Impact of Service Quality On Customer Loyalty in LIC

Impact of service quality on customer loyalty
LIC PROJECT
PROJECT REPORT ON Impact of Service Quality on Customer Loyalty in LIC
GURU NANAK COLLEGE
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LIFE INSUR NCE IN IN!I Life insurance in India made its debut ell over !"" years a#o$ In our country% &ic& is one
of t&e most populated in t&e orld% t&e prominence insurance is not as idely understood% as it ou#&t to be$ '&at follo s is an attempt to acquaint readers life insurance% it& some of t&e concepts of it& special reference to LIC It s&ould% &o ever% be clearly understood t&at
t&e follo in# content is by no means an e(&austive description of t&e terms and conditions of an LIC policy or Its benefits or privile#es$ )or more details% please contact our branc& or divisional office$ Any LIC A#ent ill be #lad to &elp you c&oose t&e life insurance plan to meet your needs and render policy servicin#$ "#at Is Life Insurance$ Life insurance is a contract t&at pled#es payment of an amount to t&e person assured *or &is nominee+ on t&e &appenin# of t&e event insured a#ainst$ ,&e contract is valid for payment of t&e insured amount durin# ,&e date of maturity$ .pecified dates at periodic intervals$ Unfortunate deat&% if it occurs earlier$
Amon# ot&er t&in#s% t&e contract also provides for t&e payment of premium periodically to t&e Corporation by t&e policy&older$ Life insurance is universally ac/no led#ed to be an institution% &ic& eliminates 0ris/0% substitutin# certainty for uncertainty and comes to t&e timely aid of t&e family in t&e unfortunate event of deat& of t&e bread inner$ 1y and lar#e% life insurance is civili2ation3s partial solution to t&e problems caused by deat&$ Life insurance% in s&ort% is concerned person!$ ,&at of dyin# prematurely leavin# a dependent family to fend for it$ 5$ ,&at of livin# till old a#e it&out visible means of support$ Customer satisfied it& LIC service because t&e LIC totally concentrate customer relations it& t o &a2ards t&at stand across t&e life4pat& of every
and it ma/es customers attract to ards t&e LIC$
GURU NANAK COLLEGE
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LIC moves to ards better customer relations 6lans to start a ne portal for its policy&olders
Life Insurance Corporation of India *LIC+ is embar/in# on a number of customer relations&ip mana#ement initiatives to retain its foot&old in t&e mar/et% in t&e inc&in# t&eir ay up in t&e life insurance sector$ ,&e Insurance be&emot& is plannin# to tie4up it& a number of ban/s to enable a payment a/e of private players
#ate ay &erein t&e policy&olders can ma/e t&eir premium payments via credit cards$ INSUR NCE IN IN!I %& Insurance is a federal sub7ect in India and &as a &istory datin# bac/ to !8!8$ Life and #eneral insurance in In'ia is still a nascent sector players it& &u#e potential for various #lobal &ile
it& t&e life insurance premiums accountin# to 5$9: of t&e country0s G;6
#eneral insurance premiums to "$<9: of India0s G;6$,&e Insurance sector in India &as #one t&rou#& a number of p&ases and c&an#es% particularly in t&e recent years &en t&e Govt$ of
India in !=== opened up t&e insurance sector by allo in# private companies to solicit insurance and also allo in# FDI up to 5<:$ Ever since% t&e Indian insurance sector is considered as a boomin# mar/et it& every ot&er #lobal insurance company antin# to &ave a lion0s s&are$ Currently% t&e lar#est life insurance company in India is still o ned by t&e #overnment$ History of Insurance in India Insurance in India &as its &istory datin# bac/ till !8!8% &en Oriental Life Insurance
Company as started by Europeans in Kolkata to cater to t&e needs of European community$ 6re4independent era in India sa discrimination amon# t&e life of forei#ners and Indians
it& &i#&er premiums bein# c&ar#ed for t&e latter$ It as only in t&e year !8>"% 1ombay
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?utual Life Assurance .ociety% t&e first Indian insurance company covered Indian lives at normal rates$At t&e da n of t&e t entiet& century% insurance companies started mus&roomin# up$ In t&e year !=!5% t&e Life Insurance Companies Act% and t&e 6rovident )und Act ere passed to re#ulate t&e insurance business$ ,&e Life Insurance Companies
Act% !=!5 made it necessary t&at t&e premium rate tables and periodical valuations of companies s&ould be certified by an actuary$ @o ever% t&e dispara#e still e(isted as discrimination bet een Indian and forei#n companies$ ,&e oldest e(istin# insurance company in India is National Insurance Company Ltd% &ic& as founded in !="< and is
doin# business even today$ ,&e Insurance industry earlier consisted of only t o state insurers- Life Insurers i$e$ Life Insurance Corporation of India *LIC+ and General Insurers i$e$ General Insurance Corporation of India *GIC+$ GIC &ad four subsidiary companies$ 'it& effect from December 2000% t&ese subsidiaries &ave been de4lin/ed from parent company and made as independent insurance companies- Oriental Insurance Company Limited% New India ssurance Company Limited% National Insurance Company Limited and !nited India Insurance Company Limited$
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LIC is plannin# to start a ne portal for its policy&olders &ere a customer can lo# in% #et &en &eAs&e s&ifts to a ne place
details on &isA&er policies% and c&an#e t&e resident address mont&3s time$
and even ta/e a printout of t&e income ta( certificate$ ,&e portal is li/ely to be ready in a
Some of t#e important milestones in t#e life insurance (usiness in In'ia are% !8!8- Oriental Life Insurance Company% t&e first life insurance company on Indian soil started functionin#$ !8>"- 1ombay ?utual Life Assurance .ociety% t&e first Indian life insurance company started its business$ !=!5- ,&e Indian Life Assurance Companies Act enacted as t&e first statute to re#ulate t&e life insurance business$ !=58- ,&e Indian Insurance Companies Act enacted to enable t&e #overnment to collect statistical information about bot& life and non4life insurance businesses$ !=B8- Earlier le#islation consolidated and amended to by t&e Insurance Act it& t&e ob7ective of protectin# t&e interests of t&e insurin# public$
PRESENT SCEN RIO & LIFE INSUR NCE IN!USTR) IN IN!I At 6resent !< life insurance companies are operatin# in India$ Out of !< companies !9 are private players and one i$e$ Life Insurance corporation of India is in 6ublic sector &oldin# ma7or portion of Life insurance mar/et s&are in India$ ,&e list of Life insurance companies is as follo -
.$No NA?E O) ,@E CO?6ANC *+ "a#a# llian$ Life Insurance Company Limited$ ,+ "irla %un Life Insurance Co& Ltd
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-+ 'DFC %tandard Life Insurance Co& Ltd .+ ICICI (rudential Life Insurance Co& Ltd /+ ING )ysya Life Insurance Company Ltd& 0+ Life Insurance Corporation of India 1+ *a+ New ,ork Life Insurance Co& Ltd 2+ *et Life India Insurance Company (-t& Ltd& 3+ *4+ %"I Life Insurance Co& Ltd **+ /ata IG Life Insurance Company Limited *,+ 0eliance Life Insurance Company Limited& Kotak *a.indra Old *utual Life Insurance Limited
*-+ *.+ */+ *0+
-i-a Life Insurance Co& India (-t& Ltd& %a.ara India Life Insurance Co1 Ltd& .&riram Life Insurance Co% Ltd$ 1&arti ADA Life Insurance Company Ltd$
Related Acts:-
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,&e insurance sector ent t&rou#& a full circle of p&ases from bein# unre#ulated to
completely re#ulated and t&en currently bein# partly dere#ulated$ It is #overned by a number of acts% it& t&e first one bein# t&e Insurance Act% !=B8$ T#e Insurance ct5 *3-2 ,&e Insurance Act% !=B8 as t&e first le#islation #overnin# all forms of insurance to provide strict state control over insurance business$ Life Insurance Corporation ct5 *3/0 Even t&ou#& t&e first le#islation life insurance in India as enacted in !=B8% it as only in 23 4anuary 2356% t&at
as completely nationali2ed% t&rou#& a Government ordinanceE t&e as enacted in t&e same year
Life Insurance Corporation Act% !=9< effective from !$=$!=9<
to% inter4alia% form LI)E IN.URANCE COR6ORA,ION after nationali2ation of t&e 5F9 companies into one entity$ ,&ere ori#in in !=9<$ Nationali2ation ere 5F9 insurance companies of bot& Indian and forei#n as accomplis&ed by t&e #ovt$ acquisition of t&e as created on !
mana#ement of t&e companies$ ,&e Life Insurance Corporation of India
.eptember% !=9<% as a result and &as #ro n to be t&e lar#est insurance company in India as of 5""<$728 6eneral Insurance 7usiness 8Nationali9ation: ct5 *31, ,&e General Insurance 1usiness *Nationali2ation+ Act% 2392 as enacted to nationali2e t&e
!"" odd #eneral insurance companies and subsequently mer#in# t&em into four companies$ All t&e companies ere amal#amated into National Insurance% Ne India Assurance%
Oriental Insurance% and United India Insurance &ic& ere &eadquartered in eac& of t&e four metropolitan cities$7:8
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INTRO!UCTION OF SO;E LIFE INSURERS+ 7IRL SUN LIFE 1irla .un Life Insurance Company Limited is a 7oint venture bet een ,&e Aditya 1irla Group% one of t&e lar#est business &ouses in India and .un Life )inancial Inc$% a leadin# international financial services or#ani2ation$ ,&e local /no led#e of t&e Aditya 1irla Group combined it& t&e e(pertise of .un Life )inancial Inc$% offers a formidable protection for $birlasunlife$com+ your future$ *.ource7 J J LLI N< 1a7a7 Allian2 is a 7oint venture bet een Allian2 AG it& over !!" years of e(perience in
over >" countries and 1a7a7 Auto% a trusted automobile manufacturer for over 99 years in t&e Indian mar/et$ ,o#et&er t&ey are committed to offerin# you financial solutions t&at provide all t&e security you need for your family and yourself$ 1a7a7 Allian2 is t&e number one private life insurer for t&e year 5""9 G 5""<$ It is leadin# by >8 crores$ It &as e(perienced a &oppin# #ro t& of 5!<: in t&e last financial year$
T T
I6
,ata Ai# is a 7oint venture bet een t&e ,ata #roup and American International Group Inc$ In one of t&e plans t&e company offers &ospital cas& benefit &erein it ill pay Rs$ 59"" per day in case of &ospitali2ation and Rs$!5$9 la/&s in case t&e person suffers from any critical illness$ Annual premium is muc& less *about Rs$ <>!5+ to avail suc& a #ood benefit$ C&ar#es are relatively lo compared to @;)C .tandard for some policies$
,&e company offers &i#& covera#e plans at lo
cost$ ,&ere is a plan even for a policy term
of ! year$ Cour family can continue to en7oy t&eir current lifestyle even in t&e case of somet&in# &appenin# to you$ ,&ese plans are very fle(ible and @;)C .tandard could adopt t&is idea of insurin# individuals for s&ort periods of time$ )or e(ampleE t&ere is a family of four$ ,&e only earnin# member is t&e fat&er$
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ICICI PRU!ENTI L ICICI 6rudential is a stiff competitor for @;)C .tandard$ ,&e company is a mer#er bet een ICICI 1an/ &ic& is t&e bi##est private ban/ in India and 6rudential 6lc &ic& is a #lobal life insurance company$
,&e company &as an investment plan
&ic& is mar/et related G Invest .&ield Life$ In t&is ill be returned to investors$ It is a #uaranteed
plan even if t&e mar/et falls% t&e premium
plan &ic& ensures t&e company carefully invests your money$ =I= LIFE INSUR NCE Aviva &as !9< 1ranc&es in India *includin# rural branc&es+ supportin# its distribution net or/$ ,&rou#& its 1ancassurance partner locations% Aviva products are available in F=> to ns and cities across India$ 'it& a stron# sales force of over 5>%""" )inancial 6lannin# Advisers *)6As+% Aviva &as initiated an innovative and differentiated sales approac& to t&e business$ ,&rou#& t&e H)inancial @ealt& C&ec/I *)@C+ Aviva3s sales force &as been able to establis& its credibility in t&e mar/et$ ,&e )@C is a free service administered by t&e )6As for a need4based analysis of t&e customer3s lon#4term savin#s and insurance needs$ ;ependin# on t&e life sta#e and earnin#s of t&e customer% t&e )@C assesses and recommends t&e ri#&t insurance product for t&em$ ING Vysya Life Insurance It &as a dedicated and committed advisor sales force of over 5!%""" people% or/in# from !F" branc&es located in >F ma7or cities across t&e country and over B%""" employees$ It also distributes products in close cooperation it& t&e ING Jysya 1an/ net or/$ ,&e Company &as a customer base of over F%9"%""" K is &eadquartered at 1an#alore$
GURU NANAK COLLEGE
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Cou can pay LIC premiums usin# Net 1an/in# accounts it& any of t&e follo in# ban/s-4

