Professional Documents
Culture Documents
Shiree New
Shiree New
Shiree New
The project lays emphasis on the perception level among customers about the insurance plans
offered by HDFC Life Insurance Company. It further brings into light what the customers feel
about these insurance plans. The study focuses on the factors that are related to the objective of
the study. The main focus is on the customer perception of insurance and how much they
considered insurances important for one’s life. To get a deep insight into the research area, the
customers perception level along with the awareness factor associated with the life insurance plans
are also looked at.
Primary data:
Individual respondents, Insurance Agents were personally visited and interviewed. They were the
main source of Primary data. The method of collection of primary data was direct personal
interview through a structured questionnaire.
Secondary Data:
It was collected from internal sources. The secondary data was collected on the basis of
organizational file, official records, newspapers, magazines, management books, preserved
information in the company’s database and website of the company.
The story of insurance is probably as old as the story of mankind. The same instinct that prompts
modern businessmen today to secure themselves against loss and disaster existed in primitive men
also. They too sought to avert the evil consequences of fire and flood and loss of life and were
willing to make some sort of sacrifice in order to achieve security. Though the concept of insurance
is largely a development of the recent past, particularly after the industrial era – past few centuries
– yet its beginnings date back almost 6000 years.
Life Insurance
In 1818 the British established the first insurance company in India in Calcutta, the Oriental Life
Insurance Company. First attempts at regulation of the industry were made with the introduction
of the Indian Life Assurance Companies Act in 1912. A number of amendments to this Act were
made until the Insurance Act was drawn up in 1938. Noteworthy features in the Act were the power
given to the Government to collect statistical information about the insured and the high level of
protection the Act gave to the public through regulation and control. When the Act was changed
in 1950, this meant far reaching changes in the industry. The extra requirements included a
statutory requirement of a certain level of equity capital, a ceiling on share holdings in such
companies to prevent dominant control (to protect the public from any adversarial policies from
one single party), stricter control on investments and, generally, much tighter control. In 1956, the
market contained 154 Indian and 16 foreign life insurance companies. Business was heavily
concentrated in urban areas and targeted the higher echelons of society. “Unethical practices
adopted by some of the players against the interests of the consumers” then led the Indian
government to nationalize the industry. In September 1956, nationalization was completed,
merging all these companies into the so-called Life Insurance Corporation (LIC). It was felt that
“nationalization has lent the industry fairness, solidity, growth and reach.”
Insurance may be described as a social device to ensure protection of economic value of life and
other assets. Under the plan of insurance, a large number of people associate themselves by sharing
risks attached to individuals. The risks, which can be insured against, include fire, the perils of sea,
death and accidents and burglary. Any risk contingent upon these, may be insured against at a
premium commensurate with the risk involved. Thus collective bearing of risk is insurance.
Insurance is a contract whereby, in return for the payment of premium by the insured, the insurers
pay the financial losses suffered by the insured as a result of the occurrence of unforeseen events.
The term "risk" is used to describe the possibility of adverse results flowing from any occurrence
or the accidental happenings, which produce a monetary loss.
Insurance is a pool in which a large number of people exposed to a similar risk make contributions
to a common fund out of which the losses suffered by the unfortunate few, due to accidental events,
are made good. The sharing of risk among large groups of people is the basis of insurance. The
losses of an individual are distributed over a group of individuals.
Definitions:
General definition:
In the words of John Magee, “Insurance is a plan by themselves which large number of people
associate and transfer to the shoulders of all, risks that attach to individuals.”
Fundamental definition:
In the words of D.S. Hansel, “Insurance accumulated contributions of all parties participating in
the scheme.”
Contractual definition:
In the words of Justice Tindal, “Insurance is a contract in which a sum of money is paid to the
assured as consideration of insurer’s incurring the risk of paying a large sum upon a given
contingency.”
Characteristics of insurance
Sharing of risks
Cooperative device
Evaluation of risk
Insurance is a plan, which spreads the risk and losses of few people among a large number of
people.
The insurance is a plan in which the insured transfers his risk on the insurer.
Insurance is a legal contract which is based upon certain principles of insurance which includes
utmost good faith, insurable interest, contribution, indemnity, causes proximal, subrogation,
etc.
Functions of insurance:
Primary functions:
1. Provide protection: - Insurance cannot check the happening of the risk, but can provide for the
losses of risk.
2. Collective bearing of risk: - Insurance is a device to share the financial losses of few among
many others.
