ACKNOWLEDGEMENT Behind every successful venture, there is some hand .

I pay my all regard to all those people who are directly or indirectly with me for the encouragement and because of their immense help I could complete my project successfully. In my prior list, I would like to express my profound sense of gratitude to the authorities of AEGON RELIGARE LIFE INSURANCE CO.LTD.Especially Mr. ASHOK JOSHI (Branch Manager) for providing me the platform and track for the purpose. I my prior list, I would like to express my profound sense of gratitude to the authorities of INSTITUTE OF MANAGEMENT STUDIES BIKANER especially to whop is give me a better efforts ,Mess Priyanka Greg (Project Head) for providing me better guidance

With a deep sense of reverence, I would like to express my whole hearted thanks and obligation to my family specially my parents who have always been a source of inspiration for me. Their everlasting cooperation, smiling affection inspired me to rise up to what I am today. Last but not the list, I would offer my special thanks to all of the people for providing me their precious time in fulfilling the questionnaire as a primary data.

Shobha charan
Name of the Students

CONTENTS
1. Introduction to the Industry 2. Introduction to the Organization 3. Research Methodology 3.1 Title of the Study 3.2 Duration of the Project 3.3 Objective of Study 3.4 Type of Research 3.5 Sample Size and method of selecting sample 3.6Limitation of Study 4. Analysis 5. SWOT 6. Conclusion 7. Suggestions 8. Bibliography

ABSTRACT Its my privilege to get an opportunity to do my summer training from a well renowned Company i.e. AEGON Religare Life Insurance Co.Ltd. In earlier a number of queries keeping in my mind I said yes to myself as well as to this company that I will work with full of my zeal and zest. I started my odyssey of Summer Internship on project LIFE INSURANCE under the Project head Mr. ASHOK JOSHI B&DMand my faculty guide Mess. Priyanka Grag the feeling of wandering over the road in a deadly scorching sun during the summer training was making me morbid. When I met Mr. ASHOK JOSHI (B&DM), he made me understand about my project. I started working on my Summer Internship with fill of enthusiasm being fully fledged. I was given some sales consultant and then I had to collect the data bases of their customers to get the view about AEGON Religare products and satisfaction level about AEGON Religare from them. Then I had to give a conclusion, followed by a suggestion on it. It was really a nice experience working with AEGON Religare. I felt a learning experience while doing market research and satisfaction level about AEGON Religare. All my formidable fear vanished away and I am a waiting for my corporate life.

INSURANCE MEANING OF INSURANCE

Insurance may be described as a social device to reduce or eliminate risk of loss to life and property. Insurance is a collective bearing of risk. Insurance is a financial device to spread the risks and losses of few people among a large number of people, as people prefer small fixed liability instead of big uncertain and changing liability. Insurance can be defined as a legal contract between two parties whereby one party called insurer undertakes to pay a fixed amount of money on the happening of a particular event, which may be certain or uncertain. The other party called insured pays in exchange a fixed sum known as premium Insurance is desired to safeguard oneself and ones family against possible losses on account of risks and perils. It provides financial compensation for the losses suffered due to the happening of any unforeseen events

IMPORTANCE OF INSURANCE
Insurance constitutes one of the major segments of the financial market. Insurance services play predominant role in the process of financial intermediary. Today insurance industry is one of the most growing sectors in India. There is lot of potential in the Indian Insurance Industry.

There are many issues, which require study. The scope of the study of Insurance industry of India would be very great as there are ongoing Developments in the industry after the opening of the sector.

The major issue right now is the hike in FDI (Foreign Direct Investment) Limit from 26% to 49% in the insurance sector. Government may in near Future allows 49% FDI in Insurance. This would lead to more capital inflow by foreign partners.

Another major issue is the effects on LIC after the entry of private players in the market. Though market share of LIC has been affected, it has improved in terms of efficiency. There are number of other hot topics like penetration of Health Insurance, Rural marketing of insurance, new distribution channels, new product, insurance brokers regulation, incentive scheme of development officers of LIC etc. So it offers lot of scope for studying the insurance industry.

Right now the insurance industry has great opportunities in a country like India or China which huge population. Also the penetration of insurance in India is very low in both life and non-life segment so there is lot potential to be tapped. Before starting the discussion on insurance industry and related issues, we have to start with the basics of insurance. So first we understand what is insurance? How the word insurance is different from the word Assurance? etc.

DIFFERENCE BEETWEN INSURANCE AND ASSURANCE

Assurance is older in history and it was used to describe all types of insurances. From 1826, the term assurance came to be used only for the risks covered by life insurance and the term insurance was exclusively used to denote the risks covered by marine, fire, etc. The word assurance indicated certainty. In life insurance, there is an assurance from the insurance company to make payment under the policy either on the maturity or at earlier death. On the other hand the word insurance was used to denote indemnity type of insurances where the insurance company was liable to pay only in case of the loss damage the property. The insured event was bound to happen sooner or later under assurance but the event insured against may or may not happen under insurance The principle of indemnity applies to insurance contracts(non-life) only. The scope of the word, insurance is wider

PRINCIPLES OF INSURANCE

An insurance contract is based on some basic principles of insurance. (1) Principle of Uberrima Fides or Principle of utmost good Faith It means maximum truth. Both the parties should disclose all material information regarding the subject matter of insurance. (2) Principle of indemnity This means that if the insured suffers a loss against which the policy has been made, he shall be fully indemnified only to the extent of loss. In other words, the insured is not entitled to make a profit on his loss. (3) Principle of subrogation This means the insurer has the right to stand in the place of the insured after settlement of claims in so far as the insureds right of recovery from an alternative source is involved. The insurer before the settlement of the claim may exercise the right. In other words, the insurer is entitled to recover from a negligent third party any loss payments made to the insured. The purposes of subrogation are to hold the negligent person responsible for the loss and prevent the insured from collecting twice for the same loss. The concept of Third Party Claims is based on the same principle. (4) Principle of causa proxima The cause of loss must be direct and an insured one in order to claim of Compensation . (5) Principle of insurable interest The assured must have insurance interest in the life or property insured. Insurable interest is that interest which considerably alters the position of the assured in the event of loss taking place and if the event does not take placed, he remains in the same old position.

