TRAINING REPORT

ON
INSURANCE AS AN INVESTMENT TOOL in
reference to ICICI Prudential Life Insurance Co. Ltd.
Submitted to:
Satyug Darshan Institute of Engineering and Technology
By:
VERSHA DHINGRA
Roll No. 6600176
Batch 2014 2017
In Partial Fulfillment of
Bachelor of Business Administration
(IIFSB)
MAHARSHI DAYANAND UNIVERSITY
ROHTAK (HARYANA)
(November, 2016)

Satyug Darshan Institute of Engineering and Technology

Bhupani Lalpur Road, Village Bhupani
Faridabad - 121002, NCR, Haryana, India
1

Table of contents
S.N

TITLE

PAGE NO.

O
1.
2.
3.
4.
5.
6.
7.
8.
9.
10.
11.
12.
13.
14.

Declaration
Company certificate
Bonafide certificate
Acknowledgement
Executive summary
Introduction
Organization profile
Company profile
Achievements
Organizational chart
Sampling
Data source
Observation
Conclusion

3
4
5
6
7
8
22
25
35
36
37
38
56
57

15. Recommendation
16. Bibliography
17. Annexure

58
59
60

DECLARATION
I, Ms. Versha hereby declare that this training report titled
INSURANCE AS AN INVESTMENT TOOL in reference to
ICICI Prudential Life Insurance Co. Ltd. is the record of
authentic work carried out by me during the period from 15 th July
2016 to 12th November 2016 and has not been submitted to any other
University or Institute for the award of any degree / diploma etc.

(Signature)
VERSHA
Date:

COMPANY CERTIFICATE

BONAFIDE CERTIFICATE
This is to certify that Versha Dhingra of Satyug Darshan Institute of
Engineering and Technology has successfully completed the project work
titled INSURANCE AS AN INVESTMENT TOOL in reference to ICICI
Prudential Life Insurance Co. Ltd. in partial fulfillment of requirement for
the completion of Bachelor in Business Administration (BBA IIFSB) course
as prescribed by the Maharshi Dayanand University, Rohtak, (HARYANA).
This project report is the record of authentic work carried out by him/her during
the period from 15th July 2016 to 12th November 2016. She has worked under
my guidance.

(Signature)
Mr. Paramjeet Singh Ahuja
Assistant Professor, BBA Department
Project Guide (Internal)
Date:

Counter signed by

(Signature)
Mr. Ravi Bakshi
Department Coordinator (BBA Department)
Date:
5

ACKNOWLEDGEMENT
I owe a great many thanks to great no. of people who helped & supported me during the
writing of this report .
My deepest thanks to my professor Mr. Paramjeet Singh Ahuja, the guide of the project for
guiding and correcting various documents of mine with attention and care. He has taken the
pain of going through the project and making necessary corrections and when needed.
I am grateful to the director of our reputed college for extending his unqualified support.
My deep sense of gratitude to Mr. Amit Virmani from Mapping minds venture for his
support and guidance.
I would also like to acknowledge my instituition and faculty members without whom this
project would have been just a distant dream.i would also like to extend my heartfelt thanks
to the members of my family & other well wishers.

VERSHA

EXECUTIVE SUMMARY
ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a premier
financial powerhouse and prudential plc, a leading international financial services group
headquartered in the United Kingdom. ICICI Prudential was amongst the first private sector
insurance companies to begin operations in December 2000 after receiving approval from
Insurance Regulatory Development Authority (IRDA). As the people are becoming more and
more and aware of their Life Style and Income level. They need a plan, which has an
optimum balance between their Investment and Savings. They require an integrated financial
plan for investment. The customer requires those investment options, which provide them
with flexibility and Liquidity and tax benefit.
I am found out tools relates to investment in ULIP at ICICI Prudential life insurance. This
project emphasis on Insurance as a investment tool with regards to ULIP at ICICI Prudential
Life Insurance Company Ltd.

A PROJECT REPORT ON
Insurance as a investment tool with regards to ULIP at ICICI Prudential Life Insurance
Company Ltd.

Objectives
To know the importance and awareness of investment in ULIP
To know the risk perception investment relating to the financial management
To know the elements of risk and returns in ULIP
To examine the performance of the plan

INTRODUCTION
As finance is the lifeblood for all economic activities, one aspect of financial arena, which
plays a very important role, is the Insurance. Insurance is the outcome of Mans search for
safety and security, and to find out ways and means to minimize the hardship, which are
beyond his control. Because of the economic reforms introduced by our government we can
see that due to this Globalization and privatization there is enormous increase in the private
sector players queuing in the insurance sector. This entry of Private players has enhanced the
competitiveness and Quality of service with many innovated products.
Now in India there are totally 28 players including 14 Life and 14 General Insurance
Companies. And Life Insurance is one of the most common forms of insurance.
ICICI Prudential Life Insurance Company is an emerging star in the Private players with the
competition being Global in nature

BRIEF HISTORY OF INSURANCE:

The business of insurance started with marine business. The first insurance policy was issued
in 1583 in England.
Some of the important milestones in the insurance business in India are:
1818: -The British introduce to India, with the establishment of the Oriental Life Insurance

Company in Calcutta.
1850: - Non life insurance debuts, with Triton Insurance company.
1870: - Bombay Mutual Life Assurance Society is the first India-owned life insurer.
1907: - Indian Mercantile Insurance is the first Indian non-life insurer.
1912: -The Indian life assurance Companies act enacted to regulate the life insurance
business.
1938: - The insurance act, which forms the basis for most current insurance laws, replaces
earlier act.

1956: - Life insurance nationalized, government takes over 245 Indian and foreign insurers
and provident societies.
1972: - Non Life insurance nationalized, GIC set up.
1993: - Malhotra Committee, headed by former BBI governor R.N. Malhotra, set up to draw
up a blue print for insurance sector reforms.
1994: -Malhotra Committee recommends re-entry for private players, autonomy to PSU
insurers.
1997:-Insurance regulator IRDA (Insurance Regulatory and Development Authority) set up.
2000:-IRDA starts giving licences to private insurers, ICICI Prudential and HDFC Standard
Life first private insurers to sell a policy.
2002:- Banks were allowed to sell insurance plans, as TPAs enter the scene, insurers start
settling non-life claims in the cashless mode

Insurance: Definition and Meaning

Functional definition:
In the words of R.S.Sharma Insurance is a Co-operative devices to spread the loss
caused by particular risk over a number of persons who were exposed to it and who agree top
insure themselves against the risk

Contractual Definition:
According to E.W.Patterson, Insurance is a contract by which one party, for a
consideration called a premium, assures a particular risk of other party ad promises to pay to
him or his nominee a certain or ascertainable sum of money on a specified contingency.
According to the U.S Life Office Management Association Inc (LOMA), Life Insurance is
defined as follows: Life insurance provides a sum of money if the person who is insured dies
whilst the policy is in effect

Other terms used in relation to insurance and their meaning:

9

Agent: The authorized representative of the insurer, licensed by the concerned authorities
like IRDA to canvass insurance.
Bonus: The yearly share of policy holders profit declared by the company based on its profits
which gets added to the policy amount and is payable upon its maturity.
Claim: The amount entitled to the policy holder or his nominee/assignee under a policy
contract in the event of the happening of the contingency insured against.
Insurable Interest: Evidence suggesting financial losses due to the occurrence of the event
insured against.
Policy: The evidence of contract between the insurer and the insured. A stamped sealed and
signed document issued by the insurer to the insured in proof of insuring his life.
Premium: The amount mentioned in the policy contract to be paid by the insurer periodically
to the insure to keep the policy in full force

Insurance in Indian Financial System:

In India insurance is in practice since 12th century as per the records. The first life insurance
company to operate in India the Oriental Life Insurance company was established in 1818 in
Calcutta. However it was a British company. The first Indian Insurance company, the
Bombay Mutual Life Assurance Society started its operation in 1871. The Indian Life
Insurance company Act was passed in 1928.Subsequently, both of these Acts were merged
and the insurance Act 1938 was promulgated.

