INTRODUCTION

General Insurance Corporation of India (GIC)

The general insurance industry in India was nationalized and a government company
known as General Insurance Corporation of India (GIC) was formed by the Central
Government in November 1972. With effect from 1 January 1973 the erstwhile 107
Indian and foreign insurers which were operating in the country prior to
nationalization, were grouped into four operating companies, namely, (i) National
Insurance Company Limited; (ii) New India Assurance Company Limited; (iii)
Oriental Insurance Company Limited; and (iv) United India Insurance Company
Limited. (However, with effect from Dec'2000, these subsidiaries have been de-
linked from the parent company and made as independent insurance companies). All
the above four subsidiaries of GIC operate all over the country competing with one
another and underwriting various classes of general insurance business except for
aviation insurance of national airlines and crop insurance which is handled by the
GIC.

Besides the domestic market, the industry is presently operating in 17 countries

directly through branches or agencies and in 14 countries through subsidiary and
associate companies.

LIFE INSURANCE COMPANIES

 Max New York Life Insurance Co. Ltd.

Max New York Life Insurance Company Limited is a joint venture that brings
together two large forces - Max India Limited, a multi-business corporate, together
with New York Life International, a global expert in life insurance. With their various
Products and Riders, there are more than 400 product combinations to choose from.
They have a national presence with a network of 57 offices in 37 cities across India.

 ICICI Prudential Life Insurance Company Ltd.

ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a
premier financial powerhouse and prudential plc, a leading international financial
services group headquartered in the United Kingdom. ICICI Prudential was amongst
the first private sector insurance companies to begin operations in December 2000
after receiving approval from Insurance Regulatory Development Authority (IRDA).
The company has a network of about 56,000 advisors; as well as 7 banc assurance and
150 corporate agent tie-ups.

 Om Kotak Mahindra Life Insurance Co. Ltd.

Kotak Mahindra Old Mutual Life Insurance Ltd. is a joint venture between Kotak
Mahindra Bank Ltd. (KMBL), and Old Mutual plc.

 Birla Sun Life Insurance Company Ltd.

Birla Sun Life Insurance Company is a joint venture between Aditya Birla Group and
Sun Life financial Services of Canada.

 Tata AIG Life Insurance Company Ltd.

 SBI Life Insurance Company Limited

 ING Vysya Life Insurance Company Private Limited

 Allianz Bajaj Life Insurance Company Ltd.

 Metlife India Insurance Company Pvt. Ltd.

 AMP SANMAR Assurance Company Ltd.

 Dabur CGU Life Insurance Company Pvt. Ltd.

GENERAL INSURANCE

1. Royal Sundaram Alliance Insurance Company Limited

The joint venture bringing together Royal & Sun Alliance Insurance and Sundaram
Finance Limited started its operations from March 2001. The company is Head
Quartered at Chennai, and has two Regional Offices, one at Mumbai and another one
at New Delhi.

2. Bajaj Allianz General Insurance Company Limited

Bajaj Allianz General Insurance Company Limited is a joint venture between Bajaj
Auto Limited and Allianz AG of Germany. Both enjoy a reputation of expertise,
stability and strength.

Bajaj Allianz General Insurance received the Insurance Regulatory and Development
Authority (IRDA) certificate of Registration (R3) on May 2nd, 2001 to conduct
General Insurance business (including Health Insurance business) in India. The
Company has an authorized and paid up capital of Rs 110 crores. Bajaj Auto holds
74% and the remaining 26% is held by Allianz, AG, Germany.
3. ICICI Lombard General Insurance Company Limited

ICICI Lombard General Insurance Company Limited is a joint venture between ICICI
Bank Limited and the US-based $ 26 billion Fairfax Financial Holdings Limited.
ICICI Bank is India's second largest bank, while Fairfax Financial Holdings is a
diversified financial corporate engaged in general insurance, reinsurance, insurance
claims management and investment management.

Lombard Canada Ltd, a group company of Fairfax Financial Holdings Limited, is one
of Canada's oldest property and casualty insurers. ICICI Lombard General Insurance
Company received regulatory approvals to commence general insurance business in
August 2001.

4. Cholamandalam General Insurance Company Ltd.

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

venture of the Murugappa Group & Mitsui Sumitomo.

Chola-MS commenced operations in October 2002 and has issued more than 1.4 lakh
policies in its first calendar year of operations. The company has a pan-Indian
presence with offices in Chennai, Hyderabad, Bangalore, Kochi, Coimbatore,
Mumbai, Pune, Indore, Ahmedabad, Delhi, Chandigarh, Kolkata and Vizag.

5. TATA AIG General Insurance Company Ltd.

Tata AIG General Insurance Company Ltd. is a joint venture company, formed from
the Tata Group and American International Group, Inc. (AIG). Tata AIG combines the
strength and integrity of the Tata Group with AIG's international expertise and
financial strength. The Tata Group holds 74 per cent stake in the two insurance
ventures while AIG holds the balance 26 per cent stake.

Tata AIG General Insurance Company, which started its operations in India on
January 22, 2001, offers the complete range of insurance for automobile, home,
personal accident, travel, energy, marine, property and casualty, as well as several
specialized financial lines.

6. Reliance General Insurance Company Limited.

7. IFFCO Tokio General Insurance Co. Ltd

8. Export Credit Guarantee Corporation Ltd.

9. HDFC-Chubb General Insurance Co. Ltd.

STRENGHS

Financial Expertise
As a joint venture of leading financial services groups, hdfc standard life has the
financial expertise required to manage your long-term investments safely and
efficiently.
Range of Solutions

We have a range of individual and group solutions, which can be easily customised to
specific needs. Our group solutions have been designed to offer you complete
flexibility combined with a low charging structure.

