A SUMMER INTERNSHIP ON A STUDY ON PRODUCTS OF BAJAJ ALLIANZ LIFE INSURANCE

Submitted in Partial Fulfilment Of the Requirement for the Award of the Degree of
MASTER OF BUSINESS ADMINISTRATION (2010-2012)

SUBMITTED BY: MOHIT KUMAR BANSAL ROLL NO. 100222243670

SUBMITTED TO: SUPREET CHAUHAN

Asst. Professor in CTIMS

PUNJAB TECHNICAL UNIVERSITY

The Bajaj Allianz General Insurance Corporation Ltd Zonal office Hamirpur Himachal Pradesh
Ref no:- zok1/adv/11 Date:- 04/08/2011

This is to certify that Mr. Mohit Kumar Bensal, MBA student from CTIMS, Jalandhar has undergone summer training/project assignment at this office and has successfully completed his project assignment under the title of Study of the products of Bajaj Allianz Life Insurance under the guidance of Mr. Vipin Kumar (Associate executive) covering period from 30th June to 04 August, 2011.

Associate Executive (Insurance Department)

CT INSTITUTIONS OF MANAGEMENT STUDIES SHAHPUR CAMPUS,JALANDHAR STUDENTS DECLARATION

I hereby certify that the work which is being presented in this report entitled by A STUDY ON PRODUCTS OF BAJAJ ALLIANZ LIFE INSURANCE by Mohit kumar bansal (university roll no 100222243670) in partial fulfillment of the requirement for the award of degree of MASTERS OF BUSINESS ADMINISTRATION in the department of CT INSTITUTION OF MANAGEMENT STUDIES,SHAHPUR CAMPUS,JALANDHAR under the PUNJAB TECHNICAL UNIVERSITY , JALANDHAR is an authentic record of my own work carried out during the period from 22nd june to 7th auguest in 2011. The matter presented in this project is accurate and authentic.

(Mohit Kumar Bensal) This is certify that the above statement made by the student is correct the best of my knowledge.

Lect. SUPREET KAUR

ACKNOWLEDGEMENT First of all I would like to thank the management at Bajaj Life Insurance Company for giving me the opportunity to do my summer training in their esteemed organization. I am highly obliged to Mr. Vipin (Business Development Manager) for granting me an opportunity to undertake training in Hamirpur (HP) Branch. I express my thanks to all sales managers under whose able guidance and direction, I was able to give shape to my training. Their constant review and excellent suggestions throughout the project are highly commendable. My sincere thanks to all executives who helped me gain knowledge about the actual working and processes involved in various departments.

My sincere thanks to all.

PREFACE
On the job training in business organization infuses among students a sense of critical analysis to apply of real managerial situation to which they are exposed. It gives them an opportunity to apply their conceptual, theoretical and imaginative skills to the real life situation and to evaluate the results thereafter.

I was lucky to have got an opportunity to work at Bajaj Allianz Insurance Cooperation ltd to get the project of my interest. I visited the concern for six weeks and prepared my project The Products of Bajaj Allianz Life Insurance. I also got the practical experience in the field of management.

This report is written account of what I learnt, experienced and explored during my summer training.

CONTENTS
EXECUTIVE SUMMARY NEW FAMILY GAIN MEANING OF INSURANCE IMPORTANCE OF INSURANCE DIFFERENCE BETWEEN INSURANCE AND ASSURANCE HISTORY OF INSURANCE MEANING OF LIFE INSURANCE KEY FEATURES OF LIFE INSURANCE ROLE OF LIFE INSURANCE IN THE GROWTH OF THE ECONOMY RESEARCH OBJECTIVES INTRODUCTION ABOUT THE COMPANY MISSION OF THE COMPANY HISTORY OF THE COMPANY PRODUCT OF BAJAJ LIFE INSURANCE RESEARCH METHODOLOGY QUESTIONAIRE LIMITATIONS OF THE STUDY FINDINGS SUGGESTIONS & RECOMMENDATIONS OBJECTIVES QUESTIONAIRRES 7 9 10 11 12

13 14 16 17 17 20 21 23 24 25 35 56 65 66 66

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CONCLUSION BIBLIOGRAPHY

69 70

EXECUTIVE SUMMARY
Bajaj Allianz Life Insurance Co. Ltd. is a joint venture between Allianz SE, one of the world's largest insurance companies, and Bajaj Finserv. Allianz SE is a leading insurance corporation globally and one of the largest asset managers in the world, that manage assets worth over a Trillion. With over 115 years of financial experience, Allianz SE is present in over 70 countries around the world. Bajaj Allianz is into both life insurance and general insurance. Today, Bajaj Allianz is one of India's leading and fastest growing insurance companies. Currently, it has presence in more than 550 locations with over 60,000 Insurance Consultants. In June 2008, Bajaj Allianz entered into partnership with Thomas Cook India to provide travel finance. Bajaj Allianz Life Insurance ensures excellent insurance and investment solutions by offering customized products, supported by the best technology. A comprehensive list of policies and products offered by Bajaj Allianz Life Insurance Co. Ltd. is as follows:

NEW FAMILY GAIN In this product, the minimum premium which is to be paid by the customer is Rs.5000. The maximum premium for this product is Rs.10000.The policy term is 10 years. The Sum Assured is Rs. 50000 or the Fund Value whichever is higher. It is a unit linked plan and the Lock-in period is 3 years. After 3 years the customer can withdraw 75% or whole amount but surrender charges will be taken. After 5 years no surrender charges will be charged. In this product customer has the facility of getting a premium holiday for 2 years after 3 years have been completed and if he withdraws after 5 years he will get Rs. 30000. The customer will get benefit of Section 80C and Section 10(10D) of Income tax. Under Section 80 C the customer will get Tax rebate and under Section 10(10D) he will get tax free maturity gains. NEW UNIT GAIN In this product, the minimum premium which is to be paid by the customer is Rs.10000. The maximum premium for this product has no limit. The policy term is 10 years. The Sum Assured is 5 times the premium amount or the Fund Value whichever is higher. It is a unit linked plan and the Lock-in period is 3 years. After 3 years the customer can withdraw 75% or whole amount but surrender charges will be taken. After 5 years there are no surrender charges . In this product customer has the facility of getting a premium holiday for 2 years after 3 years have been completed and if he withdraws after 5 years he will get Rs. 60000. The customer will get benefit of Section 80C and Section 10(10D) of Income tax. Under Section 80 C the customer will get Tax rebate and under Section 10(10D) he will get tax free maturity gains. Human Life Value Concept This concept tells about value of a human life, particularly when he/she is a earning member of the family. Suppose a person is 30 years old and has a fixed monthly income of Rs. 10000 and if retires at the age of 60 then he will earn about 36 lakh in those 30 years. Unfortunately if he/she dies at the age of 32 his family members will have a financial loss, so to minimize the loss occurred due to the death of the earning member, one should have insurance of about 36 lacks. Fixed Deposit compared with Insurance policy In fixed deposit money is locked in for 5 or more years and in Insurance Policy money is locked in only for 3 years. In fixed deposit, at maturity TDS (Tax
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deduction at source) is deducted but in Insurance policy, maturity amount is tax free under Section 10(10D). In fixed deposit the rate of return is about 8-10% but in Insurance policy rate of return is 15% or more. In Fixed deposit, no life insurance is given but in Insurance policy life insurance is given. In the training period, I have tried to inform people about the products of Bajaj Allianz Life Insurance.

MEANING OF INSURANCE
Insurance may be described as a social device to reduce or eliminate risk of loss to life and property. Insurance is a collective bearing of risk. Insurance is a financial device to spread the risks and losses of few people among a large number of people, as people prefer small fixed liability instead of big, uncertain and changing liability. Insurance can be defined as a legal contract between two parties whereby one party called insurer undertakes to pay a fixed amount of money on the happening of a particular event, which may be certain or uncertain. The other party called insured pays in exchange a fixed sum known as premium. Insurance is desired to safeguard oneself and ones family against possible losses on account of risks and perils. It provides financial compensation for the losses suffered due to the happening of any unforeseen events.

IMPORTANCE OF INSURANCE Insurance constitutes one of the major segments of the financial market. Insurance services play predominant role in the process of financial intermediary. Today insurance industry is one of the most growing sectors in India. There is lot of potential in the Indian Insurance Industry. There are many issues, which require study. The scope of the study of Insurance industry of India would be very great as there are ongoing developments in the industry after the opening of the sector. The major issue right now is the hike in FDI (Foreign Direct Investment) limit from 26% to 49% in the insurance sector. In near future Government may allow 49% FDI in Insurance. This would lead to more capital inflow by foreign partners. Another major issue is the effects on LIC after the entry of private players in the market. Though market share of LIC has been affected, it has improved in terms of efficiency. There are number of other hot topics like penetration of Health Insurance, Rural marketing of insurance, new distribution channels, new product ranges, insurance brokers regulation, incentive scheme of development officers of LIC etc. So it offers lot of scope for studying the insurance industry. Right now the insurance industry has great opportunities in countries like India or China which have huge population. Also the penetration of insurance in India is very low in both life and non-life segment so there is lot potential to be tapped. Before starting the discussion on insurance industry and related issues, we have to start with the basics of insurance. So first we understand what is Insurance? How the word insurance is different from the word Assurance? Etc.

DIFFERENCE BETWEEN INSURANCE AND ASSURANCE Assurance is older in history and it was used to describe all types of Insurance. From 1826, the term assurance came to be used only for the risks covered by life
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insurance and the term insurance was exclusively used to denote the risks covered by marine, fire, etc. The word assurance indicated certainty. In life insurance, there is an assurance from the insurance company to make payment under the policy either on the maturity or at earlier death. On the other hand the word insurance was used to denote indemnity type of insurance where the insurance company was liable to pay only in case of the loss damage the property. The insured event was bound to happen sooner or later under assurance but the event insured against may or may not happen under insurance. The principle of indemnity applies to insurance contracts (non-life) only. An insurance contract is based on some basic principles of insurance. (1) Principle of utmost good faith It means maximum truth. Both the parties should disclose all material information regarding the subject matter of Insurance. (2) Principle of indemnity This means that if the insured suffers a loss against which the policy has been made, he shall be fully indemnified only to the extent of loss. In other words, the insured is not entitled to make a profit on his loss. (3) Principle of subrogation This means the insurer has the right to stand in the place of the insured after settlement of claims in so far as the insureds right of recovery from an alternative source is involved. The insurer before the settlement of the claim may exercise the right. In other words, the insurer is entitled to recover from a negligent third party any loss payments made to the insured. The purposes of subrogation are to hold the negligent person responsible for the loss and prevent the insured from collecting twice for the same loss. The concept of Third Party Claims is based on the same principle. (4) Principle of causa proxima The cause of loss must be direct and an insured one in order to claim of compensation. (5) Principle of insurable interest The assured must have insurance interest in the life or property insured. Insurable interest is that interest which considerably alters the position of the assured in the event of loss taking place and if the event does not take placed, he remains in the same old position.
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HISTORY OF INSURANCE The concept of insurance is believed to have emerged almost 4500 years ago in the ancient land of Babylonia where traders used to bear risk of the carvan by giving loans, which were later repaid with interest when the goods arrived safely. The concept of insurance as we know today took shape in 1688 at a place called Lloyds Coffee House in London where risk bearers used to meet to transact business. This coffee house became so popular that Lloyds became the one of the first modern insurance companies by the end of the eighteenth century. Marine insurance companies came into existence by the end of the eighteenth century. These companies were empowered to write fire and life insurance as well as marine. The Great Fire of London in 1966 caused huge loss of property and life. With a view to providing fire insurance facilities, Dr. Nicholas Barbon set up in 1967 the first fire insurance company known as the Fire Office. The early history of insurance in India can be traced back to the Vedas. The Sanskrit term Yogakshema (Meaning well being), the name of Life Insurance Corporation of Indias corporate headquarters, is found in the Rig Veda. The Aryans practiced some form of community insurance around 1000 BC. Life insurance in its modern form came to India from England in 1818. The Oriental Life Insurance Company was the first insurance company to be set up in India to help the widows of European community. The insurance companies, which came into existence between 1818 and 1869, treated Indian lives as subnormal and charged an extra premium of 15 to 20 percent. The first Indian insurance company, the Bombay Mutual Life Assurance Society, came into existence in 1870 to cover Indian lives at normal rates. The Insurance Act, 1938, the first comprehensive legislation governing both life and non-life branches of insurance were enacted to provide strict state control over insurance business. This amended insurance Act looked into investments, expenditure and management of these companies. By the mid- 1950s there were 154 Indian insurers, 16 foreign insurers, and 75 provident societies carrying on life insurance business in India. Insurance business
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flourished and so did scams, irregularities and dubious investment practices by scores of companies. As a result the government decided to nationalize the life assurance business in India. The Life Insurance Corporation of India (LIC) was set up in 1956.