HISTORY OF INSURANCE
The concept of insurance is believed to have emerged almost 4500 years ago in the ancient land of Babylonia where traders used to bear risk of the carvan by giving loans, which were later repaid with interest when the goods arrived safely. The concept of insurance as we know today took shape in 1688 at a place called Lloyds Coffee House in London where risk bearers used to meet to transact business. This coffee house became so popular that Lloyds became the one of the first modern insurance companies by the end of the eighteenth century. Marine insurance companies came into existence by the end of the eighteenth century. These companies were empowered to write fire and life insurance as well as marine. The Great Fire of London in 1966 caused huge loss of property and life. With a view to providing fire insurance facilities, Dr. Nicholas Barbon set up in 1967 the first fire insurance company known as the Fire office. The early history of insurance in India can be traced back to the Vedas. The Sanskrit term Yogakshema (meaning well being), the name of Life Insurance Corporation of Indias corporate headquarters is found in the Rig Veda. The Aryans practiced some form of community insurance around 1000 BC

. Life insurance in its modern form came to India from England in 1818. The Oriental Life Insurance Company was the first insurance company to be set up in India to help the widows of European community. The insurance companies, which came into existence between 1818 and 1869, treated Indian lives as subnormal and charged an extra premium of 15 to 20 per cent. The first Indian insurance company, the Bombay Mutual Life Assurance Society, came into existence in 1870 to cover Indian lives at normal rates. The Insurance Act, 1938, the first comprehensive legislation governing both ife and non-life branches of insurance were enacted to provide strict state control over insurance business. This amended insurance Act looked into investments, expenditure and management of these companies. By the mid- 1950s there were 154 Indian insurers, 16 foreign insurers, and 75 provident societies carrying on life insurance business in India. Insurance business flourished and so did scams, irregularities and dubious investment practices by scores of companies. As a result the government decided to nationalize the life assurance business in India. The Life Insurance Corporation of India (LIC) was set up in 1956. The nationalization of life insurance was followed by general insurance in 1972.

1. THE BUSINESS OF INSURANCE Insurance companies are called insures. They insures: bring together person with similar insurance interest (sharing the same risks) Collect the share and contribution (known as premium) from all of them; Pay out compensation (known as claim) to those who suffer .Insurance is divided into two parts. Life an Insurance:-life insurance included all risk related to the lives of human being and general insurance cover the other aspects

NON LIFE OF GENERAL INSURANCE:-General insurance have three classic fictions viz. fire (dealing with all fire related risks), marine (dealing with all related risks and ships) and miscellaneous (dealing with all theirs like liability, fidelity, motor, crop, personal accident, etc.). Personal accident and sickness insurance which are related to human. Beings, is classified as non India, but is classified as life: in any other countries. The premium is based on expectation of the losses that are based on information through the study of occurrences in the past and use of statically principals .there is an statistics, a law of large no.) Variation will be less as a percentage .therefore the greater the no. Of risks included in the pool; the better chances that the assumption regarding the probility of the risk occurring (on which premium calculation is based) will be realized in practice .hence, the greater the spread of the business, the better the expectations. The insurer holds the position of a trusty as is managing .the common fund, for and on behalf the community of policy holder .it has to make certain that none is allowed to take unfair advantage of the arrangement .that means the arrangement of the insurance Business require care to prevent entry of individual to he group ,whose risks are not similar as well paying claims on losses that are not accidental. The amount decision to allow entry is known as the processes of underwriting of risks .underwriting includes Determining the risks i.e. to evaluate how much risks exposure involved .the premium that is changed is dependent on the determination of risk involve.

2. INSURANCE OF ECONOMIC DEVELOPMENT Investment are made out of saving and they are necessary for furthering economic development .the life insurance Company is a quit important in mobilizing saving of people, especially from the middle and lower income groups and these saving are Channelled into investment for economic growth. Most of the life insurance companies have large fund that are accumulated through the payment of small amount of premium of individual and these fund further the economic development of the countries in which they do business These funds are collected and held in trust for the benefits of the policy holder .the management of the life insurance company have to remember this aspect and take decision keeping in mind the benefits of the community. Business and trade also benefits through insurance .without insurance ,trade and commerce is expose to perils and it will find it difficult to face the impact of such events

3 ADVANTAGES It is incorrect to say that life insurance is investment or means savings .the saving and investment option are deposits in the banks, in national saving certificate in mutual funds And all o0ther savings certificates, in mutual funds and all other saving instrumental .money invested in buying share and stocks are at risks of being lost in the fluctuation of The stock market .assuming there is no loss, the money available at any time is the amount invested plus appreciation .in life insurance the fund available better is not the total of saving all ready period (premium paid) ,but the amount one wishes to have at the end of saving period according to his choice .hence life insurance cannot be substituted as there are no other scheme that proved this kind benefits.

Life insurance has the following advantage s in comparison to other form of saving .settlement is easy in case of death .facility of nomination and assignment makes the collection of money by the heirs quicker .now some bank accounts provide facility of nomination .creditor can be protected against attachment by courts but cannot claim the life insurance moneys. there are tax benefits in income tax and n capital gains .a life insurance policy is property an can be transferred or mortgaged and loans can be raged against the policy as market ability are better .

