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MANAGEMENT STUDIES
ROLE OF LIC IN
INSURANCE
INDUSTRY
14 January 2018
Executive Summary :
Someone has greatly said that the practical knowledge is far better than the
classroom trainings. During this project, I fully realised this and come to know about
the present real world of the Insurance sector. It includes all the activities involved in
providing Insurance products to the final customer.
The subject of my study is to analyse the present insurance sector & products
offered by LIC of India applying various tools like cold calling & through direct
interaction with customers. This report contains first of all brief introduction about the
company.
Then is contains current status of private insurance companies & foreign
insurance companies in India. I also put forward recommendations of the consumers
& conclusions that will help LIC of India to provide consumer satisfactory services in
the insurance sector.
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ACKNOWLEDGEMENT
I take the opportunity of submitting this thesis to express my deep regards towards
those who have offered their invaluable assistance and guidance in the hour of need.
I sincerely acknowledge with a deep sense of gratitude and show regards to Mr.
Girish Kirtani of M/s. Vedanta College of management & Information technology, for
knowledge share during the initial phase of the project. I highly obliges to him for their
guidance, advice and co-operation while assignment.
I would also like to thank to Mr. Girish Kirtani for his kind support, guidance
throughout this process and allowing me to go ahead with this project.
REPORT PRESENTER:
SIGNATURE :
DATE :
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CERTIFICATE
Course coordinator
Internal Examiner
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Table of Content:
Cover page…………………………………………………………………………
Acknowledgement……………………………………………………….………..
Certificate……………………………………………………………………...
Table of Content…………………………………………………………………..
1. Introduction……………………………………………………. 06 To 06
2. Meaning of insurance………………………………………….. 06 To 07
3. Classification of insurance…………………………………….. 08 To 15
4. Advantages & Disadvantages………………………………… 16 To 18
5. LIC Act 1956………………………………………………….. 19 To 21
6. Latest LIC Policies……………………………………………. 22 To 26
7. Objective Of LIC…………………………………………….... 27 To 27
8. Role & Function Of LIC……………………………………… 28 To 28
9. Organisation Structure Of LIC……………………………….. 29 To 29
10. Conceptual Discussion………………………………………… 30 To 35
11. Data Analysis………………………………………………….. 36 To 45
12. Conclusion…………………………………………………… 46 To 46
13. Bibliography………………………………………………… 47 To 47
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INTRODUCTION:
“Man Proposes & God Disposes”
This statement is self-explanatory that man has no control on its life and results of its human
activities. It means that there is always uncertainty of the results of human activity. From the
moment of birth, till the end of life, all material possessions are also continually exposed to
uncertainty. So, we can say that-
“Uncertainty is the fundamental fact of life”
This uncertainty leads to fear of risk in our life. Fear of risk can be satisfied by taking all
precautions to avoid risk. In spite of all precautions, accident occurs. So, only these
precautions are not sufficient to avoid the consequences of uncertainty, but it requires more
effective technique to deal with the problem of risk in our society. We can deal with the risk
in various ways but insurance is one of the best techniques to deal with the risk.
MEANING OF INSURANCE
Insurance is a cover used or protecting oneself from the risk of a financial loss. It is important
to understand that risk is a part of any person’s life and that it increases as a person increases
in age, responsibility and wealth. Insurance is risk coverage against financial losses and
should not be taken as an investment instrument. There are mainly two parties involved in
this- the insurer and the insured. The insurer is the insurance company who will provide the
cover to the insured against any financial losses. The insured may be an individual person or
a group of people like an employer, members of a society, etc.
PROJECT OBJECTIVES:
a) The report gives the brief background of the sector & proceeds to highlight the short
comings of the existing set-ups & Players
b) The benefits of liberalized sector are enumerated
c) The report also tries to identify the market potential for insurance products & the
strategy that can be employed to exploit the same.
d) The stress is also given on knowing the awareness level of general public.
PROJECT METHODOLOGY:
To conduct the market research first of all it is necessary to create a Project design.
