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N.L.
Dalmia Institute of Management Studies And Research
Srishti Sector - 1, Mira Road (E) 401104
A
Project Report On
“A STUDY OF STRATEGY AND FUNCTIONING OF FIELD FORCES

IN
BAJAJ ALLIANZ”
Submitted by
Chirag Vasa – 286

Rajeev Ved – 287
Hussain Vejlani – 288
Damayanti W – 289
Nikhil Waghela – 290
1
N.L.DALMIA Institute of Management Studies & Research
Sr No. TABLE OF CONTENTS Page No
1 INTRODUCTION 3
2 SECTOR PROFILE 7
3 COMPANY PROFILE 18
4 ABOUT POLICES OF BAJAJ ALLIANZ 21
6 RESEARCH METHODOLOGY 23
7 DATA ANALYSIS 26
8 OBSERVATIONS & FINDING 37
9 QUESTIONNAIRE 39
2
INTRODUCTION
A marketing strategy is a process that can allow an organization to concentrate its
(Always limited) resources on the greatest opportunities to increase sales and achieve a
sustainable competitive advantage.
Marketing strategy as a key part of the general corporate strategy marketing strategy is
most effective when it is an integral component of corporate strategy, defining how the
organization will engage customers, prospects and competitors in the market arena for
success. It is partially derived from broader corporate strategies, corporate missions, and
corporate goals. They should flow from the firm's mission statement. They are also
influenced by a range of micro environmental factors.
Marketing strategy and sectarian tactics and actions A marketing strategy also serves as
the foundation of a marketing plan. A marketing plan contains a set of specific actions
required to successfully implement a marketing strategy. For example: "Use a low cost
product to attract consumers. Once our organization, via our low cost product, has
established a relationship with consumers, our organization will sell additional, higher-
margin products and services that enhance the consumer's interaction with the low-cost
product or service."
A strategy consists of well thought out series of tactics. While it is possible to write a
tactical marketing plan without a sound, well-considered strategy, it is not recommended.
Without a sound marketing strategy, a marketing plan has no foundation. Marketing
strategies serve as the fundamental underpinning of marketing plans designed to fill
market needs and reach marketing objectives[3]. It is important that these objectives have
measurable results.
A good marketing strategy should integrate an organization's marketing goals, policies,

and action sequences (tactics) into a cohesive whole. Many companies cascade a strategy
throughout an organization, by creating strategy tactics that then become strategy goals
for the next level or group. Each group is expected to take that strategy goal and develop
a set of tactics to achieve that goal. This is why it is important to make each strategy goal
measurable.
Marketing strategies are dynamic and interactive. They are partially planned and partially
unplanned.
3
Types of marketing strategies
Every marketing strategy is unique, but if we abstract from the individualizing details,
each can be reduced into a generic marketing strategy. There are a number of ways of
categorizing these generic strategies. A brief description of the most common
categorizing schemes is presented below:
Strategies based on market dominance –

In this scheme, firms are classified based on their market share or dominance of an
industry. Typically there are three types of market dominance strategies:
• Leader
• Challenger
• Follower
Porter generic strategies –