4. INSURANCE INDUSTRY: CLASSIFICATION

INSURANCE

LIFE INSURANCE

GENERAL INSURANCE

Motor Vehicle

Fire Insurance

Marine Insurance

Mediclaim

5. INSURANCE IN INDIA The Britishers opened general insurance in India around the year 1700. The first company, known as the Sun Insurance Office Ltd. was set up in Calcutta in the year 1710. Insurance companies like Bombay Insurance Company Ltd was established In 1793. In 1818 it was conceived as a means to provide for English Widows. The Bombay Mutual Life Insurance Society started its business in 1870. It was the first company to charge same premium for both Indian and non-Indian Lives. The Oriental Assurance Company was established in 1880. Till the end of nineteenth century insurance business was almost entirely in the hands of overseas companies. Insurance regulation formally began in India with the passing of the Life Insurance Companies Act of 1912 and the provident fund Act of 1912. Several frauds during 20's and 30's sullied insurance business in India. By 1938 there were 176 insurance companies. The first comprehensive legislation was introduced with the Insurance Act of 1938 that provided strict State Control over insurance business. The insurance business grew at a faster pace after independence. The Government of India in 1956, brought together over 240 private life insurers And provident societies under one nationalized monopoly corporation and Life Insurance Corporation (LIC) were born

ABOUT COMPANY

AEGON RELIGARE LIFE INSURANCE COMPANY AEGON, an international life insurance, pension and investment company, Religare, a global financial services group and Bennett, Coleman & company, Indias largest media House, have come together to launch AEGON Religare Life Insurance Company Limited (ARLI). This ve venture is dedicated to build a profitable customer-centric business with Scale, providing a work environment that fosters excellence and innovation. This joint venture will balance a local approach with the power of an expanding global operation ARLI launched its pan-India operations in July, 2008 following a multichannel distribution strategy with a vision to help people plan their life better. The fulfilment of this vision is based upon having a complete product suite, providing customised advice and enhancing the overall customer experience through superior service. ARLI has launched a suite of products that are focused on providing the customer with the means to meeting their long-term financial goals. At the same time product development has been founded on the tenet of providing the customer with great value. ARLI products such as AEGON Religare item Plan and AEGON Religare Invest Maximise Plan have been ranked among the best in terms of value and have attracted Many external accolades

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 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, Religare serves over a million clients, including corporate and institutions, high net Worth families and individuals, and retail investors. REL hold 44% equity in ARLI.

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, Film fare, Grazier, Top Gear, Radio Mirchi, Zoom, Times Now, Times Music, , Private Treaties and 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 30% equity in ARLI.

STRONG PARENTAGE

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 core customers worldwide. More than 31,500 employees worldwide. 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 The Opportunity Population of India -103 cores (in 2008) 78% of households are aware of insurance products Growth in no. of policies from 2006 -2007 was 149% despite such growth 70% of population is still under-insured Insurance ownership is as low as 24% (Source-the survey by NCEAR on How India earns, spends and saves, Max NCEAR India financial protection survey)

COMPANY PRESENCE NORTH Delhi-Zone Office Amritsar, Chandigarh, Dehradun, Delhi- east of Kailas, Delhipitampura, Faridabad, Gorgon, Jaipur, Bikaner Jalandhar, Ludhiana, Noida, Panipat EAST Kolkata-Zone Office Bhubaneswar, Guwahati, Kanpur, Kolkata, Lucknow, Raipur, Ranchi, Varanasi, Jamshedpur SOUTH Bangalore Zone Office Bangalore Direct, Chennai, Cochin, Coimbatore, Hubli, Hyderabad, Mangalore, Trissur, Trivandrum, Vizag, Salem WEST Mumbai- Zone Office Ahmadabad, Baroda, Bhopal, Indore-Belapur in Mumbai Dadar Mumbai-Direct, Nagpur, Nasik, Pune, Pune-Direct, Rajkot, Surat, Panjim. 53 Offices in 43 Cities across 16 States (As on September 2013)

COMPANY PRODUCT LIFE INSURANCE PLANS AEGON Religare Life Insurance offers insurance and pension plans specifically designed to help you plan your life better. Select a plan based on your need protection, saving, Child or retirement. Protection Plans Protection plans are Term Plans which provide only life cover. These plans can help you get adequately covered and secure your family financially in case of unfortunate event. These are low cost life insurance plans ULIPs Unit Linked Insurance Plans or ULIPs as they are commonly called are a form of Savings Plans that help you save and grow your money. ULIPs are a category of goal-based financial solutions that combine the safety of life insurance protection with wealth creation opportunities Child Plans AEGON Religare Child Plans are life insurance plans that can help you save for your childs future goals. This plan comes with a Waiver of premium feature, which guarantees to waive all future premiums in event of your demise, and ensures that your child receives full sum assured immediately and 100% of fund value on maturity of policy. Retirement Plans The rising inflation has put the fear of the unseen in every working persons life. Today, more than ever, it is vital that you save for the golden years post retirement so that you can maintain your lifestyle as today

SALES STRATEGY AND IMPLEMENTATION 1) Emphasize service and ongoing support. We must avoid selling only one policy at the lowest price for each customer and concentration account selling which greatly enhances client retention. 2) Build an Insurance Partnership. The customer does not want to shop every year for a new broker. Concentrate on building a long term relationship with our customers and make the client and our staff appreciate the value of a long-term relationship.

3) Focus on target markets. We must focus on personal and business customers that we identify and select to insure, instead of allowing potential customers to choose us, which could result in our brokerage attracting problem clients from other brokers . MARKETING STRATEGY 1) Emphasize service and support. 2) Build a partnership business based on account selling. 3) Focus on senior, claims-free personal lines business and the profitable, well-run, small family business. 4) Target small, non-franchise business that does not have access to group insurance plans. 5) Investigate acquiring other brokerages in our area.

PROMOTION STRATEGY

We have depended in the past on a small advertisement in our local newspaper, listings in the Yellow Pages, and word of mouth. We must begin to investigate alternate ways to put our name in front of the public. 1) All advertising has to emphasize our differentiation point rather than price. We will be developing a "Now what do I do?" message to emphasize the need for dealing with Acme's insurance professionals so that in the event a loss occurs, you know you have the proper protection. 2) We must sell the company, not the product. In spite of some companies' efforts to minimize the importance of the broker, our clients still identify with the broker, not the insurance company. 3) We must improve and increase our contacts with our clients. All clients should be contacted before renewal to ensure covers are current and adequate. Also, new insurance should be solicited. We are investigating the production of a company newsletter or use of the I.B.A.O. newsletter which is distributed on a bi-annual basis. 4) We have put our email address in our newspaper advertising, but we must be careful about attracting clients from out of the area who may be difficult to service and properly inspect. 5) Make contacts and support senior citizen groups and cottage associations. Identify sports and hobby groups that involve seniors and cottagers.