MEANING OF LIFE INSURANCE There are three parties in a life insurance transaction: the insurer, the insured, and the owner of the policy (policyholder), although the owner and the insured are often the same person. Another important person involved in a life insurance policy is the beneficiary. The beneficiary is the person or persons who will receive the policy proceeds upon the death of the insured. Life insurance may be divided into two basic classes term and permanent. Term life insurance provides for life insurance coverage for a specified term of years for a specified premium. The policy does not accumulate cash value. Permanent life insurance is life insurance that remains in force until the policy matures, unless the owner fails to pay the premium when it is due. Whole life insurance provides for a level premium, and a cash value table included in the policy guaranteed by the company. The primary advantagesof whole life are guaranteed death benefits, guaranteed cash values, fixed and known annual premiums, mortality and expense charges will not reduce the cash value shown in the policy. Universal life insurance (UL) is a relatively new insurance product intended to provide permanent insurance coverage with greater flexibility in premium payment and the potential for a higher internal rate of return. A universal life policy includes a cash account. Premiums increase the cash account. If you want insurance protection only, and not a savings and investment product, buy a term life insurance policy. If you want to buy a whole life, universal life, or other cash value policy, plan to hold it for at least 15 years. Canceling these policies after only a few years can more than double your Life insurance costs.

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NEED FOR LIFE INSURANCE You need Life Insurance because typically the need for income continues for those who are financially dependent on you, but there is no guarantee of your ability to earn consistently and for the rest of your life. Life insurance can help you safeguard the financial needs of your family. This need has become even more important due to steady Disintegration of the prevalent joint family system, and emergence of nuclear families. The need to protect your family's ever growing needs is why you need Life Insurance. Why Do I Need Life Insurance? Thats a common question. Why would you need Insurance? Simply put, Life brings with it many surprises, some pleasant and some not so and a Life Insurance Plan ensures that you are better prepared to face uncertainties. How? In a number of ways: Protection You need life insurance to be there and protect the people you love, making sure that your family has a means to look after itself after you are gone. It is a thoughtful business concept designed to protect the economic value of a human life for the benefit of those financially dependent on him. Thats a good reason. Supposing you suffer an injury that keeps you from earning? Would you like to be a financial burden on your family, already losing out on your salary? With a life insurance policy, you are protected. Your family is protected. Retirement Life insurance makes sure that you have regular income after you retire and also helps you maintain your standard of living. It can ensure that your post- retirement years are spent in peace and comfort. Savings and Investments Insurance is a means to Save and Invest. Your periodic premiums are like Savings and you are assured of a lump sum amount on maturity. A policy can come in really handy at the time of your childs education or marriage! Besides, it can be used as supplemental retirement income!
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Tax Benefits Life insurance is one of the best tax saving options today. Your tax can be saved twice on a life insurance policy-once when you pay your premiums and once when you receive maturity benefits. Money saved is money earned!

KEY FEATURES OF LIFE INSURANCE 1) Nomination: When one makes a nomination, as the policyholder, one continues to be the owner of the policy and the nominee does not have any right under the policy as long as he/she is alive. The nominee has only the right to receive the policy money in case of your death within the term of the policy. 2) Assignment: If your intention is that your policy monies should go only to a particular person, you need to assign the policy in favor of that person. 3) Death Benefit: The primary feature of a life insurance policy is the death benefit it provides. Permanent policies provide a death benefit that is guaranteed for the life of the insured, provided the premiums have been paid and the policy has not been surrendered. 4) Cash Value: The cash value of a permanent life insurance policy is accumulated Throughout the term of the policy. It equals the amount a policy owner would receive, after any applicable surrender charges, if the policy were surrendered before the insured's death. 5) Dividends: Many life insurance companies issue life insurance policies that entitle the policy owner to share in the company's divisible surplus. 6) Paid-Up Additions: Dividends paid to a policy owner of a participating policy can be used in numerous ways, one of which is toward the purchase of additional coverage, called paid-up additions. 7) Policy Loans: Some life insurance policies allow a policy owner to apply for a loan against the value of their policy. Either a fixed or variable rate of Interest is charged. This feature allows the policy owner an easily accessible loan in times of need or opportunity. 8) Conversion from Term to Permanent: When in need of temporary protection, individuals often purchase term life insurance. If one owns a term policy, sometimes a provisions available that will
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allow her to convert her policy to a permanent one without providing additional proof of insurability. 9) Disability Waiver of Premium: Waiver of Premium is an option or benefit that can be attached to a life insurance policy at an additional cost. It guarantees that coverage will stay in force and continue to grow BENEFITS OF LIFE INSURANCE 1) Risk cover: Life Insurance contracts allow an individual to have a risk cover against any unfortunate event of the future. 2) Tax Deduction: Under section 80C of the Income Tax Act of 1961 one can get tax deduction on premiums up to one lacks rupees. Life Insurance policies thus decrease the total taxable income of an individual. 3) Loans: An individual can easily access loans from different financial institutions by pledging his insurance policies. 4) 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. 5) 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. 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 have done exceedingly well in recent years. To protect the country's foreign exchange reserves, the reinsurance arrangement are so organized that maximum retention is made possible within the country while at the same time protecting interests of the policy holders. SECTION 45 OF THE INSURANCE ACT, 1938 No policy of life insurance effected after the coming into force of this Act shall, after the expiry of two years from the date on which it was effected, be called in
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question by an insurer on the ground that a statement made in the proposal for insurance or in any report of a medical officer, or referee, or friend of the insured, or in any other document leading to the issue of the policy, was inaccurate or false, unless the insurer shows that such a statement was on a material matter or suppressed facts which it was material to disclose and that it was fraudulently made by the policyholder and that the policyholder knew at that time of making it that the statement was false or that it suppressed facts which it was material to disclose. PROHIBITION OF REBATE: SECTION 41 OF THE INSURANCE ACT, 1938 No person shall allow or offer to allow, either directly or indirectly, as an inducement to any person to take out or renew or continue an insurance in respect of any kind of risk relating to lives or property in India, any rebate of the whole or part of the commission payable or any rebate of the premium shown on the policy, nor shall any person taking out or renewing or continuing a policy accept any rebate, except such rebate as may be allowed in accordance with The published prospectuses or tables of the insurer. Any person making default in complying with the provisions of this section shall be punishable with a fine which may extend to five hundred rupees. LIFE INSURANCE IS INSURANCE AS WELL AS INVESTMENT It is the special characteristic of life insurance that it not only provides security but is also a form of investment. The insured not only wants to secure his family from the risk of his death, but also wants to invest in the long term insurance plan. Both these elements are possible in life insurance because the insurance company promises to pay a fixed amount on the death of the insured, or on his attaining a certain age. Element of Protection: Life insurance is the best way of securing against financial risks. The member of the family insures his life to provide affixed amount security to his family in case of death and his family been secured against any financial strain. Financial problems not only arise on untimely death of the earning member, but also when the earning member becomes old and his energy to work reduces and so does his source of income also reduce. At this stage, he wants to retire and lead a peaceful life. And if he has no source of income at this time he shall have to depend on others, which is a very pitiable stage in old age. That is why; a rational man always saves for his old age, so that he doesnt have to depend on others for maintaining himself. In such plans, insurance holds the prime position due to the following reasons: 1) He makes savings in the form of life insurance. To pay a regular premium he has to save necessarily. Though premium takes a form of compulsory expense yet for depositing regular premiums he has to develop a habit of saving. The saving also
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remains secure in life insurance. 2) The savings kept in a bank account can be withdrawn anytime for expenses, but the amount paid as premium can be received from the insurance company only on attaining a certain age. 3) Life insurance is also a kind of indirect saving. The life insurance policy cannot be forfeited by Income Tax department, even after non-payment of income tax. In this way, the element of economic security is present entirely in a life insurance policy. It is both, an element of protection and a helping hand in the old age. Element of Investment: Life insurance also provides the benefit of investment. The amount of premium consists, apart from the cost of insurance, an amount of investment. This investment constantly increases. And this amount of investment is called Life Fund and represents the element of investment. The Life insurance companies invest the amount of life fund to earn profits, and give the benefits of such profits to the policy holder also. Firstly, while determining the amount of net premium, the amount of interest is deducted from the cost of insurance that constitutes interest from the investment of premium fund. Then the insurance companies distribute most of the part of their profits (up to 90%) to the policyholders as bonus. The investment in Life insurance policy is superior to other kinds of investments because here there is no risk of losing money and there is no need to invest the whole amount at one time. Life insurance can be called as the best kind of risk- free security, on whose security, lending money is also possible. By nationalization of Life insurance in our country, the insurance policy is guaranteed by the government by which it has become more secure.

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RESEARCH OBJECTIVES

1) To know the consumer responses about Bajaj Allianz life insurance policy. 2) To know about the products of Bajaj Allianz Life Insurance. 3) To know about the objections of people for not taking the Insurance policy. 4) To know the need for Life Insurance. 5) To know the benefits of Life Insurance. 6) To know the market share of Bajaj Allianz Life Insurance in the Market.

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INTRODUCTION ABOUT THE COMPANY Bajaj Allianz Life Insurance is a union between Allianz SE, one of the largest Insurance Company and Bajaj Finserv. ( recently demerged from Bajaj Auto.)Allianz SE is a leading insurance conglomerate globally and one of the largest asset managers in the world, managing assets worth over a Trillion (Over INR. 55, 00,000 Crores). Allianz SE has over 115 years of financial experience and is present in over 70 countries around the world. At Bajaj Allianz Life Insurance, customer delight is our guiding principle. Our business philosophy is to ensure excellent insurance and investment solutions by offering customized products, supported by the best technology. It started in 2001. Bajaj Finserv, the financial services arm of the Bajaj Group, posted a net profit of Rs 42 crore for the quarter ended June 30, 2009. It had posted a loss of Rs 36 crore in the corresponding period last year. The groups life insurance arm, Bajaj Allianz Life Insurance Company, was the biggest contributor to the firms income. Bajaj Allianz has posted a profit of Rs 68 crore in the June quarter. In the year-ago quarter, it had posted a loss of Rs 3 crore. Gross written premium for the quarter rose 40 per cent to Rs 2,001 crore as against Rs 1,847 crore in the corresponding period last year. Renewal premium, too, increased to Rs 1,423 crore as against Rs 1,018 crore in the quarter ended June 30, 2008. However, new business premium fell 42.28 percent to Rs 577 crore.

