The body of the dissertation report must be organized in the following manner.

 Cover Page with Title and other details

 Certificate of originality from the Student and Faculty

 Certificate by Head of the Institution

 Acknowledgements

 Abstract [Should not exceed 150 words with five key terms]

 Table of Contents

 List of Tables

 List of Figures

 Project report should not be less than 75 pages and not exceed 150 Pages with 12 point Times
Roman New Font with 1.5 line spacing.

 References

 Appendices

The chapters may broadly be divided into five as follows:

Chapter CONTENTS % of Total

Length

1 Introduction 15%
2 Review of literature and Research design 10%
3 Profile of the Selected Organization and Respondents 20%
4 Data Analysis and Interpretation 40%
5 Findings, conclusions and Recommendations 15%
Bibliography
Annexures

The Chapters mentioned above should have the following subdivisions:

Chapter 1: Introduction:
 Industry Profile

A History Of The Insurance Sector

Insurance has been around since ancient times. The Babylonians and Phoenicians had ocean
marine insurance to protect a merchant against losses incurred when a ship did not reach its
intended destination with its load of goods or did not return with payment. This form of
insurance, called respondent a, evolved because the goods on board often were used as
collateral for a loan. The lender charged the borrower interest on the loan and levied an
additional sum, the premium, to cover the cost of the respondentia contract. If the ship reached
its destination and returned, the merchant received payment for the goods and in turn paid
the moneylender. If the ship failed to return, the debt was cancelled. This system was
profitable to lenders because many respondents a contract were sold, and debts were paid
more often than cancelled.

 Marine Insurance: Marine insurance is the oldest form of insurance followed by life insurance
and fire insurance. The oldest and the earliest records of marine policy relates to a Mediterranean
voyage in 1347. In the year 1400, a book written by a merchant of Florence, indicates premium
rates charged for the shipments by sea from London to Pisa.

 Fire insurance: It has its origin in Germany where it was introduced in municipalities for
providing compensation to owners of the property, in return for an annual contribution, based on
the rent of those premises. The fire insurance in its present form started after the most disastrous
fire in human history known as the 'Great Fire' in London, which had destroyed several buildings.

Due to the increasing demands of the time, different forms of insurance have been developed.
Industrial Revolution of 19th century had facilitated the development of accidental insurance,
theft and dacoity, fidelity insurance, etc. In 20th century, many types of social insurance
started operating, viz., unemployment insurance, crop insurance, cattle insurance, etc. This
way the business of insurance developed simultaneously with human and social development.
Today, the use of computers in the field of insurance is frequently increasing. Insurance
becomes an inseparable part of human development.

The early developments of life insurance were closely linked with that of marine insurance.
The first insurers of life were the marine insurance underwriters who started issuing life
insurance policies on the life of master and crew of the ship, and the merchants. The early
insurance contracts took the nature of policies for a short period only. The underwriters issued
annuities and pension for a fixed period or for life to provide relief to widows on the death of
their husbands. The first life insurance policy was issued on 18th June 1583, on the life of
William Gibbons for a period of 12 months.
 History Of Life Insurance In India

The History of Life Insurance in India dates back to 1818 when it was conceived as a
means to provide for English Widows. Interestingly in those days a higher premium was
charged for Indian lives than the non-Indian lives as Indian lives were considered more risky
for coverage. The Bombay Mutual Life Insurance Society started its business in 1870. It was
the first company to charge same premium for both Indian and non-Indian lives. The Oriental
Assurance Company was established in 1880.

The first general insurance company- Title Insurance Company Limited, was established in
1850. Till the end of nineteenth century insurance business was almost entirely in the hands
of overseas companies.

Insurance regulation formally began in India with the passing of the Life Insurance
Companies Act of 1912 and the Provident Fund Act of 1912. Several frauds during 20's and
30's sullied insurance business in India. By 1938 there were 176 insurance companies. The
first comprehensive legislation was introduced with the Insurance Act of 1938 that provided
strict State Control over insurance business. The insurance business grew at a faster pace after
independence. Indian companies strengthened their hold on this business but despite the
growth that was witnessed, insurance remained an urban phenomenon.

