A STUDY OF CONSUMER BEHAVIOUR IN RELATION TO

INSURANCE PRODUCTS IN IDBI FEDREALLIFE INSURANCE

SUBMITTED TO
SIDHARTH GOVT.UTKRISHT COLLEGE NADAUN DISTT
HAMIRPUR AFFILIATED TO HP.UNIVERSITY SHIMLA

IN PARTIAL FULFILLMENT OF THE DEGREE OF BACHELOR

OF BUSINESS ADMINISITIRATION
SESSION 2021-2024

SUBMITTED TO SUBMITTED BY
DR.KUSUM LATA RAMA DEVI
LECT.OF BBA ROOL NO - 5210610027

S.G.C NADAUN BBA 6TH SEM

 ACKNOWLEDGEMENT

I Express my sincere thanks to the management of the SIDHARTH GOVT. UTKRIST

COLLEGE NADAUN (DEPARTMENT OF MANAGEMENT) and our respected

DR. REETIKA JAMWAL (COORDINATOR OF BBA) for giving me this

opportunity to undertake the project work.

I am deeply obliged to my project guide Dr.Kusum Lata whose guidance and

Encouragement at all levels; the study wouldn’t have been completed. The project report

is inspired from the annual reports of company, market survey and information provided

by the employees in required fields.

Also, I do thank and remember my friends for their efforts and helping hand. Every

effort has been made to enhance the quality of work. However, I owe the sole

responsibility of the shortcoming, if any, in the study.

Rama Devi
BBA 6TH SEM
 PREFACE

We want to express our gratitude to Consumer behaviour in relation to insurance

products in idbi fedreallife insurance

For the experience and practical knowledge. It was the first time when we went to the

market not to do anything but to do a survey to know the Market Potential and HR & IR

practice. The main requirement was to interact with worker and know the management

functions.

The project consists of company details, market research, data collection method, and

questions and data analysis. We hope that our findings and recombination would help the

company, to analyses it strategy in comparison to its competitors.

We are obliged to work in such an esteemed organization and have tried our best to align

our objective with the company’s goal.

 GUIDE CERTIFICATE
This is to certify this Rama Devi of BBA 6TH semester bearing university Roll No.
5210610027 has completed her project report under my guidance.

PROJECT GUIDE
Dr.Kusum Lata
ASSISTANT PROFESSOR
SGC NADAUN
……………………………..
SIGNATURE
 DECLARATION
SIDHARTH GOVT. COLLEGE NADAUN
DEPARTMENT OF MANAGEMENT

I Rama Devi hereby declares that the work presented here in genuine work done

originally by me and has not been published or submitted elsewhere for the requirement

of a degree program. Any literature, data or work done by other and cited within this

dissertation has been given due acknowledgment and listed in the reference section.

……………………………….
Dr.Kusum Lata
(STUDENT NAME & SIGNATURE)
BBA 6TH SEM
SGC NADAUN
University roll no 5210610027
Date: …………………..
 CONTENTS

Sr No TOPICS PAGE

01 INTRODUCTION

02 OBJECTIVE & SCOPE

03 RESEARCH METHODOLOOGY

04 DATA ANALYSIS & INTERPRETATION

05 FINDING & SUGGESTION CONCLUSION

BIBLIOGRAPHY

QUESTIONNARIES
Chapter – 01st

Introduction
 INDUSTRY BACKGROUND
INTRODUCTION OF THE COMPANY

• The insurance industry of India consists of 51 insurance companies:

• 24 are in Life Insurance business

• 27 are non- Life insurers

• Among the life insurers LIC( Life Insurance Corporation ) is the sole public sector
company.

• The insurance sector in India is expected to attract over Rs. 12000 crore (US $ 1.76
billion ) in 2016.

INTRODUCTION OF THE COMPANY

. Started in March 2008

. Joint Venture
. One of the fastes growing
. Coustomer-Centric Brand
. CEO-Mr. Vignesh Shahane
 CONTINUES

IDBI BANK
. Constituted under Industrial Development Bank of India Act, 1964.

. Universal Bank with its operations driven by a cutting age core Banking IT platform.

. For Over 40 years, has essayed a key nation-bulding role.

. Headqauter in Mumbai.
 PRODUCT OF COMPANY

• IDBI Federal has 3 major products which cater to needs of the Indian customers . IDBI
Federal products:

• Childsurance
• Incomesurance
• Lifesurance
 Chapter – 02 nd

Scope & Objectives

Objectives of the study
 SCOPE OF STUDY

• scope of subject refers to everything that is studied as part of the that subject. When we
set out to explain the scope of consumer behavior we need to refer to all that which
forms part of consumer behavior.

