“Performance evaluation of Birla Sun Life

Insurance products in comparison with Life

Insurance Corporation (LIC)”

Introduction to Insurance:
Insurance is a financial topic of paramount importance for every
individual. Insurance is designed to protect the financial well-being of
you and your dependents in the case of unexpected loss. Some forms of
insurance are required by law, while others are optional. Agreeing to the
terms of an insurance policy creates a contract between you and the
insurance company. In exchange for payments from you (called
premiums), the insurance company agrees to pay you a sum of money
upon the occurrence of a specific event. That event may be as mundane
as a visit to the doctor or as serious as a car crash, depending on the type
of insurance.
After contacting an insurance company about entering into a policy, you
will receive a quote, which is the total amount of money you will need to
pay over the term of the insurance policy in exchange for coverage.
When you have agreed to pay this amount and the insurance company
has agreed to insure you, you will receive a copy of the policy detailing
the terms and conditions of your policy.
If an insured incident occurs, you will make a claim for payment from
the insurance company. You will receive the amount you are insured for
in the case of the specific incident minus a deductible that you must pay
for each claim. Higher deductibles are associated with lower premiums
and vice versa. Therefore, for claims that are likely to be made, it may
be in your best interest to pay a higher premium in exchange for a lower
deductible.
Given the importance of insurance, it is essential to make sure that
your coverage is sufficient. However, paying for too much insurance or
insurance that you don’t need can be a significant drain on your
finances. Investigate all potential insurance policies carefully in terms of
your own needs at the time of purchase and throughout the term of the
policy.

Purchasing Insurance:
Insurance was traditionally sold by agents who worked for insurers and
had a vested interest in selling you their specific policies. Now, there are
more consumer-friendly options for acquiring insurance coverage.
Independent agents can sell policies from several different companies,
allowing them to be more objective about your personal needs. These
individuals may even be able to provide a complete review of your
insurance needs, something you should do on a regular basis to keep
your policies up to date with your current financial situation. The web
has also become an excellent resource for shopping for and even
purchasing insurance.
It is important to research any company that you are considering to
identify the quality providers. When choosing an insurance company, it
is important to find one with a good independent rating from Standard &
Poor’s or another leading rating service. This will tell you whether the
company is likely to be able to pay off claims even in the event of a
disaster that leads to an abundance of payouts. Recommendations from
individuals and consumer information publication in print and on the
web may be able to provide additional information related to the quality
of service. These considerations may include likelihood of a claim being
paid, speed of payout, customer service and other services available
from the company.
Purchasing more than one policy from a single insurer can save you
money in the form of discounts. Therefore, it may be in your best
interest to single out companies that will provide quality coverage in all
of the areas that you are interested in, instead of piecing together your
coverage from many different insurers.

REVIEW OF LITERATURE

Insurance is a must because of the uncertain future adversities of life.

Accidents, illnesses, disability etc are facts of life that can be extremely
devastating. Other than the hospitalization, medication bills these may
run up it’s the aftermath of the incident, the physical well being of the
individual that has to be taken into consideration. Will the individual be
in a position to earn as before? A pertinent question, But what if he is
not? Disability can be taken care of by insurance. Your family will not
have to go through the grind due to your present inability.
            You think twice before taking the plunge into buying insurance.
Is buying insurance a necessity now? Spending an 'extra' amount as
premium at regular intervals where you do not see immediate benefits
does not seem a necessity at the moment. May be later well you could be
wrong. Buying Insurance cannot be compared with any other form of
investment. Insurance gives you a life long benefit and the returns will
definitely come but only when you need it the most i.e. at the right time.
Besides buying insurance early in life is one of the wise decisions you
could take. Because the premium you would be paying would be
comparatively lower.

RESEARCH METHODOLOGY
 MEANING OF RESEARCH
Before understanding Research Methodology, we should understand the
meaningof research. Research in common parlance refers to a search for
knowledge. One can alsodefine Research as a scientific and
systematic search for pertinence information on a specific
topic. In fact, research is an art of scientific investigation.
DEFINITION OF RESEARCH
Research is a systematized effort to gain new knowledge” -Redmann &
Mory
 MEANING OF RESEARCH METHODOLOGY
Research Methodology, it is a way to systematically solve the research
Problem. It may be understood as a science of studying how research is
done scientifically. In it we studythe various steps that are generally
adopted by the researcher in studying his research problem along with
the logic behind them. It is necessary for the researcher to know notonly
the research.
DATA COLLATION:
The objectives of the project are such that both primary and
secondarydata is required to achieve them. So both primary and
secondary data was used for the project. The mode of
collecting primary data is questionnaire mode and sources
of secondary data are various magazines, books, newspapers, &
websites etc
primary data:
The primary data are those data which are collected afresh and for the
first time, and thushappen to be original in character.
Secondary data:
The secondary data on the other hand, are those which have already been
collected bysomeone else and which have already been passing through
the statistical process.
Sample size
100 people of MOGA City were selected