The Government of India in 1956, brought together over 240 private life insurers and
provident societies under one nationalised monopoly corporation and LIC was born.
Nationalisation was justified on the grounds that it would create much needed funds for rapid
industrialization. This was in conformity with the Government's chosen path of State- led
planning and development.

The (non-life) insurance business, however, continued to thrive with the private sector till
1972. Their operations were restricted to organised trade and industry in large cities. The
general insurance industry was nationalised in 1972. With this, nearly 107 insurers were
amalgamated and grouped into four companies- National Insurance Company Ltd., The New
India Assurance Company Ltd., The Oriental Insurance Company Ltd. and United India
Insurance Company Ltd. These were subsidiaries of the General Insurance Corporation of
India (GIC).
Overview Of The Life Insurance Sector In India:
 With largest number of life insurance policies in force in the world, Insurance happens to be
a mega opportunity in India. It’s a business growing at the rate of 15-20 per cent annually and
presently is of the order of Rs 450 billion. Together with banking services, it adds about 7 per cent
to the country’s GDP. Gross premium collection is nearly 2 per cent of GDP and funds available
with LIC for investments are 8 per cent of GDP.

Yet, nearly 80 per cent of Indian populations are without life insurance cover, health
insurance and non-life insurance continue to be below international standards. And this part of the
population is also subject to weak social security and pension systems with hardly any old age income
security. This itself is an indicator that growth potential for the insurance sector is immense.

A well-developed and evolved insurance sector is needed for economic development as it

provides long term funds for infrastructure development and at the same time strengthens the risk
taking ability. It is estimated that over the next ten years India would require investments of the order
of one trillion US dollars. The Insurance sector, to some extent, can enable investments in
infrastructure development to sustain economic growth of the country.

With a large capital outlay and long gestation periods, infrastructure projects are fraught with
a multitude of risks throughout the development, construction and operation stages. These include
risks associated with project implementation, including geological risks, maintenance, commercial
and political risks. Without covering these risks the financial institutions are not willing to commit
funds to the sector, especially because the financing of most private projects is on a limited or non-
recourse basis.

Insurance companies not only provide risk cover to infrastructure projects, they also contribute long-
term funds. In fact, insurance companies are an ideal source of long term debt and equity for
infrastructure projects. With long term liability, they get a good asset- liability match by investing
their funds in such projects.

IRDA regulations require insurance companies to invest not less than 15 percent of their funds in
infrastructure and social sectors. International Insurance companies also invest their funds in such
projects.

Insurance is a federal subject in India. There are two legislations that govern the sector- The
Insurance Act- 1938 and the IRDA Act- 1999. The Government of India liberalized the insurance
sector in March 2000 with the passage of the Insurance Regulatory and Development Authority
(IRDA) Bill, lifting all entry restrictions for private players and allowing foreign players to enter the
market with some limits on direct foreign ownership. Under the current guidelines, there is a 26
percent equity cap for foreign partners in an insurance company. There is a proposal to increase this
limit to 49 percent. Premium rates of most general insurance policies come under the purview of the
government appointed Tariff Advisory Committee.

The opening up of the sector is likely to lead to greater spread and deepening of insurance in India
and this may also include restructuring and revitalizing of the public sector companies. A host of
private insurance companies operating in both life and non-life segments have started selling their
insurance policies since 2001.

Principles and Types of Insurance:

 Principles of Insurance:
Insurance is a 'risk transfer mechanism' - it transfers the financial risks of everyday life from
you to an insurance company, but only in terms of the financial consequences of risk. Without
insurance, if you car was damaged, it would cost you a lot of money to fix it or to buy another one.
It could cost you even more to pay for compensation to someone else involved in an accident.
Insurance protects your financial interests. It cannot alleviate the emotional consequences of an
accident. It cannot provide for humanitarian ideals. It can't help you with sentimental losses. But
properly used, it will protect your financial investment in your car and your legal obligations should
you have an accident.

Insurable Interest

Before you can insure anything, you must have a legally recognised financial interest in what you
are insuring. For motor insurance, you can't take out an insurance policy on the car driven by the
latest film star in the hope that it will crash and you can claim. That is nothing more than gambling.
You have no financial interest in the well being of the object insured and would gain by its
destruction. But you can insure the car you own, or drive. You would suffer financially if it is
damaged or stolen and benefit from its continued existence.

