A

SUMMER TRAINING REPORT ON

BAJAJ ALLIANZ
Jagadhri

KURUKSHETRA UNIVERSITY, KURUKSHETRA

IN THE PARTIAL FULFILLMENT FOR THE REQUIREMENT OF MASTER OF BUSINESS ADMINISTRATION DEGREE

Submitted to:

(SESSION 2004-2005)
Under Guidance Of :

Mr. Ashish Sharma (STM)

(Bajaj Allianz)

Submitted By: Tapas Dhiman M.B.A. (F) Univ. R. No.______

Maharaja Agrasen Institute of Management & Technology (MAIMT) (Approved by AICTE &Affiliated to Kurukshetra University, Kurukshetra) Jagadhri

CONTENTS
S. No. Title 1. INTRODUCTION TO LIFE INSURANCE WHY NEEDED 2. COMPANY PROFILE BAJAJ GROUP ALLIANZ GROUP BAJAJ ALLIANZ LIFE INSURANCE COMPANY LTD. 3. GENERAL PRODUCT PROFILE 4. OBJECTIVE OF THE STUDY 5. RESEARCH METHODOLOGY A. B. DATA RESEARCH DESIGN SCOPE OF STUDY OBJECTIVE OF STUDY COLLECTION DATA COLLECTION METHOD DATA COLLECTION TECHNIQUES DATA COLLECTION INSTRUMENTS

C. SAMPLING DESIGN SAMPLING UNIT SAMPLING SIZE SAMPLING TECHNIQUES 6. ANALYSIS AND INTERPRETATIONS 7. FINDINGS 8. SWOT Analysis 9. LIMITATIONS 10. 11. SUGGESTIONS CONCLUSION

ANNEXURE QUESTIONNAIRE BIBLIOGRAPHY

ACKNOWLEDGEMENT
Our experience at BAJAJ ALLIANZ was like a ride to another world. We were overwhelmed with the support and information provided to us by BAJAJ ALLIANZ. To start with, we would like to thank Mr. Sunny Goel, Sales Manager, BAJAJ ALLIANZ for his able and inspiring guidance throughout the course of this report has helped us to bring this work to its present form. I owe a great deal of gratitude and sincere thanks to

Mr. M. L. Bansal (Director) for helping us in every possible way and providing us crystal and critical approach to take right decisions at each phase of execution of project. Further, we would like to thank all the staff members of BAJAJ ALLIANZ, who provided us cooperation in collecting the data and requested the concerned authorities to extend their help for the completion of the project. The project was also enriched by their valuable suggestions.

Jabir Hasan MBA

PREFACE
PRACTICAL TRAINING IS FAR BETTER THAN ROOM TEACHING Practical training gives a feel of the actual difficulties faced during the work. As part of our summer training, we got an opportunity to work with BAJAJ ALLIANZ. Life Insurance is a mile stone in growth to the social life of the countrymen. For millions of Indias working families, may owning a home have a dream to buy a Insurance Policy to secure their and their children future. Our nations greatest opportunity now is the chance to build a better life for our people. Recognizing this, the insurance sector has now been regarded as a potent engine of economic growth. The government had outlined a substantive and detailed plan, seen first in the policy of insurance plans, to reach this goal. Many incentives announced in the Union Budget every year have helped to improve the affordability enormously over the past couple of years. All this has led to an enormous increase in the demand for Life Insurance and thus, in the banks/ institutions providing this finance. The present scenario has led to the steady evolution of especially Life Insurance with different return plans for different age group of people.

OBJECTIVE OF THE STUDY

To view the whole system of Bajaj Allianz Insurance terms of origin, growth and rationale. To explore various schemes offered by Bajaj Allianz.

in

To evaluate the operational efficiency of Bajaj Allianz in their products. To study qualities of Financial Consultant. Is the Consultant do the best to satisfy respondent. To study the most popular schemes of the Bajaj Allianz adopted by the respondents. Whether the respondent is aware of Bajaj Allianz and it Plans. Which is the most commonly accepted plan. What are the criteria of Respondent in respect to Start with a Plan. Is the respondent is satisfied with Company Plans.

BAJAJ GROUP
The Bajaj group is amongst the top 10 business houses in India. its footprint stretches over a wide range of industries, spanning automobiles (two-wheelers and three-wheelers), home appliances, lighting, iron and steel, insurance, travel and finance. The groups flagship company, Bajaj Auto, is ranked as the worlds fourth largest two and three-wheeler manufacturer and the Bajaj brand is well-known in over a dozen countries in Europe, Latin America, the US and Asia. The present Chairman and Managing Director of the group, Rahul Bajaj, took charge of the business in 1965. Under his leadership, the turnover of the Bajaj Auto the flagship company has gone up from Rs. 72 million to Rs. 46.16 billion (USD 936 million), its product portfolio has expanded from one to and the brand has found a global market.

MILESTONES
2004 January Bajaj unveils new brand identity, dons new symbol, logo and brandline 2003 October Pulsar DTS-I is launched. October 107, 115 Motorcycles sold in a month. 2001 November Bajan Auto launches its latest offering in the premium bike segment Pulsar. January The Eliminator is launched. 1999 Caliber motorcycle notches up 100,000 sales in record time of 12 months. Production commences at Chakan plan. 1997 The Kawasaki Bajaj Boxer and the RE diesel Autorickshaw are introduced. 1995 the Bajaj Super Excel is introduced while Bajaj celebrates its ten millionth vehicle. One million vehicles were produced and sold in this financial year. 1994 The Bajaj Classic is introduced. 1991 The Kawasaki Bajaj 4S Champion is introduced. 1990 The Bajaj Sunny is introduced.

GROUP COMPANIES
Bajaj Auto is the flagship of the Bajaj group of companies. The group comprises of 27 companies and was founded in the year 1926. The companies in the group are: Bajaj Auto Ltd. Mukand International Ltd. Mukand Ltd. Mukand Engineers Ltd. Bajaj Electricals Ltd. Mukand Global Finance Ltd. Bajaj Hindustan Ltd. Bachhraj Factories Pvt. Ltd. Maharashtra Scooters Ltd. Bajaj Consumer Care Ltd. Bajaj Auto Finance Ltd. Bajaj Auto Holdings Ltd. Hercules Hoists Ltd. Jamnalal Sons Pvt., Ltd. Bajaj Sevashram Pvt. Ltd. Bachhraj & Company Pvt. Ltd. Hind Lamps Ltd. Jeevan Ltd. Bajaj Ventures Ltd. The Hindustan Housing Co. Ltd. Bajaj International Pvt.Ltd. Baroda Industries Pvt. Ltd. Hind Musafir Agency Pvt. Ltd. Stainless India Ltd. Bajaj Allianz General Insurance Company Ltd. Bombay Forgings Ltd. Allianz Bajaj Life Insurance Company Ltd.