ALLIANZ GROUP Allianz Group is one of the world's leading insurers and financial services providers. Founded in 1890 in Berlin, Allianz is now present in over 70 countries with almost 174,000 employees. At the top of the international group is the holding company, Allianz AG, with its head office in Munich. Allianz Group provides its
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more than 60 million customers worldwide with a comprehensive range of services in the areas of Property and Casualty Insurance, Life and Health Insurance, Asset Management and Banking. ALLIANZ AG- A GLOBAL FINANCIAL POWERHOUSE Worldwide 2nd by Gross Written Premiums - Rs.4, 46,654 crore. 3rd largest Assets under Management (AUM) & largest amongst Insurance cos. - AUM of Rs.51, 96,959 crore. 12th largest corporation in the world 49.8 % of global business from Life Insurance Established in 1890, 110 yrs of Insurance expertise 70 countries, 173,750 employees worldwide BAJAJ GROUP Bajaj Auto Ltd, the flagship company of the Rs. 8000 crore Bajaj group is the largest manufacturer of two-wheelers and three-wheelers in India and one of the largest in the world. A household name in India, Bajaj Auto has a strong brand image & brand loyalty synonymous with quality & customer focus. A STRONG INDIAN BRAND- HAMARA BAJAJ One of the largest 2 & 3 wheeler manufacturers in the world 21 million+ vehicles on the roads across the globe Managing funds of over Rs 4000 cr. Bajaj Auto finance one of the largest auto finance cos. in India Rs. 4,744 Cr. Turnover & Profits of 538 Cr. in 2002-03 It has joined hands with Allianz to provide the Indian consumers with a distinct option in terms of life insurance products. As a promoter of Bajaj Allianz Life Insurance Co. Ltd.

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Mission of the company

India has 121 crore population but only 20 crore people are insured till now. Still 101 crore People are yet to be insured. Also in broader perspective, company wants to make every person get benefited through investing in Bajaj Allianz Life Insurance. The Company is focusing on improving employee productivity, policy persistency, operational processes and service levels. Vision of the Company: Following are the visions of the company; 1) To be the first choice insurer for customers. 2) To be the preferred employer for staff in Insurance industry. 3) To be the number one insurer for creating shareholder value 4) To aspire to be a world class organization. 5) To encourage organizational transparency. 6) To value integrity.

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HISTORY OF THE COMPANY

Bajaj Allianz Life Insurance Co. Ltd.is a joint venture between two leading conglomerates- Allianz AG, one of the world's largest insurance companies, and Bajaj Auto, one of the biggest 2 and 3 wheeler manufacturers in the world. Characterized by global presence with a local focus and driven by customer orientation to establish high earnings potential and financial strength, Bajaj Allianz Life Insurance Co. Ltd. was incorporated on 12th March 2001 . The company received the Insurance Regulatory and Development Authority (IRDA) certificate of Registration (R3) No 116 on 3rd August 2001 to conduct Life Insurance business in India. Bajaj Auto Ltd, the flagship company of the Rs. 8000 crore Bajaj group is the largest manufacturer of two-wheelers and three-wheelers in India and one of the largest in the world. A household name in India, Bajaj Auto has a strong brand image & brand loyalty synonymous with quality & customer focus. With over 15,000 employees, the company is a Rs. 4000 crore auto giant, is the largest 2/3-wheeler manufacturer in India and the 4th largest in the world. AAA rated by Crisil, Bajaj Auto has been in operation for over 55 years. It has joined hands with Allianz to provide the Indian consumers with a distinct option in terms of life insurance products.

Details of the Company Managing Director and CEO Mr. Kamesh Goyal BOARD OF DIRECTORS: Mr. Rahul Bajaj (Chairman) Dr. Werner Zedelius Mr. Sanjay Asher Mr. Niraj Bajaj Mr. Sanjiv Bajaj Mr. Heinz Dollberg Mr. Ranjit Gupta
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Mr. S. H. Khan Mr. Suraj Mehta Mr. Dietmar Raich Mr. Manu Tandon Mr. Kamesh Goyal (Alternate Director to Dr. Werner Zedelius)