Independent India amended the Insurance Act in 1950 and in 1956, the then fianc minister of
the nation Mr. C D Deshmukh nationalized all insurance companies, 154 Indian Insurance
companies and 75 provident societies. Finally the life insurance Corporation was born on 1 st
September 1956.

10

The story of non-life insurance in India is no different. Though Lloyds insurance pioneered
the general Insurance way back in 1688, the first non-life Insurance Company
set up shop in India was the Triton Insurance company of Calcutta. In 1907 the first Indian
general insurer the Indian Mercantile insurance company started its operations. The New
India Assurance Company Limited was incorporated in 1919. After independence the India
Reinsurance Corporation was set up in 1956 and in 1957 the office of the controller of the
insurance was constituted. In 1968, that tariff advisory committee was set up to regulate the
investment of the players and finally in 1972, the non-life insurance business in the country
was nationalized and the general insurance company was formed as holding company with
four subsidiaries, the National Insurance, Oriental Insurance, United India Insurance and the
new India Assurance Company Limited. In the same year the National Insurance Company
Limited was amalgamated with 22 foreign and 11 Indian Insurance companies. Thus over a
period of two centuries, the Indian insurance industry has gone through the full circle. From
being an open competitive market, it went through nationalization and has been
subsequently liberalized again. Keeping in mind the national economic and commercial
objective of India the government has set up IRDA on 7 th December 1999. Through which
the reforms process of the industry got under way.

Insurance in Indian Financial System Its Importance

Insurance industry is one of the corner stone of any economy and financial System. Insurance
industry contributes its major part in increasing the saving and the fund collected is utilized in
developmental programs.
The Financial sector in our country is in the process of change with the objective o the overall
growth of the economy. The insurance sector as every one knows constitutes a very important
and vital financial intermediary for the growth of the economy.
Insurance has become part and parcel of the financial system because it:

Reduces the uncertainty of business loses.

Increases business efficiency.

11

Identifies key men.

Enhances the credit.

Takes care of welfare of the society.

Protect the wealth of the nation.

Helps to attain economic growth.

Reduces the inflation level.

The advantages of Life Insurance :

Life insurance is brought not because someone is going to die, but because someone
is going to live.

Life insurance means peace of mind.

Life insurance promises payment of the full sum assured from the moment the first
premium is paid.

Life insurance encourages regular savings and guards against extravagances.

In most cases life insurance possesses a cash value after the first three years.

Life insurance removes the worry of looking after your savings. Experts safely and
profitably invest your money on your behalf by experts.

Life insurance guarantees payment in cash and is backed by the Government of India.

Life insurance is a tax saving product.

Life insurance is free from loss, from theft, fire, misplacement etc.

A life insurance contract is one sided, i.e., always in favor of the insured and his
family. One can withdraw from the contract anytime, but the companys cannot.

Life insurance replaces uncertainty with certainty. It provide a complete, balanced and
perfect hedge against economic threats, which confront all person, the danger of
living too long or the danger of dying soon.

How Insurance Works

Suppose there are 1000 person all aged 35 years and healthy lives. They are insured for one
year against the risk of death. Each person is insured for Rs. 50,000. if the past experience
12

indicates the 4 out of 1000 people die during the year, expected amount claimed to be paid to
the family of 4 persons would come to Rs. 2,00,000. the contribution to be paid by the each
of the 1000 will come to Rs.200 per year. Thus, all the 1000 persons share loss caused to the
4 unfortunate families. 996 persons who survived till 1 year have not lost any thing as they
have secured peace of mind and a feeling of security for their family. While insurance cannot
prevent accident or premature death, it can help, protect the family of the deceased against
the loss of income caused by the of the main breadwinner. In return for specified payments,
insurance will provide protection against the insurance of an uncertain event such as
premature death.
The business of insurance company called insurer is to bring together persons who are
exposed to similar risk, collect contribution (premium) from them on sum equitable basis and
pay the losses (claim) to the unfortunate few who suffer.

NEED FOR THE INSURANCE:

Unlike other avenues of savings where the amount saved with interest is payable only on
maturity, insurance plans provide for payment of the total sum assured along with a bonus, if
any, on any eventuality even before the maturity of the policy. And another advantage of
insurance is that an insurer can avail loans against the security of the policy from the
insurance company. Even banks and other financial institutions advances loans with
insurance policies as a collateral security .To provide for ones family and perhaps; others in
the event of death, especially premature death. Originally, policies were to provide for short
period of time, covering temporary risky situations, such as sea voyages. As lie insurance
became more established, it was realized what a useful tool it was for a number of situation,
including:

Temporary needs/threats:The original purpose of life insurance remains an important element, namely
providing for replacement of income on death etc.

Regular savings:-

13

Providing for ones family and oneself, as a medium o long term exercise

(through a

series of regular payment of premiums). This has become more relevant in recent times as
people seek financial independence from their family.

Investment;
It is the insurance that builds up the savings of the society and thus safeguard the

economy from the ravages of inflation. Unlike regular saving products, investment
Products are traditionally lump sum investments, where the individual makes one time
payment.

Retirement: Provisions for ones own later years become increasingly necessary,
especially in a changing cultural and social environment. One can buy a suitable
insurance policy, which will provide periodical payments in ones old age.

Why should you take insurance

Insurance is desired to safeguard oneself and ones family against possible losses on account
of risk and perils. It provides financial compensation for the losses suffered due to the
happening of unforeseen events. By taking life insurance a person can have peace of mind
and need not worry about the financial consequences in case of any untimely death.
Along with the growth of overall population in the country, crossing the benchmark of
hundred Crore, there gas been a significant awareness for the need for insurance in the other
as well as rural segments and even among the lower middle class and illiterate class of the
population .We in India have around 30 crore middle class educated and enlightened people
who have not realized that insurance is as necessary as the other basic necessities of life such
as food, shelter, clothing.

The Insurance Regulatory and Development Authority (IRDA):

Reforms in the Insurance sector were initiated with the passage of the IRDA Bill in
Parliament in December 1999. The IRDA since its incorporation as a statutory body in April
2000 has fastidiously stuck to its schedule of framing regulations and registering the private
sector insurance companies.
14

The other decisions taken simultaneously to provide the supporting systems to the insurance
sector and in particular the life insurance companies were the launch of the IRDAs online
service for issue and renewal of licenses to agents.
The approval of institutions for imparting training to agents has also ensured that the
insurance companies would have a trained workforce of insurance agents in place to sell their
products, which are expected to be introduced by early next year.
Since being set up as an independent statutory body the IRDA has put in a framework of
globally compatible regulations. In the private sector 12 life insurance and 6 general
insurance companies have been registered.

Functioning of the IRDA

To exercise all the powers and functions of controller of insurance.
Protection of the interest of the policy holders.
To issue, renew, modify, withdraw or suspend certificate of registration.
To specify requisite qualification and training for insurance intermediaries and
agents.

To promote and regulate professional organizations connected with insurance.

To conduct inspection/investigation etc.

To prescribe method of insurance accounting.

To regulate investment of funds and margins of solvency.