MANAGEMENT PROFILE
Rahul Bajaj Madhur Bajaj R.A. Jain D.S. Mehta Rajiv Bajaj Sanjiv Bajaj Ranjit Gupta N.H. Hingorani P.B. Menon R.L. Ravichandran Chairman and Managing Director Vice Chairman Executive Director Wholetime Director Joint Managing Director Executive Director Vice President (Insurance) Vice President (Materials) Vice President (Projects) Vice President (Business Development & Marketing) C.P. Tripathi J. Sridhar Vice President (Operations) Company Secretary

AWARDS
PRODUCT AWARD YEAR BY Bajaj Auto Bike Maker of the Year 2004 2004 ICICI Bank OVERDRIVE Awards 2004 Bajaj Pulsar DTS-I Bike of the Year 2004 2004 ICICI Bank OVERDRIVE Awards 2004 Bajaj Pulsar 180 DTS-I BBC World Wheels Viewers Choice Two Wheeler of Year 2003 2003 BBC World Wheels Award 2003 Bajaj Pulsar Bike of the Year 2003 ICICI Bank OVERDRIVE Awards 2003 Bajaj Eliminator Bike of the Year 2002 OVERDRIVE Awards Certificate of Merit 1995-96 Government of India, Ministry of Commerce SAFETY AWARD YEAR BY Meritorious Performance in Industrial safety for three consecutive years 2001 National Safety Council Certificate of Excellence 2001 National Safety Council

ALLIANZ GROUP
HISTORY OF ALLIANZ Documenting and researching its corporate history is part and parcel of the corporate culture of Allianz AG. The Allianz Center for Corporate History devotes itself to these tasks. As a frequently used information center, it has evolved into the companys living memory. ALLIANZ DURING THE NAZI ERA Allianz assumes responsibility for its own history. Thats why it has commissioned the research of its historical development during the Nazi period and how it handled victims life insurance policies. TIMELINE More than 100 years of eventful history: Allianzs most important development steps from the end of the 19 th through to the 21st century.

ALLIANZ GROUPS WORLD WIDE PRESENCE

1. Allianz is one of the leading global insurance companies. 2. Headquartered in Munich (Germany) established in 1890. 3. With over 700 subsidiaries and aprox. 119,000 employees worldwide. 4. Allianz global network extends to over 70 countries. Europe South and North Americas Africa Middle East Asia Pacific 5. Allianz shares are offered at the 5 leading international stock exchanges. Frankfurt London Paris Zurich New York

ALLIANZ GROUPS CUSTOMER SNAPSHOT

1. Serves approx. 60 Million Clients around the world. 2. Allianz provides some form of insurance coverage to almost half of the Fortune 500 Companies. 3. Testament of our worldwide presence, almost 70% of sales are generated outside Germany. 4. Core Business General Insurance Life Insurance Health Insurance Asset Management

BAJAJ ALLIANZ LIFE INSURANCE COMPANY

Bajaj Allianz Life Insurance Co. Ltd. company is a joint venture between Allianz AG and Bajaj Auto Limited. Characterized by global presence with a local focus and driven by customer orientation to establish high earnings potential and financial strength, Bajaj Allianz Life Insurance Co. Ltd. was incorporated on 12th March 2001. The company received the Insurance Regulatory and Development (IRDA) Certificate of Registration (R3) No. 116 on 3rd August 2001 to conduct Life Insurance business in India. ABOUT US Bajaj Allianz Life Insurance Co. Ltd. is a joint venture between two leading conglomerates Allianz AG, one of the worlds largest insurance companies, and Bajaj Auto, one of the biggest 2 and 3 wheeler manufacturers in the world. BAJAJ ALLIANZ LIFE INSURANCE Is the fastest growing private life insurance company in India Currently has over 3,00,000 satisfied customers Is backed by a network of 68 Customer Care Centers spanning 55 locations across the country. One of Indias leading private life insurance companies. IRDA CERTIFICATE Bajaj Allianz Life Insurance Co. Ltd. was granted renewal of IRDA Certification on February 10, 2003

SHARED VISION A household name in India teams up with a global canglomerate Bajaj Auto Ltd., the flagship company of the Rs. 8000 crore Bajaj group is the largest manufacturer of twowheelers and three-wheelers in India and one of the largest in the world. A household name in India, Bajaj Auto has a strong brand image & brand loyalty synonymous with quality & customer focus. With over 15,000 employee, the company is a Rs. 4000 crore auto giant, is the largest 2/3-wheeler manufacturer in India and the 4th largest in the world. As a promoter of Allianz Bajaj Life Insurance Co. Ltd., Bajaj Auto has the following to offer :Financial strength and stability to support the Insurance Business. A strong brand-equity A good market reputation as a world class organization. An extensive distribution network. Adequate experience of running a large organization. A 10 million strong base of retail customers using Bajaj products. Advanced Information Technology in extensive use. ALLIANZ GROUP Allianz Group is one of the worlds leading insures and financial services providers. Founded in 1890 in Berlin, Allianz is now present in over 70 countries with almost 174,000 employees. At

the top of the international group is the holding company, Allianz AG, with its head office in Munich. Allianz Group provides its more than 60 million customers worldwide with a comprehensive range of services in the areas of Property and Casualty Insurance, Life and Health Insurance, Asset Management and Banking. ALLIANZ AG-A GLOBAL FINANCIAL POWERHOUSE Worldwide 2nd by Gross Written Premiums Rs. 4,46,654 cr. 3rd largest Assets Under Management (AUM) & largest amongst Insurance cos. AUM of Rs. 51,96,959 cr. 12th largest corporation in the world 49.8% of global business from Life Insurance Established in 1890, 110 years of Insurance experti BAJAJ GROUP Bajaj Auto Ltd., the flagship company of the Rs. 8000 crore Bajaj group is the largest manufacturer of two-wheelers and three-wheelers in India and one of the largest in the world. A household name in India, Bajaj Auto has a strong brand image & brand loyalty synonymous with quality & customer focus.

A STRONG INDIAN BRAND HAMARA BAJAJ One of the largest 2 & 3 wheeler manufacturer in the world 21 million+vehicles on the roads across the globe Managing funds of over Rs. 4000 cr. Bajaj Auto finance one of the largest auto finance cos. In India Rs. 4,744 Cr, Turnover & Profits of 538 Cr. In 2002-03 It has joined hands with Allianz to provide the Indian consumers with a distinct option in terms of life insurance products. As a promotor of Allianz Bajaj Life Insurance Co. Ltd., Bajaj Auto has the following to offer Financial strength and stability to support the Insurance Business. A strong brand-equity. A good market reputation as a world class organization. An extensive distribution network. Adequate experience of running a large organization.

CEO CEO
Zonal ZonalManager Manager

Regional RegionalManager Manager

Branch BranchManager Manager

Assistant AssistantBrach BrachManager Manager

Sales SalesTeam TeamManager Manager

Insurance InsuranceCare CareConsultant Consultant

WHY LIFE INSURANCE

Life Insurance has come a long way from the earlier days when it was originally conceived as a risk covering medium for short periods of time, covering temporary risk situations, such as sea voyages. As life insurance became more established, it was realized what a useful tool it was for a number of situations, including a) Temporary needs / threats: The original purpose of life insurance remains an important element, namely providing for replacement of income on death etc. b) Regular Savings: Providing for one's family and oneself, as a medium to long term exercise (through a series of regular payment of premiums). This has become more relevant in recent times as people seek financial independence for their family. c) Investment: Put simply, the building up of savings while safeguarding it from the ravages of inflation. Unlike regular saving products, investment products are traditionally lump sum investments, where the individual makes a one off payment.

d) Retirement: Provision for later years becomes increasingly necessary, especially in a changing cultural and social environment. One can buy a suitable insurance policy, which will provide periodical payments in one's old age. In simple words, insurance protects against untimely losses. Insurance has been found useful in the lives of persons both in the short term and long term. Short term needs like sudden medical costs and long term needs like marriage expenses etc can be met with using life insurance

Why BAJAJ ALLIANZ?

