance Co Ltd

HDFC Standard Life Insurance Company Limited

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ICICI Prudential

IDBI Fortis Life Insurance

IndiaFirst Life Insurance Company

ING Vysya Life Insurance

Kotak Life Insurance

Max Life Insurance

PNB MetLife India Life Insurance

Reliance Life Insurance Company Limited

Sahara Life Insurance

SBI Life Insurance Company Limited

TATA AIG Life Insurance

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Research design Title of study

Unit Link Insurance Plan (ULIP) Aegon Religare company

Statement of problem

There are various kind of insurance product available in the industry. Here, we have compared Traditional plan and Unilt Link insurance plan. Where as we have tried to get on a conclusion what are the usp of Unit Link Insurance product and why we should buy them.

Objective

To know the pattern of investment in insurance sector in context of Banglore

To know the investment motives preferred by Bangalore people. To know how the people make investment decision To know about Aegon Religare (ulip) product To do a comparison

Scope

To re-establish Aegon religare. as the market leader in quality and value-priced investment products in Bangalore.

Establish good working relationships with our clients Understanding market needs and plan for development To understand customer needs and provide them best investment

products

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Limitations

Less awareness about the product. Less knowledge among people about Aegon Religare. More people dont want to trust private company,they want to

for lic on safer side.

PLANNING OF THE SURVEY:-

Preplanning is sine-guenon for any kind of survey. Their some must be some preliminary preparation. first and foremost I decided the topics to works on and then prepared some question related to the topic considering every possible point of view .finally, I framed the questionnaire is the language .I used simple words and easy sentences to be fairly understood .

OBJECTIVE OF THE SURVE:--

The objective of any survey is to study the opinion of the respondent about the chosen items. The opinions are drawn in the form of answer given to the set of question in the questionnaire .

The topic of the present survey is THE BRIEF INVESTMENT PRODUCT COMPARISON OF (ULIP) AEGON RELIGARE

3. SCHEDULE

Contains of the schedule are determine by taking into account the aim of the survey and the subsequent collection of the information form the informants with the help of a questionnaire .it is a vital part of the survey and has to be prepared with utmost care ,once the contents of the schedule have been determine .

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it insures complete information and data required in min.no.of question

the question should be worded in a simple language so that it may be easily understandable to both the interviewer and as well as interviewees.

The informations could be filled quickly and easily with min. errors and omission.

There should be MCQ whose answer could be given by putting a tick mark.

There should be ambiguity.

Keeping in the mind the aim of my survey and all these consideration regarding schedule, the questionnaire was formed bearing the heading PROUCT COMPARISON OF AEGON RELIGARE

TECHINQUE OF DATA COLLECTIONS AND SIMPLING TECHNIQUE

The formostpart of project is to prepare the tools of the data collection. Data have been collected here through questionnaire interviewing clients who present at time of survey in the Primary data collection total 101 customer were interviewed.

Some of unable to give time for it because of their hectic schedule

Busy.

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The interview was the direct one and the question were asked in face to face situation.

During the time of data collection the customers had to fill up the questionnaire at the every moment before me .

They also discussed some of the question with me reasons for using the direct method of interview was the accuracy of the personal interview .

DURATION OF THE SURVE

Survey was started from 15th march 2013 and got completed in the 2nd

week of April 2013

REPORT WRITING

In this very project only a few things have been analyzed which are essential .few things could not get analyzed due to unreliable information supplied by the respondents.

IMPORTANCE TERMS OF REASERCH METHODOLOGY

Type of research-Descriptive &conclusive Data type Primary data Data size -100 Data collection method questionnaire Data collection instruments-structured questionnaire Sample unit-All Sample technique Random Data analysis Tools and techniques Bar and Pie chart

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Company profile

AEGON Religare Life Insurance CompanyAegon Religare lic is a joint venture of three company

Aegon-one of the worlds largest insurance and pension company

Religare-one of the Indias largest company in finance sector

Bennet and Coleman indias largest media house

Together they came as Aegon Religare life insurance company

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ABOUT AEGON

As an international life insurance, pension and investment company, AEGON has

businesses in over twenty markets in the Americas, Europe and Asia. With headquarters

in The Hague, the Netherlands, AEGON companies employ approximately 28,000 people

and serve some 40 million customers across the globe. The companys common shares

are listed on three stock exchanges: Amsterdam, New York and London. AEGON has

more than 160 years of experience with its roots going back to 1844. AEGON holds 26%

equity in ARLI.

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Aegon

Life insurance/ pension/ investments

Presence in over 20 markets throughout the Americas ,Europe and Asia

5th largest life insurance company in the world based on revenue.

