0601099 market survey & agency development

1
A
PROJECT REPORT
ON
“MARKET SURVEY & AGENCY DEVELOPMENT”
FOR
ICICI PRUDENTIAL
IN PUNE
SUBMITTED BY
RAUT PRADEEP
SUBMITTED TO
UNIVERSITY OF PUNE
IN PARTIAL FULFILMENT OF
MASTER OF BUSINESS ADMINISTRATION
SUBMITED THROUGH
VISHWAKARMA
INSTITUTE OF MANAGEMENT & RESEARCH-48
(2006-2008)

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ACKNOWLEDGEMENT
I sincerely express my thank to Dr. Sharad Joshi, director, VIM for developing
environment for us in the tenure in the institute. He simply a remarkable director.
The completion of the project would have been a dream without the help and support
of people who gave their valuable time to me for collection of information needed for
the project
I would also like to express my gratitude to Prof. Sunil Doke for giving me
guidance and encouragement as a very helpful and understanding project guide.
I would like to give special thank to Mr. Amar Pacharne, UNIT MANAGER,
Swargate Branch, Pune, ICICI Prudential, who has given all the necessary guidance to
understand Industrial know-how and to complete my project.
And lastly, I am thankful to my parents, friends and my colleagues for their valuable
encouragement and support.
PLACE - PUNE PRADEEP RAUT
MBA-0689
INDEX
Sr. no. Contents Page no.
1 Executive Summary

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2 Objective
3 Introduction to Topic
4 Company Profile
5 Product profile
6 Research methodology
7 Data analysis and Findings
8 Suggestion’s and Conclusion
9 Limitation
10 Bibliography
11 Annexure

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CHAPTER- 11
ANNEXURE
QUESTIONNAIRE:
Name:
Sex: 1. Male______________ Female____________
Address: __________________________________________
_______________________________________

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Contact no: ________________________
Qualification: _______________________________________
Occupation: _________________________
Age: __________
1. Which insurance comes in your mind when you think about investment with
insurance?
a) ICICI PRU
b) HDFC
c) LIC
d) Others
2. Do you have any insurance polices?
1. Yes 2. No
3. Do you know about insurance advisor?
1. Yes 2. No
4. Do you spare time to sell the insurance?
1. Yes 2. No
5. Do you visit any insurance company?
1. Yes 2. No

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6. Do you thing that working in an insurance industry is really income an
generating source.
1. Yes 2. No
7. Do you think that India is growing market for insurance?
1. Yes 2. No
8. Do you know how insurance companies are operating?
1. Yes 2. No
9. Do you have experience to convince people?
1. Yes 2. No
10. Are you aware of the brand name of ICICI-Prudential?
1. Yes 2. No

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CHAPTER - 1
EXECUTIVE SUMMARY
EXECUTIVE SUMMARY
The task given was to look for the prospect and interested person who would work as
an agency for insurance advisor and to help them in recruitment of the insurance
advisors.
The work of the Consultant business Development is to recruit and maintain
Insurance Advisors. The project has been undertaken keeping in view the need for

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Insurance in the Indian market. The basic aim of this project was to understand the
growing sector of life insurance in the market and to analyze ICICI Prudential’s
market status through a SWOT analysis that assesses what an organization can and
cannot do as well as its potential opportunities and threats. These Insurance advisors
act as a medium for the organization to reach out to customers and work as a strong
distribution network in order to create an effective client base for ICICI Prudential
The research conducted was descriptive in nature. In and around PUNE and nearest
Villages region was surveyed to attain certain results. Find out the views of the people
for being an agent of ICICI PRU.
I selected this project on the INSURANCE industry because of my interest & recently
the The main objective of the study is to know BEHAVIOR OF CONSUMERS FOR
BEING AN AGENT OF ICICI PRU. The other objectives are to know the awareness
of ICICI PRU name.
Methodology:
. To attain the objective of the project a research was carried out. The research work
was different for every part of the project confined to the need of the related topic.
The information on the insurance industry was collected from various websites. There
was a series of personal interviews with the employees of the company conducted in
order to prepare a SWOT analysis of the ICICI Prudential. On the other hand in order
to study the recruitment of insurance advisors a series of tele-calls and personal
interviews with the potential candidates was carried out. The audience targeted for the
Market Research was basically comprises of advisors from the mass market and niche
market. Special attentions have been given to Housewives, Students, self employed,
and call centre executives
Finding & suggestions:
In present time only 30 %, people are insured 70 % people are not insured. India is
mainly agricultural country so most of people live in rural area. The rural customers
are different from their urban customers; they like it invest in companies whose
reputation is good in Market. Rural India is succumbed in the illiteracy and many old
myths but its illiteracy is reducing fast because of government initiative in rural areas.
As the incomes rising fast and market is huge, companies are targeting rural area

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because the urban area is saturated or it is highly competitive. The Insurance industry
had a huge market. My suggestion is that they have to cover rural area first because
they have sufficient money but don’t know where to invest.
Conclusion:
In summer training I found that company has good reputation in market and it
has good monopoly, company have best experienced and knowledgeable sales
managers, UM’S etc and the working environment is also healthy. The company’s
aim is providing best services to his customers.
CHAPTER- 2
OBJECTIVE

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OBJECTIVE
Every project is done for some or other objective. In this project, I also have some
objectives in my mind. My Objectives for this project are as follows:
PRIMARY OBJECTIVE:
The primary objective is the development of agency and creating more efficient
channel of Distribution.
SECONDARY OBJECTIVE:
The secondary objectives are as follows,
• To understand business environment.

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• To collect data for follow up
• To search for advisors for ICICI PRU
• To create awareness about working with ICICI PRU
CHAPTER- 3
INTRODUCTION

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INTRODUCTION:
Insurance is a federal subject in India and has history dating back till 1818. Life and
general insurance in India is still a nascent sector with huge potential for various
global players with the life insurance premiums accounting to 2.5% of the country's
GDP while general insurance premiums to 0.65% of India's GDP.The Insurance
sector in India has gone through a number of phases and changes, particularly in the
recent years when the Govt. of India in 1999 opened up the insurance sector by
allowing private companies to solicit insurance and also allowing FDI up to 26%.
Ever since, the Indian insurance sector is considered as a booming market with every
other global insurance company wanting to have a lion's share. Currently, the largest
life insurance company in India is still owned by the government.
With largest number of life insurance policies in force in the world, Insurance
happens to be a mega opportunity in India. It’s a business growing at the rate of 15-20
per cent annually and presently is of the order of Rs 450 billion. Together with
banking services, it adds about 7 per cent to the country’s GDP. Gross premium

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collection is nearly 2 per cent of GDP and funds available with LIC for investments
are 8 per cent of GDP.
Yet, nearly 80 per cent of Indian population is without life insurance cover while
health insurance and non-life insurance continues to be below international standards.
And this part of the population is also subject to weak social security and pension
systems with hardly any old age income security. This itself is an indicator that
growth potential for the insurance sector is immense.
A well-developed and evolved insurance sector is needed for economic development
as it provides long term funds for infrastructure development and at the same time
strengthens the risk taking ability. It is estimated that over the next ten years India
would require investments of the order of one trillion US dollar. The Insurance sector,
to some extent, can enable investments in infrastructure development to sustain
economic growth of the country.
Insurance is a federal subject in India. There are two legislations that govern the
sector- The Insurance Act- 1938 and the IRDA Act- 1999. 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 two
centuries.
With such a large population and the untapped market area of this population
Insurance happens to be a very big opportunity in India. Today it stands as a
business growing at the rate of 15-20 per cent annually. Together with banking
services, it adds about 7 percent to the country’s GDP .In spite of all this growth
the statistics of the penetration of the insurance in the country is very poor. Nearly
80% of Indian populations are without Life insurance cover and the Health
insurance. This is an indicator that growth potential for the insurance sector is
immense in India. It was due to this immense growth that the regulations were
introduced in the insurance sector and in continuation “Malhotra Committee” was
constituted by the government in 1993 to examine the various aspects of the
industry. The key element of the reform process was Participation of overseas