There are many reasons why you should choose BAJAJ ALLIANZ LIFE INSURANCE COMPANY LTD. as your partner in meeting your insurance needs : a) Innovative products to meet your needs. b) Efficient customer service team. c) Good financial track record of BAJAJ ALLIANZ. d) Certified Financial Consultants to advise you. e) Professional approach in managing your investments. f) Income Tax benefits for our insurance products. In case want to know how our products meet insurance needs, call on 9622 777 777 in Agra, Ahmedabad, Ajmer, Allahabad, Ambala Amravati, Amritsar, Chennai, Indore, Asansol, Bangalore, Delhi, Bhopal, Bhubaneswar, Faridabad, Kolkata,

Chandigarh, Hyderabad,

Coimbatore,

Durgapur,

Jaipur,

Jalandhar,

Kanpur,

Kochi,

Lucknow, Ludhiana, Mangalore, Meerut, Mumbai, Madurai , Nagpur, Nashik, Panjim, Patiala, Pune, Rajkot, Salem, Surat,Thane, Vadodara, Vijayawada and Vishakapatnam to meet one of our Certified Financial consultant.

RESPECTIVE MAJOR PRODUCTS COMMON WITH OTHER COMPANIES

Each of us leads a unique life and so has unique needs. BAJAJ ALLIANZ offers a range of products and invites you to choose the one that suits you best. Plan Savings Plans Endowment Assurance Plan Unit Linked Endowment Plan Childrens/Child Gain Plan Money Back/Cash Gain Plan Investment Plans Investment Gain Protection Plans Term Assurance/Care Plan Loan cover term assurance plan Retirement plans Personal Pension Plan Unit Linked Pension Plan Benefits Life Insurance with Savings Life Insurance & Savings with choice of investment funds Financial Security for your child Life Insurance with Savings

Life Insurance at an affordable price

Savings for retirement Retirement Savings with a choice of investment funds

SAVING PLAN
Endowment Assurance Plan : What is an Endowment Assurance Plan ? It is a participating (with profits) insurance plan that offers the following features: Provides financial support to the family by way of a lumpsum payment in case of the unfortunate death of the life assured within the term of the policy. Provides a lumpsum payment to the life assured on survival up to maturity. The lumpsum mentioned is the basic sum assured plus any bonus additions.

Benefits This plan is a with profits saving plan and is well suited for saving money for your long term financial goals. This plan also helps provide for the needs of your family in your absence by paying out a lumpsum in the event of your unfortunate death during the term of the policy. What optional benefits are available with this plan?

You can add the following optional benefits to customise your policy to suit your needs:

Critical Illness (CI) Benefit provides an amount, equal to the sum assured chosen under this optional benefit, on diagnosis of any one of the 6 common critical illnesses(1). The sum assured is payable if you survive for 30-40 days after the date of the claim. Once such a claim has been met, no further Critical Illness Benefit is payable. However, your basic policy continues even after we pay a claim on this benefit Additional Term Benefit (ATB) provides an additional amount equal to the sum assured chosen under this optional benefit, in case of your unfortunate death. Accidental Death Benefit (ADB) provides an additional amount, equal to the sum assured chosen under this optional benefit, in case of your unfortunate death: due to an accident, and within 60-90 days of the accident.. Waiver Of Premium (WOP) Benefit waives the premium for you in case you become totally disabled. The waiver is applicable during the period of total disability. All optional benefits must be selected at the outset of your plan..(1) Cancer, coronary artery bypass grafts surgery, heart attack, kidney / renal failure, major organ transplant (as recipient) and stroke. Does Endowment Assurance Plan offer you Tax Benefits? Tax benefits described in Section 80, Section 80D** and Section 10 (10D) of the Income Tax Act are applicable.

** Applicable to premiums paid for C.I. and WOP. Eligibility

This plan can be taken on a single life basis or a joint life (first claim) basis. The eligibility ages are as follows:

Basic Policy Min. age at entry Max. age at entry Max. age at expiry Min. term : 10 years 10-14 58-60 70-75 Max. term : 30 years

Children's/Child Gain Plan

Childrens Plan is designed to provide a lumpsum to the child at maturity. It also provides financial security to the child in the future, even in case of the insured parents unfortunate death during the policy term. Childrens Plan receives simple reversionary bonuses, which are usually added annually. This is a flexible plan with three options for you to choose from, depending on your requirements. The details of these options are explained in the next section.

The options that are available with this plan.

>Option

On the death of the insured parent during the policy term Future premiums waived and the policy continues till maturity.

On maturity Sum assured + bonuses paid. On the survival of the insured parent to the maturity date, sum assured + bonuses paid.

Maturity Benefit Plan

Accelerated Benefit Plan

Sum assured + bonuses paid and the policy stops.

Sum assured paid, future premiums Sum assured + Double Benefit Plan waived, and the policy continues till bonuses paid. maturity. The Children's Plan offer you Tax Benefits. The premiums you pay will be eligible for tax relief under Section 80 of the Income Tax Act, 1961. The benefits received under the policy are eligible for tax relief under Section 10(10D) of the Income Tax Act, 1961.

Eligibility The eligibility ages for the life assured under the plan are as follows: Minimum Age At Entry Maximum Age At Entry Maximum Age At Maturity Minimum Term: 7 years The payment options You have the choice of paying the premium either in yearly, halfyearly or quarterly modes, depending on your convenience 0-7 years for child 60 years for guardian/parent 20-25 years of kid. Maximum Term: 25 years

Indicative Premiums* Child's current age: 1 year Age of parent Maturity Benefit Accelerated Double Benefit (Years) Plan (Rs.) Benefit Plan (Rs.) Plan (Rs.) 30 4,658 4,835 4,937 35 4,684 4,929 5,078 40 4,731 5,098 5,321 *The above quoted premiums are for a male life assured paying annual premiums for a Rs. 1 lakh sum assured policy, with the policy maturing when the child is 21 years old. The premium quoted above may vary as a result of underwriting. Child's current age: 7 years Age of parent (Years) 30 35 40 Maturity Benefit Accelerated Plan (Rs.) Benefit Plan (Rs.) 7,039 7,063 7,107 7,142 7,196 7,300 Double Benefit Plan (Rs.) 7,282 7,390 7,593

*The above quoted premiums are for a male life assured paying annual premiums for a Rs. 1 lakh sum assured policy, with the policy maturing when the child is 21 years old. The premium quoted above may vary as a result of underwriting.

Money Back/Cash Gain Plan

It is a participating (with profits) insurance plan that offers the following features: Payment of cash lumpsums, each of which is a proportion of the basic sum assured, at 5-year intervals during the term of the policy. (Please refer to the table given below.) On survival up to maturity, a payment equal to the basic sum assured plus any bonus additions less the cash lumpsums paid earlier is provided. In case of the unfortunate death of the life assured within the term of the policy, the basic sum assured plus any bonus additions is provided. This is over and above the earlier payouts.

Schedule of cash lumpsum (as a % of basic sum assured) Number of Years from policy date Total Policy Term 5 10 15 20 10 40% 15 30% 30% 20 25% 25% 25% 25 20% 20% 20% 20% 30 15% 15% 15% 15%

25

15%

Benefits to Buy : This plan helps you plan for future anticipated expenses by paying periodic cash lumpsums to you at regular intervals. This plan also helps provide for the needs of your family in your absence by paying them the basic sum assured plus any bonus additions in the event of your unfortunate death during the term of the policy.

Optional benefits are available with this plan You can add the following optional benefits to customise your policy to suit your needs: Critical Illness (CI) Benefit provides an amount, equal to the sum assured chosen under this optional benefit, on diagnosis of any one of the 6 common critical illnesses(1). The sum assured is payable if you survive for 30-40 days after the date of the claim. Once such a claim has been met, no further Critical Illness Benefit is payable. However, your basic policy continues even after we pay a claim on this benefit. Additional Term Benefit (ATB) provides an additional amount, equal to the sum assured chosen under this optional benefit, in case of your unfortunate death. Accidental Death Benefit (ADB) provides an additional amount amount equal to the basic sum assured in case you die:

due to an accident, and

within 90 days of the accident.