Indemnity

This word is used to describe the type of payment you would receive. A motor policy and a household
policy are both a contract of indemnity. It means, subject to the terms of the contract, you are entitled
to be put back in the same financial position after a loss as you were in before the loss. In terms of a
'new for old' policy the measure of indemnity is agreed at the point of sale rather than the time of
claim. The term is also sometime used to indicate if your insurer will meet the claim at all. A refusal
to indemnify is a refusal to pay the claim.
Contribution

If there is more than one policy in force that you could claim on, you can't get payment from them
both that would exceed the value of your loss. So each policy would contribute a portion of the loss.
You would receive the full value of the loss but no more and the two policies would only bear part
of it each.

Subrogation

This is the right that your insurer has to recover from someone else where you are entitled to do so.
For example, if another driver causes damage to your car, and your insurers pay for it, subrogation
gives them the legal right to 'stand in your shoes' and reclaim their outlay from the responsible driver.

Proximate Cause

When you seek to claim from your insurers for a property or financial loss you must show that the
loss was caused as a result of a peril covered by the policy. There must be a direct relationship of
cause and effect, the cause must be proximate in efficiency but not necessarily in point of time. There
might for example, be a chain of causes in which each cause is the natural result of the preceding
cause. It is the immediate and not the remote cause which must considered.

 TYPES OF INSURANCE:

General insurance

The basis for general insurance is "transfer of risk".

This means that the insurer agrees to compensate you if you suffer a loss. Without the insurance you
would have to pay for that loss yourself. Obviously this contract is made on the basis that the
insurance company calculates the risk that you, or the total number of people buying insurance, will
cost more in payouts than what is received in premiums. This is determined by the use of statistics
and the information you disclose on your application for insurance. This includes:

Home contents:
 It can either be "defined event" i.e. the policy covers loss or damage from a list of "defined"
events, e.g. storm or fire; or "accidental loss or damage" i.e. all accidental loss with some exclusions.

Motor vehicle:

It can either be "comprehensive" i.e. it covers any damage to your car as well as damage to the other
car or another person's property; "third party property" i.e. it covers damage caused by your car to
another person's property. This type of insurance will not cover you for the cost of repairs to your
own car; "third party fire and theft i.e. it covers damage partly for damage caused by your car to
another person's property, and restricted cover for damage to your car cause by theft or fire.

Income protection:

With this type of insurance the insurer agrees to pay you a specified amount of money, usually in
monthly payments, in the event that you become disabled and unable to work. Along the same lines
you can purchase "trauma insurance" to cover a medical trauma such as a heart attack.

Also in the modern day world a number of utility specific insurance policies are being launched by
the various players in the insurance market in an effort to stay one step ahead of their competitors.
Hence to make the Definition of General Insurance more broad based and inclusive we can say that
all the policies which do not fall under “Life Insurance “ category fall under the General Insurance
category.

Life Insurance

Life insurance is insurance that will protect your family and/or specified dependents in the event of
the policy holder’s death. In general, it is an essential component in planning for the future. There
are many options with coverage, depending on your situation. And there are three main categories of
life insurance: term life, universal life, and whole life insurance. Term life is the simplest and least
expensive type of policy. It's pure insurance with no cash value account. A term life policy has only
one function: to pay a specific lump sum to whomever you've designated, upon a specific event, your
death.

Whole life insurance provides permanent protection for your dependents while building a cash value
account. With this type of insurance, the insurance company manages the policies various
accounts. Universal life insurance provides permanent protection for your dependents and is more
flexible than whole or variable life.
2.3 Insurance Regulatory and Development Authority –The Watch Dog

On 19th April 2000, the Authority has been notified in the Gazette of India in terms of Insurance
Regulatory and Development Authority Act, 1999 (IRDA Bill). The Authority has also been
constituted.