To adjudicate upon dispute.

To conduct inspection and audit of insurers intermediaries and other organization

concerned with insurance.

With a mission of : protect the interest of the policy holders to regulate promote and
ensure orderly growth of the insurance industry and for matters connected there with or
incidental thereto.
15

IRDA Enablers:
In the new market set up, the IRDAs role that of an enabler. The new insurers will
conduct insurance business in India according to the healthy norms prescribed the IRDA.
Regulations for all insurance intermediaries will specify sales-norms. Guidelines for the
code of conduct for the surveyors and loss assessors will help all concerned. Efficiency
will be promoted in the conduct of insurance business. Professional organizations
connected with insurance business will regulate.The role of IRDA, besides regulating the
market, it also intents to develop it. The IRDA has the task to promote fair competition in
hither to monopolistic insurance market. In such a fast develop scenario were the
prospected appears to be brighter both for insurers and the customers

COMPETITORS INFORMATION IN INSURANCE INDUSTRY:

a) LIC -Fully owned by Government.
b) Postal Life Insurance.
Private Players a) Baja Allianz Life Insurance Co. Ltd.
b) Birla Sun Life Insurance Co. Ltd.
c) HDFC Standard Life Insurance Co. Ltd.
d) ICICI Prudential Life Insurance Co. Ltd.
e) ING Vysya Life Insurance Co. Ltd.
f) Max New York Life Insurance Co. Ltd.
g) MetLife India Insurance Co. Pvt. Ltd.
h) Kotak Mahindra Old Mutual Life Insurance Co. Ltd.
i) SBI Life Insurance Co. Ltd.
j) TATA AIG Life Insurance Co. Ltd
k) AMP Sanmar Assurance Co. Ltd.
l) Aviva Life Insurance Co. Ltd.
m) Sahara India Life Insurance Co. Ltd.
n) Shriram Sunlam.
o) PNB Life Insurance
16

p) Reliance Life Insurance

q) Axa Bharti Enterprises.

INDIAN

FOREIGN

INSURER
WEBSITE
Allianz Bajaj life allianzbajaj.co.in

PROMOTER
Bajaj Auto

PROMOTER
Allianz AG

insurance
Assurance
Birla Sun Life

Sanmar Group
Aditya Birla Group

AMP, Australia
Sun Life Financial,

ampsanmar.com
birlasunlife.com

Insurance
Aviva

Canada
Life avivindia.com

Dabur India

Aviva Plc

Insurance
HDFC
Standard dfcinsurance.com

HDFC

Standard Life

Life insurance
ICICI
Prudential iciciprulife.com

ICICI

Prudential Plc

Life Insurance
ING Vysya Life ingvysyalife.com

Vysya Bank

ING Group

Insurance
Life
Insurance Licindia.com

Govt of India

None

Corporation
Max New York
maxnewyorklife.com
MetLife
India metlifeindia.com

Max India
New York Life
J&K Bank,Pallonji Metropolitan Life

Insurance
OM

& Co
Kotak

Kotak Omkotakmahindra.co

Mahindra Life
SBI life insurance
Tata-AIG

m
sbilife.co.in

life tata-aig.com

insurance

Insurance
mahindra Old Mutual Plc

finance
State Bank of India

Cardiff (arm of BNP

Tata Group

Paribas)
American
International Group

17

INTRODUCTION ABOUT ULIP:

The concept of ULIP came in to existence in 1960s to provide an optimum balance between
protection and investment.
ULIP distinguishes itself through the multiple benefits it provides to the policyholders. These
plans are designed with a view to help the customers to utilize the market opportunities by
investing in the share market, capital market and at the same time have the facility of Death
Benefit and Maturity Benefit .Unit-linked life insurance products are those where the benefits
are expressed in terms of number of units and unit price. They can be viewed as a
combination of insurance and mutual funds .The number of units that a customer would get
would depend on the unit price when he pays his premium. The daily unit price is based on
the market value of the underlying assets (equities, bonds, government securities, etc) and
computed from the net asset value .The advantage of unit-linked plans is that they are simple,
clear, and easy to understand. Being transparent the policyholder gets the entire upside on the
performance of his fund. Besides all the advantages they offer to the customers, unit-linked
plans also lead to an efficient utilization of capital.
Unit-linked products are exempted from tax and they provide life insurance. Investors
welcome these products as they provide capital appreciation even as the yields on
government securities have fallen below 6 per cent, which has made the insurers slash
payouts.
According to the IRDA, a company offering unit-linked plans must give the investor
an option to choose among debt, balanced and equity funds. If you choose a debt plan, the
majority of your premiums will get invested in debt securities like gilts and bonds. If you
choose equity, then a major portion of your premiums will be invested in the equity market.
The plan you choose would depend on your risk profile and your investment need .The ideal
time to buy a unit-linked plan is when one can expect long-term growth ahead. This is
especially so if one also believes that current market values (stock valuations) are relatively
low .So if you are opting for a plan that invests primarily in equity, the buzzing market could
lead to windfall returns. If one invests in a unit-linked pension plan early on, say when one is
25, one can afford to take the risk associated with equities, at least in the plan's initial stages.
However, as one approaches retirement the quantum of returns should be subordinated to
capital preservation. At this stage, investing in a plan that has an equity tilt may not be a good
18

idea .Considering that unit-linked plans are relatively new launches, their short history does
not permit an assessment of how they will perform in different phases of the stock market.
Even if one views insurance as a long-term commitment, investments based on performance
over such a short time span may not be appropriate.
Simply put, ULIPs work very similar to a mutual fund with a life cover thrown in.
They have a mandate to invest the premiums in varying proportions in gsecs (government
securities), bonds, the money markets (call money) and equities. The primary difference
between conventional savings-based insurance plans like endowment and ULIPs is the
investment mandate- while ULIPs can invest upto 100% of the premium in equities, the
percentage is much lower (usually not more than 15%) in case of conventional insurance
plans. ULIPs are also available in multiple options like `aggressive' ULIPs (which can invest
upto 100% in equities), `balanced' ULIPs (which invest 40-60% in equities) and `debt' ULIPs
(which invest only in debt and money market instruments). The exact expense structure/
break-up for ULIPs is as transparent as one would have liked. Broadly speaking, ULIP
expenses are classified into three major categories:

19

Investment tools of unit-linked insurance plans :

FUND
NAME ASSEET
AND
ITS ALLOCATION
OBJECTIVES

MIN.

MAX.

R.I.C.H: Returns
from
equity
investment in four
types of industries,
viz,
resources,
investment/capital
goods,
consumption and
human
capital
leveraged.
Flexi growth II:
Long term returns
from an equity
portfolio of large,
mid and small
capital companies.
Multiplier II: Long
term
capital
appreciation from
equity portfolio.

Equity and equity 80%

related securities
Debt, money 0%
market, and cash.

100%

Equity and equity 80%

related securities
Debt, money 0%
market, and cash.

100%

Equity and equity 80%

related securities
Debt, money 0%
market, and cash

100%

Flexi Balanced II:

Balance of capital
appreciation and
stable returns from
an equity (large,
mid and small
capital) and debt
portfolio.
Balancer
II:
Balance
growth
and steady returns
from an equity and
debt portfolio.
Protector
II:
Accumulate steady
income at a lower
risk

Equity and equity 0%

related securities
Debt, money 40%
market, and cash

60%

Equity and equity 0%

related securities
Debt, money 60%
market, and cash

40%

Debt insurance,
money market, and 100%
cash

20

POTENTIAL
RISKREWARD

High
20%

High
20%

High
20%

Moderate
100%

Moderate
100%

100%

Low

Purpose of the Study:

The main purpose of the study is to find out the factors which are influencing the
investment tools regards with ULIP at ICICI Prudential and to suggest some strategies which
will help the organization.