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insurance companies with 26% capital. Creating a more efficient and competitive
financial system suitable for the requirements of the economy was the main idea
behind this reform. Since then the insurance industry has gone through many sea
changes .The competition LIC started facing from these companies were
threatening to the existence of LIC. Since the liberalization of the industry the
insurance industry has never looked back and today stand as the one of the most
competitive and exploring industry in India. The entry of the private players and
the increased use of the new distribution are in the limelight today. The use of new
distribution techniques and the IT tools has increased the scope of the industry in
the longer run.
A BRIEF HISTORY
Insurance in India has its history dating back till 1818, when Oriental Life Insurance
Company started was started by Europeans in Kolkata to cater to the needs of
European community. Pre-independent era in India saw discrimination among the life
of foreigners and Indians with higher premiums being charged for the latter. It was
only in the year 1870, Bombay Mutual Life Assurance Society, the first Indian
insurance company covered Indian lives at normal rates.
At the dawn of the twentieth century, insurance companies started mushrooming up.
In the year 1912, the Life Insurance Companies Act, and the Provident Fund Act were
passed to regulate the insurance business. The Life Insurance Companies Act, 1912
made it necessary that the premium rate tables and periodical valuations of companies
should be certified by an actuary. However, the disparage still existed as
discrimination between Indian and foreign companies. The origin of insurance is very
old .The time when we were not even born; man has sought some sort of protection
from the unpredictable calamities of the nature. The basic urge in man to secure
himself against any form of risk and uncertainty led to the origin of insurance.
In India...
The insurance came to India from UK; with the establishment of the Oriental Life
insurance Corporation in 1818.The Indian life insurance company act 1912 was the
first statutory body that started to regulate the life insurance business in India. By

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1956 about 154 Indian, 16 foreign and 75 provident firms were been established in
India. Then the central government took over these companies and as a result the LIC
was formed. Since then LIC has worked towards spreading life insurance and building
a wide network across the length and the breath of the country. After the liberalization
the entrance of foreign players has added to the competition in the market. 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. In 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. In 1972 The General Insurance Business
(Nationalization) Act, 1972 nationalized the general insurance business in India with
effect from 1st January 1973. It was after this that 107 insurers amalgamated and
grouped into four companies viz. the National Insurance Company Ltd., the New
India Assurance Company Ltd., the Oriental Insurance Company Ltd. and the United
India Insurance Company Ltd. GIC incorporated as a company.
Present Scenario
The Government of India liberalized the insurance sector in March 2000 with the
passage of the Insurance Regulatory and Development Authority (IRDA) Bill, lifting
all entry restrictions for private players and allowing foreign players to enter the
market with some limits on direct foreign ownership. Under the current guidelines,
there is a 26 percent equity cap for foreign partners in an insurance company. There is
a proposal to increase this limit to 49 percent.
The opening up of the sector is likely to lead to greater spread and deepening of
insurance in India and this may also include restructuring and revitalizing of the
public sector companies. In the private sector 12 life insurance and 8 general
insurance companies have been registered. A host of private Insurance companies
operating in both life and non-life segments have started selling their insurance
policies since 2001
INDIA AGAINST THE GLOBAL MARKETS

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India is an under-insured market India’s insurance market is still at an early stage of
development. This is reflected in low penetration rates and low premiums per capita.
Insurable population – only 10% of India’s population have life insurance
According to ING only 10% of the population is insured, which represents around
30% of the insurable population. This suggests more than 300m people, with the
potential to buy insurance, remain uninsured
Global perspective – India ranks 19th on the global stage
India represents only around 0.66% market share (ranked 19th) of global insurance
premiums. As of 2004 the largest markets in size are the US (50x bigger than India),
Japan and the UK. Out of the Asian countries (ex Japan),South Korea is the largest
market
Comprising 2.12% of global premiums, followed by China with 1.61%.
While insurance continues to reach out to the masses, India’s insurance penetration
(premiums as a percentage of GDP) still remains very low at 3.2%. This can be split
between life penetration of 2.6% and non-life of 0.6%. On the world stage,
penetration rates are significantly below developed markets such as the US (9.4%),
UK (12.6%) and Australia (8%). Compared with Asian markets, India still falls well
short of its nearest peers with countries such as Japan, South Korea and Taiwan
having some of the highest penetration rates in the world (between 9% and 14%).

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Nevertheless, despite current low spend on insurance, the trends in India remain
positive. Since the opening up of the market to foreign players in 2000, penetration
has more than doubled from 1.5%. With foreigners gaining momentum and building
the insurance, coupled with India’s favorable macro overlay, we expect penetration
rates to continue to expand.
INSURANCE SECTOR REFORMS
In 1993, Malhotra Committee- headed by former Finance Secretary and RBI
Governor R.N. Malhotra- was formed to evaluate the Indian insurance industry and
recommend its future direction. The Malhotra committee was set up with the
objective of complementing the reforms initiated in the financial sector. The reforms
were aimed at creating a more efficient and competitive financial system suitable for
the requirements of the economy keeping in mind the structural changes currently
underway and recognizing that insurance is an important part of the overall financial
system where it was necessary to address the need for similar reforms. In 1994, the
committee submitted the report and some of the key recommendations included: i)
that mStructure
Government stake in the insurance Companies to be brought down to 50%.
Government should take over the holdings of GIC and its subsidiaries so that these
subsidiaries can act as independent corporations. All the insurance companies should
be given greater freedom to operate.
ii) Competition
Private Companies with a minimum paid up capital of Rs.1bn should be allowed to
enter the sector. No Company should deal in both Life and General Insurance through
a single entity. Foreign companies may be allowed to enter the industry in
collaboration with the domestic companies.
Postal Life Insurance should be allowed to operate in the rural market. Only one State
Level Life Insurance Company should be allowed to operate in each state.

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iii) Regulatory Body
The Insurance Act should be changed. An Insurance Regulatory body should be set
up. Controller of Insurance- a part of the Finance Ministry- should be made
independent
iv) Investments
Mandatory Investments of LIC Life Fund in government securities to be reduced from
75% to 50%. GIC and its subsidiaries are not to hold more than 5% in any company
(there current holdings to be brought down to this level over a period of time)
v) Customer Service
LIC should pay interest on delays in payments beyond 30 days. Insurance companies
must be encouraged to set up unit linked pension plans. Computerization of
operations and updating of technology to be carried out in the insurance industry.
The committee felt the need to provide greater autonomy to insurance companies in
order to improve their performance and enable them to act as independent companies
with economic motives. For this purpose, it had proposed setting up an independent
regulatory body- The Insurance Regulatory and Development Authority.
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. Since being set up as an
independent statutory body the IRDA has put in a framework of globally compatible
regulations. The other decision taken simultaneously to provide the supporting
systems to the insurance sector and in particular the life insurance companies was the
launch of the IRDA 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.
Important milestones in the life insurance business in India:

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1818: Oriental Life Insurance Company, the first life insurance company on Indian
soil started functioning.
1870: Bombay Mutual Life Assurance Society, the first Indian life insurance company
started its business.
1912: The Indian Life Assurance Companies Act enacted as the first statute to
regulate the life insurance business.
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- LIC Act
1956- with a capital contribution of Rs. 5 crore from the Government of India.
THE INSURANCE REGULATORY AND DEVLOPMENT AUTHORITY
(IRDA):
The IRDA since its incorporation as a statutory body has been framing regulations
and registering the private sector insurance companies. IRDA being an independent
statutory body has put a framework of globally compatible regulations 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. The other decisions taken simultaneously to provide the
supporting systems to the insurance sector and in particular the life insurance
companies was the launch of the IRDA’s 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.