Mission: To protect the interests of the policy holders, to regulate, promote and ensure orderly growth
of the insurance industry and for matters connected there with or incidental there to

DUTIES, POWERS AND FUNCTIONS OF AUTHORITY

AS per the INSURANCE REGULATORY AND DEVELOPMENT AUTHORITY ACT, 1999

14(1) Subject to the provisions of this Act and any other law for the time being in force, the Authority
shall have the duty to regulate, promote and ensure orderly growth of the insurance business and re-
insurance business.

14(2) Without prejudice to the generality of the provisions contained in sub-section (1), the powers
and functions of the Authority shall include,--

a) Issue to the applicant a certificate of registration, renew, modify, withdraw, suspend or cancel
such registration;
b) Protection of the interests of the policy-holders in matters concerning assigning of policy,
nomination by policy-holders, insurable interest, settlement of insurance claim, surrender
value of policy and other terms and conditions of contracts of insurance;
c) Specifying requisite qualifications, code of conduct and practical training for intermediary or
insurance intermediaries and agents;
d) Specifying the code of conduct for surveyors and loss assessors;
e) Promoting efficiency in the conduct of insurance business;
Promoting and regulating professional organization connected with the insurance and re-
insurance business;

f) Levying fees and other charges for carrying out the purposes of this Act;
calling for information from, undertaking inspection of, conducting enquiries and
investigations including audit of the insurers, intermediaries, insurance intermediaries and
other organizations connected with the insurance business;
 g) Control and regulation of the rates, advantages, terms and conditions that may be offered by
insurers in respect of general insurance business not so controlled and of 1938 regulated by
the Tariff Advisory committee under section 64U of the Insurance Act, 1938;
h) Specifying the form and manner in which books of account shall be maintained and statement
of accounts shall be rendered by insurers and other insurance intermediaries;
i) Regulating investment of funds by insurance companies;
(l) regulating maintenance of margin of solvency;
j) Adjudication of disputes between insurers and intermediaries or insurance intermediaries;
k) Supervising the functioning of the Tariff Advisory committee;
l) Supervising the percentage of premium income of the insurer to finance schemes for
promoting and regulating professional organization referred to in clause (f);
m) Specifying the percentage of life insurance business and general insurance business to be
undertaken by the insurer in the rural or social sector; and
Exercising such other powers as may be prescribed.

Theoretical background of the study

Insurance is an important element of any sound financial plan. Different kinds of insurance help
protect you and your loved ones in different ways against the cost of accidents, illness, disability,
and death.

 Adding up your insurance needs

 The insurance decisions you make should be based on your family, age, and economic situation.
There are many forms of insurance and, unfortunately, no one-size-fits-all policy. Life insurance,
for example, can be a virtual necessity, especially if you have a spouse and children. Disability
insurance, which provides an income stream if you are unable to work, is important for everyone.

 Most people require some amount of all of these categories of insurance.

 Auto insurance: Shop carefully, but don't underbuy

 Auto insurance helps protect you from damage to the often-considerable investment in a car
and/or from liability for damage or injury caused by you or someone driving your vehicle. It can
also help cover expenses you or anyone in your car may incur as a result of an accident with an
uninsured motorist.
 Auto liability coverage is necessary for anyone who owns a car. Many states require you to have
liability insurance before you can register a vehicle. State-required minimum coverage, however,
is often too skimpy to provide adequate protection. Of course, these figures will vary depending
on your individual situation and requirements. Collision, fire, and theft coverage is also advisable
for a vehicle having more than minimal value. You can cut costs, however, by choosing a higher
deductible -- the amount of loss that must be exceeded before you are compensated.

 The cost of auto insurance varies greatly, depending on the company and agent offering it, your
choice of coverage and deductible, where you live, the kind of vehicle, and the ages of drivers in
the family. Substantial discounts are often available to safe drivers, nonsmokers, and those who
commute to work via public transportation.

 Homeowners insurance, for renters and owners

 Homeowners insurance should allow you to rebuild and refurnish your home after a catastrophe
and help cover to costs of lawsuits if someone is injured on your property. Coverage of at least
80% of your home's replacement value, minus the value of land and foundation, is necessary for
you to be covered for the cost of repairs.

 There are several grades of policies, ranging from HO-1 to HO-8, with increasingly
comprehensive coverage and cost. Unless you increase coverage, most homeowners policies
cover the contents of the house for 50% to 75% of the amount for which the house is insured.
The liability coverage in many homeowners policies is $300,000. This figure will vary depending
on your individual situation and requirements.