Scope of the study:

The scope of the study will helps to the peoples for there choice of investment.
The study will help to know the expectations of the ULIP.in future.
The company can find out the satisfaction level of the ULIP of their product plans.
The scope of the study will help the company will find the problems of peoples
investing in ULIP.

21

ORGANISATION PROFILE:
ICICI Prudential Life Insurance Company Limited (the Company) a joint venture
Between ICICI Bank Limited and Prudential plc of UK was incorporated on July 20, 2000 as
a company under the Companies Act, 1956 (the Act). The Company is licensed by the
Insurance Regulatory and Development Authority (IRDA) for carrying life insurance
business in India.
ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a premier
financial powerhouse and prudential plc, a leading international financial services group
headquartered in the United Kingdom (UK). The company brings together the local market
expertise and financial strength of ICICI Bank and Prudentials International life insurance
experience. The company was granted a certificate of Registration by the IRDA on November
24, 2000 and eighteen days later, issued its first policy on December 12. ICICI Prudential
was amongst the first private sector insurance companies to begin operations in December
2000 after receiving approval from Insurance Regulatory Development Authority (IRDA).
From its early days, ICICI Prudential seemed to have the wherewithal for a large-scale
business. By March 31, 2002, a little over a year since its launch, the company had issued
100,000 policies translating into premium income of approximately Rs. 1,200 million on a
sum assured of over Rs.23 billion. When the company began its operations, the need was to
build a brand that was relatable to, symbolized trust and was easily recognized and
understood. It launched a corporate campaign ICICI Prudential also made using the theme of
Sindoor to epitomize protection, trust, togetherness and all that is Indian; endearing itself to
the masses. The success of the campaign, the calling card of the company saw the brand
awareness scores almost at par with its 40 year old competitor. The theme of protection was
also extended to subsequent product and category specific Campaigns from child plans to
retirement solutions which highlight how the company will be with its customers at every
step of life.
From day one, the company has unflinchingly focused on being mass-market player,
developing products, creating a distribution network and deploying resources that would
22

further its goal. Apart from ramping up thoroughly training its advisors, the company has
twelve Banc assurance partners the largest in the country. It swiftly revised and added to its
initial range of products, pioneering market-linked products and pension plans, to offer
customers the most flexible life insurance policies in the country. In February 2004, ICICI
Prudential increased its capital base by Rs. 500 million, its ninth capital hike, bringing the
total paid up equity capital to Rs. 6,750 million. With the authorized capital of the company
standing at Rs. 12 billion, ICICI Prudential continues to have the highest capital base
amongst all life insurers in the country. The challenge ICICI Prudential now faces is to retain
its top-notch position and continue to deliver the finest life insurance and pension solutions to
its ever-growing customer base.
ICICI Prudentials equity base stands at Rs. 1185 crore with ICICI Bank and Prudential plc
holding 74% and 26% stake respectively. For the year ended March 31, 2006, the company
garnered Rs.2, 412 crore of weighted new business premium and wrote 837,963 policies. The
sum assured in force stands at Rs.45, 888 crore. The company has a network of over 72,000
advisors; as well as 9 bancasurance partners and over 200 corporate agent and broker tieups .ICICI Prudential is also the only private life insurer in India to receive a National Insurer
Financial Strength rating of AAA from Fitch ratings. The AAA rating is the highest credit
rating, and is a clear assurance of ICICI Prudentials ability to meet its obligations to
customers at the time of maturity or claims.
For the past five years, ICICI Prudential has retained its position as the No.1 private insurer
in the country, with a wide range of flexible products that meet the needs of the Indian
customer at every step in life.
Beginning operations in December 2000, ICICI Prudentials success has been meteoric,
becoming the number one private life insurer within months of launch. Today, it has one of
the largest distribution networks amongst private life insurers in India, with branches in 54
cities. The total number of policies issued stands at more than 780,000 with a total sum
assured in excess of Rs.160 billion.
ICICI Prudential closed the financial year ended march 31, 2004 with a total received
premium income of Rs. 9.9 billion; up 135% last years total premium income of Rs.4.20
billion. New business premium income shows a 106% growth at Rs. 7.5 billion, driven
mainly by the companys range of unique unit-linked policies and pension plans. The
23

companys retail market share amongst private companies stood at 36%, making it clear
leader in the segment. To add to its achievements, in the year 2003/04 it was adjudged Most
Trusted Private Life Insurer (Economic Times Most Trusted Brand Survey by AC Nielsen
ORG-MARG). It was also conferred the Outlook Money-Best Life Insurer award for the
second year running. The company is also proud to have won Silver at EFFIES 2003 for its
Retire from work, not life campaign. Notably, ICICI Prudential was also short-listed to the
final round for its Sindoor campaign in EFFIES 2002.
ICICI Prudentials success is rooted in its philosophy to always offer the customer a choice.
This has been the driving force behind its multi-channel distribution strategy, which includes
advisors, banks, direct marketing and corporate agents. In fact, ICICI Prudential was the first
life insurer to invest in multiple channels and offer the customer choice and access; thus
reducing dependency on any one channel, great strides in the retirement solutions and
pensions market .The Companys penetration of the retirement market was driven by the
focused approach towards creating awareness through sustained campaign; Retire from
work, not life. Within six months, the campaign rewarded ICICI Prudential with an increased
share of 23% of the total pensions market and 78% amongst private players.
ICICI Prudential Life's capital stands at Rs. 37.72 billion (as on March, 2008) with ICICI
Bank and Prudential plc holding 74% and 26% stake respectively. For the year ended March
31, 2008, the company garnered Retail New Business Weighted premium of Rs. 6,684 cores,
registering a growth of 68% over the last year and has underwritten nearly 3 million retail
policies during the period.
The company has assets held over Rs. 30,000 cores as on April 30, 2008.ICICI Prudential
Life is also the only private life insurer in India to receive a National Insurer Financial
Strength rating of AAA (Ind) from Fitch ratings. The AAA (Ind) rating is the highest rating,
and is a clear assurance of ICICI Prudential's ability to meet its obligations to customers at
the time of maturity or claims.

24

Company Profile
ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a
premier financial powerhouse and Prudential plc, a leading international financial services
group headquartered in the United Kingdom. ICICI Prudential was amongst the first private
sector insurance companies to begin operations in December 2000 after receiving approval
from(IRDA).

Vision:
To make ICICI Prudential the dominant Life and Pensions player built on trust by
world-class people and service.
Vision, Mission, and Quality Policy
Vision:
To be the dominant Life and Pension player built on trust by world class people and
service.
This they hope to achieve by:

Understanding the needs of customers and offering them superior products and
service
Leveraging technology service customers quickly, efficiently and conveniently
Developing and implementing super risk management and investment
strategies to offer sustainable and stable returns to their policyholders
Providing an enabling environment to foster growth and learning for their
employees
And above all, building transparency in all their dealings.