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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.
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 have 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 privatization was around Rs 50,000. That has risen to about Rs 80,000.

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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.
THE BENEFITS OF LIFE INSURANCE
Risk cover: -Life Insurance contracts allow an individual to have a risk cover against
any unfortunate event of the future.
Tax Deduction: - Under section 80C of the Income Tax Act of 1961 one can get tax
deduction on premiums up to one hundred thousand rupees. Life Insurance policies
thus decrease the total taxable income of an individual.
Loans: - An individual can easily access loans from different financial institutions by
pledging his insurance policies.
Retirement Planning: - What had provided protection against the financial
consequences of premature death may now be used to help them enjoy their
retirement years. Moreover the cash value can be used as an additional income in the
old age.
Educational Needs: - Similar to retirement planning the cash values that flow from
ones life insurance schemes can be utilized for educational needs of the insurer or his
children.
ROLE OF LIFE INSURANCE IN THE GROWTH OF THE ECONOMY
The Life Insurance Industry has an enviable track record among public sector units. It
has a Consistent profit and dividend paying record accompanied by a steady growth in
its financial resources. Through investments in the Government sector and socially-
oriented sectors the Industry has contributed immensely to the nation's development.

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The industry is recognized as one of the largest financial Institutions in the country.
The ventures initiated by the industry in the areas of Mutual Fund, Housing Finance
has done exceedingly well in recent years. To protect the country's foreign exchange
reserves, the reinsurance arrangement are so organizedaximum retention is made
possible within the country while at the same time protecting interests of the policy
holders.
CHAPTER- 4
COMPANY PROFILE

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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 Insurance Regulatory Development Authority (IRDA).
For the year ended March 31, 2007, the company garnered Rs 24.12 billion of
weighted new business premium and wrote 837,963 policies. The sum assured in
force stands at Rs 458.88 billion. The company has a network of over 72,000
advisors; as well as 9 bancassurance partners and over 200 corporate agent and broker
tie-ups. It is also the only life insurer in India to be assigned AAA credit rating from
Fitch Ratings. For the past five years, ICICI Prudential has retained its position as the
No. 1 private life insurer in the country, with a wide range of flexible products that
meet the needs of the Indian customer at every step in life.
VISION
To make ICICI Prudential the dominant Life and Pensions player built on trust by
world-class people and service.
This we hope to achieve by:

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Understanding the needs of customers and offering them superior products and
service
Leveraging technology to service customers quickly, efficiently and conveniently
Developing and implementing superior risk management and investment strategies to
offer sustainable and stable returns to our policyholders
Providing an enabling environment to foster growth and learning for our employees
And above all, building transparency in all our dealings.
The success of the company will be founded in its unflinching commitment to 5 core
values -- Integrity, Customer First, Boundaryless, Ownership and Passion. Each of the
values describe what the company stands for, the qualities of our people and the way
we work.
We do believe that we are on the threshold of an exciting new opportunity, where we
can play a significant role in redefining and reshaping the sector. Given the quality of
our parentage and the commitment of our team, there are no limits to our growth.
SOME OF THE MAJOR PLAYERS IN THE LIFE INSURNCE SECTOR OF
INDIA
PUBLIC SECTOR
Life Insurance Corporation of India
PRIVATE SECTOR
ICICI Prudential Life Insurance
HDFC Standard Life Insurance
Max New York Life Insurance
Birla Sun-Life Insurance
TATA AIG Life Insurance
SBI Life Insurance
ING Vysya Life Insurance

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Bajaj Allianz Life Insurance
MetLife Insurance
Aviva Life Insurance
AMP Sanmar Life Insurance
Om Kotak Mahindra Life Insurance
Sahara India Insurance
Shriram Life Insurance
MAJOR MARKET PLAYERS
Presently there are 15 Life insurance companies in the country. There is only one
public sector company LIC and the rest 14 are private sector. Although LIC has been
dominating the Life Insurance business since past few years the private players have
now started to build up momentum.
Major market players
Birla Sun Life Insurance Company
Birla Sun Life Insurance Company is a 74:26 joint venture between Birla group and
Sun Life Financial. It is a private sector company. The company was registered on
31/1/2001. The market share for FY 2005-06 was 1.89%.
HDFC – Standard Life
HDFC Standard is a 74:26 joint venture between HDFC and Standard Life. It is a
private sector company. The company was registered on 23/10/2000. The market
share for FY 2005-06 was 2.87%.
ICICI Prudential Life Insurance
ICICI Prudential Life is a 74:26 joint venture between ICICI and Prudential. It is a
private sector company. The company was registered on 24/11/2000. The market
Life Insurance Corporation of India (LIC)
Life Insurance Corporation of India is a 100% government held Public Sector
Company. Being the first to be established LIC is the forerunner in the Life Insurance
sector. The market share for FY 2005-06 was 71.44%.

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Kotak Mahindra OLD Mutual
Kotak Mahindra OLD Mutual is a 74:26 joint venture between Kotak Mahindra bank
and Old Mutual. It is a private sector company. The company was registered on
10/1/2001. The market share for FY 2005-06 was 1.11%
Max New York Life
Max New York Life is a 74:26 joint venture between J & Bank, Pallonji & Co and
MetLife. It is a private sector company. The company was registered on 6/8/2001.
The market share for FY 2005-06 was 1.23%.
Aviva Life Insurance India
Aviva Life insurance is a 74:26 joint venture between Aviva and Dabur. It is a private
sector company. The company was registered on 14/5/2002. The market share for FY
2005-06 was 1.14%.
ING Vysya Life insurance
ING Vysya Life Insurance is joint venture between Exide (50%), Gujarat Cements
(14.87%), Enam (9.13%) and ING (26 %). It is a private sector company. The
company was registered on 2/8/2001. The market share for FY 2005-06 is 0.79%.
MetLife India
MetLife India is a 74:26 joint venture between 74:26 JV between J & K Bank,
Pallonji & Co and MetLife. It is a private sector company. The company was
registered on 6/8/2001. The market share for FY 2005-06 was 0.40%.
Bajaj Allianz Life Insurance Co.
Bajaj Allianz Life Insurance Company is a 74:26 Joint venture between Bajaj Auto
limited and Allianz AIG. The company was registered on 3/8/2001. The market share
for FY 2005-06 was 7.56%.
SBI Life Insurance Company Ltd:
SBI Life Insurance Company is a 74:26 Joint venture between SBI and Cardiff S.A.
The company was registered on 31/3/2001.It is a private sector company. The market
The TATA AIG Group
TATA AIG group is a 74:26 JV between Tata Group and AIG. It belongs to the
private sector. The company was registered on 12/2/2001. The market share for FY
2005-06 was 1.29%.
Sahara India Life Insurance Company Ltd.