 Liability insurance: Protecting your assets

 Often called umbrella liability coverage, this takes effect when the personal liability and lawsuit
coverage in other policies is exhausted. The cost for $1 million worth of protection -- especially
necessary for high-income individuals and those with considerable assets -- may be only a few
hundred dollars a year.

 Life insurance: Your needs dictate the kind and level of protection

 Life insurance, payable when you die, can provide a surviving spouse, children, and other
dependents the funds necessary to help maintain their standards of living, can help repay debt,
and can help fund education tuition costs. The amount you need depends on your situation. If
 you make $100,000 a year, have a sizable mortgage, and two kids headed to a good (read:
expensive) college, you could need as much as $1 million in coverage.

 Value-accumulating whole life or universal insurance is often offered as death benefit protection
with a cash value component that you can borrow against or eventually cash in by surrendering
the policy. Term insurance costs less, but may remain in effect only for a specified term of years.
For many families, a combination of whole life and term insurance may provide for current and
future needs.

 Your financial professional can help you assess your needs to determine the kinds and amounts
of life insurance that are right for you and your family.

 Disability insurance: Important protection if you cannot work

 A long-term disability policy is activated, replacing a portion of your lost income, when you are
unable to work for an extended period. Employers cover approximately 40% of all workers with
some form of company-paid disability insurance. If you buy it on your own, you may have to
pay up to 40 cents per $100 of monthly coverage.

 If you're buying, you should generally try to get a noncancelable policy with benefits for life, or
at least to age 65, and as much salary coverage as you can afford. Insurers will generally cover
up to 65% of your salary. Generally, you should have total coverage equal to two-thirds of your
current pre-tax income.

 If your company provides disability insurance, check to see whether it's enough for your needs.
Group disability insurance policies may be capped at six months and provide benefits that won't
cover your expenses.

 Health insurance: Available through your employer or privately

 Most people enjoy medical insurance as an employee benefit, often with their employers paying
all or part of the premiums. Many employers offer a choice between HMOs (health maintenance
organizations) and traditional fee-for-service care. Rates for HMOs are usually cheaper but have
more constraints. Privately purchased health insurance is much more expensive - often by several
hundred dollars a month - depending on such things as deductibles, coverage choices, and
location.
 Long-term care insurance: Don't rely solely on government programs

 With an aging population and uncertainty about the future of Social Security, insurance to cover
the high cost of nursing home or at-home health care is the focus of increased concern. Medicare
pays very little of the cost of long-term care in the United States. Medicaid will pay for the care,
but only for patients who meet strict income eligibility requirements. With Congress always
debating the future funding of these programs, financial planning for long-term care is more
crucial than ever.

 So-called Medigap insurance can help pay medical expenses of the elderly not covered by the
Medicare system, including long-term hospital care. But Medigap policies are expensive and
complex. And, it doesn't cover custodial nursing home costs. In fact, about half of all nursing
home residents pay for the care with personal savings, according to Medicare.

 Senior organizations, such as the AARP (formerly known as the American Association of Retired
Persons), can provide information on long-term care insurance. Insurance policies contain
exclusions, limitations, reductions of benefits, and terms for keeping them in force.

 Because your financial professional understands your needs as well as the role of the various
kinds of insurance within an individual financial picture, he or she can help you with the policies
that are most appropriate for you. Your financial professional can provide you with costs and
complete details.

Importance of the topic

Life insurance is a contract between an insurer and a policyholder in which the insurer
guarantees payment of a death benefit to named beneficiaries upon the death of the insured.
The insurance company promises a death benefit in consideration of the payment of
premium by the insured. Insurance as practiced in the conventional financial system refers
to a financial protection system that serves as a risk management strategy or tool, to reduce
risk uncertainty and provides a planned financing technique that distribute losses. The
people being get an insurance having various financial planning in the mind. There are
various insurance plans are offered by a company for various financial plans of the people.
So this is the study conducted to analyze the impact of financial planning on selection of
insurance plans.
Need to study the topic
A study has been carried out to know the impact of financial planning on selection of insurance plans.
To understand the importance of planning in selection of insurance and also to analyses role of
financial goal on selection of various insurance schemes. Every individual select particular
insurance based on their financial planning.

