PROJECT REPORT

ON

A STUDY ON FACTORS AFFECTING CUSTOMER PREFERENCE TOWARDS

INVESTING IN LIFE INSURANCE POLICIES

AT

ZIELHOCH COMPANY

2022 – 2024

SUBMITTED BY:

LAKHWINDER KAUR

MANAGER : Nikhil Sexena Sir

UNIVERSITY SCHOOL OF MANAGEMENT STUDIES

RAYAT BAHRA UNIVERSITY, MOHALI

 DECLARATION

I, Lakhwinder kaur hereby declare that the project report entitled “ A STUDY ON FACTORS
AFFECTING CUSTOMERS PREFERENCE TOWARDS INVESTING IN LIFE INSURANCE
POLICIES “ is a record of independent work carried out by me under supervision and guidance of
Manager Nikhil sexena sir ,, The information and data given in the report is authentic to the best of my
knowledge. The report has not been previously submitted for the award of any Degree, Diploma,
Associating or other similar title of any other university or institute.

Place: Mohali
Date: 28/09/23
Lakhwinder kaur
2203104029
 ACKNOWLEDGEMENT

I am highly indebted to Nikhil sexena for their guidance and constant supervision as well as for providing
necessary information regarding the project & also for their support in completing the project.
I would like to express my gratitude towards my parents & member of ZIELHOCH for their kind co-
operation and encouragement which help me in completion of this project.
I would like to express my special gratitude and thanks to industry persons for giving me such attention
and time.
My thanks and appreciations also go to my colleague in developing the project and people who have
willingly helped me out with their abilities.
 EXECUTIVE SUMMARY

Name : Lakhwinder kaur

Roll Number : 2203104029
Email ID : lakhwinderkaur1998@gmail.com

Name of Organization : Zielhoch company

Address of Company : pearl best height 2 Netaji subhash place,pitampura delhi 110034
City : Delhi

The study named “A STUDY ON FACTORS AFFECTING CUSTOMERS PREFERENCE

TOWARDS

INVESTING IN LIFE INSURANCE POLICIES” is about understanding the factors that affect
the customer’s decision while buying Life insurance Policies. The entire Internship was a great
learning because of its vast exposure to products and corporate world.

The main objective of the project was to study the various factors influencing customer investment
decisions in Life insurance Policy. It also studies the impact of various demographic factors on
customer Life Insurance Investment Decision. It also evaluates various preferences in a company, in
an insurance plan, and also which company is preferred the most for Life Insurance Policies.

The findings of the research were that customer decision to buy a Life Insurance Policy majorly
depends on demographic factors like the Age, Gender and Income Level. Occupation is not
dependent on taking Life Insurance Policies. LIC stands as the first preference in company and
Money back guarantee is the first preference for choosing a life insurance policy. Also, customers
prefer Money Back Policy and ULIP Plans for investment in Life Insurance Policies. There are also
recommendations included in the report for making Insurance as an Investment.
SL NO. CONTENTS PAGE
NO.
1 AUTHORIZATION

2 ACKNOWLEDGEMENT

3 ABSTRACT

4 EXECUTIVE SUMMARY

5 CHAPTER 1: INTRODUCTION TO STUDY

6 CHAPTER 2: INTRODUCTION TO NON-BANKING

FINANCIAL COMPANIES
7 CHAPTER 3: INTRODUCTION TO THE COMPANY

8 CHAPTER 4: INTRODUCTION TO INSURANCE

9 CHAPTER 5: INTRODUCTION TO LIFE

INSURANCE
10 CHAPTER 6: NEED FOR THE STUDY AND
LITERATURE REVIEW

11 CHAPTER 7:DATA ANALYSIS

12 CHAPTER 8:RESEARCH METHODOLOGY

13 CHAPTER 9: FINDINGS FROM THE STUDY

14 CHAPTER 10: RECOMMANDATION

15 CHAPTER 11: CONCLUSION

16 REFERENCES

17 ANNEXURE (QUESTIONNAIRE)
 CHAPTER 1
INTRODUCTION
TO
STUDY
 CHAPTER 1 : INTRODUCTION TO STUDY

1. Purpose, Objective, Scope and Limitation of the Study

Purpose of the Study

 The study aims at understanding the market of Insurance. Insurance being one of the most
important Financial Product in the market, still has not reached a more number of customers.
 The study also aims to understand various Life Insurance Products.

 The main motive of the study is to understand the various factors that affect the customers’
decision in buying a Life Insurance Policy.
 The study also aims to understand the various types of products provided by Zielhoch
company
 To understand the level of awareness regarding insurance products within the customers

Objective of the Study.

The present Descriptive and Exploratory type of Research is chosen with an objective of studying
factors which influence customers policy buying decisions and also analyze the customers
preferences while Life policy Investment decision making. Factors related to Insurance would be
studied in this project. The aim of study is also to understand which the most preferred Company for
buying Insurance policies. Following are the main objectives of the study:

a) To study various factors influencing Customer Investment Decision in Life Insurance.

b) To study and analyze the impact of various demographic factors on customers life insurance
investment decision.
c) To evaluate preferences of the customers while taking life insurance investment decision.

d) To study and rank the factors responsible for the selection life insurance as an investment
option.
e) To offer suggestions for popularizing life insurance among the public at large.
Scope of the Study

The insurance industry is one of the fastest growing industries in the country and offers
abundance growth opportunity to the life insurers. When compared with the developed foreign
countries, the Indian life insurance industry has achieved only a little because of the lack of
insurance awareness, ineffective marketing strategies, poor affordability and low investment in
life insurance products. The huge and ever rising population levels in our country provide an
attractive opportunity but still nearly 70% Indian lives are un-insured. The study is basically
intended to discover and examine the factors affecting customers decision towards investment in
life insurance policy.

Limitations of the Study

 The study is limited to respondents from Chandigarh area majorly.

 Lack of awareness regarding Zielhoch Company was a major problem in reaching to

customers.
 Getting Personal information like Income, Insurance policy was a difficult task.

 Lesser awareness of various Life Insurance Products was one major problem while conducting
the survey. It was difficult to make people understand each and every product of Insurance.
Understanding and filling the Google Form was a difficult task because of not so easy
understanding of Google Form and questions
 CHAPTER 2:
INTRODUCTION
TO
NON-BANKING FINANCIAL
COMPANIES
 CHAPTER 2: INTRODUCTION TO NON-BANKING FINANCIAL COMPANIES

2.1. Introduction to NBFCs

Definition of NBFCs: “NBFCs are Companies that are registered under The Companies Act, 1956
of India. NBFCs are engaged in business of Loans and Advances, Acquisition of shares, bonds, hire
purchase Insurance Business or chit-fund Business but does not include principal business includes
agriculture, industrial activity or the sale, purchase or construction of immovable property.”