PRODUCT OF BAJAJ LIFE INSURANCE

1) BAJAJ ALLIANZ NEW FAMILYGAIN The thumb rule for buying insurance is that your insurance needs are minimal in your early earning years, increases with added responsibilities (Marriage, children, loans etc.) and taper off by the time you retire. It is difficult to find a single insurance plan that can take care of all your changing requirements in life additional protection, more money to invest, sudden requirement of cash or a steady post-retirement income. With Bajaj Allianz New Family Gain, you can invest in one life insurance plan that can take care of all your changing requirements. This plan has been designed to provide you with maximum flexibility, so that you do not have to worry about your changing needs. The Bajaj Allianz New Family Gain comes with a host of features to allow you to have the best of all worlds - Protection and Investments. It enables every participant to create a solid financial protection and savings plan for himself and his family. In this way, as a participant in the Bajaj Allianz New Family Gain Plan, you can secure your well-being and accumulate savings towards financial independence and a comfortable retirement. The Key Features of the New Family Gain Plan are: It is a unit linked Endowment type plan with a minimum term of 10 years and maximum maturity age 70 years. Guaranteed death benefit: Sum Assured Plus Fund Value of Units. You have the option to choose a host of additional rider benefits: UL Accidental Death Benefit, UL Accidental Permanent Total/Partial Disability Benefit. It provides you with an easy, regular contribution mechanism to assist you in accumulating funds. You can select an investment strategy to grow the funds contributed. Choice of 7 investment funds today with flexible investment management: you can change funds at any time and also invest in the newer funds that would be introduced from time to time. The premiums allocated are invested in fund/funds of your choice (depending on the allocation rate) and units are allocated depending on
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the price of units for the fund/funds. The value of your policy is the total value of units that you hold in the fund/funds. The insurance cover charges, policy administration charges and the additional rider benefit charges are deducted through monthly cancellation of units. The Fund Management Charge is priced in the unit value. You can choose a Sum Assured (Level of Protection) that you want in the New Family Gain Plan. Minimum Sum Assured = 5 times of Annualized Premium Maximum Sum Assured = Policy Term times of Annualized Premium Death Benefit: The death benefit will be 1) On death before attaining the age of 7 year: The death benefit will be the NAV of the units in the policyholder's account (Fund Value) as on date of receipt of intimation of death at the office. The policy terminates on the death of the life assured. 2) On death on or after attaining the age of 7 years: The death benefit will be the sum assured plus the NAV of the units in the policyholder's account (Fund value) as on date of receipt of intimation of death at the office. Maturity Benefit On maturity, the NAV of units in the fund will be paid out and the policy will terminate. Additional Rider Benefits available with New Family Gain You have the option to add the following additional rider benefits, providing total protection against uncertainties. UL Accidental Death Benefit UL Accidental Permanent Total & Partial Disability Benefit (Please refer to the brochure on additional rider benefits for more details.) Assured protection even if you miss payment of your premiums Bajaj Allianz New Family Gain provides you with the unique feature of continued protection even if you forget to pay your premiums. After payment of 3 full years' premiums, when premiums due are not paid the policy will be kept in-force, with full insurance benefits by way of deducting units for the Cost of Insurance and all other charges, provided the Fund Value less surrender charge, if any does not falls to an amount equivalent to one annual premium under the policy. Bajaj Allianz New Family Gain offers you a choice of 7 funds. You can choose to invest fully in any one fund or allocate your premiums into the various Funds in a proportion that suits your investment needs. TAX BENEFITS Premiums paid and benefits received will be eligible for tax benefits as per
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applicable tax laws. As per the current tax laws: Premiums payable are eligible for tax benefits as per Section 80C of the Income Tax Act. Partial Withdrawals, Surrender Value, Death Benefit and Maturity Benefit are eligible for tax benefits as per Section 10(10D) of the Income Tax Act. In case of change in any tax laws relevant to the policyholder or the fund performance, the same will be applied as per regulations prevailing at that point of time. RISK OF INVESTMENT UNDER UNIT LINKED PLANS The Proposed/Life Assured is aware that the investment in the Units is subject to the following, amongst other risks and agrees that he is making the investment in the Units with full knowledge of the same. Unit Linked Life Insurance products are different from the traditional insurance products and are subject to the risk factors. The premium paid in unit linked life insurance policies are subject to investment risks associated with capital markets and the Unit Price of the units may go up or down based on the performance of the fund and factors influencing the capital market and the insured/policyholder are responsible for his/her decisions. Bajaj Allianz Life Insurance is only the name of the insurance company and Bajaj Allianz New Family Gain is only the name of the policy and does not in any way indicates the quality of the policy, its future prospects or returns. Please know the associated risks and the applicable charges from your policy document or by consulting the Company, your Insurance agent or your Insurance intermediary. Pure Stock Fund, Equity Index Fund II, Bond Fund, Asset Allocation Fund, Accelerator Mid-Cap Fund, Equity Growth Fund and Liquid Fund are the names of the funds offered currently with Bajaj Allianz New Family Gain, and in any manner do not indicate the quality of the respective funds, their future prospects or returns. The investments in the Units are subject to market and other risks and there can be no assurance that the objectives of any of the funds will be achieved. Pure Stock Fund, Equity Index Fund II, Bond Fund, Asset Allocation Fund, Accelerator Mid-Cap Fund, Equity Growth Fund and Liquid Fund do not offer a guaranteed or assured return. All benefits payable under the Policy are subject to the tax laws and other financial enactments, as they exist from time to time. The past performance of other funds of the company is not necessarily indicative of the future performance of any of these funds. Important details of the plan: Minimum Age at Entry: 0 years(Risk commences at age 7) Maximum Age at Entry: 60 years Minimum Age at Maturity: 18 years Maximum Age at Maturity: 70 years Minimum Term: 10 years. For minor lives: 18 minus age at entry of minor
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life subject to minimum of 10 years. The minimum age at entry for all additional rider benefits is 18 years. The maximum age at entry for all additional rider benefits is 50 years. For your convenience, we have provided 3 premium payment modes that can be Yearly, Half-Yearly, and Quarterly. We also offer a Monthly premium payment mode with salary deduction schemes or ECS. The minimum premium is Rs. 5000 for the Yearly Mode, Rs. 2,500 for Half Yearly, Rs.1,250 for Quarterly and Rs. 500 for the Monthly Mode. In addition, you also have the option to pay topups to increase your investments. The minimum top-up premium is Rs. 1,000. If any due regular premium is not paid within the days of grace in the first three policy years, the policy shall lapse. The policyholder will get an opportunity to revive the policy within two years from the date of first unpaid premium, and if he does not revive during this period the contract shall be terminated and the surrender value will be the fund value as on date of lapse less surrender charge, if any. This would be paid on the expiry of the revival period or three policy years, whichever is later. If policy is lapsed and death occurs during this period, the fund value as on date of lapse would be paid and the policy will terminate immediately. If all the due premiums have been paid for at least first three consecutive years and subsequent premiums are unpaid, you will be given an opportunity to revive the policy within two years from the first unpaid premium. During this limited period for revival, the insurance covers under the policy shall continue levying all appropriate charges by cancellation of units at the prevailing unit price to meet the mortality charge and other expense charges until the Fund value in respect of Regular Premium less surrender charge, if any, falls to an amount equivalent to one annual premium (NAV) across all the funds. At the end of two years i.e. period for revival, if the contract is not revived, you can opt to continue the insurance cover under the policy subject to deduction of all charges until the Fund value in respect of Regular Premium less surrender charge, if any, falls to an amount equivalent to one annual premium (NAV) across all the funds. If you do not opt to continue with the insurance cover after the revival period, the contract shall be terminated by paying the fund value as on date of termination less surrender charge, if any. When the Fund value in respect of Regular Premium less surrender charge, if any, falls to an amount equivalent to one annual premium you will be notified about this and the contract shall be terminated by paying the fund value as on date of termination less surrender charge, if any. 2) NEW UNIT GAIN This product is similar to New Family Gain but in this product the minimum
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premium that is to be paid is Rs. 10, 000 and there is no limit for maximum premium. The Sum assured is five times the premium amount. Both these products (New Family Gain and New Unit Gain) were started from 1 July 2006. Key highlights of Bajaj Allianz New Unit Gain Your investment, apart from normal allocation receives Loyalty units Equivalent to 51% of the first years Annualized Premium over a period of 10 years. Choice of 2 investment portfolio strategies to manage your investments Better. Your Policy continues to participate in the investment performance of the fund(s), even if you are not able to pay 3 full years premiums. Maximum flexibility: Option to increase the premium Partial withdrawal anytime after 3 years from the commencement of the policy, provided 3 years regular premiums have been paid. Three free switches every year. Option to pay unlimited top-up premiums anytime during the tenure of the policy, to further enhance your savings. To encourage organizational transparency. To value integrity. Three simple terms to choose from: 15, 20 and 25 years. A host of additional rider benefits to provide you with additional protection. Guaranteed Life Cover, with flexibility to choose insurance cover to suit your changing needs. 3) PENSION GUARANTEE Your date of retirement is closing in. You want something that gives you an assured income long after youre retired. We at Bajaj Allianz Life Insurance are aware of this need, and have come up with a plan that lasts you for a lifetime. Invest your savings in the Bajaj Allianz Pension Guarantee, a plan that gives you a guaranteed income, till your time comes. The Bajaj Allianz Pension Guarantee Plan With Bajaj Allianz Pension Guarantee, you can ensure a regular income after retirement. The plan offers you a range of immediate annuities to choose from. The immediate annuities available are: Bajaj Allianz Pension Guarantee- Life Annuity:Annuity for Life Bajaj Allianz Pension Guarantee-: Annuity Guaranteed for 5 years and life thereafter Bajaj Allianz Pension Guarantee-: Annuity Guaranteed for 10 years and life thereafter Bajaj Allianz Pension Guarantee-: Annuity Guaranteed for 15 years and life
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thereafter Bajaj Allianz Pension Guarantee- Annuity Guaranteed for 20 years and life thereafter Bajaj Allianz Pension Guarantee-Return of Capital: Annuity for life with Return of Capital (Purchase Price) How does Bajaj Allianz Pension Guarantee work? All you have to do is pay a lump sum amount to Bajaj Allianz Life Insurance Company and the annuity payments will start after expiry of monthly/quarterly/half-yearly/ yearly interval corresponding to the payment mode selected by you. Under all the options, annuity is payable for life, so you do not have to worry about your income stopping at any stage. Under the Return of Capital option (option 6 above), the amount used to purchase the annuity is paid to the nominee on the death of the annuitant. Important details of the Bajaj Allianz Pension GuaranteePlan Minimum Age at Entry 45 Maximum Age at Entry 80 Minimum Purchase Price Rs. 25,000 Minimum Annuity Installment Rs. 1,000 Annuity Frequency Mode For your convenience we have provided 4 Annuity Frequency Modes that can be Yearly, Half yearly, Quarterly or Monthly. The annuity will be payable one month/quarter/half year/year after the date of purchase depending on the mode selected. The Sample Annuity Rate per annum per Rs.1 lakh of purchase price is given below. The annuity rate varies between different purchase price bands. Tax Benefits The policy will be eligible for tax benefits under Section 80C of the Income Tax Act as of now. 4) BAJAJ ALLIANZ PROTECTOR Dreams and Aspirations - we are constantly driven in our pursuit of these. House, Consumer Durables, visits to exotic locations are some of the dreams we live for. And the best way to fulfill them is through easy loans available at todays low interest rates. With small equated monthly installments, the price is not too heavy. Yet, who can predict the unfortunate twists and turns in life? And in case of unfortunate death of the loanee, the burden of repayment falls on the family. Bajaj Allianz Protector is the perfect plan to protect your family from the repayment liability of outstanding loans. All this at a very nominal cost. Now, is there a better way to provide for your familys financial security? The Bajaj Allianz Protector Plan The Bajaj Allianz Protector Plan is a mortgage term insurance plan that covers the outstanding principal amount of a loan. It is an economical way to protect the
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family from the burden of repayment of the loan in case of death of the loanee. The plan is designed to pay a sum insured that will be equal to the outstanding principal amount of the loan due. The Bajaj Allianz Protector Plan offers you the convenience of choosing between two premium payment options Regular Premium Payment - Premium payment limited to approximately 2/3rd of the loan tenure, while coverage continues for the full tenure of the loan. Single Premium Payment - One time premium payment covering you for the full tenure of the loan. Joint life availability You have the option to cover the co-applicant of the loan under this plan. Under this option, both lives will be covered and the death benefit will be payable in case of death of either life. The policy terminates on death of either life. Benefits Payable Death Benefit The death benefit is equal to the outstanding principal amount of the loan due as per the loan schedule, irrespective of changes in interest rate/term at a later stage. The outstanding amount of loan due will depend on the loan amount, loan tenure and interest rate as agreed upon at the time of disbursement of the loan. Important details of the Bajaj Allianz Protector Plan Eligibility Condition Minimum Sum Assured Rs. 2, 00,000 Maximum Sum Assured No Limit Minimum Age at Entry 20 Yrs Maximum Age at Entry 55 Yrs Maximum Age at Policy Expiry Date 65 Yrs Minimum Term for Single Premium 2 Yrs Minimum Term for Regular Premium 5 Yrs Maximum Term (Regular and Single Premium) 30 Yrs Premium Payment Mode For your convenience we have provided 5 Premium Payment Modes that can be single premium, yearly, half-yearly, quarterly or monthly. The premium for frequencies other than yearly mode is the annual premium multiplied with the frequency factor (0.51 for the half yearly mode, 0.26 for the quarterly mode, and 0.09 for the monthly mode). Monthly mode is permitted only by salary deduction or direct bank debit. The minimum premiums are Rs. 2500 for the Single Premium, Rs. 1000 for the annual mode, Rs. 700 for the halfyearly mode, Rs. 450 for quarterly mode and Rs. 175 for monthly. Tax Benefits Tax benefits under Section 80C and Section 10(10)D available as per applicable tax laws. All payments due under this plan shall be governed by tax laws applicable at
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that point of time. Surrender values/Paid up Values There are no surrender values or paid-up values under this plan. Loans Loans are not available under this plan Change of Occupation On change of occupation, depending upon the nature of the new occupation, the premiums and benefits may be modified. Days of Grace In case of non-payment of premiums, a grace period of 30 days will be allowed for the yearly, half yearly and quarterly modes (15 days for the monthly mode). After that the policy will lapse. Revival of the Policy It is possible to revive a policy that has lapsed due to non- payment of premiums within 5 years from the date of lapse. The revival will be effected subject to underwriting. In case of joint life, revival would be subject to underwriting on both lives. General Exclusion In case the life assured (in case of joint life, either of the life assured) commits suicide within one year from the date of commencement / reinstatement of the policy, the benefits of the plan would not be payable, and the premiums would be refunded. 5) TERM CARE Life Insurance..... At the back of our minds we are often nagged by certain fears, the fears of an uncertain future, the insecurity of not being able to provide adequately for our loved ones, the fear of not being able to save enough. Life Insurance is the only complete answer to these fears. It is life insurance that provides you with the security of a financial safety net and enables you to plan for unpredictable adversities. Happiness often sneaks in through a door you didn't know you left open. Let life insurance be that door for you. The 'Bajaj Allianz Term Care' Plan The 'Bajaj Allianz Term Care' Plan is a term insurance plan. It is an economical way of providing for one's life cover and at the same time ensuring that the premiums paid are returned at maturity. What does the 'Bajaj Allianz Term Care' Plan offer you? This plan not only offers you life insurance cover at a low cost, but also provides for return of premiums on maturity. The premiums returned at maturity will be equal to the single premium or the sum total of equivalent annual premiums of the Economy Pack (excluding extra premiums charged, if any). In case of pre-mature
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death during the policy term, the full Sum Assured will be paid to the nominee. The 'Bajaj Allianz Term Care' Plan offers you the convenience of choosing between two premium payment options. Regular Premium Payment - Premium payment throughout the selected term. Single Premium Payment - One time premium payment for the selected term at commencement. Apart from covering the risk of natural death, this plan also provides you the option to choose upto 5 additional benefits. You can select a specific combination of additional benefits best suited to your needs, available in 4 attractive packages to choose from. i. Economy: This is the basic plan, which is available for both the regular and single premium payment options. ii. Protect: This pack comes with the following 3 in-built additional benefits: a. Accidental Death Benefit. b. Accidental Permanent Total/Partial Disability Benefit. c. Waiver of Premium Benefit (in case of accidental permanent total disability). The Protect Pack is available with the regular premium payment option only. iii. Health: This pack comes with the following 2 in-built additional benefits: a. Critical Illness Benefit. b. Hospital Cash Benefit. The Health Pack is available with the regular premium payment option only. iv. Total: This pack comes with the following 5 in-built additional benefits: a. Accidental Death Benefit. b. Accidental Permanent Total/Partial Disability Benefit. c. Waiver of Premium Benefit (in case of accidental permanent total disability). d. Critical Illness Benefit. e. Hospital Cash Benefit. The Total Pack is available with the regular premium payment option only. What are the in-built benefits that the 'Bajaj Allianz Term Care' Plan offers you? a. Accidental Death Benefit Accidents are always sudden and sometimes fatal. You can't lessen the emotional shock, but you can certainly soften the financial one. Bajaj Allianz Accidental Death Benefit gives your loved ones something to start with after the permanent loss of your income by paying double the basic Sum Assured. The total Accidental
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Death Benefit shall however be subject to a maximum of Rs. 10, 00,000/- under all policies taken with Bajaj Allianz together. b. Accidental Permanent Total/Partial Disability Benefit Accidents are unpredictable and so are the consequences. This may lead to a disability - partial or total. The Bajaj Allianz Accidental Permanent Total/Partial Disability Benefit provides a financial cushion against such misfortunes.Type of Disability Benefits Accidental Permanent Partial Disability 50 % of Sum Assured * Accidental Permanent Total Disability 100 % of Sum Assured ** * Subject to a maximum of Rs. 5, 00,000/- under all policies with Bajaj Allianz taken together. ** Subject to a maximum of Rs. 10, 00,000/- under all policies with Bajaj Allianz taken together. c. Waiver of Premium Benefit An accident may lead to permanent total disability limiting your ability to earn. The Bajaj Allianz Waiver of Premium Benefit is a helping hand when you need it most. It keeps your insurance cover alive by waiving off future premiums and enables you to live up to your commitments. d. Critical Illness Benefit Some illnesses are critical. They not only alter your life's pattern but also result in a financial drain. Bajaj Allianz Critical Illness Benefit softens the impact on your family by paying out the Critical Illness Benefit (equal to the Sum Assured) under the plan immediately, while other policy benefits continue (excluding Hospital Cash Benefit). We cover 11 Critical Illnesses. e. Hospital Cash Benefit The worry of settling hospital bills (room charges) adds to the trauma of hospitalization. Bajaj Allianz Hospital Cash Benefit reduces this financial burden and helps you to recover with peace of mind. Flexibility in Coverage* At Bajaj Allianz, we believe in offering benefits and not just products. We realize that you are unique and your needs for insurance vary with time. We therefore offer you the flexibility of including the following benefit combination at each policy anniversary. Combination 1: Accidental Death Benefit; Accidental Permanent Total/Partial Disability Benefit; Waiver of Premium Benefit.This combination can be added, if not taken earlier,
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deleted and added subsequently at each policy anniversary. We also offer the flexibility of excluding the following benefit combination: Combination 2: Critical Illness Benefit; Hospital Cash Benefit. This combination can be taken at inception only but can be excluded subsequently at any policy anniversary. Once excluded, Combination 2 cannot be included in the policy subsequently. * Available with the regular premium payment option only Other important details of the 'Bajaj Allianz Term Care' Plan. Eligibility Condition Minimum Age at Entry 18 Years Maximum Age at Entry 50 years Maximum Age at Maturity 65 years Minimum Term 5 years Maximum Term 40 years Minimum Sum Assured Rs. 1,00,000/Maximum Sum Assured Rs. 10,00,000/Minimum Premium Rs. 1500/- for Yearly, Rs. 1500/- for Half Yearly. The minimum premium for Single Premium option shall be Rs. 6000/Premium Payment Mode For your convenience we have provided 3 Premium Payment Modes that can be single premium, yearly or half-yearly. 6) NEW UNITGAIN PREMIER SP IN THIS POLICY, THE INVESTMENT RISK IN INVESTMENT PORTFOLIO IS BORNE BY THE POLICYHOLDER You and Your investments deserve more This is why we have designed a unique plan that really offers you more? New UnitGain Premier SP is a unique insurance cum investment plan that provides your investment a zing from the start, by allocating 105% of the single premium paid from day one, thereby ensuring that you get MORE. Bajaj Allianz New UnitGain Premier SP is exactly what the name suggests, with a wide range of high quality investment funds to choose from coupled with flexible investment management. You really have the best of all worlds investment, insurance and tax benefits. With Bajaj Allianz New UnitGain Premier SP, you can invest in one life insurance plan that can take care of all your changing requirements, be it your investment needs, children education needs or peaceful
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golden years. This plan has been designed to provide your family with higher financial assistance should anything unfortunate were to happen to you as well as flexibility, so that you do not have to worry about your changing needs. The Key Features of the New UnitGain Premier SP Plan are: It is a unit linked plan with minimum term of 10 years and maximum maturity age 70 years. Convenient single premium payment. 105% of the single premium is allocated. Guaranteed death benefit. You can adopt your own investment strategy to grow the funds. Choice of three investment funds today with flexible investment management: You can change funds at any time and also invest in the newer funds that may be introduced from time to time subject to prior approval from IRDA. Partial or full withdrawal facility, after three years from commencement (subject to surrender charge, if applicable). How does the Bajaj Allianz New UnitGain Premier SP plan work? 105% of the single premium paid is invested in fund/funds of your choice and units are allocated depending on the price of units for the fund/funds. The fund value of your policy is the total value of units that you hold in the fund/funds. The mortality charge and policy administration charge are deducted through monthly cancellation of units. The Fund Management Charge is priced in the unit value. Death Benefit: You can choose a Sum Assured (Level of Protection) that you want in the New UnitGain Premier SP Plan. Minimum Sum Assured = 1.25 times the single premium Maximum Sum Assured = Y times the single premium where Y will be as per the following table: Age 0 - 17 18 35 36 - 45 46 - 50 51 55 56 60 Group Y 10 10 7 5 3* 2* * Multiplier may be increased to 5 in special cases on case- to-case basis. Benefits available under the plan Death Benefit: On death before the age of 7 years: The death benefit will be the NAV of the units in the policyholders account (Fund Value) as on date of receipt of intimation of death at the office. The policy terminates on the death of the life assured. On death after the age of 7 years and before the age of 60 years: The death benefit will be the higher of the sum assured less the value of the units withdrawn by partial withdrawals in the last 24 months prior to the date of death or
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the NAV of the units in the policyholders account (Fund value) as on date of receipt of intimation of death at the office. On death of the life assured on or after attaining the age of 60 years: The benefit will be the higher of the sum assured less the value of the units withdrawn within two years before attaining age 60 years and all the withdrawals made after attaining age 60 years or the value of the units in the policyholders account (Fund Value) as on the date of intimation of death at the office. Maturity Benefit: On maturity, the value of the units is payable to the life assured/ policyholder. Fund Value: The Fund Value is equal to the number of units under this policy multiplied by the unit price on the relevant valuation date. Unit Price: The unit price of each fund is arrived at by dividing the Net Asset Value (NAV) of the fund by the number of units existing in the fund at the valuation date (before any new unit is allocated or cancelled) Valuation Date: The Company aims to value the Funds on each day the financial markets are open. However, the Company reserves the right to value less frequently in extreme circumstances, where the value of the assets may be too uncertain. In such circumstances, the Company may defer valuation of assets until a certainty on the value of assets is resumed. The deferment of valuation of assets will be subject to prior consultation with IRDA. Currently, the cut-off time is 3 p.m. for applicability of Unit Price of a particular day for switches, redemptions and publication of Unit Price. Cash withdrawal option: You can withdraw (partially or fully) anytime after three years from the date of commencement. In case of partial withdrawal, a minimum balance of Rs.20,000 or one-tenth of the Single Premium, whichever is higher, across all funds must be maintained, and the minimum withdrawal amount is Rs. 5,000. The surrender charge applicable for partial withdrawal would be 6% in the 4th year, 4% in the 5th year, 2% in the 6th year, & 0% thereafter. In case the policy is taken on the life of a minor, the partial withdrawals shall not be allowed until the minor (life insured) attains majority (i.e. on or after attainment of age 18). Surrender: Full withdrawal of units by way of surrender of the policy is allowed after three years from commencement. The surrender charge applicable for full withdrawal would be 6% in the 4th year, 4% in the 5th year, 2% in the 6th year, & 0%
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thereafter. Important Details of the Bajaj Allianz New UnitGain Premier SP Plan Minimum Maximum Age at Entry 0 Yrs (Risk commences at age 7) 60 Yrs Term 10 Yrs Age at Maturity 18 Yrs 70 Yrs Single Premium Rs. 50000 No limit Termination of the Policy The policy will terminate on occurrence of any of the following: a) The units in the policy are fully surrendered b) The account value becomes equal to one tenth of the single premium paid. c) The death of the Life Assured d) On maturity, if settlement option is not taken e) The expiry of the period for the Settlement Option On the occurrence of (a) and (b) above the value of the units, if any, would be paid to the life assured/policyholder upon such termination, subject to surrender penalty, if applicable. In case of (c), death benefit will be paid as mentioned separately herein. In case of (d) and (e), the value of the units, if any is paid to the life assured/policyholder at maturity or at each installment date, as applicable under the settlement option. 7) CHILD GAIN Are your children destined for greatness? Will they devise the universal currency, or solve the problem of global warming? Will they make music like we have never heard before, or keep shattering records in sports? Will they bring God to men, or peace to the world? Your children may just be the ones to end wars, feed the hungry, and care for many. Your child can aim for the highest echelons of success, for greatness, and immortal fame. Your child can dream. But before your child does, you must. Bajaj Allianz Child Gain Plan Taking care of a child is perhaps the most important job a parent can have. It is natural that you would like to give your child your best, and therefore, this is the time when careful financial planning can help you fulfill the aspirations that you have for your children. The Bajaj Allianz ChildGain Solutions help you to enjoy the joys of parenthood responsibly, with the reassurance of a secure future for your child. What does Bajaj Allianz Child Gain Plan offer you?
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Bajaj Allianz Child Gain offers a wide array of solutions that allows you to plan for your childs future by providing you with as many as 4 distinct and unique options. Option 1: Child Gain 21 Option 2: Child Gain 24 Option 3: Child Gain 21 Plus Option 4: Child Gain 24 Plus Common features in the 4 Options of Bajaj Allianz Child Gain Plan 1. Limited Premium Payment Term which means that the premiums are payable till your child attains age 18 years. 2. Your contributions grow by the way of compounded annual bonuses, which will be paid to you with the first guaranteed payout (policy anniversary following age 18 of your child), for in-force policies. In addition to the annual bonuses, a terminal bonus may also be paid. 3. You are eligible for Tax Benefits under Section 80C and Section 10(10) D of the Income Tax Act. 4. Assuring Your Childs Future: In an uncertain world, the prime interest of your child cannot be jeopardized in any way. This is why we have built in some added benefits in all our plans to protect the interests of your childs future, by counter insuring you- the policy holder. Inbuilt Benefits Premium Waiver Benefit: In case of death or accidental total permanent disability of the policyholder during the premium payment term, all future premium payments are waived. This benefit will not be available in the event of accidental permanent total disability after age 65 of the policyholder. Family Income Benefit: In case of death or accidental total permanent disability of the policyholder during the term of the policy, a monthly income benefit of 1% of the sum assured (12% per annum) subject to a maximum of Rs.10,000 p.m. becomes payable till the end of the policy term. This benefit will not be available in the event of accidental permanent total disability after age 65 of the policyholder. Option to Purchase further Insurance at Maturity: For ensuring continuity of the valuable insurance protection that the child was enjoying, we offer the child an option to purchase a with profits endowment or an equivalent plan from Bajaj Allianz Life Insurance Company for twice the amount of face value of this policy, without any medical examination, on the premium rates prevailing at that time (The application must be made at least 6 months prior to maturity of this policy). Payout Structures
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For Child Gain 21 and Child Gain 21 Plus: The minimum guaranteed payouts are as follows: Policy Anniversary following 18 19 20 21 Completion of Age Payout as % of Sum Assured 20% + Accrued 25% 25% 35%* Bonuses For Child Gain 24 and Child Gain 24 Plus: The minimum guaranteed payouts are as follows: Policy Anniversary following 18 20 22 24 Completion of Age Payout as % of Sum Assured 25% + Accrued 25% 25% 40% Bonus refers to probable increase in payout based on higher interest during the payout period. Start of Life Benefit Unique Feature of Bajaj Allianz Child Gain 21 Plus and 24 Plus These packages offer you the choice of providing a unique Start of Life Benefit for your child. For a nominal amount, an additional Sum Assured subject to a maximum limit of Rs. 10 lacks will become payable to enable the child start his/her professional life smoothly, in case of an unfortunate death or Accidental Permanent Total Disability of the Policyholder during the term of the policy. This benefit will not be available in the event of accidental permanent total disability, after age 65 of the policyholder. Premiums For your convenience we have provided 4 Premium Payment Modes that can be Yearly, Half-yearly, Quarterly and monthly. We also offer a Monthly Premium Payment Mode under salary deduction schemes. Surrender We offer you the choice of surrendering the policy provided three full years premiums have been paid (Two years for premium payment terms of 5 and 6 years). The guaranteed minimum surrender value is 30% of all premiums paid excluding the first year premium and excluding the premiums for Premium Waiver Benefit and Family Income Benefit and Additional Rider Benefit if opted For example, The guaranteed minimum surrender value after the premium payment term will be the discounted value of the outstanding installment payments discounted at 10% p.a. rate of interest. Loans Loans are not available with Bajaj Allianz Child Gain Plan Exclusions The Death Cover is subject to the following Exclusion: Suicide within one year from commencement of risk, whether same or not.
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8) INVEST PLUS Bajaj Allianz Life Insurance launches Invest Plus Leading private sector life and general insurance company, Bajaj Allianz Life Insurance has launched Invest Plus, which offers upfront minimum guaranteed investment returns at the beginning of each year, a company statement said here. Invest Plus is the first of its kind traditional plan that offers upfront minimum guaranteed investment returns at the beginning of each year and a guaranteed maturity value so that customers can feel protected at all times and plan their investments without any worries. "Invest Plus offers guaranteed benefits in these uncertain times. The USP is the transparency of a ULIP product in a traditional product," Bajaj Allianz Life Insurance Country Manager, Allianz & CEO, Kamesh Goyal said. The minimum guaranteed investment returns works towards the benefit of the customer as he gets an upfront minimum guaranteed rate of returns. This would be beneficial irrespective of market conditions as he is equally compensated by guaranteed returns, Goyal said. Minimum guaranteed returns stands for a rate of return which is declared at the beginning of each financial year itself and promises to offer the customer the same return for the year irrespective of the market scenario, it said. The company has announced minimum guaranteed returns for FY10 at 7 percent. Bajaj Allianz Invest Plus Presenting a one-of-its-kind investment plan that is secure, accountable and transparent - All in one. Bajaj Allianz Invest Plus helps you get security while ensuring peace of mind. The guaranteed investment returns give you a great maturity benefit and protection to your family. You can multiply your returns by paying additional premiums. Securing the future of your family and yourself was never this easy. Enjoy your life with this all-in-one plan, and leave your worries to us. Key features of Bajaj Allianz Invest Plus: Guaranteed Investment Returns and minimum Guaranteed Maturity Value. 10% of each Net Premium added as Loyalty Additions from the 11th Policy Year Refund of a proportion of the cost of your life insurance cover at maturity Option to pay Premium over and above the Regular Premium to acquire Additional Accrued Maturity Value Choice of insurance cover as per your requirement Option to take loan up to 85% of the surrender value of Accrued Maturity Value. Option to en-cash partially the Additional Accrued Maturity Value A host of optional Additional Rider Benefits to choose from Option to reduce the regular premium from the fourth policy year How does Bajaj Allianz Invest Plus work?
40