DISTRIBUTION STRATEGY

1) Select Seniors We will give special attention to this market in our advertising. We will make a concerted effort to support and sponsor seniors programs in our area. We will seek out Cottage associations and offer support and advice to attract new senior clients who are recently retired or about to in the near future . 2) Insurance Partners We will include inserts in renewal, endorsements, and correspondence stressing the importance of the insured taking an active interest and responsibility for trying to control the severity and number of claims. Our staff should take every opportunity, when discussing insurance with a client, to emphasize the consequences of multiple claims. 3) Business Partners Again we should encourage insureds to take responsibility for controlling claims in partnership with their broker by installing alarm systems and continuing to maintain and upgrade their property. We should stress the benefit that good loss ratios help to control rates and ensure markets that want to write their business.

POSITIONING STATEMENT Our target market is Small-town District. The ideal client is claims-free aged between 45 - 75 who owns his own home and car and is debt free. Has exhibited stable family patterns and is known and respected in the community. A similar profile should be used for commercial prospects with emphasis placed on the Well-run, profitable business that has that has exhibited good claims experience. PRICING STRATEGY Our customers are especially sensitive to value. We must ensure that our price and service are perceived to be good value to our client. Our markets must offer several payment options to our clients that are convenient to the client, not just to the company. Example - payment on insured's preferred day of month, not on the company's, and accepting payment by credit or debit card. Many insureds are on a fixed income and receive their income on a set day of each month or a pay check on a particular day. We encourage our companies to "Target Market." Many of our companies are now focusing on what they have perceived to be profitable niche markets, where they can Offer a competitive product with little, if any, competition. We are seeing our commercial markets now moving toward basic coverage and limiting the "bells and whistles," all-risk products available to only those clients who have modern, well-managed, profitable, lowrisk operations. This should help stabilize pricing and, even more important, ensure that there is an insurance market available for most risks. Continued insistence by the industry on better protection, i.e. fire and burglar alarms, upgrading of buildings, etc., have started to lower loss ratios. Many of the larger insurance markets have increased minimum premiums to $1,000 for any commercial package policy. Our Lloyds market should be able to accommodate these customers with a minimum premium of approximately $600.

SALES STRATEGY We want to emphasize the benefit of dealing with professionals who live and work in our client's area. We know their needs and their problems and we have a local reputation to protect, unlike an out-of-town market. If the out-of-town broker fails to provide proper cover or advice, they lose one client. We could stand to lose many if the public perceives a professional failure on our part. Competitive prices for our identified target markets. Discounts of up to 25% for claims free seniors who renew their home insurance with us. Careful inspection and the judicious use of deductibles and warranties for insureds using Wood stoves should help alleviate company concerns about solid fuel heating devices. Competitive pricing is not an important factor to attract business because competition is very limited for primary wood heat houses in our area. This may provide a chance to pick up all of the insured's business because, in many instances, they contact us after being told by their previous broker that, in spite of their claims-free status, the broker doesn't want their house insurance. Business partners provide us the opportunity to sell lower-priced, basic insurance Coverage to our client. Many clients have expressed interest in retaining part or all of the insurance risk, especially for burglary. They feel that if they have installed central alarms and bars, they can take the chance of self insurance. Sales Programs We are investigating sales incentives for our producers. They must encourage profitable new business and have a retention component. Presently, our producers receive $10 for every new policy written in our office, with the exception of recreational vehicles. exhibited good claims experience.

INSURANCE BUSINESS PLAN

By focusing on its strengths, its present client base, and new value priced products in the next year, AEGON Religare plans to increase gross sales by 10% and profit by 15%. Our Keys to Success and critical factors for the next year are, in order of importance: Identify "Target Markets." Institute our Property inspection program. Begin our "Insurance Partners" program. Develop a profitable property program. Provide small businesses with an affordable basic business package. AEGON religare has been profitable, but recently we have had declining market share and this must be addressed. Therefore our goals are: To re-establish AEGON religare as the market leader in quality and value-priced insurance products in Small-town District. Establish good working relationships with our present insurance markets by meeting with their decision makers and plotting a mutual plan for success. Get commitments for support and products that we can market in our trading area starting April 1st of Year 1. Investigate new markets that meet our marketing criteria by a) committing to small rural brokerage; b) Providing products suitable to our economic and social Climate; c) Plans for the upload and download of insurance policies. Provide sales incentives to staff to meet sales goals of 10%. Complete inspection of all Pilot homeowners within one month before renewal date. Formulate plans to acquire another brokerage

AEGON religare is dedicated to providing insurance products that provide quality protection with value pricing. We wish to establish a successful partnership with our clients, our staff members, and our insurance companies, that respect the interests and goals of each party. Success will be measured by our clients choosing us because of their belief in our ability to meet or exceed their expectations of price, service, and expertise. In order to implement our strategic goals, we will focus on developing the following tools. 1) Knowledgeable, friendly staff that can empathize with our consumers needs and circumstances, especially in handling a loss. 2) Policies that meet or exceed the expectations of our clients, and that are affordable, available, and understandable. 3) Policies and endorsements delivered on time with minimal errors. 4) A commitment to an annual insurance review for all of our clients. A phone call is more than any direct mass marketer offers. We believe personal contact and service is the cornerstone of our success.

AEGON religare primarily markets and services Personal Lines Insurance. Its customers are mostly rural, lower income families or long time resident senior citizens who demand value priced insurance premiums in keeping with their lower and fixed incomes We also provide insurance to small business, mostly family-run seasonal operations primarily focused on the tourist trade.