Non-Banking Financial Companies play an important and crucial role in broadening access to
financial services, enhancing competition and diversification of the financial sector. There are
different types of institutions involved in financial services in India. These include commercial
banks, financial institutions (FIs) and non-banking finance companies (NBFCs). Due to the financial
sector reforms, NBFCs have been emerged as an integral part of the Indian financial system. Non-
banking finance companies frequently act as suppliers of loans & credit facilities and accept deposits,
operating mutual funds and similar other functions. They are competitive and complimentary to
banks and financial institutions. Many steps were taken in 1995-96 to reduce controls and remove
operational constraints in the banking system. These include interest rate decontrol, liberalization and
selective removal of Cash Reserve Ratio (CRR) stipulation, enhanced refinance facilities against
government and other approved securities.

NBFCs have registered significant growth in recent years both in terms of number and volume of
business transactions (Table-2). The equipment leasing and hire purchase finance companies finance
productive assets. NBFCs role in financing consumer durables and automobiles are very aggressive.
The rapid growth in the business of NBFCs urged for effective regulatory action to protect the
interests of investors. The Reserve Bank has started regulating the activities of NBFCs with the twin
objectives of ensuring that they sub serve the financial system efficiently and do not jeopardize the
interest of depositors.
 2.2 DIFFERENCE BETWEEN BANKS AND NBFCS

NBFCs perform functions similar to that of banks but there are a few differences:

 Provides Banking services to People without holding a Bank license.

 An NBFC cannot accept Demand Deposits.

 An NBFC is not a part of the payment and settlement system and as such.

 An NBFC cannot issue Cheques drawn on itself.

 Deposit insurance facility of the Deposit Insurance and Credit Guarantee Corporation is not
available for NBFC depositors, unlike banks.
 An NBFC is not required to maintain Reserve Ratios (CRR, SLR etc.)

 An NBFC cannot indulge Primarily in Agricultural, Industrial Activity, Sale-Purchase, and

Construction of Immovable Property.
 Foreign Investment allowed up to 100%.

Type of NBFC
Asset
Finance
Company
Infrastruct (AFC)
Investme
ure nt
Debt Fund Company
(IC)

TYPE
OF
NBF
Systemically Loan
Important Companies
Core (LC)
Investment
Company Infrastructu
re
Finance
Compa
 TYPES OF SERVICES PROVIDED BY NBFCs

NBFCs provide range of financial services to their clients. Types of services under non-banking
finance services include the following:

1. Hire Purchase Services

2. Leasing Services

3. Housing Finance Services

4. Asset Management Services

5. Venture Capital Services

6. Mutual Benefit Finance Services (Nidhi) banks.

Hire Purchase Services

Hire purchase the legal term for a conditional sale contract with an intention to finance consumers
towards vehicles, white goods etc. If a buyer cannot afford to pay the price as a lump sum but can
afford to pay a percentage as a deposit, the contract allows the buyer to hire the goods for a monthly
rent. If the buyer defaults in paying the installments, the owner can repossess the goods. HP is a
different form of credit system among other unsecured consumer credit systems and benefits. Hero
Honda Motor Finance Co., Bajaj Auto Finance Company is some of the HP financing companies.

Leasing Services

A lease or tenancy is a contract that transfers the right to possess specific property. Leasing service
includes the leasing of assets to other companies either on operating lease or finance lease. An NBFC
may obtain license to commence leasing services subject to, they shall not hold, deal or trade in real
estate business and shall not fix the period of lease for less than 3 years in the case of any finance
lease agreement except in case of computers and other IT accessories
Housing Finance Services

Housing Finance Services means financial services related to development and construction of
residential and commercial properties. An Housing Finance Company approved by the National
Housing Bank may undertake the services /activities such as Providing long term finance for the
purpose of constructing, purchasing or renovating any property, Managing public or private sector
projects in the housing and urban development sector and Financing against existing property by way
of mortgage. ICICI Home Finance Ltd., LIC Housing Finance Co. Ltd., HDFC is some of the
housing finance companies in our country.

Asset Management Company

Asset Management Company is managing and investing the pooled funds of retail investors in
securities in line with the stated investment objectives and provides more diversification, liquidity,
and professional management service to the individual investors. Mutual Funds are comes under this
category. Most of the financial institutions having their subsidiaries as Asset Management Company
like SBI, BOB, UTI and many others.

Venture Capital Companies

Venture capital Finance is a unique form of financing activity that is undertaken on the belief of high-risk-
high-return. Venture capitalists invest in those risky projects or companies (ventures) that have success
potential and could promise sufficient return to justify such gamble. Venture capitalist not only provides
finance but also often provides managerial or technical expertise to venture projects. In India, venture
capitals concentrate on seed capital finance for high technology and for research & development. ICICI
ventures and Gujarat Venture are one of the first venture capital organizations in India and SIDBI, IDBI
and others also promoting venture capital finance activities.
Mutual Benefit Finance Companies (MBFC's)

A mutual fund is a financial intermediary that allows a group of investors to pool their money together
with a predetermined investment objective. The mutual fund will have a fund manager who is responsible
for investing the pooled money into specific securities/bonds. Mutual funds are one of the best
investments ever created because they are very cost efficient and very easy to invest in. By pooling money
together in a mutual fund, investors can purchase stocks or bonds with much lower trading costs than if
they tried to do it on their own. But the biggest advantage to mutual funds is diversification.

There are two main types of such funds, open-ended fund and close-ended mutual funds. In case of open-
ended fund, the fund manager continuously allows investors to join or leave the fund. The fund is set up as
a trust, with an independent trustee, who keeps custody over the assets of the trust. Each share of the trust
is called a Unit and the fund itself is called a Mutual Fund. The portfolio of investments of the Mutual
Fund is normally evaluated daily by the fund manager on the basis of prevailing market prices of the
securities in the portfolio and this will be divided by the number of units issued to determine the Net Asset
Value (NAV) per unit. An investor can join or leave the fund on the basis of the NAV per unit.

In contrast, a close-end fund is similar to a listed company with respect to its share capital. These shares
are not redeemable and are traded in the stock exchange like any other listed securities. Value of units of
close-end funds is determined by market forces and is available at 20-30% discount to their NAV
 ROLE OF NBFCs IN INDIAN ECONOMY

NBFCs (Non-Banking Financial Companies) play an important role in promoting inclusive growth in
the country, by catering to the diverse financial needs of bank excluded customers. Further, NBFCs
often take lead role in providing innovative financial services to Micro, Small, and Medium
Enterprises (MSMEs) most suitable to their business requirements. NBFCs do play a critical role in
participating in the development of an economy by providing a fillip to transportation, employment
generation, wealth creation, bank credit in rural segments and to support financially weaker sections
of the society. Emergency services like financial assistance and guidance is also provided to the
customers in the matters pertaining to insurance.

