COMPANY ANALYSIS: BHARTI AXA LIFE INSURANCE

COMPANY LIMITED.
MINOR WINTER PROJECT REPORT
Submitted in partial fulfilment of the requirements for the award
of the degree of
MASTER OF BUSINESS ADMINISTRATION
In
INSURANCE MANAGEMENT
By
ANANYA J
(Reg. No. 20395005)

Under the Supervision of

Dr. D.H. MALINI, M.B.A., Ph.D., FDP(IIMA)
Assistant Professor

DEPARTMENT OF MANAGEMENT
PONDICHERRY UNIVERSITY
KARAIKAL CAMPUS, KARAIKAL – 609605
JUNE – 2021
 DEPARTMENT OF MANAGEMENT
PONDICHERRY UNIVERSITY
KARAIKAL CAMPUS
KARAIKAL – 609 605

CERTIFICATE

This is to certify that the Minor Winter Project Report entitled, Company
Analysis: Bharti Axa Life Insurance Company Limited, submitted by
ANANYA J (Roll No.20395005) to Pondicherry University Karaikal
Campus, Karaikal, for the award of the degree of Master of Business
Administration is a record of bona fide research carried out under my
guidance.

The study is his original work and it has not previously formed the
basis for the award of any degree, diploma, or other similar title. This
project report represents an independent work on the part of the
candidate.

Place: Karaikal
Date: 20-06-2021

Head of the Department Faculty Guide

Dr. S.A. SENTHIL KUMAR Dr. D.H. MALINI
Professor Assistant Professor
 DECLARATION

I hereby declare that the project report is carried out at Pondicherry

University by me in partial fulfilment of the requirements for the award of
the degree of master of Business Administration in Insurance
management carried out under the guidance of Dr. D.H. MALINI,
Assistant Professor, Department of Management, Pondicherry University,
Karaikal campus, Karaikal.

The project work carried out from 10th JUNE, 2021 to 20th JUNE, 2021 is
my original work and no part of it has been submitted for any degree,
diploma or any other similar work.

Date: 20.06.2020
Place: Karaikal ANANYA J
Reg. No: 20395005

Department of Management
Pondicherry University
Karaikal Campus
Karaikal-609605
 ACKNOWLEDGEMENT

Preparing a report is never the work of single person and when

attempting to acknowledge the contribution of others, one always runs
risk of omitting some important contribution. Nonetheless, the attempt
must be made because this report has been helped immensely by the
many helpful comments I have received along the way from my project
guide and other faculty members.

My humble thank to, Dr. D.H. Malini, Assistant Professor, for being my
project guide and giving me timely guidance throughout the project work.

I thank Dr. S.A. Senthil Kumar, HOD, for making it convenient to

undertake the project work.

I thank my faculties Dr. Lalitha Ramakrishnan, Dr. C. Madhavaiah,

Dr. ByramAnand, for giving support to complete the project.

I am thankful to all my Classmates and friends who helped directly or

indirectly in completion of my project work.

Finally, I am extremely thankful to my parents, for giving moral -support

and encouragement to complete the project.

20395005

ANANYA J
 CONTENTS

CHAPTER INDEX PAGE NO

1.1 Insurance 02
1. INTRODUCTION 1.2 History of Insurance 03
1.3 Brief History of Insurance Sector 03
1.4 Insurance Companies in India 04
1.5 Why Life Insurance 05
2.1 Nature of Insurance Industry 07
2. INDUSTRY PROFILE 2.2 Bharti AXA Life 07
2.3 Bharti Enterprises 08
2.4 AXA Group 08
2.5 About AXA Axia 09
3.1 Company Overview 11
3. COMPANY PROFILE 3.2 Vision, Values & Strategy 12
3.3 AXA Group Profile 13
3.4 Product Line 15
3.5 Distribution Channel 15
3.6 Corporate Structure 16
3.7 Sales Department structure 17
3.8 Achievements 17
4.1 Benefits Of Plans 20
4. PRODUCTS 4.2 Individual Plan 20
4.3 Group Plan 27
5. COMPETITORS 5.1 Major Competitors 30

6.1 Introduction 34
6. SWOT ANALYSIS 6.2 Strength 35
6.3 Weakness 35
6.4 Opportunities 35
6.5 Threats 35
 7.1 Introduction 37
7. FINANCIAL ANALYSIS 7.2 Objectives 37
7.3 Importance 38
7.4 Claims to Turnover Ratio 38
7.5 Ratios 39
7.6 Balance Sheet 40
APPENDIX 41
BIBLIOGRAPHY 44
 CHAPTER – 1
INTRODUCTION

1
CHAPTER-1
BHARTI AXA LIFE INSURANCE COMPANY

INTRODUCTION
1.1 INSURANCE
Insurance is a form of risk management in which the insured transfers the cost of
potential loss to another entity in exchange for monetary compensation known as the
premium.
Insurance allows individuals, businesses and other entities to protect themselves
against significant potential losses and financial hardship at a reasonably affordable rate.
We say “significant” because if the potential loss is small, then it doesn’t make sense to
pay a premium to protect against a 550 loss because this would not be considered a
financial hardship for most.
Insurance is appropriate when you want to protect against a significant monetary
loss. Take life insurance as an example. If you are the primary bread winner in your home,
the loss of income that your family would experience as a result of our premature death
is considered a significant loss and hardship that you should protect them against.
It would be very difficult for your family to replace your income, so the monthly
premiums ensure that if you die, your income will be replaced by the insured amount. The
same principle applies to many other forms of insurance. If the potential loss will have a
detrimental effect on the person or entity, insurance makes sense.
Everyone that wants to protect themselves or someone else against financial hardship
should consider insurance. This may include:
 Protecting family after one’s death from loss of income
 Ensuring debt repayment after death
 Covering contingent liabilities
 Protecting against the death of a key employee or person in your business
 Buying out a partner or co-shareholder after his or her death
 Protecting your business from business interruption and loss of income
 Protecting yourself against unforeseeable health expenses
 Protecting your home against theft, fire, flood and other hazards

2
  Protecting yourself against lawsuits
 Protecting yourself in the event of disability
 Protecting your car against theft or losses incurred because of accidents
 And many more

1.2 HISTORY OF INSURANCE

History of Insurance refers to the development of modern business in insurance against
risks, especially regarding ships, and buildings (“property” and “fire”), death (“life”
insurance) automobile accidents (“auto”), and the cost of medical treatment (health
insurance). The industry has been profitable and has provided attractive employment
opportunities for white collar workers.
It helps eliminate risks (as when fire insurance companies demand safe practices
and the availability of fire stations and hydrants), spreads risks from the individual or
single company to the larger community, and provides an important source of long-term
finance for both the public and private sectors.