A project design is basically a blue print of how project is to be constructed, it may include;
Choosing the approach
Determining the types of data needed
Locating the source of data
Choosing the method of data
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PROJECT DESIGN:
Basically there are 3 types of approaches to design a better project:
1. Exploratory
2. Descriptive
3. Experimental
During this project, I have considered the Descriptive & Exploratory approaches because
of the availability of relevant information to describe the relation between the marketing
problem & the available information.
For the project two types of data is used;
a. Primary source of data:
First-hand information, data, reviews & opinions from the survey through college
students, professors & neighbouring people
b. Secondary source of data:
Data, information which is already exists in collected from published sources. The
secondary data is collected through following sources;
i). Newspapers & magazines
ii). Insurance posts by LIC
iii). Websites (Internet)
CLASSIFICATION OF INSURANCE:
Life Insurance
Non-Life Insurance- Property Insurance, Casualty Insurance, Health Insurance Life
Insurance:
Life Insurance is a contract that pledges payment of an amount to the person assured (or his
nominee) on the happening of the event insured against. The contract is valid for payment of
the insured amount during:
The date of maturity, or
Specified dates at periodic intervals, or
Unfortunate death, if it occurs earlier
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CLASSIFICATION OF INSURANCE:
TYPES OF INSURANCE:-
Insurance
Non-Life
Life Insurance
Insurance
General Miscellaneous
Insurance Insurance
Life Insurance
Non-Life Insurance- Property Insurance, Casualty Insurance, Health Insurance Life
Insurance:
Life Insurance is a contract that pledges payment of an amount to the person assured (or his
nominee) on the happening of the event insured against. The contract is valid for payment of
the insured amount during:
The date of maturity, or
Specified dates at periodic intervals, or
Unfortunate death, if it occurs earlier
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Life insurance may be divided into two basic classes – temporary and permanent or following
subclasses – term, universal, whole life and endowment life insurance.
Term Insurance
Term assurance provides life insurance coverage for a specified term of years in exchange for
a specified premium. The policy does not accumulate cash value. Term is generally
considered "pure" insurance, where the premium buys protection in the event of death and
nothing else.
There are three key factors to be considered in term insurance:
Face amount (protection or death benefit),
Premium to be paid (cost to the insured),
Length of coverage (term).
Various insurance companies sell term insurance with many different combinations of
these three parameters. The face amount can remain constant or decline. The term can be for
one or more years. The premium can remain level or increase. Common types of term
insurance include Level, Annual Renewable and Mortgage insurance."
Level Term policy has the premium fixed for a period of time longer than a year.
These terms are commonly 5, 10, 15, 20, 25, 30 and even 35 years. Level term is often used
for long term planning and asset management because premiums remain consistent year to
year and can be budgeted long term. At the end of the term, some policies contain a renewal
or conversion option. Guaranteed Renewal, the insurance company guarantees it will issue a
policy of equal or lesser amount without regard to the insurability of the insured and with a
premium set for the insured's age at that time. Annual renewable term is a one year policy but
the insurance company guarantees it will issue a policy of equal or lesser amount without
regard to the insurability of the insured and with a premium set for the insured's age at that
time.
Another common type of term insurance is mortgage insurance, which is usually a
level premium, declining face value policy. The face amount is intended to equal the amount
of the mortgage on the policy owner’s residence so the mortgage will be paid if the insured
dies.
A policy holder insures his life for a specified term. If he dies before that specified
term is up (with the exception of suicide see below), his estate or named beneficiary receives
a payout. If he does not die before the term is up, he receives nothing. However, in some
European countries (notably Serbia), insurance policy is such that the policy holder receives
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the amount he has insured himself to, or the amount he has paid to the insurance company in
the past years.