• Consumer behavior includes not only the actual buyer and his act of buying but also
the various role played by different individuals and the influences they exert on the
final purchase decision

• To define the scope of a subject it is important to set parameters of or a framework

within which it shall be studied this framework is made-up of three main sections the
decision process are represented by innermost circle and the individual determinants on
the middle circle and external environment which is represented by the outer circle the
study of all these three section continues the scope of consumer behavior here we shall
dwell on these constituents of framework only briefly as they are explained in detail in
following unit.
 OBJECTIVE OF STUDY

The main objective of this project is to study the consumer behaviour and various
reaction to consumers with reference to IDBI FEDERAL LIFE INSURANCE
company limited the best way to improve its marketing effort

• To study the trend in life insurance market.

• To study the profile of IDBI federal customers.

• To study the buying behaviour of consumers.

 Chapter – 03 rd

Research Methodology
 RESEARCH METHODOLOGY

It is search methods are the techniques and tool by which you researchers subject topic
research methodology involves the learning of various techniques to research and
acquiring knowledge to perform test experiment surveys and critical analysis.

Descriptive Research Design:

In project obtaining first-hand information by pitching to customer and getting the

survey filled form the them about the insurance products of IDBI and acquiring their
views and beliefs about overall insurance product and picking up the area where we are
good.

Sample size: 100 respondents responded to the pre designed questionnaire.

 Chapter – 04 th
Data Analysis & Interpretation
 Data collection and interpretation

The proposed study was descriptive. The source of data collection that is primary as well
as secondary data has been used .

• Primary data:

primary data will be collected through questionnaire and interview Method.

• Secondary data:

secondary data will be collected through textbooks, internet sites, Newspaper

articles.
 TOOLS AND TECHNIQUES OF ANALYSIS

Simple percentage analysis:

Simple percentage analysis were used to analyze the data. It refers to a special kind of
rates percentage are used in making comparison between two or more series of data a
percentage is used to determine relationship between the series.

Formula
Percentage – No. Of respondents*100
Total number of respondent =100
 ON THE BASIS OF RESPONDENT AGE

AGE NO.OF
SR.NO
GROUP RESPONDENT

1 18-25 36 36

2 25-35 20 20

3 35-45 26 26

4 ABOVE 45 18 18

TOTAL 100 100

Below25
25-35
35-45
Above 45

INTERPRETATION:

The above data reveals that 36% of the respondents fall in the age below 25. 20% of the
respondents are found in the age of category 25-35. 26% of respondents were belongs to
the age group between 35-45. 18 % of the respondents were belongs to the age group
above 45.
 ON THE BASIS OF RESPONDENTS
OCCUPATION.

NO.OF
SR PERCENTA
OCCUPATION RESPONDEN
NO GES
TS

1 Students 15 15
2 Professional(eng. 35 35
/Doc/lawyer)
3 Home maker 15 15
4 Govt./Pvt. Sector 10 10
5 Self employed 25 25
Total 100 100

40
35
30
25
20
15
10
5
0

INTERPRETATION:
The above data reveals that’s 35% were respondents professionals and 15% were
students.
10% respondents were govt.employee or worked in Pvt Sector .and 15% respondents
were home maker.
 HOW DID YOU COME TO KNOW ABOUT
INSURANCE PRODUCTS

NO. OF
SR
OPTIONS RESPONDE PERCENTAGE
NO.
NTS
1 Friends /family 15 15
2 Television 20 20
3 Internet 25 25
4 Newspaper/maga 10 10
zines
5 Radio 15 15
6 Agents/field 15 15
services
Total 100 100

30

20

10

INTERPRETATION
The above data reveals that 25% were known about insurance products through
internet 20% through television 15% through family and friends10% respondent
through newspaper and mangazine 15% through radio and 15%respondents know about
insurance products through the agents and sales field .
HOW MANY YOU HAVE INSURANCE PLANS

PERCENT
SR NO GENDER YES NO
AGE
01 Male 45 20 65
02 Female 20 15 32
Total 65 35 100

no

yes

0 50 100

INTERPRETATION:
Above data interprets that 65%( 45male,20 female ) have insurance plans and 35% (20
male,15 female) respondents don’t have any insurance plans
 IF NOT, WHY NOT ?

NO. OF
PERCENTA
SR NO. REASONS RESPONDE
GE
NT

RETURN ARE
50
1 NOT LUCRATIVE 50
ENOUGH

2 NOT AFFORDABLE 25 25

NOT INTERESTED
3 25 25
IN BUYING IT

TOTAL 100 100

RETURN ARE NOT ENOUGH

NOT AFORDABLE
NOT INTERESTED

25%
50%
25%

INTERPRETATION:
Above data interprets that 50% respondents believe that on insurance return are not
lucrative enough.25% of respondents were not afford it and 25% were not interested in
buying it .
 IF YES, WHICH COMPANY

NO.OF PERCENT
SR NO. OPTIONS
PEOPLE AGES
1 LIC 25 25

2 IDBI FEDERAL 35 35

3 ICICI 20 20

4 SBI LIFE 20 20

TOTAL 100 100

40
35
30
25
20
15
10
5
0
LIC IDBI FEDERAL ICICI SBI LIFE

INTERPRETATION
The above data reveals that 25% of respondents buy insurance plan from LIC. 35%
respondents were IDBI Federal. 20%respondent were ICICI .And 20% respondents form
SBI life.
 WHAT PROMPTED YOU TO BUY POLICY
FROM THAT COMPANY?
No. of
Sr Percenta
options responde
no. ge
nts
1 Brand image 35 35