1.3 BRIEF HISTORY OF INSURANCE SECTOR

Insurance sector in India has completed all the facts of competition – from being an open
competitive market to being nationalized and then getting back to the form of a liberalized
market once again. The history of the insurance sector in India reveals that it has
witnessed complete dynamism for the past two centuries approximately. With the
establishment of the oriental Life Insurance Company in Kolkata, the business of Indian
Life insurance started in the year 1818.
Important milestones in the Indian Life Insurance Business
 1912: The Indian Life Assurance Companies Act came into force for regulating the
life insurance business.
 1928: The Indian Insurance Companies Act was enacted for enabling the
government to collect statistical information on both life and non-life insurance
business.
 1938: The earlier legislation consolidated the Insurance Act with the aim of safe
guarding the interests of the insuring public.

3
  1956: 245 Indian and foreign insurers and provident societies were taken over by
the central government and they got nationalized. LIC was formed by an Act of
parliament, viz. LIC Act 1956. It started off with a capital of 5crore and that too
from the Government of India.
The history of general insurance business in India can be traced back to triton
Insurance Company Ltd. (the first general insurance company) which was formed in the
year 1850 in Kolkata by the British.
Important milestones in the Indian General Insurance Business
 1907: The Indian Mercantile Insurance Ltd. Was set up which was the first
company of its type to transact all general insurance business.
 1957: General Insurance Council, an arm of the Insurance Association of India,
framed a code of conduct for guaranteeing fair conduct and sound business
patterns.
 1968: The Insurance Act improved for regulating investments and set minimal
solvency levels and the Tariff Advisory Committee was set up.
 1972; The General Insurance Business (Nationalization) Act, 1972 nationalized the
general insurance business in India. It was with effect from 1 st January 1973.
107 insurers integrated and grouped into four companies’ viz. the National Insurance
Company Ltd., the New India Assurance Company Ltd., the oriental Insurance Company
Ltd., and the United India Insurance Company Ltd. GIC was incorporated as a company.

1.4 INSURANCE COMPANIES IN INDIA

IRDA has till now provided registration to 12 private life insurance companies and 9
general insurance companies. If the existing public sector insurance companies are
considered then there are presently 13 insurance companies in the life side and 13
companies functioning in general insurance business. General Insurance Corporation has
been sanctioned as the “Indian reinsurer” for underwriting only reinsurance business.
LIFE INSURANCE:
Life Insurance is a contract providing for payment of a sum of money to the person
assured or, following him to the person entitled to receive the same, on the happening of
a certain event. It is a good method to protect your family financially, in case of death, by
providing funds for the loss of income.

4
GENERAL INSURANCE:
Also known as non-life insurance, general insurance is normally meant for a short-
term period of twelve months or less. Recently, longer-term insurance agreements have
made an entry into the business of general insurance but their term does not exceed five
years.
UNIT LINKED INSURANCE POLICIES:
Mutual funds is the ‘safety of the principal’ guaranteed, plus the added advantage
of capital appreciation together with the income earned in the form of interest or
dividend. Insurance is a provision against risk and it is a device with which man tries to
protect himself from risk in life. The recent development in the financial innovation is Unit
Linked Insurance Policies (ULIPs), which covers the concept of mutual fund and
insurance.

1.5 WHY LIFE INSURANCE

There are many good reasons for buying life insurance, some of which include:
 Providing for the financial security of your family in the event of personal loss or
injury.
 Providing funds to pay for the deceased person’s funeral
 Insuring against a particular need – for example home mortgage or college loan.
 Providing funds to pay income taxes or other final obligations due on an estate.
 Compensation to a company in the event of a loss of a key employee or to provide
funds to purchase the remaining share of a business from a partner.

5
 CHAPTER – 2
INDUSTRY PROFILE

6
CHAPTER-2
INDUSTRY PROFILE

INDUSTRY PROFILE
2.1 NATURE OF INSURANCE INDUSTRY
Goods and Services: The insurance industry provides protection against financial losses
resulting from a variety of perils. By purchasing insurance policies, individuals and
businesses can receive reimbursement for losses due to car accidents, theft of property,
and fire and storm damage, medical expenses: and loss of income due to disability or
death.
Industry Organization: The insurance industry consist mainly of insurance carriers (or
insurers) and insurance agencies and brokerages. In general, insurance carriers are large
companies that provide insurance and assume the risks covered by the policy. Insurance
agencies and brokerages sell insurance policies for the carriers. While some of these
establishments are directly affiliated with a particular insurer and sell only that carrier’s
policies, many are independent and are thus free to market the policies of a variety of
insurance carriers.
In addition to supporting these two primary components, the insurance industry
includes establishments that provide other Insurance – related services, such as claims
adjustments or third-party administration of insurance and pension funds. These other
insurance industry establishments also include a number of independent organization
that provide a wide array of insurance-related services to carriers and their clients.
One such service is the processing of claims forms for medical practitioners. Other
services include loss prevention and risk management. Also, insurance companies
sometimes hire independent claims adjusters to investigate accidents and claims for
property damage and to assign a dollar estimate to the claim.
2.2 BHARTI AXA LIFE INSURANCE LAUNCHES ULIP with increasing
guarantee
Bharti AXA Life Insurance Company Limited, the private life insurance joint venture
between Bharti Enterprises and AXA, world leader in financial protection, today
announced the launch of an innovative premium guarantee product – ‘Guarantee Builder’.

7
 Speaking at the launch, Mr. Nitin Chopra, CEO, Bharti AXA Life said, “The launch of
Guarantee Builder is in line with our objective to provide best-in-class products to suit
the needs of different customer profiles. While our other ULIPs partner with customers in
their financial planning for long-term needs, our premium guarantee product addresses
the needs of those traditional and new investors who are wary if market volatility – as is
the case currently – but would still like to participate in the Indian growth story.