1an/ of India Union 1an/ of India 6un7ab National 1an/ .tate 1an/ of India .tate 1an/ of Indore @;)C 1an/ ICICI 1an/ A(is 1an/ Citiban/ I;1I 1an/ Centurion 1an/ of 6un7ab *erst &ile Centurion 1an/+ Centurion 1an/ of 6un7ab *erst &ile 1an/ of 6un7ab+ IndusInd 1an/ A1N A?RO 1an/ Kota/ 1an/ 1an/ of 1aroda 1an/ of 1aroda 4 Retail Net1an/in# 1an/ of 1aroda 4 Corporate Net1an/in# .tate 1an/ of 6atiala .tate 1an/ of 1i/aner K Laipur .tate 1an/ of ,ravancore City Union 1an/ Indian Overseas 1an/ Karnata/a 1an/ Oriental 1an/ of Commerce .tate 1an/ of @yderabad .tate 1an/ of ?ysore .tate 1an/ of .auras&tra .out& Indian 1an/ Ces 1an/ policies$
,&is facility is available for all non4ULI6 Credit card payments are not accepted under t&is payment facility$ ETOP nalysis of t#e In'ian Insurance In'ustry+
Environmental t&reat and opportunity profile also /no n as environmental impact matri( is a summari2ed depiction of t&e environmental factors and t&eir li/ely impact on or#ani2ation$ E,O6 is t&e most useful ay of structurin# t&e result of environmental analysis$ It can be prepared in t&e follo in# ay-
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Environmental )actors
Environmental Analysis
Effect
Economic
*M+ ,&e Insurance industry is #ro in# at t&e rate of F" per cent per annum$ *Avera#e+$ *4+ ,&e #lobal do nturn &as affected t&e Insurance Industry in a very bad manner$
Opportunity
,&reats
,ec&nolo#ical
*M+ 'it& t&e passa#e of time t&e Insurance industry is Opportunity e(pandin# t&rou#& tec&nolo#ical aspects li/e Online 6remium K .ellin# of Insurance Online$ *M+ Insurance Industry score over t&e Ot&er service Opportunity providers% in providin# terms of tec&nolo#y Implementation Industries% #ivin# bot& cost and service Advanta#es$
6olitical K Le#al *M+ ,&ey restrict forei#n Insurance sector to develop t&eir business in India
Opportunity
.ocial
*M+ C&an#e in life style pattern in terms of savin#s Opportunity and investments$ *M+ ?ultinational Insurance Companies are no Opportunity loo/in# to enter into India and tryin# to s&are t&eir culture it& us$
C> PTER , %& INTRO!UCTION OF T>E CO;P N)
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@istory Life Insurance in its modern form came to India from En#land in t&e year !8!8$ Oriental Life Insurance Company stated by Europeans in Calcutta as t&e first life insurance ere company on Indian .oil$ All t&e insurance companies establis&ed durin# t&at period natives ere not bein# insured by t&ese companies$ @o ever% later it& t&e efforts of eminent people li/e 1abu ?uttylal .eal% t&e forei#n life ere bein# treated as ere bein# c&an#ed on t&em$ 1ombay
brou#&t up it& t&e purpose of loo/in# after t&e needs of European community and Indian
insurance companies started insurin# Indian lives$ 1ut Indian lives sub4standard lives and &eavy e(tra premiums
?utual Life Assurance .ociety &eralded t&e birt& of first Indian life insurance company in t&e year !8>"% and covered Indian lives at normal rates$ .tartin# as Indian enterprise it& &i#&ly patriotic motives% insurance companies came as also one of suc&
into e(istence to carry t&e messa#e of insurance and social security t&rou#& insurance to various sectors of society$ 1&arat Insurance Company *!8=<+ companies inspired by nationalism$ ,&e . ades&i movement of !="94!="> #ave rise to more insurance companies$ ,&e United India in ?adras% National Indian and National Insurance in Calcutta and t&e @industan Co4operative Insurance Company too/ its birt& in one of t&e rooms of t&e Lorasan/o% &ouse of t&e #reat poet Rabindranat& ,a#ore% in Calcutta$ ,&e Indian ?ercantile% General Assurance and . ades&i Life *later 1ombay Life+ ere some of t&e companies establis&ed durin# t&e same period$ 6rior to !=!5$ ere passed$ ,&e Life Insurance India &ad no le#islation to re#ulate insurance business$ In t&e year !=!5% t&e Life Insurance Companies Act% and t&e 6rovident )und Act valuations of companies s&ould be certified by an actuary$ 1ut t&e act discriminated bet een forei#n and Indian companies on many accounts% puttin# t&e Indian companies at a disadvanta#e$ ,&e first t o decades of t&e t entiet& century sa lot of #ro t& in insurance business$ )rom FF companies in force as Rs$ 55$FF crore% it rose to !>< companies it& total business4 it& total business4in4force as Rs$ Companies Act% !=!5 made it necessary t&at t&e premium rate tables and periodical
5=8 crore in !=B8$ ;urin# t&e mus&roomin# of insurance companies many financially unsound concerns ere also floated &ic& failed miserably$ ,&e Insurance Act !=B8 as
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t&e first le#islation #overnin# not only life insurance but also non4life insurance to provide strict state control over insurance business$ ,&e demand for nationali2ation of life insurance industry Assembly$ @o ever% it in India as made repeatedly in t&e past but it #at&ered momentum in as muc& later on t&e !=t& of Lanuary% !=9<% t&at life insurance ere operatin# in India at t&e time of nationali2ation% !=FF &en a bill to amend t&e Life Insurance Act !=B8 as introduced in t&e Le#islative as nationali2ed$ About !9F Indian insurance companies% !< non4Indian as accomplis&ed in t o sta#esE initially t&e mana#ement of t&e
companies and >9 provident nationali2ation companies
as ta/en over by means of an Ordinance% and later% t&e o ners&ip too by
means of a compre&ensive bill$ ,&e 6arliament of India passed t&e Life Insurance Corporation Act on t&e !=t& of Lune !=9<% and t&e Life Insurance Corporation of India as created on !st .eptember% !=9<% it& t&e ob7ective of spreadin# life insurance muc& more idely and in particular to t&e rural areas it& a vie to reac& all insurable persons in t&e country% providin# t&em adequate financial cover at reasonable cost$ LIC &ad 9 2onal offices% BB divisional offices and 5!5 branc& offices% apart )rom its corporate office in t&e year !=9<$ ,oday LIC functions it& 5"F8 fully computeri2ed branc& offices% !"" divisional offices% > 2onal offices and t&e corporate office$ LIC3s 'ide Area Net or/ covers !"" divisional offices and connects all t&e branc&es t&rou#& a ?etro Area Net or/$ LIC &as tied up it& some 1an/s and .ervice providers to offer on4line premium collection facility in selected cities$ LIC3s EC. and A,? premium payment facility is an addition to customer convenience$ Apart from on4line Kios/s and IJR.% Info Centers &ave been commissioned at ?umbai% A&medabad% 1an#alore% C&ennai% @yderabad% Kol/ata% Ne ;el&i% 6une and many ot&er cities$ 'it& a vision of providin# easy access to its policy&olders% LIC &as launc&ed its .A,ELLI,E .A?6ARK offices$ ,&e satellite offices are smaller% leaner and closer to t&e customer$ ,&e di#itali2ed records of t&e satellite offices future$ ill facilitate any &ere servicin# and many ot&er conveniences in t&e
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CO;P N) PROFILE ,ype- 6ublic limited company or Government4o ned corporation )ounded.eptember !% !=9< @eadquarters- @eadquarters in ?umbai% India *Jarious ot&er locations in India and abroad+ Key people- ,$ .$ Ji7ayan *C&airman+% ;$ K$ ?e&ta and ,&omas ?at&e *?ana#in# ;irectors+ Industry- Life insurance 6roducts- Insurance and 6ension 6lans Employees- Over !"% ""%""" 6arent- NIL .ubsidiaries- LIC @ousin# )inance Limited% etc$ 'ebsite- &ttp-AA $licindia$com
7O R! OF !IRECTORS ?embers On ,&e 1oard Of ,&e Corporation .&ri$ ,$.$ Ji7ayan *C&airman+ .&ri$ ;$K$ ?e&rotra *?ana#in# ;irector 4 LIC+ .&ri$ ,&omas ?at&e ,$ *?ana#in# ;irector 4 LIC+ .&ri$ A$K$ ;as#upta *?ana#in# ;irector 4 LIC+ .&ri$ As&o/ C&a la *)inance .ecretary% ?inistry of )inance% Govt$ of India+ .&ri$ R$ Gopalan *.ecretary% ;epartment of )inancial .ervices% ?inistry of )inance% Govt$ of India$+ .&ri$ Co#es& Lo&iya *C&airman cum ?ana#in# ;irector% GIC of India+ .&ri ;$L$ Ra al *C&airman K ?ana#in# ;irector % ;ena 1an/+ ;r$ .ooranad Ra7as&e/&ran