Permanent Life Insurance
Permanent life insurance is life insurance that remains in force (in-line) until the
policy matures (pays out), unless the owner fails to pay the premium when due (the policy
expires OR policies lapse). The policy cannot be canceled by the insurer for any reason
except fraud in the application, and that cancellation must occur within a period of time
defined by law (usually two years). Permanent insurance builds a cash value that reduces the
amount at risk to the insurance company and thus the insurance expense over time. This
means that a policy with a million dollar face value can be relatively expensive to a 70 year
old. The owner can access the money in the cash value by withdrawing money, borrowing the
cash value, or surrendering the policy and receiving the surrender value.
Whole life coverage:
Whole life insurance provides for a level premium, and a cash value table included in
the policy guaranteed by the company. The primary advantages of whole life are guaranteed
death benefits; guaranteed cash values, fixed and known annual premiums, and mortality and
expense charges will not reduce the cash value shown in the policy. The primary
disadvantages of whole life are premium inflexibility, and the internal rate of return in the
policy may not be competitive with other savings alternatives. The death benefit can also be
increased through the use of policy dividends. Dividends cannot be guaranteed and may be
higher or lower than historical rates over time. Premiums are much higher than term
insurance in the short term, but cumulative premiums are roughly equal if policies are kept in
force until average life expectancy.
Cash value can be accessed at any time through policy "loans" and are received
"income-tax free". Since these loans decrease the death benefit if not paid back, payback is
optional. Cash values support the death benefit so only the death benefit is paid out.
Dividends can be utilized in many ways. First, if Paid up additions is elected, dividend
cash values will purchase additional death benefit which will increase the death benefit of the
policy to the named beneficiary. Another alternative is to opt in for 'reduced premiums' on
some policies. This reduces the owed premiums by the unguaranteed dividends amount. A
third option allows the owner to take the dividends as they are paid out. (Although some
policies provide other/different/less options than these - it depends on the company for some
cases)
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Limited-pay:
Another type of permanent insurance is Limited-pay life insurance, in which all the premiums
are paid over a specified period after which no additional premiums are due to keep the
policy in force. Common limited pay periods include 10-year, 20-year, and paid-up at age 65.
3. Endowments:
Endowments are policies in which the cash value built up inside the policy, equals the death
benefit (face amount) at a certain age. The age this commences is known as the endowment
age. Endowments are considerably more expensive (in terms of annual premiums) than either
whole life or universal life because the premium paying period is shortened and the
endowment date is earlier.
In the United States, the Technical Corrections Act of 1988 tightened the rules on tax shelters
(creating modified endowments). These follow tax rules as annuities and IRAs do.
Accidental Death
Accidental death is a limited life insurance that is designed to cover the insured when they
pass away due to an accident. Accidents include anything from an injury, but do not typically
cover any deaths resulting from health problems or suicide. Because they only cover
accidents, these policies are much less expensive than other life insurances. It is also very
commonly offered as "accidental death and dismemberment insurance", also known as an
AD&D policy. In an AD&D policy, benefits are available not only for accidental death, but
also for loss of limbs or bodily functions such as sight and hearing, etc. Accidental death and
AD&D policies very rarely pay a benefit; either the cause of death is not covered, or the
coverage is not maintained after the accident until death occurs. To be aware of what
coverage they have, an insured should always review their policy for what it covers and what
it excludes. Often, it does not cover an insured who puts themselves at risk in activities such
as: parachuting, flying an airplane, professional sports, or involvement in a war (military or
not).
Accidental death benefits can also be added to a standard life insurance policy as a rider. If
++this rider is purchased, the policy will generally pay double the face amount if the insured
dies due to an accident. This used to be commonly referred to as double indemnity coverage.
In some cases, some companies may even offer triple indemnity coverage
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Investment policies
Some policies allow the policyholder to participate in the profits of the insurance company
these are with-profits policies. Other policies have no rights to participate in the profits of the
company, these are non-profit policies.
With-profits policies are used as a form of collective investment to achieve capital growth.
Other policies offer a guaranteed return not dependent on the company's underlying
investment performance; these are often referred to as without-profit policies which may be
construed as a misnomer.