2.3 BHARTI ENTERPRISES

Bharti Enterprises is one of India’s leading business groups with interests in telecom,
business, financial services, retail and manufacturing. Bharti has been a pioneering force
in the telecom sector with many firsts and innovations to its credit. Bharti Airtel, a group
company, is one of Asia’s leading providers of telecommunications services with
operations in India and Sri Lanka spanning Mobile services, Tele-Media services and
Enterprise services. Bharti Airtel has been voted as India’s most innovative company, in a
survey conducted by the wall street Journal.
Bharti Teletech is the country’s largest manufacturer and exporter of telephone
terminals. Bharti has a joint venture – Bharti Del Monte (Formerly field fresh foods) – with
Del Monte Foods India, to offer fresh and processed fruits and vegetables in the domestic
as well as international markets. Bharti has joint ventures with AXA, world leader in
financial protection and wealth management. Bharti has retail business under a company
called Bharti Retail. It also has a joint Venture – Bharti Wal-Mart- with Wal-Mart for
wholesale cash-and-carry and back-end supply chain management operations in India.

2.4 AXA GROUP (AXA SA)

Since the AXA name was created in 1985, the Group's growing international presence and
wide range of quality products and services have established AXA as one of the few
Successful global brands in the financial services industry. AXA's strategic focus is global,
aimed at developing a single worldwide brand, being powerful in every one of its markets
and developing synergies across the Group.
The AXA Group is committed to international expansion and sees commitment to
the Asia-Pacific Region as offering many opportunities for future growth. As of 31
December 2008, AXA had over 80 million clients worldwide, 135,000 employees, 91.2

8
billion Euros in consolidated revenues, 816 billion Euros in assets under management,
and 4,044million Euros in underlying earnings.
Headquartered in Paris and active across all five continents in 55 countries, AXA is
focused on the world's major markets, in particular Europe, North America and selected
countries in Asia Pacific. A global leader in Financial Protection, the Group supports its
clients, both individuals and businesses, at every stage in their lives by providing products
and services to meet their needs, including insurance, personal protection, savings and
estate planning.
AXA is listed on most of the world's major stock markets. A number of Group
companies are also listed in their local markets: Australia, London, Paris, Frankfurt and
New York. The Group enjoys AA-range ratings with the three leading global rating
agencies. AXA was also ranked 15th in 2008‘s FORTUNE GLOBAL 500 survey of ―The
World‘s Largest Corporation, and ranked top under the category―Insurance: Life, health
(stock). AXA was ranked no. 55 in Inter - brand‘s list of ―Top Global Brands in the
Business Week magazine published in September 2008.

2.5 ABOUT AXA ASIA LIFE AND AXA ASIA PACIFIC HOLDINGS
AXA Asia Life is part of AXA Asia Pacific Holdings Limited, and has operations in Hong
Kong, the Philippines, Indonesia, Thailand, Singapore, Malaysia, India and China serving
approximately 2.5 million customers.
AXA Asia Pacific Holdings Ltd is listed on the Australian Stock Exchange and is
approximately 53 percent owned by AXA SA. In 2008 AXA Asia Pacific Holdings Limited
reported a 2 percent increase in operating earnings at A$555.6 million and ended 2008
with assets of A$779 million in excess of the regulatory requirements.
AXA is committed to become the preferred company in financial protection and
wealth management by 2012. It is available, attentive and reliable to the needs of AXA
customers.

9
 CHAPTER – 3
COMPANY PROFILE

10
CHAPTER-3
COMPANY PROFILE

COMPANY PROFILE
3.1 BHARTI GROUP OVERVIEW
Founded in 1976, by Sunil Bharti Mittal, Bharti has grown from being a manufacturer of
bicycle parts to one of the largest and most respected business groups in India. With its
entrepreneurial spirit and passion to undertake business projects that are
transformational in nature, Bharti has created world-class businesses in telecom,
financial services, retail, and foods.
Bharti started its telecom services business by launching mobile services in Delhi
(India) in 1995. Since then there has been no looking back and Bharti Airtel, the
group‘s flagship company, has emerged as one of top telecom companies in the world and
is amongst the top five wireless operators in the world.
Through its global telecom operations Bharti group operates under the ‘Airtel’
brand in 19 countries across Asia and Africa – India, Sri Lanka, Bangladesh, Seychelles,
Burkina Faso, Chad, Congo Brazzaville, Democratic Republic of Congo, Gabon, Ghana,
Kenya, Madagascar, Malawi, Niger, Nigeria, Sierra Leone, Tanzania, Uganda, and Zambia.
In addition, the group also has mobile operations in Jersey, Guernsey.
Over the past few years, the group has diversified into emerging business areas in
the fast expanding Indian economy. With a vision to build India‘s finest conglomerate by
2020 the group has forayed into the retail sector by opening retail stores in multiple
formats-small and medium-as well establishing large scale cash & carry stores to serve
institutional customers and other retailers. The group offers a complete portfolio of
financial services – life insurance, general insurance and asset management – to
customers across India. Bharti also serves customers through its fresh and processed
foods business. The group has growing interests in other areas such as telecom software,
real estate, training and capacity building, and distribution of telecom/IT products.
What sets Bharti apart from the rest is its ability to forge strong partnerships. Over
the years some of biggest names in international business have partnered Bharti.

11
Currently, SingTel, IBM, Ericsson, Nokia Siemens and Alcatel-Lucent are key partners in
telecom. Wal-Mart is Bharti‘s partner for its cash & carry venture.

AXA Group is the partner for the financial service business and Del Monte Pacific
for the processed foods division. Bharti strongly believes in giving back to the society and
through its philanthropic arm the Bharti Foundation it is reaching out to over 30,000
underprivileged children and youth in India.

3.2 VISION, VALUES AND STRATEGY

VISION
BY 2020 WE WILL BUILD INDIA’S FINEST CONGLOMERATE BY:
 Always empowering and backing our people.
 Being loved and admired by our customers and respected by our partners.
 Transforming millions of lives and making a positive impact on society.
 Being brave and unbounded in realizing our dreams.