AEGON religare is a privately incorporated company in the Small town district and is licensed to transact both Life and General Insurance. The shares are held equally by John Smith and Peter Smith. In Next town, we operate from an 800 square foot, one-story brick veneer building overlooking Lake Small, which again is owned by the principals of our firm. The office is strategically located across from the Post Office. We have stressed to our insureds the importance of good communication between the broker and client to insure proper coverage is in place. We have noticed as our clients Become better informed about insurance that there has been a tremendous increase in clients wishing in-depth discussions about their policy coverage and how they can get the most value for their insurance dollar AEGON strength lies in the quality and depth of our products and staff. Our offices, unlike our competition, are open six days a week. Because of our larger staff, we are able to service our clients even when a client's broker is busy or out of the office on inspections. Companys staffs have specialists in commercial insurance that can properly service underwrite local business. We also have some quality commercial markets unavailable to our competition

The past few years have seen tremendous upheaval in the insurance industry. The number of players has decreased in both the broker and company communities. The recession has curtailed insureds from properly maintaining their homes and automobiles; andinsurance fraud has become a major issue for the entire insurance industry.

Brokers are concerned that in spite of commission reductions, quotas, contract cancellations, and refusal to write new auto business by some markets, they now may find themselves in competition with some of the traditional broker distribution companies that are setting up direct marketing facilities and branches. The banks now have announced they will open stand alone insurance offices to retail insurance

In spite of the above, we believe that the independent broker will survive. We are more automated than most service industries. We are close to the customer, regardless of some insurance companies' attempts to sever the traditional broker-client relationship. Our clients, in most cases, still do not care or know which company we place them with. They trust our judgement in selecting the proper coverage and company to place them in. We have depended in the past on a small advertisement in our local newspaper, listings in the Yellow Pages, and word of mouth. However with the changes in the market today, we must begin to investigate alternate ways to put our name in front of the public. We have set out several criteria for our marketing campaign that include"

All advertising has to emphasize our differentiation point rather than price. We must sell the company, not the product. In spite of some companies' efforts to minimize the importance of the broker, our clients still identify with the broker, not the insurance company. We must improve and increase our contacts with our clients. Make contacts and support senior citizen groups and cottage associations.

Based on these changes in our goals, outlook, and company culture, we anticipate that we will be able to increase revenues substantially by year 3 of the plan and increase net profit handsomely. The company does not anticipate any cash flow problems.

1 MISSION

AEGON religare is dedicated to providing insurance products that provide quality protection with value pricing. We wish to establish a successful partnership with our clients, our staff members, and our insurance companies, that respect the interests and goals of each party.

Success will be measured by our clients choosing us because of their belief in our ability to meet or exceed their expectations of price, service, and expertise.

2 OBJECTIVES

1. To re-establish AEGON religare. as the market leader in quality and value-priced insurance products in Small-town District. 2. Establish good working relationships with our present insurance markets by meeting with their decision makers and plotting a mutual plan for success. Get commitments for support and products that we can market in our trading area starting April 1st of Year

3. Investigating new markets that meet our marketing criteria by a) Committing to small rural brokerage; b) Providing products suitable to our economic and social Climate; and c) Plans for the upload and download of insurance policies.

4. Provide sales incentives to staff to meet sales goals of 10% 5. Complete inspection of all Pilot homeowners within one month before renewal date.

6 Formulate plans to acquire another brokerage

KEYS TO SUCCESS We believe the keys to success in a small town insurance business are: 1. Knowledgeable, friendly staff that can empathize with our consumers needs and circumstances, especially in handling a loss. 2. Policies that meet or exceed the expectations of our clients, and that are affordable, available, and understandable. 3. Policies and endorsements delivered on time with minimal errors. 4. A commitment to an annual insurance review for all of our clients. A phone call is more than any direct mass marketer offers. We believe personal contact and service is the cornerstone of our success.

SERVICES

AEGON religare is committed to providing professional sales and service for its insurance customers. We have established what we consider to be an excellent reputation in our area, and are the largest multi-line insurance broker in our trading area, and are the largest multiline insurance broker in our trading area Recent demographic studies in our area reveal a total year-round population of approximately 13,000, which rises in the summer to approximately 25,000. We have a relatively high number of seniors and many younger, newly-formed families dependent on government assistance living mostly in a rural, unserviced, thinly populated area. This makes it costly to service our clients. Long distance phone bills represent our second largest expense (our two offices each have their own toll free phone numbers) and the cost of visiting our insureds to do home inspections is time consuming due to the large Area we service. We are targeting seniors which have proven to be a profitable, stable market for our brokerage in spite of our present difficult economy. We are fortunate that we have not yet had the intrusion to a large degree of mass merchandising programs like "Silver Power." Smaller brokers have made inroads into our traditional rural business, with low cost farm markets that sell home and auto insurance. We understand that some of these markets are in a poor financial position and may cease to be a factor in the future

1. MARKET SEGMENTATION Our market consists of senior citizens, lower-income young families (many of who are on social assistance) and the small, family-run business (many of which are seasonal and based on the tourist trade). There are a few industrial risks and those that are located here are branches of larger industries which obtain their insurance through large brokers in Bigtown. Our target market is the seniors, family business, and middle income earners in our area.

Statistics show that over 42% of our permanent population is above 45 years of age. The average family income is approximately $27,000 and the unemployment rate 9%. We are cautious about encouraging business from lower income prospects since they tend to have wood heat, homes in poor repair, and many attempt to install and repair their own plumbing, wiring, and heating systems. Another market of concern is out-of-area clients who may have been payment or claim problems to local brokers and attempt to find a distant broker to provide coverage instead of making the necessary adjustments in their own lifestyle to prevent claims Clients who have moved repeatedly can be difficult to obtain proper underwriting information and past claims experience on, and we feel our staffs is to be commended for their ability to properly assess if a client should be placed to our standard markets or would be better served by a specialty company

2. SERVICE BUSINESS ANALYSIS The past few years have seen tremendous upheaval in the insurance industry. The number of players has decreased in both the broker and company communities. The automobile product has, in the mind of the public, become unaffordable, unavailable, and impossible to understand. The recession has curtailed insureds from properly maintaining their homes and automobiles, and to exacerbate the situation, many clients have turned to wood heat and started doing their own repairs and maintenance which may have increased the number and severity of claims. Insurance fraud has become a major issue For the entire insurance industry.