Investment Bonds
Pensions: Pensions are a form of life assurance. However, whilst basic life assurance,
permanent health insurance and non-pensions annuity business includes an amount of
mortality or morbidity risk for the insurer, for pensions there is a longevity risk.
A pension fund will be built up throughout a person's working life. When the person retires,
the pension will become in payment, and at some stage the pensioner will buy an annuity
contract, which will guarantee a certain pay-out each month until death.
Annuities
An annuity is a contract with an insurance company whereby the insured pays an initial
premium or premiums into a tax-deferred account, which pays out a sum at pre-determined
intervals. There are two periods: the accumulation (when payments are paid into the account)
and the annuitization (when the insurance company pays out). IRS rules restrict how you take
money out of an annuity.
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1) Life Insurance is not an Investment:- Life Insurance is an Expense and not an Asset. It
is an expense just like your health insurance to make sure in case of serious illness you are
covered and not in a position to pay the costs of your illness leading to your life ending in a
bad manner. Life Insurance makes sure that your dependents can lead a decent life
economically despite your death. This is the main purpose and advantage of life insurance
2)Tax Advantage :– A number of countries allow you to offset the premiums that you pay
for you life insurance in your taxable income. Also the maturity amount that you get is also
not taxable in a number of places. Insurance is widely used by financial advisors to reduce
your tax burden.
4) Flexibility in Coverage :- Life Insurance is supposed to cover you till the time you
have enough of a corpus for your dependents. You can take life insurance for 5,10,15,20
year. This also depends on your age but you get the basic idea. Suppose you have $50,000 in
savings and you need another $450,000 for your family to be comfortable in case of your
death. If you save $50,000 every year then it means that you need 9 more years to get to your
target .In that case you can take life insurance for 9 years.
make sure that insurance companies don‟t fail like banks. Even if they do their liabilities are
taken over by the government.
Universal and Variable Life Insurance Advantages :– While in my opinion both of these 2
types of insurance are a complete waste of time and money they offer the advantage in some
specific niche cases. These offer the option of investment and insurance by giving you an
interest in the cash value of your insurance. Variable insurance allows you to change the
premiums on your life insurance. However the complications of calculating mortality and
investment in a hybrid product is beyond the intelligence of most people in my opinion and
you are better staying away from these products.
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Buying Life Insurance when you have no Need: – People buy insurance when they
have no need for example an old woman buying life insurance. Also the example of
buying life insurance for a very long time period till you is 80 years old. At that age
you have no need since you would have no dependents and earning power as well.
Buying Complex Life Insurance Products:- like ULIPs, Endowment, Child Plans
etc which give sub optimal returns – Millions of people every year buy insurance
products without understanding it. Most of the complex products give suboptimal
returns and have no suitability for the buyers. Agents frequently give bad advice to
get more commissions. Companies also make more money by selling complex
products which people don‟t understand.
Buying Expensive Policies – People have little clue and don‟t compare life insurance
products even from the same provider. Buying Life Insurance is not Rocket Science
however this trillion dollar industry has made it complicated. There are hundreds of
types of insurance and products which makes choosing a difficult thing for a person.
But keeping it simple like buying term insurance for your insurance needs and other
financial assets for your investment will keep it simple.
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Life Insurance Business in India was nationalized with effect from January 19, 1956. On the
date, the Indian business of 16 non-Indian insurers operating in India and 75 Provident
Societies were taken over by Government of India. Life Insurance Corporation of India, Act
was passed by the Parliament on June 18, 1956 and came into effect from July 1, 1956. Life
Insurance Corporation of India commenced its functioning as a corporate body from
September 1, 1956. Its working is governed by the LIC Act. The LIC is a corporate having
perpetual succession and a common seal with a power to acquire hold and dispose of property
and can by its name sue and be sued.
The LIC of India was set up under the LIC Act, 1956 under which the life insurance was
nationalized. As a result, business of 243 insurance companies was taken over by LIC on 1-9-
1956.