VALUES
EMPOWERMENT
 We respect the opinions and decisions of others. We encourage and back people to
do their best.
ENTREPRENEURSHIP
 We always strive to change the status quo.
 We innovate with new ideas and energy is with a strong passion and
entrepreneurial spirit.
TRANSPARENCY
 We believe we must work with honesty, trust and the innate desire to do Good.
IMPACT
 We are driven by the desire to create a meaningful difference in society.
FLEXIBILITY
 We are ever willing to learn and adapt to the environment, our partners and the
customers evolving needs.

12
STRATEGY:
 To achieve a top 5 market position in India through a multi-distribution, multi-
product platform.
 To adapt AXA’s best practice blueprints as a sound platform for profitable growth.
 To leverage Bharti’s local knowledge, infrastructure and customer base.
 To deliver high level of shareholder return.
 To build long term value with our business partners by enhancing the proposition
to their customers.
 To be the employer of choice to attract and retain the best talent in India.
 To be recognized as being close and qualified by our customers.

3.3 AXA GROUP PROFILE

In the financial markets AXA is positioned as a global leader in Financial Protection.
KEY FIGURES:
 95 Million Clients Worldwide
 214 391 employees (including exclusive sales associates) worldwide (at December
31, 2010)
 400,000 individual shareholders
 91 billion euros in revenues (at December 31, 2010)
 4.3 billion euros in adjusted earnings (at December 31,2010)
AXA IN FIGURES:
REVENUE INDICATORS

IFRS, in Euro million 2005 2006 2007 2008 2009 2010

Life & Savings 45,116 49,952 59,845 57,977 57,620 56,923
P&C 18,874 19,510 25,016 26,039 26,174 27,413
International 3,813 3,716 3,568 2,841 2,860 2,847
Insurance
Asset Management 3,440 4,406 4,863 3,947 3,074 3,328
Banks 428 377 339 412 395 459
TOTAL 71,671 77,961 93,631 91,216 90,123 90,972

13
LIFE & SAVINGS
New Business Volume (APE (1)) 5,463 6,186 7,694 6,789 6,188 5,780
(1) APE (Annual Premium Equivalent): Represents 100% of new business regular
premiums + 10% of new business single premiums, in line with EEV methodology, APE is
group share.
Geographic Breakdown of 2009 insurance revenues

France 23%
North America 13%
Northern Central and Eastern Europe 26%
UK & Ireland 07%
Asia – pacific (including Japan) 11%
Mediterranean region 16%
International insurance 03%

ASSETS UNDER MANAGEMENT

2005 2006 2007 2008 2009 2010
Total (in Euro billion) 1,070 1,315 1,281 981 1,014 1,104
By Company
Alliance Bernstein 46% 43% 42% 34% 34% 33%
AXA Investment Managers 40% 38% 43% 49% 49% 47%
Other AXA Companies 14% 19% 15% 17% 17% 205
Breakdown of asset under
Management
Managed on behalf of third 54% 51% 51% 42% 41% 42%
party
Own account 33% 35% 34% 44% 43% 45%
Life insurance separate 13% 14% 14% 13% 15% 13%
accounts

ADJUSTED EARNINGS
 Adjusted earnings of Euro 4.317 billion.
 Adjusted earnings represent net income before the impact of exceptional
operations, goodwill and related intangibles amortization/impairments, and profit
or loss on financial assets (under the fair value option) and derivatives.

14
UNDERLYING EARNINGS

 Underlying earnings of Euro 3.88 billion. Underlying earnings are adjusted

earnings, excluding net capital gains attributable to shareholders.
P&C COMBINED RATIO
 The combined ratio for property-casualty operations slightly deteriorated by 0.2
point reaching 99.1%.

3.4 PRODUCT LINE

Bharti AXA Life Insurance Co. Ltd, Product Line is as follow:
Pure Protection Protection, Saving & Wealth Creation and
Wealth Creation Protection

Traditional Secure Confident Save confident

ULIP Future confident Wealth confident

Future Confident II Invest confident

Aspire Life Dream Life Pension

3.5 DISTRIBUTION
Bharti AXA has one of the largest distribution networks amongst private life insurers in
India. As of March 31, 2007 the company has over 934 offices across the country and over
10,016 advisors. Distribution strategy of Bharti AXA is as follow

15
3.6 CORPORATE STRUCTURE

16
3.7 STRUCTURE OF SALES DEPARTMENT
Bharti AXA Life Insurance Company Ltd.’s sales department structure is as follow:
Regional Manager

Branch Sales Manager

Territory Manager

Sales Manager

Asst. Sales Manager

Senior Manager

Unit Manager

Advisors

3.8 ACHIEVEMENTS
 3rd largest private player in a span of just 4 years, moved from 11th position to
3rd
 Amongst the fastest growing Companies for 4 years in a row
 Continuous increase in market share over 4 years; from 1.9% in 2005-06 to10.26%
in 2009 -10
 RLIC has achieved a growth rate of 21% while the private industry has grown at
13%
 Fastest to reach the 5 million policy mark
 Largest private insurer in terms of policy count in 2009-10
 1145 branches 1,95,000 Advisors and over 16,000 employees
 RLIC continues to be amongst the foremost Life Insurance companies in India to
be Certified ISO 9001:2000 for all the processes.
 Awarded the Jamnalal Bajaj Uchit Vyavahar Puraskar 2007- Certificate of Merit in
the Financial Services category by Council for Fair Business Practices (CFBP).

17
 The Company has also won the DL Shah Quality Council of India Commendation
Award in the services category in Feb 2008 for its work on promoting 'Self Help
channels for service'.
 Awarded for developing and driving intervention for high performance
 Awarded AXA synergy Award 2013 for learning and Development at Bharti AXA
Life
 Awarded Super Achiever Award 2014 at Bharti AXA Life
 Wins Finnoviti Award 2020 for excellence in Innovation.