3. Assessment of risk: - Insurance determines the probable volume of risk by evaluating various
factors that give rise to risk.
4. Provide certainty: - Insurance is a device, which helps to change from uncertainty to certainty.
Secondary functions:
1. Prevention of losses: - Insurance cautions businessman and individuals to adopt suitable device
to prevent unfortunate consequences of risk by observing safety instructions.
2. Small capital to cover large risks: - Insurance relives the businessman from security
investment, by paying small amount of insurance against larger risks and uncertainty.
Other Function:
Insurance companies have two sources of income for covering these costs:
Premiums and
Investment income.
The premiums are collected on a regular basis and invested in Government Bonds, Gilt, stocks,
mutual funds, real estates and other conservative avenues. However, investment income depends
on market conditions, interest rates, economy etc. and varies from year to year. Because of the
uncertainty associated with the investment income, insurance companies must generate enough
income from premiums to cover the bulk of their expenses.
Some of the important milestones in the life insurance business in India are:
1818: Oriental Life Insurance Company, the first life insurance company on Indian soil started
functioning.
1870: Bombay Mutual Life Assurance Society, the first Indian life 'Insurance Company started 'Its
business,
1912: The Indian Life Assurance Companies Act enacted as the first statute to regulate the life
'Insurance business.
1928: The Indian Insurance Companies Act enacted to enable the government to collect statistical
'Infor1938: Earlier legislation consolidated and amended to by the Insurance Act with the objective
of protecting the 'Interests of the insuring pubic.
1956: 245 Indian and foreign insurance and provident societies are taken over by the central
government and nationalized. LIC formed by an Act of Parliament, viz. LIC Act, 1956, with a
capital contribution of Rs. 5 chores from the Government of India.
1994: Insurance sector invited private participation to induce a spirit of competition amongst the
various insurers and. to provide a choice to the consumers.
1997: Insurance regulator IRDA was set up as there felt the Feed:
To set up an independent regulatory body, that provides greater autonomy to insurance companies
in order to improve their performance, In the first year of insurance market liberalization (2001)
as much as 16 private sector companies including joint ventures with leading foreign insurance
companies have entered the Indian insurance sector. Of this, 10 were under the life insurance
category and six under general insurance. Thus in all there are 25 players (12-life insurance and
l3-general insurance) in the Indian insurance industry till date.
Life insurers
Insurance industry, as on 1.4.2000, comprised mainly two players: the state insurers:
General insurers:
General Insurance Corporation of India (GIC) with effect from Dec'2000, a National
Reinsure
GIC had four subsidiary companies, namely with effect from Dec'2000, these subsidiaries have
been de-linked from the parent company and made as independent insurance companies.
1. It is superior to an ordinary saving plan: - Unlike other saving plans, if affords full protection
against risk of death. In case of death, the full sum assured is made available under a life assurance
policy; whereas under saving scheme the total accumulated saving alone will be available.
2. Easy settlement & protection against creditors: - The life assured can name person(s) called
Nominee to whom the policy money would be payable in the event of his death. The proceeds of
a life policy can be protected against the claim of the creditors of the life assured by effecting a
valid assignment of the policy.
3. Ready marketability & suitability for quick borrowing: - After an initial period, if the
policyholder finds him unable to continue payment of premiums, he can surrender the policy for a
cash sum. Alternatively, he can tide over a temporary difficulty by taking loan on the sole security
of the policy without delay.
4. Tax Relief: - The Indian Income-Tax allows deduction of certain portion of the taxable income,
which is diverted to payment of life insurance premiums from the total income tax liability..
To provide cash to meet various routine expenses of the family on or immediately after the
death of the income earner of the family.
To preserve the family’s accustomed standard of living ever after the death of the
breadwinner.
To provide continuous flow of funds for the living spouse.
To allocate income funds for the children’s education.
To provide a retirement income throughout old age.
To provide a reliable savings plan for the future.
To supplement income when earning power is reduced or eroded by illness, accident or
any handicap.
To furnish surplus earnings for the investors should disaster strike.
IRDA (Insurance Regulatory and Development Authority)
The Insurance Act, 1938 had provided for setting up of the Controller of Insurance to act as a
strong and powerful supervisory and regulatory authority for insurance. Post nationalization, the
role of Controller of Insurance diminished considerably in significance since the Government
owned the insurance companies. But the scenario changed with the private and foreign companies
foraying in to the insurance sector. This necessitated 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 17 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).