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First Wholly Indian Owned Private Life Insurance Company. TheCompany
commenced operations from 30th October 2004. The market share for FY 2005-06
was 0.06 %.
Shriram life insurance company Ltd
Shriram Life is a recent entrant into the life insurance sector It is a 74:26 joint venture
between the Shriram group through its Shriram Financial Holdings and Sanlam Life
Insurance Limited, South Africa. The company expects to start operations soon.
Here the pie-chart represents the overall market shares of the companies in India
belonging to the public as well as the private sector.
No Insurer
Market
Share (%)
1 LIC 71.44
2 Bajaj Allianz 7.56
3 ICICI Prudential 7.35
4 HDFC Standard Life 2.87
5 SBI Life 2.31

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6 Birla SunLife 1.89
7 Tata AIG 1.29
8 Max New York 1.23
9 Aviva 1.14
10
Kotak Mahindra OLD
Mutual
1.11
11 ING Vysya 0.79
12 Reliance Life 0.54
13 MetLife 0.40
14 Sahara Life 0.06
15 Shriram Life 0.03
DDDIIISSSTTTRRRIIIBBBUUUTTTIIIOOONNN
ICICI Prudential has one of the largest distribution networks amongst private life
insurers in India, having commenced operations in over 116 cities and towns in India,
stretching from Bhuj in the west to Guwahati in the east, and Amritsar in the north to
Trivandrum in the south.
The company has 8 bancassurance tie-ups, having agreements with ICICI Bank, Bank
of India, Federal Bank, South Indian Bank, Ernakulam Bank, Lord Krishna Bank and
some co-operative banks, as well as about 290 corporate agents and brokers. It has
also tied up with NGOs, MFIs and corporates for the distribution of rural policies and
organizations like Dhan for distribution of Salaam Zindagi, a policy for the socially
and economically underprivileged sections of society.
ICICI Prudential has recruited and trained more than 65,000 insurance advisors to
interface with and advise customers. Further, it leverages its state-of-the-art IT
infrastructure to provide superior quality of service to customers.
ABOUT THE PROMOTERS

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ICICI Bank (NYSE:IBN) is India’s second largest bank and largest private sector
bank with assets of Rs. 1892.18 billion as on September 30, 2007. ICICI Bank
provides a broad spectrum of financial services to individuals and companies. This
includes mortgages, car and personal loans, credit and debit cards, corporate and
agricultural finance. The Bank services a growing customer base of more than 14
million customers through a multi-channel access network which includes over 590
branches and extension counters, 2,030 ATMs, call centres and Internet banking
(www.icicibank.com).
Established in London in 1848, Prudential plc, through its businesses in the UK and
Europe, the US and Asia, provides retail financial services products and services to
more than 16 million customers, policyholder and unit holders worldwide. As of June
30, 2004, the company had over US$300 billion in funds under management.
Prudential has brought to market an integrated range of financial services products
that now includes life assurance, pensions, mutual funds, banking, investment
management and general insurance. In Asia , Prudential is the leading European life
insurance company with a vast network of 24 life and mutual fund operations in
twelve countries - China, Hong Kong, India, Indonesia, Japan, Korea, Malaysia, the
Philippines, Singapore, Taiwan, Thailand and Vietnam.
Tax Benefits on Insurance and Pension
Life insurance and retirement plans are effective ways of saving taxes. The tax breaks
that are available under our various insurance and pension policies are described
below:
1 Our life insurance plans are eligible for deduction under Sec. 80C.
2 Our Pension plans are eligible for a deduction under Sec. 80CCC.
3 Our health insurance plans/riders are eligible for deduction under Sec. 80D.
4 The proceeds or withdrawals of our life insurance policies are exempt under Sec
10(10D), subject to norms prescribed in that section.
ACHIEVEMENTS
Beginning operations in December 2000, ICICI Prudential’s 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

30
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, 2007 with a total received
premium income of Rs. 9.9 billion, up 135% from 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 company’s range of unique unit-linked policies and
pension plans. The company’s retail market share amongst private companies stood at
36%, making it a 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 ACNielsen 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 Prudential’s 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.
ICICI Prudential also made great strides in the retirement solutions and pensions
market. The company's penetration of the retirement market was driven by the
focused approach towards creating awareness through a 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.
Recent Developments
In keeping with its belief that a happy customer is the best endorsement, ICICI
Prudential has embraced the ‘Six Sigma’ approach to quality, an exercise that begins
and ends with the customer – from capturing his voice to measuring and responding to

31
his experiences. This initiative is currently helping the company improve processes,
turnaround times and customer satisfaction levels.
Another novel introduction is the ICICI Prudential Lifestyle Rewards Club, India's
first rewards programme for Life Advisors;
it allows ICICI Prudential Advisors to redeem points for items ranging from
kitchenware to gold, white goods, and even international holidays.
What makes ICICI prudential no. 1
Commitment of promoters.
Strong Brand.
Most comprehensive product range.
World class training.
Multi channel distribution network.
People-manager & partners.
Advisor
Being an ICICI Prudential advisor can be enriching and exiting career option.
It’s an opportunity to associate with an industry leader, be in touch with the latest and
finest insurance practices from around the globe and grow both personally and
professionally.
Here are some benefits of being an ICICI prudential Life insurance Advisor: -
1. Unlimited Earning potential
2. Ultimate career growth
3. All round support, in house consultant, World class training
4. Comprehensive benefit Package
5. Flexible timing, an independent job.

32
CAREER AS AN ADVISORS WITH ICICI PRUDENTIAL
ICICI Prudential Life Insurance Co Ltd. provides excellent career opportunities to its
quality advisors so that these advisors can grow and prosper with the company. Here
quality advisors are those who bring excellent business for the company.
Advisors are well equipped with.
• Complete knowledge of products.
• Diversified and lucrative products.
• Full support of the company.
• Latest information technology.
• Marketing skills .Company offers the customers:
• Complete and diversified product portfolio.
• Faster and more accurate service.
• Multi channel distribution systems.
• Highly trained professional salespeople offering high quality pre and post sales
service.
As discussed the company is trying to identify the strategies to enhance and diversify the
distribution channel of ICICI Prudential and for this the best way is to recruit quality
advisors for the company, who can bring maximum premium for the company.
The salient points that have been presented to the professional people to absorb them as
Quality Advisors are as follows:
• It is an opportunity where one’s earning potential is unlimited.
• It is an opportunity where this earning will be additional without diverting the original
career path.
• Be your own boss.
• The total benefit package will be comprehensive in nature.
• And, in this effort to earn they will be extensively supported with exclusive
advertising having own in-houses consultant, and superior training.
Strengths that the company is looking in the professional individuals are:
• Confidence
• Self motivation.
• Persuasion .
• Effective Communication.