Waiver Of Premium (WOP) Benefit waives the premium for you in case you become totally disabled. The waiver is applicable during the period of total disability. All optional benefits must be selected at the outset of your plan. (1) Cancer, coronary artery bypass graft surgery, heart attack, kidney / renal failure, major organ transplant (as recipient) and stroke. Money Back Plan & Tax Benefits Tax benefits described in Section 80, and Section 10 of the Income Tax Act are applicable. ** Applicable to premiums paid for CI and WOP. Eligibility This plan can be taken on a single life basis or a joint life (first claim) basis. The eligibility ages are as follows: Basic Policy Min. age at etry 12 Max. age at etry 60 Max. age at expiry 75 Min. term : 10 years The payment options You have the choice of paying your premium either in yearly, halfyearly or quarterly modes, depending on your convenience. Basic Policy for optional benefits CI ATB ADB WOP 18 18 18 18 55 60 55 50 70 75 65 60 Max. term : 30 years

Indicative Premium* Additional Premium for optional benefits (Rs.) CI ATB ADB WOP 20 7491 304 322 136 352 30 7585 442 388 144 443 40 7925 925 641 156 672 Not Not 50 8815 1890 1357 Available Available The above quoted premium is7 for a male life assured for a Age (yrs.) Basic Policy Premium (Rs.) period of 20 years and a sum assured of Rs. 1 lakh. The premium quoted above may vary as a result of underwriting. The premium reliable to all the optional benefits put together should not exceed 30% of the premium of the basic policy.

INVESTMENT/INVEST GAIN PLAN

Single Premium Whole of Life Insurance Plan Single Premium Whole Of Life Insurance Plan is well suited to meet your long term investment needs. This participating (with profits) plan offers you the following benefits: A sound investment: Your money will be invested in our With Profits fund. The fund aims to provide secure and stable long term growth. Normally, we will declare a compound reversionary bonus for your policy every year and add it to your policy on its anniversary. In addition, on death, surrender or on the guaranteed dates, a terminal bonus might be payable. You pay a single premium and the policy will pay you a lumpsum. Flexibility of term: Even after choosing your policy, you can decide on the policy term. For 4 weeks after any one of the 10th, 15th, 20th and subsequent five-year anniversaries, you can choose to receive the sum assured plus any attaching bonuses, in full. Once the money has been received, your policy will cease. Surrender value: You can terminate the policy any time, after it has been in force for at least 6 months, and receive a surrender value.

In case of unfortunate death: Your nominee gets the sum assured secured by your premium, plus any attaching bonuses.

No medical requirements: We do not require you to undergo any medical test for this plan. Eligibility: The eligibility ages are as follows: Minimum age at entry : 18 years Maximum age at entry : 70 years You can buy the product on a single life basis. Payment options: Cash, cheque or demand draft can pay a single premium. Indicative Premium Minimum sum assured : Rs. 50,000 Maximum sum assured : Rs. 5,00,000 as per IRDA rules Premium: Rs. 750 -1050 per thousand of sum assured. THE RISK FACTORS Any surrender value payable is at our discretion. It will reflect our performance over the term of your policy. It may go up or down. Future bonuses are dependent on our future experience. If any of the information provided by you is incorrect, we reserve the right to vary any benefits which may be payable. Further, if there has been nondisclosure of a material fact, then we may treat your policy as void.

PROTECTION PLAN
Term Assurance Plan Under this plan, a sum assured is payable in case of death of the life assured during the term of the contract. One can choose the lumpsum that would replace the income lost to one's family in the unfortunate event of one's death. Since this non-participating (without profits) plan is a pure risk cover plan, no benefits are payable on survival to the end of the term of the policy. Benefits If you have a family that you care for, you should consider what would happen in case of your unfortunate death. The emotional void cannot be filled, but financial insecurity can be avoided. By taking this affordable life insurance plan, you can

provide for the well-being of your family in case of your unfortunate death. This plan comes to you at a minimal cost and is well-suited for the value-conscious customer. The optional benefits are available with this plan?

You can add the following optional benefit to customise your policy to suit your needs: Critical Illness (CI) Benefit provides an amount, equal to the sum assured chosen under this optional benefit, on diagnosis of any one of the 6 common critical illnesses(1). The sum assured is payable if you

survive

for

30-40

days

after

the

date

of

the

claim.

Once such a claim has been met, no further Critical Illness Benefit is payable. However, your basic policy continues even after we pay a claim on this benefit. Accidental Death Benefit (ADB) provides an additional amount, equal to the sum assured chosen under this optional benefit, in case of your unfortunate death: due to an accident, and within 90 days of the accident.

Accelerated Sum Assured (ASA) Benefit provides, on diagnosis of any one of the 6 common critical illnesses(1), an amount equal to the basic sum assured on the Term Assurance Plan.

As soon as we accept your claim: We pay out the sum assured. Your basic policy immediately terminates without value.

The benefit accelerates or advances the date on which the benefit would be payable. It becomes payable on death or critical illness, whichever occurs earlier. Once a claim has been met, either on death or critical illness, no further benefit is payable on your policy. CI and ASA are not simultaneously available on a single policy. All optional benefits must be selected at the outset of your plan. Since some of the benefits are subject to maximum limits, please contact your Financial Consultant for more details.

Tax Benefits Tax benefits described in Section 80, and Section 10 of the Income Tax Act are applicable. ** Applicable to premiums paid for CI and ASA. Eligibility
This plan can be taken on a single life basis or a joint life (first claim) basis. The eligibility ages are as follows:

Basic Policy Minimum age at entry Maximum age at entry Maximum age at expiry Payment options: 18 60 70

Policy with any optional benefit 18 50 70

You have the choice of paying your premium either in yearly, halfyearly or quarterly modes, or of paying a single one-time premium, depending on your convenience. Indicative Premium Premium* (Rs.) Age of Single Life Assured Premium (Rs.) Half-yearly Yearly 20 yrs. 862 1566 11970 25 yrs. 914 1662 13110 30 yrs. 979 1782 15726 35 yrs. 1074 1956 18216 40 yrs. 1473 2688 26400 The premium quoted is for a healthy male, paying premiums for a 15 year term for a sum assured of Rs. 6,00,000. The exact premium may vary as a result of underwriting.

LOAN COVER TERM ASSURANCE PLAN

This plan provides a lumpsum on the unfortunate death of the life assured during the term of the plan. The lumpsum will be a decreasing percentage of the initial sum assured. As the outstanding loan decreases as per the loan schedule, the cover under the policy decreases as per the policy schedule. Since this is a non-participating (without profits) pure risk cover plan, no benefits are payable on survival to the end of the term of the policy. Benefits If you are taking a loan to buy a house for your family, this plan can help you ensure that life's uncertainties do not affect their shelter. It is an affordable plan that has been designed to help your family repay the outstanding loan in case of your unfortunate death. Eligibility
This plan can be taken on a single life basis or a joint life (first claim) basis. The eligibility ages are as follows:

Basic Policy Minimum age at entry Maximum age at entry Maximum age at expiry * 60 yrs. 18 55* 65

Policy with optional benefit 18 55 65

for a single premium policy.

