Insurance products

1. INSURANCE
PRODUCTS
PRESENTATION BY:-
Pawan Singh Raikhola
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2. 20 March 2021 2
• Insurance
• Types of Insurance
• IRDAI
• Life Insurance Corporation
• Life Insurance Products
• General Insurance Corporation
• General Insurance Products

3. What is Insurance?
• Insurance is a means of protection from financial loss. It is a
form of risk management primarily used to hedge against the risk
of a contingent.
• The definition of insurance can be made from two points:-
 Functional Definition
 Contractual Definition
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4. • Functional Definition
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Insurance is a co-operative device to spread the loss caused by a
particular risk over a number of persons who are exposed to it and
who agree to insure themselves against the risk.
•Contractual Definition
Insurance is a contract in which a sum of money is paid to the
assured as consideration of insurer’s incurring the risk of paying a
large sum upon a given contingency.

5. Types Of Insurance
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INSURANCE
LIFE
INSURANCE
GENERAL
INSURANCE
PROTECTION
PLANS
INVESTMENT
PLANS
GROUP
PLANS
SAVING
PLANS
RETIREMENT
PLANS
CHILDREN’S
PLANS
BUSINESS
INSURANCE
FIRE
INSURANCE
AUTOMOBILE
INSURANCE
HEALTH
INSURANCE

6. MAIN DIFFERENCE BETWEEN
LIFE INSURANCE AND
GENERAL INSURANCE
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• Life insurance is a long term insurance, it cover risks over many
decades.
•General insurance cover risk usually for a shorter period, such as one
year.

7. GENERAL INSURANCE
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Life insurance is a written contract between the insured and the
insurer, that provides for the payment of the insured sum on the date
of the maturity of the contract or on the unfortunate death of the
insured which over accrue earlier.
LIFE INSURANCE
General insurance policies, including automobile and homeowners
policies, provide payments depending on the loss from a particular
financial event. General insurance typically comprises any insurance
that is not determined to be life insurance.

8. REGULATORY BODY
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• Insurance Regulatory & Development Authority of India
(IRDAI) is the controlling and regulatory apex body in the
country for insurance sector.
•Headquartered in Hyderabad.
•It was constituted as a body to regulate and develop the
insurance industry in 1999 and was incorporated as a statutory
body in April, 2000.
•The key objective of IRDAI is promotion of competition to
satisfy customer choice with lower premiums. The IRDA opened
up market in August 2000.

9. Role of IRDAI
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• Protecting the interest of policyholders.
•Establishing guidelines for the operations of insurers, and brokers.
•Specifying the code of conduct, qualifications, and training for
insurance intermediaries and agents.
•Promoting efficiency in the conduct of insurance business.
•Regulating the investment of funds by insurance companies.

10. LIST OF INSURANCE COMPANIES
IN INDIA
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 Public Sector:-
 National Insurance Co. Ltd.
 New India Insurance Co. Ltd.
 Oriental Insurance Co. Ltd.
 United India Insurance Co. Ltd.
 Private Sector:-
 ICICI Lombard
 Tata AIG Life Insurance Company
 Kodak Life Insurance Company
 Reliance Life Insurance Company

11. Life Insurance Corporation
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Life Insurance Corporation of India (LIC) was formed in
September 1956 by the Act of Parliament, LIC Act 1956 with a
contribution of Rs. 50 million.
Then Finance Minister Mr. C. D. Deshmukh while piloting the
bill for nationalization outlined the objectives of LIC thus:-
• To conduct the business with utmost economy with spirit of
trusteeship.
• To invest the funds for obtaining maximum yield for policy
holders consistent with safety of capital.
• To render prompt and efficient service to policy holders
thereby making Insurance widely popular.

12. Continued…..
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Presently, the LIC has a network of seven zones; 100 divisions and
2,048 branches, personnel exceed seven lakhs employees over six
lakhs agents.
VISION: A trans-nationally competitive financial conglomerate of
significance to societies and pride of India.
MISSION: To explore and enhance the quality of the life of people
through financial security by providing products and services of the
aspired attributes with competitive returns.

