GURU NANAK INSTITUTE OF MANAGEMENT STUDIES

Matunga (E), Mumbai – 400 019

Dissertation Report Titled

“IMPLEMENTATION OF CRM
IN INSURANCE COMPANY”

In the partial fulfilment of

Executive MBA (PGCM)

By

MS. PRIYANKA KALAMBE

[Batch 14, Roll No: 05]
Semester 4 & Specialization: Operations

Under the Guidance of

Dr. Gowri Shankar

 GURU NANAK INSTITUTE OF MANAGEMENT STUDIES
Matunga (E), Mumbai – 400 019

CERTIFICATE

This is to certify that Ms. Priyanka Kalambe a student of Executive MBA

(PGCM) Term 4- bearing Roll No. 05 has successfully completed the project
titled, “Implementation of CRM in Insurance Company”, in the partial
fulfilment of Executive MBA (PGCM).

Place: Mumbai

Date: 1st Mar, 2020

Name of the Project Guide: Dr. Gowri Shankar

Signature of the Project Guide:

Signature

Head E-MBA
 STUDENT DECLARATION

I hereby declare that the project titled “Implementation of CRM in Insurance

Company" is my own work conducted under the supervision of Dr. Gowri
Shankar.

I further declare that no part in this project work has been plagiarized without
proper citations and has not formed the basis for the award of any degree, diploma,
associate ship, fellowship previously.

Name of Student: Ms. Priyanka Kalambe

Signature of the Student:

 TABLE OF CONTENTS
Sr. No. Topic Page
No

Executive Summary 6

Chapter 1 Introduction 7

1.1 Introduction of CRM in Insurance 8

1.2 Introduction of Insurance 10

1.3 Literature 15

1.4 Scope of the Project 18

1.5 Objectives 20

Chapter 2 CRM 22

2.1 CRM definition 23

2.2 Need for CRM 26

2.3 Benefits of CRM Implementation 28

Chapter 3 CRM software meets the Insurance Industries needs 32

3.1 How CRM software meets the insurance industries needs 33

3.2 The simplified unified customer view 34

3.3 Eliminating high turnovers and expensive training costs 36

3.4 Times for expansion, target marketing, campaigning 37

Chapter 4 CRM software used by Insurance Industries 39

Chapter 5 Launch the CRM software program 42

5.1 Preparing to launch the CRM software program 43

5.2 Small business CRM initiative 44

5.3 Identifying customers 45

 5.4 Collecting and owning your customer data 46

5.5 Budgets and timelines 47

5.6 Your ROI strategy 47

5.7 The experience resources 48

Chapter 6 Research methodology 49

Chapter 7 Limitations of study 52

Chapter 8 Data analysis and presentation 54

Chapter 9 Conclusions 60

9.1 Findings 61

9.2 Recommendations 61

9.3 Conclusions 62

Chapter 10 Bibliography 63
EXECUTIVE SUMMARY:

In India Insurance sector plays a major role in savings of a person. To purchase anything
in this world the customer has his/her own choice of preferences according to those
preferences only, one can purchase the require product. The project study of
INSURANCE COMPANY linked with CRM (CUSTOMER RELATIONSHIP
MANAGEMENT).
The behaviors of the customers in the services sector have been changing drastically
during the last several years. The reason is all services firms have improved their existing
mechanisms and come up with innovative ideas to attract the new client and gain
the customer loyalty. Therefore, like banking and telecom industry, insurance industry
need to study their customers and their changing behaviors. The very nature of the
insurance business necessitates knowing health histories, life histories, beneficiary
information and more about the demographic profile of the prospective customers. In the
post liberalization of insurance market in India; one factor that contributes to the overall
performance of insurance players is Customer Relationship Management (CRM). Due to
the increase in number of insurance players and rising awareness among customers
about different products, companies in the insurance sector realize the importance of
CRM.
The aim of study to examine and make the company enable to the track customer
sell the appropriate product understanding their needs and wants and to insure a long
term retention of customers through the application of CRM in a comprehensive
manner monitoring the performance of CRM to take corrective actions necessary to
assure the results match the plan projections. Coming to INSURANCE COMPANY
its making effort to attract customers and tap the Insurance market. So this study is also
intended to find customers and the retention value through the application of CRM in
INSURANCE COMPANY.
INTRODUCTION
1.1 INTRODUCTION OF CUSTOMER RELATIONSHIP
MANAGEMENT IN INSURANCE

The very nature of the insurance business necessitates knowing health histories, life
histories, beneficiary information and more about the demographic profile of the
prospective customers. In the post-liberalization of insurance market in world one factor
that contributes to the overall performance of insurance players is Customer Relationship
Management (CRM). Due to the increase in number of insurance players and rising
awareness among customers about different products, companies in the insurance sector
realize the importance of CRM.