Track Record so far

Our gross premium income, for the year ending March 31, 2008 stood at Rs. 4,859
crores and new business premium income stood at Rs. 2,685 crores.

The company has covered over 9,59,000 lives year ending March 31, 2008.

Products of HDFC standard life insurance

 Indivisual

 Group

 Social

Individual Products
We at HDFC Standard Life realize that not everyone has the same kind of needs.
Keeping this in mind, we have a varied range of Products that you can choose from to
suit all your needs. These will help secure your future as well as the future of your
family.
Protection Plans
You can protect your family against the loss of your income or the burden of a loan in
the event of your unfortunate demise, disability or sickness. These plans offer
valuable peace of mind at a small price.
Our Protection range includes our Term Assurance Plan & Loan Cover Term
Assurance Plan.
Investment Plans
Our Single Premium Whole Of Life plan is well suited to meet your long term
investment needs. We provide you with attractive long term returns through regular
bonuses.

Pension Plans
Our Pension Plans help you secure your financial independence even after retirement.
Our Pension range includes our Personal Pension Plan, Unit Linked Pension, Unit
Linked Pension Plus

Savings Plans
Our Savings Plans offer you flexible options to build savings for your future needs
such as buying a dream home or fulfilling your children immediate and future needs.
Our Savings range includes Endowment Assurance Plan, Unit Linked Endowment,
Unit Linked Endowment Plus, Unit Linked Endowment Plus II, Money Back,

Unit Linked Enhanced Life Protection II, Children's Plan, Unit Linked Young Star,
Unit Linked Young Star Plus, Unit Linked Young Star Plus II.

Group Products

One-stop shop for employee-benefit solutions

HDFC Standard Life has the most comprehensive list of products for progressive
employers who wish to provide the best and most innovative employee benefit
solutions to their employees. We offer different products for different needs of
employers ranging from term insurance plans for pure protection to voluntary plans
such as superannuation and leave encashment.

We now offer the following group products to our esteemed corporate clients:

 Group Term Insurance

 Group Variable Term Insurance

 Group Unit-Linked Plan

An investment solution that provides funding vehicle to manage corpuses with
Gratuity, Defined Benefit or Defined Contribution Superannuation or Leave
Encashment schemes of your company

Also suitable for other employee benefit schemes such as salary saving schemes and
wealth management schemes

Social Product

Development insurance plan

Development Insurance plan is an insurance plan which provides life cover to

members of a Development Agency for a term of one year. On the death of any
member of the group insured during the year of cover, a lump sum is paid to those
member beneficiaries to help meet some of the immediate financial needs following
their loss.

Eligibility

 Members of the development agency and their spouses with:

 Minimum age at the start of the policy 18 years last birthday
 Maximum age at the start of policy 50 years last birthday
Employees of the Development Agency are not eligible to join the group. The group
to be covered is only eligible if it contains more than 500 members.

Premium Payments

The premium to be paid will be quoted per member in the group and will be the same
for all members of the group.

The premium can only be paid by the Development Agency as a single lump sum that
includes all premiums for the group to be covered. Cover will not start until the
premium and all the member information in our specified format has been received

The premium rate is Rs. 25 per Rs. 10,000 of lump sum, per member.

Benefits

On the death of each member covered by the policy during the year of cover a lump
sum equal to the sum assured will be paid to their beneficiaries or legal heirs. Where
the death is as a result of an accident, an additional lump sum will be paid equal to
half the sum assured. There are no benefits paid at the end of the year of cover and
there is no surrender value available at any time.

The role of the Development Agency

Due to the nature of the groups covered, HDFC Standard Life will be passing certain
administrative tasks onto the Development Agency. By passing on these tasks the
premium charged can be lower. These tasks would include:
 Submission of member data in a specified computer format
 Collection of premiums from group members
 Recording changes in the details of group members
 Disbursement of claim payments and the mortality rebate (if any) to group
members.

These tasks would be in addition to the usual duties of a policyholder such as:
 Payment of premiums
 Reporting of claims
 Keeping policy holder information up to date
 Training and support will be available to give guidance on how to complete
the tasks appropriately.

Since these additional tasks will impose a burden on the Development Agency, the
Development Agency may charge a Rs. 10 administration fee to their members.

Prohibition of rebates

Section 41 of the Insurance Act, 1938 states

No person shall allow or offer to allow, either directly or indirectly, as an inducement
to any person to take out or renew or continue an insurance in respect of any kind of
risk relating to lives or property in India, any rebate of the whole or part of the
commission payable or any rebate of the premium shown on the policy, nor shall any
person taking out or renewing or continuing a policy accept any rebate, except such
rebate as may be allowed in accordance with the published prospectus or tables of the
insurer
If any person fails to comply with sub regulation (previous point) above, he shall be
liable to payment of a fine which may extend to rupees five hundred.