Chapter 2: Review of Literature and Research Design

Review of Literature and Gaps

 Charles (2014) Education on personal financial planning, financial security, financial

independence, financial freedom, etc. is very essential. Also, there are various financial
instruments available in the market for the consumers to choose leading them to financial
freedom. But, there is one particular tool called as Life insurance that is vital for a long term
financial planning. Life insurance is the only tool that empowers the family to achieve their
financial goals even if the bread winner of the family expires or if he loses his job due to
accident or permanent disability or affected by a critical illness. Life insurance is the only
instrument that talks about survival benefit (living long) and death benefit (living short). It
covers both the risk in living longer and the risk in living shorter. This paper unveils the
process of financial planning and it also assesses the awareness level on personal financial
planning, perception on life insurance and the associated knowledge of the public. It was
found that the awareness level is low on personal financial planning
Odour (2003) a study on the effect of financial planning strategies on the financial performance
of the local commercial banks offering life insurance in Kenya analyzing the manner in which
financial strategies have impacted the high financial performance of the local commercial
banks offering life insurance in Kenya. He carried out a survey study on the commercial banks
in Kenya where he wanted to identify which strategies were the banks applying that were
bringing about the high financial performance they were achieving. He collected data from the
commercial banks which showed that the banks had indeed applied financial planning
techniques and strategies in its operations that led to the high financial performance of the
banks.

 Kalimalwendo (2005) a study on the weak application of financial planning and budgeting
in the development of the insurance sector analyzing how financial planning was not been
applied. He wanted to investigate as to the reasons why financial planning was not been
applied in the insurance sector in East Africa.

Mohammed (2005) a study to determine the importance of financial planning in financial

firms. The study was addressing the need for such firms to apply financial planning in the
management of its resources to enhance efficiency and minimize costs in the financial firms
in Kenya.

Arifin (2013) examined the awareness and ownership of family takaful plan among Muslim
community in Kuala Lumpur. His study is attempted to obtain a deeper understanding of the
relationship between levels of awareness and the purchase of family takaful plan. The results
of the study indicate that the level of awareness is very high. It was identified that the level of
awareness has significant positive relationship with respondents’ ownership of family takaful
plan.

Omar (2010) has found that the perception of customers of Prudential BSN Family
takaful and Prudential Life Insurance that takaful plan would guarantee savings and protection
to them. Besides, the study also found that from customers’ perception that Sariah Supervisory
Council plays an important role in ensuring the implementation of takaful in Malaysia.
Rao( 2004), presented a paper titled “Alternative Distribution Channels in India” in Global
Conference of Actuaries. This research points out that a distribution channel means a set of
interdependent organizations involved in the process of making a product or service available
for use or consumption by the consumer by creating place utility & the value of having the
products where the customer wants them, when they want them. The research said that in
Distribution in Life Insurance requires the intermediaries. The current insurance market
depends heavily on Individual Agency channel but it concluded that Alternative distribution
channels can give competitive edge for the Insurers, a statistics of Alternative Distribution
channels of LIC suggest that corporate agencies including banks are garnering 82% and the
rest 18% is coming from Brokers & Over time bancassurance may get at least 20% distribution
share in life insurance market.

Sinha(2005), in their research article “The Indian Insurance Industry: Challenges and
Prospects” have stated that India is among the most promising emerging insurance markets in
the world. But out of total insurance premium market in India particularly life insurance
currently makes up 80% of premiums. The research also highlighted that when India undertook
to open the domestic insurance market to private-sector and foreign companies since then, 13
private life insurers and eight general insurers have joined the Indian market. But speaking
about major hurdles this research spoke on the obsolete regulations on insurance prices which
have to be replaced by risk-differentiated pricing structures.