CRM allows insurance companies to enable the marketing departments to identify

and target their best customers, manage marketing campaigns with clear goals and
objectives, and generate quality leads for the sales team. Insurance is one of the primary
risk management devices available to the people. The term ‘insurance’ stands for a
mechanism to protect against risks, hazards, or dangers to life and property. Increased
standard of living on one side, ill health, uncaused diseases spread all around on the
other unsafe environment everywhere amidst the above calamities and ailments the span
of life of an individual is almost becoming a major challenge. From all the above
circumstances the concept of insurance was borne.
Tremendous changes were taken place according to market requirement in recent years in
the line of insurance sector. Efficient people were recruited and trained to motivate the
customers and giving them effective advices in order to meet their expectations. The main
function of insurance is to provide protection against the possible chances of generating
losses. It eliminates worries and miseries of losses due to destruction of property and
possible loss of life to their descendants. Risk is the uncertainty under playing any
business. Where there is uncertainty, there is risk. The risk is unavoidable and
unpreventable. However, the risk can be minimized by risk control and risk management.
Insurance indeed is the mechanism to reduce the element of risk. Insurance in any
economy is regarded as a pillar of growth and works as a catalyst in the overall.
Several commercial CRM insurance packages are available which vary in their approach
to CRM. However, as mentioned above, CRM is not just a technology, but rather a
comprehensive customer-centric approach to an organization’s philosophy in dealing
with its customers. This includes policies and process, front-of-house customer service,
employee training, marketing systems and information management. Hence it is important
that any CRM implementation considerations stretch beyond technology, towards the
broader organizational requirements.
The objective of a CRM strategy most consider a company’s specific situation and
its customers' needs and expectations. The people are attracted towards insurance
because of their attractive benefits and which provide maximum security to the
people and their families or their assets that helps face the uncertainties because
“where there is a uncertainties there is risk”. Due to these reasons maximum
number of persons are diverting or preferring or attracting towards insurance
sector. By observing this reason most of the organizations are entering into the insurance
sector. It is not possible for every organization to rule the market or to become market
leader .To compete with the competitors or to be stable in the market or to become a
market leader we have to concentrate on consumer ,because consumer /customer is the
ultimate person who gets the benefits provided by the organization. For that, those
organizations who prepare the plans according to the minds or attitudes of the consumer
by providing attractive benefits will get more success.
1.2 INTRODUCTION OF INSURANCE

WHAT IS INSURANCE?

An arrangement by which a company or the state undertakes to provide a

guarantee of compensation for specified loss, damage, illness, or death in return for
payment of a specified premium.
It is something people buy to protect themselves from losing money. People who
buy insurance pay a "premium" (often paid every month) and promise to be careful (a
"duty of care").
INSURANCE HELPS YOU:

 Own a home, because mortgage lenders need to know your home is protected. It
covers you for repairs and replacement of any damage that’s covered in your
policy. It provides protection against theft, damage from perils like fire and
water, and financial responsibility that could result from a visitor or guest
being accidentally injured on your property.

 Drive vehicles, because few people could afford the repairs, health care costs and
legal expenses associated with collisions and injuries without coverage. Auto
insurance is also a legal requirement.

 Maintain your current standard of living if you become disabled or have

a critical illness. It covers your day-to-day costs and larger expenses like your
mortgage while you focus on your health and recovery.

 Cover health care costs like prescription drugs, dental care, vision care and other
health-related items.

 Provide for your family in the event of a death. There are life insurance options
for short and long-term needs that protect your family’s home, mortgage, lifestyle
and the cost of post-secondary education for children.

 Run a small business or family farm by managing the risks of ownership. Get
owner, business and employee coverage, and provide group benefits and
retirement plans for employees.

 Take  vacations without worrying about flight cancellations or emergency

medical expenses abroad.
OTHER FACTS ABOUT INSURANCE THAT YOU NEED TO KNOW

 Insurance is an essential part of financial planning.

 Income tax-free death benefit proceeds payable to your beneficiaries.

 Needs and goals determine the amount to own.

 Helps ensure that your dependents are not burdened by debt.

 The younger and healthier you are when you purchase life insurance, the less it
will be cost you to own a life insurance, the less will be cost you to own a life
insurance policy.

Insurance helps protect the financial security of your family in the event of your on
timely death. This is especially important when you are the primary wage earner.
The owner of the policy pays the insurer premiums in exchange for a promise to
pay the beneficiaries a death benefit upon the death of the insured.
Life insurance needs should be revaluated when major events occur in life such as
marriage, the birth of children or a business startup.
TOP INSURANCE COMPANIES

 LIC Insurance Corporation Of India.

 ICICI Prudential Life Insurance.

 SBI Life Insurance.

 HDFC Standard Life Insurance.

 Bajaj Alliance

 National Insurance.

 Max Life Insurance.

 Reliance Nippon Life Insurance.

 TATA AIA Life Insurance.

 The New India Assurance Company

 L & T Insurance
LITERATURE
1.3 LITERATURE:

The modern concept of business as “To create customers”. This is perhaps the
shortest definition of modern business or the changing concept of business but
definitely not the simplest of definitions, for the phrase, to create customers, though
sounds simple but has great implications. Here the customer is not the buyer who is
one of the two parties in the sales transaction as a ‘One-off’ case but a person whose
loyalty towards the organization has to be ensured.