PROFILE
GENERAL INSURANCE
With the opening up of the insurance industry to the private sector, the need for a
strong, independent and autonomous Insurance Regulatory Authority was felt. As the
enacting of legislation would have taken time, the then Government constituted
through a Government resolution an Interim Insurance Regulatory Authority pending
the enactment of a comprehensive legislation.
The Insurance Regulatory and Development Authority Act, 1999 is an act to provide
for the establishment of an Authority to protect the interests of holders of insurance
policies, to regulate, promote and ensure orderly growth of the insurance industry and
for matters connected therewith or incidental thereto and further to amend the
Insurance Act, 1938, the Life Insurance Corporation Act, 1956 and the General
insurance Business (Nationalization) Act, 1972 to end the monopoly of the Life
Insurance Corporation of India (for life insurance business) and General Insurance
Corporation and its subsidiaries (for general insurance business). Definition and
meaning:
1. INSURANCE:
Insurance is the means of managing risk and protection against financial loss arising
as a result of contingencies, which may or may not occur. In other words, insurance is
the act of providing assurance, against a possible loss, by entering into a contract,
with one who is willing to give assurance. Through this contract the person willing to
give assurance binds himself to make good such loss, if it occurs.
2. GENERAL INSURANCE:
General insurance means managing risk against financial loss arising due to fire,
marine or miscellaneous events as a result of contingencies, which may or may not
occur. General Insurance means to “Cover the risk of the financial loss from any
natural calamities viz. Flood, Fire, Earthquake, Burglary, etc.. i.e. the events which are
beyond the control of the owner of the goods for the things having insurable interest
with the utmost good faith by declaring the facts about the circumstances and the
products by paying the stipulated sum , a premium and not having a motive of making
profit from the insurance contract.”
Some of the General Rules:

1. Mis-description :
The insurance policy shall be void and all the premiums paid by insured may
be forfeited by the insurance company in the event of mis-presentation or mis-
declaration and/or non-disclosure of any material facts.

2. Reasonable care :
The insured shall take all reasonable steps to safeguard the property insured
against any loss or damage. Insured shall exercise reasonable care that only competent
employees are employed and shall take all reasonable precautions to prevent all
accidents and shall comply with all statuary or other regulations
3. Fraud :
If any claim under the policy may be in any respect fraudulent or if any
fraudulent means or device are used by the insured or any one acting on the insured’s
behalf to obtain any benefit under the insurance policy, all the benefits under the
insurance policy may be forfeited.
4. Few basic principles of general insurance are :
1. Insurable interest
2. Utmost good faith
3. Subrogation
4. Contribution
5. Indemnity
5 Risks of loss not covered under general insurance are:
The loss or damage or liability or expenses whether direct or indirect occasion
by happening through or arising from any consequences of war, invasion, act of
foreign enemy, hostilities (whether war be declared or not), civil war, rebellion
revolution, civil commotion or loot or pillage in connection therewith and loss or
damage caused by depreciation or wear and tear. However the risk of loss or damage
by war can be insured by payment of additional premium in some cases only.
 WORKING OF ORIENTAL ASSURANCE
The Oriental Insurance Company' Ltd. (OICL) is one of the leading General
Insurance companies in India and is a subsidiary of the General Insurance Corporation
(GIC) of India. It is one of the oldest Insurance companies and was established in the
year 1947. The Company transacts all kinds of non-life insurance business ranging
from insurance covers for very big projects to small rural insurance covers. OICL has
its Head office in New Delhi, the capital of India. The Company has 21 Regional
Offices, 311 Divisional Offices and 635 Branch offices in various cities of the
country.
Reinsurance connections are spread all over the world. The Company has a
very high reputation in the Reinsurance market. OICL specializes in devising special
covers for large projects like Power Plants, Petro-chemical, Steel Plants and chemical
plants. It has a highly technically qualified and competent team of professionals, to
render the best customer service. The Company has a dedicated project cell at the
Head Office as well as major cities of India. A special R & D team has been dedicated
to bring out special innovative covers like Stock-Brokers' Policies, Special Package
Policies etc.
MISSION
o To develop general insurance business in the best interest of the community.
o To provide financial security to individuals, trade and commerce by offering
insurance products and service of high quality at affordable cost.
VALUES
o Highest priority to customer needs.
o High standards of public conduct.
o Transparency in operations.
COMMITMENTS TO THE CITIZENS
o In areas coming within competence of GIC respond to all commercially viable
general insurance requirements of the citizens, not hitherto available within
three months from the date on which such a demand is received.
o In areas covered by tariff, appropriate proposals will be submitted to the Tariff
Advisory Committee with appropriate comments within two months.
o Continue to provide customized insurance products for weaker sections of the
society at affordable price within six months of receipt of a request for a
specific type of cover.
o Prepare booklets on standard policy covers setting out essential information
and make such booklets readily available for purchase at suitable places.
o Promote customer education in general insurance service by holding
workshops in important regional centers.
o Make available to a customer, on request to the policy issuing office, the status
of his claim and/or claim settlement details within 7 working days.
o Endeavor to set up a system of Ombudsman at four metropolitan cities to
conciliate disputes on personal line insurance claims
CORPORATE OBJECTIVES:
o To serve better the insurance needs of the entire community, keeping
CUSTOMER as the focus.
o To serve better the insurance needs of the entire community, keeping
CUSTOMER as the focus.
o To manage Business profitably, Manage funds judiciously and deploy
investible funds for optimum Yield.
o To manage Business profitably, Manage funds judiciously and deploy
investible funds for optimum Yield.
o To work towards minimization of losses and develop Risk Management
Technologies.
o To function as a strong and dynamic non-life insurer.
PRODUCTS:
The various products can be grouped under the following categories:
o Individuals/Family
o Marine
o Professionals
o Business/Office/Traders
o Engineering/Industry
o Agriculture/Sericulture/Poultry
o Animals/Birds
o Aviation
o Motor Vehicle – Private/Commercial
o Health-Mediclaim/Overseas Mediclaim/Personal Accident
Documents requirement for various types of Claims
Different documents are required for settling different types of claims. The
most commonly required ones are mentioned under each claims type listed below.
Your full cooperation to surveyor/Investigator appointed by the Company would
enable prompt settlement of claims.
o Claim due to Fire and/or Explosion.
o Claim due to Flood, Storm, Cyclone, Earthquake, and Subsidence/Landslide.
o Claim due to Riot, Strike, Malicious Damage and Terrorism (RSMDT).
o Marine Inland Transit Loss of cargo/machinery.
o Marine Loss of cargo/machinery for export'
o Marine Loss of cargo/machinery during Import
o Claim due to Electrical / Mechanical/ Electronic Breakdown/ mishandling/
o Impact damage to machine.
o Claim due to Burglary/Theft of Vehicle
o Accidental Death Claim
o Permanent Disability/Injury claim due to accident
o Temporary Total Disability (TTD) (Weekly compensation) claim due to
accident
o Mediclaim claim due to hospitalization (disease/accident)
o Claim due to Death of Cattle (Non-IRDP)/Permanent Total Disablement.
Damage claim to private Vehicle (Car/2Wheeler) due. to accident
o Claim of Damage to Commercial Vehicle (Taxi/Bus/Lorry) due to accident.
Third Party (T.P.) Claim due to accident.