33
• Setting and Achieving goals.
Company support to make successful advisors.
• High Quality Management support.
• Attractive Payments and Benefits.
• Strong Reputation.
• Excellent Customer service.
• Extensive Training.
• Superior Products.
How to become Advisor of ICICI Prudential Life Insurance
• Appear for an interview.
• Get selected and go in for the mandatory training of 50 hour for CA’s and 100 hours
for others
• Pass the IRDA licensing examination and company specific training.
Rewards and Recognition for the advisors
Enhancement of distribution channel of ICICI Prudential doesn’t mean that to recruit new
quality advisors but also to retain existing advisors and motivate them to bring new
business for the company. So, ICICI Prudential assures that an insurance advisor can be
one of the most rewarding careers.
Career Prospects on Best Performance:
• Tiger Team Programme
• Pinnacle Programme
• Certificate of Excellence
• Life Style Rewards Club
• ICICI Prudential Partner
• Client Brochures
Detailing of these Programmes;
Tiger Team Programme:

34
• Part Time Career as a trainee
• Conduct foundation programme
• Share best field practices
• Replicate your business
• Continue doing your business
• Performance Criteria:
• Age group 25-45 years
• At least 6 months in system
Pinnacle Programme.
• A full time career as a unit manager
• Growth within ICICI Prudential
• Greater earning potential
• Personal Development
• Performance Criteria:
• Age Group 25-45 years
• At least 1 year in system
• Average 2 cases count per month
Or
• At least 6 months in system
• 30 issuances within 6 months
Certificate of excellence
• Awarded to top 5 advisors
• Awarded to top 3 advisors in each in each of the branches
Lifestyle reward Club
• President Club Qualifier
• International Star Club Qualifier
• MDRT (Million Dollar Round Table): Club Formed by those who gained 1 million
dollar as premium
• COT/TOT: Center of the Table and Top of the Table: Which represents the
Highest Achievements?
TRAINING
.SPECIFICATIONS FOR BECOMING AN ADVISOR

35
ICICI Prudential laid down a 5 point scale based on which they could finalize on
making a candidate an agency partner. Every candidate was marked a point if he/she
fitted into the required category. Any candidate who scored less than 3 was
considered a decline an was not allowed to become an advisor.
Following are the 5 categories:
i) Age limit – 25 to 45 years
ii) Married.
iii) Annual income more than or up to 3 lakhs.
iv) Graduate
PROCESS
A database was prepared through the telephone directory and through personal
references.
The potential candidates were made phone calls and called to the office after fixing
appointments with them.
Every candidate was given a business opportunity presentation that explained every
thing about the company profile and the details regarding the work that had to be
undertaken by the potential candidates as advisors.
Candidates were made to fill a form and sign necessary documents and a contract with
ICICI Prudential after producing the necessary identification certificates. These
involved:
i) Education proof
ii) Age proof
iii) 12 colored recent passport size photographs
Candidates were made to pay a sum of Rs. 1200/- as a fee for the IRDA examination
that they had to appear in order to become an advisor. This fee included the fee for the

36
training sessions as well as the study material provided by the company for the
examination purpose.
The candidates were made to attend an eighteen day training by the IRDA which
trained them about the insurance industry.
The exam was held after the completion of the training. The duration of the exam was
2hrs. and he minimum passing marks were 50 out of 100. Candidates who cleared the
examination received a license within 2 weeks and can start working immediately
Following is the SWOT Analysis on ICICI Prudential.
STRENGTHS
• BRAND VALUE
ICICI Prudential as a brand has the strongest hold over the market. The brand
has been so well established among the masses, that it works as their most
effective strength in the market. The values people associate with ICICI
Prudential are, indeed, those that the company hopes to project: lifelong
protection and value for money .It is a powerful proposition; one, which ICICI
Prudential, is taking into the marketplace. The company has an excellent brand
recall rate of 92%.
• MARKET SHARE
ICICI Prudential has the highest market share in the private sector
of life insurance leaving behind over 14 other life insurance
companies. it has been a market leader for 5 consecutive years
and owns a highest share in terms of premium as well as policies.

37
• HIGHEST CAPITAL BASE
The authorized capital of the company stands at Rs. 1200 crores, which is the
highest capital base among all the life insurance companies in the country.
• WORLD CLASS PRODUCT RANGE
ICICI Prudential’s 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
products that can be customized to cater to varying needs of
people at each life stage, and thus ensure protection in every step
of life.
• CREDIT RATING
ICICI prudential is the only private life insurance company which was assigned an
AAA credit rating FITCH ratings, based on their claim settlements.
• WIDEST DISTRIBUTION NETWORK
The company has about 153 branches in over 110 locations spread across the
country. It has the largest and the finest team of over 72,000 well trained
insurance advisors from all walks of life.
WEAKNESS
• NO CO-OPERATION AMONG VARIOUS SUPPORT SYSTEMS

38
One of the major drawbacks for the company on an internal level is that there is
no co-operation among the various support systems involved, such as Human
Resources, Training, Operations etc. this is mainly due to the overload of work for
all these departments that resists co-operation between them.
• ONLY TARGET ORIENTED
ICICI Prudential is a very target oriented company; therefore on an internal level
there is a dilution of processes since concentration is more on the target than
completion of processes in a sequence. This has also led to a weak base for core
activities of the company.
• HIGH STRESS LEVELS OF EMPLOYEES
The employees of ICICI Prudential handle a lot of work load which has
led to a high rate of stress levels among the employees, which in a
long run can affect the growth prospects of both the company as well
as the employees.
• RESTRICTED TARGET MARKET APPROACH
ICICI Prudential has a very restricted approach on the customer segment. They
are concentrating more on the affluent and mass affluent market only. They need
to concentrate on the mass market as well.
• LOW PAY SCALES FOE EMPLOYEES
Compared to the competitors in the market ICICI Prudential has comparatively
lower pay structures for their employees which can lead to high attrition levels.

39
OPPORTUNITIES
• DATA MINING
There is a huge database of customers that is still untapped and needs to be
properly leveraged. Target segments should be identified and tapped effectively.
• HUGE UNTAPPED MARKET
There is a huge untapped market for selling insurance. In India out of tax payers
only 18% own insurance policies or are insured, there is still a huge segment of
about 82% which needs to be worked on.
• OPTIMUM USE OF ADVISORS CAPABILITIES
ICICI Prudential has a large base of insurance advisors working for them, the
company needs to utilize their capabilities and reward them accordingly to
increase their growth prospects.
• PRODUCT DEVELOPMENTS
Being the market leader in private life insurance ICICI Prudential is
in a position to launch variant new products to increase their market
share and tap even the niche markets.
• EMPHASIZING ON PENSION PLANS

40
Due to less percentage of premium payments on pension plans hampers the
commission that the insurance advisors receive on those plans therefore compared
to the sale of other policies pension plans sale share is negligible. By emphasizing
more on pension plans ICICI can increase their market share.
THREATS
• AGGRESSIVE COMPETITORS
ICICI Prudential has a huge number of competitors in the market. In all there are
about 15 insurance companies in India who too have a significant market share.
There is a rapid increase in the competition among private life insurance
companies. Dealing in the same kind of products and having the same target
segments can make life insurance a very competitive field.
• IRDA CONSTRAINTS
All the insurance companies in India are regulated by the guidelines of the
insurance regulatory development authority. These tie down a company from
doing business in a particular manner. Insurance companies cannot make
additional changes in there policies or core activities without the approval of the
IRDA.
• LOW SAVINGS RATE
Though the company has a huge market for insurance policies, the middle class
who constitutes the bulk of this market is today burdened under inflationary
pressures. The secret lies in inculcating savings habit but considering the amount
of surplus funds available with the middle class for investing in future security,
the ability to save is very nominal.

