RECRUITMENT OF FINANCIAL CONSULTANT &STUDY OF THE PRODUCTS OFFERRED

BY HDFC-LIFE INSURANCE & COMPARITIVE MARKET ANALYSIS.

Submitted to: submitted by:

Sourin mukherjee (84)

Prof.T.k.singhal

Till-15.5.2011
 OBJECTIVE
In a professional course like P.G.D.M Summer training is one of the major experiencing
components of the practical knowledge and industrial exposure. I am able to understand the
customer relationship and got to know how a company measures to resolve their grievances and
negotiate with them also service them to the maximum for future prospect and success.

My one of the job is to recruit Financial Consultants (FCs)& another job is analysis the marketing
strength of HDFC-LIFE(comparative study) . There are some basic criteria which are needed to follow
while selecting and recruitment of FCs. I gathered contacts from friends, recharge shops and also did
field work like distribution of leaflets in order to generate data base, then contacted people and ask
them for the interview. I selected some candidates through this process; offer them the job of a FC. If
they show their interest about the job, then I provide them necessary details, log in their forms. Initially
they have to go through a 50 hours training and IRDA exam to get the IRDA license. After receiving the
license, one can work as a FC. Second thing with the help of my Channel Development Executive
Mr.Somnath’s constant support I was able to take up the proper follow up of the candidates who
thereby converted from potential to actual FC’s. The main opportunities for a FC are:

 Flexible work timings - One can work full-time or part-time, depending on his/her
convenience

 Any one can join - Young graduates, Housewives, Retired Personnel, Self-employed or
Working Professionals

 Zero Investment – There is no start-up capital required

 Attractive Remuneration -One have unlimited earning potential

 COMPANY PROFILE

Established on 14th August 2000, HDFC Standard Life Insurance Co. Ltd. is a joint venture
between Housing Development Finance Corporation Limited (HDFC Limited) - India's leading
housing finance institution, and a Group Company of the Standard Life Plc, UK. The Company is
one of leading private insurance companies, offering a range of individual and group insurance
solutions, in India. Being a joint venture of top financial services groups, HDFC Standard Life
has adequate financial expertise to manage long-term investments safely and resourcefully.

HDFC Limited, India's premier housing finance institution has assisted more than 3.4 million
families own a home, since its inception in 1977 across 2400 cities and towns through its network
of over 271 offices. It has international offices in Dubai, London and Singapore with service
associates in Saudi Arabia, Qatar, Kuwait and Oman to assist NRI's and PIO's to own a home
back in India. As of December 2009, the total asset size has crossed more than Rs. 104,560 crores
including the mortgage loan assets of more than Rs.90,400 crores. The corporation has a deposit
base of over Rs. 23,000 crores, earning the trust of nearly one million depositors. Customer
Service and satisfaction has been the mainstay of the organization. HDFC has set benchmarks for
the Indian housing finance industry. Recognition for the service to the sector has come from
several national and international entities including the World Bank that has lauded HDFC as a
model housing finance company for the developing countries. HDFC has undertaken a lot of
consultancies abroad assisting different countries including Egypt, Maldives, and Bangladesh in
the setting up of housing finance companies .

MISSION

To be the top life insurance company in the market.

This not only means being the largest or most productive company in the market but a
combination of several things like:
 Customer service of highest order
 Value for money for customers
 Professionalism in carrying out the business.
 Increasing market share.
 Use of best technology for improved service standards.
 Innovative products to cater different needs of different customers.
 VISION AND VALUES
The most successful and admired life insurance company, which means that they are the most
trusted company, the easiest to deal with, offer the best value for money, and set the standards in
the industry.

Values that they observe while they work:

 Integrity
 Innovation
 Customer centric
 People Care “One for all and all for one”
 Team work
 Joy and Simplicity

MANAGEMENT TEAM:

Mr. Amitabh Chaudhry is the Managing Director and Chief Executive Officer of HDFC Life.

Mr. Paresh Parasnis is the Executive Director and Chief Operating Officer of HDFC LIFE.
He has been associated with the HDFC Group since 1984.

Ms.Vibha Padalkar is the Chief Financial Officer of HDFC Life.

Mr. Ashley Rebello is the Chief Actuary and Appointed Actuary of HDFC Life.

Mr. Sharad Gangal is the General Manager HR and heads the vertical in HDFC Life.

Mr.Vikram Mehta heads the Sales and Marketing function for HDFC Life.

Mr. Prasun Gajri is the Chief Investment Officer of HDFC Life.