For Your policy the Company will maintain two accounts; an Accrued Maturity Value (AMV) account for regular premiums and an Additional Accrued Maturity Value (AAMV) From the Regular Premium paid by you a Life Insurance Risk Premium for, the Sum Assured chosen and the Additional Rider Benefits premium, if any, will be deducted upfront and 95% of the resulting Net Premium shall be added to your Accrued Maturity Value (as and when the Regular Premium is received by the Company). You can pay Additional Premium over and above the Regular Premium any time (Except during last three years before maturity) which shall be added to your Additional Accrued Maturity Value (AAMV) account, after multiplying the Additional Premium paid by you with the Additional Premium Factor. The Accrued Maturity Value (AMV) and the Additional Accrued Maturity Value (AAMV), if any, shall be further enhanced at the rate of Guaranteed Investment Return (GIR) on a monthly basis. The Loyalty Additions at the rate of 10% of the Net Premium will further enhance your Accrued Maturity Value (AMV) from the 11th policy year as and when the premiums are received by the Company. The fund in respect of your Accrued Maturity Value (AMV) and Additional Accrued Maturity Value (AAMV), if any, shall be invested in a Controlled Fund. The investment mix of the Controlled Fund shall always be in such proportion as that stipulated by the Insurance Regulatory and Development Authoritys (IRDAs) relevant regulations on investments for the non-linked business including any change in future. Bajaj Allianz Invest Plus offers you the following cover choices: You can choose sum assured as 5 times, 10 times, 15 times or 20 times (subject to maximum of chosen policy term times) of annual premium. Additional Rider Benefits available The following additional rider benefits in the form of rider can be availed at the option of the policyholder. Accidental Death Benefit Rider Accidental Total / Partial Disability Benefit Rider Critical Illness Benefit Rider Hospital Cash Benefit Rider Waiver of Premium Rider Family Income Benefit Rider(Please refer to the additional rider benefits brochure for more details.) Death Benefit The Death Benefit payable to the Nominee (provided the policy is in force) will be equal to the amount of Sum Assured under the Policy plus the Accrued Maturity Value plus the Additional Accrued Maturity Value, if any, as on date of receipt of
41