Values

Customer First: Own Customer; deliver the promise

o Keep customer interest in the centre of all decisions.
o Promise what you can, deliver it to finish.
o Proactively seek Voice of Customer and act on it.
Boundary less: Never say Its not my job
o Offer help and support across functions to ensure business success.
o Seek and share ideas freely
o Recognize and respect internal customers.
o Understand and value contributions from colleagues.
Ownership: If it is to be, it is up to me
25

o Take responsibility and see tasks through to completion.

o Own mistakes, learn from mistakes.
o Pursue goals relentlessly, never give up.
o Be a team player, take ownership for team performance.
Passion: Boundless energy and enthusiasm
o Exhibit Winning Instinct.
o Demonstrate speed and urgency for achieving results.
o Challenge status quo and do things differently.
o Nurture and motivate team members to reach full potential.
Integrity: Be honest and fair in what you say and do
o Practice what you preach
o Stand up honestly and fearlessly for what is right
o Act in a consistent and equitable manner
o Think and act for long term impact.

ICICI Prudential Life Insurance

ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank,
which is one of India's foremost financial services companies, and Prudential plc, which is a
leading international financial services group headquartered in the United Kingdom. ICICI
Prudential began the operations in December 2000. Today, this company has over 2100
branches, which include 1,116 micro-offices, over 290,000 advisors and 18 banc assurance
partners.
ICICI Prudential Life Insurance Company is the first life insurer in India that received a
National Insurer Financial Strength rating of AAA (Ind) from Fitch ratings. ICICI Prudential
has been voted as India's Most Trusted Private Life Insurer for three consecutive years. ICICI
Prudential Life Insurance Company has various insurance plans that have been designed for
different individuals, as every individual has different insurance needs. Given below is a list
of plans provided by ICICI Prudential Life Insurance Company:

STAGES IN POLICY ISSUANCE

Proposal

26

A Proposal Stage is the First stage before the policy is issued at COPS. At this stage, the
application form is received by COPS, but it is pending for issuance due to further
clarifications required from the customer.
Login
A proposal, which is complete i.e., duly filled with all necessary documents
attached to it & accepted by the Branch ops, is called a Login
Reject
An Application gets rejected at the Branch Ops level due to necessary details not filled in
the form or necessary documents not submitted are a Reject. It is then sent back to the
Advisor for completion.
Issuance
Issuance means a policy that is issued to the Customer by Central Ops.
Decline Status
When a customer refuses to take a policy post login but before Issuance is called a
Decline
Cancellation
When the cheque given by the customer bounces, it amounts to cancellation of the policy.
Lapse
A policy for which the Customer fails to pay subsequent premiums is a Lapsed Policy.
Free look
Post issuance of the policy, the policyholder has the option to turn down the policy within
15 days from the date of issuance. This period of 15 days is called Free look Period.

27

Promoters
ICICI Bank Limited (NYSE:IBN) is India's largest private sector bank and the second largest
bank in the country with consolidated total assets of about US$ 95 billion as of March 31,
2009. ICICI Banks subsidiaries include Indias leading private sector insurance companies
and among its largest securities brokerage firms, mutual funds and private equity firms. ICICI
Banks presence currently spans 19 countries, including India.
Prudential
Established in London in 1848, Prudential plc is a leading internal retail financial services
group with significant operations in Asia, the US and the UK. Prudential has been writing
protection and savings insurance for over 160 years, and today has more than 21 million
customers worldwide and over 249 billion in assets under management (as of December 31,
2008). In Asia, Prudential is the leading Europe-based life insurer with operations in China,
Hong Kong, India, Indonesia, Japan, Korea, Malaysia, the Philippines, Singapore, Taiwan,
Thailand, and Vietnam. Prudential is one of the largest asset management companies in terms
of overall assets sourced in Asia ex-japan, with ?36.8 billion funds under management (as of
December 31, 2008) and operations in ten markets including China, Hong Kong, India,
Japan, Korea, Malaysia, Singapore, Taiwan, Vietnam and United Arab Emirates.
The Company
ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a premier
financial powerhouse, and Prudential plc, a leading international financial services group
headquartered in the United Kingdom. ICICI Prudential was amongst the first private sector
insurance companies to begin operations in December 2000 after receiving approval from
Insurance Regulatory Development Authority (IRDA).
ICICI Prudential Life's capital stands at Rs. 4,780 crores (as of March, 2009) with ICICI
Bank and Prudential plc holding 74% and 26% stake respectively. For the period April 1,
2008 to March 31, 2009, the company has posted a growth of 13%, garnering total received
premium (new business + renewal) of Rs 15,356 crores as against Rs 13,563 crores in
28

FY2008 and has underwritten over 9 million policies since inception. The company has assets
held over Rs. 32,000 crores as on March, 2009.
ICICI Prudential Life is also the only private life insurer in India to receive a National Insurer
Financial Strength rating of AAA (Ind) from Fitch ratings. The AAA (Ind) rating is the
highest rating, and is a clear assurance of ICICI Prudential's ability to meet its obligations to
customers at the time of maturity or claims.
For the past eight years, ICICI Prudential Life has retained its leadership position in the life
insurance industry with a wide range of flexible products that meet the needs of the Indian
customer at every step in life.

INSURANCE PRODUCT AND SERVICE:

ICICI Prudentials ultimate promise is financial security. A strong brand certainly boosts
sale, but without customer-friendly, innovative products, even the best brand would not last
long. ICICI Prudentials product range has been developed on the understanding that different
people have their own sets of needs at various stages of their lives. It has thus built a flexible
portfolio of products that can be customized to cater to varying needs of people at each stage,
and thus ensure protection in every step of life. The companys philosophy has been to help
customers understand their financial needs and work closely with them to customize a
product that would meet. Advisors can offer a complete range of products Savings plans,
Child plans, Market-linked plans, Protection plans, and Retirement plans and tailor a
flexible solution to meet customers changing needs at every stage of life. In fact, ICICI
Prudential was the first to un-bundle product benefits, pioneering the concept of riders and
soon after introduce comprehensive market-linked and retirement plans. ICICI Prudential has
launched a handful of products that are analyzed below: ICICI Prudential's life insurance
products may be loosely categorized under three forms: pure life insurance products without
an investment angle to them; a product that is a mix of a cumulative investment scheme and
an insurance product; and, finally, standard products such as money-back and endowment
policies.
29

Life Insurance Plans

Education Insurance Plans
Smart Kid New Unit-linked
Regular Premium
Smart Kid New Unit-linked
Single Premium
Smart Kid Regular Premium
Wealth Creation Plans
Wealth Advantage
LifeStage Assure
LifeTime Gold
LifeLink Super
LifeStage RP
Premium Guarantee Plans
InvestShield Life New
InvestShield CashBank
Protection Plans
Pure Protect
Life Guard
Save 'n' Protect
CashBak
Home Assure
Retirement Solutions
Life Stage Pension
LifeTime Super Pension
LifeLink Super Pension
30