WORKING OF NEW INDIA ASSURANCE COMPANY LTD.

II. The New India Assurance Company.
Established by Sir Dorab tata in 1919, New India’ was the first fully Indian
owned insurance company in India. There were nearly 150 insurance firms in India –
including ones from France, the UK and America. These were operated through
managing agencies in India largely held by Indian business houses.New India is a
leading global insurance group, with offices and branches throughout India and
various countries abroad. The company services the Indian subcontinent with a
network of 1,130 offices, comprising
26 Regional offices, 366 Divisional offices and 738 Branches. With approximately
25,000 employees, New India has the largest number of specialist and technically
qualified personnel at all levels of management, who are empowered to underwrite
and settle claims of high magnitude New India has historically been a frontrunner in
several diverse fields of business and industrial activity. New India are lead
underwriters of India's Space programn1e having insured several INSAT and other,
satellites. New India are pioneers in Engineering insurance, Financial risks insurance
and are now offering customized Risk Management solutions to our: corporate clients
in the Private and public Sectors in Power, Telecom, Petrochemicals, Steel and
Automobile industries New India's foreign operations started with the establishment
of an office in London in 1920. An international presence was built up by New India
as a direct writing Company in 23 countries spanning 5 continents. It increased its
reach and capacity, for reinsurance facilities for all classes of business. Starting way
back in the 1920s, New India's UK operations have now taken deep root. New India is
party to one of the oldest reinsurance treaties in the UK market. Through participation
in Aviation and Marine Hull underwriting, New India has, over a period of time,
strengthened its market presence. In 1980's with the establishment of a full-fledged
branch to underwrite UK Business, it has extended its UK operations, authorized by
the Department of Trade and industry
The New India commenced its Japan operations in 1950, and now: operates
through 8 branches. The Japanese operation covers 35% of the Company’s overseas
premium income.
Since incorporation in the year 1906, National Insurance~ Company has been
carrying out general insurance business under private management until 1972, the
year of its nationalization. In the same year 22 foreign and 11 Indian Insurance
Companies were amalgamated with National Insurance Company Limited, as a
subsidiary company of General Insurance Corporation of India Headquartered in
Calcutta it has an organizational network of over 964 offices with around 20,077
trained workforces. The company also has operations in Hong Kong and Nepal and
ranks among the top global business insurers. Later on in 2002, with the passage of
Insurance amendment Bill (2002), National Insurance Company has been delinked
from GlC and. has been functioning as an independent company Its product range
includes motor vehicle insurance; fire insurance on buildings and other assets; various
crime covers like burglary and theft of cash; machinery
breakdown cover for industrial equipment; transit damage cover for imported or
exported goods; as well as legal liability cover.
Professional indemnity and directors and officer’s liability covers are some of the new
covers. NICO General Insurance seeks to attract clients and intermediaries and
flexibility in claims settlements, and at the same time ensuring that we do not erode
shareholder value. The objective is to add value to the shareholders' funds whilst
ensuring customer satisfaction? The strength of NGI is in its balance sheet. NICO
General Insurance views the future and its prospects as extremely bright, exciting and
rewarding for staff, clientele and shareholders alike.
United India Insurance Company
United India Insurance is one of the four subsidiaries of the General Insurance
Company carrying on general insurance business with its head office at Chennai.
Later on in 2002, with the passage of Insurance amendment Bill (2002), United India
Insurance has been Del inked from GIC and has been functioning as an independent
company. UI spans the country with a network of 1123 offices and manpower of Over
21,000 employees. The organizational structure comprises 22 regional offices, 327
divisional offices.., and 777 branch offices, supported by 21,505 employees. ICRA
has maintained the iAAA rating, indicating the claims paying ability of United India
Insurance (UII) to be of the highest order. The rating takes into consideration the
favorable prospects for the domestic general insurance industry following the
deregulation of the sector.
UII continues to be a dominant player in the Indian insurance industry, with an
overall market share of 25% and a leadership position in the southern markets. UII is
a Pioneer of Personal Insurance Products in India who specializes in non-life
insurance products including Medical and Accident Insurance. It enjoys a market
share of over 25 percent of the non-life insurance sector in India.
PRIVATE COMPANIES
1. Bajaj Allianz General Insurance Company:
Allianz group was founded in 1890 and is one of the world's leading insurance
companies with over 100 year's experience in insurance and related services. It is also
the largest insurer in Europe. Allianz group has multi-local structure and presence in
over 70 countries. The key business areas of Allianz group include General Insurance
(property, engineering, marine, motor, casualty and miscellaneous), Reinsurance, Risk
Management, Life & health insurance, Asset Management and Pension Funds
Management.
Bajaj Auto Ltd.
Bajaj Auto Ltd the flagship company of Bajaj Group was incorporated in 1945
as Bachraj Trading Corporation. Initially it started by assembling two and three
wheelers in collaboration with Piaggio of Italy. After the expiry of the Agreement in
1971 the two and three wheelers acquired the brand name of Bajaj. The strength of the
company lies in its strong brand image and ability to offer value for money products
leveraging on its large-scale operations.
The Joint Venture
Bajaj Allianz General Insurance a joint venture non-life company promoted
jointly by Bajaj Auto and German insurer- Allianz. Indian auto major holds 74%
while Allianz holds 26% in the Joint Venture, and has an authorized and paid up
capital of Rs. ll0 crores. Mr. Graham Norris is the CEO of the company. Bajaj Allianz
General Insurance will leverage the customer base and expertise of Bajaj Auto Ltd
and Allianz.
Royal Sundaram General Insurance
Company Limited:
Sundaram Finance
Sundaram Finance Limited (SF) was established In 1954 with a paid-up capital of Rs.
0.02 million, primarily to assist the development of Road Transport Industry. SF has
been providing financial assistance to road transport operators for acquiring
commercial vehicles under hire purchase system. Emerging as the leader in the
industry, SF has been staying at that position for over four decades. SF diversified into
equipment leasing in 1981.
Royal & Sun Alliance
Royal & Sun Alliance is one of the world's leading international Insurance
companies. The Sun was established in 1710 and is the oldest. Insurance company in
existence still trading under its original name. The Alliance was founded in 1824 and
the Royal in 1845.
The Group's international presence began to emerge in the 18th century with
business ventures in mainland Europe. Forays into the US and Canadian markets
followed in the 19th century, and in 1998, Royal & Sun Alliance became the first UK
insurance company to be granted a license to operate in China.