It is basically an investment institution, in as much as the funds of policy holders are invested
and dispersed over different classes of securities, industries and regions, to safeguard their
maximum interest on long term basis. LIC is required to invest not less than 75% of its funds
in Central and State Government securities, the government guaranteed marketable securities
and in the socially-oriented sectors. At present, it is the largest institutional investor. It
provides long term finance to industries. Besides, it extends resource support to other term
lending institutions by way of subscription to their shares and bonds and also by way of term
loans.
LIC which has entered into its 57th year has emerged as the world’s largest insurance co. in
terms of number of policies covered. The LIC’s total coverage of policies including
individual, group and social schemes has crossed the 11 crore.
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LIC New Money back Plan-20 years offers financial protection against death throughout the
term as well as periodic payment at specified durations during the period. It provides
financial cover for the family of the deceased policy-holder until Maturity and lump sum
amount (40% of Basic Sum Assured along with Simple Reversionary Bonus and Final
Additional Bonus) at the time of Maturity in case of survival. The Death benefit provided by
this policy includes the Sum Assured on Death (higher one of 125% of Basic Sum Assured or
10 times of annualized premium) along with Simple Reversionary Bonuses and Final
Additional Bonus.. If the policy holder survives till the end of specified term 15% of Basic
Sum Assured will be paid at each 5th, 10th and 15th and 20th years.
The maximum age at entry must be 30 years while the minimum must be 15 years. The term
is 20 years. The minimum Sum Assured is 1, 00,000Rupees and there is no maximum limit.
The maximum Maturity age is 70 years. The policy holder will get a share in the profits of
the company through Simple Reversionary Bonus if the policy is running properly. Final
Bonus will be declared at the time of claiming the policy through death or maturity.In case of
accidental death, an optional rider called Accidental Death Benefit rider can be opted for
which provides twice the sum assured, available with payment of Rs.100 per 1 lakh sum
assured every year.
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This is an endowment plan or policy which combines savings and financial protection. In
case the person whose life is insured survives the term of maturity, he/she will get the assured
sum along with the ensued bonus. If the person dies without completing the term of maturity,
then the nominee gets the mentioned total amount. However the tax benefit for this plan is
not great; it is only 10% of the initial sum, no matter how large the amount isIn case the age
of policy holder is less than 8 years at the time of starting policy, the risk will commence
either 2 years from the starting date or from the policy anniversary which coincides with the
attainment of 8 years, whichever comes before. If the policy holder is above 8 years then the
risk commences immediately. The minimum age at entry is 90 days while Maximum age at
entry is 65 years. Term ranges between 10 years and 25 years. The minimum age at maturity
is 18-75 years. There is no upper limit on the maximum sum assured while the minimum sum
is 50,000 Rupees.
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This plan provides insurance and risk coverage for the entire life of the policy-holder,
because this policy will continue after the end of the policy term. At the end of policy term
Sum assured along with the accumulated bonus and final bonus will be paid to the policy
holder. At death or attainment of 100 years of the policy holder (whichever occurs earlier),
sum assured will be paid to the nominee. The policy can be bought between 18 to 50 years.
The premium paying modes are yearly, half yearly, quarterly and monthly (ECS Only).The
Policy Term ranges from 15 to 35 Years. The basic sum assured is 100000 and above (in
multiple of 5000). A Loan can be availed after 3 years. The policy holder will get a share in
the profits of the company through Simple Reversionary Bonus if the policy is running
properly. Final Bonus will be declared at the time of claiming the policy through death or
maturity. This plan also provides optional disability benefit in case of permanent disability
during policy term, and the future premiums would be waived off. In case of accidental death,
an optional rider called Accidental Death Benefit rider can be opted for which provides twice
the sum assured, available with payment of Rs.100 per 1 lakh sum assured every year.Service
Tax is applicable on the premium paid at the rate of 3.09% for 1st year and 1.545% from 2nd
year onwards.