.&ri$ ?onis R$ Kid ai Lt$ General Arvind ?a&a7an * Retd$+ Life Insurance Corporation of In'ia 8LIC: Life Insurance Corporation of India *LIC+ is a Government of India enterprise% and is said to be t&e lar#est life insurance company and also t&e lar#est investor of t&e country$ LIC &ad been establis&ed on t&e !st of .eptember% !=9<% after t&e Life Insurance Corporation Act &as been passed by t&e 6arliament of India in t&e same year$ ,&e corporation is aimed at providin# life insurance services primarily to t&e rural masses and t&e socially K economically bac/ ard sections of t&e Indian society$ It also aims at promotin# t&e people for savin# t&eir money% and offers attractive savin#s features alon# policies$ Life Insurance in its modern form came to India from En#land in t&e year !8!8$ Oriental Life Insurance Company stated by Europeans in Calcutta brou#&t up as t&e first life insurance ere company on Indian .oil$ All t&e insurance companies establis&ed durin# t&at period natives ere not bein# insured by t&ese companies$ it& various insurance
it& t&e purpose of loo/in# after t&e needs of European community and Indian
;ISSION?=ISION ;ission HE(plore and en&ance t&e quality of life of people t&rou#& financial security by providin# products and services of aspired attributes resources for economic development$I =ision HA trans4nationally competitive financial con#lomerate of si#nificance to societies and 6ride of India$I LIC of India is t&e one and only public sector life insurance Company in India$ it& competitive returns% and by renderin#
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Pro'ucts of LIC
1.
LIC - Jeevan Anurag
"enefits LIC3s Leevan ANURAG is a it& profits plan specifically desi#ned to ta/e care of t&e educational needs of c&ildren$ ,&e plan can be ta/en by a parent on &is or &er o n life$ 1enefits under t&e plan are payable at prespecified durations irrespective of &et&er t&e Life Assured survives to t&e end of t&e policy term or dies durin# t&e term of t&e policy$ In addition% t&is plan also provides for an immediate payment of 1asic .um Assured amount on deat& of t&e Life Assured durin# t&e term of t&e policy$
ssured "enefit 6ayment of 5": of t&e 1asic .um Assured at t&e start of every year durin# last B policy years before maturity$ At maturity% F": of t&e 1asic .um Assured alon# it& reversionary bonuses clared from time to time on full .um Assured for t&e full term and t&e ,erminal b onus% if any s&all be payable$ )or e(ample% if term of t&e policy is 5" years% 5": of t&e .um assured ill be payable t&e end of t&e !>t&% !8t&% !=t& it& t&e reversionary onuses and t&e year and F": of t&e .um Assured alon#
terminal bonus% if any% at t&e end of t&e 5"t& year$
Deat. "enefit (ayment of an amount e;ual to %um ssured under t.e basic plan immediately on t.e deat. of t.e life assured&
2.
LIC - Jeewan Kisore
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roduct su!!ary: ,&is is an Endo ment Assurance 6lan available for c&ildren of less t&an !5 years of a#e$ ,&e policy may be purc&ased by any of t&e parentA#rand parent$
Co!!ence!ent of ris" cover: ,&e ris/ commences eit&er after 5 years from t&e date of commencement of policy or from t&e policy anniversary immediately follo in# t&e completion of > years of a#e of c&ild% &ic&ever is later$
re!iu!s: 6remiums are payable yearly% &alf4yearly% quarterly or mont&ly t&rou#&out t&e term of t&e policy or till earlier deat& of c&ild$
#onuses: ,&is is a it&4profits plan and participates in t&e profits of t&e Corporation3s life insurance business$ It #ets a s&are of t&e profits in t&e form of bonuses$ .imple Reversionary 1onuses are declared per t&ousand .um Assured annually at t&e end of eac& financial year$ Once declared% t&ey form part of t&e #uaranteed benefits of t&e plan$ A )inal *Additional+ 1onus may also be payable provided policy &as run for certain minimum period$
3.
LIC $ C%ilds Career lan Introduction: /.is plan is specially desi<ned to meet t.e increasin< educational and ot.er needs of <rowin< c.ildren& It pro-ides t.e risk co-er on t.e life of c.ild not only durin< t.e policy term but also durin< t.e e+tended term =i&e& 9 years after t.e e+piry of
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policy term>& number of %ur-i-al benefits are payable on sur-i-in< by t.e life
assured to t.e end of t.e specified durations&
&'tions: Cou may c&oose .um Assured *.$A$+% ?aturity A#e% 6olicy ,erm% ?ode of 6remium payment and 6remium 'aiver 1enefit$
ay!ent of re!iu!s: Cou may pay t&e premiums re#ularly at yearly% &alf4yearly% quarterly or t&rou#& .alary deductions over t&e term of policy$ 6remiums may be paid eit&er for < years or up to 9 years before t&e policy term$
4.
LIC - Jeevan C%%aya roduct su!!ary: ,&is is an Endo ment Assurance plan t&at provides financial protection a#ainst deat& t&rou#&out t&e term of t&e plan$ 1esides payment of .um Assured immediately on deat&% one4fourt& of .um Assured is payable at t&e end of eac& of last four years of policy term &et&er t&e life assured dies or survives t&e term of t&e policy$
re!iu!s: 6remiums are payable yearly% &alf4yearly% quarterly% mont&ly or t&rou#& salary deductions as opted by you t&rou#&out t&e term of t&e policy or till t&e earlier deat&$
5.
LIC - C%ild (uture lan
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Introduction: /.is plan is specially desi<ned to meet t.e increasin< educational1 marria<e and ot.er needs of <rowin< c.ildren& It pro-ides t.e risk co-er on t.e life of c.ild not only durin< t.e policy term us also durin< t.e e+tended term =i&e& 9 years after t.e e+piry of policy term>& number of sur-i-al benefits ae payable on sur-i-in< by t.e life assured to t.e end of t.e specified Durations. &'tions: Cou may c&oose .um Assured *.$A$+% ?aturity A#e% 6olicy ,erm% ?ode of 6remium payment and 6remium 'aiver 1enefit$ ay!ent of re!iu!s: Cou may pay t&e premiums re#ularly at yearly% &alf4yearly% quarterly or t&rou#& .alary deductions over t&e term of policy$ 6remiums may be paid eit&er for < years or up to 9 years before t&e policy term$ 0+ LIC @ Jeevan S#ree
roduct su!!ary: ,&is is an Endo ment Assurance plan offerin# t&e c&oice of many convenient premium4payin# terms$ It provides financial protection a#ainst deat& t&rou#&out t&e term of plan it& t&e payment of maturity amount on survival to t&e end of t&e policy term$
re!iu!s: 6remiums are payable yearly% &alf4yearly% quarterly% mont&ly or t&rou#& .alary deductions% as opted by you% t&rou#&out t&e premium payin# term or till earlier deat&$ Alternatively premium may be paid in one lump sum$
Guaranteed Additions:
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,&e policy provides for t&e Guaranteed Additions at t&e rate of Rs$ 9"A4 per t&ousand .um Assured for eac& completed year for first five years of t&e policy$
O7JECTI=ES OF LIC .pread Life Insurance idely and in particular to t&e rural areas and to t&e socially it& a vie to reac&in# all insurable persons in
and economically bac/ ard classes reasonable cost$
t&e country and providin# t&em adequate financial cover a#ainst deat& at a ?a(imi2e mobili2ation of people3 savin#s by ma/in# insurance4lin/ed savin#s adequately attractive$ 1ear in mind% in t&e investment of funds% t&e primary obli#ation to its policy&olders% &ose money it &olds in trust% as a t&e community as a attractive return$ Conduct business it& utmost economy and it& t&e full reali2ation t&at moneys belon# to t&e policy&olders$ Act as trustees of t&e insured public in t&eir individual and collective capacities$ ?eet t&e various life insurance needs of t&e community t&at c&an#in# social and economic environment$ Involve all people courtesy$ R)*+RIC+IV) C&N,I+I&N* or/in# in t&e Corporation to t&e best of t&eir capability in it& furt&erin# t&e interests of t&e insured public by providin# efficient service ould arise in t&e it&out losin# si#&t of t&e interest of t&e community ell as national priorities and obli#ations of &oleE t&e funds to be deployed to t&e best advanta#e of t&e investors as &ole% /eepin# in vie
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?inimum a#e at entry ?a(imum a#e at entry ?a(imum a#e at maturity ?inimum 6olicy ,erm ?a(imum 6olicy term ?inimum .um Assured ?a(imum .um Assured *6olicies -!8 years *completed+ -<" years *nearest birt&day+ ->" years *nearest birt&day+ -9 years -B9 years -Rs$59%""%"""A4 - No Upper Limit
ill be issued in multiples of Rs$!""%"""A4 for .ums Assured
more t&an t&e minimum .um Assured+ - Cearly% @alf4yearly K .in#le 6remium ?ode of premium payment
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A'AR;. AN; AC@EIJE?EN,-
CN7C Aaa9 Consumer aAar's ,4*4
Rea'er !iBest Truste' 7ran' Insurance cateBory ,4*4
OUTLOOC ;ONE) && N!T= PROFIT " R! ,443 in D 7EST LIFE INSURER C TE6OR) D
"orl' 7ran' ConBress Aar'
6ol'en PeacocE Innovative Pro'uct ? Service Aar' & ,443