Ranked 103 on the fortune 500 list.

More than 5 crore customers worldwide.

More than 31,500 employees worldwide.

ABOUT RELIGARE ENTERPRISES LIMITED

Religare Enterprises Limited (REL) is a global financial services group with a presence

across Asia, Africa, Middle East, Europe and the Americas. In India, Religares largest

market, the group offers a wide array of products and services ranging from insurance,

asset management, broking and lending solutions to investment banking and wealth

management. The group has also pioneered the concept of investments in alternative asset

classes such as arts and films. With over 10,000 employees across multiple geographies,

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Religare serves over a million clients, including corporates and institutions, high net

worth families and individuals, and retail investors. REL hold 44% equity in ARLI.

Religare

Value that bind

One of Indias leading integrated financial services group

Services in retail, wealth & institutional spectrums

Presence in more than 460 cities and towns and more than 1550 locations across India

ABOUT BENNETT, COLEMAN & COMPANY LIMITED

Bennett, Coleman & Company Limited (BCCL), part of the mammoth Times Group,

is Indias largest media house. It reaches out to 2468 cities and towns all over India. The

group owns and manages powerful media brands like The Times of India, The Economic

Times, Maharashtra Times, Navbharat Times, Femina, Filmfare, Grazia, Top Gear, Radio

Mirchi, Zoom, Times Now, Times Music, Times OOH, Private Treaties and

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indiatimes.com. All of its brands are multinational in outlook, traditional at heart and

national in spirit. From the very first edition on November 3, 1838 the mammoth BCCL

Group has come a long way. By way of the innovative venture of Times Private Treaties

(http://www.timesprivatetreaties.com), the BCCL Group holds 30equety in ARLI.

Leader Ship Team

Mr. Rajiv Jamkedar Managing Director & ChiefExecutive Officers

Mr. K.S. Gopalakrishnan Chief financial officers Mr. Saibal Ghosh Chief Investment Officers Mr. Yateesh Srivastava Chief Marketing Officers Mr. Debmalya Maitra Head-Audit Risk & compliance Mr.PK Dinakar Appointed Actuary

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Board of Directors

Mr. Sunil Godhwani Mr. Ravi Mehrotra Mr. Kamlesh Dangi Mr. Douglas C. Henck Mr. David Wolf Mr. Jan Aartvander Steen Mr. Sivakumar Sundaram Mr. K N Memani Dr. Adarsh Kishore Rajiv Jamkhedkar

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SWOT Analysis

SWOT Analysis is the most renowned tool for audit and analysis of the overall strategic position of the business and its environment. Its key purpose is to identify the strategies that will create a firm specific business model that will best align an organizations resources and capabilities to the requirements of the environment in which the firm operates. In other words, it is the foundation for evaluating the internal potential and limitations and the probable/likely opportunities and threats from the external environment. It views all positive and negative factors inside and outside the firm that affect the success. A consistent study of the environment in which the firm operates helps in forecasting/predicting the changing trends and also helps in including them in the decision-making process of the organization.

S - Strenght

W Weakness

O Opportunities

T Treats

Strength:

. Innovative Policies with emphasis on long term returns Online products like iTerm. International expertise of AEGON group

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. Strong and aggressive marketingAEGON companies employ approximately 28,000 people and serve some 40 million customers across the globe. Religare has over 10,000 employees across multiple geographies, Religare serves over a million clients

Weakness:

Less penetration in rural areas .. Small agent base catering to huge customer base as compared to big players

.More no of competitors

Threats:

Stringent Economic measures by Government and RBI

Entry of new NBFCs in the sector

Market changes

Opportunity:

. .Growing rural market.

. Earning Urban Youth.

. Cross selling through financial services such as banking.

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ULIP Products

What is ULIP ? Difference between ULIP and Mutual fund Structure of ULIP Types of funds under ULIP Advantage of ULIP Disadvantage of ULIP ULIP feature Aspects of ULIP Categories of ULIP Investment Strategies

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Introduction

A Unit Linked Insurance Plan (ULIP) is a product offered by insurance companies that unlike a pure insurance policy gives investors the benefits of both insurance and investment under a single integrated plan.

What is ULIP

ULIP is an abbreviation for Unit Linked Insurance Policy. A ULIP is a life insurance policy which provides a combination of risk cover and investment. The dynamics of the capital market have a direct bearing on the performance of the ULIPs. In a ULIP policy, the investment risk is generally borne by the investor.