13. Objectives
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• Spread Life Insurance widely and in particular to the rural areas.
• Maximize mobilization of people’s savings by making
insurance linked savings adequately attractive.
• Deployment of funds to the best of advantage of the investors as
well as the community as whole, keeping in view national
priorities and obligations of attractive return.
• Conduct of business at most economy and with the full
realization that the money belongs to policyholders.
• Act as trustee of the insured public in their individual and
collective capacities.

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15. Children Plans:-
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•These plans are specially designed to meet the education,
marriage and other needs of growing childrens. It provides the risk
cover on the life of child not only during the policy term but also
during the extended term.
• It is basically purchased to protect the family against the sudden
and unexpected costs of the children.
• It is made to secure inexpensive and guaranteed insurance of a
child for lifetime.
• It offers guaranteed growth of cash value, which some carriers
allow to be withdrawn when the child is early twenties.

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•Some of the children plans that LIC offers are:-
1. Jeevan Anurag
2. Child Career Plan
3. Child Future Plan
4. Education Annuity Plan
5. Komal Jeevan
6. Child Fortune Plus

17. Plans for Handicapped
Dependents
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• These plans are basically designed to the general strengthening
of the handicapped and the disabled persons.
•It covers the disabilities, accidents, physical and mental disorders
and unexpected conditions that impact our lives.
• Some of the Handicapped Dependent plans that LIC offers are:-
1. Jeevan Aadhaar
2. Jeevan Vishwas

18. Endowment Assurance Plans
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• An endowment policy is essentially a life insurance policy which,
apart from covering the life of the insured, helps the policyholder
save regularly over a specific period of time so that he/she is able to
get a lump sum amount on the policy maturity in case he/she
survives the policy term.
• Are basically designed for the particular maturity period.
• A life insurance endowment policy pays the full sum assured to the
beneficiaries if the insured dies during the policy term or to the
policy holder on maturity of the policy if he/she survives the term.

19. Some of the endowment
assurance plan
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• The Endowment Assurance Policy
• The Endowment Assurance Policy-Limited Payment
•Jeevan Mitra
• Jeevan Anand
• New Janaraksha Plan
•Jeevan Amrit

20. Money Back Plans
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• A money back plans are a complex life insurance policies that
are term made and standard life insurance that pays the assured
sum of money on the maturity date.
• These plans also provide some fixed lump sum amount at the
regular intervals.
• These plans are basically the time period based plans.
•Some of the money back plans that LIC offers:-
1. The money back policy-20 Years
2. The money back policy- 25 Years
3. Jeevan Surabhi-15 Years
4. Bima Bachat

21. Whole Life Plans
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• Whole Life Plan is also called as straight life, ordinary life. It is
a permanent life insurance provides life coverage until death of
the life assured. It also offers dual benefit of life coverage and
bonus.
•Some of the whole life plan that LIC offers are:-
1. Whole Life Policy
2. Whole Life Policy- Limited Payment
3. Whole Life Policy- Single Premium
4. Jeevan Anand
5. Jeevan Tarang

22. Pension Plans
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• These are plans that are made for the retirement benefits also
known as the old age plans.
• These plans are generally made for determining the retirement
goals and the planning's of the individuals.
• It can also be defined as the insurance contract that specifies
pension plan contributes to an insurance undertaking in exchange
for which the pension plan benefits will be paid to the members
when the members reach the retirement age.
•Some of the pension plans that LIC offers are:-
1. Jeevan Nidhi
2. Jeevan Akshay
3. New Jeevan Dhara
4. New Jeevan Suraksha

23. Unit Plans
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• A unit Insurance plans are the products offered by the Insurance
Companies to the investors both insurance and investment under
single integrated plan. These are the plans which are a mix of
insurance along with investments.
•The first ULIP was launched by the Unit Trust of India.
•Some of the Unit plans that LIC offers are:-
1. Wealth Plus
2. Market Plus
3. Money Plus
4. Profit Plus