GURU NANAK COLLEGE
SI P CIFIC >R; ConBress5 ,443 Aar' for INNO= TI=E >R

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PR CTICES
Loyalty Aar' @ ,443
N!T= Profit 7usiness Lea'ers#ip Aar' ,442
IN!)Fs Silver Aar' for 7est Corporate Film
N SCO; IT USER Aar' ,442
7usiness Super (ran' In'ia ,443
SI 7R N! CON6RESS 7R N! LE !ERS>IP " R! 5,442
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S+"+O+T+ N L)SIS A proper .$'$O$,$ analysis of LIC &as also been conducted to /no position% #ro t&% and upcomin# future and prospective of t&e company$ STREN6T>S LIC is on !st ran/ amon# t&e Insurance player$ Lon#4term plans of LIC are t&e main stren#t&$ After sales services$ 6roducts cost are very lo $ Customer does not believe on private company$ better about t&e
"EECNESS Lo interest rate is t&e ea/ness of t&e LIC company
OPPORTUNITIES Good brand promotion$ !A5nd4 : insurance &as been covered$ T>RE TS ,&ere are many competitors In t&e mar/et$ Entry of 6rivate Insurance ban/s$
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;arEet S#are N ;E OF T>E PL )ER ; RCET S> RE 8G: ; RCET S> RE N L)SIS Life Insurance Corporation of India ICICI 6rudential Life Insurance Co Ltd 1a7a7 Allian2 Life Insurance Co Ltd .1I Life Insurance Co Ltd Reliance Life Insurance Co Ltd @;)C .tandard Life Insurance Co Ltd 1irla .un Life Insurance Co Ltd ?a( Ne Cor/ Life Insurance Co Ltd Kota/ ?a&indra Old ?utual Life Insurance Ltd Aviva Life Insurance Company India Ltd Ot&ers PercentaBe <>: =$"": <$B<: F$9": 5$9": 5$88: 5$"": !$99: !$"": !$5": 5$"!:
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C> PTER -%&T>EORETIC L SPECTS OF T>E STU!) !efinition of service Huality ?%er-ice ;uality is a focused e-aluation t.at reflects t.e customer@s perception of specific dimensions of ser-iceA reliability1 responsi-eness1 assurance1 Bmpat.y1 tan<ibles& %atisfaction1 on ot.er .and1 is more inclusi-eA it is influenced by perceptions of ser-ice ;uality1 product ;uality1 and price as well as situational factors and personal factors& ,&e five service dimensions are
T N6I7LES%& Appearance of p&ysical facilities% equipment% personnel% and communication materials
7ILIT) Ability to perform t&e promised service dependably and accurately
RESPONSI=ENESS 'illin#ness to &elp customers and provide prompt service
SSUR NCE Kno led#e and courtesy of employees and t&eir ability to convey trust and confidence
E;P T>) Carin#% individuali2ed attention t&e firm provides its customers
.tron# customer service is a business essential$ 6rovidin# it isn3t as difficult if you and your employees ac&ieve t&ese !" basic rules!$ Commit to Huality service+