Strategy on the dimensions of strategic scope and strategic strength. Strategic scope
refers to the market penetration while strategic strength refers to the firm’s sustainable
competitive advantage.
• Cost leadership
• Product differentiation
• Market segmentation
Innovation strategies –
This deals with the firm's rate of the new product development and business model
innovation. It asks whether the company is on the cutting edge of technology and
business innovation. There are three types:
• Pioneers
• Close followers
• Late followers
Growth strategies –
In this scheme we ask the question, “How should the firm grow?”. There are a number of
different ways of answering that question, but the most common gives four answers:
• Horizontal integration
• Vertical integration
• Diversification
• Intensification
4
A more detailed schemes uses the categories:
• Prospector
• Analyzer
• Defender
• Reactor
Insurance need
Why is insurance necessary? The question contains the answer within itself. After all, life
is fraught with tensions and apprehensions regarding the future and what it holds for the
individual. Despite all the planning and preparation one might make, no one can
accurately guarantee or predict how or when death might result and the circumstances
that might ensue in its aftermath.
We are not saying that life and existence are constantly fraught with danger and
uncertainty. But then it is essential that you plan for the future. The chances for a fatality
or an injury to occur to the average individual may not be particularly high but then no
one can really afford to completely disregard his or her future and what it holds.
People generally regard insurance as a scheme when and where you have to lose a lot to
gain a little. Nevertheless, insurance is still the most reliable tool an individual can use to
plan for his future.
And just why is it necessary to plan for the future with Insurance?
An Overview
Insurance business is divided into four classes:
1) Life Insurance business
2) Fire
3) Marine
4) Miscellaneous Insurance.
Life Insurers transact life insurance business; the rest is transacted by General Insurers.
No composites are permitted as per law.
The business of Insurance essentially means defraying risks attached to any activity over
time (including life) and sharing the risks between various entities, both persons and
organizations. Insurance companies (ICs) are important players in financial markets as
they collect and invest large amounts of premium. Insurance products are multipurpose
and offer the following benefits:
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1. Protection to the investors
2. Accumulate savings
3. Channelize savings into sectors needing huge long term investments.
ICS receive, without much default, a steady cash stream of premium or contributions to
pension plans. Various actuary studies and models enable them to predict, relatively
accurately, their expected cash outflows. Liabilities of ICS being long-term or contingent
in nature, liquidity is excellent and their investments are also Long-term in nature. Since
they offer more than the return on savings in the shape of life-cover to the investors, the
rate of return guaranteed in their insurance policies is relatively low. Consequently, the
need to seek high rates of returns on their investments is also low. The risk-return trade
off is heavily tilted in favor of risk. As a combined result of all this, investments of
insurance companies have been largely in bonds floated by G.O.I, P.S.U.S. state
governments, local bodies, corporate bodies and mortgages of long term nature. The last
place where insurance companies are expected to be over-active is bourses. Lately ICs
have ventured into pension schemes and mutual funds also.
However, life insurance constitutes the major share of insurance business. Life insurance
depends upon the laws of mortality and there lies the difference between life and general
insurance businesses. Life has to extinguish sooner or later and the claim in respect of life
is certain. In case of general insurance, however, there may never be a claim and the
amount can never be ascertained in advance. Hence, life insurance includes, besides
covering the risk of early happening of an event, an element of Savings also for the
beneficiaries. Pension business also derives from life insurance in as much as the pension
outgo again depends upon the laws of mortality. The forays made by insurance
companies in this area are, therefore, natural corollary of their business.
6
SECTOR PROFILE
Insurance in India
Insurance in India started without any regulations in the nineteenth century. It was a
typical story of a colonial era: a few British insurance companies dominating the market
serving mostly large urban centers. After the independence, the Life Insurance Company
was nationalized in 1956, and then the general insurance business was nationalized in
1972. Only in 1999 private insurance companies were allowed back into the business of
insurance with a maximum of 26 per cent of foreign holding (World Bank Economic
Review 2000). The entry of the State Bank of India with its proposal of bank assurance
brings a new dynamics in the game. On July 14, 2000 Insurance Regulatory and
Development Authority bill was passed to protect the interest of the policyholders from
private and foreign players. The following companies are entitled to do insurance
business in India.
The private insurance joint ventures have collected the premium of Rs.1019.09 crore with
the investment of just Rs.3, 000 crore in three years of liberalization. The private
insurance players have significantly improving their market share when compared to 50
years Old Corporation (i.e.LIC). As per the figures compiled by IRDA, the Life
Insurance Industry recorded a total premium underwritten of Rs. 10,707.96 crore for the
period under review. Of this, private players contributed to Rs.1, 019.09 crore,
accounting for 10 percent. Life Insurance Corporation of India (LIC), the public sector
giant, continued to lead with a premium collection of Rs.9,688.87 crore, translating into a
market share of 90 per cent. In terms of number of policies and schemes sold, private
sector accounted for only 3.77per cent as compared to 96.23 per cent share of LIC (The
Economic Times, 21 March, 2004).
The ICICI Prudential topped among the private players in terms of premium collection. It
recorded a premium of Rs. 364.9 crore and a market share of 25 per cent, followed by
Birla Sun Life with a premium underwritten Rs.170 crore and a market share of 15
percent, HDFC Standard with 132.7 crore and Max New York Life with Rs.76.8 crore
with a market share of approximately 15 per cent each. Unlike their counterpart in the life
insurance business, private non-life insurance companies have not yet started addressing
the retail market. All is set to change in the coming years. Like in the banking sector,
non-life insurance companies will soon have no choice but to focus on individual buyers.
7
In case of private non-life insurance players, that their market share rose to 14.13 per
cent, recording a growth of 70.75 per cent on an annual basis, while the market share of
public sector stood at 85.87 per cent, registering a marginal growth of 6.34 per cent. The
overall market has recorded a growth of 12.32 per cent by the end of January 2004.
Among the private non-life insurance players, ICICI Lombard topped the list with a
premium collection of Rs.403.62 crore in one year period with a market share of 3.05 per
cent and with an annual 131.6 per cent, followed by Bajaj Allianz with a premium of
Rs.385.02 crore and 2.91 per cent market share and Tata AIG with 300.49 crore premium
and 2.27 per cent market share with an annual growth rate of 62.60 per cent.
Among the public sector players, New India garnered a market share of 24.38 per cent,
Rs.3,229.49 crore premium and an annual growth rate of 0.38 per cent, followed by
National with a market share of 21.43 per cent, Rs.2,839.11 crore premium and an annual
growth rate of 19.88 per cent, United India with a market share of 19.47 per cent
(Rs.2,578.83 crore premium) and Oriental with a market share of 18.25 per cent,
Rs.2,417.17 crore premium and an annual growth rate of 1.86 per cent. It is significant to
note that HDFC Chubb and Cholamandalam have registered annual growth rates of
4030.26 per cent and 1101.20 per cent respectively, whereas New India has registered it
as 0.38 per cent. If this trend continues, private insurer would dominate the public sector
like New India Insurance Corporation. It is obviously reflect the insurance sector has
facing the challenges with foreign counter parties as well as private counter parties and
lot more opportunities are prevailing to penetrate the insurance business among the
uncovered people and area of India. Further, it leads to economic development of the
country. In this regard, it assumes greater significance to conduct debate among the inter-
disciplinary persons.
BRIEF HISTORY OF INSURANCE SECTOR IN INDIA

The insurance sector in India has come a full circle from being an open competitive
market to nationalization and back to a liberalized market again.
Tracing the developments in the Indian insurance sector reveals the 360-degree turn
witnessed over a period of almost 190 years.
The business of life insurance in India in its existing form started in India in the year
1818 with the establishment of the Oriental Life Insurance Company in Calcutta.
Some of the important milestones in the life insurance business in India are:
1912 -The Indian Life Assurance Companies Act enacted as the first statute to regulate
the life insurance business.
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1928 -The Indian Insurance Companies Act enacted to enable the government to collect
statistical information about both life and non-life insurance businesses.
1938 -Earlier legislation consolidated and amended to by the Insurance Act with the
objective of protecting the interests of the insuring public.
1956 -245 Indian and foreign insurers and provident societies taken over by the central
government and nationalized. LIC formed by an Act of Parliament, viz.
LIC Act, 1956, with a capital contribution of Rs.5 crore from the Government of India.
The General insurance business in India, on the other hand, can trace its roots to the
Triton Insurance Company Ltd., the first general insurance company established in the
year 1850 in Calcutta by the British.
Some of the important milestones in the general insurance business in India are:
1907 -The Indian Mercantile Insurance Ltd. set up, the first company to transact all
classes of general insurance business.
1957 -General Insurance Council, a wing of the Insurance Association of India, frames a
code of conduct for ensuring fair conduct and sound business practices.
1968 -The Insurance Act amended to regulate investments and set minimum solvency
margins and the Tariff Advisory Committee set up.
1972 -The General Insurance Business (Nationalization) Act, 1972 nationalized the
general insurance business in India with effect from 1st January 1973.
9
INSURANCE MARKET IN INDIA
NON-LIFE INSURANCE MARKET
In December 2000, the GIC subsidiaries were restructured as independent insurance