The act extends to the whole of India and will come into force on such date as the Central
Government may, by notification in the Official Gazette specify. Different dates may be appointed
for different provisions of this Act. The Act has defined certain terms; some of the most important
ones are as follows:
Appointed day means the date on which the Authority is established under the act. Authority
means the established under this Act.
Interim Insurance Regulatory Authority means the Insurance Regulatory Authority set up by the
Central Government through Resolution No. 17(2)/ 94-lns-V dated the 23rd January, 1996.
Words and expressions used and not defined in this Act but defined in the
Insurance Act, 1938 or the Life Insurance Corporation Act, 1956 or the General Insurance
Business (Nationalization) Act, 1972 shall have the meanings respectively assigned to them in
those Acts.
A new definition of "Indian Insurance Company" has been inserted. "Indian insurance company"
means any insurer being a company
(a) Which is formed and registered under the Companies Act, 1956
(b) In which the aggregate holdings of equity shares by a foreign company, either by itself or
through its subsidiary companies or its nominees, do not exceed twenty-six percent, paid up capital
in such Indian insurance company.
(c) Whose sole purpose is to carry on life insurance business, general insurance business or re-
insurance business?
Current scenario
Globalization will provide improved opportunities to the customers for better products, with
more reasonable and affordable pricing.
The customer will get quicker servicing.
It will enhance the savings rate.
Long-term funds for infrastructure development will be available to the country.
It will secure for India larger inflows of foreign capital needed to sustain our GDP growth.
COMPANY PROFILE- HDFC Limited
HDFCL is one of India’s leading private insurance companies. It offers both individual and group
insurance solution. It is a joint venture between HDFC and a group of company of Standard Life.
HDFC Standard Life Insurance Co. Ltd was incorporated on 14th august 2000. It is a joint venture
between Housing Development Finance Corporation Limited (HDFC Ltd.) India and UK based
Standard Life Company. Both the joint venture partners being one of the leaders in their respective
areas came together in this 81.4:18.6 joint Venture to form HDFC standard life insurance company
limited.
The MD and CEO of HDFC Life Mr. Deepak Satwalekar, has given the company new directions
and has helped the company achieve the status it currently enjoys. HDFC Standard Life brings to
you a whole range of insurance solutions be it group or individual or NAV services for
corporations; they can be easily customized as per specific needs.
HDFC Standard Life Insurance India boasts of covering around 8.7 lakhs lives by March'2007.
The gross income standing at a whopping Rs. 2,856 cores, HDFC Standard Life Insurance
Corporation is sure to become one of the leaders and the first Preference for any life insurance
customer.The Banc assurance partners of HDFC Standard Life Insurance Co Ltd are HDFC,
HDFC Bank India Limited, Union Bank of India, Indian Bank, Bank of Baroda, Sarawat Bank and
Bajaj Capital.The premium payment options available to the customers vary from online payment
to direct desk payments at the HDFC Standard Life Branches, by courier services or in drop boxes
provided. You can also pay by ECS or Automatic Debit System or credit cards or standing
instruction mandate. HDFC Standard Life Insurance Company is a customer oriented corporation
with an aim of complete customer satisfaction. HDFC Standard Life first came together for a
possible joint venture, to enter the Life Insurance market, in January 1995. It was clear from the
outset that both companies shared similar values and beliefs and a strong relationship quickly
formed. In October 1995 the companies signed a 3 year joint venture agreement. Around this time
Standard Life purchased a 5% stake in HDFC, further strengthening the relationship.
The next three years were filled with uncertainty, due to changes in government and ongoing
delays in getting the IRDA (Insurance Regulatory and Development authority) Act passed in
parliament. Despite this both companies remained firmly committed to the venture. In October
1998, the joint venture agreement was renewed and additional resource made available. Around
this time Standard Life purchased 2% of Infrastructure Development Finance Company Ltd.
(IDFC). Standard Life also started to use the services of the HDFC Treasury department to advise
them upon their investments in India.
Towards the end of 1999, the opening of the market looked very promising and both companies
agreed the time was right to move the operation to the next level. Therefore, in January 2000 an
expert team from the UK joined a handpicked team from HDFC to form the core project team,
based in Mumbai.