 ORGANIZATIONAL STRUCTURE:

• INDIA HEAD
• REGIONAL MANAGER OF CHANNEL DEVELOPMENT
• TERRITORY MANAGER OF CHANNEL
DEVELOPMENT
• AREA MANAGER OF CHANNEL
DEVELOPMENT
• CHANNEL DEVELOPMENT MANAGER
• CHANNEL DEVELOPMENT
EXECUTIVE
• RECRUITMENT
CONSULTANT
• FINANCIAL
CONSULTANT

ORGANISATION STRUCTURE OF THE BRANCH OFFICE

I WORKED:

MARKETING DETAILS:
Speaking on this association, Mr. Sanjay Tripathy, EVP & Head - Marketing and Direct
Channels, HDFC Life said, “HDFC Life is delighted to share the privileges of sponsoring
Rajasthan Royals with the volunteers of Yuva Unstoppable. India is a young country, hence it
is very important to motivate such spirited youngsters for their selfless efforts towards the
betterment of our society. In line with our motto of Sar Utha ke Jiyo - which empowers people
to believe in themselves and live with pride, HDFC Life is proud to present these volunteers with
a coveted opportunity to experience an IPL match live in the stadium. This is a stepping stone
towards a much larger corporate social responsibility initiative, which we plan to launch in the
near future.”

HDFC Life will be associating with various NGOs across Rajasthan to provide this unique
experience for the under-privileged throughout IPL4 for all the matches of Rajasthan Royals held
in Jaipur.

Pavan Jain, Vice President, Yuva Unstoppable said “I would thank HDFC Life for extending this
special gift for our volunteers. Such opportunities are a huge boost for our young volunteers and
helps imbibing in them positive energy and moral values. The volunteers are all excited to
experience this opportunity to see IPL match live in the stadium of Jaipur.

ABOUT YUVA UNSTOPPABLE:

 
Yuva Unstoppable is a premier volunteer movement with a force of 60,000 young people across
30 cities of India helping more than 100,000 kids in municipal schools / slums through
organizational partnerships with schools, colleges and corporate companies. YUVA Unstoppable
is currently the largest volunteer movement of India and growing exponentially. YUVA
Unstoppable motivates and fosters Random acts of kindness through its three initiatives like
School Unstoppable, College Unstoppable and Corporate Unstoppable.

(Source:http://www.business-standard.com/india/news/hdfc-life-cheersyuva-unstoppable-to-
supportrajasthan-royals/433582/)

HDFC LIFE LAUNCHES ‘MOST IMPORTANT DOCUMENT’ FOR CUSTOMERS:

HDFC Life, one of India’s leading private life insurance companies, has taken yet another
significant step as part of its Customer Centric Approach. The company has rolled out ‘Most
Important Document (MID),’ an one-page questionnaire on HDFC Life’s key product features to
be mandatorily filled by customers in full and sign across, acknowledging full understanding of
the product features at the time of filling up proposal forms.
The MID has been rolled out across all its main Distribution Channels with effect from April 8,
2011. The roll out of MID is a proactive initiative from HDFC Life to ensure that customers
understand products well before making a decision to purchase it.

HDFC LIFE'S OTHER KEY CUSTOMER CENTRIC INITIATIVES INCLUDE:

 Grievance handling system with comprehensive investigations/counseling to customers in
case of complaints

 A Strict Malpractices Matrix in place to address mis-sell (including termination)

 All to customers to get a first hand feel of their expectations, to gauge satisfaction with the
company’s sales process and if the right product has been sold based on customer needs

PRODUCTS OF HDFC LIFE:

PROTECTION PLANS: Protection Plans helps to shield family from uncertainties in life due
to financial losses in terms of loss of income that may dawn upon them incase of your untimely
demise or critical illness.

RETIREMENT PLANS: Retirement Plans provide with financial security so that when
professional income starts to ebb, one can still live with pride without compromising on their
living standards.

SAVINGS & INVESTMENT PLAN: It basically focuses on people who thinks to keep their
family happy and are dependent on them so future expenses of the family are need to be taken
care of.

HEALTH PLANS: Health plans give the financial security to meet health related contingencies.
Due to changing lifestyles, health issues have acquired completely new dimension overtime,
becoming more complex in nature.

CHILDREN’S PLAN: Children's Plans helps to save so that one can fulfill their child's dreams
and aspirations. As a parent, one wish to provide their child with the very best that life offers, the
best possible education, marriage and life style.
 DEPARTMENTS

MARKETING
DEPARTMENT

TRAINING SALES
DEPARTMENT DEPARTMENT

ADMINISTRAT CHANNEL
ION DEVELOPMENT
DEPARTMENT DEPARTMENT

OPERATIONS
DEPARTMENT

SWOT ANALYSIS
 STRENGTHS:

 HDFC Standard life insurance offers a range of individual and group insurance solutions.

 HDFC Standard Life has the financial expertise required to manage your long-term

investments safely and efficiently.