18
CHAPTER – 4
PRODUCTS

19
CHAPTER- 4
PRODUCTS

PRODUCTS
4.1 BENEFITS OF BHARTI AXA LIFE INSURANCE PLANS
Bharti AXA Life Insurance is an Indian Company, Which came into limelight in November
2006, Where the Bharti Telecom Owner, revealed his interest in Life Insurance, and
invented Bharti AXA Life Insurance along with Bharti Retail Pvt. Ltd. Both the Companies
are doing well in India; however, Bharti AXA Life Insurance Company is gaining more
popularity.
Bharti AXA is not a single venture but it is a joint business venture of AXA and
Bharti, which are two different Pvt. Ltd. Companies that have tied up together. Bharti Pvt.
Ltd. Company is already very famous in India for its numerous avenues, but AXA is an
International Company who mainly focuses upon the financial protection of the people.
Moreover, the further tie up of both these PVT. Companies have come with new growth
prospects of the people. Even the success graph of Bharti AXA Life Insurance Company is
commendable, where in a short period of time this life insurance company have spread
its name not in the Indian Market but also globally it have approximately 4000 main
branches which showcases its fast growth.
And because of its reliable policies more people are connecting to Bharti AXA Life
Insurance, day by day, while opting numerous life insurance plans according to their need.

4.2 INDIVIDUAL PLAN

PROTECTION PLANS
It will help you in ensuring that your family is financially secure even in your absence with
a pure term insurance plan combined with an accident protection plan. A monthly life
insurance term plan that offers a great way to secure and protect your family.

1. BHARTI AXA LIFE FLEXI TERM

Bharti AXA smart Jeevan plan is a comprehensive term insurance plan which provides
flexibility of payment options to the nominee.

20
KEY FEATURES
 Life cover with multiple payout options to suit your family’s needs – lumpsum,
increasing monthly income or a combination of both
 Optical critical illness cover
 Flexibility in policy term to select the period of cover amount
 Premiums can be paid monthly, quarterly, half-yearly or annually
 Tax Benefits on premiums paid and Death Benefit

2. BHARTI AXA LIFE PREMIER PROTECT PLAN

Bharti AXA Life premier protect plan which offers high life cover at low premiums.
KEY FEATURES
 This is a pure term insurance policy offering life cover.
 Large covers are available at low premiums.
 Cover is available till the age of 75 years.
 Premiums can be paid as – single premium, limited premium and regular premium.
 Nominee can be paid in lumpsum, monthly income or a combination of lumpsum
and monthly income.
 Tax Benefits on premiums paid and Death Benefit
 Choice of 3 riders which can be availed by paying extra premiums.

3. BHARTI AXA LIFE SMART JEEVAN PLAN

Bharti AXA Smart Jeevan Plan is a simple term plan which provides a life cover for 12
years only. In case you survive the policy term, the premiums paid by you will be
returned. The maximum sum assured that you can take in this plan is 5 lakhs.
KEY FEATUTRES
 This is a term insurance policy offering life cover for low premiums
 Maximum life cover of Rs.5 lakhs can be taken
 Cover is available for a fixed tenure of 12 years
 Premiums can be paid monthly, quarterly, half-yearly or annually
 Tax Benefits on Premiums paid, Death Benefit & Maturity Benefit.

21
4. BHARTI AXA LIFE INCOME PROTECTION PLAN
Bharti AXA Life Income Protection Plan is a non-linked non-participating life term
insurance plan with return of premium. This plan is designed to provide income to your
family in case of your unfortunate demise in the near future.
KEY FEATURES
 Provides an annual pre-planned income for the financially dependent family, in
case of death of the policyholder
 Return of Premium - In case of survival, you will receive all your invested
premiums as maturity benefit
 Two options for receiving death benefit payouts are available
 Premiums are eligible for Tax Deduction as per Section 80C and Section 10(10D)
of the Income Tax Act, 1961

5. BHARTI AXA LIFE POS SARAL JEEVAN BIMA

Bharti AXA Life POS Saral Jeevan Bima is a non-linked non-participating term insurance
plan which is designed to provide life insurance cover.
KEY FEATURES

 Provides death benefit as a lump sum or double the sum assured on death in case
of death of the policyholder due to an accident
 Flexibility to choose from 4 policy terms, that are 10, 15, 20 and 25 years
 The plan is available without any medical examination of an individual
 Premiums are eligible for Tax Deduction as per Section 80C and Section 10(10D)
of the Income Tax Act, 1961

WEALTH CREATION WITH PROTECTIONS

CHILD PLANS
1. BHARTI AXA LIFE CHILD ADAVNTAGE PAKN
Bharti AXA Life Child Advantage is a traditional participating savings plan with an in-built
premium waiver benefit. Under this plan, you can avail the flexibility to choose between
Money Back or the Endowment Option that helps you fulfill needs and career goals of your
child.
This child plan offers you guaranteed payouts at key milestones and waives all the
future premiums in the event of your unfortunate demise, thus ensuring your child’s
dreams are never compromised.

22
KEY FEATURES

 2 Maturity benefits options

 Inbuilt waiver of premium benefit
 Enjoy guaranteed payouts
 Life insurance benefit
 Policy continuance
 Participation in profits
 Flexible policy term
 Limited or Regular premium pay
 Choose riders to customize policy benefits
 Get tax benefits

2. BHARTI AXA LIFE SHINING STARS

This child plan policy offers you the flexibility to choose from multiple premium paying
terms and policy terms allowing you to choose the benefit payout options depending on
your child's needs. A great short-term investment option for a child insurance policy.
KEY BENEFITS
Maturity Benefits:

 In case the Life Insured survives till Maturity Date and all due premiums have been
paid,the Maturity Benefit will be payable to the Policyholder on the date of
Maturity.
 Maturity Benefit is the Sum Assured on Maturity, which is equal to the Sum
Assured under the policy and will be paid as lump sum.
Death Benefits:
In case of death of the Life Insured during the policy term, provided the policy is in force
and all due premiums till the date of death have been paid, the Death Benefit will be
payable immediately on death.
Death Benefit is the Sum Assured on Death, which is the highest of:
• 11 times Annualized Premium*
• 105% of all premiums paid as on date of death
• Absolute amount assured to be paid on death equal to the Sum Assured
• Sum Assured on Maturity, equal to the Sum Assured under the policy
Tax Benefits:
You may be eligible for tax benefits on the premiums paid as well as the benefits received
as per the prevailing tax laws. The tax benefits are subject to change as per change in tax
laws from time to time.