companies. At the same time, GIC was converted into a national reinsurer. In July 2002,
Parliament passed a bill, delinking the four subsidiaries from GIC.
Presently there are 12 general insurance companies with 4 public sector companies and 8
private insurers. Although the public sector companies still dominate the general
insurance business, the private players are slowly gaining a foothold. According to
estimates, private insurance companies have a 10 percent share of the market, up from 4
percent in 2001. In the first half of 2002, the private companies booked premiums worth
Rs 6.34 billion. Most of the new entrants reported losses in the first year of their
operation in 2001.
With a large capital outlay and long gestation periods, infrastructure projects are fraught
with a multitude of risks throughout the development, construction and operation stages.
These include risks associated with project implementaion, including geological risks,
maintenance, commercial and political risks. Without covering these risks the financial
institutions are not willing to commit funds to the sector, especially because the financing
of most private projects is on a limited or non- recourse basis.
Insurance companies not only provide risk cover to infrastructure projects, they also
contribute long-term funds. In fact, insurance companies are an ideal source of long term
debt and equity for infrastructure projects. With long term liability, they get a good asset-
liability match by investing their funds in such projects.
IRDA regulations require insurance companies to invest not less than 15 percent of their
funds in infrastructure and social sectors. International Insurance companies also invest
their funds in such projects.
Insurance costs constitute roughly around 1.2-2 percent of the total project costs. Under
the existing norms, insurance premium payments are treated as part of the fixed costs.
Consequently they are treated as pass-through costs for tariff calculations.
10
Premium rates of most general insurance policies come under the purview of the
government appointed Tariff Advisory Commitee. For Projects costing up to Rs 1
Billion, the Tariff Advisory Committee sets the premium rates, for Projects between Rs 1
billion and Rs 15 billion, the rates are set in keeping with the committee's guidelines; and
projects above Rs 15 billion are subjected to reinsurance pricing. It is the last segment
that has a number of additional products and competitive pricing.
Insurance, like project finance, is extended by a consortium. Normally one insurer takes
the lead, shouldering about 40-50 per cent of the risk and receiving a proportionate
percentage of the premium. The other companies share the remaining risk and premium.
The policies are renewed usually on an annual basis through the invitation of bids. Of
late, with IPP projects fizzling out, the insurance companies are turning once again to old
hands such as NTPC, NHPC and BSES for business.
RE-INSURANCE BUSINESS
Insurance companies retain only a part of the risk (less than 10 per cent) assumed by
them, which can be safely borne from their own funds. The balance risk is reinsured with
other insurers. In effect, therefore, re-insurance is insurer's insurance. It forms the
backbone of the insurance business. It helps to provide a better spread of risk in the
international market, allows primary insurers to accept risks beyond their capacity, settle
accumulated losses arising from catastrophic events and still maintain their financial
stability.
While GIC's subsidiaries look after general insurance, GIC itself has been the major
reinsurer. Currently, all insurance companies have to give 20 per cent of their reinsurance
business to GIC. The aim is to ensure that GIC's role as the national reinsurer remains
unhindered. However, GIC reinsures the amount further with international companies
such as Swissre (Switzerland), Munichre (Germany), and Royale (UK). Reinsurance
premiums have seen an exorbitant increase in recent years, following the rise in threat
perceptions globally.
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LIFE INSURANCE MARKET
The Life Insurance market in India is an underdeveloped market that was only tapped by
the state owned LIC till the entry of private insurers. The penetration of life insurance
products was 19 percent of the total 400 million of the insurable population. The state
owned LIC sold insurance as a tax instrument, not as a product giving protection. Most
customers were under-insured with no flexibility or transparency in the products. With
the entry of the private insurers the rules of the game have changed.
The 12 private insurers in the life insurance market have already grabbed nearly 9 percent
of the market in terms of premium income. The new business premiums of the 12 private
players has tripled to Rs 1000 crore in 2002-03 over last year. Meanwhile, state owned
LIC's new premium business has fallen.
Innovative products, smart marketing and aggressive distribution. That's the triple
whammy combination that has enabled fledgling private insurance companies to sign up
Indian customers faster than anyone ever expected. Indians, who have always seen life
insurance as a tax saving device, are now suddenly turning to the private sector and
snapping up the new innovative products on offer.
The growing popularity of the private insurers shows in other ways. They are coining
money in new niches that they have introduced. The state owned companies still
dominate segments like endowments and money back policies. But in the annuity or
pension products business, the private insurers have already wrested over 33 percent of
the market. And in the popular unit-linked insurance schemes they have a virtual
monopoly, with over 90 percent of the customers.
The private insurers also seem to be scoring big in other ways- they are persuading
people to take out bigger policies. For instance, the average size of a life insurance policy
before privatisation was around Rs 50,000. That has risen to about Rs 80,000. But the
private insurers are ahead in this game and the average size of their policies is around Rs
1.1 lakh to Rs 1.2 lakh-way bigger than the industry average.
Buoyed by their quicker than expected success, nearly all private insurers are
fastforwarding the second phase of their expansion plans. No doubt the aggressive stance
of private insurers is already paying rich dividends. But a rejuvenated LIC is also trying
to fight back to woo new customers.
12
COMPARISON OF TERM INSURANCE PREMIUMS (Rs./ Year)
Sr No Company Policy Term (Year)
5 10 15 20 25 30
1 AMP Sanmar Raksha Shree 2230 2230 2290 2600 3070 3640
2 AVIVA Life Shield 2650 2660 2890 3120 3530 4060
3 Bajaj Allianz Risk Care 3260 3560 4050 4830 6050 7750
4 Birla Sunlife Term Plan 2950 2950 2950 3010 3160 ---
5 HDFC Term Assurance 2770 2820 2870 2920 3050 3430
6 ICICI Prudential Life Guard 3032 3032 3032 3032 3334 3905
7 Kotak Mahindra Term Assurance --- 3400 3400 3700 4100 4500
8 LIC Amol Jeevan 2564 2564 2812 3227 3821 ---
9 Max New York Level Term 2160 2280 2430 2700 3050 ---
10 Met Life Suraksha 2700 2600 2800 3100 3300 ---
11 SBI Life Shield 2043 2043 2150 2454 2964 ---
12 TATA AIG Assure Life Line --- 3510 3970 4550 5280 ---
13
PREMIUM STRUCTURE OF ENDOWMENT PLANS (RS. /YEAR)
Sr Term (Year)
Company Policy
No 5 10 15 20 25 30
1 AMP Sanmar Divya Shree 219240 100140 63920 45140 34330 27520
2 Bajaj Allianz Invest Gain 220620 106020 64920 43620 31520 24120
3 HDFC Life Endownment Assurance --- 100740 65070 47000 37070 29820
4 ICICI Prudential Save n Pocket --- 105455 65867 46133 34883 27907
Reassuring Life Endowment
5 ING Vysya (Cash Bonus) --- 96948 60300 43762 34779 28756
6 ING Vysya (Reversionary Bonus) --- 98093 63737 44857 33612 26493
7 Kotak Mahindra Endownment Plan --- 101632 63295 44167 33184 26348
8 LIC Endownment Assurance 208829 102275 66530 47955 37818 31368