In LIC of India Everyone devoted to creatin# a positive e(perience for t&e customer$ Al ays try to #o above and beyond customer e(pectations$ 5$ CnoAle'Be a(out pro'ucts+ Convey an articulate and in4dept& /no led#e of products and services to customer trust and confidence$ ,&ey /no in
t&eir company3s products% services% and
return policies inside and out$ Also try to anticipate t&e types of questions t&at customers ill as/$ Anyone can easily Update and amend t&eir )AN pa#e frequently$ B$ CnoA your customers+ ,&ey can try to learn everyt&in# about t&e customers in order to tailor t&eir service approac& to customers3 needs and buyin# &abits$ ,al/ to customers about t&eir e(perience it& t&e company% and listen t&eir complaints$ In t&is ay% t&ey can #et to t&e root of customer dissatisfaction$ F$ Treat people Ait# courtesy an' respect+ Employee or t&e a#ents of t&e LIC of India al ays treat or react customers$ '&et&er it3s by email% p&one% p&rases O P.orry to /eep you meetin#$ ,&is interaction leaves an impression and PIt3s been a pleasure &elpin# youP etc$ 9$ Never arBue Ait# a customer+ ,&ey /no very ell t&at t&e customer isn3t al ays ri#&t$ @o ever% t&ey do not to fi( it$ ill do business it& a company a#ain if it& respect to t&eir
ritten correspondence% or a face4to4face it& t&at customer$ Use conciliatory
aitin#%P P,&an/s for your order%P PCou3re elcome%P
focus on t&e missteps of a particular situationE instead% concentrate on &o Researc& s&o s t&at > out of !" customers t&at business resolves a complaint in t&eir favor$ <$ !onIt leave customers in lim(o+ LIC a#ents or employee Repairs% callbac/s% and emails &andled ur#ency$ ,&ey /no Customers
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it& a sense of
ant immediate resolution% and if t&ey can #ive it to

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t&em% t&ey ill probably in t&eir repeat business$ Researc& s&o s t&at t&e instance
of repeat business #oes up to =9 percent &en complaints are resolved on t&e spot$ 1+ lAays provi'e A#at you promise+ ,&ey /no very ell t&at if t&ey fail to do t&is t&an t&ey ill lose bot& credibility
and customers$ If t&ey #uarantee a quote
it&in 5F &ours% t&ey quote out in a day or
less$ &en t&ey ne#lect to ma/e #ood on t&eir promise% apolo#i2e to t&e customer and offer some type of compensation% suc& as a discount or free delivery$ 2+ ssume t#at customers tell t#e trut#+ Even t&ou#& it may appear t&at customers lie to manipulate a situation to t&eir advanta#e% t&ey &ope t&at it is t&eir advanta#e to #ive t&em t&e benefit of t&e doubt$ ,&e ma7ority of customers don3t li/e to complainE in fact% t&ey ay O per&aps all t&e ill #o out of t&eir ay to a competitor O to avoid it$ If t&ey &ear un&appy
rumblin#s from t&eir customers% ta/e t&eir complaints to &eart and do t&eir best to appease t&eir dissatisfaction$ 3+ Focus on maEinB customers not on sales+ .alespeople% especially t&ose &o #et paid on commission% sometimes focus on t&e
volume instead of on t&e quality of t&e sale$ 1ut an a#ent or employee of LIC #ive more important to customer3s business is more t&an to close a sale$ Researc& s&o s t&at it costs si( times more to attract a ne customers$ *4+ ;aEe it easy to (uy+ ,&e buyin# e(perience in t&eir store% on 'eb site% or t&rou#& catalo# s&ould be as easy as possible$ 6eople can3t find unnecessary paper or/ and forms$ ,&ey &elp people to find &at t&ey need% e(plain &o products or/$ "#at is customer loyaltyQ customer t&an it does to /eep an e(istin# ay to find ne one$ ?oreover% &appy customers are t&e best and most effective
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,&e term customer loyalty is used to describe t&e be&avior of repeat customers% as company a #reat service by offerin# favorable ell as
t&ose t&at offer #ood ratin#s% revie s% or testimonials$ .ome customers do a particular ord of mout& publicity re#ardin# a product% tellin# friends and family% t&us addin# t&em to t&e number of loyal customers$ @o ever customer loyalty includes muc& more$ It is a process% a pro#ram% or a #roup of pro#rams #eared to ard /eepin# a client &appy so &e or s&e ill provide more business$ Customer loyalty can be ac&ieved in some cases by offerin# a quality product #uarantee$ Customer loyalty is also ac&ieved t&rou#& free offers% coupons% lo on financin#% &i#& value trade4ins% e(tended it& a firm interest rate
arranties% rebates% and ot&er re ards and
incentive pro#rams$ ,&e ultimate #oal of customer loyalty pro#rams is &appy customers &o ill return to purc&ase a#ain and persuade ot&ers to use t&at company0s products or services$ ,&is equates to profitability% as ell as &appy sta/e&olders ,&e /ey to a successful business is a steady customer base$ After all% successful businesses typically see 8" percent of t&eir business come from 5" percent of t&eir customers$ ,oo many businesses ne#lect t&is loyal customer base in pursuit of ne since t&e cost to attract ne relations&ip payoff$ @ere are ten ays to build customer loyalty1.
customers$ @o ever% ill certainly
customers is si#nificantly more t&an to maintain your
it& e(istin# ones% your efforts to ard buildin# customer loyalty
Co!!unicateBmployees or t.e a<ent of t.e LIC of t.e India sent an email ne sletter% mont&ly flier% a reminder card for a tune up% or a &oliday #reetin# card% reac& out to t&eir teddy customers$
2.
Custo!er *erviceLIC of India #o t&e e(tra distance and meet t&eir customer needs$ ,&ey also ,rain t&e staff to do t&e same$ Customers remember bein# treated ell$
3.
)!'loyee Loyalty-
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Loyalty or/s from t&e top do n$ t&ey are loyal to t&eir employees% t&ey ill feel
positively about t&eir 7obs and pass t&at loyalty alon# to your customers$
4.
)!'loyee +raining/.ey train t&eir employees in t&e manner t&at t&ey ant t&em to interact it&
customers$ Empo er employees to ma/e decisions t&at benefit t&e customer$

5.
Custo!er Incentives/.ey Give customers a reason to return to t&eir business$ )or instance% t&ey #ive bonus to t&eir customers or offer free #ift coupons etcE
6.
roduct Awareness/.ey Kno &at steady customers purc&ase and /eep t&ese products to sell t&em $
and t&ey also add ot&er products andAor services t&at accompany or compliment t&e products t&at your re#ular customers buy re#ularly$ And t&ey are sure about t&at t&eir staff understands everyt&in# about t&eir products$
7.
Relia.ility/.ey always reliable to t.eir customers- If somet&in# #oes ron#% t&ey immediately
inform to t&eir customers and compensate t&em for t&eir inconvenience$