Insurance Companies have to understand the changing needs of customers. They have
to develop viable and cost- effective distribution channels, build consumer awareness
and confidence which will together contribute in further strengthening the insurance
business in India. Insurance Organizations being service oriented need more customer
responsiveness. In addition, it should stand as a model in CRM activities. It is
observed that more acquiring of technology in the name of serving effectively is not
the answer of CRM. As a condition precedent to coverage under this policy, the
insured shall report such claim to report such claim in writing to the insurance
company as soon as reasonably practicable, and that prior to the inception date of
policy, the insured did not know or did not have reasonable foresight that such
wrongful act might give rise to a claim. In today’s credit happy society, an insurance
cover which mitigates the risk of repaying credit if death or disability happens to the
debtors is very relevant. The study is emphasizing on creditor insurance by looking at
the feature of the products, benefits, the problem faced and the relevance of creditor
insurance for the Indian insurance market.

Worldwide, especially developed countries are characterized by a stable insurance market

with low growth potential and a high degree of competitiveness, the focus in these areas
being on creating and managing a portfolio of profitable customers and maintaining it.
The adopted strategies take into account improving after-sales services (particularly
in the field of damage management and complaint resolution) and to develop
attractive and complex product packages that closely match the customer
requirements. In this regard an important role belongs to the implementation of the
customer relationship management concept in the insurance industry. Compared to this
situation, in the International countries, which have their insurance market in a
developing stage, strategies are mainly focused on attracting more customers (due to
the important insurable potential) by developing insurance products as accessible as
possible and less on completely meeting the need for insurance. The presence of
internationally famous brands in the International insurance market due to the large
potential of these markets that can be easily exploited. Consequently, within the top
companies competition is very tight, each of them trying to adapt and enforce their own
standards and values that have ensured their success internationally. Also the deregulation
and liberalization process meant to establish a single International financial market had
some important implications for the insurance industry. Due to increased competition,
European insurance companies had to adapt their costs and operate efficiently to survive
in this new environment.
In this very complex context, it becomes necessary to develop in India also, some
strategies geared to maintaining and preserving the client portfolio, based on the
principles of customer relationship management (CRM). Currently, on the insurance
market in India, companies face better informed customers and more concerned with the
quality/price ratio of the offered insurance products and after sales services.
SCOPE OF STUDY
1.4 SCOPE OF STUDY:

The aim of study to examine and make the company enable the Implementation of
CRM that allows insurance companies to enable the marketing departments to
identify and target their best customers, manage marketing campaigns with clear
goals and objectives, and generate quality leads for the sales team . Due to the
increase in number of insurance players and rising awareness among customers about
different products, companies in the insurance sector realize the importance of CRM.
The objective of a CRM strategy most consider a company’s specific situation and
its customers' needs and expectations.
Insurance organizations have now found themselves caught in the race to continually
enhance products, adjust to new challenges, while trying to use this change as an
opportunity. These once 'product-centric' businesses are finding the need to turn into a
'customer-centric' operation in the attempt to achieve business goals, retain customer
retention, reduce operation costs, to hopefully in the end see some revenue growth.
This transition can seem straightforward, but is a substantial implementation
requiring good preparation and careful planning. It seems that to become and remain
customer centric, success can only be found when supported by the right, on demand,
enterprise-wide, small business CRM (customer relationship management) deployment.
Customer Relationship Management (CRM) is a strategic initiative of companies to
defend and nurture their market position by providing superior customer value to
the most valuable customers. Many companies have invested heavily in CRM
technology, but research shows that the performance of this investment has been
poor due to the absence of proper customer orientation and a customer-driven culture
within the organizations. The importance of CRM in creating customer value in business
cannot be underestimated. Without customer, a business has no reason to exist. For any
business organization, customer value creation is an essential undertaking to maintain its
strategic positioning and competitive edge over its competitors. It remains a key
differentiator of its business and an ongoing but extremely challenging exercise that
requires continuous effort to sustain the desired customer value.
OBJECTIVES
1.5 OBJECTIVES

The perceptions of customers and employees of insurance companies and their

CRM practices.
 To study whether the technology selected is on the basis of customer needs.
 To study how empowered are the employees of the organization to deliver
superior service.
 To study the customer knowledge strategy adopted.
 To obtain a better understanding of the customers, and their wants and needs.
 To define appropriate product and service offering and match it to the customers
unique needs.
CRM
1.1 CRM DEFINITION:

CRM process involves the activities and strategies that companies use to manage their
interaction with current and potential customers. Successfully collecting information
about your customers allows you to understand them more. In turn, you can improve your
products and services based on their demands. CRM are sorted by types, such as general
use, inbound lead management, sales tracking, social tracking, and a fully integrated
system.
Benefits of CRM: Building lasting customer relationships, streamlining and automating
processes, creating better collaboration and communication, better pipeline management,
and increased revenues.
CRM is actually a tremendous step forward in creating a system that can provide a means
for retaining individual loyalty in a world of nearly seven billion souls. CRM helps in
order to understand changing nature of the customer because customer are not what
they used to be. Insurance sector competition makes CRM for insurance companies a
necessity. Customer relationship management (CRM) encompasses the strategies,
methods and tools used to evaluate customer behavior and interactions to cultivate
positive customer relationships
CUSTOMER RELATIONSHIP MANAGEMENT SYSTEM
NEED OF CRM
2.2 NEED FOR CRM
 To meet the changing expectations of customer due to:
 Social and demographic factors
 Economic situations.
 Educational standards
 Competitors product
 Experience
 Loyal customers are the source of most profit:
 A relatively small percentage of customer may generate most of the profits.
 Marketing cost and efforts are less for existing customers.
 Dissatisfied customers tell others about their experiences, so do satisfied
customers.
 Slowing the rate of defection grows the customer base.
 Competitive advantage

 Building and maintaining corporate image

 Reduction in the customer defection rate

 Increase and improvement in long-term relationships

BENEFITS OF CRM
IMPLEMENTATION
2.3 BENEFITS OF CRM IMPLEMENTATION

 Maintain a centralized database across your sales org

 Manage all communication and interactions with prospects
 Automate data entry
 Be reminded to follow up with prospects
 Organize contact data
 Segment customers
 Create sales reports
 Automate forecasting for your sales performance
 Scale your sales processes over time
 Ensure team communication is facilitated
 Keep the same software as your company grows
 Make administrative tasks efficient
 Operational CRM

Having seen how an operational CRM can be used, it is clear that they are a great benefit
to organizations focused on enhancing customer satisfaction and loyalty. Among the
benefits of an operational CRM include:

 Enhancing marketing processes

 Improving internal communication

 Maximizing cross-selling and up-selling

 Increasing revenue and return on investment

 Enhancing customer satisfaction

Powerful customer acquisition and customer retention solutions

By combining your proprietary customer data with our segmentation systems and
the most comprehensive databases available, you get customer acquisition and
customer retention solutions targeted for your specific industry. The following
customer acquisition and customer retention solutions and platforms are available:

 Data – reveal product usage through primary research and survey data
 Segmentation – uncover specific lifestyle information
 Software – map customers and perform in-depth analyses
 Internet – download additional data for analysis
 Consulting – gain customized solutions through our analytical services division,
Integrals
By combining the business-to-consumer marketing solutions most relevant to you and
your business, you will improve your customer profitability and customer loyalty.
 CRM SOFTWARE
MEETS THE INSURANCE
INDUSTRIES NEEDS
3.1 HOW CRM SOFTWARE MEETS THE INSURANCE
INDUSTRIES NEEDS

So most insurers now are automated or in the process of becoming so, but these systems
are still geared towards being product-centric. They can meet the call for claims
management, billing, policy admin, actuary systems and so on, but are falling short in the
capability to be customer-centric. Not being fully integrated in all of the small business
processes, companies cannot improve efficiencies, resolution times or accuracy of
responses. Many years have gone by where insurance businesses believed that customer
management was directly connected with service delivery and paying broker commissions
on time. No longer is this infrastructure sufficient enough to support a pure customer
centric operation. The forward thinking insurance companies have started to realize small
business CRM ventures are the catalyst to delivering the high quality service clients are
looking for and reduce operation costs all at once. Small business CRM has become a
very powerful tool in the goals to satisfy current customers and win over new ones.
Nothing else directly affects loyalty or the ability to consolidate accounts like relationship
building activities. If you implement an operational small business CRM solution, well
defined, quantifiable effects will happen to the institution that is choosing this as a
strategy.

There are four crucial customer centric are as that will be affected by a small business
CRM solution, creating long-term relationships.

• Amalgamated customer view

• Targeted marketing for growth and retention
• Incorporated, multi-channel services and sales
• Efficient management of distribution channels
3.2 THE SIMPLIFIED UNIFIED CUSTOMER VIEW

Due to the many acquisitions and mergers that have taken place over the past few years,
these newly combined insurance organizations are finding that the amount of fragmented
data from various points to be quite complex. The wealth of customer data is there, but is
quite incoherent. This data is difficult to access and never readily available when the sales
force needs it immediately. Silos of information are enhancing this ability to create the
single view needed of the customer, and letting customer value, and interactions are
accurately determined. This eliminates the aggravation customers feel when they are
forced to deal with a multi-line channel, having to identify themselves more than once,
repeat themselves over, or have their calls transferred beyond the one time that is
acceptable. Customer Service Representatives need to be able to meet the customer
expectations that have been set, and when there is the inability to access the customer
data, this highly impacts their effectiveness. If there is a failure to anticipate and take
care of the needs there can be a risk of affecting the profitable long term relationship.