shah(2007) Paper Presented at the C.D.Deshmukh Seminar on “Creating Consumer Awareness

in Life Insurance” has analyzed as how to harness huge untapped market potential for life
insurance to the benefit of vast rural and semi urban populace. The paper has quoted the famous
line - “customer is business, business is people, people are customers” in context of consumer
awareness. The paper emphasizes that Consumer awareness will provide a new frame of
reference for value creation as also an opportunity for innovation and also haveemphasized
on campaigns to educate rural and semi urban masses on the need for security that protects their
livelihood, security for produce and belongings and create feel-good feeling. In summary it
states that a new phenomenon will emerge where Market dynamics will rule and unfold a stage
through a process of evolution by co-creating unique value with customers will merge as
expounded by Prof. C.K. Prahalad in his later path-breaking Title “ The Future of Competition
:Co-creating Unique Value with Customers”.
Sen(2008), in his article “An Analysis of Life Insurance Demand Determinants for Selected Asian Economies
and India” has tried to understand economic and other socio-political variables, which may play a
significant role in explaining the life insurance consumption pattern in Greater China Region and six ASEAN
countries for the 11- year period 1994-2004 and also tried to re-assess whether or not the variables best
explaining life insurance consumption pattern for twelve selected Asian economies in the panel are
significant for India for the period 1965 to 2004. This research has highlighted that in India the economic
variables such as income, savings, prices of insurance product, inflation and interest rates & demographic
variables like dependency ratio, life expectancy at birth, crude death rate and urbanization are few
significant determinants which effect the insurance

 Statement of the Problem

The investment objective of the investor who invested in life insurance with special
reference to ICICI PRUDENTIAL LIFE INSURANCE. To pertain the information
regarding financial goal of an investor to select the insurance plans
  Scope of the Study
The scope of the research is to understand the impact of financial planning on selection
of insurance plan. This study also enables to broaden the knowledge about insurance
at ICICI PRUDENTIAL LIFE INSURANCE and also to have practical exposure.

 Objectives of the Study

o To understand and analyze the insurance company.
o To understand customers awareness and preference for various schemes of
life insurance.
o To analyze the impact of financial planning on selection of insurance plans.
o To determine the significance of financial planning on selection of various
insurance schemes.

 Hypotheses (if any)

Null hypothesis: there is no significant associated with the people who made
financial planning to select the insurance plans and the people who has taken the
insurance plans without making any financial plans.

Alternative hypothesis: there is a significant associated with who made financial

planning to select the insurance plans and the people who has taken the insurance
plans without making any financial plans.

 Sampling

 Tools for Data Collection

 Data Analysis

 Limitations of Study

Chapter 3: Profile of the Selected Organization and Respondents

 Company Profile:
ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank - one of
India's foremost financial services companies-and prudential plc - a leading international
financial services group headquartered in the United Kingdom. Total capital infusion stands at
Rs. 37.72 billion, with ICICI Bank holding a stake of 74% and Prudential plc holding 26%.

We began our operations in December 2000 after receiving approval from Insurance
Regulatory Development Authority (IRDA). Today, our nation-wide team comprises of
over 954 branches in addition to 1,015 micro-offices, over 296,000 advisors; and 21 banc
assurance partners.

ICICI Prudential was the first life insurer in India to receive a National Insurer Financial
Strength rating of AAA (Ind) from Fitch ratings. For three years in a row, ICICI Prudential has
been voted as India's Most Trusted Private Life Insurer, by The Economic Times - AC Nielsen
ORG Marg survey of 'Most Trusted Brands'. As we grow our distribution, product range and
customer base, we continue to tirelessly uphold our commitment to deliver world-class
financial solutions to customers all over India.

3.2 Company Promoters:

ICICI Bank:
ICICI Bank Limited (NYSE:IBN) is India's largest private sector bank and the second
largest bank in the country, with consolidated total assets of $121 billion as of March 31, 2008.
ICICI Bank’s subsidiaries include India’s leading private sector insurance companies and
among its largest securities brokerage firms, mutual funds and private equity firms. ICICI
Bank’s presence currently spans 19 countries, including India

Prudential Plc:
Established in London in 1848, Prudential plc, through its businesses in the UK,
Europe, US, Asia and the Middle East, provides retail financial services products and services
to more than 20 million customers, policyholder and unit holders and manages over £267
billion of funds worldwide (as of December 31, 2007). In Asia, Prudential is the leading
European life insurance company with life operations in China, Hong Kong, India, Indonesia,
Japan, Korea, Malaysia, the Philippines, Singapore, Taiwan, Thailand, and Vietnam. Prudential
is one of the largest retail fund managers for Asian sourced assets ex-Japan. Its fund
management business has expanded into ten markets, comprising of China, Hong Kong, India,
Japan, Korea, Malaysia, Singapore, Taiwan, Vietnam and United Arab Emirates.