8.
#e (le/i.le/.ey are always ready to solve customer problems or complaints to t&e best of t&eir ability$ And provide accurate result in a s&ort time period$
9.
eo'le over +ec%nology,&e &arder it is for a customer to spea/ to a &uman bein# &en &e or s&e &as a
problem% t&e less li/ely it is t&at you ill see t&at customer a#ain$
10.
Know +%eir Na!es,&ey /no t&e names of re#ular customers or at least reco#ni2e t&eir faces$
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Relations#ip 7etAeen Service Huality an' Customer Loyalty In various studies t&e relations&ip bet een service quality and customer preference loyalty &ad been e(amined *1ouldin#% Kalra% .taelin% K Reit&aml% !==BE Cronin K ,aylor% !==5+$ In t&eir study Cronin and ,aylor *!==5+ focused solely on repurc&ase intentions% 1ouldin# et al$ *!==B+ focused on t&e elements of repurc&asin# as ell as t&e &ereas illin#ness to
recommend$ In t&e study by Cronin and ,aylor service quality did not appear to &ave a si#nificant *positive+ effect on repurc&ase intentions *in contrast to t&e si#nificant positive impact of satisfaction on repurc&ase intention+% recommend$ &ereas 1ouldin# et al$ *!==B+ found illin#ness to positive relations&ips bet een service quality and repurc&ase intentions and
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C> PTER .%&RESE RC> OF T>E STU!)
!efinition%& HResearc& is an or#ani2ed inquiry desi#ned and carried out to provide information for solvin# problems$I 4 )red Kerlin#er$ 4 HResearc& is careful inquiry or e(amination to discover ne information or relations&ips and to e(istin# /no led#e$I 4 )rancis Rammel$
O7JECTI=E OF STU!) ,&e main ob7ective of t&is study is to study t&e consumer buyin# be&avior re#ardin# cars$ ,o /no of LIC$ ,o /no &ic& type of payment t&ey prefer &ile purc&asin# 6olicy of LIC$ &ic& criteria consumer ta/e in to consideration &ile purc&asin# 6olicy
Consumer attitude to ards t&e 6olicy of LIC$ Assessin# t&e main criteria to ma/e product of LIC more mar/etable$ Scope as t#e Stu'y ,o /no and understand t&e different pensions plans as policy as t o leadin# insurance and in &at manner t&ey
company in insurance sector by study and analysis t&at &o attract t&e customers of different a#e and salary #roups+
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LI;IT TION OF STU!) ,&ere are number of limitations but from t&em fe are as belo $ .ome respondent may not #ive proper response t&an it is totally useless$ ,&e limit for t&e pro7ect is only 5 mont&s$ ,&e study is not cover &ole population it is limited by t&e company only for east 2one of .urat city$
RESE RC> CO;PONENTS%& .+* Researc# 'esiBn%& Researc& desi#n is t&e plan for collectin# t&e information related to t&e study$ Researc& desi#n e(plains t&e met&ods t&at are used for collectin# t&e information$ ,&e researc& desi#n ill focus attention on t&e different met&ods t&at are used for collection of t&e data$ Also it ill &elp to solve t&e problem$ ;ifferent forms of collectin# t&e data ill be tasted in t&e researc& desi#n$ In t&is case% survey met&od is used to collect t&e necessary data in t&e survey met&od% t&e personal intervie is used to collect t&e information from t&e respondents% and questionnaires are used$ ,&e respondents are visited personally% and t&e detail information is collected related to t&e study$ ,&e question mainly focuses attention on t&e consumer be&avior to fulfill t&e ob7ective of t&e study$ C#oice of t#e researc# 'esiBn%& A researc& desi#n specifies t&e met&ods and procedure for conductin# a particular study$ 1roadly t&e researc& can be #rouped in to t&ree cate#ories$ E(ploratory researc& ;escriptive researc& Casual researc&
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!$ EJploratory Researc# !esiBn% & ,&e ma7or emp&asis in e(ploratory Researc& ;esi#n is on discovery of ideas and insi#&ts$ 5$ !escriptive Researc# !esiBn% 4 ,&e descriptive Researc& ;esi#n study is typically concerned it& determinin# t&e frequency it& &ic& somet&in# occurs or t&e
relations&ip bet een t o variables$ B$ Causal Researc# !esiBn% 4 A Causal Researc& ;esi#n is concerned determinin# cause and effect relations&ip$ it&
In my study% I &ave used descriptive researc& met&od to collect necessary information related to t&e study$
.+, ! T COLLECTION ;ET>O!S%& T)PE OF ! T COLLECTE! ,&ere are t o types of data used$ ,&ey are primary and secondary data$ 6rimary data is defined as data t&at is collected from ori#inal sources for a specific purpose$ .econdary data is data collected from indirect sources$ PRI; R) SOURCES ,&ese include t&e survey or questionnaire met&od% telep&onic intervie personal intervie met&ods of data collection$ SECON! R) SOURCES ,&ese include boo/s% t&e internet% company broc&ures% product broc&ures% t&e company ebsite% competitor3s ebsites etc% ne spaper articles etc$ SamplinB unit as ell as t&e
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In my study t&e mar/et survey as conducted in surat city$ Conducted I &ave covered different areas under my study$ ;ifferent areas li/e /amre7% amroli% varac&&a K ot&er areas of t&e city are covered by me durin# t&e study$ S ;PLIN6 .amplin# refers to t&e met&od of selectin# a sample from a #iven universe dra for study$ it& a vie to
conclusions about t&at universe$ A sample is a representative of t&e universe selected
Convenience samplinB is used in e(ploratory researc&
&ere t&e researc&er is interested in
#ettin# an ine(pensive appro(imation of t&e trut&$ As t&e name implies% t&e sample is selected because t&ey are convenient$ ,&is non probability met&od is often used durin# preliminary researc& efforts to #et a #ross estimate of t&e results% it&out incurrin# t&e cost or time required to select a random sample$ *.ource- www&statpac&com+
S ;PLE SI<E ,&e sample si2e for t&e survey conducted as /4 respon'ents+
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C>+ @ / ! T
N L)SIS N! FIN!IN6S
N !+ ;o you &ave 6roduct of LICQ 6articular Ces No Number =" !" 6ercenta#e =": !":
Interpretation%& )rom t&e above c&art e can say t&at =": customer &ave product of LIC and !": customer e can say t&at t&e trust of t&e people to ards
&ave product of ot&er companies% from t&at
LIC is too muc& &i#& as compared to ot&er players in insurance sector$
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N 5+ &ic& type of insurance do you &aveQ
6articular ?ediclaime Life Insurance Ot&ers
Number B" <9 9
6ercenta#e B": <9: 9:
Interpretation%& )rom t&e above c&art e can say t&at B": customers &ave ?ediclaime and <9: customer &ave life insurance and 9: customer &ave ot&er type of insurance$ ,&us e can say t&at people are ready or prepared in advance for competin# immediate circumstances &ic& ill arise in t&eir future life$
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Q -: EJpectation%& It s#oAs t#e eJtent to A#ic# you t#inE insurance company 8Life: s#oul' posses folloAinB featuresK TanBi(les EJcellent Life Insurance Company Aill #ave mo'ern eHuipment+ * , . / Scores
;aterials associate' Ait# service 8suc# as forms5 payment5 (an'aBes etc+++: Aill (e visually appealinB at an eJcellent company+
veraBe TanBi(ility
Perception%& It s#oAs t#e eJtent to A#ic# you t#inE&insurance company 8life: s#oul' posses folloAinB featuresK TanBi(les LIC #as mo'ern looEinB eHuipment * ,
Scores
;aterials associate' Ait# service 8suc# as forms5&payment5&(an'aBes etc+++: Aill (e visually appealinB in LIC company+
veraBe TanBi(ility
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?O;ERN ENUI6?EN, ?A,ERIAL
AJERAGE ED6EC,A,ION 5F$F> 5F$<
AJERAGE 6ERCE6,ION 5F$F 5F$8>
;I))ERENCE 4"$"> "$5>
Interpretation%& )rom t&e above c&art e can say t&at as t&ere is not muc& difference bet een perception perceived by t&e company and t&e e(pectation fulfillment of customers$ e can say t&at company is successful in providin# customers value services as per t&e e(pectations of customers$
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Q .: EJpectation "#en companies 'o somet#inB (y a certain time5 t#ey 'o+ "#en customer #as a pro(lem5 company Aill s#oA sincere interest in solvinB it+ EJcellent firms Aill perform t#e activity of issuinB c#eHue of sum assure' riB#t t#e first time+ Life insurance company Aill provi'e t#e services at t#e time t#ey promise to 'o so+ EJcellent life insurance company Aill insist on error&free recor'+ Relia(ility * , . /
veraBe Relia(ility
Perception "#en companies 'o somet#inB (y a certain time5 t#ey 'o+
Relia(ility * , . /
"#en customers 8you: #ave a pro(lem5 LIC company Aill s#oA sincere interest in solvinB it+ LIC Company Aill perform t#e activity of issuinB c#eHue of sum assure' riB#t t#e first time+ LIC Company Aill provi'e t#e services at t#e time it promises to 'o so+ LIC company Aill insist on error&free recor'+
veraBe Relia(ility
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=ER 6E Time punctuality Pro(lem solution issue of c#eHue fulfillment of promise error free recor' Interpretation%& & perception 59$< 59$9B 5B$"> 5< 5<$=B
=ER 6E & EJpectation 59$=B 5<$F 5<$5> 59$!B 5>$">
!IFFERENCE 4"$BB 4"$8> 4B$5 "$8> 4!$"F
)rom t&e above c&art e can say t&at as t&ere is not muc& difference bet een perception perceived by t&e company and t&e e(pectation fulfillment of customers$ e can say t&at company is successful in providin# customers value services as per t&e e(pectations of customers$ Only incase of issue of c&eque company is unable to provide satisfactory services to e(tent$
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Q+/: EJpectation Responsiveness * , . /
Employees of eJcellent life insurance firms Aill tell t#e customers A#en services Aill (e performe'+ Employees of eJcellent life insurance firms Aill Bive prompt services to customers+ Employees of eJcellent life insurance firms Aill alAays (e AillinB to #elp customer+ Employees of eJcellent life insurance firms Aill never (e too (usy to respon' to customersI reHuests+
veraBe Responsiveness
Responsiveness Employees of LIC company Aill tell t#e customers A#en services Aill (e performe'+ Employees of LIC Company Aill Bive prompt services to customers+ Employees of LIC Company Aill alAays (e AillinB to #elp customers+ Employees of LIC company Aill never (e too (usy to respon' to customersI reHuests+ * , . /
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E?6LOCEE. IN)OR?E; ,O CU.,O?ER. E?6LOCEE. GIJE 6RO?6, .ERJICE. E?6LOCE. 'ILLING ,O @EL6 CU.,O?ER E?6LOCEE. NEJER ,O 1U.C ,O RE.6ON; Interpretation%&
AJERAGE ED6EC,A,ION 55$8 59$!B 5B$< 5=$F
AJERAGE 6ERCE6,ION 5B$=B 55$8> 5=$9B 5=$F
;I))ERENCE "$9 45$5< 9$=B "
As per above c&art e can say t&at as compared to ot&er factors t&e bac/ office &ic& is also /no n as employee &elp des/ is not or#ani2ed enou#& to &elp t&e customers and solve t&eir quarries 5FA> and are not able to provide t&em a value services$
Q 0: EJpectation
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ssurance
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,&e be&avior of employees in e(cellent life insurance firms ill instill confidence in customers$ Insured customers of e(cellent life insurance firms ill feel safe it& insurance services$ Employees in e(cellent life insurance firms ill be consistently courteous to customer$ Employees in e(cellent life insurance firms ill &ave t&e /no led#e to ans er t&e customers3 questions$
veraBe ssurance
Perception T#e (e#avior of employees in LIC company Aill instill confi'ence in customers+ Insure' customers of LIC company Aill feel safe Ait# insurance services+ Employees in LIC company Aill (e consistently courteous to customers+ Employees in LIC company Aill #ave t#e EnoAle'Be to ansAer t#e customersI Huestions+ veraBe ssurance
ssurance * , . /
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1E@AJIOUR O) E?6LOCEE. .A)E 'I,@ ,@E IN.URANCE COUR,EOU. ,O CU.,O?ER. KNO'LE;GE ,O AN.'ER Interpretation%&
AJERAGE ED6EC,A,ION 5!$<> 5F$BB 55$F 5!$8>
AJERAGE 6ERCE6,ION 5"$8 55$8 5!$< 5"$!B
;I))ERENCE 4"$8> 4!$9B 4"$8 4!$>F
)rom t&e above c&art e can say t&at employees be&avior to ards customers it& relation to various services is not satisfactory and t&eir response is not solvin# t&e quires and #ivin# /no led#e to various customers$
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Q 1: EJpectation E(cellent company individual attentions$ Empat#y ill #ive customers ! 5 B F 9
E(cellent company ill &ave or/in# &our convenient for all t&e customers E(cellent company ill &ave employees #ive customers personal attention$ &o
E(cellent company ill &ave t&eir customers3 best interest at &eart$ ,&e employees of e(cellent companies ill understand t&e specific needs of t&eir customers$
veraBe Empat#y
Perception LIC company on customers$
Empat#y ill #ive individual attentions ! 5 B F 9
LIC company ill &ave or/in# &our convenient for all its customers$ LIC company ill &ave employees customers personal attention$ &o #ive
LIC company ill &ave t&eir customers3 best interest at &eart$ ,&e employees of LIC company ill understand t&e specific needs of t&eir customers$
veraBe Empat#y
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IN;IJI;UAL A,,EN,ION CONJENIEN, ,O CU.,O?ER. CU.,O?ER 6ER.ONEL A,,EN,ION 1E., IN,ERE., A, @EAR, UN;ER.,AN; ,@E .6ECI)IC NEE;. Interpretation%&
AJERAGE ED6EC,A,ION 59 5F$"> 5B$!B 5F$< 55$<>
AJERAGE 6ERCE6,ION 5B$9B 55$< 55$5 5B$F> 5!$F
;I))ERENCE 4!$F> 4!$F> 4"$=B 4!$!B 4!$5>
)rom t&e above c&art e can say t&at unli/e ot&er services and t&eir personal attention facilities life insurance companies a#ents and employees are unable to provide t&e personal needs and li/es of different customers at up to t&e mar/ level$
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Q 2: SER=QU L SCORE CRI,ERIA ,ANGI1ILI,C RELIA1ILI,C RE.6ON.IJENE.. A..URANCE E?6A,@C ,O,AL 'ei#&t !" B" 5" !" B" !"" 'ei#&ted Avera#e score !" 45>$B 5"$8 4!5$5 4B>$9 4F<$5
Avera#e of 'ei#&ted Avera#e score S 'ei#&ted Avera#e score 9 S *4 F<$5 A 9+ S 4=$5F
As per above c&art e can say t&at as services can only be felt and not be touc&ed tan#ibility secures t&e least avera#e as compared to ot&ers and even satisfaction every time$ e cannot assure t&e same
Q 3: >oA lonB #ave you (een t#e customer of t#is company$
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Sr+ No+ *+ ,+ -+ .+
Particular ! to 5 Cears 5 to F Cears F to < Cears < to !" Cears
PercentaBe !"$"": !B$BB: F5$55: BF$F9:
Interpretation%& )rom t&e above c&art e can say t&at customer believe in &avin# s&ort term policies from t&is company and also lon# term policies li/e life insurance policies and ot&ers$
Q *4: I #ave receive' a proper 'emonstration on t#e pro'uct t#at you (ouB#t (y t#e concerne' professional .tron#ly a#ree A#ree Avera#e ;isa#ree .tron#ly dis a#ree
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9 F B 5 !
Sr+ No+ *+ ,+ -+ .+ /+ .tron#ly A#ree A#ree Avera#e ;isa#ree .tron#ly ;isa#ree
Particular
PercentaBe BF$FF: 5B$BB: !<$<>: !B$BB: !5$55:
Interpretation%& )rom t&e above analysis e can say t&at as lic services is concerned it& t&e life of various respondents t&ey need to be made satisfied for t&e purc&ase of services so t&e concerned professional are able to reac& t&e e(pectation level of various customers$