Our traditional close relationship with our companies has been strained. Brokers are concerned that in spite of commission reductions, quotas, contract cancellations, and refusal to write new auto business by some markets, they now may find themselves in competition with some of the traditional broker distribution companies that are setting up direct marketing facilities and branches. The banks, even though thwarted by the federal government in its last budget to retail insurance from their premises, will continue pressure on the government and now have announced they will open stand alone insurance offices to retail insurance.

In spite of the above, we believe that the independent broker will survive. We are more automated than most service industries. We are close to the customer, regardless of some insurance companies' attempts to sever the traditional broker-client relationship. Our clients, in most cases, still do not care or know which company we place them with. They trust our judgement in selecting the proper coverage and company to place them in.

The new federal government is close to adopting a new automobile contract that hopefully will make it affordable, understandable, and available to our clients. A profitable automobile product will entice the companies to aggressively seek new sales and more brokers will see companies offering contracts.

Upload/download capabilities are in many brokers offices, including our own. This will cut costs, improve efficiency and accuracy, and help us meet the competition from banks and direct writers. Companies that truly value and trust the broker distribution system will align themselves with professional brokers and grant more underwriting authority similar to Lloyds. 3. COMPETITION AND BUYING PATTERNS The main volume of income for our brokerage is generated by automobile premiums because they are relatively higher priced to insure than property, and because automobile insurance is mandatory in the region. As stated previously, our success is dependent on our staff and our companies convincing our clients and prospective clients that price, although important, is not the only criteria for the purchase of insurance. Our advertising stresses that we have two offices open six days a week with after-hours support and we have been an active, concerned, community involved, local business since 1938.

Still, price is very important and we must work with our markets to ensure that our insurance products are available and affordable to a large part of the market. It is the broker's job to ensure the client understands what he is buying, and if circumstances dictate a lowerpriced product, we must make our insured aware of the trade-off in coverage versus price.

4. DISTRIBUTING A SERVICE Our trading area is rural. Premiums are relatively low and therefore not subject to large brokerages or specialty direct writers mounting aggressive advertising campaigns to bring in business. There are few group plans providing insurance coverage with the exception of our teachers. Small-town has two independent brokers and a Co-Operators agent, Next town has two independent brokers, and Southdown has one. We have just started to see some move by locals to "Silver Power" and other specialty retailers who advertise on radio and television. The banks are still a future unknown

CUSTOMER SERVICE We at AEGON Religare life are committed to maintaining the highest level of customer service. Interacting with you via this website is an extension of this commitment. We have designed the Customer Service section keeping in mind all the information you may want to seek regarding procedures such as paying your premium various policy servicing options. Processing a claim and so on we have also provided relevant forms that can be downloaded easily for your use case do the write to us at In case you need any additional information or clarification and we will revert to you as soon as possible.

KNOWLEDGE CENTRE

Our knowledge centre is your personal resource for information that can help you understand the basic of insurance and help you make an informed decision about a policy. This section include details on insurance terms and concepts ,helps you analyze plans for your various needs and lends meaning to some of the insurance jargon that you encounter.

CHOSSING THE RIGHT PLAN Identifying the right plan basis your need is the first crucial step towards insurance planning .At AEGON religare we help you through this decision by identifying your various needs offering plans that are customized for you. You may also choose a plan for yourself by identifying the life stage you are at

ANALYSING NEED What is your need Protection:Need for a sound income protection in case of your unfortunate demise. Investment:Need t o insure long term real growth of your company Saving:Save for the milestones and protect your saving too. Pension:Need to save for a comfortable life post retirement. Once you have analyzed your needs as per above classification, you need to then ascertain important factors such as type of cover, insurance amount as per ones income, life stage and dependents. It is difficult to arrive at all these figures yourself. Our financial consultants can help you with all the analysis to offer a customized solution by doing a through need analysis

REASEARCH AND METHODOLOGY

Title of the Study The topic of the present survey is LIFE INSURANCE In AEGON RELIGARE LIFE INSURANCE

DURATION OF THE SURVE

Survey was started from 15th MAY 2013 and got completed in the last week of JUNE 2013

OBJECTIVES OF STUDY 1) To get some good market exposure by dealing with the prospects Face to face. 2) To know the perception of the consumer about life insurance. 4) To get a deep knowledge of the financial product like insurance. 5) To get some information about the market share of AEGON RELIGARE Life Insurance as compared to the giants like LIC and to know the Standing of the company in the market.

Type of Research

QUESTIONNAIRE Improve our ability to sell a financial product like life It is most common
instrument whether administered in person by phone or online questionnaires are very flexible. The form of each question is also important. Closed end question include all the possible answers and subjects matters choices among them. I have used open-end questions so that customers can write answer in their own words. I have also used closed-end questions, which provide answers that are easier to interpret and tabulate. I have taken care in the wording and ordering of questions. I have used simple, direct, unbiased wording questions, which are arranged in a logical order. I have asked personal questions at last so that respondent does not become defensive

Questionnaire of the customer I have made questionnaire consisting seventeen questions to get customers view about life insurance. I have asked personal questions at last so that they do not become defensive. I have tried to know their performance i.e. whether they want to invest, where they want to invest, up to what amount and since when.

SAMPLING METHOD AND SAMPLE SIZE

Introduction:- Any organization whether big or small, private or public need different types of information are to know its popularity. I have gathered secondary data and primary data and collected information from the combination of these two data. Secondary data: Secondary data consist of information that already exists somewhere, having been collected for another purpose. I have gathered secondary data from website of different operators, different magazines, newspapers and libraries. Primary data: -I have taken great care while collecting primary data to answer that it is relevant, accurate, current and unbiased. I have taken a sample of 50 people. I have visited them personally to get data. Sample size: I have taken sample size of 50 respondents. Because the population is too Large so it is difficult to survey

LIMITATIONS
We are a human hang, so there is some limitation of the human Hangs which is reflected in this research. The following are the 1) The sample size of 50 might not represent the perception of whole Population, as the sample size is too small for total population of Bikaner city. 2) The opinion expressed by the respondents may be biased. 3) The attitude of the research might be biased. 4) One of the most influencing and most critical limitations is that I limitation of this research study and this is my first study. I tried hard to come at conclusion, but there is lack of expertise. 5) Another limitation is that there is lack of time. If I give more time then studies will be more effective. There are some limitations of this study. But in spite of their limitation worked with the enthusiasm. And I tried to give the best results to the research of this report.