23
GUARNTEED PLANS
1. BHARTI AXA LIFE GUARNTEED INCOME PRO
Bharti AXA Life Guaranteed Income Pro - a Life Insurance plan that provides life insurance
coverage and benefits of a savings product. The product is designed to protect your
family’s future to ensure that they lead their lives comfortably without any financial
worries, even in your absence.
The plan offers you guaranteed financial returns and fulfills your need to secure
your financial obligations and achieve your goals – whether they are for child need,
retirement, a holiday or just planning a supplementary income.
KEY BENEFITS:
Death Benefits
In case of an unfortunate death of the Life Insured during the Policy Term, the following
benefits will be payable to the Nominee, provided the Policy is in-force and all due
premiums till the date of death have been paid. Death Benet will be payable immediately
on death to the nominee.
Maturity Benefits:
Tax Benefits:
You may be eligible for tax benefits on the premiums paid as well as the benefits received
as per the prevailing tax laws. The tax benefits are subject to change as per change in tax
laws from time to time.

2. BHARTI AXA LIFE MONTHLY INCOME PLAN

Bharti AXA Life Monthly Income Plan is a Limited Premium payment, Traditional
Participating Plan. Thus it is a Monthly Income Plan with Bonus Facility.
KEY FEATURES:

 This plan is a Traditional Participating Plan with Limited Payment Option

 In this Plan, premium is paid for 7, 10 or 15 years only while the policy continues
thereafter
 The Monthly Income starts after the Premium Payment Term or death of the Life
Insured, whichever is earlier
 Annual Reversionary Bonus is paid under this plan
 There is a discount in premium rate if a higher Monthly Income is chosen
 There are 2 additional riders available in this plan- Critical Illness Benefit Rider
and Premium Waiver Rider

24
3. BHARTI AXA LIFE GUARANTEED INCOME PLAN:
KEY BENEFITS:
Maturity benefits:
In case the Life Insured survives till the maturity of the Policy and all premiums are duly
Paid.
Death benefits:
In case of the unfortunate event of death of the Life Insured during the policy term the
sum assured on death will be paid to the nominee where the sum assured on death is
highest of:
Annualized Premium shall be the premium payable in a year chosen by the
policyholder, excluding the taxes, rider premiums, underwriting extra premiums and
loadings for modal premiums, if any.
 10 times annualized premium*
 105% of all premiums paid as on date of death
 Absolute amount assured to be paid on death equal to the sum assured under the
policy
 Sum assured on maturity
Death Benefit is payable in addition to any Survival Payout already paid.
Tax Benefits:
You may be eligible for tax benefits on the premiums paid as well as the benefits received
as per the prevailing tax laws. The tax benefits are subject to change as per change in tax
laws from time to time.

OTHER MARKET LINK PLANS

1. BHARTI AXA LIFE WEALTH PRO PLAN
Most individuals want to multiply their wealth through investment and savings. But on
the other hand, they look for their life security. So, in such a scenario the investment
insurance plans are the best option for them.
The investment insurance plan helps the individuals to multiply their wealth and
gives them lifelong coverage. You can explore the Bharti AXA Life Wealth Pro Plan that
will boost your wealth.
KEY FEATURES
 There are two variants available in this insurance plan.
 Wealth booster will help you to increase your investment.
 Flexibility of choosing the investment strategy as per your needs.
 Get tax benefits as per the prevailing tax laws.

25
  Flexibility of choosing the Policy term.
 You are free to choose the amount of Sum Assured as per your investment.
 Your family will get the death benefits in this policy after you.
WEALTH
1. BHARTI AXA LIFE TRIPLE HEALTH INSURANCE PLAN:
Bharti AXA Life Triple Health Insurance Plan is a critical illness health insurance plan
which covers major critical illnesses and pays the benefit on diagnosis of any ailment.
What’s more, the plan pays triple claims for three different illnesses suffered by the
insured.
KEY FEATURES

 This is a critical illness plan which covers 13 illnesses.

 The illnesses are divided into three groups and if the insured suffers any illness
from any group, the Sum Assured is paid immediately.
 The insured can avail the Sum Assured thrice in the policy tenure if he suffers from
any illness in different groups.
 The plan has an inbuilt Premium Waiver rider wherein on payment of the first
claim the premium is waived off and paid by the company while the plan continues
till the remaining tenure.
 The premium rates are fixed for the first three years of the policy after which they
are reviewed.
 Females are charged a lower rate of premium than males.

RETIREMENT
1. BHARTI AXA LIFE SUPER ENDOWMENT PLAN
Bharti AXA Life Super Endowment Plan - a plan that helps to build your wealth, in a
planned manner and meet your financial goals and future expenses. The plan offers the
option to choose from 10 premium payment and policy terms.
Pay premiums for a limited period and receive accrued Guaranteed Additions as
Survival Benefit (one year before date of maturity) and lump sum amount as Maturity
Benefit at the time of maturity.
The plan also provides additional Life Insurance coverage with the option of
Extended Life Cover in case of an unfortunate event so as to provide financial backup to
secure your family’s future.
KEY BENEFITS
Survival Benefit:
In case the Life Insured survives till a year before maturity of the policy and all premiums
are duly paid, Survival Benefit equal to Guaranteed Additions accrued as on the date of

26
payment of Survival Benefit shall be payable at the end of one year before the end of policy
term for all premium payment term and policy terms.
Maturity Benefit:
In case the Life Insured survives till the maturity of the policy and all premiums are duly
paid, then the Maturity Benefit shall be paid as Sum Assured on maturity to the
policyholder for all premium payment term and policy terms.
Death Benefit:

 11 times annualized premium*

 105% of all premiums paid as on date of death
 Absolute amount assured to be paid on death equal to the sum assured.
 Plus, any Guaranteed Additions accrued as on the date of death; or
 Sum Assured on maturity equal to Sum Assured under the policy.