What is the difference between ULIP and Mutual Funds

By concept, there is only a small difference between ULIP schemes and a Mutual fund scheme, in terms of product structure, excluding risk coverage. They are both market linked for returns, and they will both carry market risk. Based on the investors selected stock performance, his returns will reflect exactly that in both cases. For both options, a fund manager will be responsible for running the scheme. That is all as far as the similarities are concerned, i.e. the product structure. There

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are significant variations in the way the two products are managed, and, on an important note, regulated.

Regarding regulation, Mutual Funds are regulated by the SEBI, while ULIPs are regulated by the IRDA. From an industrial point of view, while Mutual Funds focus on low costs and better performance as the USP, ULIP looks more at distribution reach as the USP.

Summary:Mutual Funds are regulated by the SEBI, while ULIPs are regulated by the IRDA.Mutual Funds are sold by un-tied agents, while ULIPs are sold by tied agents attached to one particular insurer.Mutual funds have stricter transparency requirements than ULIPs.ULIPs are more flexible than MFs, as they allow you to increase your life cover while the premium remains the same; unlike ULIPs, where you have to buy a new policy altogether.

Structure of ULIPs

ULIPs offered by different insurers have varying charge structure. Broadly the different types of fees and charge given below.

Premium Allocation Charges

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This is the amount the company will deduct from your premium upfront which will reduce your investment considerably. These charges were very high when ULIPS were introduced in India. Now, after several interventions by IRDA, ULIPS charges have come down drastically. But still these charges reduce the investment of the customers and bring down returns.

Mortality Charges

Whenever you buy a life insurance policy, the company offering it will levy a charge for the insurance protection upon death and to cover certain other expenses. In a nutshell this is the actual cost of insurance. Technically called mortality charge, this is deducted usually every month from your policy's account value. While the insurance company can tweak these charges from time to time it cannot exceed the maximum limit as specified in the policy.

Fund Management Charges

This is the amount charged by the company to manage the fund. These charges are not on the premium paid but on the fund value and are the major source of revenue for the company. These charges are in the range of 0.75% pa to 1.35% pa depending on the nature of the fund. In NAV guaranteed plans, there can be an additional charge of 0.5%pa.

Policy Administration Charges

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These are used to pay the costs of maintaining the policy, including accounting and record keeping. Administration fees usually are deducted from your policy value once a month.

Surrender charges

This charge is deducted from your cash value if you surrender (terminate) your policy during your surrender charge period. Be sure to check the length of your surrender charge period when evaluating a policy to buy.

Fund Switching Charge

Switches are options given to policyholders of unit-linked insurance plans (Ulips) to move their investments from one fund to another, within one plan.

You can transfer units fully or partially between fund options - equity, debt and equity to debt.

Typically, Ulips offer pure equity, debt and balanced fund options to their customers. Mostly, each Ulip can invest in a minimum of four-five funds. And, the policyholder is allowed to choose the funds where his/her money will be invested.

Advantage of Ulips

Unit Linked Plans offer unique opportunity to combine protection with

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investments. Some special features of Unit Linked Life Insurance Policies (ULIPs) are:

Provides flexibilityininvestmentsULIPs offer a complete selection of high, medium and low risk investment options under the same policy. You can choose an appropriate policy according to your risk taking appetite, coupled with the opportunity to switch between fund options without any additional expense for specified number of switches. ULIPs provide the flexibility to choose the sum assured and investment ratio in the annual targeted premium. It also offers the flexibility of one time increase in investment portfolio, through top-ups to avail investment opportunity offered by external environment or own income flows.

TransparencyThe charge structure, value of investment and expected IRR based on 6% and 10% rate of returns, for the complete tenure of the policy are shared with you before you buy a product. Similarly, the annual account statement, quarterly investment portfolio and daily NAV reporting, ensures that you are aware of the status of your investment portfolio at all times. Most companies publish latest NAVs on their respective websites on a daily basis.

Liquidity To cope with unforeseen circumstances, ULIPs offer the benefit of partial withdrawal; wherein after 5 years you can withdraw funds from our Unit Linked account, retaining only the stipulated minimum amount.

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Disciplined and regular savingsULIPs help you inculcate a regular saving habit. Also, the average unit costs tend to be lower than one time investment.

Multiple benefits bundled in one productULIP is an outstanding solution for risk cover, long term investments with the benefit of various investment opportunities, coupled with tax benefits.

Spread of riskULIPS are ideal for those investors who wish to avail the benefit of market linked growth without actually participating in the stock market, with the added benefit of risk-cover.

Disadvantages

Flexibility Initially heavy cost No control on Cost

ULIPs Feature

Top up Switch between fund Increase or decrease the protection level during the term of policy Cover continuance options

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Surrender options Range of riders which can be attached to the main policy to

provide you added protection.