CSR’s with on demand, real time sales software access to all of the customer's
information that has been integrated from the various systems impacts their effectiveness.
Having access to the most current information, a CSR can be confident in the
information they are providing the client, become more comfortable cross-selling the
products and up-sell offers all the while providing that personalized individual service.
Disparate business Processes will raise the chance of errors, impede rapid response time
and reduce the CSR’s productivity. The multi-channel organization will eventually fall
behind and lose a grasp on future profits and market share when failing to integrate
or consolidate client data. Web based, self-service routes are able to sustain the amount
of customer transactions that come through on a daily basis. The amount of functions it is
able to handle is amazing; customers can do research on products, have access to FAQ's,
get their hands on quotes, applications and submit them. Any covered individuals, like
policyholders or beneficiaries are able to check claim status, modify their account
information, submit complaints or issues or file loss reports via this web based system. It
has become clear that unifying customer data obtained from disparate business systems
will help enhance client relationships, and by doing so, your operation will also learn to
leverage this information to create better opportunities, making business more profitable.
When you begin to use existing policy, claim, rating and billing information, which are all
valuable parts of the enterprise, your small business.

CRM solution will use the analytic tools to forecast future profits, customer behavior, and
future operations. Through advanced analytical capabilities like executive dashboards and
key performance indicators, employees can access the most relevant and timely
information. Having the capacity to do so, critical customer info will aide in making
business decisions based on the complete understanding of the situation possible, in an
effective and timely approach. Among many other financial institutions like banks
and brokerages, over 30 percent of the knowledge they have is from workers using
business intelligence tools (sales marketing software) to improve decision making, while
less than 25 percent of insurance knowledge staff use these intelligence tools. Because
the banks and other financial institutions have invested more heavily in automated
customer centric applications, the customer services costs they incur are typically lower
than those that insurance companies see. Over one-third of all bank's customer inquiries
are handled electronically. When compared to insurance operations, only 20 percent of
the customer inquiries are done electronically. In the effort to reduce operating expenses
that go hand in hand with customer service, these insurance companies are beginning to
investigate the integrated multi-channel customer interaction systems available.

3.3 ELIMINATING HIGH TURNOVERS AND EXPENSIVE

TRAINING COSTS
High turnover in CSR positions and long training time’s makes it tough to retain the high-
quality, highly productive staff that is needed to supply good customer service. With
inadequately trained or inexperienced service staff in place, they contribute to lengthy
resolution times, inaccurate responses to queries and generally provide your clients with
unsatisfactory service. Traditional service centers cannot seem to find answers when
trying to solve this sort of problem. The already existing channels such as phone, fax, IVR
(interactive voice response) must be properly integrated with the newer channels of
contact like emails, web based self-service and live, web based chat areas. With these
ways of contact in place, your service staff, whether they are newly employed or not, can
maintain the level of customer service your company is striving for, keeping clients
content, resonating loyalty, turning them into more profitable clients.

Training you staff to handle multiple types of transactions can streamline business
processes, reducing unnecessary steps; empowering management and agents of higher
levels of authority. It cannot be ignored that some clients will fight to the death to use the
less efficient, integrated channels of communication, feeling that older methods of
communication are the most reliable ways to find out the information they want or to
accomplish their requests. When deploying a small business CRM solution to align the
lines of communication, it is smart to remember that these types of people still exist and
marketing of some sort should be ensued to show the benefits of such methods.

3.4 TIMES FOR EXPANSION, TARGET MARKETING,

CAMPAIGNING
In the increasing challenging economy, insurance companies now are looking for ways to
raise existing client’s product portfolios, in a way to stop customer churning. A small
business CRM application that supports business processes will help insurers distinguish
any opportunities which arise to cross-sell and up-sell additional products or services.
Also, Customer Relationship Management tools can alert service staff as to who is likely
to move to another insurance carrier or financial institution. This enables the staff to
ensure proactive steps are taking to stop the churn before it happens and raise the
possibility of new programs to be implemented with the client.

As opposed to obscuring the client base with generic messages and offers, your small
business CRM solution can improve any marketing transmissions by making sure that the
messages go to the relevant customers, offering personalized communiqué's, making
certain that campaigns are more effective. This way of service will aide in understanding
your client better, and give you the ability to measure the usefulness of each campaign
attempt.
Insurance companies where disparate, non-integrated systems are still in effect, life-event
marketing is basically impossible. In order to make sure that most of your customer data
is working for you not against you, seamless small business CRM deployment
consolidating your various customer systems is essential. Insurers today are beginning to
test life-event marketing that is geared towards specific demographics of clients, like
targeting all of your clients who are new home owners, newly retired etc. To make the
most of these marketing efforts, there is a need for a comprehensive understanding of the
client base. Executing such campaigns and gaining the ability to measure their
effectiveness requires a comprehensive small business CRM infrastructure. This support
is necessary to beat the challenges outbound marketing raise's i.e. direct emails, cold
calling or telemarketing. Having comprehensive views of who you are directing the
marketing, and lets insurers take advantage of market analysis, performance measurement
and campaign management and execution in the most synchronized manner.
CRM SOFTWARE USED
BY INSURANCE
INDUSTRIES
4. CRM SOFTWARE USED BY INSURANCE INDUSTRIES

ZOHO
A relatively inexpensive (and entirely free in the initial configuration) CRM for insurance
agents, Zoo has a set of essential functions and several unique advantages.