NBFCs are financial intermediaries engaged in the business of accepting deposits delivering credit
and play an important role in channelizing the scarce financial resources to capital formation. They
supplement the role of the banking sector in meeting the increasing financial needs of the corporate
sector, delivering credit to the unorganized sector and to small local borrowers. However, they do not
include services related to agriculture activity, industrial activity, sale, purchase or construction of
immovable property. In India, despite being different from banks, NBFC are bound by the Indian
banking industry rules and regulations.

NBFC focuses on business related to loans and advances, acquisition of shares, stock, bonds,
debentures, securities issued by government or local authority or other securities of like marketable
nature, leasing, hire-purchase, insurance business, chit business. The banking sector would always be
the most important sector in the field of business because of its credibility in supporting
manufacturing, infrastructural development and even being the backbone for the common man's
money. But despite this, the role of NBFCs is critical and their presence in a country would only
boost the economy in the right direction.

P Vijaya Bhaskar, ex – Executive Director, RBI, explained how NBFC companies are game-changers
that are very important to the economy
  Size of sector: The NBFC sector has grown considerably in the last few years despite the
slowdown in the economy.
 Growth: In terms of year-over-year growth rate, the NBFC sector beat the banking sector in most
years between 2006 and 2013. On an average, it grew 22% every year. This shows, it is
contributing more to the economy every year.
 Profitability: NBFCs are more profitable than the banking sector because of lower costs. This
helps them offer cheaper loans to customers. As a result, NBFCs' credit growth - the increase in
the amount of money being lent to customers – is higher than that of the banking sector with more
customers opting for NBFCs.
 Infrastructure Lending: NBFCs contribute largely to the economy by lending to infrastructure
projects, which are very important to a developing country like India. Since they require large
amount of funds, and earn profits only over a longer time-frame, these are riskier projects and
deters banks from lending. In the last few years, NBFCs have contributed more to infrastructure
lending than banks.
 Promoting inclusive growth: NBFCs cater to a wide variety of customers - both in urban and
rural areas. They finance projects of small-scale companies, which is important for the growth in
rural areas. They also provide small-ticket loans for affordable housing projects. All these help
promote inclusive growth in the country.

NBFCs aid economic development in the following ways:

i. Mobilization of Resources - It converts savings into investments

ii. Capital Formation - Aids to increase capital stock of a company

iii. Provision of Long-term Credit and specialized Credit

iv. Aid in Employment Generation

v. Help in development of Financial Markets

vi. Helps in Attracting Foreign Grants

vii. Helps in Breaking Vicious Circle of Poverty by serving as government's instrument

The Technology Backbone

With the increasing role of NBFCs in the Indian Economy, the Reserve Bank of India has issued the
notification Master Direction - Information Technology Framework for the NBFC Sector this year.
The directions on IT Framework for the NBFC sector are expected to enhance safety, security,
efficiency in processes leading to benefits for NBFCs and their customers. NBFCs with asset size
above 500 crores are expected to adhere to the new "recommendations" by 30th September 2018.
Recommendations for smaller NBFCs include developing basic IT systems mainly for maintaining
the database. While larger NBFCs stare at a strict deadline, smaller NBFCs, especially Fintech
startups have a bigger problem at hand; an identity crisis! The business models of startups like
BankBazaar mandate that they do not become a NBFC, while the nature of operations of startups like
LendingKart makes them a NBFC as part of the legal compliance.
 CHAPTER 3 :
INTRODUCTION TO THE
COMPANY
 COMPANY PROFILE.

Zielhoch, headquartered in 906 pearl best height 2 Netaji subhash place,pitampura Delhi 110034 is one
of India's most reliable consulting firm. As financial advisors, they primarily focus on providing help to all
individuals who have aspired to be financially self-sufficient.

One should not work for money; rather, one should learn how money might work for them," is our
motto. This is what we refer to as financial literacy.

they provide such an opportunity for their clients so that they can realize how money can benefit them. We
create a pathway between our customers and our knowledge. We believe that the certainties outweigh the
uncertainties, and we want our clients to be ready for such situations.

In a fast moving and increasingly complex global economy, our success depends on how faithfully we
adhere to our core principles: delivering exceptional clients services; acting with integrity and
responsibility and supporting the growth of our employees.

Our ability to maintain the basic values of providing excellent customer service, operating with honesty
and accountability, and promoting staff growth in today's fast-paced and more complicated global world.

3 key services which Zielhoch is engaged in are :-

 Personal Wealth Management

 Professional Development
 HR Consultants

Services provided by Zielhoch are:

 Wealth advisory
 Accounting
 Consulting services

WEALTH ADVISORY
Wealth advisory is a holistic approach which helps clients in growing their wealth, managing their liability
exposure and planning their investment. Wealth management devise strategies based on client needs to
develop their overall wealth. Wealth management is more than a financial advice, it focuses on investment
advisory service that combines other financial services that meets the needs of affluent clients.
Main objectives that must be accomplished for clients through wealth advisory:

 Setting financial goals and designing strategies to achieve those goals

 Helping in maximize their overall wealth
 Managing their investments and finances
 Setting strategies for passing on their wealth, also known as estate planning

ACCOUNTING
Accounting is how your business records, organizes, and understands its financial information.
Accounting is a big machine that you put raw financial information into records of all your business
transactions, taxes, projections, etc. that then tells you a story about the financial state of your business.
Accounting provides a clear picture of your financial position. It helps a business in identifying whether or
not it is making a profit, what its cash flow is, and what the current value of
Company's assets and liabilities is, and which parts of business are actually making money.
Different types of Accounting :
 Financial accounting
 Managerial accounting
 Tax accounting
 Cost accounting

CONSULTING SERVICES
Consulting is the practice of providing all aspects of human resource management as an outsourced
service provider, and the professional and business matters associated with such activity, including
customer development, contracts and customer management. Outsourcing your HR services to human
resources consultants can save both time and money. Hiring human resources consultants reduces your
cost of hiring individual employees, time and resources to train and develop them in-house, retain the
trained talent as well as investing in HR related technology and tools. As you outsource your day-to-day
human resources work to the consultants or experts, you can pay more attention to your core business,
knowing the experts are handling the human resources side of your business. Having them on board also
reduces the pressure on business owners, corporate executives and managers for recruitment, performance
management, training and development, etc. and enables them to focus on their core work that makes
efficient and effective.
The market for human resource consulting services consists of few main disciplines such as recruitment,
contract staffing, training and development, performance management system, payroll management
services.
.
COMPANY MISSION

By designing a well-diversified portfolio based on our customers' attitude and needs, we aim to give
superior financial literacy. In today's fast-paced and increasingly sophisticated global world, maintaining
our basic values of providing exceptional customer service, operating with honesty and responsibility, and
supporting staff growth is vital.