41
• ATTRITION RATES
One of the major threats that ICICI Prudential may face are increasing attrition
rates of the employees. Due to the increasing rate of competition in the life
insurance market the new entrants are offering jobs to existing manpower’s of the
insurance companies with higher pay packages.
• LACK OF QUALITY MANPOWER
Lack of quality manpower at every level also poses as a potential threat to ICICI
Prudential. This may hamper the growth prospects of the company in a long run.
.
CHAPTER- 5
PRODUCT PROFILE

42
PRODUCT PROFILE
Insurance Solutions for Individuals
ICICI Prudential Life Insurance offers a range of innovative, customer-centric
products that meet the needs of customers at every life stage. Its products can be
enhanced with up to 5 riders, to create a customized solution for each policyholder.
Savings Solutions
SecurePlus is a transparent and feature-packed savings plan that offers 3 levels of
protection.
CashPlus is a transparent, feature-packed savings plan that offers 3 levels of
protection as well as liquidity options.
Save’n’Protect is a traditional endowment savings plan that offers life protection
along with adequate returns.
CashBack is an anticipated endowment policy ideal for meeting milestone
expenses like a child’s marriage, expenses for a child’s higher education or
purchase of an asset.

43
LifeTime & LifeTimeII offer customers the flexibility and control to customize
the policy to meet the changing needs at different life stages. Each offer 4 fund
options? Preserver, Protector, Balancer and Maximiser.
LifeLink II is a single premium Market Linked Insurance Plan which combines
life insurance cover with the opportunity to stay invested in the stock market.
Premier Life is a limited premium paying plan that offers customers life
insurance cover till the age of 75.
InvestShield Life is a Market Linked plan that provides capital guarantee on the
invested premiums and declared bonus interest.
InvestShield Cash is a Market Linked plan that provides capital guarantee on the
invested premiums and declared bonus interest along with flexible liquidity
options.
InvestShield Gold is a Market Linked plan that provides capital guarantee on the
invested premiums and declared bonus interest along with limited premium
payment terms.
Protection Solutions
• LifeGuard is a protection plan, which offers life cover at very low cost. It is
available in 3 options? Level term assurance, level term assurance with return
of premium and single premium.
• HomeAssure 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
• SmartKid education plans provide guaranteed educational benefits to a child
along with life insurance cover for the parent who purchases the policy. The

44
policy is designed to provide money at important milestones in the child’s life.
SmartKid plans are also available in unit-linked form ? both single premium
and regular premium.
Retirement Solutions
• Forever Life is a retirement product targeted at individuals in their thirties.
• Secure Plus Pension is a flexible pension plan that allows one to select
between 3 levels of cover.
Market-linked retirement products
• LifeTime Pension II is a regular premium market-linked pension plan
• Life Link Pension II is a single premium market-linked pension plan.
• Invest Shield Pension is a regular premium pension plan with a capital
guarantee on the investible premium and declared bonuses.
• Golden Years: is a limited premium paying retirement solution that offers tax
benefits up to Rs 100,000 u/s 80C, with flexibility in both the accumulation
and payout stages.
ICICI Prudential also launched “Salaam Zindagi”, a social sector group insurance
policy targeted at the economically underprivileged sections of the society.
Health Solution
• Health Assure: Is a regular premium plan which provides l ong term cover
against 6 critical illnesses by providing policyholder with financial assistance,
irrespective of the actual medical expenses.
• Health Assure Plus: Is a regular premium plan which provides long term
cover against 6 critical illnesses by providing financial assistance, irrespective
of actual medical expenses, as well as an equivalent life insurance cover
Group Insurance Solutions

45
ICICI Prudential also offers Group Insurance Solutions for companies seeking to
enhance benefits to their employees.
• ICICI Pru Group Gratuity Plan: ICICI Pru’s group gratuity plan helps
employers fund their statutory gratuity obligation in a scientific manner. The
plan can also be customized to structure schemes that can provide benefits
beyond the statutory obligations.
• ICICI Pru Group Superannuation Plan: ICICI Pru offers a flexible defined
contribution superannuation scheme to provide a retirement kitty for each
member of the group. Employees have the option of choosing from various
annuity options or opting for a partial commutation of the annuity at the time
of retirement.
• ICICI Pru Group Term Plan: ICICI Pru’s flexible group term solution helps
provide affordable cover to members of a group. The cover could be uniform
or based on designation/rank or a multiple of salary. The benefit under the
policy is paid to the beneficiary nominated by the member on his/her death.
Flexible Rider Options
ICICI Pru 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 policy. 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.
• Accident Benefit: This rider option pays the sum assured under the rider on
death due to accident.
• Critical Illness Benefit: protects the insured against financial loss in the event
of 9 specified critical illnesses. Benefits are payable to the insured for medical
expenses prior to death.

46
• Income Benefit: This rider pays the 10% of the sum assured to the nominee
every year, till maturity, in the event of the death of the life assured. It is
available on SmartKid, SecurePlus and CashPlus
• Waiver of Premium: In case of total and permanent disability due to an
accident, the premiums are waived till maturity. This rider is available with
SecurePlus and CashPlus.
.
CHAPTER- 6
RESEARCH METHODOLOGY

47
REVIEW OF LITRETURE
It is a way to systematically solve the research problem. It may be understood as a
science of studying how research is done scientifically. When we talk about
research methodology we not only talk of the research methods but also consider
the logic behind the methods we use in the context of our research study and
explain why we are using particular method or technique and why we are not
using others so that research are capable of being evaluated either by researcher
himself or by others.
Research methods refer to the behavior and instruments used in selecting and
constructing research techniques, For instance, the reference between the methods
and techniques of data collection can better be understood from the details given
as follows-
TYPES OF RESEARCH METHODS
1. Library research
a) Analysis of historical records, recording of the notes, content analysis, tape
and film listening, and their analysis.
b) Analysis of documents: Statistical compilations and manipulations, reference
and abstract guides, content analysis.
2. Field research

48
a) Non participant direct observation: observational behavioral scales, use of the
score cards, etc
b) Participant observation: interact ional recording; possible use of the tap
reorders photographic techniques.
c) Mass observation: Recording mass behaviors, interview using independent
observer in public places
d) Personal interview: interviewer uses a detailed schedule with open and closed
ended questions.
e) Opinionative: Use of the attitude scales, projective techniques, and use of
socio metric scales.
3. Laboratory Research
a) Small group study of random behavior, play and role analysis, Use of audio-
visual recording devices, use of observers, etc
CONCEPTUAL UNDERSTANDING OF MARKETING RESEARCH
This chapter is an introduction to marketing research. It deals with preliminary
concepts such as the definition of marketing research, the evolution and growth,
application of marketing research.
WHAT IS RESEARCH?
Before defining marketing research, let us understand first what is research
Research always starts with question through application of scientific method. It is
a systematic and intensive study directed toward a more complete knowledge of
the subject studied.
Research can be classified into broad categories
1) Basic Research
Basic is sometimes called “fundamental research”, “theoretical research”, or pure
research”.
It aims in expanding the frontiers of knowledge and does not directly involve
pragmatic problems. The essence of basic research is that it addresses itself to
more questions that are fundamental and not to the problems with immediate
commercial potential.
2) Applied research

49
Applied research, on the other hand proceeds with a certain problems. Unlike
basic research, it is prompted by commercial consideration. Though one may be
easily able to distinguish between the two sometimes are blurred.
MARKETING RESEARCH
As marketing research does not address itself to basic research or fundamental
questions, it does not qualify as basic research. On, the contrary it tackles
questions which have immediate commercial potential.
Marketing research can be defined as:
a. The systematic and objectives search for and analysis of information
relevant to the identification and solution of any problem in the field
of marketing.
b. Marketing research is the collection and interpretation of facts that
help marketing management to get products more efficiently into the
hands of customers. Market research encompasses all information
pertinent to this task, all appropriate techniques.
c. The systematic gathering, recording and analyzing of data about
problems relating to marketing of good & services.
d. Marketing research involves the diagnosis of relevant interrelated
variable about which valid and reliable information is gathered,
recorded and analyzed.
RESEARCH DESIGN
“A research design is the arrangement of conditions for collection and
analysis of data in a manner that aims to combine the relevance to research
the research purpose with economy in procedure.”
The types of research design are as follows:
1. Exploratory Design: An Exploratory Marketing data has to be
obtained with regard to an predetermined objective or a hypothesis or
an assumption and to test the hypothesis to arrive at conclusion of it
holds or not.