SALESFORCE.COM
The Salesforce cloud is an on-demand customer relationship management (CRM) suite
offering applications for small, midsize and enterprise organizations, with a focus on sales
and support.

INSURE.IO

Insure.io is the best CRM software for insurance agents who work in the field of life
insurance. The system was created specifically for this industry. It’s fast, convenient, and
easy to use.

BITRIX24
Bitrix24’s customer relationship management (CRM) solution provides a platform for
businesses to organize and track interactions with potential or existing clients and
partners.

ORACLE NETSUITE

NetSuite CRM+ is a cloud-based customer relationship management (CRM) solution for

small and midsize organizations. NetSuite caters to thousands of customers across a wide
range of industries including wholesale distributions.

CLARITYSOFT

Clarity soft is a cloud-based customer relationship management (CRM) solution designed

for midsize and large enterprise businesses.

HUBSPOT CRM
With its cloud-based, customer relationship management platform, HubSpot helps
companies of all sizes track and nurture leads and analyze business metrics.
 LAUNCH THE CRM
SOFTWARE PROGRAM
5.1 PREPARING TO LAUNCH THE CRM SOFTWARE PROGRAM

CRM, which stands for customer relationship management entails all concepts a company
employs to manage its relationship with customers including attracting and analyzing
them as well as satisfying their needs. It is, therefore, a comprehensive approach to
customer relationship management. There are different types of CRM packages to
accommodate customer relationship management including everything to do with
customer service, setting up policies and processes, training of employees, marketing, and
systems management. To choose the best CRM tool for a company, first, one needs to
consider the specific needs of the company.

Preparing to Launch the CRM Software Program Organizational planning is the key to
accomplishing a successful introduction and acceptance of business process changes, and
with small business CRM it is no different.
Prior to an insurance company beginning to implement a small business
CRM strategy, the following steps should be taken.
• Introduce and ensure small business CRM as an enterprise wide initiative.
• Identify your primary and secondary customers.
• Collect and take ownership of customer data.
• Create realistic budgets and timelines.
• Develop a defined ROI strategy.
• Seek out experience resources to help with seamless deployment.

5.2 SMALL BUSINESS CRM INITIATIVE

Educate and communicate with your employees to prepare them for the new small
business CRM deployment, helping them to prioritize the solution and understand that it
is a strategic initiative for the organization. Upper and senior management is responsible
to manage the needs, provide vision and leadership during this time, so that small
business CRM is adopted with open arms. Quite a few insurers underestimate the
challenges that may arise from employees with new software system integration, so there
is the need to market this and have the employees buy into it for complete success.
Insurance business has been traditional and conservative compared to other financial
service markets, so when making such changes in the way business is run, and
introducing new technologies, any type of resistance can slow down the adoption or small
business CRM. The changes, which are made after the solution has been put in place
typically, impact every business and tech department. This makes teamwork and constant
communications essential between the two groups. Goals, objectives, timelines
Should be defined and agreed on to make the implementation quick and as pain free as
possible.
5.3 IDENTIFYING CUSTOMERS

Knowing who your main customers are, like policyholders, beneficiaries, insured, agents
or brokers are important when customizing and developing the small business CRM
strategy, because these answers can significantly change how the design and
implementation of the product is done.

To add some complication to the mix, traditional insurance distribution methods can
interfere with, whom and how relationships between the policyholder, their broker or
agent, and the actual company take place. In many institutions, the lines of information
and communication must follow a certain flow, for example - client wants questions
answered about their policy, they must contact the broker who sold them the insurance,
then the broker calls a servicing agent to receive the information in question.
To become customer-centric, these insurers must understand the business processes that
are in place, which cannot be changed. This is another issue when designing your small
business CRM solution around situations, which are cemented into place.
5.4 COLLECTING AND OWNING YOUR CUSTOMER DATA

There can be much confusion over which the customer really belongs to. With the broker
or agent in place, insurers have little or no contact with customer unless it is for certain
sales and service procedures. When an intermediary is the main contact, insurers assume
that this person owns the relationship. With such confusion about the ownership, it is
important for insurance organizations to take this ownership during the change from
product-centric to customer-centric models.

Failure to do so will ensure difficulties in migrating data. Your business will gain the
maximum benefits of the total customer view, capturing and combining this data as one.
5.5 BUDGETS AND TIMELINES

The small business CRM budget and timeline need to remain as realistic as possible,
ensuring that any projects, which are vital to the small business CRM deployment, must
be completed prior to the actual installation. This should or will include such items as
updating any admin systems, updating web sites and web based channels. Not considering
this step up front can make the perception of the project costs high or out of control
possibly affecting the implementation deadline.