Term Assurance Plan Tax Benefits Tax benefits described in Section 80, Section 80D ** and Section 10 (10D) of the Income Tax Act are applicable. ** Applicable to premiums paid for ASA. Indicative Premium* for the basic policy Annual Premium** Single Premium (Rs. P.a.) (Rs.) Term of loan (in yrs.) Term of loan (in yrs.) Age of Life 10 15 10 15 Assured 30 yrs. 1592 1634 5781 7993 35 yrs. 1757 1799 6324 9152 40 yrs. 2114 2163 8515 12991 45 yrs. 2782 2915 10636 16663 50 yrs. 3955 4175 15921 25038 The premium quoted above may vary as a result of underwriting. The above rates are for a male life assured for an initial sum assured of Rs. 3.5 lakh. ** In case of annual premium payment, the premium is to be paid for only the first 2/3 rd of the term while the cover continues for the full term. The payment options: You have the choice of paying your premium either in yearly, halfyearly or quarterly modes, or of paying a single one-time premium, depending on your convenience.

RETIREMENT PLAN
Personal Pension Plan Before you enter into any financial contract, it is important that you understand what the product is, how it works, the risks involved and what a decision to buy could mean for you. We recommend that you read this document before you purchase a policy from BAJAJ ALLIANZ LIFE INSURANCE COMPANY LTD. Company.

Purpose: The policy is basically a savings contract, which is designed to provide an income for life from retirement, with an option to take the lump sum elsewhere to buy the annuity, provided it is permitted by the prevailing regulations. Your commitment: You agree to pay a single premium or level premiums with installments due every quarter, half-year or year throughout the deferment period of the policy, after which you will start receiving your pension. Risk factors: If you cease to pay premiums we may pay a surrender value. This will be determined at our discretion. If any of the information which you provide is incorrect, we reserve the right to vary the benefits which may be payable and, further, if there has been non-disclosure of a material fact then we may treat your Policy as void. We will not pay out if a claim arises from an excluded cause of death. Future bonuses are not guaranteed. They are dependent on our future experience. The principal elements of experience are our investment performance and expenses.

UNIT LINK PENSION PLAN

Our unit linked pension policy can greatly help you to meet your financial needs after retirement. It allows you build up a retirement fund for the future and during that time, give you the knowledge that your family will receive a cash lump sum to provide for them in the event of your unfortunate demise. It is important that you understand what the BAJAJ ALLIANZ Unit Linked Pension Plan is, how it works, the risks involved and what a decision to buy could mean for you. We recommend that you read this document before you purchase a policy from BAJAJ ALLIANZ LIFE INSURANCE COMPANY LTD. Company. The unit linked pension plan is basically an insurance contract, which is designed to provide a retirement income for life. Your premiums are invested in units of the investment fund of your choice, based on the prevailing unit price. On vesting the value of your units will be used to buy your retirement benefits. On earlier death, the beneficiary receives the value of your units plus a cash lump sum of Rs. 1,000.

Premiums: You agree to pay level premiums regularly, either quarterly, halfyearly or annually, throughout the term of the policy or a single premium at the start of the policy. The minimum premium amount for regular premium mode is Rs.5,000-10,000 each year and for single premium, it is Rs. 25,000. To facilitate increased investment, we allow additional single premium top-ups at any time. The minimum single premium top-up is Rs. 5,000. Premiums can be paid by cash, cheque or demand draft. Investment funds Invested The policy is fully unitised with a range of funds to match your needs and approach to risk. (By risk we mean the likely volatility in the value of units in the fund.) Each investment fund is composed of units. All the units in a fund are identical. You can choose from the following funds: Liquid fund The Liquid fund invests 100% in bank deposits and high quality shortterm money market instruments. The fund is designed to be cash secure and has a very low level of risk; however unit prices may occasionally go down due to the use of short-term money market instruments.

Secure Managed The Secure Managed fund invests 100% in Government Securities and Bonds issued by companies or other bodies with a high credit standing, however a small amount of working capital may be invested in cash to facilitate the day-to-day running of the fund. This fund has a low level of risk but unit prices may still go up or down. Defensive Managed 15% to 30% of the Defensive Managed fund will be invested in high quality Indian equities. The remainder will be invested in Government Securities and Bonds issued by companies or other bodies with a high credit standing. In addition, a small amount of working capital may be invested in cash to facilitate the day-to-day running of the fund. The fund has a moderate level of risk with the opportunity to earn higher returns in the long term from some equity investment. Unit prices may go up or down. Eligibility Maxim um Term 40 Minimu m Age at Entry 18 Maximu m Age at Entry 60 Minimu m Age at Vesting 50 Maximu m Age at Vesting 70

Minimu m Term Regular Premium Version Single Premium Version

10

40

18

65

50

70

Alteration in the level of premiums Regular premiums can be increased at any time. If needed, the policyholder can reduce the regular premium levels (even to zero ie the policy is converted to paid up status) provided: 3 years of regular premiums have been paid The monetary value of the unit holding across all funds is at least Rs 15,000. In addition, you can pay single premium top-up(s) at any point of time. On surrender the policy The policyholder can surrender the policy at any point of time during the contract term for regular premium paying policies. For single premium contracts, the contract needs to remain in-force for a minimum period of six months before you can surrender. The amount payable will be the unitised fund value after applying additional surrender charges mentioned below. On stop paying premiums In regular premium paying contract? This product has a grace period of 15 days for the payment of each premium after the initial premium. If you stop paying premiums, before you have paid 3 years of annual premiums, we will cancel your policy and return to you the value of your unitised fund, less cancellation charges.

If, after three years, you are unable to pay the premiums, you have the option to make the policy paid-up, provided the policy has accumulated sufficient policy value. Currently, this amount will be Rs. 15,000. If you make you policy paid up you will continue to be protected according to the benefits you selected. To provide this cover, we will continue to collect our usual charges on each monthly charge date. It is important to note that if no further premiums are paid, this may reduce the value of your fund over time, or even exhaust it completely. A paid-up policy can be reinstated to premium paying status at any point of time in the future. If the fund value of a paid-up policy falls below Rs. 15,000 we will cancel the policy and return to you the fund value, less cancellation charges.

Does this Plan offer me Tax Benefits? Premiums paid under this plan are eligible for tax benefits under Section 80CCC of the Income Tax Act, 1961. Charges we will deduct charges from the policy to cover our costs.

A percentage of each premiums is invested to buy units, this percentage is called the Investment Content Rate. The rates are as follows: Investment Content Rate (ICR) Single Premium Initial Payment 94% Single Premium Top-Up(s) 99% Regular Premiums Year 1 78% Year 2 78% Year 3 + 99% Regular Premium Increases 99% Single Premium Top-Up(s) 99% Premium paid (Rs)

The unit price each day will include a fund management charge. This charge is 0.80% of the fund value per annum taken on a daily basis. A flat fee of Rs 15 per month will be deducted by cancellation of units on each monthly charge date. This will be proportioned across funds according to the fund holdings at the time of cancellation of units. We do not charge for the flat death cover of Rs. 1,000, but we may do so in the future. We do not charge for premium redirections or switches but we may do so in the future. We do not charge for altering the regular premium amount (including making a policy paid-up and reinstating a paid-up policy), but we may do so in the future.

On cancellation or surrender of the policy before 3 years of regular premiums have been paid, we will charge 20% of the outstanding regular premiums due during this 3-year period. Alteration to Charges No changes can be made to our current charges without prior approval from the Insurance Regulatory and

Development Authority. In any case, the fund management charge will not exceed 2% per annum.

RESEARCH METHODOLOGY
INTRODUCTION This chapter focuses on the methodology & the techniques used for the collection, classification & tabulation of data. It sheds light on the research problem the objective of study & its limitations. The later part of chapter explain the manner in which the data is collected classified, tabulated & so as to reach conclusive results. Research many

dimentions it not include not only the research methods but also considers the logic behind the methods use in the context of study & explains why only a particular method & techniques has been used so that research lend themselves to proper evaluation thus in a way. It is written game plan for concluding research. There for into design a research problem it is necessary to design a research methodology as the same may differ from problem to problem.