intimation of death at the office of the Company. In case of paid up policy, the death benefit shall be higher of the reduced Sum Assured and the Paid Up Accrued Maturity Value, plus the Additional Accrued Maturity Value, if any, as on the date of receipt of intimation of the death. In case of lapsed policy, the death benefit shall be equal to the Additional Accrued Maturity Value, if any, as on the date of receipt of intimation of the death. Maturity Benefit The maturity benefit shall be The Accrued Maturity Value as on Maturity Date plus Refund of a Proportion of the total life insurance premium paid (excluding any rider premium, extra premium and service tax); subject to a minimum of the Guaranteed Maturity Value Plus the Additional Accrued Maturity Value, if any, as on Maturity Date. The refund proportion of the total life insurance premium on maturity shall be made only if all the due regular premiums till maturity date have been paid. The proportion will be 50% for policy term 10, 75% for policy term 15 and 100% for policy term 20 & 25. The Guaranteed Maturity Value (GMV) shall be equal to the total regular premium paid till maturity date excluding rider premium, any extra premium & service tax and is applicable only if the entire due premiums have been paid under the policy till maturity. Surrender You may surrender the policy after three policy years, provided first three years Regular Premiums have been paid in full. The Surrender Value shall be equal to the Accrued Maturity Value plus the Additional Accrued Maturity Value, if any, less applicable penalty and subject to application of Market Value Adjustment (MVA), if any. Guaranteed Investment Return The Company will declare a Guaranteed Investment Return for a year at the start of each financial year keeping in view the expected rate of Investment Return in the coming financial year. The Guaranteed Investment Return shall be used to enhance the Accrued Maturity Value and the Additional Accrued Maturity Value, if any, on a monthly basis at end of each calendar month. For any cash flow taking place during the month, the GIR for that cash flow shall be calculated and credited for the fraction of the month. The Guaranteed Investment Return declared by the Company for the Financial Year 2010 -11 is 7%. Loyalty Additions If the Regular Premium has been paid in full for the first 10 Policy Years, then from
42

the 11th Policy Year, the Company will add Loyalty Addition to the Accrued Maturity Value equal to the 10% of the subsequent net premium on receipt of each Regular Premium by the Company. Market Value Adjustment (MVA) Market Value Adjustment (MVA) will be the reduction to the AMV and/or the AAMV that may be applied by the company on the date of Full or Part surrender payment, based on the need for the Company to realize the investments and the market value of the assets as on that date. The MVA shall not be applicable in case of death or maturity. Policy Loan You can avail up to 85% of the surrender value of the Accrued Maturity Value as loan from the Company, after three policy years at prevailing rate of interest provided at least three years regular premiums have been paid in full. On payment of death, maturity or surrender benefit, any outstanding loan amount with interest shall be deducted from the benefit. Option to en-cash partially You can opt for Part Surrender of your Additional Accrued Maturity Value after three years from the date of payment of each such additional premium. The minimum amount of Part Surrender from Additional Accrued Maturity Value is Rs.5, 000 Only one Part Surrender request is allowed in a calendar month. In case of minor life, Part Surrender is allowed after attaining age 18 years. The Part Surrender of the Additional Accrued Maturity Value will be subject to deduction of Surrender Penalty, as applicable. The actual amount payable as Part Surrender may differ from the face value of the Additional Accrued Maturity Value being surrendered, due to the application of the Market Value Adjustment (MVA) and surrender penalty. Option to Reduce the Regular Premium You can reduce your regular premium after three policy years by giving a written notice at least 30 days prior to a policy anniversary, provided you have paid all due regular premiums till date. Such reduction in regular premium shall be subject to the minimum regular premium payable under the product at the time of such reduction and further the revised regular premium shall not be less than the life insurance premium and the rider premium, if any, including any extra premium, payable under the policy. Any reduction in regular premium shall not result in any reduction of sum assured. The reduction in regular premium shall be effected from the policy anniversary. Non-Forfeiture In the event of non-payment of Regular Premiums due under the policy within the Grace Period the following provisions will be applicable:
43

 If the failure to make payment of Regular Premium occurs in the first 3 Policy Years, the Policy will lapse for all Life Insurance Cover and rider cover and no Surrender Value or Death Benefit in respect of the Accrued Maturity Value shall be payable. However Surrender Value in respect of Additional Accrued Maturity Value, if any, shall be payable on the termination of the Policy on the expiry of the Revival Period. The AMV of a lapsed policy shall not participate in the Guaranteed Investment Return during the lapsed period, but the AAMV will continue to be enhanced by the Guaranteed Investment Return during the lapse period. In case of earlier death of the life assured under a lapsed policy, the Additional Accrued Maturity Value, if any, shall be payable. If at least three full years Regular Premium has been paid, the Policy will be converted to a Paid-Up Policy and the Accrued Maturity Value shall be reduced to the Paid up Accrued Maturity Value by deducting the Premium Discontinuance Penalty from the Accrued Maturity Value as on date of first unpaid premium. The Paid up Accrued Maturity Value and the Additional Accrued Maturity Value, if any, shall continue to participate in the Guaranteed Investment Return. The Sum Assured shall be reduced by applying the proportion of number of premiums paid to the total number of premiums payable till the Maturity Date. . In the case of the death of the Life Assured under a Paid-Up Policy, the Company is liable to pay a Death Benefit equal to the higher of the reduced Sum Assured and the Paid-up Accrued Maturity Value, plus the Additional Accrued Maturity Value, if any, as on the date of receipt of intimation of the death. . Under a Paid-Up Policy, no Additional Rider Benefit shall be payable. Parameter Details Minimum Age at Entry 7 years (18 years in case of all Additional Rider Benefits) Maximum Age at Entry 60 years (50 years in case of all Additional Rider Benefits) Minimum Maturity Age 18 years Maximum Maturity Age 70 years Additional Rider Benefit 65 years Ceasing Age Policy Term 10, 15, 20 and 25 years Minimum Premium* Rs. 10,000 per yearly installment, half-yearly installment, Rs. 5,000 quarterly installment, Rs. 2,500 monthly mode Rs. 1000 (Monthly mode is available through ECS salary saving scheme only.)