Aspects of ULIPs

All the charge deductible under the policy Payment on premature surrender Features and benefits Limitations and exclusion Lapsing and its consequence Other disclosure

Our ULIPs Products

These plans give you double benefit of life cover and market linked

investment.

Aegon Religare future protect premier Aegon Religare future protect plan Aegon Religare future protect plus plan Aegon Religare assure plan

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Aegon Religare assure plus plan Aegon Religare I maximizer plan

What Are The Different Types Of ULIPs?

Depending on the purpose of investment ULIPS can be divided into the following types:

ULIPs for Retirement Planning: These plans accumulate a portion of your savings over a period of time and the corpus amount is made available to the policyholder at maturity for purchasing an immediate annuity plan.

ULIPs for Child Education: These plans aim at providing financial support for expenses related to children like education, marriage etc.

ULIPs for Wealth Creation: There are many ULIPs with the objective of accumulating wealth over time which will help the policyholder beat the rising costs by offering return on investment.

ULIPs for Health Solutions: Keeping in mind the rising medical expenses, these plans allow the policyholder to claim for health related expenses of any kind. Some plans may also fund your future health insurance charges.

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Most insurers offer a wide range of funds to suit ones insurance and investment objectives, risk profile and time horizons. Different funds have different risk profiles. The potential for returns also varies from fund to fundThe following are some of the common types of funds available in India, along with an indication of their risk characteristics.

General Description Nature of Investment

Risk Category

Equity Funds Primarily invested in company stocks with the general aim of capital appreciation

Medium to High

Balanced Funds Combining equity investment with fixed interest instruments

Medium

Income, Fixed Interest and Bond Funds (also known as debt fund)

Invested in corporate bonds, government securities and other fixed income instruments

Medium

Cash Funds (also known as secured fund)

Sometimes known as Money Market Funds invested in cash, bank deposits

Low

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and money market instruments

As we can see, equity funds invest largely in equity and carry higher risk. These funds are preferable for young investors with higher risk appetites. Income, Fixed Interest, Bond and Balanced funds provide lesser risk then equity funds. Middle aged investors with medium risk profile can opt for balanced funds that invest only part of the corpus in equities. Cash funds are an ideal option for risk-averse customers.

Product comparison of Aegon Religare with other companies

conclusion

Aegon Religare Ulips plan is one of the most sold plan in the insurance industry.

Aegon Religare introduced online Ulips plan.

Rising Star child plan

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Why to buy this plan

Child plan is required now a days as cost of education is growing at significant rate as per survey these are some interesting facts and figures:-

In spite of great increase course and tuition fees there are various other expenses which comes to up bring the child if we consider all those fees and expenses we can easily get that in present scenario a child plan is

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most to get rid of increasing expenses and maintain good life standard life for our children.

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Rising star-Aegon Religare Rising Star Insurance Plan is acomprehensive unit-linked plan designed to help parents systematicallyaccumulate the desired corpus for their child s future, along with providing 360 degree protection to ensure that the child is financially secured in case of an unfortunate event.

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Mr. Mahesh (Age 34 years) works with a private firm. His wife is a teacher and they have a son - Anuj who is 5 years old. Although Mahesh and his wifes salary provides well for their family, he is concerned about the rapid change in the way of life. He is also aware of the rising inflation and spiralling education expenses.Moreover, he is cognisant that life is uncertain and the future of his family, especially his son needs to be protected. He relies on AEGONReligares Rising Star Insurance Plan.His plan details are as follows:Cover Amount (Base Sum Assured): Rs.10 lakhs, Policy Term: (25 age at entry of child) = 23 years, Premium Payment Term: 23 years, Annual Premium: Rs.50, 000 (exclusive of service tax).Comparison between different companies child plan

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FEATURES

ARLIFE HDFC BHARTI AXA

DEATH BENIFIT

1.Higher of SA or 105% ofTotal premiums paidimmediately2.Future premiums paid byARLI into fund3.Income benefit equal toannual premium paid everyyear to child till age 25 years4.Fund value paid at maturity

1. Highest of SAor 105% of total premiums paid immediately2. Fund Value paid on maturityPLUSSave Option: Future premiums paid by HDFC life into fundSave n Gain Option: 50% of future premiums paid by HDFC life into fund and 50% of the future premiums paid on an annual basis to beneficiary

1. SA paid immediately 2.Future premiums paid by Bharti AXA into fund3. Option of Income benefit equal to 10% of Sum Assured every year to child till maturity4. Fund value paid at maturity