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This is a non-linked plan which is designed to fulfill the educational and marriage needs of
growing children through Benefits of Survival. It can be taken by the parent or grandparent of
any child up to 12 years. If the policy-holder dies before Maturity of policy or before
commencement of risk, then the premiums will be returned excluding taxes and extra, rider
premium. If the policy holder dies after the date of commencement of risk, the Death Benefit
is payable, which is the Sum Assured (greater than 10 times of annualized premium or Basic
Sum Assured). The Death benefit will not be less than 105% of total premiums paid till death,
excluding taxes, extra and rider premium. If the policy holder survives till the age of 18, 20
and 22 years, 20% of the Basic Sum Assured will be paid on each of the mentioned years. If
the policy holder survives till Maturity of policy, then he/she is entitled to receive Sum
Assured on Maturity which is 40% of Basic Sum Assured, in addition to Reversionary and
Final Additional Bonuses.The age of policy holder must be between 0-12 years and the age of
Maturity is 25 years. The term of Policy would be (25- Age at entry) years. The minimum
basic Sum Assured is 1, 00,000 Rupees and there is no maximum limit.
The optional benefits provided are the Option to defer the Survival Benefits and the LIC
Premium Waiver Benefit Rider. According to this the policy holder will have the option to
claim the Survival Benefit on or after the due date. If this option is availed, the Corporation
will be paying increased survival benefit which is equal to Survival Benefits % * Sum
Assured * (Factor applicable to Survival Benefit (s)), provided written intimation by policy
holder before 6 months of due date. The LIC Premium Waiver Benefit Rider is available to
the proposer (between 18-55 years) with additional premium payment. If the proposer dies,
the premiums after death under the basic policy will be waived off. However this does not
apply to suicide of the proposer in sane or insane conditions within 12 months of issue of first
Premium receipt or within 12 months of policy revival, and the cost of medical and special
reports are not covered by the Corporation.
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OBJECTIVES OF LIC:
Spread Life Insurance widely and in particular to the rural areas and to the socially and
economically backward classes with a view to reaching all insurable persons in the country
and providing them adequate financial cover against death at a reasonable cost.
Maximize mobilization of people's savings by making insurance-linked savings adequately
attractive.
Bear in mind, in the investment of funds, the primary obligation to its policyholders, whose
money it holds in trust, without losing sight of the interest of the community as a whole; the
funds to be deployed to the best advantage of the investors as well as the community as a
whole, keeping in view national priorities and obligations of attractive return.
Conduct business with utmost economy and with the full realization that the moneys belong
to the policyholders.
Act as trustees of the insured public in their individual and collective capacities.
Meet the various life insurance needs of the community that would arise in the changing
social and economic environment.
Involve all people working in the Corporation to the best of their capability in furthering the
interests of the insured public by providing efficient service with courtesy.
Promote amongst all agents and employees of the Corporation a sense of participation, pride
and job satisfaction through discharge of their duties with dedication towards achievement of
Corporate Objective.
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CONCEPTUAL DISCUSSION:
Table of Life Insurance Companies market share. This is based on the New Business
premium collected in the year. Renewal premiums have not been included in these
calculations.