COMPANY VISION

“OPERATING WITH HONESTY AND ACCOUNTABILITY”

To make one believe that the certainties outweigh the uncertainties, and be ready for such situations

COMPANY PRODUCT

MUTUAL FUND HEALTH INSURANCE HOUSING LOANS

LIFE INSURANCE REAL ESTATE GROUP MEDICAL AIM

CREDIT CARD KEY MAN INSURANCE RETIREMENT PLANNING
 CHAPTER 4:
INTRODUCTION
TO
INSURANCE
 CHAPTER 4: INTRODUCTION TO INSURANCE

Definition: “Insurance is a contract, represented by a policy, in which an individual or entity

receives financial protection or reimbursement against losses from an insurance company.”

INTRODUCTION TO INSURANCE AND ITS COMPONENTS

Insurance is a means of protection from financial loss. It is a form of risk management, primarily
used to hedge against the risk of a contingent or uncertain loss.

An entity which provides insurance is known as an insurer, insurance company, insurance carrier or
underwriter. A person or entity who buys insurance is known as an insured or as a policyholder. The
insurance transaction involves the insured assuming a guaranteed and known relatively small loss in
the form of payment to the insurer in exchange for the insurer's promise to compensate the insured in
the event of a covered loss. The loss may or may not be financial, but it must be reducible to
financial terms, and usually involves something in which the insured has an insurable interest
established by ownership, possession, or pre-existing relationship.

The insured receives a contract, called the insurance policy, which details the conditions and
circumstances under which the insurer will compensate the insured. The amount of money charged
by the insurer to the Policyholder for the coverage set forth in the insurance policy is called the
premium. If the insured experiences a loss which is potentially covered by the insurance policy, the
insured submits a claim to the insurer for processing by a claims adjuster. The insurer may hedge its
own risk by taking out reinsurance, whereby another insurance company agrees to carry some of the
risk, especially if the primary insurer deems the risk too large for it to carry. Insurance involves
pooling funds from many insured entities (known as exposures) to pay for the losses that some may
incur. The insured entities are therefore protected from risk for a fee, with the fee being dependent
upon the frequency and severity of the event occurring. In order to be an insurable risk, the risk
insured against must meet certain characteristics. Insurance as a financial intermediary is a
commercial enterprise and a major part of the financial services industry, but individual entities can
also self-insure through saving money for possible future losses.
INSURANCE SECTOR IN INDIA

The insurance industry of India consists of 63 insurance companies of which 24 are in life insurance
business and 39 are non-life insurers. Among the life insurers, Life Insurance Corporation (LIC) is
the sole public sector company. Apart from that, among the non-life insurers, there are seven public
sector insurers. In addition to these, there are two national re-insurer. Other stakeholders in Indian
Insurance market include agents (individual and corporate), brokers, surveyors and third party
administrators servicing health insurance claims.

Life insurance companies offer coverage to the life of the individuals, whereas the non-life insurance
companies offer coverage with our day-to-day living like travel, health, our car and bikes, and home
insurance. Not only this, but the non-life insurance companies provide coverage for our industrial
equipment’s as well. Crop insurance for our farmers, gadget insurance for mobiles, pet insurance etc.
are some more insurance products being made available by the general insurance companies in India.
MARKET SIZE
Government's policy of insuring the uninsured has gradually pushed insurance penetration in the country
and proliferation of insurance schemes.

Gross premiums written in India reached Rs 5.53 trillion in FY18, with Rs 4.58 trillion from life
insurance and Rs 1.51 trillion from non-life insurance. Overall insurance penetration (premiums as % of
GDP) in India reached 3.69 per cent in 2017 from 2.71 per cent in 2001.

In FY19 (up to Jan 2019), premium from new life insurance business increased 3.91 per cent year- on-
year to Rs 1.59 trillion. In FY22 (up to Jan 2022), gross direct premiums of non-life insurers reached Rs
1.39 trillion, showing a year-on-year growth rate of 12.65 per cent.

GOVERNMENT INITIATIVES
The Government of India has taken a number of initiatives to boost the insurance industry. Some of
them are as follows:

 In September 2022, National Health Protection Scheme was launched under Ayushman
Bharat to provide coverage of up to Rs 500,000 (US$ 7,723) to more than 100 million
vulnerable families. The scheme is expected to increase penetration of health insurance in
India from 34 per cent to 50 per cent.
 Over 47.9 million famers were benefitted under Pradhan Mantri Fasal Bima Yojana
(PMFBY) in 2021-22.
 The Insurance Regulatory and Development Authority of India (IRDAI) plans to issue
redesigned initial public offering (IPO) guidelines for insurance companies in India, which
are to looking to divest equity through the IPO route.

The government also strives hard to provide insurance to individuals in a below poverty line by
introducing schemes like the:

1. Pradhan Mantri Suraksha Bima Yojana (PMSBY),

2. Rashtriya Swasthya Bima Yojana (RSBY) and

3. Pradhan Mantri Jeevan Jyoti Bima Yojana (PMJJBY).

Introduction of these schemes would help the lower and lower-middle income categories to utilize
the new policies with lower premiums in India.
ROAD AHEAD

The future looks promising for the life insurance industry with several changes in regulatory framework
which will lead to further change in the way the industry conducts its business and engages with its
customers.

The overall insurance industry is expected to reach US$ 280 billion by 2020. Life insurance industry in
the country is expected grow by 12-15 per cent annually for the next three to five years.

Demographic factors such as growing middle class, young insurable population and growing awareness
of the need for protection and retirement planning will support the growth of Indian life insurance.
6

MARKET SHARE
 68%

68%
Market Share of Major Insurance Companies

14%
5% 6%
7%
68% LIC
HDFC Standard Life SBI Life Insurance ICICI Prudenti
Others

Interpretation : As we can see, according to IRDA, the highest market share currently in India is of Life
Insurance Company, the reason being its trustworthiness and its existence for these many years. It is
followed by HDFC Standard Life with 7% of Market share and SBI Life with 6% of Market Share. ICICI
Prudential holds 5% of Market Share. The remaining 14% has been a total of all other Insurance
Companies.