Around this time Standard Life purchased a further 5% stake in HDFC and a 5% stake in HDFC
Bank. In a further development Standard Life agreed to participate in the Asset Management
Company promoted by HDFC to enter the mutual fund market. The Mutual Fund was launched
on 20th july 2000. Incorporation of HDFC Standard Life Insurance Company Limited: The
company was incorporated on 14th August 2000 under the name of HDFC Standard life insurance
company limited. Their ambition from the beginning was to be the first private company to re-
enter the life insurance market in India. On the 23rd of October 2000, this ambition was realized
when HDFC Standard Life was the first life company to be granted a certificate of registration.
HDFC are the main shareholders in HDFC Standard Life, with 81.4%, while Standard Life owns
18.6%. Given Standard Life's existing investment in the HDFC Group, this is the maximum
investment allowed under current regulations. HDFC and Standard Life have a long and close
relationship built upon shared values and trust. The ambition of HDFC Standard Life is to mirror
the success of the parent companies and be the yardstick by which all other insurance companies
in India are measured.
HDFC Standard Life Insurance Company Limited is one of India's leading private life insurance
companies offering a range of individual and group insurance solutions. It is a joint venture
between Housing Development Finance Corporation Limited (HDFC Ltd), India's leading housing
finance institution and Standard Life plc, the leading providers of financial services in the United
Kingdom.HDFC Ltd. as on December 31, 2007 holds 72.38 per cent of equity in the joint venture.
HDFC Standard Life's Product portfolio comprises solutions, which meet various customer needs
such as Protection, Pension, Savings, and Investment. Customers have the added advantage of
customizing the Plans, by adding optional benefits called riders, at a nominal price. The company
currently has 21 retail and 6 group products in its portfolio.HDFC Standard Life maintains very
high professional standards during product offerings by providing sound financial advice, efficient
post-sale service, and immaculate financial security. Ongoing training for conventional products,
and specialized training, for unit-linked products, for its financial consultants, has also helped its
customers choose the product, best suited for their needs.
HDFC Standard Life operates across more than 726 cities and towns of the country supported by
its strong network of more than 145,000 Financial Consultants. HDFC Life also has more than 383
corporate agents and other sales intermediaries including banks for distribution of insurance
products.
1. Integrity: HDFCL believes in honest and trustfulness in every action Transparency in dealing
with customer. It is stick to principles irrespective of outcome. When we work in HDFCL then we
observed that its rules and activity of every person in the organization is just and fair to everyone.
Integrity is the bedrock on which the company and the expectations of the customers and
employees are built. Integrity gives inner feeling to both customer and the employees to work
with it. It establishes the credibility of the person defines the character and empowers one to do
justice to the job. It enables confidence and trust, achieving transparency and laying a strong
foundation for a binding relationship. It guides principle for all walks of life.
2. Innovation: It is the process of building a store house of treasures through experiences. Lots of
product is going to be launched by the competitors. So it is very important to look every product
and process through fresh eyes every day. It is the significant part of the business that attracts
customer. Innovation is essential to exceed customer expectation and maximize
customer retention because it is the sector of investment so you need to fulfill the customer
expectation which help you to retain customer. Innovation helps to achieve competitive advantage.
It promotes growth and upgrade standards in the industry. It fosters creativity amongst employees
and partners. It opens a world of new possibilities because it brings new concept which helps to
entice the customer.
3. Customer centric: Customer becomes the main properties of any organization. Whatever work
done by the organization runs around the expectations of the customer. Customer becomes centre
point of the organization and the main focus of the organization becomes to understand his
expectations by keeping him as the Centre point. It gives more focus on customer activity and
saying. It tries to understand customer needs and deliver solutions. As we know that the market is
changed. Lots of competitors is here who search chance to increase their market share and entice
your customer so customer interest become always supreme.
4. People Care: Genuinely try to understand those people who are working with HDFCSL. It
guides their development through training and support. It helps them to develop their requisite
their skills so that they can reach their true potential. It tries to know them on a personal front
because it works as a performance appraisal. It try to create an environment of trust and openness
so that all people who are working here behave friendly and helps to each other because team work
is most important for getting success and give respect for the time of others. People are the most
valuable assets of the company so it tries to motivate individual to give his/her best. It wants to
establish a valuable relationship with them to create a joyful working environment. The most
important thing is that it tries to provide job satisfaction for their people.
5. Team work: One for all and all for one ´Here whole team takes the ownership of the
deliverables. It consults all involved in the work and tries to understand their opinion and then
arrive at a common objective. There is a cooperation and support across departmental boundaries.