ANALYSIS OF QUESTIONNAIRE
Here I have formed a questionnaire to study why people go for life Insurance. What is peoples major motive behind investing in life insurance? Do they decide upon their own or they take guidance of an agent? What is Their perception about AEGON RELIGARE Life Insurance Company limited Questions:There are 7 questions in the questionnaire. Out of these 7 questions, 6 Questions are close ended and one question is an open ended one. Target Population:I had conducted this survey among 50 people, and the target group was a Mix of people from the society. I asked the questions to Doctors, Professionals, Professors, Advocates, Engineers, and general public Analysis:I have used pie charts, and some other statistical measures to analyze the Questions

Q.1 what is your main motive behind investing in life insurance? (a) Tax Benefit (b) Savings (c) Risk Cover (d) Return/Yield
MOTIVE NO 20

Tax Benefit Savings Risk Cover Return/Yield

TOTAL

5 23 2

50

There could be any motive of people behind investing in a life insurance policy. The main purpose of life insurance is the Risk cover of ones life. But some people consider different advantages of a life insurance policy. Some people consider Tax benefit as the main advantage of life insurance. Some believe that life insurance is an investment so they tend to invest in life insurance. While some people believe that it is a compulsory saving. Now lets see what all people say

TAX SAVING RISK COVERAGE RETURN/YIELD

Here we can see that majority of the people tend to invest in life insurance for the risk coverage. The next preferred option is Tax Saving. We founded from the discussion with public and some experts that those people with a low income tend to invest in life insurance to gain tax benefit Saving motive constitutes very small part of the total sample. Return comes last. But this is the general conclusion of 50 people. If we take a larger sample, We can get a different result. As the private players have launched ULIPs, more and more people are Turning towards these products so the Investment motive has been gaining Command. Also the number of those people who wish to invest for return is also increasing. According to a life insurance expert life insurance is for Protection first then for Savings and Tax benefits all those things.

Q.2 Rank the above motives according to your preference Motive of investment

MOTIVE OF THE INVESTMENT TAX PREFERENCE 1 2 3 4 21 19 8 2 3 11 25 11 24 16 7 3 1 4 10 35 SAVING RISK RETURN/YIELD COVERAGE

40 35 30 25 20 15 10 5 0 TAX SAVING RISK COVERANG RETURN/YIELD 1 2 3 4

We can see from the table and the graph that the number one motive of people about investing in life insurance is risk coverage, which is the main theme of life insurance followed by Tax benefit. The third position is of saving and fourth is Return. This shows that still people consider other financial tools more viable for return and life insurance is for Tax benefit and risk cover.

Q.3 how do you decide about investing in life insurance? (a) On my own (b) family decision (c) Employer decides (d) As per the guidance of agent This is a very crucial question as most of the people are not much familiar about different life insurance plans offered by different life insurance companies so people take help of the life insurance agent and as he guides understanding the needs of the individual, people would invest. Here one hazardous factor is the moral hazard. People tend to invest in life insurance plans to maintain relations though they are not in need of life insurance. Also sometimes it depends upon the convincing power of the agent

SOURCE On my own family decision

NO 29 7

Employer decides As per the guidance of agent

0 14

TOTAL

50

AGENT GUIDANCE 28% EMPLOYER DECIDES 0% ON MY OWN 58%

FAMILY DECISION 14%

Here we can see that majority people (58%) decides on their about investing In life insurance. 28% persons decides as per the guidance of the agent there is no contribution of employers in the decision of ones investment in life insurance. 14% people invest in life insurance as per the family decision

Q.4. which life insurance policy would you prefer to buy? (a) Term Assurance (b) Whole Life (c) Endowment (d)Combination of Whole Life and Endowment (d) ULIPS

This is another crucial question as there are number of products offered by life insurance companies. The products range from pure Term Assurance Plans to Unit Linked Insurance Plans, which are relatively new entrant in the Market

TYPES OF POLICY Term Assurance

NO 9

Whole Life

Endowment

and

Combination of Whole Life Endowment

19

ULIPS TOTAL

6 50

TERM ASSURANCE WHOLE LIFE ENDOWMENT COMBIND ULIPS

As it is evident from the chart and the table 38% people prefer combination OF Whole Life and Endowment product. It gives people double advantage. The person would get some amount at the end of the stipulated period; for Instance 20 years, and after that period the risk cover continues and the rest of the amount would be paid when the person dies.

Q.5 would you prefer AEGON RELIGARE Life Insurance or LIC for buying the life insurance policy? (a) AEGON RELIGARE Life Insurance (b) LIC

This is the most important question as it reflects the scope of the study. It is the main theme of this questionnaire prior to 2000 LIC was the only player in the life insurance market and it had the total market. So people had to go to LIC for buying life insurance policy. But after the entry of private players in 2000, some people have also turned to private life insurers. AEGON RELIGARE Life Insurance Company Limited is newly launched company. So it has fewer customers as compared to LIC. But the ULIP plans are sold more of life insurance as compared to LIC in todays environment. Now lets see what people say:

PARTICULAR AEGON RELIGARE Life Insurance

NO 15

LIC

35

T0TAL

50

AEGON RELIGARE LIC

As evident from the chart that 30% of people would prefer AEGON RELIGARE Life Insurance while 70% would prefer LIC

Personal Details: 1 Age (a) 18 to 30 (b) 31 to 50 (c) 51 to 65 Age 18 TO 30 31 TO 50 51 TO 65 TOTAL NO 5 30 15 50

18 TO 30 31 TO 50 51 TO 65

As evident from the chart that I have taken a sample of 50. Out of which 10% people are aged between 18 to 30, 60% people are aged between 31 to 50, and remaining 30% people are aged between 51 to 65.