ForeverLife Plan
Immediate Annuity
Health Coverage Plans
Health Saver
Medi Assure
Hospital Care
Crisis Cover
Cancer Care
Diabetes Care Active
Diabetes Assure
ICICI Pru Group Solutions Advantage
Group Super Annuation
Group Gratuity Plan
Annuity Solutions
Group Term Insurance Plan
Group Term Insurance in lieu of EDLI
Rural Plans
ICICI Pru Suraksha
ICICI Pru Suraksha Kavach
Micro Insurance Plans
ICICI Pru Sarv Jana Plan
PRODUCTS:
Insurance Solutions for Individuals
ICICI Prudential Life Insurance offers a range of innovative, customer-centric products that
31

meet the needs of customers at every life stage. Its products can be enhanced with up to 4
riders, to create a customized solution for each policyholder.
Life Time Gold is a unit-linked plan which offers potentially higher returns over the long
term with flexible investment options to help you achieve your goals. It offers 8 fund
options - Preserver, Protector, Return Guarantee Fund, Balancer, Flexi Balanced
Multiplier, R.I.C.H and Flexi Growth.
Life Stage RP is unit linked plan that provides you with an option of lifecycle-based
portfolio strategy that continuously re-distributes your money across various asset classes
based on the customers profile, helping him achieve his desired financial goals.
LifeLink Super is a single premium unit linked insurance which offers attractive premium
allocation along with the opportunity to enjoy potentially high returns over the long term,
without compromising on the protection of your family.
Invest Shield Life New is a unit linked plan that provides premium guarantee and allows
the customer to enjoy the benfits of potentially higher returns while guaranteeing him that
he will get back atleast all the premiums paid by him, while providing protection to your
family with a life insurance cover.
Invest Shield Cashbak is a unit linked plan that provides premium guarantee while
maintaing a balance between return, safety & liquidity.
Wealth Advantage s a unique whole life single premium unit linked plan that provides
long term coverage upto the age of 70 years and provides you the option to systematically
withdraw your money.
Life Stage Assure a unit linked insurance plan that provides Guaranteed Maturity
Addition of 100%- 450% of first year premium based on the term and number of
premiums paid, with the additional advantage of a lifecycle based portfolio strategy that
allocates the investors money across various asset classes based on his age and risk
appetite
32

Protection Solutions
Pure Protect is a flexible and affordable term product, with which you can ensure your
life and provide total security for your family in case of an unfortunate event.
Life Guard is a protection plan, which offers life cover at low cost. It is available in 2
options level term assurance with return of premium & single premium.
Home Assure is a mortgage reducing term assurance plan designed specifically to
help customers cover their home loans in a simple and cost-effective manner
Child Plans
Smart Kid New ULRP The policy is designed to provide money at key educational
milestones in the child's life. SmartKid plans are also
Retirement Solutions
Forever Life is a traditional retirement product that offers guaranteed returns for
the first 4 years.
Life Time Super Pension is a regular premium unit linked pension plan that helps
one accumulate over the long term and offers 5 annuity options (life annuity, life
annuity with return of purchase price, joint life last survivor annuity with return of
purchase price, life annuity guaranteed for 5,10 and 15 years & for life thereafter,
joint life, last survivor annuity without return of purchase price) at the time of
retirement.
Life Stage Pension is a regular premium unit linked pension plan that provides
you with a unique lifecycle-based strategy that continuously re-distributes your
money across various asset classes based on your age and risk profile.
Life Link Super Pension is a single premium unit linked pension plan.
Immediate Annuity is a single premium annuity product that guarantees income
for life at the time of retirement. It offers the benefit of 5 payout options.

33

Health Solutions
Hospital Care is a fixed benefit plan covering various stages of treatment
hospitalization, ICU, procedures & recuperating allowance. It covers a range of
medical conditions (900 surgeries) and has a long term guaranteed coverage upto
20 years.
Crisis Cover is a 360-degree product that will provide long-term coverage against
35 critical illnesses, total and permanent disability, and death.
Diabetes Care Active is a long term insurance policy created for individuals with
Type II diabetes and pre-diabetes. It offers long term (upto 20 years) control over
diabetes through a specially designed Wellness Programme including regular
health checkups and a Diabetes Coach to facilitate diabetes management. It also
provides you coverage against seven major critical illnesses.
Cancer Care is a regular premium plan that pays cash benefit on the diagnosis as
well as at different stages in the treatment of various cancer conditions.
Medical Assure is a health insurance policy that provides assured insurability till
age 75 years, assured coverage for accepted pre-existing illnesses after 2 years and
an assured price for 3 years.
Health Saver provides comprehensive hospitalization cover and reimburses all
other medical expenses by building a health fund.
available in traditional form
Flexible Rider Options
ICICI Prudential Life offers flexible riders, which can be added to the Basic
policy at a marginal cost, depending on the specific needs of The customer Accident &
disability benefit: If death occurs as the result of an accident during the term of the policy,
the beneficiary receives an additional amount equal to the rider sum assured under the
34

policy. If an accident results in total and permanent disability, 10% of rider sum assured will
be paid each year, from the end of the 1st year after the disability date for the remainder of
the base policy term or 10 years, whichever is lesser. If the death occurs while traveling in
an authorized mass transport vehicle, the beneficiary will be entitled to twice the sum
assured as additional benefit.
Critical illness benefit: Critical Illness Benefit Rider provides protection against 9 critical
illnesses to the policyholder when attached to the basic plan.
Waiver of premium: On total and permanent disablement due to accident all future
premiums under the base plan will be waived till the end of the term of the rider or death of
assured life, if earlier.
Income benefit rider: In case of death of the Life Assured during the term of the policy,
10% of the Sum Assured is paid annually to the nominee on each policy anniversary till the
maturity of the rider.

Achievements
Beginning operations in December 2000, ICICI Prudentials success has been meteoric,
becoming the number one private life insurer within months of launch. Today, it has one of
the largest distribution networks amongst private life insurers in India, with branches in 54
cities. The total number of policies issued stands at more than 780,000 with a total sum
assured in excess of Rs.160 billion.
ICICI Prudential closed the financial year ended march 31, 2004 with a total received
premium income of Rs. 9.9 billion; up 135% last years total premium income of Rs.4.20
billion. New business premium income shows a 106% growth at Rs. 7.5 billion, driven
mainly by the companys range of unique unit-linked policies and pension plans. The
companys retail market share amongst private companies stood at 36%, making it clear
leader in the segment. To add to its achievements, in the year 2003/04 it was adjudged Most
Trusted Private Life Insurer (Economic Times Most Trusted Brand Survey by ACNeilsen
ORG-MARG). It was also conferred the Outlook Money-Best Life Insurer award for the
second year running. The company is also proud to have won Silver at EFFIES 2003 for its
Retire from work, not life campaign. Notably, ICICI Prudential was also short-listed to the
final round for its Sindoor campaign in EFFIES 2002.
35

Organizational chart

36

37

SAMPLING
Sample size

: 100 respondents

Sampling Method

: Random sampling

Sample Plan

: Personal Interview

Sample Unit

: Respondents in Hubli city

Survey conducted on Geographic bases.

Every decision poses unique needs for information, and relevant strategies can be
developed based on the information gathered through research. Research is the systematic

BRANCH MANAGER

objective and exhaustive search for and study of facts relevant to the problem.

Research design means the framework of study that leads to the collection and analysis of
data. It is a conceptual structure with in which research is conducted. It facilitates smooth
sailing of various research operations to make the research as effective as possible.
The study was conducted as an exploratory sampling survey method to collect primary and

TER

secondary data.

UNIT MANAGERS
38

DATA SOURCE

PRIMARY SOURCE OF DATA:

Primary data are those collected by the investigator himself for the first time and thus
they are original in character, they are collected for a particular purpose.
A well-structured questionnaire was personally administrated to the selected sample to collect
the primary data.

SECONDARY SOURCE OF DATA:

Secondary data are those, which have already been collected by some other persons
for their purpose and published. Secondary data are usually in the shape of finished products.
Two types of secondary data were collected for the preparation of the project work:
Internal Data was generated from companys brochures, manuals and annual reports.
External Data, on the other hand, was generated from research books and internet (websites).

SAMPLING TECHNIQUES
A sample is a representative part of the population. In sampling technique,
information is collected only from a representative part of the universe and the conclusions
are drawn on that basis for the entire universe.
A random sampling technique was used to collect data from the respondents. A random
sample is a sample selected from a population in such a way that every member of the
population has a equal chance of being selected and the selection of any individual does not
influence the selection of any other. The selection is purely depends on chance. So while
conducting the survey, 100 respondents were selected at random.