Suvidha (non -
9 Met Life participating) 184610 84730 50160 32760 23160 17480
10 Met Life Suvidha --- --- 62420 42990 31890 25550
11 SBI Life Sudarshan --- 97646 60034 40356 29399 22735

Assure Security & Growth
12 TATA AIG plan --- 151250 --- 68170 --- 39060
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MINIMUM REQUIRED COMPOUND BONUS RATE (IN %)
Term (Year)
Sr No Company Policy
15 20 25 30
1 AMP Sanmar Divya Shree 3.57 3.47 3.44 3.5
2 Bajaj Allianz Invest Gain 3.67 3.28 3.07 3
3 HDFC Life Endownment Assurance 3.69 3.69 3.78 3.81
4 ICICI Prudential Save n Pocket 3.78 3.59 3.51 3.55
5 ING Vysya Reassuring Life Endowment 3.15 3.3 3.5 3.67

6 ING Vysya (Reversionary Bonus) 3.54 3.44 3.35 3.36
7 Kotak Mahindra Endownment Plan 3.5 3.35 3.29 3.33
8 LIC Endownment Assurance 3.85 3.8 3.87 4
9 Met Life Suvidha 3.4 3.21 3.12 3.22
10 SBI Life Sudarshan 3.12 2.87 2.76 2.77
11 TATA AIG Assure Security & Growth plan --- 5.7 --- 4.83
15
WHOLE LIFE INSURANCE PREMIUMS (RS./ YEAR)
Term (Year)
Sr No Company Policy
15 20 25
1 AMP Sanmar Nitya Shree 3450 30000 26400
2 Bajaj Allianz Life Time Care 29760 24710 22140
3 ING Vysya Rewarding Life 44754 38358 35572
4 LIC Jeevan anand 76292 54274 41206
5 Met Life MET 100 (non participating) 16900 14340 13030
6 Met Life Met 100 Gold 32070 26700 23760
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EQUITY SHARE CAPITAL OF LIFE INSURANCE COMPANIES
EQUITY SHARE CAPITAL OF LIFE INSURANCE COMPANIES

(As on 31st March)
(Rs. Crore)
Insurer 2008 2007 2006 2005 2004 2003 2002
Aviva 1004.50 758.20 458.70 319.80 242.80 154.80 NA
Bajaj Allianz 150.71 150.37 150.23 150.07 150.07 150.03 150.00
Bharti Axa 366.11 150.00 1.10 NA NA NA NA
Birla Sunlife 1274.50 671.50 460.00 350.00 290.00 180.00 150.00
Future Generali 185.00 NA NA NA NA NA NA
HDFC Std 1271.00 801.26 620.00 320.00 255.50 218.00 168.00
ICICI Pru 1401.11 1312.30 1185.00 925.00 675.00 425.00 190.00
IDBI Fortis 200.00 NA NA NA NA NA NA
ING Vysya 790.00 690.00 490.00 325.00 245.00 170.00 110.00
Kotak Mahindra 480.27 330.35 244.58 211.76 151.26 131.30 101.00
Max New York 1032.43 732.43 557.43 466.08 346.08 255.00 250.00
Metlife 761.08 530.00 235.00 235.00 160.00 110.00 110.00
Reliance Life 1147.70 664.00 331.00 217.10 160.00 125.00 125.00
Sahara 232.00 157.00 157.00 157.00 157.00 NA NA
SBI Life 1000.00 500.00 425.00 350.00 175.00 125.00 125.00
Shriram 125.00 125.00 125.00 NA NA NA NA
Tata AIG 870.00 547.00 447.00 321.00 231.00 185.00 185.00
Total 12291.42 8119.41 5887.05 4347.81 3238.71 2229.13 1664.00

(Private
Sector)
17
COMPANY PROFILE
BAJAJ ALLIANZ LIFE INSURANCE
Bajaj Allianz Life Insurance Co. Ltd. is a joint venture between two leading
conglomerates-, Bajaj Auto, one of the biggest 2 and 3 wheeler manufacturers in the
world and Allianz AG, one of the world's largest insurance companies.
Bajaj Allianz Life Insurance
• Is the fastest growing private life insurance company in India.