5.6 YOUR ROI STRATEGY

The ROI measurements should be in place to help the company measure the effectiveness
and justify any future investments with Customer Relationship Management. Avoid any
wishing and hoping of better results by developing business-focused ROI criteria to
enable, define, measure, and analyze the impact of small business CRM. Setting realistic
goals, which are supported and measured, let you calculate the return on the small
business CRM initiative.
5.7 THE EXPERIENCE RESOURCES

To implement your small business CRM solution, ensure that the small business CRM
vendor and the company's IT professionals have the technical proficiency and experience.
Technological challenges, like integrating existing IT systems with new customer facing
systems can sometimes create challenges for an insurance company deployment. Seeking
the assistance of the small business CRM vendor consultants will bring their experience
and guidance to your business to develop the best-fit solution. To reduce any project risk
further, seek out and find a well-established small business CRM company who can offer
you industry specific software that comes with experienced support resources.
 RESEARCH
METHODOLOGY
6. RESEARCH METHODOLOGY

The methodology followed for the fulfillment of the above-mentioned goals is as follows:

There are basically two sources of data: A) Primary data.

B) Secondary data.
PRIMARY DATA: It is collected personally interviewing the respondents through
experience, observation and survey methods. It is collected specially for a particular
purpose with certain objectives in mind.
SECONDARY DATA: It is already collected and recorded data by some other
person for some purpose and is available for present study. Example: internet, textbooks,
organizations annual report etc.

SAMPLE SURVEY
At the period of research work, it is necessary to collect a certain data from the people but
it is not possible to survey each every person who can give information on the issue.
SAMPLE CHARACTERISTICS:
Sample size: 100 clients.
Nature of sample: Highly representatives of the population.

TOOLS OF DATA COLLECTION

The tools of data collection used in the project are questionnaires. There are basically two
types of questionnaires.
Open-ended: Here the respondents can answer the questions in their own way.
Close-ended: Here the choices of answers are given and the respondents have to choose
from the choices, the answer closest to this.
TECHINIQUES OF INTERPRETATION AND ANALYSIS

 Percentage method has been used to analyze the effect of brands on respondents.
 Bar, pie diagrams had been used for better presentation and better understanding
data.
 The information collected is calculated in the forms of percentage to make
interpretation easy.
LIMITATIONS
7. LIMITATIONS OF STUDY

 The information collected and opinions are of customers as to what they feel.
Thus the accuracy and information collected depends upon the perception of
each respondent and circumstances involved.
 The study has been conducted by including 100 customers. Though the sample
is highly representative of the population, it does not cover the entire market of
customers having insurance policies.
 Analysis could not draw for the entire questionnaire, only specific questions
have been analyzed and interpreted.
 Due to time constraint more information cannot be collected.
DATA ANALYSIS AND
PRESENTATION
8. DATA ANALYSIS AND PRESENTATION

1. Why do you think CRM Implementation is needed?

CATEGORY RESPONDENTS
Competitive Advantage 19
All in One 34
Customer-centric Approach 27
Slowing the rate of defection 20

RESPONDENTS

40
34
35

30 27

25
19 20
20 RESPONDENTS

15

10

0
Competitive All in One Customer-centric Slowing the rate of defection
Advantage

INTERPRETATION:

Out of 100 people who participated in survey it is found 19 are showing

interest for Competitive advantage , 34 are interested for All in one and
27 are interested for Customer-centric, 20 are interested for Slowing the
rate of detection. So majority of customers will go for the All in one
approach.
2. Please tick the factor that drives you for the purchase of the insurance.

CATEGORY RESPONDENTS
Safety 35
Benefits 23
Comfort 22
Brand 20

RESPONDENTS

40
35
35

30

25 23 22
20
20 RESPONDENTS

15

10

0
Safety Benefits Comfort Brand

INTERPRETATION:

Out of 100 people who participated in survey it is found 35 are giving

more importance to safety, and 23 are giving for benefits, and 22 are
giving for comfort, and 20 are giving for the brand. The majority of
the customers are giving more importance to safety.
3. Benefits of CRM in Insurance industry?

CATEGORY RESPONDENTS
Centralized DB 35
Automated data entry 20
Making all task efficient 26
Better communication 19

RESPONDENTS

40
35
35
26
30

25
20 19
20 RESPONDENTS

15

10

0
Centralized DB Automated Making all task Better communication
Data entry Efficient

INTERPRETATION:

Out of 100 people who participated in survey it is found 35 customers

are saying Centralized DB, 20 are saying Automated DE, 26 are
saying Making all task efficient and 19 are saying Better
communication. So the majority of the customers are saying that the
best benefit is Centralized DB.
4. Which is the Insurance company need to work on CRM more?

CATEGORY RESPONDENTS
LIC 35
TATA AIA 28
SBI 22
Others 15

RESPONDENTS

35
35
28
30

25 22

20 15
RESPONDENTS
15

10

0
LIC TATA AIA SBI Other

INTERPRETATION:

Out of 100 people who participated in survey it is found 35 are

saying LIC , 28 are saying TATA AIA ,22 are saying SBI and 15 are
saying others. So majority of the customer are saying LIC.
5. which of the following media in your view is the best seated for the
insurance industry.