A) RESEARCH DESIGN To carry out this study sample survey method has been employed. This method is given primary significance in modern research because of its intensive use to study the relationship of different factors, attitudes and practices of society and to explore the problems that can not be treated by experimental method. I) OBJECTIVE OF RESEARCH

The purpose of research is to discover answer to question through the Application of scientific procedure. The main aim of research is to find out the truth, which is hidden, and which has not been discovered as yet. Though each research study has its own specific purposes, we may think of research objectives as falling in to a number of following broad groupings: 1. To gain familiarity with a phenomenon or to achieve new insight into it (studies with this object in view are termed as exploratory or formulative research studies); 2. To portray accurately the characteristics of a particular view individual, situation or a group (studies with this object in are known as descriptive research studies); 3. To determine the frequency with which something occurs View with which it is associated with something else (studies with this object in view are known as diagnostic research studies);

ii)

SCOPE OF STUDY

The scope has been limited to sample size of 100 respondents due to time & cost constraints. However, the area of study with respect to geographical city of Yamuna Nagar. B) COLLECTION OF DATA :

After the research problem has been defined and the research design has been chalked out, the task of data collection begins. Data can be collected from either primary or secondary source. in this study although the data was collected mainly through primary sources, it was supplemented by secondary data. For the collection of primary data, the respondents were contacted personally and the tool for gathering the data was the questionnaire and tally calling.

C)

Selection of Sample : Sample can ideally be selected as percentage of total population

of respondents to increase the accuracy and reliability of the sample. Hence a sample size of 100 industries was appropriate to keep sample accurate as well as manageable. Sampling Plan: The following factors have to be decided with in the scope of the sampling plan.

Sampling Size : This refers to the procedure by which the we describe the total number of respondent which are selected Randomly. Here I have select 100 respondents. Sampling Unit : The unit refers to the definitions of the particular person who is to be survey. In this study the unit is the respondent which is operating in Yamuna Nagar. Sampling Procedure : This refers to the procedure by which the respondents should be chosen. In order to obtain a representative sample, a probability sample of the population was drawn. Probability sampling can be of the following types. Simple random sample Stratified random sample. Cluster (area) sample.

In this case, simple random sampling was done.

Formation of Questionnaire
Quite often the questionnaire is considered as the heart of a survey operation. hence it should be carefully constructed. in the words of good and Hatt, "In general, the word questionnaire refers to a device for securing answers to questions by using a form which the respondent fills in himself." All the questions in a questionnaire are framed with a specific objective in mind and are placed in logical, sequential order. The questionnaire framed for the purpose of the study consists of a limited number of questions placed in a logical order. The questions were framed keeping in mind the educational and social background of the companies dealers. The questions were both open and closed ended as well as multiple choice. Classification of Data : If refers to the process of arranging data into homogenous classes. Subsequent to the collection of data, the results were sorted out and arranged in different categories. Graphical Analysis : For presently the data in an organized form graphical method has been used i.e. the data is mainly represented in the form of pie graphs etc.

QUESTIONNAIRE
Name Age & Sex : :

Occupation : Contact No. : Q.1. Who is your Insurer? LIC ICICI BAJAJ ALLIANZ

Q.2. While taking insurance plan how are your rate that following. Saving Risk Coverage Tax Benefices

Q.3. Give choice you would prefer to invest in FD Post Office Insurance NSS/NCC Shares

Q.4. Who is your financial consultant? Professional Friend/Relative Family Agent

Q.5. Should life insurance be made compulsory? Yes No

Q.6. Are you aware with these plans? Children plant Personal Pension Money Back Plan Endowment Plan

Loan Cover assurance Plan Q.7. What is your occupation? Govt. Job. Private Job. Self Employee

Q.8. Are you satisfied with the service of your Insurance Company?

Yes

No

Q.9. Which plan you have taken? Endowment Pension Plan Children Plan Money Back Plan

Q.10. Your per annums income is ? 50000 100000 = 100001-200000 = 200001-500000 = 500001-Above =

Q.11. How much of your Income would you like to invest in ? 1000 5000 5001-10000 10001-20000 20001-Above = = = =

Q.12. According to you which company is better? LIC ICICI BAJAJ ALLIANZ

1.

Who is your Insurer ?

%age of Response Bajaj Allianz 21%

ICICI 14%

LIC 65%

Interpretation : As per the study we find that 65% people prefer LIC, 14% prefer ICICI and 21% people prefer BAJAJ ALLIANZ for Insurance.

2. While taking insurance plan how are your rate the Tax Benefits, Saving & Risk Coverage.

%age of Response Tax Benefits 23% Saving 26%

Risk Coverage 51%

Interpretation : By the study we come to know that maximum people are looking for risk coverage then looking for savings and at last for the tax benefits. Where as we know that risk coverage the main criteria then the company should look to cover maximum type of people risk coverage and other benefits.

4.

Your financial consultant.

%age of Response 80 60 40 20 0
Professional Friends

62 29 9
Family agent

Interpretation : Friends(62%) constancy are the best status resource family for are the financial about

then

high

taking

professional qualified person(29%) then respective family agents (9%) the resources.

5.

Should life insurance be made compulsory .

%age of Response

No 48%

Yes 52%

Interpretation : People are not as much aware about life insurance factors. So only 52% people are agree with the necessity of life insurance and 48% simply refuses the requirement of life insurance.

6.

Awareness with the plans.

%age of Response 50 40 30 20 10
Money Back Personal Pension Childern Plan

50

19

16

10
Endowment Plan

Loan Cover

Interpretation : People are only crusty about money back plans (50%) rest plans are same important have to tell them and its same worthy.

Simple Pension

7. Satisfaction with the service of your Insurance Company.

No 17%

%age of Response

Yes 83%

Interpretation : People are the same worthy being a customer so it good that 83% people are satisfied but still rest 17% are same important which should be satisfied later on by providing them to the best services.

8. Which plan you have taken ?

%age of respondents Money Back Plan 20% Pension Plan 6% Endowmen 50%

Children Plan 24%

Interpretation : We found that maximum people are preferring Endoment Plan, Than Children Plan is preferred thirdly money back plan and the lastly Pension Plan is preferred by the peoples at all. This shows the psychology of people that for what purpose they are looking from a policy.

10. Your Income that you would like to invest in.

%age of Respondents

45 40 35 30 25 20 15 10 5 0 1000 5000 5001-10000 5 36

41

18

10001-20000

20001-Above

Interpretation : Higher Middle class people mainly looking form

Insurance(41%) then middle family (36%) and second last higher income people prefer(18%), few of low income people (5%) prefer insurance.

FINDINGS
Bajaj Allianz is the best insurance company. Bajaj Allianz is the No.-1 profitable company , it gains Rs.63,00,00,000 in the F.Y. 2006-07. Bajaj Allianz is the fastest claim providing company in the f.y. 2006-07, among all the private life insurance company. Bajaj Allianz is No.-1 in the premium collection for the FY 2005-06 & second in the F.Y. 2006-07. Bajaj Allianz is No.1 polity seller for the F.Y.-2006-07. No doughty its provides the best services to it customers.

Bajaj Allianz is one of leading private company in Indian

Insurance Sector.

SWOT ANALYSIS
Strength Additional benefits like family income benefits, critical illness benefits, accidental benefits and waiver of premium benefits. Low Premium. Bajaj Allianz is the first company launch mahila plan. Tax Benefits. Allianz had paid million of dollors to the WORLD TRADE CENTRE in the USA after terrorist attack. Ranked No.-1 company among the private life

insurance. Its introduces new plans as per market hunt. By gaining 63Cr. Profit in F.Y. 2006-07 it bcomes Ranked 1 company among private insurance

companies.