• Currently has over 3,00,000 satisfied customers
• We have customer care centers in 155 cities with 28000 Insurance Consultant providing
the finest customer service.
• One of India's leading private life insurance companies
Bajaj Allianz General Insurance Company Limited
Bajaj Allianz General Insurance Company Limited is a joint venture between Bajaj Auto
Limited and Allianz AG of Germany. Both enjoy a reputation of expertise, stability and
strength.
Bajaj Allianz General Insurance received the Insurance Regulatory and Development
Authority (IRDA) certificate of Registration (R3) on May 2nd, 2001 to conduct General
Insurance business (including Health Insurance business) in India. The Company has an
authorized and paid up capital of Rs 110 crores. Bajaj Auto holds 74% and the remaining
26% is held by Allianz, AG, Germany.
Bajaj Allianz today has a network of 42 offices spread across the length and breadth of
the country. From Surat to Siliguri and Jammu to Thiruvananthapuram, all the offices are
interconnected with the Head Office at Pune.
18
ALLIANZ GROUP
Allianz Group is one of the world's leading insurers and financial services providers.
Founded in 1890 in Berlin, Allianz is now present in over 70 countries with almost
174,000 employees. At the top of the international group is the holding company, Allianz
AG, with its head office in Munich.
Allianz Group provides its more than 60 million customers worldwide with a
comprehensive range of services in the areas of
• Property and Casualty Insurance,
• Life and Health Insurance,
• Asset Management and Banking.
• ALLIANZ AG- A GLOBAL FINANECIAL POWERHOUSE
• Worldwide 2nd by Gross Written Premiums - Rs.4,46,654 cr.
• 3rd largest Assets Under Management (AUM) & largest amongst Insurance cos.-AUM
of Rs.51,96,959 cr.
• 12th largest corporation in the world
• 49.8 % of global business from Life Insurance
• Established in 1890, 110 yrs of Insurance expertise
• 70 countries, 173,750 employees worldwide
19
BAJAJ GROUP
Bajaj Auto Ltd, the flagship company of the Rs. 8000 crore Bajaj group is the largest
manufacturer of two-wheelers and three-wheelers in India and one of the largest in the
world.
A household name in India, Bajaj Auto has a strong brand image & brand loyalty
synonymous with quality & customer focus.
A STRONG INDIAN BRAND-HAMARA BAJAJ
• One of the largest 2 & 3 wheeler manufacturer in the world
• 21 million+ vehicles on the roads across the globe
• Managing funds of over Rs 4000 cr.
• Bajaj Auto finance one of the largest auto finance cos. in India
• Rs. 4,744 Cr. Turnover & Profits of 538 Cr. in 2002-03
• It has joined hands with Allianz to provide the Indian consumers with a distinct option
in terms of life insurance products.
• As a promoter of Bajaj Allianz Life Insurance Co. Ltd., Bajaj Auto has the following to
offer
• Financial strength and stability to support the Insurance Business.
• A strong brand-equity.
• A good market reputation as a world class organization.
• An extensive distribution network.
• Adequate experience of running a large organization.
20
PRODUCTS
Allianz AG with over 110 years of experience in over 70 countries and Bajaj Auto,
trusted for over 55 years in the Indian market, together are committed to offering you
financial solutions that provide all the security you need for your family and yourself.
Bajaj Allianz brings to you several innovative products, the details of which you can
browse in this section.
INDIVIDUAL PRODUCTS
UNITGAIN RISK CARE

A Unit Linked
Plan Pure Term Plan
TERM CARE INVESTGAIN

Term Plan with Return-of-Premium An Endowment Plan
LIFETIME
CARE CHILDGAIN
Whole Life Plan Children's Policy
LOAN
PROTECTOR CASHGAIN
Money Back
A Mortgage Reducing Term Insurance Plan
Plan
KEYMAN INSURANCE SWARNA VISHRANTI

A Promising Business Opportunity Retirement Plan
UNITGAIN
PLUS LIFELONG GAIN PLAN
Unit Link plan with higher allocation A lifetime of security for your family
21
GROUP PLANS
• GROUP CREDIT SHIELD
• GROUP TERM LIFE
• GROUP TERM LIFE SCHEME
• GROUP SUPERANNUATION SCHEME
• GROUP GRATUITY CARE SCHEME
Insurance for NRI

All Indians have an underlying need to feel secure, to care for the loved ones and to
provide for old age. The need is felt more when you are away from your Homeland. But
being away from India doesn't mean you have to compromise on the safety and security
of your loved ones.
In fact, you can now easily steer your savings from overseas to conveniently meet your
family's needs -now and in the future.
Bajaj Allianz understand your need. The need to do something fruitful for your loved
ones.. The urge to let them know that you care. That's why Bajaj Allianz introduced the
NRI Insurance services. Now, you can invest your hard earned money in India and in the
bargain ensure your family's future.
• InvestGain - 'With Profits Endowment Plan'.
• CashGain -'With Profits Money Back Plan'.
• ChildGain -'With Profits Money Back Plan' for children.
• Lifetime Care - 'With Profits Whole of Life Plan'.
• Swarna Vishranti - 'With Profits Differed Annuity Plan'.
• UnitGain - 'Unit Linked Whole of Life Plan'.
22
RESEARCH METHODOLOGY
With the authority to think as business managers and build their branches as profit
centers. They are encouraged to open satellite branches. This gives branch managers the
depth of decision-making and speed required to react to market dynamics and consumer
needs. The management has also appointed full-time training personnel for each branch.
The fastest growing private Life Insurance company in India, Bajaj Allianz’s portfolio of
19 products includes comprehensive ‘Employee Benefit Solution (Group Term Life,
EDLI, Gratuity, Super annuation, Keyman Insurance and More); Invest Gain (a unique
Life Insurance plan for the individual, where a regular income is combined in a plan that
also pays a lump sum), Cash Gain (money back), Child Gain (children’s plan), Risk Care
(pure term), Lifetime Care (whole life), Term Care (term with return of premium),
Swarna Vishranti (retirement plan), Protector (mortgage term insurance plan), Unit Gain
(unit-linked plan), UnitGain Single Premium, Unit Gain Plus, Unit Gain Plus SP,
Lifelong Gain Plus, Unit Gain Single Pension and Unit Gain Easy Pension.
The approach to the research is considered in this chapter, from the theoretical
underpinning to the collection and analysis of the data. It begins with the extent of the
research to provide the specific guidelines of studying. The next part is concerned with
the method of the research that refers to the data collection and analyzing which is used
in the research.
CONCEPTUAL CONTEXT OF THE RESEARCH