RIDER ADD,CI NO NOWAIVER YES YES YES

INCOME RIDER

YES NO NO

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In case of your death during Policy Term, benefits to nominee:o Higher of cover amount (Sum Assured) or 105% of all

premiums paid immediatelyo All future premiums waived off and paid by the company

into the Policy Fund value, policy continueso Amount equal to the annualized premium excluding rider

premium will be paid every year to the nomineeo On maturity, Policy Fund Value will be paid

In case you survive the Policy Term, you will receive the fund value existing on the maturity date

Auto rebalancing of funds Partial Withdrawal Tax benefits as per prevailing tax laws. Please consult your tax

advisor for details. This plan not only makes provision for your childrens future

(maturity benefit) but also ensures that their future remains secured in case of your unfortunate death (death benefit + policy continues + income benefit).

Conclusion

Rising star is the only child plan having income benefit rider Various riders are also available It is important to have child plan

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Target market for child plan

Financially securing the childs future and saving for his / her educational expenses is an important need of all parents. This plan is thus suitable for all parents who have children between the age group of 0-15 years and are looking for a unit-linked plan with long term investment in mind.

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DATA ANALYSIS AND INTERPRETATION

These questions were asked to 100 customer and client and based on their answers this interpretation these data are analyzed.

1.Are you aware about AEGON RELIGARE and its product before you got into contact with an executive?

Out of 100 around 49 said they were not aware,36 said they were aware about the company and 15 people said they knew but partially.

.Do you have any ULIPs plan?

Sales

NOT AWARE

AWARE

PARTIALLY AWARE

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Out of 101 clients 64 said they dont have any where as 37 said they do have such plan.

3.Do you want to take AEGON Religare ULIPs plan?

Out of 100 client/customer 33 said they WILL TAKE IN FUTURE,17 SAID THEY ALREADY TOOK,26 SAID THEY ARE NOT SURE AND 23 SAID THEY DONT WANT.

Out of 101 clients 64 said they dont have any where as 37 said they do

3.Do you want to take AEGON Religare ULIPs plan?

Out of 100 client/customer 33 said they WILL TAKE IN FUTURE,17 SAID THEY ALREADY TOOK,26 SAID THEY ARE NOT SURE AND 23 SAID THEY

Out of 101 clients 64 said they dont have any where as 37 said they do

Out of 100 client/customer 33 said they WILL TAKE IN FUTURE,17 SAID THEY ALREADY TOOK,26 SAID THEY ARE NOT SURE AND 23 SAID THEY

No

YES

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4.Do you compare between different insurance companies while taking the plan?

DONT WANT

NOT SURE

THEY ALREADY TOOK

THEY WILL TAKE

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Interpretation

66 out of 100 said they dont compare while 33 said they do such research before buying.

5.Do you see child plan useful in meeting childs need in future as per increasing inflation in edaucation?

Sales

NO

YES

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Not Sure-28 No-34 Yes-38

Interpretation

Out of 100 customer and clients 28 said they are not sure, where as 33 said they dont think so and 38 said that they think it will work out.

6.Do you want child plan for your child?

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Interpretation

64 out of 100 said they want one child plan,20 said they are not sure,whereas,16 said they dont want any such plan.

7.Do they feel ULIPs is important to take?

yes no not sure

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Interpretations

76 out of 100 think that its important to have such product for any uncertainity.whereas,24 people dont think so.

TABLE 1:

CLASSIFICATION OF RESPONDENTS ONTHE BASIS OF OCCUPATION

Occupation No of respondents % of Respondents

Self Employed 37 37

Student 05 05

Govt. employee 10 10

Yes

no

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Professional 25 25

Pvt. Employee 23 23

Total 100 100

Concept of the table

The above table shows classification of respondents on the basis of occupation.

Analysis

Maximums of 37 % of the respondents belong to Self employed category. Another

25 % are professional. Working professional 23 % share of the respondents. 10 % of the

Govt. Employees. students occupy 5 % of the total sample survey

GRAPH 3

CLASSIFICATION OF RESPONDENTS ON THE BASIS OF

OCCUPATION

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Inference

Hence it can be inferred that majority respondents are

employed.


The above table shows whether respondents are insured.

Analysis

0

5

10

15

20

25

30

35

40

Self employed

student

Hence it can be inferred that majority respondents are

The above table shows whether respondents are insured.

Govt. employee

Professional Pvt. Employee

No of respondents

No of respondents

Hence it can be inferred that majority respondents are Self

No of respondents

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Majority of 77 % respondents are insured and 23 % of the

respondents are not insured of the total survey.