4.3 GROUP PLANS:

CREDIT PROTECTION:
1. BHARTI AXA LIFE LOAN SECURE PLAN
Bharti AXA Life Loan Secure (herein referred to as Loan Secure), a comprehensive group
credit protection product that safeguards your family on occurrence of an insured event,
by paying an amount to settle your outstanding liability in case of unfortunate event.
KEY BENEFITS
Death Benefit:
Your family members will not be burdened in case of your untimely death, Loan Secure
will protect your family from the trouble of repaying your insured liabilities in case of an
insured event.
Sum Assured Options:
Loan Secure provides multiple coverage options on disbursed loan amount that allow you
to customize the insurance cover requirements as per your outstanding liabilities.
Reducing Sum Assured Benefit:
Each eligible member shall be insured for a sum insured equivalent to the balance
outstanding at the beginning of each month during the tenure of the loan.

2. BHARTI AXA LIFE GROUP LOAN PROTECT

Bharti AXA Life ‘Group Loan Protect’ herein referred to as “Group Loan Protect”, a
comprehensive group credit protection product that safeguards your customer’s family
in unforeseen circumstances, by paying an amount to settle your outstanding liability.

27
This product provides an easy and inexpensive way of providing financial stability along
with your existing offerings.
KEY BENEFITS
Death Benefit
 In the event of death of the life insured member, provided all due premiums till the
date of death have been paid, the Death Benefit will be payable immediately on
death.
 In case of Reducing cover, the Death Benefit is equal to the outstanding loan as per
the loan reduction schedule fixed at inception.
 The outstanding balance at the beginning of the month will be payable for deaths
during the month.
 In case of Level cover, the death benefit is equal to the sum assured throughout the
coverage term.
Maturity Benefit
 This plan does not offer any maturity benefit

3. BHARTI AXA LIFE GROUP TERM MICRO INSURANCE PLAN

Bharti AXA Life Group Term Micro Insurance Plan, a comprehensive group term life micro
insurance Plan that ensures your members can stay peacefully without any worry about
life’s eventualities. The plan provides the flexibility of two death benefit pay out options
to ensure adequate financial support.
KEY FEATURES
This product has been designed to offer combination of innovative features and flexibility
to best suit your organization and members’ requirements.

 Low -Cost Insurance: Provides insurance cover at low cost to a large group
 Hassel-free Insurance Coverage: Simple and easy administration process
 Flexible Premium Payment Modes: Single, Annual, Semi-Annual, Quarterly or
Monthly
 Financial Security: Financial support to the family in case of untimely demise
 Death Benefit Payout option: Flexibility to choose Death Benefit payout option
 Tax Benefits: Tax benefits may be available as per prevailing tax laws.

28
CHAPTER – 5
COMPETITORS

29
CHAPTER- 5
COMPETITORS

COMPETITORS
5.1 MAJOR COMPETITORS OF BHARTI AXA LIFE INSURANCE

INSURER INDIAN PARTNER

ICICI PRUDENTIAL LIFE INSURANCE ICICI

SBI LIFE INSURANCE STATE BANK OF INDIA

LIFE INSURANCE CORPORATION LIC

RELIANCE LIFE INSURANCE RELIANCE

MAX NEW YORK LIFE INSURANCE MAX INDIA

BIRLA SUNLIFE INSURANCE ADITYA BIRLA GROUP

ALLAINZ BAJAJ LIFE INSURANCE BAJAJ AUTO

HDFC STANDARD LIFE INSURANCE HDFC

ICICI PRUDENTIAL LIFE INSURANCE COMPANY Ltd (ICICI)

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

30
SBI LIFE INSURANCE (SBI)
SBI Life Insurance is a joint venture between the State Bank of India and BNP Paribas
Assurance. SBI Life Insurance is registered with an authorized capital of Rs.2000 crores
and a paid – up capital of Rs.1000 crores. SBI owns 74% of the total capital and BNP
Paribas Assurance the remaining 26%.
State Bank of India enjoys the largest banking franchise in India. Along with its 7
associate Banks, SBI Group has the unrivalled strength of over 14,500 branches across the
country, arguably the largest in the world. BNP Paribas Assurance is the Insurance arm of
BNP Paribas-Euro Zone’s leading Bank.

LIFE INSURANCE CORPORATION (LIC)

Life Insurance Corporation (LIC) came into existence on 1 st September 1956 through the
amalgamation of 154 Indian Insurance Companies, 16 non-Indian companies and 75
provident. The amalgamation was achieved with the help of Life Insurance Act passed by
the parliament in the same year.
The LIC was created with the goal of reaching all the insurable people in the
country and providing them financial coverage at a reasonable price. In the year 1956, LIC
had 5 zonal officers, 33 divisional offices and 212 branch offices.
With time there was a need for a branch office at every district headquarter and
many branches were opened, which raised the pace of the organization, life insurance in
its modern from came to India from England in the year 1818. Oriental Life Insurance
Company started by Europeans in Calcutta was the first life insurance company on Indian
soil.

RELIANCE LIFE INSURANCE

Reliance life insurance offers you products that fulfill your savings and protection needs.
Aim is to emerge as a transactional Life Insurer of global scale and standard. Reliance Life
Insurance is an associate company of Reliance Capital Ltd., a part of Reliance Group.
Reliance Capital is one of India’s leading private sector financial services
companies, and ranks among the top 3 private sector financial services and banking
companies, in terms of net worth. Reliance capital has interest in asset management and
mutual funds, stock broking, life and general insurance, proprietary investments, private
equity and other activities in financial services.

MAX NEW YORK LIFE INSURANCE CO. Ltd,

Max New York Life Insurance Company Limited is a joint Venture that brings together two
large forces – Max India Limited, a multi-business corporate, together with New York Life
international, a global expert in life Insurance.

31
 With their various products and Riders, there are more than 400 product
combinations to choose from. They have a national presence with a network of 57 offices
in 37 cities across India.

ALLIANZ BAJAJ LIFE INSURANCE COMPANY Ltd

Bajaj Allianz Life Insurance Company limited is a union between alliance SE, one of the
world’s largest life insurance companies and Bajaj auto, one of the biggest 2 -&-3 Wheeler
manufactures in the world.
Allianz SE is a leading insurance conglomerate globally and one of the largest
assert managers in the world, managing assert worth over trillion euros (over Rs.55, 00,
000 crores). Allianz SE has over 115 years of financial experience in over 70 countries.