It identifies strengths and weaknesses accordingly allocate responsibility to achieve common
objectives. Team work helps everyone to achieve more. It adds joy at work place which adds
interest in the work and new stamina in the work. It generates synergy and provides a focused
approach. When an idea or activity performed in a group, it has greater acceptability. ³Team work
proves one for all and all for one
6. Joy and simplicity: It believes in joy and simplicity so that people in the organization will be
more dedicated towards work and they will give more business to the organization. Work with joy
and simplicity brings creativity and new imagination which also brings new innovative ideas that
promote competitive advantage to the organization.
Mission of HDFC life
HDFC Life aims to be the top new life insurance company in the market. This doesn’t just mean
being the largest or the most productive company in the market; rather it is a combination of several
things like-
Customer service of the highest order
Value for money for customers
Professionalism in carrying out business
Innovative products to cater to different needs of different customers
Use of technology to improve service standards
Increasing market share
Market share
HDFC Limited.
HDFC is India’s leading housing finance institution and has helped build more than 23,
00,000 houses since its incorporation in 1977.
In Financial Year 2003-04 its assets under management crossed Rs. 36,000 Cr.
As at March 31, 2004, outstanding deposits stood at Rs. 7,840 crores. The depositor base
now stands at around 1 million depositors.
Rated ‘AAA’ by CRISIL and ICRA for the 10th consecutive year
Stable and experienced management
High service standards
Awarded The Economic Times Corporate Citizen of the year Award for its
long-standing commitment to community development.
Presented the ‘Dream Home’ award for the best housing finance provider in 2004 at the
third Annual Outlook Money Awards.
Standard Life Group (Standard Life plc and its subsidiaries)
The Standard Life group has been looking after the financial needs of customers for over
180 years
It currently has a customer base of around 7 million people who rely on the company for
their insurance, pension, investment, banking and health-care needs
Its investment manager currently administers £125 billion in assets
It is a leading pensions provider in the UK, and is rated by Standard & Poor's as 'strong'
with a rating of A+ and as 'good' with a rating of A1 by Moody's
Standard Life was awarded the 'Best Pension Provider' in 2004, 2005 and 2006 at the
Money Marketing Awards, and it was voted a 5 star life and pensions provider at the
Financial Adviser Service Awards for the last 10 years running. The '5 Star' accolade has
also been awarded to Standard Life Investments for the last 10 years, and to Standard Life
Bank since its inception in 1998. Standard Life Bank was awarded the 'Best Flexible
Mortgage Lender' at the Mortgage Magazine Awards in 2006
All people invest their money in insurance and get more benefited. In the sector the work of
marketing is more challenging than the other sector because there are 23insurance companies in
the market who are giving competition to each other and the work of convince people
for investment in respective company is a challenging work and success in the sector proves that
the respective person is a good marketer. Today insurance sector India is on boom because all
people want to invest. Those who don’t know about investment in share market and don’t want to
invest in mutual funds they invest in insurance sector. Insurance sector gives them investment
plus risk cover. Those who don’t want to take risk in the investment go to insurance sector. It also
gives income tax benefits to the peoples. Insurance company are now launching ULIP plan
and gives chance to the investor to choose their investment pattern according to their fund
investment table(this table is included in the product information of the product of HDFC
Standard life).
Marketing strategy of HDFC life
Marketing is process of analyzing the consumer need and serve the need of consumer which
satisfy the consumer and solve the consumer problem. In this sector the marketing is pay main role
in brand formation and policy awareness to the public. As we know that LIC is covering more than
75%market share. So marketing helps in increasing the market share. Marketers have to analyze
the market share and find out the market. We can divide its marketing process in two parts:-
1) Marketing for Financial Consultant: - Work part-time, earn full-time is the punch line
of its marketing strategy. It says just work for 5 hours a week and earns more than Rs. 20,000
per month. If you will be financial consultant of HDFCSL then you can have high earning
potential, zero investment, and you will not have pressure for work. You can work as whatever
you make your target or you can work as a part-time as per your convenience. There are certain
facilities for FC:-Flexible work timings:-you can work whenever you like and from whenever
you like. You can work full time or part-time, depending on your convenience. It’s like no other
job. However, the time you invest will determine you success.
2) Zero investment: - There is no star-up capital. Be your own boss; with a flexible working
environment, unlimited earning potential and other opportunity to be part of a world class team.