Weakness : Credibility. Low bonus rates. In Corporate insurance not a leading company.

Opportunities : Large Global Market Quicker response to customers needs. Potential to become a sourcing centre.

Threats : Touch competitions. Lack of awareness. Expensive.

CONCLUSION
BAJAJ ALLIANZ LIFE INSURANCE COMPANY LTD. Ltd. is one of the best private insurance companies. Facilities provided by BAJAJ ALLIANZ all are advanced. BAJAJ ALLIANZ & BAJAJ GROUP has good market image and thus attract more customers. Popular product : Endowment Plan Popular Scheme : Money Back Causes of dissatisfaction for not using any of DBC : Unawareness & lack of knowledge. Promotional Efforts: : Canopies : Tele-Calling : Marketing Executives

BIBLIOGRAPHY
Books: Research Methodology Business Research And Methods Marketing Management By Kothari, C.R. By cooper, Donal R. & Schindler By Kotler, Philip

Websites
www.irda.com www.bajajallianz.com www.google.com

SUGGESTION
Lots of potential in rural area. They have no knowledge regarding private companies. Companys motto should be to make them aware about their product. Awareness of customer is very low in India. Even educated person are ignorant about various products of Insurance. Company should have make endeavor advertisement. Give assurance to people that they will not go any ware taking their money, because this is regulated by IRDA and backup by RBI. Company should provide more benefits with their products like major surgical benefits and income benifits. Companys should open customer services points in rural areas also. in this context like

*********** ADDITIONAL INSURANCE METTER***

GRASP ANALYSIS ABOUT LIFE INSURANCE

TRAINING REPORT ON

BAJAJ ALLIANZ
YAMUNA NAGAR OFFICE

KURUKSHETRA UNIVERSITY, KURUKSHETRA

IN THE PARTIAL FULFILLMENT FOR THE REQUIREMENT OF MASTER OF BUSINESS ADMINISTRATION DEGREE

Submitted to:

(SESSION 2004-2005)
SUBMITTED By: Neha Bansal M.B.A Roll No.-1103/03 Univ. Roll No.___________

SWAMI DEVI DAYAL INSTITUTE OF ENGG. AND TECHNOLOGY (SDDIET) (Approved by AICTE& Affiliated to Kurukshetra University, Kurukshetra.) Barwala

CONCLUSION

THE DISADVANTAGES OF INSURANCE Continually rising premiums averaging 15% Complex and complicated plans, rates and banding Premiums (contributions) gain no investment for the client who has little cost control ability Premiums rise due to age increases, claims record and medical inflation, averaging 10% above RPI inflation. No control of monies Increasing premiums are directly related to claims history and are reassessed annually irrespective of previous years' performance Profits are retained by the insurance company with no ongoing advantages for the client Inflexible pre-packaged plans creating increased administration resulting in higher costs for your company Premiums are age banded Excess schemes artificially reduce premiums Insurance Premium Tax currently @ 5% Insurance levies currently @ 2% Insurance companies cannot claim back any V.A.T. inflating premiums.

Advantages of a Trust Fund Scheme

Lower Healthcare costs - up to 50% saving on traditional PMI, resulting in less taxation (benefit in kind) to employer and employee. Simplicity - one standard rate of contribution Company Trust Fund - 80% of contributions retained in interestbearing account solely to pay for medical treatment. Costs Controls, lower overheads & investment will stabilise and may even reduce contributions Puts company in control of its own investments Contributions are related to the LONG TERM PERFORMANCE OF THE TRUST and are not claims related on an annual basis. Trust Fund retains profit and accumulated contributions. Flexible benefits tailored to individual requirements with minimal administration for the company. Covers ages 16-65. Contributions not age related No Excesses No Insurance Premium Tax. No Insurance Levies

Objectives Of Insurance 1. Standard of LivingMaslow's basic needs satisfied such as food, water, clothing, shelter, and nice-to-have discretionary items, suchas automobiles, vacations, entertainment. 2. Savingsemergency funds for sudden and unexpected events, such as extra living expenses because of a fire at one's home. 3. ProtectionDISABILITY INCOME INSURANCE; HEALTH INSURANCE; LIFE INSURANCE; PROPERTY AND LIABILITY INSURANCE (all forms designed to offer coverage against the uncertainty of a financial loss due to the PURE RISK). 4. InvestmentAccumulation of wealth through the return on assets deployed leading to financial independence. 5. Estate Planningdistribution of the invested assets held for the purpose of the accumulation of wealth in a tax efficient and effective manner.

Term Vs Whole life

Consider 4 Points: Are your insurance needs only for a certain number of years? What are you insuring? Can you afford higher premiums up front? When will you die? Are your insurance needs only for a certain number of years?

Term life can cover you from one to 30 years, and there may not be a large need for insurance after you debts are paid, etc. Whole life provides life insurance coverage your entire life, regardless of when you "check out." Your senior years are when you'll most likely use your life insurance, and you want to have coverage during these years.

What are you insuring?

Term life protects against something that has a time constraint, like say, your mortgage or paycheck. After you've paid off the mortgage and/or retired, you may not need more coverage. Term life is used to protect primarily against pre-mature death. Whole life is used primarily to a benefit upon your death regardless of age (i.e. to pay estate taxes). Consider whole if you have few assets and want to create an estate or at least pay for your burial. It's also a good idea for either the affluent with a large estate (estate taxes), or to compensate for a pension that will not fully pay your spouse if you die. There is some peace of mind by buying whole life because you'll always have coverage as long as you pay your premiums. Go to Insurance needs for more on this topic.

Can you afford higher premiums up front?

Term life can save you many shekels or allow you to purchase a larger death benefit because you're only paying the cost of insurance and building no cash value. But remember, the chances of you dying prematurely are lower, and premiums for term life reflect that. Whole life has higher premiums initially than term but if you end up living a long while, the difference in premiums between term and whole may

equalize, especially if you try to get insurance after your term life contract is up. Go to Insurance Savings for more on this topic.

When will you die?

Term life may be perfect if you die prematurely. Of course, none of us know when our number will be called, but it may be cheaper to get term if your family tends to have a shorter longevity. Term life insurance companies usually won't provide coverage past age 75-80 unless you convert your policy before hand, which can be ultra expensive. Term life is bought to protect your family if you die prematurely. People that have a family history of premature death may be well served by term coverage. Whole life covers you for your entire life (with enough cash value). There is peace of mind knowing that you'll always be covered as long as you pay your premiums. If your familiy tends to be hangers on, then you may want to look at whole life. But no one knows when their ticket will be up! Term vs. Whole Life Insurance Summary People get life insurance to protect against loss, so we have to analyze this objective before going on to cash value, riders, interest rate, etc. You should buy all the coverage you need now while you're younger, and if you can't afford whole life insurance, at least get Term. Temporary term coverage is better than no coverage at all. If you can afford the higher premiums of whole life insurance, examine if your insurance needs are only for a certain number of years, what you're insuring and when will you are likely to die.

Advantages Of Whole Life Insurance It offers you a low risk cash value account You dont have to worry about premium increases Your cash may accumulate tax-deferred Should provide a fixed premium You have a level death benefit for your whole life You can make tax free loans of your cash value You can convert your cash value to an annuity for income You policy can't be canceled if you have enough cash value Disadvantages Of Whole Life Insurance You cannot choose between interest bearing accounts Few live to 100, so the maturity age is impractical You cant vary the monthly premium payment Your premium paying period may last a long time You cant increase the amount of coverage Loans are deducted from cash value or death benefit The cash value may be less than your face value Premiums are much higher than term life You policy may be surrendered from over withdrawals Term Life Insurance FAQs from Life Insurance Wiz Quotes: The Experts in Term Life Insurance Quotes Information.