HDFC STANDARD LIFE INSURANCE COMPANY Ltd

HDFC Standard Life Insurance Company Limited. Is one of India’s leading private life
Insurance companies, which offers 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 the standard life assurance company,
a leading provider of financial services from United Kingdom.
Their cumulative premium income, including the first year premiums and renewal
premiums is Rs.672.3 for the financial year, April – November 2019. They have managed
to cover over 11 lakh individuals out of which over 3, 40,000 live have been covered
through our group business tie-ups.

32
 CHAPTER – 6
SWOT ANALYSIS

33
CHAPTER- 6
SWOT ANALYSIS

6.1 INTRODUCTION
SWOT Analysis is a simple but useful framework for analyzing your organization’s
strengths, weaknesses, opportunities and threats. Its helps you to build on what you do
well, to address what you are lacking to minimize risks and to take the greatest possible
advantage of chances for success.

STRENGTH: Strengths are things that your organization does particularly well or in a way
that distinguishes you from your competitors.

WEAKNESS: They are the areas where the business needs to improve to remain
competitive.

OPPORTUNITIES: Opportunities refer to favourable external factors that could give an

organization a competitive advantage.

THREATS: Threat refers to factors that have the potential to harm an organization.

STRENGTHS WEAKNESSES
SWOT
OPPORTUNITIES THREATS

34
SWOT ANALYSIS OF BHARTI AXA LIFE INSURANCE
6.2 STRENGTH
 Bharti AXA life Insurance provides world-class training for Life Advisor.
 Availability of various products for different segments of the society.
 Motivation is also given to Life Advisor for attending the training.
 CO-operative sales Manager to whom the life advisor can consult anytime.
 Motivation of life advisor by distributing gifts and giving awards and recognitions
 Work and culture in Bharti AXA Life Insurance is very friendly.

6.3 WEAKNESS
 Bharti AXA Life Insurance does not have any provision for online training like
HDFC & KOTAK.
 Training period consists of 100 hours, which is too long and thus difficult for some
people to attend regularly. The company has no alternative as it is ruled framed by
IRDA.

6.4 OPPORTUNITIES
 Huge market is literally untapped, out of estimated 320 Millions insurable markets
only 20% of the population is insured.
 Insurance penetration significantly below international standards.
 Health insurance and pension schemes, an estimated market potential of
approximately $15 billion.
 Well Developed banking system enabling bank assurance.
 An acceptance of unit-linked products on the back of a well developed mutual fund
market.
 Health insurance is relatively limited. There has been a lack of interest in this area
and the IRDA is keen to stimulate this.

6.5 THREATS
 Players like Bajaj Allianz and Birla Sun life with low premium for the similar plans.
 Entry of many other private companies with equally strong experiences and
financial strength of foreign partners making the competition difficult and
saturating the urban markets.
 Current Govt. policies do not encourage gross domestic savings. If the tax liability
of the services class rises, the customer will have little money to invest.
 LIC networking
 Tax relief is long term a big question mark.
 Equity boom luring investors to invest in stock market.

35
 CHAPTER – 7
FINANCIAL ANALYSIS

36
CHAPTER- 7
FINANCIAL ANALYSIS

FINANCIAL ANALYSIS
7.1 INTRODUCTION
Financial Analysis is the process of determining the operating & financial characteristics
of a firm from accounting data & financial statement. The goal of such analysis is to
determine efficiency & performance of the firm management, as reflected in the financial
records and reports. Its main aim is to measure the firm’s liquidity profitability and other
indications that business is conducted in a rational and orderly way. The basic financial
statement of the various reports that the companies issue to their shareholder, the annual
report is by far the most important. Two types of information are given in this report, first
there is a text that describes the firms operating results during the past year and discusses
new development that will affect future operations. Second there are few basic financial
statements – the income statement, the balance sheet, the statement of retained earnings
and the sources and uses of funds statements.

7.2 OBJECTIVES
The number and types of people interested in financial statements have changed radically
over a period of time. They need varied information and fortunately such information may
be classified as relating to profitability, liquidity and solvency.
FINANCIAL STATEMENTS is undertaken to fulfill the following objectives.
 To estimate the earning capacity
 To gouge the financial position and financial performance of the firm
 To determine the long terms liquidity of the funds as well as solvency
 To determine the debt capacity of the firm
 To decide about the future prospective of the firm.
Financial operations of “BHARTI AXA LIFE INSURANCE COMPANY LIMITED” and is
conducted with the help of data obtained from the audited financial records.

37
7.3 IMPORTANCE
 Assessing the operational efficiency and managerial effectiveness of the company.
 Analysing the financial strengths and weaknesses and creditworthiness of the
company.
 Analyzing the current position of financial analysis.
 Assessing the types of assets owned by a business enterprise and the liabilities
which are due to the enterprise.
 Providing information about the cash position company is holding and how much
debt the company has in relation to equity.
 Studying the reasonability of stock and debtors held by the company.
 To assess financial statements which contain information on past performances
and interpret it as a basis for forecasting future rates of return and for assessing
risk.

7.4 CLAIMS TO TURNOVER RATIO

Incurred gross death and rider claims to gross collected premium ratio of
the company for current financial year is 5.19% [Previous Year 4.60%].
Individual Death Claims intimated during the current financial year 2019-20 are disposed
off as follows:

The ageing of claims registered but not settled as on March 31, 2020 is given below:

38
7.5 RATIOS

39
7.6 BALANCE SHEET
BALANCE SHEET FOR THE YEAR ENDED 31ST MARCH, 2020

40
 APPENDIX

PROFIT AND LOSS ACCOUNT FOR THE YEAR ENDED 31 ST MARCH, 2020

41
REVENUE ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2020

42
RECEIPTS AND PAYMENTS ACCOUNT FOR THE YEAR ENDED 31ST MARCH, 2020

43
 BIBLIOGRAPHY

TEXT BOOKS
 Practice of Life Insurance (IC-02) – Insurance Institute of India

WEBSITES
 www.irdai.gov.in
 www.bharti-axalife.com
 www.scribd.com

44