TYPES OF INSURANCE

Life insurance Health Insurance Car insurance Home Insurance Travel Insurance

Fire Insurance Bike Insurance

 CHAPTER 5:
INTRODUCTION
TO
LIFE INSURANCE
 CHAPTER 5: INTRODUCTION TO LIFE INSURANCE

Life insurance is a contract that offers financial compensation in case of death or disability. Some
life insurance policies even offer financial compensation after retirement or a certain period of time.
Life insurance, thus, helps you secure your family’s financial security even in your absence. You
either make a lump-sum payment while purchasing a life insurance policy or make periodic
payments to the insurer. These are known as premiums. In exchange, your insurer promises to pay an
assured sum to your family in the event of death, disability or at a set time. Life insurance can help
you support your family even after retirement.

Definition: Life insurance (or life assurance) is a contract between an insurance policy holder and an
insurer or assurer, where the insurer promises to pay a designated beneficiary a sum of money (the
benefit) in exchange for a premium, upon the death of an insured person (often the policy holder).

The purpose of life insurance is to provide financial protection to surviving dependents after the
death of an insured. It is essential for applicants to analyze their financial situation and determine the
standard of living needed for their surviving dependents before purchasing a life insurance policy.
Life insurance agents or brokers are instrumental in assessing needs and establishing the type of life
insurance most suitable to address those needs. Several life insurance channels are available
including whole life, term life, universal life and variable universal life policies. It is prudent to re-
evaluate life insurance needs annually, or after significant life events like marriage, divorce, the birth
or adoption of a child and major purchases, like a house.

Tax Benefits associated with Life Insurance Policies :

 Life insurance not only ensures the well-being of your family, it also brings tax benefits.

 The amount you pay as premium can be deducted from your total taxable income.

 However, this is subject to a maximum of Rs 1.5 lakh, under Section 80C of the Income Tax
Act.
 The premium amount used for tax deduction should not exceed 10% of the sum assured.
5.2 How Life Insurance Works

There are three major components of a life insurance policy.

 Death benefit is the amount of money the insurance company guarantees to the beneficiaries
identified in the policy upon the death of the insured. The insured will choose their desired death
benefit amount based on estimated future needs of surviving heirs. The insurance company will
determine whether there is an insurable interest and if the insured qualifies for the coverage based
on the company's underwriting requirements.

 Premium payments are set using actuarially based statistics. The insurer will determine the cost of
insurance (COI), or the amount required to cover mortality costs, administrative fees and other
policy maintenance fees. Other factors that influence the premium are the insured’s age, medical
history, occupational hazards and personal risk propensity. The insurer will remain obligated to
pay the death benefit if premiums are submitted as required. With term policies, the premium
amount includes the cost of insurance (COI). For permanent or universal policies, the premium
amount consists of the COI and a cash value amount.

 Cash value of permanent or universal life insurance is a component which serves two purposes. It
is a savings account, which can be used by the policyholder, during the life of the insured, with
cash accumulated on a tax-deferred basis. Some policies may have restrictions on withdrawals
depending on the use of the money withdrawn. The second purpose of the cash value is to offset
the rising cost or to provide insurance as the insured ages.
 6.3 Types of Life Insurance

– Term Insurance

Term insurance is a type of life insurance policy that provides coverage for a certain period of time,
or a specified "term" of years. If the insured dies during the time period specified in the policy and
the policy is active - or in force - then a death benefit will be paid.

Term insurance is initially much less expensive when compared to permanent life insurance. Unlike
most types of permanent insurance, term insurance has no cash value. There are many different types
of term insurance policies available. Many policies offer level premiums for the duration of the
policy, such as 10, 20, or 30 years. These are often referred to as "level term" policies. While
premiums for these level term policies remain level for a set number of years, after this time period
the premium increases significantly, making the policy cost prohibitive. Most term policies have a
built-in privilege to convert to a permanent policy regardless of any changes in the insured's health.

Term insurance has two features that make it attractive:

a) A guarantee on the premium and survivor benefit for a defined amount of years, depending on the
company, age of the insured and other factors.
b) No capability of accumulating cash inside the policy. You can't pay an extra premium to get extra
benefit. You can’t transfer money from other accounts into the policy. The carrier will not pay
dividends or apply interest to your account.
Whole Life Insurance

Whole life insurance, or whole of life assurance (in the Commonwealth of Nations), sometimes
called "straight life" or "ordinary life," is a life insurance policy which is guaranteed to remain in
force for the insured's entire lifetime, provided required premiums are paid, or to the maturity date.

As a life insurance policy it represents a contract between the insured and insurer that as long as the
contract terms are met, the insurer will pay the death benefit of the policy to the policy's beneficiaries
when the insured dies. Because whole life policies are guaranteed to remain in force as long as the
required premiums are paid, the premiums are typically much higher than those of term life
insurance where the premium is fixed only for a limited term. Whole life premiums are fixed, based
on the age of issue, and usually do not increase with age. The insured party normally pays premiums
until death, except for limited pay policies which may be paid up in 10 years, 20 years, or at age 65.
Whole life insurance belongs to the cash value category of life insurance, which also includes
universal life, variable life, and endowment policies.

Individuals may find whole life attractive because it offers coverage for an indeterminate length of
time. It is the dominant choice for insuring so-called "permanent" insurance needs, including:

a) Funeral expenses

b) Estate planning

c) Surviving spouse income

d) Supplemental retirement income.

Individuals may find whole life less attractive, due to the relatively high premiums, for insuring:

a) Large debts

b) Temporary needs, such as children's dependency years

c) Young families with large needs and limited income.

 Endowment Policy

An endowment policy is a life insurance contract designed to pay a lump sum after a specific term
(on its 'maturity') or on death. Typical maturities are ten, fifteen or twenty years up to a certain age
limit. Some policies also pay out in the case of critical illness.

Policies are typically traditional with-profits or unit-linked (including those with unitised with-
profits funds the holder then receives the surrender value which is determined by the insurance
company depending on how long the policy has been running and how much has been paid into it.
Pension insurance provides many benefits. They can be used as a low-risk way to save.
Policyholders can choose how much to pay each month and how long they want to stay, usually for
10 or 20 years.