Company Name 2012-13 2013-14 2014-15 2015-16 2016-17
LIC 71.80% 71.40% 75.50% 69.30% 70.50%
SBI Life 5.70% 4.80% 4.20% 4.90% 5.10%
ICICI Prudential 3.90% 4.50% 3.10% 4.70% 4.90%
HDFC Life 3.40% 4.10% 3.40% 4.80% 4.70%
Bajaj Allianz 2.40% 2.80% 2.20% 2.40% 2.10%
Max Life 1.70% 1.80% 1.90% 2.30% 2.10%
Birla Sun Life 1.70% 1.70% 1.40% 1.70% 1.60%
Kotal Life 1.00% 1.10% 1.10% 1.40% 1.60%
Reliance Nippon Life 1.60% 1.30% 1.60% 1.80% 1.10%
India First 0.90% 1.20% 1.40% 1.40% 1.10%
PNB Metlife 0.90% 0.80% 0.60% 0.70% 0.70%
Canara HSBC 0.60% 0.60% 0.50% 0.40% 0.60%
Tata AIA 0.80% 0.50% 0.40% 0.30% 0.50%
DHFL Prameria 0.10% 0.10% 0.10% 0.50% 0.50%
Shriram Life 0.30% 0.40% 0.30% 0.40% 0.50%
Star Union Dai-ichi 0.80% 0.70% 0.50% 0.60% 0.50%
Exide Life 0.60% 0.60% 0.50% 0.60% 0.50%
IDBI Federal 0.30% 0.30% 0.30% 0.40% 0.40%
Bharti AXA 0.20% 0.20% 0.30% 0.40% 0.40%
Aviva 0.70% 0.60% 0.50% 0.50% 0.20%
Future Generali Life 0.30% 0.20% 0.20% 0.20% 0.20%
Edelweiss Tokio 0.00% 0.00% 0.10% 0.10% 0.10%
Aegon Life 0.20% 0.10% 0.10% 0.20% 0.10%
Sahara Life 0.10% 0.10% 0.10% 0.00% 0.00%
80.00%
Percentage
75.00%
70.00%
65.00%
2012-13 2013-14 2014-15 2015-16 2016-17
YOY Growth
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DATA ANALYSIS
Data analysis gives meaning to the data that has been collected. More than 51
respondents were given questionnaire by mail. After verification as to completeness of
collected questionnaire, samples were finalized. In the data having responses both male and
female. The majority of male is more than female. The majority of female is 13 & male is 37.
Figure 1
people response
10%
Yes
No
90%
Figure 1: We can invest 90% of people's LIC policies and 10% of people cannot invest in
LICs policies.
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Figure 2
People Response
18%
39%
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Figure 3
People Response
14%
39%
1000
14%
2000
3000
5000
33%
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ROLE OF LIC IN INSURANCE INDUSTRY
Figure 4
People Response
16%
Monthly
44%
12%
Quarterly
Half Yearly
Yearly
28%
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ROLE OF LIC IN INSURANCE INDUSTRY
Figure 5
People Response
10%
35%
5 Years
27% 10 Years
20 Years
Above20 Years
29%
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ROLE OF LIC IN INSURANCE INDUSTRY
Figure 6
People Response
8%
Positive
Negetive
92%
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ROLE OF LIC IN INSURANCE INDUSTRY
Figure 7
People Response
12%
35%
Company Profile
Brand
Public Sector
33%
Grievances
21%
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ROLE OF LIC IN INSURANCE INDUSTRY
Figure 8
People Response
6%
10%
Satisfied
Fully Satisfied
Partially Satisfied
26% 58% Not Satisfied
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ROLE OF LIC IN INSURANCE INDUSTRY
Figure 9
People Response
41%
Yes
No
59%
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ROLE OF LIC IN INSURANCE INDUSTRY
Figure 10
People Response
39%
Yes
No
61%
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ROLE OF LIC IN INSURANCE INDUSTRY
CONCLUSION:
Insurance is a large investment and you will most likely purchase multiple policies
throughout your lifetime. It is essential that you know what each type of insurance covers and
how it works so you can make the best decision about what to buy. Do not base your decision
on just what is cheapest, but look at what it provides.
Take the time to shop around and find the right insurance for your situation. People
often say they cannot afford insurance, but the reality is that they cannot afford not to have it.
It can save them from thousands or more dollars in unplanned expenses when unexpected
situations arise. You do not want to waste your money on policies that do not meet your
needs, but the right insurance policy can protect you and your family from unforeseen
disasters.
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ROLE OF LIC IN INSURANCE INDUSTRY
BIBLIOGRAPHY:
Magazine:
Newspaper
Times of India
Economics times
Webliography
www.moneycontrol.com
www.licindia.com
www.scribe.com
www.rbi.com
www.irdaindia.org.com
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