2 Marketing guys convinced 15 15

3 Past records of performance 30 30

By friends/acquaintances have
4 20 20
bought from there

Total 100 100

brand image
marketing guys convinced
my friends/
past record of performance
2%

37% 43%

18%

INTERPRETATION:
The above data interprets that good amount of respondents prompted to buy
insurance products by Brand 30%were past record of performance of the company.15%
were convinced by marketing guys.20% were prompted by friends acquaintances from
there.
 ARE YOU THE CUSTOMER OF IDBI FEDERAL
LIFE INSURANCE

NO.OF
SR.
OPTIONS RESPONDE PERCENTAGES
NO.
NTS

1 YES 65 65

2 NO 35 35

TOTAL 100 100

70

60

50

40

30

20

10

0
YES NO

INTERPRETATION:
The above data reveals that 65% of respondents were the customer of IDBI federal life
insurance and 35% of respondent were not the customer of IDBI Federal life insurance.
 IF NOT , WHY?

NO OF
SR.
REASONS RESPONDEN PERCENTAGES
NO.
TS

1 Not in financial 35 35
condition to invest

2 Already have 1 or 50 50
more

3 Get better returns in 15 15

other policies

Total 100 100

50

40

30

20

10

0
poor financial already have 1 get better
condition to or more benifits from
invest other

INTERPRETATION:
Above data interprets that maximum respondents i.e.50% have already have 1or more
policies .35% of respondents were not in financial condition to invest and 15% of
respondents get better returns on other policies.
 IF YES, WHAT DO YOU LIKE
ABOUT POLICIES?
SR NO OF
PERCENTAGE
NO OPTIONS RESPONDENT
S
. S

Tax benefits
1 45 45
are good
Give good
2 25 25
returns
It is short
3 term, hence it 25 25
is hassle free

Total 100 100

45
40
35
30
25
20
15
10
5
0
tax benefits good returns short term

INTERPRETATION;
Above data interprets that 45% of respondents were like about insurance policies
it gives good tax benefits 25%of respondent were like it gives good returns 25%of
respondents were like because it is short term, hence it is hassle free
 ARE YOU SATISFIED WITH THE
COMPANY SERVICES OR NOT

LEVEL OF NO. OF
SR PERCENTAG
SATISFACTI RESPONDENT
NO. ES
ON S
1 Highly satisfied 65 65

2 Satisfied 25 25

3 Not satisfied 10 10

Total 100 100

high
satisfied
satisfied

not satisfied

INTERPRETATION:
The above data reveals that 65% of respondents were highly satisfied with company
services and 25% of the respondents were satisfied with the company services and 10% of
respondents were not satisfied with company services .
 Chapter – 05th

Finding suggestion
& conclusion
 FINDING SUGGESTIONS AND
CONCLUSION

• Good amount of people in the group 18-30 who have not bothered to buy a life
insurance policy because they are very sure that nothing would happen to them as they
fit and fine.
• People prefer to buy a policy which has less years of premium payment term.
• More than life insurance ,people are interested in a savings scheme. The better saving
plans they get, the more is their tendency to buy the policy.
• Very less people are interested in pure life insurance policy.
• Tax benefits are also a major factor why people like to buy a policy.
• Customers are willing to pay through easy payment options such as ECS and online
payment so that their valuable time gets saved.
• They are interested more in monthly premium payment options rather than annually or
brand images and past record of performance are major sthalf yearly.
• Friends and family are major influencers on customers when it comes to the decision of
buying a life insurance policy.
• LIC is still the market leader in life insurance sector.
• Brand image and past record of performance are major stimuli in buying decision.
• IDBI Federal has limited reach to prospective customers as compared to other
companies.
 RECOMODATION & SUGGESTIONS

• We need to tap the young crowed in the age 18-30 and convince them that buying a
life insurance policy is necessary because life is very unpredictable.

• More plans should be made that involve less period of premium payment.

• As friends and family members are major influencers of customers, our

advertisements and promotions should be family and. friend-centred

• Group insurance policies like full family insurance schemes should be made.

• Our reach needs to be increased through social media (Facebook ,Twitter, YouTube
campaigns), television ,radio ,newspaper etc.

• Our insurance policies should have a range of premiums to suit every pocket size.

• In term of distribution, we should increase the number of marketers-more channels

of distribution and more intermediaries.

• Our advertisements should cover the benefits of our policies and what differentiates
our policies from those of other companies, in brief.

• Our company should have more offices at smaller towns and uncoverd segments in
the cities.

• Mobile commerce is the next big thing we can have a mobile app where our
customers can get all the information related to our products as well as pay their
premiums.
Questionaires
Questionnaire