50
2. Descriptive Design: in a descriptive marketing research data
pertaining to the on going state of market affairs is obtained and to
study the market situation in a SWOT from work.
3. Experimental Design: This research is a design in which a cause and
effect study is carried out by conducting an experiment in the market
to understand as what happen because of marketing experiment.
SAMPLING METHODS
A sample design is a definite plan for obtaining a sample from a given
population. It refers to the technique or the procedure the researcher would
adopt in selecting items for the sample. Sample design may as well lay
down the number of items to be included in the sample i.e. the size of the
sample. Sample design is determined before data are collected.
TYPES OF SAMPLE DESIGN:
Sample designs are of two types viz.
a) Non probability sampling,
b) Probability sampling.
a) Non probability sampling
It is the sampling procedure, which does not afford any basis for estimating the
probability that each item in the population has being included in the sample. In
this type of sampling, items for the sample are selected deliberately by the
researcher; his choice concerning the items remains supreme.
b) Probability sampling:
It is also known a” random sampling”. Under this sampling design, every item of
universe has an equal chance of inclusion in the sample. It is so say, a lottery
method in which individual units are picked up from whole group not deliberately
but by some mechanical process.
Some of the complex Random sampling designs are as follows
1. Systematic sampling:

51
In this sampling, every item on a list is selected. An element of randomness is
introduced into this kind of sampling by using random number to pick up that unit
with which to start.
It is an easier, less costly method and can be used on large population.
2. Stratified sampling:
If a population from which a sample is to be drawn does not constitute a
homogenous group, stratified sampling technique is generally applied in order to
obtain a representative sample.
In this method the population is divided into several sub-populations that are
individually more homogenous than the total population (the different sub
populations are called ‘strata’) and then we select items from each stratum to
constitute a sample.
3. Cluster sampling:
In Cluster, sampling the total population is divided into number of relatively small
sub divisions which are they clusters of still smaller units and then some of these
clusters are randomly selected for inclusion in the overall sample.
4. Area sampling:
If cluster happen to be some geographic sub divisions, in that case cluster
sampling is better known as area sampling.
DATA COLLECTION
There are two basic methods for data collection.
Data Source:
a) Primary Data
It is the first hand information gathered. Primary data are those, which are
collected afresh and for the first time and thus happen to be original character.
The methods of collecting primary data are

52
1. Observation method
Under this method, the information is sought by way of investigator’s own direct
observation without asking from respondent.
2. Interview method
The interview method of collecting data involves presentation of oral-verbal
stimuli and reply in term of oral-verbal responses.
The types of Interview are:
a) Personal Interviews:
This sort of interview may be in the form of direct personal investigation or
indirect oral investigation.
b) Telephone Interviews
This method of collecting information consists in contacting respondents on
telephone itself.
1. Collection of data through questionnaire:
A questionnaire consists of number of questions printed or typed in a definite
order on a form or set of forms.
2. Collection of data through Schedules:
This method of data collection is very much like the collection of data through
questionnaire with little difference, which lies in the fact that Schedules (Performa
containing a set of questions) are being filled in by the enumerators.
b) Secondary Data
These are those data, which have already been collected, but someone else and
which have already been through the statistical process. In this project, Primary
Data was collected from respondents who employed in retail industry.
The methods are as follows:
1. Various publications of central, state and local government.

53
2. Technical and trade journals.
3. Books, magazines and newspaper.
4. Reports and publications of various associations.
5. Various websites.
SAMPLING SIZE
The persons visited were 100 in all over PUNE area.
RESEARCH METHODOLOGY USED IN PROJECT
RESEARCH METHOD
Research method used is the field research, as we were supposed to deal with the
companies directly by interacting with them by going on field and market.
A) RESEARCH DESIGN
The research design used was of descriptive type. The market analysis and survey
was done, and information was collected.
B) SAMPLING METHODS
The sampling method used is stratified sampling. The area was not homogenous
in nature; hence, it was divided into different target and surveyed. The target with
similar nature was selected and different groups were formed.
C) DATA COLLECTION METHOD

54
The method used for collection is interview method. The data to be collected was
primary type. Each person was personally interviewed.
D) SAMPLING SIZE:
The number of prospective agent to be covered 100. The persons visited were
from Pune.
E) QUESTIONNAIRE:
The questionnaire used was structured type. The questions were of both closed
ended and open ended. (Questionnaire format attached in annexure)
CHAPTER- 7
DATA INTERPRETATION AND ANALYSIS

55
DATA INTERPRETATION AND ANALYSIS
Do you have insurance any polices?
PROFILE Yes No Total no.
HOUSEWIVES 75 25 20
STUDENTS 15 85 35
PROFESSIONALS 90 10 20
RETIRED
PERSONS
66 34 15
SELF
EMPLOYED
60 40 10

56
DO YOU HAVE INSURANCE POLICY
75
25
15
85
90
10
34
60
40
66
0
10
20
30
40
50
60
70
80
90
100
Yes % No %
RESPONDANT OPINION
PERCENTAGE
HOUSEWIVES
STUDENTS
PROFESSIONALS
RETIRED
PERSONS
SELF EMPLOYED
Interpretation: Among the policy holders 90 % are professionals while 15 % are
students.
Do you know about insurance advisor?
HOUSEWIVES 35 65 20
STUDENTS 60 40 35
RETIRED
PERSONS
60 40 15
SELF
EMPLOYED
40 60 10

57
Do you know about insurance
advisors
35
65
60
40
75
25
60
4040
60
0
10
20
30
40
50
60
70
80
Yes % No %
respondent opinion
percentage
HOUSEWIVES
STUDENTS
PROFESSION
ALS
RETIRED
PERSONS
SELF
EMPLOYED
Interpretation: Mostly Professionals, self employed and retired persons know about
Insurance Advisors. Housewives usually do not know about advisors
Can you spare time to sell the insurance policy?
HOUSEWIVES 20 80 20
STUDENTS 60 40 35
RETIRED
PERSONS
55 45 15
SELF 20 80 10

58
EMPLOYED
Can you spare time to sell insurance
policy
20
80
60
40
65
35
55
45
20
80
0
10
20
30
40
50
60
70
80
90
Yes No
respondent opinion
percentage
HOUSEWIVES
STUDENTS
PROFESSIONAL
S
RETIRED
PERSONS
SELF
EMPLOYED
Interpretation: Mostly students, professionals and retired persons are interested to
sell insurance polices. Housewives are reluctant to sell insurance policy due to time
constraint.
Do you visit any insurance company?
HOUSEWIVES 40 60 20
STUDENTS 40 60 35
RETIRED
PERSONS
73 27 15