39

SAMPLE SIZE
Sample size denotes the number of elements selected for the study. For the present study, 100
respondents were selected at random.

INSTRUMENTATION TECHNIQUES:
To know the response, the researcher used questionnaire method. It has been designed
as a primary research instrument. Questionnaires were distributed to respondents and they
were asked to answer the questions given in the questionnaire.
The questionnaires were used as an instrumentation technique, because it is an important
method of data collection. The success of the questionnaire method in collecting the
information depends largely on proper drafting. So in the present study questions were
arranged and interconnected logically. The structured questionnaire will reduce both
interviewers and interpreters bias. Further using SPSS software and analysis was done for
each questions response to reach into findings, suggestions and finally to the conclusion
about the topic.

40

Learning Experience
The environment in which the company operates is that of a highly competitive energetic
atmosphere. And as a fresher that is an excellent start to begin ones corporate experience
especially in the service sector (life insurance) with. This inplant training has provided a vital
learning element in the career of freshers. As it has enabled us to realize most of the
classroom training obtained so far in a real life corporate environment. And so there has been
a link developed between theory and practices. Through this inplant training students can
experience the kind of break that awaits us in the corporate world.
This exercise also gets us to understand the amount of dedication and determination
that professionals would have to put in, in their every days work because the decisions they
take is a matter of loss or profit for the company. And mistakes are generally not entertained
in the quality circles.
The study also enlightened us with the amount of togetherness the staff of
ICICI Prudential have as an expandable family in their working culture. This is enumerated
with all the employees taking mentioning interest in sharing their colleagues problems either
physical or mental in comforting them, as would normally happen in a family set up.

41

1) Gender

Frequency Percent Valid Cumulative

Percent Percent
Male
94
94.0
94.0
94.0
Female
6
6.0
6.0
100.0
Total

100

100.0

100.0

Interpretation: According to our project survey we have come to now the out of 100
responds in that 94% are male and 6% female. Therefore male are more than female in Hubli
city.

42

2) Occupation
Frequency Percent
Business man

10

10.0

Valid
Percent
10.0

Cumulative
Percent
10.0

Professionals

14

14.0

14.0

24.0

Student

25

25.0

25.0

49.0

Others

51

51.0

51.0

100.0

Total

100

100.0

100.0

Interpretation:
According to our project survey we find business men 10%, professional 14%,student 25%,
and then others are 51%. It will indicates that others are more compare to business men,
professional and student

43

3) Which of these are important while choosing life insurance?

Frequency Percent

Valid Cumulative
Percent Percent

Investment

8.0

8.0

8.0

Security

15

15.0

15.0

23.0

Savings

11

11.0

11.0

34.0

Tax benefits

8.0

8.0

42.0

Returns

27

27.0

27.0

69.0

Financial
future need
Total

31

31.0

31.0

100.0

100

100.0

100.0

Interpretation:
According to our project survey out of 100 respondent, 8% investment, 15%
security,11% savings,8% tax benefits,27% returns, 31% financial future need. It suggests that
more people are choice insurance for financial future needs.

44

4) In which company you have invested

Frequency Percent

Valid Cumulative
Percent Percent
39.0
39.0
51.0
90.0

LIC
ICICI Prudential

39
51

39.0
51.0

Reliance insurance
Bajaj Allianzs
if any other

2
7
1

2.0
7.0
1.0

2.0
7.0
1.0

Total

100

100.0

100.0

92.0
99.0
100.0

Interpretation:
According to our project survey out of 100 respondent 39% invest in LIC, 51%
invest in ICICI Prudential life insurance, 2% invest in Reliance insurance, 7% invest in Bajaj
Allianzs and 1% of respondent other companies

45

5) How did you come to know the life insurance?

Frequency

Percent

Valid
Cumulative
Percent Percent

T.V. Advertisement 3

3.0

3.0

3.0

News
paper/magazines

4.0

4.0

7.0

Company
advisor(agent)

61

61.0

61.0

68.0

reference(friends
relatives)

26

26.0

26.0

94.0

if any other
Total

6
100

6.0
100.0

6.0
100.0

100.0

Interpretation: According to our project survey out of 100 respondent people get the
information

3% on T.V.advertisement, 4% on news paper and magazines,61% company

advisors, 26% reference( friends and relatives). According to our project survey shows that
more people get information from company advisors.

6) are you aware of ULIP in ICICI Prudential life insurance?

Frequency Percen Valid
46

Cumulati

t
Yes
No

74

74.0

Percent ve
Percent
74.0
74.0

24

24.0

24.0

98.0

2.0

2.0

100.0

100.0

100.0

Not
2
respond
Total
100

Interpretation: According to our project survey out of 100 respondent, awareness of

ULIP in ICICI Prudential life insurance is 74%, and non awareness of ULIP is 24%, and not
respondents are 2%.it indicates that awareness of ICICI Prudential is more.

7) If yes, which insurance plan would like to invest in ICICI Prudential life
insurance?
47

Frequency Percen Valid

Cumulati
t
Percent ve
Percent
Smart kid 20
20.0
20.0
20.0
lifetime gold 17
17.0
17.0
37.0
retirement 39
39.0
39.0
76.0
solution
if
other1
1.0
1.0
77.0
specify
Not respond 23
23.0
23.0
100.0
Total
100
100.0 100.0

Interpretation : According to our project survey out of 100 respondent 20% respondents
like to invest smart kid, 17% lifetime gold, 39% retirement solution, 1% respondents like to
invest rest of the plans, 23% not respondents, according to our survey people would like to
invest more in retirement solution plan.

8) What factor consider while making the ULIP in ICICI

48

Frequency Percent Valid

Percent

Cumulative
Percent

flexibility 9
security 11
returns 43

9.0
11.0
43.0

9.0
11.0
43.0

9.0
20.0
63.0

14
Full
withdraw
al
23
Not
respond
Total
100

14.0

14.0

77.0

23.0

23.0

100.0

100.0

100.0

Interpretation:
According to our project survey out of 100 respondents 9% considered for making
ULIP is flexibility, 11% considered for security, 43% for returns 14% for full withdrawals
and 23% not respondent It shows people considered ULIP for the purpose of returns.

9) Which premium payment method you have opted for

49

Frequency Percent
yearly
half yearly
quartely
monthly
not
respondent
Total

28
34
9
6
23

28.0
34.0
9.0
6.0
23.0

100

100.0

Valid
Cumulative
Percent
Percent
28.0
28.0
34.0
62.0
9.0
71.0
6.0
77.0
23.0
100.0
100.0

Interpretation:
According to our project survey out of 100 respondent 28% opted for yearly, 34% half
yearly, 9% quarterly and remaining 6% for monthly. It will indicates more people opted for
investment premium payment method for half yearly basis.

10) How much risk involved in ULIP

50

Frequency Percen Valid Cumulati

t
Percent
ve
Percent
Low

5.0

5.0

5.0

average

40

40.0

40.0

45.0

High

32

32.0

32.0

77.0

23

23.0

23.0

100.0

100

100.0

100.0

Not
respond
Total

Interpretation:
According to our project survey out of 100 respondent risk involved in ULIP 5%
said low risk, 40% said average, 32% said high risk and 23% not responded for ULIP. It
indicates that risk in ULIP average, its depend upon the market condition.

11) What is the premium you are paying per annum?