The Joint Venture

The joint venture bringing together Royal & Sun Alliance Insurance and
Sundaram Finance Limited started its operations from March 2001. The company is
Head Quartered at Chennai, and has two Regional Offices, one at Mumbai and
another one at Delhi. The venture is aiming at Rs. 120 Crores in revenue during first
year of its operations and is confident of breaking even by fifth year.
ICICI
ICICI Ltd. was established in 1955 by the World Bank, the Government of
India and the Indian Industry, to promote industrial development of India by
.Providing project and corporate finance to Indian industry. Since inception, ICICI has
grown from a development bank to a financial conglomerate and has become one of
the largest public financial institutions in India. ICICI has thus far financed all the
major sectors of the economy, covering 6,848 companies and 16,851 projects.
Lombard
Lombard Canada Ltd., is a leading insurance management company
responsible for providing insurance management services for all of the Lombard
group's commercial, personal, and specialized insurance companies. Canadian owned
and operated, Lombard Canada Ltd. has its head office in Toronto and has annual
sales in excess of$500 million and is a wholly owned subsidiary of Fairfax Financial
Holdings Limited (FFH on the TSF Lombard Canada Ltd. has achieved a reputation
for providing solid underwriting performance, diversified books of business and
strong capital positions.
The Joint Venture
ICICI Lombard General Insurance Co will be headed by Mr. Sanjiv Kerkar. ICICI
would hold about 74 percent stake, while Canadian insurer Lombard would hold the
maximum permissible 26 percent and commence business with a start-up capital of
Rs.100 crore. ICICl Lombard has plans to sell covers to the corporate clients of ICICl.
St the same time it will sell property insurance for ICICI home loan seekers and auto
insurance for those availing of car finance.
Tata AIG General Insurance Company
Limited:

TATA Group
Tata Enterprises with 82 companies, spread over seven sectors and with an
annual turnover exceeding US $ 8.8 billion, employs more than 262,000 people. Tata
Group has shown over years that it is a value driven company and has" pioneering
contributions in various fields including insurance, activation, iron and steel. Tata
companies have forged a number of global alliances with eminent international
partners in several fields. In terms of capital market performance as many as 40 listed
Tata companies account for nearly 5% 6fthe total market capitalization of all listed
companies.
TATA Group in Insurance
The Late Sir Dorab Tata was the founder Chairman of New India Assurance
Co. Ltd., a group company incorporated way back in 1919. Government of India took
over the management of this company as a part of Nationalization of general
insurance companies in 1972. Not deterred by the move, Tata group have ventured
into" risk management services having tied up with AIG group, back in 1977, with the
incorporation of Tata AIG Risk Management Services Pvt. Ltd.