 Rated ‘AAA’ by CRISIL and ICRA for the 10th consecutive year for High service standards.

 Uses the most aggressive marketing strategies

 Free switching options online informing customers about the performance of their investment

by sending monthly reports and statements

 Training provided to all people

 First private company to get registered under IRDA

 First one to hit IPO

 HDFC Standard Life was one of the first private life insurers to disclose the embedded value

of its business

WEAKNESSES:

 LIC is prevalent and sustains even today a major source of population.

 Low number of offices and network and number of life insurance agents.

 Lack of knowledge and expertise.

 They are unable to target rural areas as compared to LIC

 Poor awareness of products in the minds of customers

 Negligence to customers after the investment is sold

 Sometimes right advice is not given to the customers

OPPORTUNITIES:
 Life insurance has captured its mere15 – 20% growth therefore a wide open untapped market

is open to the company to develop, grow and measure its success.

 Still the number of companies are few and company has every capabilities to grow and

forward its performance areas to the widest

 Strong brand helps to boost up the sales

 No.1 in adapting new technologies like online search

THREATS:

 People are hesitant to invest and put their hard earned money to the private life insurance

company with the fear of getting lost.

 Belief towards LIC as it is a government corporation phobia is continue to surmount the

people of India despite lots of flaws and development and liberalization of life insurance.

 Alternative financial services such as mutual fund, banking services, share and securities also

pose problems and threats to the working of the life insurance sector.

 Illiteracy and unemployment also pose threat.

 Rising real estate industry also pose threat as people are investing a bulk of their money over

to that industry.

 Entry of more of Private Players in the market

 Faster rate of employee attrition

KEY PLAYERS IN THE INSURANCE SECTOR:

 Life Insurance Corporation Of India

 ICICI Prudential

 Birla Sun life

 LIC

 Bajaj Allianz

 Max New York Life

 Met Life India Insurance

 Reliance Life Insurance

 SBI Life Insurance

 Tata AIG Life Insurance

 Kotak Mahindra

 Aviva Life Insurance

 Shri Ram Life Insurance

MAJOR COMPETITORS OF HDFC STANDARD

LIFE(COMPARETIVE ANALYSIS)

 Life Insurance Corporation of India (LIC)

Life Insurance Corporation of India (LIC) was established on 1 September 1956 to spread the

message of life insurance in the country and mobilise people’s savings for nation-building

activities. LIC with its central office in Mumbai and seven zonal offices at Mumbai, Calcutta,

Delhi, Chennai, Hyderabad, Kanpur and Bhopal, operates through 100 divisional offices in

important cities and 2,048 branch offices. LIC has 5.59 lakh active agents spread over the

country.
The Corporation also transacts business abroad and has offices in Fiji, Mauritius and United Kingdom. LIC

is associated with joint ventures abroad in the field of insurance, namely, Ken-India Assurance Company

Limited, Nairobi; United Oriental Assurance Company Limited, Kuala Lumpur; and Life Insurance

Corporation (International), E.C. Bahrain. It has also entered into an agreement with the Sun Life (UK) for

marketing unit linked life insurance and pension policies in U.K.

In 1995-96, LIC had a total income from premium and investments of $ 5 Billion while GIC

recorded a net premium of $ 1.3 Billion. During the last 15 years, LIC's income grew at a healthy

average of 10 per cent as against the industry's 6.7 per cent growth in the rest of Asia (3.4 per

cent in Europe, 1.4 per cent in the US).

LIC has even provided insurance cover to five million people living below the poverty line, with 50 per

cent subsidy in the premium rates. LIC's claims settlement ratio at 95 per cent and GIC's at 74 per cent

are higher than that of global average of 40 per cent. Compounded annual growth rate for Life insurance

business has been 19.22 per cent per annum

 General Insurance Corporation of India (GIC)

The general insurance industry in India was nationalized and a government company known as

General Insurance Corporation of India (GIC) was formed by the Central Government in

November 1972. With effect from 1 January 1973 the erstwhile 107 Indian and foreign insurers

which were operating in the country prior to nationalization, were grouped into four operating

companies, namely, (i) National Insurance Company Limited; (ii) New India Assurance

Company Limited; (iii) Oriental Insurance Company Limited; and (iv) United India Insurance

Company Limited.  (However, with effect from Dec'2000, these subsidiaries have been de-linked

from the parent company and made as independent insurance companies). All the above four

subsidiaries of GIC operate all over the country competing with one another and underwriting
various classes of general insurance business except for aviation insurance of national airlines

and crop insurance which is handled by the GIC.

Besides the domestic market, the industry is presently operating in 17 countries directly through

branches or agencies and in 14 countries through subsidiary and associate companies.

LIFE INSURANCE COMPANIES

 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. 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.