Q **: t#e time is taEen (y LIC for 'ocumentation process is reasona(le+ StronBly aBree / Bree . veraBe !isaBree , StronBly 'is aBree *
Particular
PercentaBe B8$8=: 59$9<: !B$BB: !5$55: !"$"":
Interpretation%& )rom t&e above c&art e can say t&at because of #reat tec&nolo#ies used in corporate orld t&e time ta/en to #et any service is quiet easier as compare to past era$
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Q *,: I liEe to purc#ase 'ifferent policy from t#is company aBain+ StronBly aBree / Bree . veraBe !isaBree , StronBly 'is aBree *
Particular Sr+ No+ *+ ,+ -+ .+ /+ .tron#ly A#ree A#ree Avera#e ;isa#ree .tron#ly ;isa#ree
PercentaBe F9$9<: 58$8=: !8$8=: "F$FF: "5$55:
Interpretation%&)rom t&e above c&art e can say t&at as people are concerned of t&eir near and dear ones and family members t&ey are al ays interested to ta/e up a various ne policies concerned it& t&eir life3s so t&at t&ey fell insured and t&e ris/ of payin# &i#& amount durin# any mis&ap is almost reduced$ Q *-: I Aoul' liEe to recommen' pro'ucts of t#is company to my frien's an' relatives+ StronBly aBree
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Bree
veraBe
!isaBree
StronBly 'is aBree