59
SELF
EMPLOYED
10 90 10
Do you visit any insurance company
40
60
40
60
65
35
73
27
10
90
0
20
40
60
80
100
Yes No
respondent opinion
percentage
HOUSEWIVES
STUDENTS
PROFESSIONAL
S
RETIRED
PERSONS
SELF
EMPLOYED
Interpretation: Professionals, student and retired person have visited
insurance company. Self employed visit to insurance company less compared to
others.
Do you think that working in an insurance industry is really an income
generating source?
HOUSEWIVES 40 60 20
STUDENTS 35 65 35
RETIRED
PERSONS
60 40 15
SELF 30 70 10

60
EMPLOYED
view about insurance company
40
60
35
65
50 50
60
40
30
70
0
20
40
60
80
Yes No
respondent opinion
percentage HOUSEWIVES
STUDENTS
PROFESSIONAL
S
RETIRED
PERSONS
SELF
EMPLOYED
Interpretation: Retired persons, Students, and professionals find insurance sector as
an income generating source.
Do you think that insurance market is growing in India ?
HOUSEWIVES 40 60 20
STUDENTS 42 58 35
RETIRED
PERSONS
53 47 15

61
SELF
EMPLOYED
80 20 10
Do you think insurance market is
growing
40
60
42
58
90
10
53
47
80
20
0
10
20
30
40
50
60
70
80
90
100
Yes No
repondent opinion
percentage
HOUSEWIVES
STUDENTS
PROFESSIONAL
S
RETIRED
PERSONS
SELF EMPLOYED
Interpretation: Among the group of people surveyed, 90 % of the professionals feel
that insurance market is growing in India. 80 % of self employed people feel that
insurance market is growing in India
Do you have any experience to convince the people?
HOUSEWIVES 35 65 20
STUDENTS 71 29 35

62
RETIRED
PERSONS
87 13 15
SELF
EMPLOYED
20 80 10
Any experience to convince people
35
65
71
29
75
25
87
13
20
80
0
20
40
60
80
100
Yes No
respondent opinion
percentage
HOUSEWIVES
STUDENTS
PROFESSIONAL
S
RETIRED
PERSONS
SELF
EMPLOYED
Interpretation: Mostly students, professionals and retired persons have more
experience to convince people easily.
Are you aware of the brand name of ICICI Prudential?
HOUSEWIVES 50 50 20
STUDENTS 40 60 35

63
RETIRED
PERSONS
86 14 15
SELF
EMPLOYED
30 70 10
Awareness about brand name
50 50
40
60
100
0
86
14
30
70
0
20
40
60
80
100
120
Yes No
respondent opinion
percentage
HOUSEWIVES
STUDENTS
PROFESSION
ALS
RETIRED
PERSONS
SELF
EMPLOYED
Interpretation:-Mostly professionals, retired persons and students know the brand
name of ICICI Prudential. Self employed persons are less aware of brand name of
ICICI Prudential
FINDING
During the project, I discovered some finding. These finding are based on data
collected.
Housewives are interested to do this job, but they are reluctant to carry out
Fieldwork.
Professionals and retired people are interested because they have more

64
practical experience and more personal contacts in the market.
Majority of the respondents are not ready to work on commission basis.
There was no proper data with companies to recruit advisors.
Customers were not interested in listening to issues like life insurance even if
they were not insured.
Most of them are of the thought that private life insurance company will not
last for long and hence; they prefer to invest in Government insurance
companies.
After carrying out fieldwork, it was identified that many people do not give
Their correct contact numbers or other references for feedback.
There is no fix payment structure for advisors.

65
CHAPTER-8
SUGGESTION’S AND CONCLUSION

66
SUGGESTION
Due to the increasing competition in the market it is extremely important to have a
competent base of advisors as distributors. There is an existence of a huge untapped
market for competent workforce. But competitors are equally aggressive therefore
ICICI Prudential should make the best use of their brand name to attract insurance
advisors. For this purpose firstly the company must advertise in an effective way to
attract potential candidates. And secondly the examination fee must be reduced as it
has been acting as the biggest reason for decline by potential candidates.
To give corporate agencies to firms which have the capability to give good business.
Many firms are interested in becoming business associate of ICICI Prudential but
since the company is not giving license in the name of their firm, they tie up with
other insurance company who give corporate agencies. These type of firms are few
but they are important because they can give both large number of policies and big
policies.
As existing advisors know much about the market so company should motivate these
advisors for the enhancement of distribution channel. This can be done by rewarding
them for recruiting advisors in monetary terms
Rural Marketing is also one of the major strategies for the enhancement of
distribution channel in rural areas. Special emphasis should be given to cover these
markets by arranging seminar and brand awareness programs.
The company should go for presentation and seminars in colleges, Women’s
Club, Retired Persons Club and various other places.
Most common hindrances where employed persons refuse to join as a financial
advisor is are lack of time for compulsory training. So there should be alternate
solution for this problem like flexible timing and examination before actual IRDA
exam.

67
CONCLUSION
While doing the project, I have come on following conclusion.
• There is bottleneck competition in the insurance sector. Like ICICI PRU many
major player are there hence there is cutthroat competition.
• A vast rural area is yet to be covered under insurance. As most of the
companies are concentrating on urban area.
• LIC is still number one player in insurance sector. People still prefer to go
with LIC.
• AS compared to developed countries, Indian insurance sector is yet to develop
more. ICICI Prudential is the most powerful brand in the market.
• ICICI Prudential is an extremely strong brand in the private life insurance
sector.
• The company is extremely aggressive when it comes to profit making.
• Their market competition is rising at a very fast pace.
• The company needs to emphasize their focus on expanding their network
geographically.
• Workload on the employees needs to be brought down for significant changes
in performance levels.
• The company needs to emphasize on selling of retirement solutions and
pension plans.
• The company should provide effective monetary benefits to the employees.
• Majority of targeted prospective advisors know about ICICI Prudential Life
Insurance Company and also, that it is number one Private Life Insurance
Company in India.
• Some prospective advisors are interested in becoming Advisor of ICICI
Prudential but they wouldn’t want to work under any target pressure.
• Targeted prospective advisors in the age group of 25 to 35 years are more
attracted by the career opportunity given by ICICI Prudential..
• The examination fee worked as the strongest limitation as far as recruiting
advisors was concerned.

69
LIMITATIONS
1. A major limitation was the fee payment of Rs.1200/- for the
examination. People directly refused to pay the sum.
2. For professionals time investment was the biggest drawback.
3. Candidates did not attend the training sessions regularly which led to
failing of the candidates in the IRDA exam.
4. People were not satisfied with the commission structures that were
being provided for the work.
5. Some prospective advisors are interested in becoming Advisor of
ICICI Prudential but they wouldn’t want to work under any target
pressure.
6. Some professional thinks that becoming advisor of any life insurance
company is against the ethics of their profession

71
BIBLIOGRAPHY
BOOKS
Marketing Management
By Kotler and Keller
12th
edition of Pretice-Hall India Publications.
Page no-101& above.
Basic marketing
By William D. Perreault & Jr E. Jerome McCarthy
14th
edition of Mc Graw Hill Publications.
Page no. 450 & above
Research Methodology
By Kothari
WEB SITES:
• www.moneycontrol.com
• www.behaviouralfinance.net
• www.google.com
• www.icicipru.com

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