Why it's called "Term". Different terms for different needs. What happens when the term is over? Accidental Death Insurance. Summary: Advantages and Disadvantages of Term Life Insurance.

Why It's Called "Term" Term life insurance is called "term" because it provides coverage for a specific period or term (most often 1, 5, 10, 15 or 20 years). For this reason, it is also called "temporary" insurance. If death occurs during the term, the policy pays cash benefits to the beneficiary. However, once the term is over, and if the policy is not renewed, the coverage ceases. If death occurs after the coverage ceases, no cash benefits are paid out.

Term insurance is the most straightforward type of life insurance and the easiest to understand. Sometimes it is called "pure" insurance, since the policy has no financial investment value and most of your premium goes to pay for coverage, with only a small amount used to pay the insurance company's costs. If you are looking for the maximum amount of coverage for your dollar, term life insurance will give you the most "bang for your buck". Different Terms For Different Needs All term life insurance policies cover you for a specific amount of time - the term. The term that's right for you depends on how old your children are, how many years before you retire, and other factors. Many people like to know they're insured until they're ready to retire, usually at age 65. Many just want to have insurance until their youngest child graduates from college, and so they make sure their life insurance coverage includes money to pay for all of the college tuition. Most experts agree that you should carry insurance at least until your youngest child is 18. So if your child is 3 now, you would want to carry your insurance for at least 15 years. But that doesn't mean you have to lock into a 15-year term - you could instead buy an annual renewable policy and renew it for 14 years in a row. You should compare the total 15-year cost of the annual renewable policy and the 15-year term policy, making adjustments for the time and value of money, to determine what the best value is for you. Here's an overview of the different types of term policies available and, most importantly, a look at what happens when the term is over. Annual renewable term insurance Renewable term insurance Level premium term insurance Decreasing term insurance Convertible term insurance Annual renewable term insurance. With this type of term insurance, your policy is automatically renewable each year up to a specific age limit, often 65, but sometimes older. Since the chances of your dying increase statistically the older you get,

your premiums go up each year as you renew. However, if you buy your policy when you are young and unlikely to die, you can obtain substantial coverage for an inexpensive premium. Renewable term insurance. With renewable term insurance, the insurance company automatically allows you to renew your coverage after the term of the policy is over (generally 5 to 20 years), even if your health has deteriorated. This is the same way annual renewable works, but for a longer period of time. Since a lot can happen to your health in 5 or 20 years, renew ability can be a valuable feature. But since it involves a greater financial risk for the insurance company, renewable term coverage generally costs a bit more than annual renewable policies. The conditions associated with renewable term may differ from company to company. For example, though you are guaranteed the right to renew at the end of your term, you may or may not be able to renew for the same amount of coverage or for the same term. Moreover, your premiums will almost definitely go up upon renewal. Level premium term insurance. Level premium term guarantees your premium will stay the same each year for the term of your policy, generally 5 to 20 years. Insurance companies keep your premiums the same by charging you an average of the premiums they would ordinarily charge you with an annual renewable policy. As a result, you will probably pay more in the early years and less in the later years than you would if you had an annual renewable policy. You will probably also encounter a big increase in premiums at the end of your term when you apply for a new insurance policy. The big advantage of level term is that your premiums stay the same throughout your policy, even as you get older. However, if for some reason you change policies in the early years - when your level term policy is most expensive - you will end up paying more than you need to for coverage. Decreasing term insurance. With decreasing term, your cash benefits decrease each year while your premiums remain level for the duration of the term. Decreasing term is typically used to cover an item whose costs decrease over time, such as your

home's mortgage. It isn't a wise choice for your general life insurance needs which, due to the effects of inflation, tend to increase over time. Convertible term insurance. Convertible term enables you to convert your term insurance into any of the other types of insurance policies offered by the issuing insurance company. Convertibility can be an advantage if your insurance needs change over time, as they are likely to do. And, since it involves greater risk for the insurance company, it generally costs more than annual renewable term. What Happens When The Term Is Over? It all depends on the type of term insurance you have. With renewable term, you are guaranteed the right to take out another term policy without the formality of a new application or medical examination. With standard term, your insurance coverage ceases, and you have to apply again, including taking a medical examination. With convertible term, you reserve the right to convert your term policy to another type of policy like Whole Life or Universal Life - or in some cases, another term policy - at any time during the term of your policy. You should, however, expect an increase in your premiums with your new policy. Accidental Death Insurance A special limited type of term insurance Accidental death term pays out a cash benefit if you die in an accident. Since the sudden loss of a loved one can impose extreme hardship on a family, this coverage can be thought of as "catastrophic protection." It can also be thought of as "inexpensive term" since it only pays benefits for death resulting from accidents and, therefore, often costs less than other types of term insurance. The best way to protect your family is with a life insurance policy that pays benefits if you die from any cause. But if you don't feel you can afford regular term insurance, you should at least give your family the protection of a good, inexpensive Accidental Death policy.

Summary: Advantages Of Term Life: WHAT IT DOES

It pays a death benefit to the beneficiary you name that will: 1). cover your final expenses and 2). provide a lump sum that can be invested to meet the ongoing needs of your dependents. It covers you for the full amount of life insurance you choose for a specified period of time. It can be convertible and renewable depending on the policy. It gradually increases annual premium as you get older. It traditionally works well to meet temporary insurance needs.

Disadvantages of Term Life: WHAT IT DOESN'T DO:

It doesn't provide a cash value account for some later point such as retirement. It doesn't provide you permanent life insurance protection.

LIMITATIONS
Though every care has been taken to make this report authentic in every sense, yet there were few uncomfortable factors which might have had influence on the final report linking factors can be stated as: As the number of universe wits very large enough due to time limitations all the respondents could not be covered. Some of the respondents were not candid enough to reveal all the required information. They might have given inflated or wrong information. Because of the diversity of the nature of the

respondents the findings of the survey could not be generalized. Also some personal bias might have crept into the information provided by respondents.

Analysis & Findings

SUMMER TRAINING REPORT ON

FISH NET TWINE MARKET IN DELHI

SRF POLYMERS LTD.

New Delhi

KURUKSHETRA UNIVERSITY, KURUKSHETRA

IN THE PARTIAL FULFILLMENT FOR THE REQUIREMENT OF MASTER OF BUSINESS ADMINISTRATION DEGREE

Submitted to:

(SESSION 2004-2006)
Under Guidance Of :

Mr. Sumit Gupta

Submitted By: Vikram Choudhary

(Zonal In-charge, Nr) SRF Polymers Ltd., Delhi

M.B.A. (F) Univ. R. No.______

Maharaja Agrasen Institute of Management & Technology (MAIMT) (Approved by AICTE &Affiliated to Kurukshetra University, Kurukshetra) Jagadhri

Contents
S. No. 12. 13. 14. 15. Title Certificate Acknowledgement Preface Company Profile Introduction Business Philosophy Community Relations Products & Business A. Plants B. Fishnet Twines 16. 17. 18. 19. Corporate Structure SRF Milestones Investors Relations Literature Review Research Methodology Analysis And Interpretations Limitations

10. ANNEXURE 11. BIBLIOGRAPHY

BIBLIOGRAPHY
Books: Research Methodology Business Research And Methods Marketing Management By Kothari, C.R. By cooper, Donal R. & Schindler By Kotler, Philip

Websites
www.dixoninfo.com