The advantage is all yours. Sunrise industry: - Life insurance in India has a huge potential
for growth. Statistics reveal that only 25% of the insurable population in India is insured. And
those insured are in need of still higher insurance cover. The over 100% growth displayed by
private life insurers indicates this huge untapped potential.
Strong partnership: - It is one of the fastest growing life insurance companies. It was the
first private life insurance company to be granted a license by IRDA. It has been rated by
business world class magazine as India’s most respected Private life Insurance Company in
2004. HDFC Standard life Insurance has one of the highest brand recalls of around 86%.
Marketing for the potential market: - In our general life we buy those things which we see.
For consumer awareness print marketing and electronic marketing both are most important.
In the market 17 insurance players is trying to convince people with the advertising in
television, radio, newspaper and magazines. HDFC Standard Life is also adopting these
electronic marketing.
The punch line of HDFC Standard Life is ³Sar Utha Ke Jiyo´. Today it has more than 8
lack policy holder. It is also targeting cinema halls like PVR where it will get more potential
market, for marketing.
For insurance sector the main marketer becomes its Financial Consultant. So it is trying to
recruit more and more financial consultant for the purpose of sale of the policy of HDFC life
and people will be more aware through it because it is a work of contact. Which have more
contact the person can get more business.
6. Children plan
Awards
Below 25 4 8
26 – 40 16 32
40 - 60 18 36
Above 60 12 24
TOTAL 50 100
20
15
10
5
0
Below 25 26 – 40 40 - 60 Above 60
INTERPRETATION
The chart shows the distribution of respondents on the basis of their age group.36% of the total
respondents belongs to the age group 40-60, 32% belong to 26-40, 24% belongs to above 6o group
and the remaining belongs to age group below 25
TABLE 4.2: CLASSIFICATION OF RESPONDENTS ON THE BASIS OF GENDER
Male 31 62
Female 19 38
TOTAL 50 100
38%
62%
INTERPRETATION
According to the survey, it is clear that majority of the respondents are male. 62% of the respondents are male and
38% are female as per the table and chart.
TABLE 4.3: CLASSIFICATION OF RESPONDENTS ON THE BASISOF MARITAL STATUS
Married 12 24
Unmarried 38 76
TOTAL 50 100
24%
76%
Married Unmarried
INTERPRETATION
According to the given data majority of the respondents are Married.76% of the respondents are married
and 24% are single.
TABLE 4.4: CLASSIFICATION OF RESPONDENTS ON THE BASIS OF OCCUPATION
20
15
10
0
Service Self employed Students Professionals House wives
INTERPRETATION
From among 50 respondents majority are from service sector and next highest group is
professionals. There were self-employed people, house wives, and students, they are less in
number .Next thing in the questionnaire was the opinion of the respondents about life insurance.
Majority have an opinion that it life insurance protects their life and some have selected insurance
policy as savings option.
TABLE 4.5: CLASSIFICATION OF RESPONDENTS ON THE BASIS OF MONTHLY INCOME
(in Rs.)
Below 25000 3 6
25000 - 40000 19 38
40000 - 60000 20 40
Above 60000 8 8
TOTAL 50 100
20
15
10
0
Below 25000 25000 - 40000 40000 - 60000 Above 60000
INTERPRETATION
The table and graph represents the classification of respondents on the basis of their monthly income. 40% of the
respondents belong to the income group of 40000 - 60000, 38% of the respondents belong to 25000 – 40000 group,
16% belongs to above 60000 group and the least 6% belongs to income below 25000 per month.
TABLE 4.6: LIFE INSURANCE POLICY HOLDERS
POLICY HOLDER
Yes 32 64
No 18 36
TOTAL 50 100
24%
Married
76% Unmarried
INTERPRETATION
According to the table and graph, 76% of the respondents are Life insurance policy holders
and24% are not. Therefore it can be concluded as majority of the respondents are life insurance
policy holders.
TABLE 4.7: TYPE OF INSURANCE POLICY THE RESPONDENTS PREFER
Type of policy
25
20
15
10
0
Tax savings Protection tool Savings option Others
INTERPRETATION
It is clear that 44% of the respondents selected insurance policy for the purpose of tax savings.
32% as protection tool and 44% are savings option. The main intention for purchasing insurance
policy is to get tax benefit.