Benefits of Endowment Plans :

1) Dual Benefit : Endowment Plans offer the dual benefit of Long Term Investment and Insurance.
Apart from paying the sum assured to the beneficiary in case of the policy holder’s demise,
endowment plans also pay a lump sum maturity amount is the policy holder survives the policy
tenure.
2) Safe : Even though the returns on endowment plans may be lower, they are risk free in terms of
the sum assured.
3) Disciplined Savings : Policy holders need to set aside a pre-determined amount towards the
premium payment at a stipulated time interval, thus encouraging a disciplined approach to
saving.
4) Assured bonus : Endowment plans declare an annual bonus, typically paid out as a specific
percentage of the sum assured. In case of policy holder’s survival, additional bonuses accrued
during the policy are paid in addition to the sum assured
5) Compounding returns : A key advantage of endowment plans is that they fetch returns on a
compounding basis during a policy term
6) High Liquidity : Endowment Policies are liquid in nature
Money Back Policy

Money back plans protect your family’s financial interests from circumstances such as death or
critical illness of the policy holder. Periodic Payouts create wealth for meeting financial
commitments at key stages in life. Money Back plans offer true amalgamation of Insurance and
Investment. Secure your family financially.

Money back plans are one of the most popular life insurance plans in India. Under these plans, policy
holders receive a frequent payouts as the death benefit, in case the policy holder survices. These
packages include both insurance and investment plans. A money back plan is ideal for people who
want a guaranteed return on their investments and are looking for regular payouts at the same time in
addition to an insurance cover for themselves for the same money they are putting as a premium.
Unlike a standard life insurance policy that only pays an amount after the maturity of the policy, the
money back plan starts to pay an amount that is called a ‘survival benefit’ over the lifetime of the
policy. This survival benefit is given after a few years from the start of money back plan and
continues until the maturity of the money back policy. The survival benefit is basically the reward
from the company to the insured individual for surviving. The benefit is only paid if the insured is
alive.

Money Back Policy Benefits :

a) Low Risk Exposure : Money Back policy plans are insurance cum return products, hence

they don’t entail high risk.

b) Regular Source of Income : Money Back policy provides frequent payouts during the
policy terms. This is known as Survival Benefits.

c) Insurance Coverage : Money Back Policy offers insurance coverage, thus providing
financial security to your family members to meet their obligations after your demise.

d) Assured Return on Investment : Money back plans offer an assured return on the invested
amount. Therefore, you need not worry about losing out on your investment
Unit linked Insurance Plans

ULIP or Unit Linked Insurance Plan is a mix of insurance along with investment. From a ULIP, the
goal is to provide wealth creation along with life cover where the insurance company puts a portion
of your investment towards life insurance and rest into a fund that is based on equity or debt or both
and matches with your long-term goals. These goals could be retirement planning, children’s
education or another important event you may wish to save for.

When you make an investment in ULIP, the insurance company invests part of the premium in
shares/bonds etc., and the balance amount is utilized in providing an insurance cover. There are fund
managers in the insurance companies who manage the investments and therefore the investor is
spared the hassle of tracking the investments. ULIPS allow you to switch your portfolio between
debt and equity based on your risk appetite as well as your knowledge of the market’s performance.
Benefits like these which offer investors the flexibility of switching is a huge factor contributing to
the popularity of these investment instruments.

Benefits of ULIP:

a) Life cover: First and foremost, with ULIPs you get a life cover coupled with investment. It offers
security that a taxpayer’s family can fall back on in case of emergencies like the untimely death of
the taxpayer, etc.
b) Income tax benefits: Not many are aware that the premium paid towards a ULIP is eligible for a
tax deduction under Section 80C. Additionally, the returns out of the policy on maturity are
exempt from income tax under Section 10(10D) of the Income-tax Act.
c) Finance Long Term Goals: If you have long-term goals like buying a house, a new car,
marriage, etc., then ULIP is a good investment option because the money gets compounded. As a
result, the net returns are generally more.
d) The flexibility of a portfolio switch: As already mentioned, ULIPS are usually designed in a way
that they allow you to switch your portfolio between debt and equity based on your risk appetite
as well as your knowledge of how the market is performing.
 5.4 Consolidated benefits and information of Life Insurance Plans

Term Insurance - It is the most basic type of insurance.

- It covers you for a specific period.
- Your family gets a lump-sum amount in the
case of your death.
- If, however, you survive the term, no money will
be paid to you or your family.

Whole Life Insurance - It covers you for a lifetime.

-Your family receives a certain sum of money after
your death.
-They will also be entitled to a bonus that often
accrues on such amount.

Endowment Policy - Like a term policy, it is also valid for a certain

period.
- A lump-sum amount will be paid to your
family in the event of your death.
- Unlike a term plan, you get the maturity
proceeds after the term period.
Money-back Policy - A certain percentage of the sum
assured will be paid to you periodically
throughout the term as survival benefit.
- After the expiry of the term, you get the
balance amount as maturity proceeds.
- Your family gets the entire sum assured in case of
death during the policy period. This is regardless of
the survival benefit payments made

Unit-linked Insurance Plans (ULIPs) - Such products double up as investment tools.

- A part of your premium goes towards your
insurance cover.
- The remaining amount is invested in Debt and
Equity.
- A lump-sum amount will be paid to your family in
the event of your death
 CHAPTER 6:
NEED FOR THE STUDY
AND
LITERATURE REVIEW
 CHAPTER 6: NEED FOR THE STUDY AND LITERATURE REVIEW

Life Insurance is one of the most important and crucial product within Financial Products. Human
life is a most important asset and life insurance is the most important type of insurance which
provides financial protection to a person and his family at the time of uncertain risks or damage. The
motive of Life Insurance Policies is that it provides Safety and also Protection to its users and also
provides them a platform to encourage for Savings. Life is precious and so is Life Insurance. With a
huge population in India, Insurance companies find India as one of the most potential market for
selling Life Insurance. Customers are the main pillars for Life Insurance Business. Every company
tries to attract and retain existing customers to keep their profits high. The proper understanding of
customers, their needs and expectations help insurance providers to bring improvement in product as
well as services offered. In India, however, there is not much of achievement for Life Insurance
companies. The reasons are many, viz., low consumer awareness, poor affordability, delayed
customer services, lack of suitable products, etc.

6.1 Literature Review

Athma. P and Kumar. R (2007) in the research paper titled “an explorative study of life insurance
purchase decision making: influence of product and non-product factors". The empirical based study
conducted on 200 sample size comprising of both rural and urban market. The various product and non-
product related factors have been identified and their impact on life insurance purchase decision-making
has been analyzed.

Girish Kumar and Eldhose (2008), published in insurance chronicle icfai monthly magazine august
2008 in their paper titled "customer perception on life insurance services: a comparative study of public
and private sectors", well explained the importance of quality services and its significance in raising
customer satisfaction level. A comparative study of public and private sectors help in understanding the
customer perception, satisfaction and awareness on various life insurance services.
CHAPTER 7:

DATA
ANALYSIS
 CHAPTER 7 : DATA ANALYSIS

-Demographic Details of the Respondents.