SHOWING THE RESPONDENTS WHO ARE

No. of Respondents


respondents are not insured of the total survey.

Graph 5:

SHOWING THE RESPONDENTS WHO ARE INSURED

No. of Respondents


INSURED

Yes

No

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Inference

Hence it can be inferred that maximum respondents are insured.

TABLE 6

SHOWING THE RESPONDENTS WHO ARE SATISFIED WITHTHEIR CURRENT ULIPS

Particulars No. of Respondents Percentage

Yes 70 70%

NO 30 30%

Total 100 100%


The above table shows whether the respondents are satisfied with their

ULIPs.

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Analysis

Majority of 70 % of the respondents are Satisfied with their ULIPs

and 23 % of the respondents are not of the total survey.

GRAPH 6

SHOWING THE RESPONDENTS WHO ARE SATISFIED WITHTHEIR CURRENT INSURER

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Inference

Hence it can be inferred that maximum respondents are satisfied

with their current Insurer.

TABLE 7:

No. of Respondents

Yes

No

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CLASSIFICATIONS OF RESPONDENTS ON THE BASIS OF THE PLANS

THEY ARE ULIPs IN ARLI

No. of Respondents % of RespondentsProtection 41 41

Investment 31 31

Pension plan 10 10

Unit linked youngster plan

10 10

Saving 8 8

Total 100 100%


The above table shows classifications of respondents on the basis of the

Plans they are Insured.

Analysis

Out of 100 respondents 41 % of them are insured in the

Protection Plan.31% of them are insured in Investment Plan. 10% of the

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respondents are equally insured in Pension Plan and Unit Linked

insurance plan. 8% of the respondents are insured in Savings Plan.


Inference

No. of Respondents


8% of the respondents are insured in Savings Plan.

GRAPH 7:


THEY ARE INSURED

No. of Respondents

Protection

Investment

Pension Plan

Saving

Unit Linked Youngster Plan


8% of the respondents are insured in Savings Plan.


Unit Linked Youngster Plan

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Hence it can be inferred that maximum respondents are insured in Protection Plan.

TABLE 8:

CLASSIFICATIONS OF RESPONDENTS ON THE BASIS OF THEIR FAVORED INSURANCE COMPANY

Particulars No. of Respondents % of RespondentsLIC 45 45%

HDFC-SLIC 17 17%ICICI 10 10%

Birla Sun Life 8 8%Bajaj Allianz 8 8%

AEGON RELIGARE 2 2%Others 10 10%Total 100 100%


The above table shows classifications of respondents on the basis of

their favored Insurance Company.

Analysis

The survey depicts that out of 100 respondents, 45% of them

favored is LIC. 17% of Respondents favored is HDFC-SLIC. 10% of the

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Respondents favored is ICICI.8% of them favored is Birla Sun Life,

another 8% of the respondents favored is Bajaj Allianz, 2% Respondent

favored to AEGON RELIGARE and the rest 10% of the respondents are

favored for other Insurance Companies.

GRAPH 8:

CLASSIFICATIONS OF RESPONDENTS ON THE BASIS OF THEIR FAVORED INSURANCE COMPANY

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Inference

Hence it can be inferred that majority respondents are favored for LIC.

TABLE 9:

SHOWING THE DIFFERENT WAYS THROUGH WHICH THE RESPONDENTS GOT AWARE OF ARLI

0

5

10

15

20

25

30

35

40

45

50

LIC HDFC-SLIC ICICI Birla Sun Life

Bajaj Allianz

ARLI OTHERS

No. of Respondents

No. of Respondents

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Particulars No. of Respondents % of RespondentsAdvertisements 20 20%

Friends & Relatives 24 24%Direct Selling Agents 42 42%

Others 14 14%Total 100 100%


The above table shows how the respondents came to know about

ARLI.

Analysis


came to know about HDFC-SLIC through Advertisements.24% of them

came to know through Friends and Relatives.42% of them came to

know about ARLI through Direct Selling Agents and the rest 14% of the

respondents came to know through other different sources.

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GRAPH 9:

SHOWING THE DIFFERENT WAYS THROUGH WHICH THE RESPONDENTS GOT AWARE OF ARLI

Inference

Hence it can be inferred that majority respondents are became aware of ARLIthrough Direct Selling Agents.