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9) BAJAJ ALLIANZ CARE FIRST PLAN Bajaj Allianz Care First is a unique hospitalization-cum-insurance plan that takes care of your hospitalization bills and also provides crucial financial support to your dependents in case of your unfortunate death. Unlike ordinary annual Mediclaim policies, this is a 3-year risk cover plan that allows you to renew the policy after every 3 years and keeps you covered till the age of 65 years. The premium rate is level and guaranteed for the length of the each policy term of 3 years. How does the plan work? The Policy covers hospitalization expenses ranging from Rs. 1 lakh to Rs. 7 lakhs. This means, if you opt for a sum assured of Rs. 5 lakhs then you can avail up to Rs. 5 lakhs every year to meet your hospitalization expenses, subject to limits on reimbursement of expenses and exclusions as mentioned below, and in the event of your unfortunate death your dependent will get balance of any unclaimed sum assured as death benefit. In case the child is the life assured under this policy, then any one of the parents should be covered under any of the hospitalisation reimbursement plan either with Bajaj Allianz or with any other insurer with at least the same sum assured as chosen for the child. The policy shall automatically vest in the life assured as soon as minor life assured attains age 18 years. Key Benefits Hospitalisation Cover : Day Care Treatment Pre-Hospitalisation and Post-Hospitalisation Cover Cash Less Service Facility Increased proportion of re imbursement of your hospitalisation expenses for every claim-free year Death benefit Tax Benefit Hospitalization Cover Following expenses incurred during hospitalization for continuous period of 24
45

hours for in-patient treatment would be covered under the policy. Room rent and Boarding expenses Nursing expenses Doctors fees Operation theatre charges Cost of Anesthesia, Blood, Oxygen, Medicines and Drugs, Diagnostic Materials and X-Ray, Artificial Limb, and pacemaker Enlisted day care expenses for specified treatments are also covered. Day Care Treatment If you require to undergo treatment for the illnesses or procedures like Eye surgery, Cataract, Lithotripsy (kidney stone removal), Tonsillectomy, Dilatation & Curettage, Cardiac Catheterization, Hydrocoele Surgery, Hernia repair surgery, wherein you dont need to be hospitalized for at least 24 continuous hours, it will be considered as proper hospitalization and the medical expense would be reimbursed. Pre-Hospitalisation and Post-Hospitalisation Cover This plan covers the expenses associated with pre-hospitalization treatment, for a period of 15 days prior to the hospitalization and post-hospitalization expenses for a period of 30 days after the discharge from the hospital. Cash Less Service Facility Cash Less Services (CLS) will help you avail of the hospitalization benefits without any advance payment in the hospital and facilitate quick delivery of services through Network Hospitals (NWH). Third Party Administrators (TPA) of the Company facilitates the Cash Less Services. On issuance of the policy, The TPA will provide you a photo identification card and a guide book, which would contain a list of NWH, the details explaining the process for application of CLS and hospitalization intimation form / pre- authorization form to be filled up by your attending doctor for hospitalization in NWH. The TPA will maintain 24/7 helpline on toll free number to facilitate any medical emergency requirement. To avail of the CLS facility all you need to do is to contact the TPA at any of their offices which are convenient to you and submit the hospitalization intimation form / pre-authorization form. In case of an emergency you need to produce the photo identification card in NWH to get admission and within 48 hours of hospitalization you will have to contact the TPA to obtain CLS authorization. If CLS is authorized then your hospitalisation expenses will directly be settled by the Company with NWH to the extent it is reimbursable and the balance of the hospitalisation expenses would be settled by you at the time of discharge. Death Benefit
46

In case of unfortunate death of the life assured, provided death occurs after attaining age of 7 years, the sum assured less all benefits already paid or payable in that policy year shall be paid. Tax Benefits The premium paid towards Death benefit will be eligible for tax benefits under Section 80C of the Income Tax Act 1961, and the premium paid towards hospitalisation benefit will be eligible for tax benefits under Section 80D of the Income Tax Act 1961. Eligibility Entry Age Sum Assured Maximum Expiry Policy Term Premium Payment Frequency (Monthly mode is available through ECS or Salary Deduction Only) Limits on reimbursement of expenses In a policy year, Companys total liability towards reimbursement of medical expense or any other benefit payment under the policy shall be limited to the sum assured. If hospitalisation has taken place due to the following: Illnesses/Procedures/Group of Illnesses, the Company will reimburse 80% of medical expenses subject to maximum reimbursement limit as given below in the table: Sr. Illnesses/Procedures/Group of Illnesses The lower of: No. % of sum assured Lump sum 1. Cataract 12% 25,000 2. Hysterectomy Abdominal/ vaginal, with or without BSO. 20% 40,000 3. Laparoscopic Hysterectomy 20% 50,000 4. Hydrocoele 15% 30,000 5. Hernia 20% 40,000 6. Trans Urethral resection of the Prostate 20% 40,000
47

Minimum Maximum 3 months 56 years 100,000 700,000 Age 65 years 3 years Yearly, Half-Yearly, Quarterly, Monthly

7. Knee replacement 8. Hip replacement 9. Cholestectomy 10. Lithotripsy 11. Angioplasty 12. Angiography 13. Organ Transplant

50% 50% 20% 15% 50% 10% 50%

150,000 175,000 40,000 30,000 150,000 20,000 1, 50,000

In case of Major Organ Transplant, the Company will pay an additional amount of 25% of the sum assured as lump sum. Major Organ Transplant means the receipt of a transplant of a) Human bone marrow using haematopoietic stem cells preceded by total bone marrow ablation; or b) One of the following whole human organs: heart, lung, liver, kidney, pancreas (excluding the transplantation of the islets of Langerhans only), that resulted from irreversible end-stage failure of the relevant organ. Other stem cell transplants are excluded. If hospitalisation has taken place due to Illnesses/Procedures/Group of Illnesses other than those listed in the table then the company will reimburse 80% of following expenses: Room rent and boarding expenses per day Maximum 1.5% of sum assured for non intensive care unit and 3% of sum assured for intensive care unit Doctors Fee Maximum 25% of the total medical expenses incurred on in-patient treatment Operation theatre charge Maximum twice of the per day room rent and boarding expenses admissible under the policy on the date of surgery / medical procedure Other Actual expenses on Nursing, Anesthesia, Blood, Oxygen, Medicines and Drugs, Diagnostic Materials and XRay, _ The Company will reimburse 80% of the costs of following implants subject to maximum reimbursement limit as given below in the table; Sr. Implants The lower of: No. % of Sum Lump sum
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Assured Rs. 1. Artificial limbs 30% 100,000 2. Cardiac Pacemaker one chamber 20% 50,000 3. Cardiac Pacemaker two chamber 50% 150,000 Grace Period, Lapse & Reinstatement If any installment of premium is not received in full by the due date, the Company shall allow a grace period of 15 days under all premium modes for premium to be received in full. If premium is not received within the grace period then the policy will lapse without acquiring any surrender value or paid up value. A lapsed policy may be revived within 30 days of the due date of the first unpaid premium and before the expiry of the policy term subject to medical examination, at your expense, and payment of outstanding premiums plus interest from the original due dates of premium payment. Renewals: The policy can be renewed within 30 days after the expiry of the current policy term for the sum assured same as the existing sum assured and at the premium rates and terms & conditions prevailing at the time of renewal. However if policy is not renewed within 30 days after the expiry of the current policy or new sum assured is more than the existing sum assured then renewal of the policy would be subject to the life assured satisfying companys underwriting requirements.

10) BAJAJ ALLIANZ UNITGAIN PROTECTION PLUS The plan that takes care of your insurance and investment requirements for life With Bajaj Allianz UnitGain Protection Plus we have formulated a unique combination of protection and prospects of attractive returns with investment in various mix of assets to make a perfect plan to last you a lifetime prosperity and happiness. Key Benefits of Bajaj Allianz UnitGain Protection Plus Guaranteed life cover, with a flexibility to choose insurance cover according to your changing needs. Additional Sum Assured shall be payable in case of accidental death 100% allocation to your funds from the 4th year onwards. Guaranteed Addition to enhance your fund value every year from the sixth policy year. Choice of 2 investment portfolio strategies to manage your investments better.
49

Offering the special Wheel of Life portfolio strategy, which will help you to balance and safeguard your investment. Your policy continues to participate in investment performance of the fund(s) even if you are unable to pay 3 full years' premium. Flexibility of partial withdrawals at any time after 3 years from commencement of the policy provided 3 full years' premiums are paid. Flexibility to increase or decrease your regular premium to suit your changing needs. Flexibility to pay unlimited top-up premium during the tenure of your policy, an additional lump sum which gives a boost to your investment portfolio. Flexibility to add additional rider benefits which gives you and your family extra protection. How does Bajaj Allianz UnitGain Protection Plus works? Bajaj Allianz UnitGain Protection Plus is a simple to understand unit-linked life insurance plan. Premiums paid by you, net of premium allocation charge, are invested as per the portfolio strategy of your choice (&, if applicable, in fund(s) of your choice) and units are allocated depending on the unit price of the fund(s). The fund value of your policy is the total value 100 of units that you hold in the fund(s). From the end of the 6th policy year, every year, a percentage of the first year's annual premium is added by the Company as Guaranteed Addition. The mortality charge, policy administration charge and rider premium charges (if any) are deducted monthly through cancellation of units. Fund Management Charge is adjusted in the unit price. What are my Investment Options and Funds? Bajaj Allianz UnitGain Protection Plus provides you with two unique portfolio strategies, which can be chosen at the inception of the Policy or on subsequent policy anniversary: 1) Investor Selectable Portfolio Strategy 2) Wheel Of Life Portfolio Strategy a) Investor selectable Portfolio Strategy: If you want to allocate your premiums based on your personal choice and decision, you can opt for this strategy. You have a choice of seven (7) investment funds to make Your investment decision. Premium Apportionment: You can choose to invest fully in any one fund or allocate your premiums into the various funds in a proportion that suits your investment needs. The proportion of allocated premium to any fund must be at least 5%. At any policy anniversary, you also have the flexibility to change the proportion of future premiums to the funds. b) Wheel of Life Portfolio Strategy: We provide you with Years to maturity based portfolio management. At the commencement of the Policy, your premium (regular premium and top up premium, if any) would be allocated in various funds (namely Equity
50

Index Fund II, Equity Growth Fund & Accelerator Mid-Cap Fund) On each policy anniversary, we will reallocate your fund value among various funds in the proportion based on your outstanding years to maturity. The premiums (regular premium and top up premium, if any) paid in that particular policy year will also be allocated in the same proportion. This will ensure that a balance is maintained between your years to maturity and level of risk to your investments to optimize the returns. Important details of the plan: Parameter Details Minimum Entry Age 8 years (18 years in case of Additional Rider Benefits) Maximum Entry Age 60 years (50 years in case of Additional Rider Benefits) Minimum Age at Maturity 18 years Maximum Age at Maturity 70 years (Additional Rider Benefits ceasing Age 65 years) Minimum Policy Term 10 years Maximum Policy Term Customer selectable term subject to max maturity age Minimum Regular Premium Rs. 12,000 per yearly installment Rs. 6,000 per half- yearly installment Rs. 3,000 per quarterly installment Rs. 1,000 per monthly installment (Monthly mode is available through ECS and Salary Saving Scheme only). Maximum Regular premium No Limit Minimum Top Up Premium Rs. 5,000 Maximum Top Up Premium No Limit Minimum Sum Assured 5 times Annualized Premium Maximum Sum Assured Policy Term times Annualized Premium with base cover [Only 5 times Annualized Premium with base cover & Rider(s)] Guaranteed Addition If your policy has not been terminated, we shall allocate guaranteed addition at the end of the sixth policy year and thereafter at the end of each policy year at the unit price as applicable on date of allocation of the guaranteed addition for an amount equivalent to the following: Annual Premium Guaranteed Addition as percentage of First years
51