2) Occupation (a) Service (b) Business (d) Profession (c) Housewife (e) Retired

Occupation Service Business Profession Housewife Retired TOTAL

NO 5 15 10 5 15 50

SERVICVE BUSINESS PROFESSION HOUSEWIFE RETIRED

As the evident from the chart that out of 50 respondents 10% are of service men, 30% are of business men, 20% are of professions, 10% are of housewives and remaining 30% are of retired.

3) Income (a) 50,000 to 1,00,000

(b) 1,00,000 to 5,00,000

(c) More than 5, 00,000

INCOME(per annum) 50,000 to 1,00,000 1,00,000 to 5,00,000 More than 5, 00,000 TOTAL

NO 10 25 15 50

Sales

50000 TO 100000 100000 TO 500000 MORE THA 500000

As the evident from the chart out of 50 respondents 20% are earning annually between 50,000 to 1,00,000, 50% are earning between 1,00,000 to 5,00,000 and 30% are earning more than 5,00,000.

4) Family members (a) 2 (b) 3 (c) 4 (d) More than 4

Family members

NO

2 3 4 More than 4 TOTAL

5 15 20 10 50

Sales

2 3 4 MORE THAN 4

As the evident from the chart out of 50 respondents 10% have 2 families Members, 30% have 3 family members, 40% have 4 family members and remaining 20% have more than 4 family members.

SWOT ANALYSIS STRENGTH:1. Financial expertise: as a joint venture of leading financial serviced groups. AEGON RELIGARE life insurance has the financial expertise required it manage the long term investment safely an efficiently of their customer. 2:-Range of solution : AEGON RELIGARE life has a range of individual an groups solution ,which can be easily customize to specific need .The company has design the group solution for their customer to offer complete flexibility combined with a loan charging structure WEAKNESS:A.R.L.I.C.LTD Standard life insurance is a company with conservative outlook .it believes in gradually moving up .the Company is not very aggressive OPPURTUNITY:According to MD and CE of AEGON RELIGARE Standard life 90 % to 10 % people of India are insured so the opportunities to immense. The target has been double and so the man power is also increased. THREAT:The competitor of the company are of the aggressive nature but AEGON RELIGARE standard life insurance is of conservative nature so if the competitor of the company continue doing aggressive nature selling the AEGON RELIGARE life insurance Co. will lose their target customers.

CONCULSION

After the deep study of insurance sector of India, I can tell that sector, which has most business opportunities perhaps in India.

this is the

Insurance industry is one of the fastest sectors in India. Insurance sector has been growing by 25% to 30% and it is expected to increase by 50% in coming 5 years. After the opening up of the insurance sector, it has become much competitive and insurance awareness among people has increased. As far as the comparison of AEGON RELIGARE Life Insurance and other players is concerned; there are both positive as well as negative impacts on both the sides. For AEGON RELIGARE Life Insurance, the negative aspect is that its market share is low. For private players the negative aspect is that they have to fight with the public sector giant which is established player with a high brand value. But the positive impact is that the life insurance awareness has Increased and the business of AEGON RELIGARE Life Insurance Has increased

SUGGESTIONS

The suggestion part of the project is significant for any kind of analysis. During my survey and beyond the survey, I noticed some of the fact, which I am reproducing here for the purpose.
AEGON religare Life Insurance should find out the factors for which the customers are purchasing their policies. This will help it in making appropriate message in advertisement so that that advertisement will much focused and targeted and may attract excellent candidates to serve the company. AEGON religare Life Insurance which prefer remote areas also for selling its policies must hire from to due to localize expertise. AEGON religare Life Insurance should ensure that the company is innovative and introduces new products to meet new customers needs and keeps on check with the competitors too. AEGON religare Life Insurance is a need of a proper orientation financial

consultant in term of various training, new product knowledge and all skill. AEGON religare Life Insurance considering the branch of Bikaner, AEGON RELIGARE product plan is more effective than the other insurance company. AEGON religare Life Insurance Company should arrange quterly meetings of its RM and customer. AEGON religare Life Insurance Company should ensure higher percentage of commission to Fcs

BIBLIOGRAPHY

# Research Methodology * By C. R. Kothari #Statistical Method *S.P.Gupta *S.N. Maheshwari #Analysis and Finding *By the primary data # About the company *By the secondary data http://www.buzzle.com/articles/control-strategies.html http://www.insurance world.com/enews0110.html http://money.livemint.com/IID93/F100305/AccountingPolicies/Comp any.aspx http://www.financialexpress.com/news/aegon-wins-national-awardforexcellence-in-cost-management/304571/ https://www.mckinseyquarterly.com/Managing_overhead_costs_1604 http://www.scrib.com/cost http://steel.nic.in/articles.htm http://www.indiainfoline.com/Markets/company/aegonreligareLtd/500113 http://www.aegonreligare.com/Perfomance%20budget%20(2011-12) Englishchap2.pdf

Questionnaire

Life Insurance

NAME: ___________________________________________

Q.1 what is your main motive behind investing in life insurance? (a) Tax Benefit (b) Savings (c) Risk Cover (d) Return/Yield

Q.2 Rank the above motives according to your preference

TAX PREFERENCE 1 2 3 4

SAVING

RISK RETURN/YIELD COVERAGE

Q.3 how do you decide about investing in life insurance? (a) On my own (b) Family decision (c) Employer decides (d) As per the guidance of agent

Q.4. which life insurance policy would you prefer to buy? (a) Term Assurance (b) Whole Life (c) Endowment (d) Combination of Whole Life and Endowment (e) Unit Linked

Q.5 would you prefer Reliance Life Insurance or LIC for buying the life insurance policy? (a) Reliance Life Insurance (b) LIC

PERSONAL DETAILS
1) Age (a) 18 to 30 (b) 31 to 50 (c) 51 to 65

2) Occupation (a) Service (b) Business (c) Profession (d) Housewife (e) Retired

3) Income (a) 50,000 to 1,00,000 (b) 1, 00,000 to 5, 00,000 (c) More than 5, 00,000

4) Family members (a) 2 (b) 3 (c) 4 (d) More than 4