51

10000
10000 -25000
25000-50000
50000-100000
Not respond
Total

FrequencyPercent Valid
Cumulative
Percent Percent
33
33.0
33.0
33.0
33
33.0
33.0
66.0
7
7.0
7.0
73.0
3
3.0
3.0
76.0
24
24.0
24.0
100.0
100
100.0
100.0

Interpretation:
According to our project survey out of 100 respondent 33% people pay 10000 per
annum, 7% people pay 10000-25000 per annum, 3% people pay 50000-100000 per annum
and rest of 24% peoples not respond

12) In future would like to invest in

52

Frequency PercentValid Cumulative

Percent Percent
insurance
63
63.0
63.0
63.0
mutual
7
7.0
7.0
70.0
fund
Equity
5
5.0
5.0
75.0
Share
11
11.0
11.0
86.0
market
investing in
1
1.0
1.0
87.0
gold
Bank
13
13.0
13.0
100.0
deposits
Total
100
100.0 100.0

Interpretation:
According to our project survey out of 100 respondent 63% people invest in
insurance, 7% people invest in mutual funds, 5% people invest in invest in equities, 11%
people invest in share market, 1% people invest in gold and remaining 13% invest in bank
deposits. It shows that in future more people interested to invest in insurance.

13) Are you satisfied with the performance of the ULIP in ICICI Prudential
life insurance?
53

Highly
satisfied
satisfied
moderate
Highly
dissatisfied
Total

Frequency Percent Valid

Percent
58
58.0
58.0

Cumulative
Percent
58.0

33
8

33.0
8.0

33.0
8.0

91.0
99.0

1.0

1.0

100.0

100

100.0

100.0

Interpretation:
According to our project survey out of 100 respondent satisfaction of ULIP in
ICICI Prudential is 58% respondents are highly satisfied, 33% respondents are only satisfied,
8% respondents are moderate and rest of 1% respondents highly dissatisfied. It indicates that
performance of ULIP in ICICI prudential according to respondent is highly satisfied .

14) Are you satisfied with the advisor of ICICI Prudential life insurance?
Frequency

Percent

54

Valid
Percent

Cumulative
Percent

excellent
Good

58
27

58.0
27.0

58.0
27.0

58.0
85.0

average

15

15.0

15.0

100.0

Total

100

100.0

100.0

Interpretation:
According to our project survey out of 100 respondent satisfaction of advisors
work is 58% respondents says excellent, 27% respondents says good, 15% respondents says
average(medium).

15) Satisfied level towards ULIP in ICICI Prudential life insurance

Frequency

Percent
55

Valid

Cumulative

Highly
satisfied
satisfied
neither
satisfied
or
dissatisfi
ed
dissatisfi
ed
Total

53

53.0

Percent
53.0

Percent
53.0

41
3

41.0
3.0

41.0
3.0

94.0
97.0

3.0

3.0

100.0

100

100.0

100.0

Interpretation:
According to our project survey out of 100 respondent levels of satisfaction about
ULIP 53% people are highly satisfied, 41% only satisfied, 3% neither satisfied or dissatisfied
and rest of 3% peoples are dissatisfied.

OBSERVATION
1. It was found that 94% male and 16% female are participating in our survey.
56

2. It was found that occupation of respondents is business man 10%, professional,

14%,student 25% and others are 51%
3. It was found that the peoples choice of insurance, is investment is 8%, security
15%,savings 11%,tax benefits 8%, returns 27%, and financial future need is 31%,
it shows that the people think more for financial future needs.
4. It was observed that peoples are interested to invested in 39% in LIC, 51% in
ICICI, 2% in Reliance, 7% in Baja Allianz

and rest of the peoples other

companies i.e. Birla sun life, HDFC, ING VYSYA etc. it indicates that more
peoples are interested to invest in ICICI Prudential life insurance company.
5. It was found that people get the information is 3% on T.V.advertisement, 4% on
news paper and magazines,61% company advisors, 26% reference( friends and
relatives) it shows that people get more information from company advisors.
6. awareness of ULIP in ICICI Prudential life insurance is more 74%,

Conclusion

57

To conclude, the survey results highlight some important facts, though ICICI Prudential may
be comparatively competitive with other companies ULIP. The choice of people investing in
insurance is more as 31% and awareness of ICICI Prudential ULIP is more as 74%, 61%
people get information from company advisors and satisfaction level of ULIP is more as 53%
it will shows that ULIP is grow more in future

Recommendations
58

For ICICI to have a larger market share it has to widen the customer base, so it should come
up with intensive market strategy and aggressive publicity stunts such as:
Deployment of addition sales force for proper marketing.
Continuous bombardment of Advertisement by ICICI Prudential as a Life Insurance
Company for a common man as well as for well educated and good salaried people.
Hoardings in and around the important areas(public concentrated areas)
The company should concentrate on the people aged between 18-25 for individual
and also the age category 35-55 for family.
Since individuals are interested in insuring their family members the company
should concentrate on insuring the individuals family members.
ICICI Prudential should concentrate on geographical areas for its expansion and to
penetrate through rural areas it should tie-up with rural banks such as M.G.Bank etc.
34% respondents would like to pay half yearly premium. The company should also
emphasis on yearly payment of premium
Top of mind insurance company is LIC, because of its trust what people keep in it
and its awareness. So ICICI Prudential should emphasis heavy advertisement.
31% respondents would like to invest money in insurance for financial future need.
So ICICI to provide different financial future satisfaction plans to the people.

BIBLIOGRAPHY
59

1. www.iciciprulife.com
2. www.google.com
3. www.insurance.com

ANNEXURE
60

QUESTIONNAIRE

1) Name: _________________________________________________
2) Age:

__________________________________________________

3) Gender:

Male

Female

4) Occupation: Business man

Professional

Student

Others __________________

5) Annual Income: Below & 1,00,000

1,00,000 2,00,000

3,00,000 4,00,000

5,00,000 & Above

6) Address: _______________________________________________________
_______________________________________________________
_______________________________________________________
7) Contact number: _______________________________

8) Which of these are important while choosing the life insurance?

Investment

Security

Savings

Tax Benefits

Returns

Financial

9) In which company you have invested?

61

a) LIC
b) ICICI Prudential
c) Reliance insurance
d) Max New York
e) Bajaj Alianzas
Any other __________________
10) How did you come to know the life insurance?
T.V.Advertisement
News paper / Magazines
Company advisors (Agents)
Reference (Friends Relatives)
If any other____________________

11) Are you aware of ULIP in ICICI Prudential life insurance?

(If no go to 19Q)

Yes

No

12) If yes, which insurance plan would like to invest in ICICI prudential?
62

Smart kid

Lifetime Gold

Retirement solution

If other specify_________

13) What factors consider while making the ULIP in ICICI

a) Flexibility

b) security

c) Returns

d) full withdrawal

If any other_____________________
14) Which premium payment method you have opted for.
Yearly

Half yearly

Quarterly

Monthly

15) How much risk involved in ULIP.

Low

average

high

No risk

16) What is the premium you are paying per annum?

a) 10000

b) 10000-25000

c) 25000-50000

d) 50000-100000

17) In future you would like to invest in?

Insurance

Mutual fund

Equity

Share market

investing in gold

Bank Deposits

18) Are you satisfied with the performance of the ULIP in ICICI prudential?
63

_______________________________________________________________
Highly

Satisfied

Moderate

Dissatisfied

Satisfied

Highly
Dissatisfied

19) Are you satisfied with the advisor service in ICICI prudential?
_______________________________________________________________
Excellent

Good

Average

Bad

vast

20) Satisfied level towards ULIP s in ICICI prudential?

_______________________________________________________________
Highly
Satisfied

Satisfied

nether satisfied

Dissatisfied

or dissatisfied

Highly
dissatisfied

64