 ICICI Prudential Life Insurance Company Ltd.

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 banc assurance and 150 corporate agent tie-ups.

 Om Kotak Mahindra Life Insurance Co. Ltd.

Kotak Mahindra Old Mutual Life Insurance Ltd. is a joint venture between Kotak Mahindra

Bank Ltd. (KMBL), and Old Mutual plc.

 Birla Sun Life Insurance Company Ltd.

Birla Sun Life Insurance Company is a joint venture between Aditya Birla Group and Sun Life

financial Services of Canada.

 Tata AIG Life Insurance Company Ltd.

 SBI Life Insurance Company Limited

 ING Vysya Life Insurance Company Private Limited

 Allianz Bajaj Life Insurance Company Ltd.

 Metlife India Insurance Company Pvt. Ltd.

 AMP SANMAR Assurance Company Ltd.

 Dabur CGU Life Insurance Company Pvt. Ltd.

GENERAL INSURANCE

1. Royal Sundaram Alliance Insurance Company Limited 

The joint venture bringing together Royal & Sun Alliance Insurance and Sundaram Finance

Limited started its operations from March 2001. The company is Head Quartered at Chennai, and

has two Regional Offices, one at Mumbai and another one at New Delhi.

2. Bajaj Allianz General Insurance Company Limited

Bajaj Allianz General Insurance Company Limited is a joint venture between Bajaj Auto Limited

and Allianz AG of Germany. Both enjoy a reputation of expertise, stability and strength.

Bajaj Allianz General Insurance received the Insurance Regulatory and Development Authority

(IRDA) certificate of Registration (R3) on May 2nd, 2001 to conduct General Insurance business

(including Health Insurance business) in India. The Company has an authorized and paid up

capital of Rs 110 crores. Bajaj Auto holds 74% and the remaining 26% is held by Allianz, AG,

Germany.

3. ICICI Lombard General Insurance Company Limited

ICICI Lombard General Insurance Company Limited is a joint venture between ICICI Bank Limited and the

US-based $ 26 billion Fairfax Financial Holdings Limited. ICICI Bank is India's second largest bank, while

Fairfax Financial Holdings is a diversified financial corporate engaged in general insurance, reinsurance,

insurance claims management and investment management.

Lombard Canada Ltd, a group company of Fairfax Financial Holdings Limited, is one of

Canada's oldest property and casualty insurers. ICICI Lombard General Insurance Company

received regulatory approvals to commence general insurance business in August 2001.

4. Cholamandalam General Insurance Company Ltd.

Cholamandalam MS General Insurance Company Limited (Chola-MS) is a joint venture of the

Murugappa Group & Mitsui Sumitomo. 

Chola-MS commenced operations in October 2002 and has issued more than 1.4 lakh policies in

its first calendar year of operations. The company has a pan-Indian presence with offices in

Chennai, Hyderabad, Bangalore, Kochi, Coimbatore, Mumbai, Pune, Indore, Ahmedabad, Delhi,

Chandigarh, Kolkata and Vizag.

5. TATA AIG General Insurance Company Ltd.

Tata AIG General Insurance Company Ltd. is a joint venture company, formed from the Tata

Group and American International Group, Inc. (AIG). Tata AIG combines the strength and

integrity of the Tata Group with AIG's international expertise and financial strength. The Tata

Group holds 74 per cent stake in the two insurance ventures while AIG holds the balance 26 per

cent stake.

Tata AIG General Insurance Company, which started its operations in India on January 22, 2001,

offers the complete range of insurance for automobile, home, personal accident, travel, energy,

marine, property and casualty, as well as several specialized financial lines.

6. Reliance General Insurance Company Limited.

7. IFFCO Tokio General Insurance Co. Ltd

8. Export Credit Guarantee Corporation Ltd.

9. HDFC-Chubb General Insurance Co. Ltd.

MARKET SHARE OF ALL INSURANCE COMPANIES

Here is how Various Life Insurers stack up against each in the Industry as a whole. The
following Data suggests that LIC of India is still the market leader followed by ICICI Prudential,
HDFC Standard Life, SBI, Reliance, Bajaj, Birla Sun Life, Max New York etc.
HDFC LIFE HAS BEEN RANKED 3RD IN THE PRIVATE INSURANCE SECTOR

ENVIRONMENT:

HDFC LIFE benefited a lot when it merged with the UK based Company Standard Life.

HDFC Standard life Insurance Company Limited was one of the first companies to be granted
license by the IRDA to operate in life insurance sector. Each of the JV player is highly rated and
been conferred with many awards. HDFC is rated ‘AAA’ by both CRISIL and ICRA. The joint
venture of these two companies increased the profit, brand image and more reliable to the
customers as well as increased the market share.