AIG
“American Insurance Group is the leading U.S. based international insurance
and financial services organization and the largest underwriter of commercial and
industrial insurance in the United States. Its member companies write a wide range of
commercial and personal insurance products through a variety of distribution channels
in over 130 countries and jurisdictions throughout the world. AIG's global businesses
also include financial services and asset management, including aircraft leasing,
financial products, trading and market making, consumer finance, institutional, retail
and direct investment fund asset management, real estate investment management,
and retirement savings products.
The Joint Venture
Tata AIG General Insurance Co. Ltd. has a start-up capital of Rs. 125 crores of
which 74 per cent has been brought in by Tata Sons and American partner brings in
the balance 26 per cent.
Tata -AIG plans to be the first Indian insurance company to offer a
comprehensive policy to cover various risks in the IT sector, risk arising out of virus,
cyber crime, negligent acts, errors and omissions and third party liability from a
security failure. Other products on offer are property, casualty, marine, directors and
officer’s liability, accident and health, homeowners and automobile insurance.
Bajaj Allianz General Insurance Products

o Personal Accident
o Hospital Cash Daily Allowance Policy
o Health Guard
o Critical Illness
o Burglary Insurance
o Householders Insurance
o Travel Companion
o Fidelity Guarantee Policy
o Office package
o Money Insurance
o Public Liability
o Plate Glass Insurance
o Consequential Loss (Fire) Insurance Policy
o Tata AIG General Insurance Company Products
o Executive Guard
o Family Guard
o Travel Guard
o Home Secure
o Business Guard Sanjeevani
Reliance General Insurance Company
Limited:
Reliance Group'
 Reliance 'Group is India's largest business house has annual sales turnover of
Rs. 41,280 crore (US$ 9,003 million) and has posted a net profit of Rs. 2,940 crore
(US $ 641 million) for the 12-month period ending June 30, 2000. The Group has
total assets of Rs. 52,100 crore and net worth of Rs. 22,415 crore. It has a large
investor base of over 5 million, as well as a large customer base in retail (textiles,
LPG, Cellular phones, etc.) and commercial segments.
Reliance Industries Limited, India's largest private sector enterprise, is a,
major player in the Indian petrochemicals sector. Relianc6~s operations capture value
addition at every stage from producing crude oil and gas to polyester and polymer
products and are vertically integrated to the production of textiles. Reliance has one of
the largest marketing networks in the Indian Industry. All its brands are market
leaders.
Reliance General Insurance Company Limited
Reliance group has announced its plans to enter the Indian insurance sector-
both in the life and general insurance businesses'. Reliance Industries plans to bring in
around Rs. 300 Crores into its insurance venture through its financial arm Reliance
Capital Ltd. Reliance group will be the lead investor for this initiative. The two
companies will have an initial authorized capital of Rs.200 crores (US $ 43.62
million) each. This is the first application from an Indian company without a foreign
insurance tie-up. However, Reliance will associate with international insurance
consultants to bring the best practices in the business to India.
Iffco Tokio General Insurance Company ltd
Iffco
Indian farmer’s fertilizers cooperative limited was created on Nov 3, 1967 as a
multi unit cooperative society engaged in production and distribution of fertilizers the
byelaws of the society provide a broad framework for the activities of IIFCO as a
cooperative society the main emphasis is on production and distribution of fertilizers
The Tokio marine and fire insurance The Tokio marine and fire insurance (Tokio
marine) company holds a leading position in Japan’s property and casualty insurance
industry. It is the second largest in P & C insurance market in the world.
With superior capitalization, stable profitability and conservative management
tem the company provides a large rage of property and casualty insurance products n
services including, automobile fire and personal accident to retail corporate clients
The Joint Venture
 IFFCO TOKIO General Insurance Company is a joint venture promoted by
India Farmers Fertilizers Co-Operative, Tokio Marine and fire Insurance Company,
Japan, the fifth largest insurance company in the world, Krishak bharathi Cooperative
ltd. (KRIBHCO), and Indian potash. Their contribution to the Rs.100 crore equity
capitals is 49 percent, 20 percent and 5 percent respectively. The head Office is in
Delhi and operating Office are
in about 20 cities.
IFFCO Tokio Insurance Products
• Home & Family Protector
• Standard Fire & Special Perils
• Burglary and House Breaking
• Personal accident
• Trade Protector
• Travel Protector
 DATA ANALYSIS & INTERPRETATION

 DATA GIVES PREFERENCE OF RESPONDENTS OF INSURANCE

COMPANIES

NO.OF
COMPANY’S NAME SHARE (%)
RESPONDENT

GENERAL INSURANCE 78 78

ORIENTAL ASSURANCE 50 50

INTERPRETATION

 78% of the people contacted prefer LIC policy to any other and therefore it is
ranked no.1 by that percent of respondents.
 DATA GIVES BENEFITS OF INSURANCE PERCEIVED BY
RESPONDENTS

NO.OF
BENEFITS SHARE (%)
RESPONDENTS

Cover Future Uncertainty 55 55

Tax Deductions 20 20
Future Investment 25 25
TOTAL 100 100

INTERPRETATION

 55% of the respondents believe that covering future uncertainty is the biggest
benefit of an insurance policy.
 Whereas, 20% and 25% of them believe that the other benefits are Tax
deduction and future investments respectively.

 DATA PROVIDES FEATURES OF INSURANCE POLICY THAT

ATTRACTED RESPONDENTS

FEATURE NO.OF SHARE (%)

RESPONDENTS
Money Back Guarantee 15 15
Larger Risk Coverance 37 37
Easy Access to Agents 7 7
Low Premium 30 30
Company’s Reputation 11 11
TOTAL 100 100

FEATURES OF INSURANCE POLICY

MONEY BACK
GUAARENTEE
11% 15% LARGER RISK
COVERANCE

EASY ACCESS TO
AGENTS
30%
LOW PREMIUM
37%
7%
REPUTATION OF
COMPANY

INTERPRETATION

 Majority of the respondent (37%) found Larger risk coverance as the most
attracted feature of the all.
 DATA PROVIDES NUMBER OF INSURANCE POLICY TYPE
RESPONDENTS

POLICY TYPE NO. OF SHARE (%)

RESPONDENTS

LIFE POLICY 75 75

NON LIFE POLICY 25 25

BOTH 45 45

NATURE OF POLICY

45

LIFE
POLICY
NON LIFE
75
POLICY
BOTH

25

INTERPRETATION

 75% of the respondents have Life Insurance Policy while 45% have both. (The %
is calculated out of 280 positive response)
 DATA GIVES PEOPLE PERCEPTION ABOUT INSURANCE

RESPONSE NO. OF SHARE (%)

RESPONDENTS

A saving tool 81 81%

A tax saving device 74 74%

A tool to protect your family 100 100%

INTERPRETATION

 81% of the respondents have perception of Insurance being a saving tool.