Size at Annualized Premium from policy year end 6 and above the inception of the policy 12, 000-24, 999 1.50% 25, 000-99, 999 5.50% 100000-249, 999 6.50% 250000 and 7.00% above No Guaranteed Addition will be allocated on fund value in respect of top up premium (if any). Guaranteed Addition will be allocated to your policy even if you have stopped paying premiums. Key developments for Bajaj Allianz Life Insurance Company Ltd. 1) Bajaj Allianz Life Insurance Company Ltd. Reports Earnings Results for the First Quarter of 2010 07/16/2009 Bajaj Allianz Life Insurance Company Ltd. reported earnings results for the first quarter of 2010. For the quarter, the company posted a profit of INR 6,800 million, against a loss of INR 30 million. New business premium underwritten by the company stood at INR 5,770 million, registering a negative growth of 30%. 2) Bajaj Allianz Life Insurance Launches Invest Plus, to Offer Upfront Minimum Guaranteed Investment Returns at the Beginning of Each Year 06/15/2009 Bajaj Allianz Life Insurance Company Ltd. has launched Invest Plus, which offers upfront minimum guaranteed investment returns at the beginning of each year. Invest Plus is the first-of-its-kind traditional plan that offers upfront minimum guaranteed investment returns at the beginning of each year and a guaranteed maturity value so that customers can feel protected at all times and plan their investments without any worries. Invest Plus offers guaranteed benefits in these uncertain times. The USP is the transparency of a ULIP product in a traditional product. The minimum guaranteed investment returns works towards the benefit of the customer as he gets an upfront minimum guaranteed rate of returns. This would be beneficial irrespective of market conditions as he is equally compensated by guaranteed returns. Minimum guaranteed returns stand for a rate of return which is declared at the beginning of each financial year itself and promises
52

to offer the customer the same return for the year irrespective of the market scenario. 3) Dhanalakshmi Bank and Bajaj Allianz Sign Strategic Partnership 05/28/2009 Dhanalakshmi Bank has joined hands with Bajaj Allianz General Insurance Co. Ltd. and Bajaj Allianz Life Insurance Company Ltd. to offer both life and non-life insurance products. Bajaj Allianz has also launched a cobranded product called Dhanam Suraksha, a health insurance product with a family-floater plan, which will be available exclusively for the bank's customers, a release here said. Through the alliance, Dhanalakshmi Bank will make available Dhanam Suraksha along with other Bajaj Allianz Insurance products and services to its customers. These include motor insurance, health insurance, home insurance and life insurance which will be provided to the bank's customers through its 181 branches and 26 extension counters.

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RESEARCH METHODOLOGY
Research methodology is a way to systematically solve the research problem. Research methodology constitutes of research methods, selection criterion of research methods, used in context of research study and explanation of using of a particular method or technique so that research results are capable of being evaluated either by researcher himself or by others. Why a research study has been undertaken, how the research problem has been formulated, why data have been collected and what particular technique of analyzing data has been used and a best of similar other question are usually answered when we talk of Research methodology concerning a research problem or study. The main aim of research is to find out the truth which is hidden and which has not been discovered as yet. The area of the study related with informing different people about life insurance policies in the region of Himachal Pradesh.

SAMPLE DESIGN
A sample design is a definite plan for obtaining a sample from a given population. It refers to the techniques or the procedure the researcher would adopt in selecting items for the sample. Sample design may as well be drawn from the population to be included in the sam ple i.e. the size of the sample. Sample design is determined before data are collected. During my study I have taken 100 prospects as the size of sample.

TOOLS USED
To know the response, I have used the questionnaire method. If one wishes to find what prospects think or know, the logical procedure is to ask them. This has led marketing researchers to use the questionnaire technique for collecting data more than any other method. In this method questionnaire were distributed to the respondents and they were asked to answer the questions in the questionnaire. The questionnaire were structured non disguised questionnaire because the question
54

which the questionnaire contained, were arranged in a specific order besides every question asked were logical for the study, no question can be termed as irrelevant.

DATA COLLECTION PRIMARY DATA SOURCES Through interaction with insurance care consultant Through questionnaires filled from the insurance care consultant. SECONDARY DATA SOURCES: Through internet, various official sites of the companies. Through pamphlets and brochures of the companies.

QUESTIONAIRE
Q1 would you like to get insured? Yes 10% No 60% Others please specify 30%

55

Response
10 30 yes no others 60

Interpretation: Out of 100 respondents 60% said no,10% said yes and rest 30% were unaware.

Q2 What according to you is the most important reason for getting insured ? Risk Coverage Saving Tax Benefit

56

29

35 Risk Coverage Saving Tax Benefit

36

Interpretation: Out of 100 respondent 35% get insurance because of risk cover ,36% because of saving ,29% for tax benefits.

Q3 What factor should you consider when thinking about the amount of the Life Insurance ? Benefit of the plan Future Needs Income Other
57

1%

1.4

9 21

Benefit of the plan Income

Future Needs

43

Others

Interpretation: Out of 100 respondent 2buy insurance because of benefits of the plan, 43%because of income,9% because of future prospects and 27% undecided.

Q4 Do you have existing insurance plan ? Yes No

58

25 Yes 75 No

Interpretation: 25 % already had insured themselves and 75 % did not have insurance plan. Q5 If yes then who is your insurance? LIC Private Company

29 LIC Private Company 71

Interpretation: 71% bought Insurance from LIC rest 29% preferred private companies .

59

Q6 whom you consult while taking financial decision? Friend Colleagues Family Other

35

30
25 20 15 10 20 5 0 Friends 0 Family Collegues Others 30 29 21

Interpretation: While taking financial decision 20% consult friends, 30% consult family,29% consult colleagues and 21% consult by different sources.

Q7 How do you know about Bajaj Allianz Life Insurance Company Limited? Electronic media Agents
60

Print media

Others

21

26

30

31 Electronic media Agents Print media Others

Interpretation: 26% people know through electronic media,31%know through agents,30% know through print media and remain 21% know through other sources like internet .

61

Q8 Are you aware about the following insurance plan ? Endowment Plan Children Plan Money back Plan Pension Plan

30 25 20 15 10 5 0

28 24

29 19

Interpretation: Out of 100 respondent 24% people know about endowment plan,28% know about money back plan,29% know about children plan and remain were known to pension plan 19%.

Q9 Do you perceive that Govt life insurance policy is much more secured than private counterparts ?

62

Yes

No

30 Yes 70 No

Interpretation: 69% people think Govt insurance policy is much secured rather than the private company policy.

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LIMITATIONS OF THE STUDY

Following limitations were faced during the study: 1. While designing the questionnaire it was kept in mind to gather more and more information from each target person. For the neither present nor descriptive questions could have served the purpose. Therefore the questionnaire contained in the open-ended questions. 2. The study was conducted in Bajaj Allianz in hamirpur town , which has 60 to 100 insurance prospects only. The sample size was of 50 insurance care consultants only so that accuracy of data so collected could be absurd covered by circulation of questionnaire. 3. The accuracy of indications given by the respondents may not be consider adequate as whether the language used in the questionnaire is understood by the respondent cannot be taken for granted. 4. The study is based on the information gathered from the insurance care consultants. Therefore in such case it is possible that the information supplied might be biased because the insurance care consultant might have shown partiality towards their insurance policies. Since the survey was limited to 50 insurance prospects it is rather 5. Difficult to give a precise conclusion but I have tried to the best of my capability to give the conclusion on a comprehensive manner.

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FINDINGS
Most of investors not fully aware about Life insurance policies and their advantage. It was found most of the investor prefer, less risk taking saving scheme or fixed deposits. Some of the people, who were related to rural area, did not know about facility for investment of money in Life Insurance Policy schemes. The proportion of investor and non-investor 20% & 80% The investors were interested more in Policies of LIC because it is a Government body. Some of the investors were pleased to know about New FamilyGain and said that it is a very good plan and is very much affordable by middle class people.

SUGGESTIONS & RECOMMENDATIONS

Throughout the project work I have tried to my extent to learn more and more so that I enable myself to deliver the best services from my part. I always focused my services to full satisfaction whether it would for employer or for customer. So during this practical learning process whatever I have realized to improve the division of the company is as follows: Tapping the upcoming market - Semi Urban Market as there is a lot of opportunity. Most of the Life Insurance companies are operating in the metros and big cities as per their present branch office locations. If they have to increase their market size they have to open more distribution centers at the various urban and semi-urban markets. The company always should have proper communication with its front office as well as back office workers to increase the morale and productivity. The company should always have proper planning for gifts/incentives for employees on various occasions or on competitions. Premium and economical class of services should be launched by the company to serve the varied nature of customers. Service cum awareness camps should be run by the company in remote areas. Distribution channel needs more strength. Improvement in services through feedbacks from customers is recommended.

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Objective Questionnaires
Q1 Would you like to get insured ? Yes No

Q2 What according to you is the most important reason for getting insured ? Risk Coverage Saving Tax Benefit

Q3 What factor should you consider when thinking about the amount of life insurance ? Benefit of the plan Future Needs Income Other

Q4 Do you have existing insurance plan ? Yes No

Q5 If yes then who is your insurance ? LIC Private Company

Q6 Whom you consult while taking financial decision ? Friend Collegues Family Other

Q7 Are you aware about the following insurance plan ?

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Endowment Plan Children Plan

Money back Plan Pension Plan much more secured than

Q8 Do you perceive that Govt life insurance policy is private counterparts.? Yes No

Q9 How do you know about Bajaj Allainz Life Insurance Company Limited? Electronic media Print media Agents Others

Q10 How much amount you want to pay in installment anually? Rs. 5000 Rs.15000 Rs.10000 Rs.20000

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CONCLUSION
In my experience while conducting the overall study. I have found that Bajaj Allianz Life Insurance Products offer a huge variety of investment options .Bajaj Allianz caters the need of the customers in the best possible way. Besides providing ambience Bajaj Allianz also provide customers friendly services which attracts customers. But still the Urban market is tapped which leaves semi-urban and rural market untapped. So the company needs to customize there products for both these segments.

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BIBLIOGRAPHY
M.K. PATHAK THE INSURANCY P.M.PARIMAL LIFES SECURITY P.A. AGNIHOTRI WINNING THE BATTLE OF LIFE Volume 3 J. BHATIA LIFE INSURANCE POLICIES
http://www.bajajallianz.com/Corp/index.jsp?gclid=CN7Nxur59qsCF UUa6woduhkesg http://www.bajajallianz.com/Corp/life/life-insurance.jsp www.bajajlife.co.in www.learntv.com www.allainzpolicies.com www.mgtbuzz.com www.bajajallianz.com www.life-insurance.jsp

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