TABLE 4.8: THE MAJOR LIFE INSURANCE COMPANIES IN THE LOCALITY
COMPANY NO OF RESPONDENTS PERCENTGE (%)
LIC of India 16 32
ICICI prudential 6 12
BAJAJ ALLIANZ 1 2
SBI 4 8
BIRLA LIFE 0 0
HDFC LIFE 23 46
TOTAL 50 100
Source: Primary Data
15
10
0
LIC of India ICICI prudential BAJAJ ALLIANZ SBI BIRLA LIFE HDFC LIFE
INTERPRETATION
As per the survey on major insurance companies in the locality, 46% of therespondents chose
HDFC life, 32% was LIC, 12% was ICICI prudential, 8% was SBI life and 2 % was Bajaj
Allianz. Majority was HDFCL.
TABLE 4.9: PEOPLE ASSOCIATED WITH HDFC LIFE
Yes 35 70
No 15 30
TOTAL 50 100
30%
70%
Yes No
INTERPRETATION
The graph and table shows the number of respondents associated with HDFC Ltd. It is clear that
70% of the respondents are associated with HDFCL and 30% are not.
TABLE 4.10: CUSTOMER AWARENESS ABOUT DIFFERENT SERVICES OF HDFC
LIFE
30
25
20
15
10
0
Banking Insurance Mutual fund Securities House loan
INTERPRETATION
Among the respondents, majority are familiar with the insurance sector of HDFC. 56% of the
respondents are familiar with insurance, 24% with banking,10% with house loan, 6% with
securities and only 4% are aware of Mutual Funds.
TABLE 4.11: PEOPLE FAMILIAR WITH HDFC LIFE
Yes 36 72
No 14 28
TOTAL 50 100
35
30
25
20
15
10
0
Yes No
INTERPRETATION
According to the data most of the respondents are aware and familiar with HDFCL. 72% of the
respondents are familiar and 28% are not familiar with HDFCL
TABLE 4.12: MEDIA THROUGH WHICH PEOPLE CAME TO KNOW ABOUT HDFC
LIFE
CHART 4.12: MEDIA THROUGH WHICH PEOPLE CAME TO KNOW ABOUT HDFC
LIFE
18
16
14
12
10
8
6
4
2
0
News paper Tele Vision Word of mouth Internet
INTERPRETATION
The graph and table represents the media through which the people comes to know about HDFCL.
36% of the respondents came to know through television, 28% through word of mouth, 20%
through newspaper and the remaining 16% through Internet.
TABLE 4.13: THE NUMBER OF PEOPLE WHO WANTS THEIR RELATIVES AND
FRIENDS TO KNOW ABOUT HDFC LIFE
OPINION NO OF RESPONDENTS PERCENTAGE (%)
Yes 46 92
No 4 8
TOTAL 50 100
CHART 4.13: THE NUMBER OF PEOPLE WHO WANTS THEIR RELATIVES AND
FRIENDS TO KNOW ABOUT HDFC LIFE
40
Axis Title
30
20
10
0
Yes No
Axis Title
Series1
INTERPRETATION
According to the survey, 92% of the people want their relatives and friends to know about the
HDFC life and their services and the remaining 8% doesn’t want to inform their relatives and
friends about HDFC life
TABLE 4.14: THE NUMBER OF RESPONDENTS WHO REVIEWS THEIR FINANCIAL
GOALS WITH AN EXPERT
RESPONSE NO OF RESPONDENTS PERCENTAGE (%)
Yes 16 32%
No 34 68%
TOTAL 50 100
Source: Primary Data
32%
68%
Yes No
INTERPRETATION
The data clearly shows that 32% of the respondents will review their financial goals with an expert
who will be assisting them in achieving their financial goals
TABLE 4.15: AWARENESS ABOUT EXPERT ADVICE FROM HDFC LIFE
Yes 28 56%
No 22 44%
TOTAL 50 100
44%
56%
INTERPRETATION
According to the survey, 56% respondents are aware that they can get an expert advice form HDFC
life and the remaining 44% of the respondents still not aware about the expert advice from HDFCL.