As the objective of the research focuses on the research of potential Insurance
Consultants with special emphasis of Bajaj Allianz. It will help the company to increase
its sales, which is the prime objective of the company at this time. The research attempts
to generate awareness among the people of Mumbai regarding the agency of Bajaj
Allianz.
23
METHODS
PRIMARY DATA
Date collection for this research was done primarily through filling up of questionnaire.
The sample for the research including different individuals of various age groups and
having different professions and qualifications. Data was collected through the interview
of individuals. The questionnaire was containing questions regarding the personal details
of individuals and then some light questions regarding their primary knowledge related to
private insurance companies. Then there were questions related to their interest in being
the Insurance Consultants of company.
SECONDARY DATA
A large amount of secondary data has been collected from secondary sources. Some of
the sources are:-
 Reports on Insurance Sector of India.
 Articles from Newspapers and magazines.
 Various web sites of the insurance companies and related sites.
DATA ANALYSIS
There are some features of analyzing data that need to be borne in mind when choosing
the method for analyzing the research. The questionnaire were prepared to explore the
psychology of individuals about being associated with Bajaj Allianz as Insurance
Consultants and to help the company grow by increasing its sales. Instead of testing a
hypothesis, a qualitative analyst may demonstrate evidence showing that a theory,
generalizing, or interpretation is plausible.
SAMPLE SIZE:-
Various areas of Mumbai were covered in order to fill the questionnaire. We interacted
with 200 individuals in order to know about their interest of being Insurance Consultants
of Bajaj Allianz.
SAMPLE COMPOSITION
Youth
Executives
Serviceman
Business persons
24
RESEARCH DESIGN :
A research design provides the framework to be used as a guide in collecting and
analyzing data.
Descriptive Research: Market survey is one of the best example of descriptive research.
This is a one shot research study at a given point of time, and consists of a sample of the
population of interest. Its advantages are that it gives a good overall picture of the
position at a given time. It can cover many variables of interest, and is not affected by the
movements of elements in the sample, because other elements can be substituted for
them.
AGENTS LICENSED BY THE AUTHORITY (2006-2007)

(URBAN AND RURAL)
LIFE INSURERS
Name Urban Rural Total
BAJAJ ALLIANZ LIFE INSURANCE CO. LTD 28912 3768 32680

TATA AIG LIFE INSURANCE CO. LTD 17590 189 17779
AMP SANMAR INSURANCE CO.LTD. 4226 787 5013
BIRLA SUN LIFE INSURANCE CO.LTD. 5432 43 5475
AVIVA LIFE INSURANCE CO INDIA PVT. LTD. 3702 117 3819
HDFC STANDARD LIFE INSURANCE CO. LTD. 9324 1032 10356
ICICI PRUDENTIAL LIFE INSURANCE CO. LTD. 29838 92 29930
ING VYSYA LIFE INSURANCE CO. PVT. LTD. 7404 316 7720
LIFE INSURANCE CORPORATION OF INDIA 173958 179815 353773
MAX NEW YORK LIFE INSURANCE CO.LTD . 6899 99 6998
METLIFE INDIA INSURANCE CO. PVT. LTD. 3310 64 3374
KOTAK MAHINDRA OLD MUTUAL LIFE INSURANCE
CO.LTD. 2772 204 2976
SAHARA INDIA LIFE INSURANCE CO. LTD. 1 0 1
SBI LIFE INSURANCE CO. LTD. 1908 267 2175
Sub Total 295,276 186,793 482,069
25
DATA ANALYSIS
After collection of data, the analysis of it was done through various graphs:-
 Doughnut
 Pie Diagram
 Bar Diagram
 Tubes
 Cones
According to the data collected through survey with the help of questionnaire, the break up with
respect to income of individuals is as follows :
MONTHLY INCOME NUMBER OF INDIVIDUALS

0-10000 43
10000-20000 60
20000-30000 49
30000-40000 32
40000 AND ABOVE 16
Break up according to monthly income

60
50
Number 40
of
individua 30
0-5
20
10
1k=1000
0
0k-10k 10k-20k 20k-30k 30k-40k 40 and
above
26
ANALYSIS FOR THE OVERALL INCOME GROUP
Servicemen–32% Businessmen-68%
32
Servicemen
Businessmen
68
Graduate – 95% Beyond Graduate-5%
Graduate
Non Graduate
95
27
Company Premium Income (cr) Market Share (%)
HDFC Standard 352.14 3.11
Bajaj Allianz 643.59 5.68
ICICI Pru Life 819.75 7.24
Birla Sunlife 207.93 1.84
Tata AIG 189.24 1.67
9%
16%
9%
HDFC Standard
Bajaj Allianz
ICICI Pru Life
Birla Sunlife
29%
Tata AIG
37%
28
Q1. Do you know about the Bajaj Allianz Life Insurance companies?
Ans. The response of individuals are as :-
Yes- 60% No-40%
40
Yes
No
60
Q2. Would you like to earn some extra money?
Ans. The response of individuals is as follows :
Yes- 90% No-10%
10
Yes
No
90
29
Q3. What is desired or expected monthl y income?
Ans. The response of individuals are as follows :-
MONTHLY INCOME % of people

0-10000 0
10000-20000 2
20000-30000 10
30000-40000 75
40000 and above 13
0 2
0-10000
13 10
10000-20000
20000-30000
30000-40000
75 40000 and above
Q4. How much time you can provide easily besides your job hours?
Ans. The responses of individuals are as follows:-
TIME PERIOD % people