 And 74% of the respondents have perception of Insurance being a tax saving
device.

 But 100% of the respondents are with the view that Insurance is a tool to protect
your family.

 DATA SHOWS PEOPLES HAVING INSURANCE

 30%

70%

Yes
No

RESPONSE NO. OF SHARE (%)

RESPONDENTS

Yes 70 70%

No 30 30%

Total 100 100%

INTERPRETATION

 Of the sample size of 400 surveyed respondents 70% of the respondents are
having Insurance policy.

 30% of the respondents are either not having any Insurance policy at present or
their policy is already matured.

 And at present 100% of the respondents are with the view that Insurance is a tool
to protect your family.
 DATA SHOWS BUYING PROCESS OF THE PEOPLE

BUYING PROCESS NO. OF SHARE (%)

RESPONDENTS

Customer approached Insurance 45 45%

company/Agent

Company/agent approached 55 555

customer

Total 100 100%

55%
45%

Customer approached Insurance company/Agent

Company/agent approached customer

INTERPRETATION

 44.5% of the respondents approached the Insurance Company / Agent.

 Whereas, 55.5% of the respondents were approached by the Company /Agent.

 DATA SHOWS REASONS BEHIND FOR INSURANCE

RESPONSE NO. OF SHARE (%)

RESPONDENTS

Tax saving 80 80%

Saving / Investment 80 80.%

Family protection 100 100%

80

100

80
Slice 1 Slice 2 Slice 3

INTERPRETATION

 80.71% of the Respondents opted for Insurance for tax saving benefits.

 80.71% of the Respondents opted for saving / Investments.

 But all of them, i.e. 100% of the respondents have opted for insurance for their
family protection.
 DATA SHOWS SATISFACTION OF RESPONDENTS WITH RESPECT TO
POLICY

RESPONSE NO. OF SHARE (%)

RESPONDENTS

Satisfied 60 60%

Not satisfied 40 40%

Not Responded 0 0.0%

Total 100 100%

0%

40%

60%

Satisfied Not satisfied Not Responded

INTERPRETATION

 60% of the respondents are more or less satisfied with their existing policy.

 40% of the respondents are not satisfied with their existing policy.

 In this case all of those who have taken a policy have responded.
 DATA SHOWS SATISFACTION OF +RESPONDENTS WITH RESPECT
TO SERVICE AGENT

RESPONSE NO. OF SHARE (%)

RESPONDENTS

Satisfied 45 45%

Not satisfied 55 55%

Not Responded 0 0.0%

Total 100 100%

45.00%
55.00%

Satisfied Not satisfied

INTERPRETATION

 45% of the respondents are satisfied with their existing service agent.

 55% of the respondents are not satisfied with their existing insurance agent.

 All of those who have taken a policy have responded.

 DATA SHOWS NUMBER OF RESPONDENTS PAYING TAX

RESPONSE NO. OF SHARE (%)

RESPONDENTS

Paying tax 100 100%

Not paying tax - 0%

Total 100 100%

0%

100%

Paying tax Not paying tax

INTERPRETATION

 Of the sample size of 400 respondents, all the respondents are paying tax.
 DATA SHOWS RESPONDENT’S INVESTMENTS FOR TAX SAVING

INVESTMENTS NO. OF SHARE (%)

RESPONDENTS
LIC 51 51%
NSC 33 33%
Bonds 32 32%
PPF 25 25%
PF 21 21%
EPF 11 11%
11

21
51

25

33
32
LIC NSC BOND PPF PF EPF

INTERPRETATION

 51% of the respondents save their tax by investing in LIC, which is the highest
among all Investment. This shows that most people for getting taxes benefits
invest in LIC.

 33.25% of the respondents do their tax saving by investing in NSC.

 32.25% of the respondents to their tax saving by investing in bonds.

 DATA SHOWS RESPONDENTS PERCEPTION ABOUT BEST FORM OF

INVESTMENT FOR SECURING THEIR FUTURE

NO. OF SHARE (%)

 RESPONDENTS
Fixed Assets 75 75%

Bank deposits 11 11%

Jewellery 25 25%
Securities i.e. bonds, MFs 40. 40%
Shares 10 10%
Insurance 70 70%

Fixed Assets
70
75 Bank deposits

Cash &
Jewellery
Securities i.e.
10 bonds, MFs
11 Shares
40 25 Insurance

INTERPRETATION

 75.25% of the respondents as with the view that Fixed Assets is the best form of
investment for securing their future.

 70.5% of the respondents are with the perception that Insurance is the best form
of investment for securing their future, which is one of the highest and this shows
that insurance is an important key for securing your future.

 DATA SHOWS WHAT PEOPLE INTENT TO GAIN FROM THEIR

INVESTMENT

RESPONSE NO. OF SHARE (%)

RESPONDENTS
Saving & Returns 100 100%
Security 90 90%
Tax benefits 71. 71.%
 71
100

90

Saving & Returns Security Tax benefits

INTERPRETATION

 100% of the respondents intent to gain saving and returns from their investment.