0

5

10

15

20

25

30

35

40

45

Advertisements Friends & Relatives

Direct Selling Agents

Others

No. of Respondents

No. of Respondents

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TABLE 10:

SHOWING THE RESPONDENTS INTERESTED IN THE PRODUCTS OFFERED BY ARLI

Particulars No. of Respondents % of Respondents

Yes 60 60%

No 24 24%

Cant Say 16 16%

TABLE 12:CLASSIFICATION OF THE RESPONDENTS ON THE BASIS OF THEIR

INVESTMENT INVESTED IN DIFFERENT COMPANIES FOR LIFE INSURANCE

Companies No. of Respondents

Percentage

LIC 57 57%

HDFC Standard Life Insurance

07 07%

ICICI Prudential Life Insurance

10 10%

SBI 04 04%

Max New York Life Insurance

05 05%

Tata AIG 03 03%

Bajaj Allianz 03 03%

Birla sunlife 04 04%

AEGON RELIGARE 02 02%

OTHERS O5 05%

Total 100 100%

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The above table shows classifications of respondents on the basis of

their money invested in different Companies for Life Insurance

Analysis


favored is LIC. 10% of Respondents favored is ICICI. 02% of the

Respondents favored is ARLI. 4% of them favored is Birla Sun Life,

another 3% of the respondents favored is Bajaj Allianz and the rest 05%

of the respondents are favored for other Insurance Companies.

GRAPH 12:

CLASSIFICATION OF THE RESPONDENTS ON THE BASIS OF THEIR INVESTMENT INVESTED IN DIFFERENT COMPANIES FOR LIFE

INSURANCE

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Inference

Hence it can be inferred that majority respondents have invested in LIC

SHOWING THE RESPONDENTS WHO AGREE

INSURANCE COMPANIES HAVE IMPROVED AFTER ALLOWING PRIVATE

PLAYERS IN INSURANCE SECTOR

Particulars

Yes

No

Total

No. of Respondents

Hence it can be inferred that majority respondents have invested in LIC

SHOWING THE RESPONDENTS WHO AGREE THAT THE SERVICES


PLAYERS IN INSURANCE SECTOR

No. of Respondents % of the

Respondents

80 80

20 20

100 100

No. of Respondents

LIC

HDFC standard life insurance


SBI

Max NewYork Life Insurance

Tata AIG

Bajaj Allianz

AEGON RELIGARE

Birla sunlife

Others

Hence it can be inferred that majority respondents have invested in LIC.

THAT THE SERVICES


% of the

Respondents

80

20

100

HDFC standard life insurance


Max NewYork Life Insurance

AEGON RELIGARE

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The above table shows whether respondents are agree that the

services of the insurance companies have improved after allowing

private players in the insurance sector

Analysis

As per the survey out of 100 respondents, 80% of them agree that

the insurance sectors have improved a lot after allowing the private

players in the Insurance Sector and 20% of them do not agree.

GRAPH 15:

SHOWING THE RESPONDENTS WHO AGREE THAT THE SERVICES

HAVE IMPROVED AFTER ALLOWING PRIVATE PLAYERS IN

INSURANCE SECTOR

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Inference

Hence it can be inferred that maximum respondents agree services of the insurance companies have improved after allowing private players in the insurance sector

CLASSIFICATION OF THE REPONDENTS ON THE BASIS OF THE SERVICE THEY EXPECT FROM THE COMPANY

Particulars No. of Respondents Percentage%Easy Access ability to Deposit center

31 31%

Time to time premium collection

19 19%

Provision in case of Dues

13 13%

No. of Respondents

Yes

No

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Bonus &other schemes

37 37%

Total 100 100%


The above table is shows the classification of the respondents on

the basis of the service they expect from the company.

Analysis

As per the survey out of 100 respondents, 31% of them would like the

Easy Access Ability to deposit Center service, 19% of them like the Time

to time premium collection service, 13% of them like Provision in case

of Dues service and the rest 37% of them like Bonus & other Schemes

service.

GRAPH 17:

CLASSIFICATION OF THE REPONDENTS ON THE BASIS OF THE SERVICE THEY EXPECT FROM THE COMPANY

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Inference

Hence it can be inferred that majority respondents like the Bonus and other schemes

service.

Summary of Findings and Conclusion

Findings

Majority respondents are between age group of 24-35 years On the basis of Sex the majority of the Respondents are Male.

No. of Respondents

Easy Access ability to Deposit center

Time to time premium collection

Provision in case of Dues

Bonus &other schemes

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71

On the basis of Occupation majority of the Respondents are employed.

Maximum respondents agree that it is essential to have ULIPs.Maximum respondents are ULIPsMaximum respondents are satisfied with their current company.Maximum respondents are insured in ULIPs Plan.Majority of the respondents are favored Insurance Company is LIC.Majority respondents became aware of ARLI through Direct Selling

Agents.Maximum respondents are interested in theULIPs Products offered

by ARLI.