0-2 hrs. 42
2-4 hrs. 45
4-6 hrs. 11
Full time 2
2
11
0-2 hrs .
42 2-4 hrs .
4-6 hrs .
Full tim e
45
30
Q5. Do you have your own vehicle?
Ans. The response of people is as follows :-
Yes- 96.5% No-3.5%
3.5
Y es
No
96.5
Q6. Do you have your own mobile?
Ans. The response of people is as follows :
Yes- 98% No-2%
Yes
No
98
31
Q7. Would you like to work in market/field and want to interact
with people?
Ans. The response of individuals is as follows :-
Yes- 65% No- 35%
35
Yes
No
65
Q8. Would you like to come our company office and spend your
some time with our people in a seminar?
Ans. The response of people are as follows :-
Yes- 45% No- 55%
45%
55%
32
Q9. Do you want that a sales manager should approach you for agency?
Ans. The responses of people are as follows :
Yes- 64.3% No-35.7%
80
64.3
60
40
35.7
20
0
S1
Yes
No
Q10. How many people do you know in Mumbai?
Ans. The responses of people are as follows: -
MONTHLY INCOME % of people

0-10000 15
10000-20000 10
20000-30000 35
30000-40000 25
40000 and above 15
Seri
es1
0-10000 10000- 20000- 30000- 40000

20000 30000 40000 and
above
33
IMPORTANCE OF ADVISORS IN AN INSURANE
COMPANY:
In the insurance industry the sales team following the typical

organization structure:
Hierarchy in Insurance Company
SALES
MANAGER
ARE SALES AREA SALES AREA SALES

MANAGER MANAGER MANAGER
UNIT UNIT UNIT

MANAGER MANAGER MANAGER
ADVISORS ADVISORS ADVISORS
34
The sales team comprises of the Sales Manager superior to Area Sales Manager, These
ASM’s (Area Sales Manager) have their own individual team of Unit Manager and in
turn Unit Managers their own team of financial advisors.
Each team of ASM’s competing with each other in surge of achieving targets, each Unit
Manager depends on their Advisors for their business. They represent the
company in the market to the customers, so nobody can deny the
importance of Advisors in the whole s ystem.
They providing the company with the business and help their respective Unit Manager to
achieve their targets. So a unit Manager has to be really careful while recruiting their
Advisors. During the year of appointment, new Advisor usually account for a relatively
small proportion of the organization’s total production.
The most promising means of achieving profitable production growth lies in your sales
organization’s capacity to give policy owners good counsel and prompt, courteous serves
–to give them value for premium paid. The best guarantee of having that capacity comes
from retaining large number of productive advisor.
Consequently, the development needs of your sales organization call for successful
recruiting. It’s a necessity. This is why manager who move to the top of Bajaj Allianz
honor roll and stay there are always found to be manpower-focused.
Before we move to the “how to” of recruiting, let’s consider some important philosophies
relative to recruiting.
FIVE PERSISTENT CONCERNS:
As an Bajaj Allianz Manager, you are fully committed to building a high performing,
growing agency. This being true, it follows those five concerns must be constant in your
annual planning.
 The SEARCH for talent

 The EVALUTION of potential advisors
 The ATTRACTION of advisors
 The RETENTION of advisors
 The PRODUCTIVITY of advisors
Any manager who attains satisfying results in these five areas will enjoy
 Satisfying sales results
 Outstanding persistency of business
 Superior policy owner service capabilities
 An enviable reputation as a Bajaj Allianz agency builder
 A momentum which comes from the synergistic benefit of success
35
CHART SHOWING HOW TO GET POTENTIAL ADVISOR:
Putting it simply in a flow
SEARCH
Where to look for
ATTRACT
How to attract to life Insurance
EVALUATE
How to evaluate
PRODUCTIVITY
RETENTION
36
FINDINGS
 People are becoming more & more money conscious as we didn’t find any person who
doesn’t want to earn extra money.
 People are very much aware of ICICI Prudential among private companies and LIC in
public sector as they respond me first name of LIC then ICICI prudential and then others.
 The overall scenario is that still people trust on LIC more than any other insurance
company. Sometimes when WE asked someone to become an agent of Bajaj Allianz they
misunderstood with LIC. For them still life insurance means LIC.
 Generally people are having leisure time of around 2-3 hrs and still want to utilize this
time to earn extra money, if they can.
 Contrary of the prior thinking most of the people don’t hesitate in doing field work an
roaming in the market. They know that without hard work they can’t earn money.
 There were many respondents who were not interested in attending seminar conducted by
Bajaj Allianz among Indian Market.
CONCLUSION
The Bajaj Allianz insurance company is entering into booming here. To increase the
market share in insurance time-to-time research projects are undertaken and this prefects
was endeavor in that direction. To conclude their can't be two ways about Bajaj Allianz
life Insurance, commanding a very good brand image people mostly does not go by Bajaj
people still think that Bajaj is partly owned by government. And hence would be more
secure to invest here growing at a breakneck pace with a strong pan Indian presence Bajaj
Allianz has emerged as a strong player in India. Characterized by global presence with a
local focus driven by customer orientation to establish highearnings potential and
financial strength.
37
Limitation
It is well known fact that constraints and limitation are bound to present in any study do this also
has some limitation as:
 It is very difficult to make the people understand the significant of conducting survey.
 Lack of knowledge of area has also affected the research.
 Due to shortage of monitory resources the project report does not reach to its perfection.
 Market share can fluctuate for much minor reason.
 Sometimes people don't give the clear answer during the survey.
 The people are much faith on L.I.C.
RECOMMENDATIONS
 There should be focus on advertisements through T.V. or other Electronic Media.
 Try to make Brand Image, with the help of Bajaj Auto, more & more as it has a strong
brand image in Indian market.
 Make use of internet banking for increasing sales, and also for promotion.
 They should increase their Distribution Channels by more & more tie ups with the
 locals banks also, because they can help them to penetrate in Indian market easily.
 There should be more incentives to IC’s as they are the backbone of the company in order
to increase sales they have to do more efforts than others.
38
Annexure
Name : _____________________________________
Company Name: _____________________________________
Q1.Do you know about the Bajaj Allianz Life Insurance companies?
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
39
Q7. Would you like to work in market/field and want to interact with
people?
Yes No
Q8. Would you like to come our company office and spend your some
time with our people in a seminar?
Yes No
Yes No
Q10. How many people do you know in LIC?
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
40
Annexure
Name : _____________________________________
Company Name: _____________________________________
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
41
people?
Yes No
Yes No
Yes No
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
Annexure
42
Name : _____________________________________
Company Name: _____________________________________
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
43
people?
Yes No
Yes No
Yes No
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
Annexure
Name : _____________________________________
44
Company Name: _____________________________________
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
45
people?
Yes No
Yes No
Yes No
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
Annexure
Name : _____________________________________
46
Company Name: _____________________________________
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
47
people?
Yes No
Yes No
Yes No
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
Annexure
Name : _____________________________________
48
Company Name: _____________________________________
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
49
people?
Yes No
Yes No
Yes No
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
Annexure
Name : _____________________________________
50
Company Name: _____________________________________
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
51
people?
Yes No
Yes No
Yes No
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
Annexure
Name : _____________________________________
Company Name: _____________________________________
52
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
people?
53
Yes No
Yes No
Yes No
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
Annexure
Name : _____________________________________
Company Name: _____________________________________
54
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
people?
55
Yes No
Yes No
Yes No
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
Annexure
Name : _____________________________________
Company Name: _____________________________________
56
Yes No
Yes No
0 – 5000
5000 – 10000
10000 – 15000
15000 – 20000
20000 and Above
0-2
4-6
6-8
Full Time
Yes No
Yes No
people?
57
Yes No
Yes No
Yes No
0 – 50
50 – 100
100 – 150
150 – 200
200 and Above
58