 90% of the respondent’s intent to gain security from their investments.

 Whereas, 71.75% of the respondent’s intent to gain tax benefits from their
investments.

 DATA GIVES PEOPLE’S PERCEPTION ON APPROPRIATE AGE FOR

BUYING INSURANCE

RESPONSE NO. OF SHARE (%)

RESPONDENTS
After 25 years 29 29%
After 35 years 10 10%
After 45 years 0 0%
Anytime 60 60%
 29%

60.61% 10.10%
0%

After 25 years After 35 years After 45 years Anytime

INTERPRETATION

 29% of the respondents are with the view that insurance should be bought after
the age of 25 years.

 10.5% of the respondents are with the view that insurance should be buyed after
the age of 35 years.

 Whereas, 60.5% of the respondents are with the view that buying of insurance do
not have any thing to do with age i.e. there is no age limitations. It can be
purchased any time according to the need.
 DATA SHOWS PEOPLE OPINION ABOUT INDIAN INSURANCE
COMPANIES

RESPONSE NO. OF SHARE (%)

RESPONDENTS
Rigid plans 67 67%
Non user friendly 29 29%
Unsatisfactory services 26 26%
Non Aggressive 35 35%
Satisfactory 24 24%
Good 10 10%
Very good 0 0%

INTERPRETATION

 67% of the respondents have the opinion that Indian Insurance Companies have
Rigid plans.

 29.5% feel that Indian Insurance companies are Non-user friendly.

 26.5% feel that services of Indian Insurance companies are Unsatisfactory.

 35.75% of the respondents are with the view that Indian Insurance companies are
Non-aggressive.
 24% of the respondents feel that products and services of Indian Insurance
companies is Satisfactory.

 Whereas only 10.25% feel that it is Good enough.

 And according to the data, no single person has felt that it is very good.
 DATA SHOWS WHAT PEOPLE WOULD LOOK FOR IN AN INSURANCE
COMPANY

RESPONSE NO. OF SHARE (%)

RESPONDENT
S
A trusted name 82 82%
Friendly service & 71 71%
responsiveness
Good plans 81 81%
Accessibility 49 49%

49

82

81

71
A trusted name
Friendly service & responsiveness
Good plans
Accessibility

INTERPRETATION

 82% customers look for a Trusted name in a company for insurance.

 81.5% customers look for a good plan in a company for insurance.

 Friendly service & responsiveness and Accessibility are also important factors
looked by customers in a company.

 DATA SHOWS PEOPLE PLANNING FOR NEW INVESTMENTS

 RESPONSE NO. OF SHARE (%)
RESPONDENTS

Planning 87 87%

Not planning 13 13%

Total 100 100%

13.0%

87.0%

Planning Not planning

INTERPRETATION

 Only 12.5% of the customers contacted are not planning for new investments
presently.

 Whereas, 87.5% of the customers are still planning for new investments this can
be a great potential for Reliance Life Insurance to take them on their favor.
 DATA SHOWS PEOPLE INTERESTED IN GOING FOR INSURANCE IF
A SERVICE PROVIDER AWAY FROM THE CITY OFFERS BETTER
SERVICE & PRODUCTS

RESPONSE NO. OF SHARE (%)

RESPONDENTS
Yes 43 43%
No 44 44%
Uncertain 13 13%
Total 100 100%

13%

43%

44%

Yes No Uncertain

INTERPRETATION

The interested customers i.e. 43% are ready to go for insurance even away from a city
if services and products are worthwhile, which again is a good prospect (potential) for
Reliance Life Insurance to take them on their favor.

CONCLUSION
Our exhaustive research in the field of General life Insurance threw up some
interesting trends which can be seen in the above analysis. A general impression that
we gathered during Data collection was the immense awareness and knowledge
among people about various companies and their insurance products. People are
beginning to look beyond GIC for their insurance needs and are willing to trust
private players with their hard earned money.

People in general have been impression by the marketing and advertising campaigns
of insurance companies. A high penetration of print , radio and Television ad
campaigns over the years is beginning to have it’s impact now.

The general satisfaction levels among public with regards to policy and agents still
requires improvement. But therein lays the opportunity for a relative new comer like
ING.

SUGGESTION
 According the survey only 42% people are insured in Alwar so
reaming other part is potential for insurance sector.
 Among that 42% people who having insurance, they have insurance
40% for self 28%for spouse 21% for children and 18% for their parents
and 11% for all family member, also its very help full for insurance
sector so they should take necessary step for capture this potential.

 Only 42% people having insurance in Alwar in that 42% there are 82
% people are under insured and other 18% people are fully insured
according to their income so that is also plus point for insurance sector
to capture the market

BIBLIOGRAPHY
1. BOOKS/MAGAZINES REFFERED:

 STUDY GUIDE- PRINCILES & PRACTICES OF LIFE /

GENERALINSURANCE, BY AIMA.

 BOOKS PUBLISHED BY INSURANCE INSTITUTE OF INDIA

 LIFE-INSURANCE, BY MC GILL

 INSURANCEWATCH.

 MONEYOUTLOOK.

2. WEBSITES REFFERED:

 WWW.CIFAINSURANCE.COM

 WWW.MONEYOUTLOOK.COM

 WWW.INSURANCE.IND.COM

3. REPORTS/ARTICLES REFFERED:

REPORT: ISSUES & CHALLENGES FACING THE INSURANCE

INDUSTRY…. DEC2005.

BRIEF PROFILE OF LIC, INDIA…DEC 2006.

REPORT: COPING WITH COMPETITION…JAN2007