Majority respondents concern is Tax Benefit while taking the ULIPs.

Majority respondents have invested in LIC.Majority respondents are only satisfied towards the Return

associated with their policy in ARLI.

Majority respondents want the company to work on Transparency.Maximum respondents agree services of the insurance companies

have improved after allowing private players in the insurance

sector.

Majority respondents like the Bonus and other schemes service.Majority of the respondents have rated good for the services given

by ARLI

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72

Majority of the respondents have found a great difference in Tax Planning which is better in ARLI.

Majority of the respondents feel that ARLI provides value for their money.

Majority of the respondents say they will purchase policies from ARLI in future.

CONCLUSION

Our exhaustive research in the field of ULIPs threw up some interesting

trends which can be seen in the above analysis. A general impression

that we gathered during Data collection was the immense awareness

and knowledge among people about various companies and their

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.

People in general have been impression 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 its impact now.

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73

Another heartening trend was in terms of people 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 such

purposes and it shows how insurance companies have been successful

to attract public money in recent times.

The general satisfaction levels among public with regards to policy and

agents still requires improvement. But therein lies the opportunity for a

relative new comer like AEGON RELIGARE Life Insurance Company Ltd.

LIC has never been known for prompt service or customer oriented

methods and AEGON RELIGARE life insurance can build on these

factors.

DA is also playing very comprehensive role by regulating norms

mandating to private players in this sector, that increases the

confidence level of the customers to the private players.

SUGGESTIONS /RECOMENDATIONS

1) As the people think that insurance is a tool to protect their family

& tax saving device. They are aware of the fact & realizing its

importance. The company should try to expand & build up its

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infrastructure because there is a large potential for insurance in

India.

2) There is scope to sale insurance policy by concentrating on age

group 28-40 years here potential of Customer is there (Example.

Software Professional, BPO employees, and Professionals)

3) As per the survey the major respondents are males, it is advisable

to retain them and also check their further requirements to

retain them for a longer period.

4) Since AEGON RELIGARE 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.

5) Protection Plan or Savings can be sold well by concentrating on

age group of 35-45 years. (Example. Government Employees and

Businessman)

6) As per the survey the major respondents are the Self employed

so the company should try to convince them to invest in the

Policies as per their basis Like Savings plan for the Pension,

Investment Plans for the Businessman, Retirement plan for the

Government employees, etc.

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7) As major respondents think to have Life Insurance policy is very

essential there is a lot of scope for Insurance Company.

8) As major of the respondents are insured, it is necessary to adopt

any good marketing strategies and also provide them the details

of various policies, Return on Investment etc. available in ARLI, so

that the respondents would might get insured in the company in

future.

9) ARLI should introduce attractive policies & also attractive bonus

on policies to attract more potential customers.

10)Majority of the respondents favorite company is LIC, as the

Company provides high returns as well as give maximum

guaranty on their investments and it is a Government oriented

Company so there will be maximum no loss, people think in

private companies there is no guaranty that their investment will

be safe, so the ARLI people should give guarantee for their

investments and the investments should be used in a particular

field or area in which there will be maximum no loss & as well as

gain trust of the respondents but providing different schemes,

incentives etc., and also give good returns so that the

respondents get diverted from LIC to ARLI.

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11)There is a need for better promotion for the investment products

and services. The company should advertise its products through

television because it will reach to the masses.

12)Many of the respondents cant say whether they want to buy the

products offered by ARLI or not, so the company should provide

these respondents the complete details of the products through

their agents, etc. so that the respondents understand the benefit

of the products provided and takes the pleasure of buying them.

13)ARLI should try to build trust among the public by making people

aware of their investment is safe, high return on vestment, tax

benefits.

14)Maximum respondents are satisfied with the return provided by

ARLI, the company should now concentrate on what basis the

some of the customers who are not satisfied

15)As per the want of the customer, the company should provide

more returns.

16)The Government employees are very lenient in their work, after

introducing he private companies in the insurance sector ,the

delay in service provided by the Government Companies, the

customer would shift to private as they are always Punctual and

strict in providing their service

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Ex: BSNL broadband people do not provide service on time when

needed but the Airtel people provide the service as soon as it

required with no delay.

17)Approx 36% of respondents differ with their previous insurance

provider, they feel that ARLI is providing good Return for their

investment, so ARLI if possible try to provide more Diversified

return customer.

18)The ARLI should improve Effective Service as well as Good

Returns.

19)Respondents are willing to purchase ARLI Insurance policies in

future; this benefits ARLI as more potential customer in future.

Unit Link Insurance Plans Mba Project

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