– Age of the Respondents

Sr. No. Age of Respondents Respondents Percentage

1. 21 to 30 years 72 47.68%

2. 31 to 40 years 59 39.07%

3. 41 to 50 years 16 10.59%

4. 51 to 60 years 4 2.64%

5. Above 60 years 0 0%

Total 151 100

Age of the Respondents

4
16

72 21 to 30 years
3 31 to 40 years
41 to 50 years
59 51 to 60 years

Interpretation :

The graph represents the ages of the respondents. The majority of the respondents, i.e. 72 were of the age
21 to 30 years, followed by 59 respondents of age 31 to 40 years. There are 16 respondents of age 41 to 50
years and 4 respondents from 51 to 60 years age. There were zero respondents of age above 60 years.
Gender of the Respondents:

Sr. No. Gender of Respondents Respondents Percentage

1. Male 88 58%

2. Female 63 42%

Total 151 100

GENDER OF THE RESPONDENTS

63
88

MALE FEMALE

Interpretation :

The respondents for the survey included 58% of Male respondents. Total male respondents were

88. On the other hand, there were 42% of female respondents. The total comber of female
respondents was 63.
Income of the Respondents :

Sr. No. Income of Respondents Respondents Percentage

1. ₹0 - ₹20000 44 47.68%

2. ₹20001 - ₹40000 24 39.07%

3. ₹40001 - ₹60000 48 10.59%

4. ₹60001 - ₹80000 17 2.64%

5. ₹80001 - ₹100000 12 0%

6. ₹100001 and above. 6 100

Total 151 100

Monthly Income of the Respondents

48
44

24
17
12
6

Interpretation :

Majority of the respondents, i.e. 48 respondents were from the salary range between ₹40001 -

₹60000, which is followed by 44 respondents with a salary in between ₹0 - ₹20000. There were only
6 respondents Above ₹100001. 24 respondents of ₹20001 - ₹40000 and 17 and 12 from
₹60001 - ₹80000 & ₹80001 - ₹100000 income bracket respectively.
Occupation of the Respondents :

Sr. No. Income of Respondents Respondents Percentage

1. Agriculture 1 0.6%

2. Business / Private Sector 62 41.05%

3. Government Service 27 17.88%

4. Homemaker 1 0.6%

5. Professional 32 21.19%

6. Student 28 18.54%

Total 151 100

28
Agriculture
62 Business / Private Sector
Government Service

32 Homemaker
Professional
1 Student
27

Interpretation :

The majority of respondents are 62 from Business/Private Sector background, followed by

Professional Sector of 32 respondents. 28 respondents were students and 27 respondents were
Government Service holders. The respondents included one each homemaker and agriculture owner.
Number of people holding Life Insurance

Question : Do you hold an Insurance Policy(s)?

Sr. No. Responses Respondents Percentage

1. Yes 112 74.2%

2. No 39 25.8%

Total 151 100

Total

39

No

Yes

112

Interpretation :

112 out of 151 respondents were holding an insurance policy. Hence, there were 74.2% of respondents
who hold an insurance policy. 39 respondents out of 151 respondents did not hold any insurance policy
which contributed to 25.8% of respondents not holding an insurance policy
 Number of people holding Insurance policies based on their Occupation

Number of people holding Insurance policies based on their Occupation

Sr. No. Occupation of Respondents Yes No Total

1. Agriculture 1 0 1

2. Business / Private Sector 50 12 62

3. Government Service 24 3 27

4. Homemaker 1 0 1

5. Professional 23 9 32

6. Student 13 15 28

Total 112 39 151

No

Yes

Interpretation:

The bar graph above shows a detailed information about people of various occupations owning Life
Insurance policies. Majority of respondents are from business sector who hold a policy, whereas
students had the least number or policy holders. Majority of Private sectors employees availed a
policy by their employer and hence the ratio was high. Same was the case with Government Sector
employees.
 Number of people holding Insurance policies based on their Age

Sr. No. Age of Respondents Yes No

4. 21 to 30 years 39 33

5. 31 to 40 years 57 2

6. 41 to 50 years 12 4

6. 51 to 60 years 4 0

7. Above 60 years 0 0

Total 112 39

39

33

No
12
Yes
4 4
2

Interpretation:

From the graph it is clear that the number of people holding an insurance policy is maximum in the age
of 31 to 40 years followed by the age group 21 to 30 years.

Majority of the respondents, i.e. 57 out of 59 respondents hold an insurance policy. 12 people out of
16 from the age group 41 to 50 years hold an insurance policy.
 CHAPTER 8:

RESEARCH
METHODOLOGY
 CHAPTER 8 : RESEARCH METHODOLOGY

The present study is an exploratory and descriptive type of research study. The study aims to find out
the factors influencing customers life insurance investment decision and their preferences at the time
of policy buying decision. The respondents were majorly from the Chandigarh District. In order t o
conduct the study, a total of 151 population were taken for survey.

SOURCES OF DATA & DATA COLLECTION

The data for the study has been collected from both primary and secondary sources. The primary
data has been collected through Google Forms and Surveys. Various interviews were conducted in
order to collect the data. Customer Interaction and telephonic conversations helped to understand
various factors and problems of the customer which were mentioned in the study. The secondary data
has been collected from IRDA annual reports, insurance journals, magazines and insurance website.

STATISTICAL TOOLS AND TECHNIQUES

For measuring various phenomena and analyzing the collected data effectively and efficiently to
draw sound conclusions, a number of statistical techniques including chi-square, correlation, and
weighted average score have been used for the testing of hypotheses. SPSS and Microsoft Excel has
been used for the purpose of analysis.
CHAPTER 9:

FINDINGS
FROM
THE STUDY
 CHAPTER 9 : FINDINGS FROM THE STUDY

1. From the Study, it can be found that the customer decision to buy a Life Insurance Policy
majorly depends on demographic factors like the Age, Gender and Income Level.
2. Majority of the respondents from the age group of 31 to 40 years are found to be interested in
buying a Life Insurance Policy.
3. From amongst 151 respondents, 85 people have shown preference towards buying a Life
Insurance policy from LIC followed by Max Life Insurance amongst the private players. There
were being followed by SBI Life, HDFC and ICICI and lastly Bajaj Allianz.
4. The features that a policy holder may consider can be ranked as 1st = Money Back Guarantee, 2nd
= Larger Risk Coverance, 3rd = Low Premium and 4 th = Company’s Reputation. Thus we can
infer that the Money Back Guarantee feature lies amongst the first feature a consumer may
prefer while investing in a Life Insurance Policy.
5. From the study it was also found out that majority of the policy holders owned the Money Back
Policy of LIC followed by ULIP Plans of private insurers. The Term Plan and Endowment plans
are still existing but has a lower popularity as compared to Money Back and ULIP plans. Thus
we can say that in present days people are more interested in policies which give high returns
along with risk coverage benefits.
6. The study also shows highest share in the market is still owned by LIC. And amongst the private
sectors, SBI Life, HDFC and ICICI are leading because of high returns assured by them. People
chose LIC because of the safety issues inn term of their investments.
7. Majority of the respondents look for a trusted name in the Insurance Company followed by
Good Plans, Friendly service and response and accessibility in the last.
 CHAPTER 10:

RECOMMENDATIONS
 CHAPTER 10 : RECOMMENDATIONS

1. In today’s competitive world, it is very important to satisfy the customer. It is one of the most
important aspect to retain the customers. Having customer retention helps a company to survive in
the market. Today, private insurers are hitting the market extensively and thus through their best
services and plans possible, they can reposition and differentiate themselves from LIC.
2. As the study said, the customers look up for a trusted name, thus, like LIC, Private insurers should
also emphasis more on building brand awareness. From the survey, it was found that 31.13% of
the respondents were not even aware of various Life Insurance Policies. Thus, private insurers can
use different modes of communication of reaching to people in order to spread insurance
awareness amongst the people.
3. If both the Private as well as Government Sector work together in order to spread awareness
amongst the people, it would be beneficial for both the sectors. To achieve greater insurance
penetration, healthier competition has to be intensified by both the sectors and they should come
up with new innovative products to offer greater variety or choice to the customers and also make
improvement in the quality of services and sell products through appropriate distribution channel
to win-win situation for both the parties.
4. Even today, there are many people who do not consider Life insurance policy as a source of
Investment. Thus, insurance companies should come up with plans with high risk coverage and
also focus on encouraging the customers in doing a long term investment. This will help in more
awareness as well as Investment in Life Insurance.
5. If insurance companies come up with products which can give high risk cover, with lesser
premium and more returns and more such innovative ideas, it would be helpful for the insurance
companies to attract more customers
CHAPTER 11:

CONCLUSION
 CHAPTER 11 : CONCLUSION

Life Insurance is an important form of insurance and essential for every individual. Life insurance
penetration in India is very low as compared to developed nations where almost all the lives are
covered. Customers are the real pillar of the success of life insurance business and thus it’s important
for insurers to keep their policyholders satisfied and retained as long as possible and also get new
business out of it by offering need based innovative products. There are many factors which affect
customers investment decision in life insurance and from the study it has been concluded that
demographic factors of the people play a major and pivotal role in deciding the purchase of life
insurance policies.

Life Insurance Companies thus should keep an eye on all these factors while designing or promoting
any life insurance policy as this would help them keep their customers satisfied and would also help
them in Customer Retention.

Life Insurance is growing with its various products like the Money Back and ULIP plans which
many of the customers are still unaware and thus a proper knowledge regarding the same can be
helpful to the customers to choose and invest in Life Insurance Policies.

Human life is not just unique but is also precious and needs to be secured as there are many
dependents on one human after the death. Thus, one needs to make sure that he/she secures their
lives by taking one or the other Insurance Policies.
 REFERENCES

Athma. P and Kumar. R (2007) in the research paper titled “an explorative study of life insurance
purchase decision making: influence of product and non-product factors". The empirical based study
conducted on 200 sample size comprising of both rural and urban market.

Eldhose.v and kumar. G (2008), “customer perception on life insurance services: a comparative

study of public and private sectors", insurance chronicle ICFAI monthly magazine august 2008.

Media Reports, Press Releases, Press Information Bureau, Union Budget 2021-22, Insurance
Regulatory and Development Authority of India (IRDA).

Rajarajeshwari L, (September 2012), “Non-Banking Financial Companies” consists of a brief

information regarding NBFCs in India.

India Brand Equity Foundation Website (www.ibef.com)

 ANNEXURE 1 : QUESTIONNAIRE

Myself, Lakhwinder kaur Student of Rayat Bahra university, Chandigarh pursuing MBA
Program, wish to study in depth the importance of Life Insurance Policies and factors affecting
for purchase of Life Insurance Policies, as a part of Summer Internship Project. The survey
would not take more than 5 minutes of your time.

The data collected will be confidential.

Email Address:

1. My Gender -  - Male  - Female

2. My Age  - 21 to 30 years  - 31 to 40 years

 - 41 to 50 years  - 51 to 60 years
 - 61 years and above

3. Marital Status  - Single  - Married

4. My Occupation  - Govt. Service  - Business/Private

 - Professional  - Agriculture
 - Others :

5. My Salary Range (Monthly)  - ₹0 - ₹20000  - ₹20001 - ₹40000

 - ₹40001 - ₹60000 - ₹60001 - ₹80000
 - ₹80001 - ₹100000
 - ₹100001 and above.

6. Do you hold an Insurance Policy(s)?  - Yes  - No

(Please answer the further questions based on your thinking even if you don’t own an
Insurance, leave the question if you don’t want to answer it)

7. Do you consider Life Insurance policies as  - Yes  - No a

source of Investment?
8. Are you aware of various Life Insurance  - Yes  - No
Products ?

9. What preference would you give to Life  - High  - Medium  - Low

Insurance?

10. Which Life Insurance do you prefer the  - Max Life  - ICICI Prudential
most for Insurance?  - HDFC Standard  - SBI Life
 - Bajaj Allianz  - LIC
 - Other -

11. Are you Happy with the Services?  - Yes  - No

12. What type of Insurance Policy do you hold? - Endowment  - Term Plan
 - Unit Linked  - Money Back
 - Don’t Own any
 -Others-

13. What are the features that you would
prefer in Life Insurance Policy?
(Rank each feature in order of your
Preference – 1 to 5)
 - Money Back Guarantee
 - Larger Risk Coverance
 - Easy Access to Agents
 - Low Premium
 - Company’s Reputation

14. What would you prefer in Insurance  - A trusted name

Company? (Multiple Choice)  - Good Plans
 - Friendly Service and Responsiveness
 - Accessibility
 6. Rank Each benefit with the number of preference you would give for Investing in Life
Insurance (Rank each benefit on any number you would rank it on. You can give each benefit
only one rank)
Ranking 1st 2nd 3rd 4th 5th
Tax Benefit

Risk Coverage
& Savings

Security with
High Return

Insurance
Services

Premium
Charges