3.3 Vision and Mission Statement:

Their vision is to make ICICI Prudential Life Insurance Company the dominant new
insurer in the life insurance industry. This they hope to achieve through their commitment to
excellence, focus on service, speed and innovation, and leveraging our technological expertise.
The success of the organization will be founded on its strong focus on values and clarity of
purpose. These include:

Understanding the needs of customers and offering them superior products and service
building long lasting relationships with their partners providing an enabling environment to
foster growth and learning for their employees and above all building transparency in all our
dealings.

They believe that they can play a significant role in redefining and reshaping the sector.
Given the quality of their parentage and the commitment of their team, they feel that there will
be no limits to their growth.

Board of Directors.

The ICICI Prudential Life Insurance Company Limited Board comprises reputed
people from the finance industry both from India and abroad.

Ms.Chanda D. Kochhar, Chairperson

Mr. N. S. Kannan, Director
Mr. K. Ramkumar, Director
Mr. Barry Stowe, Director
Mr. Adrian O’Connor, Director
Mr. Keki Dadiseth, Independent Director
Prof. Marti G. Subrahmanyam, Independent Director
Ms. Rama Bijapurkar, Independent Director
Mr. Vinod Kumar Dhall, Independent Direct
Mr. V. Vaidyanathan, Managing Director & CE
3.5 Awards And Recognitions:-
AWARDS:

1. The International Council of Customer Service Organizations (ICCSO) recently

awarded ICICI Prudential Life the International Service Excellence Awards 2009 in
the categories of Customer Charter – Winner, Service Excellence in Large Business
– Highly Commended and Customer Service Leader awarded to Ms. Priya Nayak,
VP-Service Quality.

2. ICICI Prudential Life Insurance has won the first runner up award for the Best
Defect Elimination in Service & Transaction category at Asian Six Sigma Excellence
Summit 2009.

3. ICICI Prudential Life was awarded the Life Insurance Company of the Year at
the12th Asia Insurance Industry Awards 2008.

4. ICICI Prudential Life was awarded with two Bronze Effie's in the services category
for its Corporate campaign and Retirement Number campaign

5. ICICI Prudential Life Insurance won the award for the Best Life Insurer-Runner up
at the Outlook Money & NDTV Profit Awards 2008

6. ICICI Prudential Life was awarded the SAP ACE 2008 Best Business Objects Award
for its IT practice

7. ICICI Prudential Life won the Award for Brand Excellence in the Banking and
Financial services category at the Asia Brand Congress 2008
 8. Ms. Shikha Sharma, MD & CEO, ICICI Prudential Life Insurance Co. Ltd. was
adjudged the Businesswoman of the year at The Economic Times Awards for
Corporate Excellence, 2007-08.

9. ICICI Prudential Life won the ICICI Group Marketing Excellence Award 2008 in
three key categories for its marketing initiatives

10. ICICI Prudential Life was awarded the INDY’s Award for Excellence in Mass
Communication in the category of Most Creative Advertisement-Television

RRECOGNITIONS:
 ICICI Prudential Life was recognized as the most trusted brand amongst private
life insurers in the Economic Times-Most Trusted Brand survey 2008.
 IMM Award for Excellence. Institute of Marketing & Management
 Organization with Innovative HR Practices. Indira Group of Institutes
 Organization with Innovative HR Practices. Asia-Pacific H R Congress Awards
for HR Excellence

Chapter 4: Data Analysis and Interpretation

Chapter 5: Summary of Findings, Conclusions and Suggestions

 Summary of Findings

 Conclusion
  Suggestions to the Organization

Appendices

 Appendix – 1

 Questionnaire/Abstract of Annual Report

 Progress Report – I & II

 Plagiarism Report