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N.L.

Dalmia Institute of Management Studies And Research

Srishti Sector - 1, Mira Road (E) 401104

“A STUDY OF STRATEGY AND FUNCTIONING OF FIELD FORCES

Chirag Vasa – 286

4 ABOUT POLICES OF BAJAJ ALLIANZ 21

8 OBSERVATIONS & FINDING 37

A good marketing strategy should integrate an organization's marketing goals, policies,

Strategies based on market dominance –

Porter generic strategies –

3. Channelize savings into sectors needing huge long term investments.

BRIEF HISTORY OF INSURANCE SECTOR IN INDIA

In December 2000, the GIC subsidiaries were restructured as independent insurance

Sr No Company Policy Term (Year)

2 AVIVA Life Shield 2650 2660 2890 3120 3530 4060

5 HDFC Term Assurance 2770 2820 2870 2920 3050 3430

8 LIC Amol Jeevan 2564 2564 2812 3227 3821 ---

10 Met Life Suraksha 2700 2600 2800 3100 3300 ---

11 SBI Life Shield 2043 2043 2150 2454 2964 ---

8 LIC Endownment Assurance 208829 102275 66530 47955 37818 31368

10 Met Life Suvidha --- --- 62420 42990 31890 25550

11 SBI Life Sudarshan --- 97646 60034 40356 29399 22735

1 AMP Sanmar Divya Shree 3.57 3.47 3.44 3.5

2 Bajaj Allianz Invest Gain 3.67 3.28 3.07 3

3 HDFC Life Endownment Assurance 3.69 3.69 3.78 3.81

4 ICICI Prudential Save n Pocket 3.78 3.59 3.51 3.55

5 ING Vysya Reassuring Life Endowment 3.15 3.3 3.5 3.67

7 Kotak Mahindra Endownment Plan 3.5 3.35 3.29 3.33

8 LIC Endownment Assurance 3.85 3.8 3.87 4

9 Met Life Suvidha 3.4 3.21 3.12 3.22

10 SBI Life Sudarshan 3.12 2.87 2.76 2.77

1 AMP Sanmar Nitya Shree 3450 30000 26400

2 Bajaj Allianz Life Time Care 29760 24710 22140

3 ING Vysya Rewarding Life 44754 38358 35572

4 LIC Jeevan anand 76292 54274 41206

5 Met Life MET 100 (non participating) 16900 14340 13030

6 Met Life Met 100 Gold 32070 26700 23760

EQUITY SHARE CAPITAL OF LIFE INSURANCE COMPANIES

Bajaj Allianz 150.71 150.37 150.23 150.07 150.07 150.03 150.00

Bharti Axa 366.11 150.00 1.10 NA NA NA NA

Birla Sunlife 1274.50 671.50 460.00 350.00 290.00 180.00 150.00

Future Generali 185.00 NA NA NA NA NA NA

HDFC Std 1271.00 801.26 620.00 320.00 255.50 218.00 168.00

ICICI Pru 1401.11 1312.30 1185.00 925.00 675.00 425.00 190.00

IDBI Fortis 200.00 NA NA NA NA NA NA

ING Vysya 790.00 690.00 490.00 325.00 245.00 170.00 110.00

Kotak Mahindra 480.27 330.35 244.58 211.76 151.26 131.30 101.00

Metlife 761.08 530.00 235.00 235.00 160.00 110.00 110.00

Reliance Life 1147.70 664.00 331.00 217.10 160.00 125.00 125.00

Sahara 232.00 157.00 157.00 157.00 157.00 NA NA

SBI Life 1000.00 500.00 425.00 350.00 175.00 125.00 125.00

Shriram 125.00 125.00 125.00 NA NA NA NA

Tata AIG 870.00 547.00 447.00 321.00 231.00 185.00 185.00

Total 12291.42 8119.41 5887.05 4347.81 3238.71 2229.13 1664.00

Bajaj Allianz Life Insurance

• Is the fastest growing private life insurance company in India.

Bajaj Allianz General Insurance Company Limited

• Property and Casualty Insurance,

• Life and Health Insurance,

• Asset Management and Banking.

• ALLIANZ AG- A GLOBAL FINANECIAL POWERHOUSE

• Worldwide 2nd by Gross Written Premiums - Rs.4,46,654 cr.