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, / . *
Particular
PercentaBe F"$"": B"$"": !!$!!: "8$8=: !"$"":
Interpretation%& )rom t&e above #rap& e can say t&at as e &ave seen above t&at people are satisfied even for after sale services and t&ey t&in/ of buyin# its various products and services t&at3s &y t&ey ould li/e to recommend its products to t&eir friends and relatives )IN;ING.
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?ost of t&e respondents &ave LIC policy because t&ey are concern about t&eir future and t&eir familyIn my study I found t&at most of t&e respondents &ave life insurance policy t&at is <9: &ave considered t&at because t&ey t&in/ if somet&in# &appens to t&em% t&eir family doesn3t &ave to ta/e any &elp for survival t&rou#& ot&ers$ '&ile researc&in# I found t&at t&ere are many consumers of LIC policy and most of t&em &ave consume from F to < years before$I found t&at t&e e(pectation of t&e consumer are mostly satisfied by t&e company because t&e company #ives best to t&eir customers$;ocumentation of any insurance policy ta/es t&e most time but &ere I found 99: of t&e respondents a#rees t&at it ta/e less time &ile !": doesn3t a#ree it& it ,&ere is not muc& difference bet een perception perceived by t&e company and t&e e(pectation fulfillment of customers$ e can say t&at company is successful in providin# customers value services as per t&e e(pectations of customers$ 'e can say t&at company is successful in providin# customers value services as per t&e e(pectations of customers$ Only incase of issue of c&eque company is unable to provide satisfactory services to e(tent$ lic services is concerned it& t&e life of various respondents t&ey need to be made satisfied orld t&e time
for t&e purc&ase of services so t&e concerned professional are able to reac& t&e e(pectation level of various customers$because of #reat tec&nolo#ies used in corporate ta/en to #et any service is quiet easier as compare to past era$people are concerned of t&eir near and dear ones and family members t&ey are al ays interested to ta/e up a various ne policies concerned it& t&eir life3s so t&at t&ey fell insured and t&e ris/ of payin# &i#& amount durin# any mis&ap is almost reduced$ people are satisfied even for after sale services and t&ey t&in/ of buyin# its various products and services t&at3s relatives$ &y t&ey ould li/e to recommend its products to t&eir friends and
C>+ @ 0 SU66ESTION )ollo in#s are some of t&e su##estion #iven by t&e customer of LIC for serve people in an improved ay$6eople su##est t&at LIC s&ould &ave increase t&eir interest rate$
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6eople su##est t&at LIC s&ould &ave advertise its product it& ell /no n brand ambassador in order to increase its sales$6eople su##est t&at LIC s&ould &ave provided a #ood services after sale of product or policy of it$ SU66ESTIONS FOR I;PRO=E;ENT Advertise about t&e company and its products G it motivates individuals to purc&ase insurance Create a positive perception about insurance$ .pea/ about t&e #ood features a plan offers li/e &i#& returns% life cover% ta( benefits% inde(ation% accident cover &ile prospectin# customers ,ry to sell t&e productAplan advisors benefit is &i#&er Improve t&e efficiency in operations 1rin# out policies it& small premiums payable for s&ort periods of time G Rs$ 9""" &ic& t&e consumer requires and not t&e plan &ere t&e
G Rs$ !"""" per annum for !" years Attract t&e yout& of India it& &i#&er returns on investment as returns are t&e
motivatin# factor &ic& influence purc&ase of insurance 6romote insurance in colle#es and corporate &ouses .&ould &ave partial it&dra als from t&e first year on ards ,ap t&e rural mar/et &ere t&ere is lar#e potential ;iversify product portfolio ?a/e products more strai#&t for ard G reduce comple(ities+

C>+ @ 1 CONCLUSION )rom t&e report I &ave concluded t&at most of t&e respondent &ave ta/en t&e policy of LIC but t&ey still lac/in# in providin# #ood service after sales Investment in LIC is more preferable because it is #overnment oriented and it is follo rules and re#ulation of IR;A$
Nuestioner for customers Accordin# to your opininon please #ive t&e ran/ to follo in# question$ Ran/in# detail and code are #iven belo -4 !etail .tron#ly ;isa#ree ;isa#ree Avera#e A#ree .tron#ly A#ree EJpectation EJpectation%& It s#oAs t#e eJtent to A#ic# you t#inE insurance company 8Life: s#oul' posses folloAinB featuresK TanBi(les E(cellent Life Insurance Company ill &ave modern equipment$ ! 9 5 B F Co'e "! "5 "B "F "9 Scores
?aterials associated it& service *suc& as forms% payment% banda#es etc$$$+ ill be visually appealin# at an e(cellent company$
! 9
veraBe tanBi(ility Relia(ility '&en companies do somet&in# by a certain

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time% t&ey do$ 9
'&en customer &as a problem% company ill s&o sincere interest in solvin# it$
! 9
E(cellent firms ill perform t&e activity of issuin# c&eque of sum assured ri#&t t&e first time$
! 9
Life insurance company ill provide t&e services at t&e time t&ey promise to do so$
! 9
E(cellent life insurance company ill insist on error4free record$
! 9
veraBe Relia(ility
Responsiveness
Employees of e(cellent life insurance firms ill tell t&e customers &en services ill be performed$
! 9
Employees of e(cellent life insurance firms ill #ive prompt services to customers$
GURU NANAK COLLEGE
F
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9
Employees of e(cellent life insurance firms ill al ays be illin# to &elp customer$
! 9
Employees of e(cellent life insurance firms ill never be too busy to respond to customers3 requests$
! 9
ssurance ,&e be&avior of employees in e(cellent life insurance firms ill instill confidence in customers$ ! 9 5 B F
Insured customers of e(cellent life insurance firms ill feel safe it& insurance services$
! 9
Employees in e(cellent life insurance firms ill be consistently courteous to customer$
! 9
Employees in e(cellent life insurance firms ill &ave t&e /no led#e to ans er t&e customers3 questions$
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! 9
Page 59
veraBe ssurance Empat#y
E(cellent company ill #ive customers individual attentions$
! 9
E(cellent company ill &ave or/in# &our convenient for all t&e customers
! 9
E(cellent company ill &ave employees &o #ive customers personal attention$
! 9
E(cellent company ill &ave t&eir customers3 best interest at &eart$ 9
,&e employees of e(cellent companies ill understand t&e specific needs of t&eir customers$
! 9
veraBe Empat#y
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Perception Perception%& It s#oAs t#e eJtent to A#ic# you t#inE&insurance company 8life: s#oul' posses folloAinB featuresK TanBi(les LIC &as modern loo/in# equipment 9 ! 5 B F Scores
?aterials associated it& service *suc& as forms%4payment%4banda#es etc$$$+ ill be visually appealin# in LIC company$
! 9
veraBe tanBi(ility Relia(ility '&en companies do somet&in# by a certain time% t&ey do$ ! 9 5 B F
'&en customers *you+ &ave a problem% LIC company ill s&o sincere interest in solvin# it$
! 9
LIC Company ill perform t&e activity of issuin# c&eque of sum assured ri#&t t&e first time$
! 9
LIC Company ill provide t&e services at t&e time it promises to do so$
! 9
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LIC company ill insist on error4free record$ 9
veraBe Relia(ility Responsiveness Employees of LIC company ill tell t&e customers &en services ill be performed$ ! 9 5 B F
Employees of LIC Company ill #ive prompt services to customers$
! 9
Employees of LIC Company ill al ays be illin# to &elp customers$
! 9
Employees of LIC company ill never be too busy to respond to customers3 requests$
! 9
veraBe Responsiveness ssurance ,&e be&avior of employees in LIC company ill instill confidence in customers$ ! 9 5 B F
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Page 62
Insured customers of LIC company ill feel safe it& insurance services$
! 9
Employees in LIC company ill be consistently courteous to customers$
! 9
Employees in LIC company ill &ave t&e /no led#e to ans er t&e customers3 questions$
! 9
veraBe ssurance Empat#y LIC company ill #ive individual attentions on customers$ ! 9 5 B F
LIC company ill &ave or/in# &our convenient for all its customers$
! 9
LIC company ill &ave employees &o #ive customers personal attention$
! 9
LIC company ill &ave t&eir customers3 best interest at &eart$

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! 9
Page 63
,&e employees of LIC company ill understand t&e specific needs of t&eir customers$
! 9
veraBe Empat#y
CU.,O?ER LOCAL,C NUE.,IONER.
=+ @o lon# &ave you been t&e customer of t&is companyQ ! to 5 yrs F to < yrs 5 to F yrs < to !" yrs
!"+ I &ave received a proper demonstration on t&e product t&at you bou#&t by t&e concerned professional$ .tron#ly a#ree 9 A#ree F Avera#e B ;isa#ree 5 .tron#ly dis a#ree !
!!+ ,&e time is ta/en by LIC for documentation process is reasonable$
.tron#ly a#ree 9
A#ree F
Avera#e B
;isa#ree 5
.tron#ly dis a#ree !
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!5+ I li/e to purc&ase different policy from t&is company a#ain$
.tron#ly a#ree 9
A#ree F
Avera#e B
;isa#ree 5
!B+ I ould li/e to recommend products of t&is company to my friends and relatives$
.tron#ly a#ree 9
A#ree F
Avera#e B
;isa#ree 5
!F+ .u##estion TTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTT TTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTTT TT
C>+ @ 1 7i(lioBrap#y% .ttpACCwww&wise<eek&comCw.atDisDcustomerDloyalty&.tm7customer loyalty .ttpACCwww&allbusiness&comCsalesCcustomerDser-iceC2362D2&.tml7customerloyalty .ttpACCwww&customerloyalty&or<C .ttpACCwww&allbusiness&comCcompanyDacti-itiesDmana<ementCoperationsD customerC2020905ED2&.tml.ttpACCwww&22mana<e&comCmet.odsF$eit.amlFser-;ual&.tml


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Impact of Service Quality On Customer Loyalty in LIC

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