24. Major Players of Life Insurance are:
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• Kotak Mahindra Life Insurance
• ICICI Prudential Life Insurance
• Birla sun Life Insurance
• SBI Life Insurance
• MAX Life Insurance

25. General Insurance Corporation
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• In November 1972, the general insurance business was
nationalized by General Insurance Business Nationalized Act
1972 (GIBNA) and vested in the hand of the GIC and its four
subsidiaries.
1. National Insurance Co. Ltd.
2. Oriental Fire and General Insurance Co. Ltd.
3. United India Insurance Co. Ltd.
4. New India Assurance Co. Ltd.
• GIC was incorporated as a holding company in 1992.
• The paid up capital was fully subscribed by the government
and of four subsidiaries.

26. Structure of GIC
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• General insurance policies are not financial claims.
• There is no guarantee of renewal of policy on the same terms .
• The contract is short-term contract.
• The general insurance companies do not collect savings.
• GIC meet the requirement of industrial, manufacturing,
commercial, services, household and agriculture sectors through
wide range of insurance coverage.
• It has been promoting insurance cover in the field of livestock,
poultry, horticulture and personal accidents.

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•Motor insurance is the insurance comes under automobile
insurance, It can be divided into two groups; two and four
wheeled vehicle insurance.
•Its primary use is to provide financial protection against physical
damage or bodily injury resulting from traffic collisions and
against the liability that could also arise from incidents in a
vehicle.
• Motor insurance may additionally offer financial protection
against theft of a vehicle, and against damage to the vehicle.
Motor Insurance:-

29. Travel Insurance:-
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• This insurance includes the various travel policies, it can be
broadly categorized into: Individual travel policy, Family travel
policy, Student travel insurance and various others.
• It is the insurance that is intended to cover medical expenses,
trip cancellation, lost luggage as well as the travel accidents.
•It covers low as well as high expense options according to the
rules and norms of the policies.

30. Health Insurance:-
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• Health insurance products that relates to the health factors,
common health insurance includes: Individual health insurance,
family floater health insurance and critical illness insurance.
• It can be defined as the insurance that covers the whole or a
part of the risk of a person incurring the medical expenses.

31. Home Insurance:-
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•It is a form of property insurance that covers losses and
damages to an individuals house and to the assets of the home. It
provides liability coverage against accidents in the home or at
property.
• It can be defined as an insurance policy that combines various
personal insurance protections, which can include losses
occurring to one’s home.
• It is commonly called as homeowner’s insurance.
• Home insurance basically provides financial protection
against disasters.

32. Marine Insurance:-
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•Marine insurances covers goods , freight and other interest
against loss or damage during transit by rail, road, sea or air.
• Cargo insurance is the sub-branch of marine insurance, though
marine insurance also includes onshore and offshore exposed
properties (such as container terminals, oil platforms etc).
•Marine insurance is a split between the vessels and the cargo.
Insurance of vessels is generally known as “Hull and Machinery”
(H&M).
•A more restricted form is the “Total loss Only” (TLO), generally
used as reinsurance, which only covers the total loss of the vessel
and not any partial loss.

33. Commercial Insurance:-
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•Commercial insurance is the coverage for business for
protection against potential losses through unforeseen
circumstances like theft, liability, property damage and for
coverage in the event of an interruption of business or
injured employees.
•Commercial Insurance encompasses solutions for all
sectors of the industry arising out of business operations.

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• The biggest factor for determining the type of commercial
insurance depends upon the type of the business. The important
considerations include:-
Location
Number of employees
Years in Business
Gross annual revenue
The business owns, leases and rents.

35. Major Players of General Insurance
are:-
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• National Insurance Company Ltd.
• Oriental Insurance Company Ltd.
•Tata AIG General Insurance.
• ICICI Lombard General Insurance.
• New India Insurance.
• Bajaj Allianz General Insurance.

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