TABLE 4.16: THE NUMBER OF RESPONDENTS WHO THINK HDFC PROVIDES
MORE BENEFITS THAN OTHER INSURANCE COMPANIES
Yes 26 52%
No 24 48%
TOTAL 50 100
26
25
24 Series1
23
Yes No
INTERPRETATION
The table and chart shows that 26 among the 50 respondents think HDFC life provides benefits
more when compared to other insurance companies. The remaining 24 thinks HDFC life as like
any other life insurance companies. Services offering are more or less will be the same
TABLE 4.17: THE NUMBER OF RESPONDENTS WHO THINK FINANCIAL
CONSULTANTS SHOULD COME TO THEIR HOME AND COLLECT PREMIUM
AMOUNT
Yes 32 64%
No 18 36%
TOTAL 50 100
30
25
20
15
10
0
Yes No
INTERPRETATION
According to the survey, Majority (32 out of 50) thinks that financial consultants should come to
their home and collect the premium amount. The remaining 18 people do not have such an opinion.
TABLE 4.18: OPINION ON THE ADVERTISEMENT STRATEGY OF HDFC LIFE
Good 23 46
Average 22 44
Poor 5 10
TOTAL 50 100
Poor
10%
Good
46%
Average
44%
INTERPRETATION
From the survey it is known that the advertisements of HDFC life are good and average. Only 5
people among the respondents had an opinion that the ads are poor. Majority have a good opinion
about HDFC life, since the company gives priority to the customers. Some of them have a fear to
invest in HDFC life because of it’s a private ownership. The advertisements are more effective to
make a good place in the minds of the public.
TABLE 4.19: CUSTOMERS’ AWARENESS ABOUT THE LATEST OFFERS
Yes 47 94%
No 3 6%
TOTAL 50 100
INTERPRETATION
As per the survey it is clear that majority of the respondents are aware about the latest offers
provided by the HDFC Life. 94% of the respondents are aware and the 6% are not ware about the
latest offers.
TABLE 4.20: OVERALL SATISFACTION LEVEL OF THE RESPONDENTS
Highly Satisfied 27 54
Satisfied 17 34
Average 6 12
Dissatisfied 0 0
TOTAL 50 100
25
20
15
10
0
Highly Satisfied Satisfied Average Dissatisfied
INTERPRETATION
It is clear from the data that most of the customers are satisfied with the services of HDFC Life.
54% of the respondents are highly satisfied, 34% are satisfied, 12% are satisfied to an average
extent and no one was dissatisfied.
5.1 FINDINGS
Life insurance is a relatively low involvement product, even for those who have voluntary cover.
It is not something that occupies consumers’ minds at times other than the time of consideration /
purchase. The result of this is a low level of awareness and understanding of life insurance
products, and more generally, of the operation of life insurance companies.
There is confusion in the minds of consumers between life insurance, general insurance, health
insurance, and some investment products (such as endowment products). Life insurance
companies, therefore, are subject to odium emanating from problems in the general insurance
sector, such as the collapse of HIH, increasing general insurance premiums, and obscenely large
director salaries and bonuses. This is the case even among apparently erudite individuals.In this
knowledge vacuum, people make incorrect assumptions and attributions about life insurance.
These ill-formed and uninformed attitudes then act as barriers to life insurance product take-up.A
similar line of reasoning is applicable to genetic testing. A lack of knowledge about the details
and potential benefits of genetic testing leads people to associate genetic testing with unrelated
areas such as organ farming, human cloning, ‘Dolly the sheep’ and so on.It should not be
surprising, therefore, that there is a significant level of opposition in the community to the use of
human genetic information by life insurers. It is effectively the fusion of two areas of uncertainty,
coupled with cynicism towards financial institutions.
However, the picture is not altogether bleak. There is evidence in this research suggesting that
attitudes to life insurance and genetic testing are, to some extent, malleable. In the course of the
group discussions, the attitudes of numerous people changed, in some cases dramatically. In the
quantitative research, a brief explanation of the concept of pooled risk was able to significantly
alter attitudes to a number of issues. While it is the case that some people are more easily led than
others, these two pieces of research suggest that a communications program has the potential to
influence attitudes in the area of life insurance and genetic testing. Our belief is that given the
relatively low involvement nature of life insurance, an attitude change program should target the
time of greatest involvement – that is, the time around product consideration and purchase. We
believe that a communication program would be most effective if it was a joint life insurance
industry and government initiative.
6.1 BIBLIOGRAPHY
Name:…………………………..
Address:…………………………………………..
……………………………………………….
Mob No:…………………………..
1. Age group
a) Below 25 b) 25 - 40 c) 40- 60 d)Above 60
2. Gender
a) Male b) Female
3. Marital Status
a) Married b) Unmarried
4. Occupation
a) Service b) Self employed c) Professional d) Student
e) Housewife
d) Above 60000
……………………….THANK YOU…………………