CATEGORY RESPONDENTS
News papers 33
T.V 26
Hoardings 23
Events 18

RESPONDENTS

35 33

30
26
25 23

20 18
RESPONDENTS
15

10

0
News papers T.V Hoardings Events

INTERPRETATION:

Out of 100 people who participated in survey it is found 33 are known

about the Insurance Company by newspapers.26 are known by T.V. and
20 are known by hoardings and 10 are known by events.
CONCLUSIONS
9.1 FINDINGS:

There is a sea change in the Insurance services during the last one and half decades.
The customer has been considered a pivotal factor for the growth and survival of the
services sector. The present study indicates CRM practices of insurance companies
are quite satisfactory, regarding several lacunae that need to be reminded. From the
findings of the study it is clearly identified that the CRM practices of the
organizations have partially failed in reaching to all sorts of customer segments.
Hence, there is an urgent need on the part of the organizations to analyze the existing
practices, find out the constraints or impediments in meeting the goals of these
practices. First, the organizations should pay attention for improving the existing
CRM practices as well as services and then should take-up improvements and new
interventions for modifications as quickly as possible. Predicting customer behavior
for improved sales efforts is a three step process.

9.2 RECOMMENDATIONS:

Today’s insurance companies certainly face a daunting challenge in maintaining and

increasing their competitive edge. But by focusing on three key imperatives :gaining a
unified enterprise view of customers, retaining customers with great service and
controlling costs while expanding insurance companies can turn challenges into
strategic competitive advantage and enhance their long term viability and
profitability.
To minimize the problem of dissatisfaction in Insurance companies there should be a
department solely responsible for customer relationship management / customer
service where customers can walk in at any point in time to lodge complaints and ask
questions. It is important that companies train personnel purposely for handling
complaints, specially claims settlements, and also follow up on customers after sales.
They should also conduct surveys, send thank you notes etc. these will help the
company know its strength and weakness so they can build on their strength and
improve on their weakness to face these competitive markets. It is also recommended
that periodical education in the process of claims should be made to customers prior to
the filing of claims so that it will reduce the period in which claims are processed. It is
also important that the attention given to the corporate bodies should be equally given
to the individual customers, Companies should continue to investigate and more
importantly improve on the analysis of complaints and the promptness used to
resolved complaints for customers thus enhancing good customer relations
management.

9.3 CONCLUSION:

Insurance organizations today are facing unprecedented competition and a sluggish

economy, so building a customer-centric company will help ensure long-term success.
A small business CRM solution can enable Insurance business's achieve better service
records, improve operations, reduce costs, help retain customers and turn those
customers relationships into profits. Insurers should realize that small business CRM
implementations cannot be taken lightly; the endeavors require true commitment and
leadership to realize the rewards it can bring. By developing task-based action plans,
and detailed budgets, insurance providers will see improvements in business processes
and customer focused activities.
On the basis of the study, it is identified that the need to improve customer
relationship management with more emphasis on customer complaints and feedback
to improve customer satisfaction, loyalty and reduce costs. Due to the business
undertaken by insurance companies as service providers, it is important to find out the
needs of the customer and providing department or special attention to them since
they are the main reason for being in business.
To achieve successful CRM, a company should understand what is and why it is
beneficial to customers in order to retain them for long time. Customers give priority
only to satisfy their needs. The success rate of the CRM depends on the quality of
CRM. Many infrastructural changes are required for industry deployments to be
successful. These changes include updating administration systems, consolidating
back offices, integrating front-end channels with back-end systems, moving customer
information to front-end channels and dealing with data issues. The future of CRM is
very hopeful in insurance sector.
BIBLOGRAPHY
10. BIBLOGRAPHY

● SB Insurance Sector White paper

● Study on Customer Relationship Management in Insurance Sector by Prof. B.
Sudhir and Dr. B. Sudheshna
● Images :Google
● https://www.cetrixcloudservices.com/blog/how-crm-can-enhance-customer-loyalty-for-
insurance-companies
● https://www.creatio.com/page/operational-crm
● https://techonestop.com/what-is-operational-crm
● https://www.researchgate.net/publication/275536407_Customer_Relationship_Manage
ment_in_the_Insurance_Industry
● https://www.whsuites.com/crm-for-insurance-companies/
● https://4tifier.com/crms-for-insurance-top-10-companies-and-how-to-choose-
one/#6_bitrix24
● https://blog.hubspot.com/sales/benefits-of-crm
● https://www.softwareadvice.com/crm/insurance-crm-comparison/?segments=326
● http://www.yourarticlelibrary.com/marketing/consumer-behavior/crm-customer-
relationship-management-meaning-need-and-techniques-of-building-crm/32292
● https://shodhganga.inflibnet.ac.in/bitstream/10603/148525/12/12_chapter%207.pdf
● https://core.ac.uk/download/pdf/82307344.pdf
● https://www.slideshare.net/itstime2rave4u/crm-implementation-in-insurance-sector
● https://pdfs.semanticscholar.org/dcda/9f0522efe020e2fa218f5c1ce995c686fca0.pdf