PROJECT REPORT

ON

A STUDY ON MARKETING STRATEGY ADOPTED BY

ICICI PRUDENTIAL
SUBMITTED IN PARTIAL IN PARTIAL FULFILLMENT
FOR THE AWARD OF THE DEGREE OF BACHELOR OF
BUSINESS ADMINISTRATION 2013-16

UNDER THE GUIDENCE OF:

Mr. RAVI JAIN
FACULTY, MAIMS

SUBMITTED BY:
MAYANK GOYAL
07414701713
BBA V SEM

Maharaja Agrasen Institute of Management Studies

Affiliated to Guru Gobind Singh Indraprastha University,
Delhi PSP Area, Plot No. 1, Sector 22, Rohini Delhi 110086

DECLARATION

STUDENT DECLARATION

This is to certify that I have completed this Project titled A Study on

Marketing Strategy adopted by ICICI Prudential under the guidance
of Mr. Ravi Jain in partial fulfillment of the requirement for the award
of degree of Bachelor of Business Administration at Maharaja Agrasen
Institute of Management Studies, Delhi. This is an original piece of work
and I have not submitted it earlier elsewhere.

MAYANK GOYAL
BBA 5TH SEMESTER
07414701713

CERTIFICATE

This is to certify that the project titled A Study on Marketing Strategy

adopted by ICICI Prudential is an academic work done by MAYANK
GOYAL submitted in the partial fulfillment of the requirement for the
award of the degree of Bachelor of Business Administration from Maharaja
Agrasen Institute of Management Studies, Delhi, under my guidance &
direction. To the best of my knowledge and belief the data & information
presented by him in the project has not been submitted earlier.

Mr. RAVI JAIN

FACULTY, MAIMS

ACKNOWLEDGEMENT

Acknowledgement

The satisfaction that accompanies the successful completion of any task

would be incomplete without the mention of the people whose ceaseless
co-operation made it possible and whose constant guidance and
encouragement crown all the efforts with success. I am deeply indebted to
Mr. Ravi Jain, my mentor for the project who guided me throughout my
work with immense interest clearing all my doubts and queries which I
encountered.
I would express my sincere thanks to all the staff members of ICICI
Prudential Life Insurance Company. Without their support, this report
would not be possible.
Last but not the least I would like to thank those person whose
encouragement and ideas enriched my report.

(MAYANK GOYAL)

EXECUTIVE
SUMMARY

EXECUTIVE SUMMARY

Marketing Strategy adopted by ICICI Prudential

In project

I want to find the competent companies of ICICI

Prudential
Services of others companies
According to the data collected and analysis I come to know that LIC
have more customer acquisition as comparative ICICI Prudential
To find out the entities of respondents and their age of business and
turnover they have because on basis of this find out that how that
customer is good for ICICI Prudential
Most of the respondents gave preference LIC because they have faith
on it
Most of people have already attached with LIC

PREFACE

PREFACE
In order to achieve the concrete and positive result practical knowledge
must be their. To fulfill these needs, the management course has a provision
for the practical training program. I shall be thankful to the university to
provide such opportunity so that the students can have the actual feeling of
industrial life.
Theoretical knowledge without practical knowledge is of little value.
I have done my Project Report in ICICI bank with ICICI Prudential Life. I
got ample of opportunities to view overall working and processing of
Insurance in ICICI Prudential Life Insurance.

In the coming pages an attempt has been made to present a comprehensive

report concerning different aspects.

10

CONTENTS

11

CONTENTS
1) INTRODUCTION TO THE INDUSTRY, ORGANIZATION
2) COMPANY PROFILE
3) OBJECTIVES OF THE STUDY
4) LITERATURE REVIEW
5) RESEARCH METHODOLOGY
a) SAMPLING AND SAMPLING DESIGN
b) DATA COLLECTION
6) ANALYSIS OF DATA
7) RESULTS AND FINDINGS
8) RECOMMENDATIONS AND SUGGESTIONS
9) CONCLUSION
10) BIBLIOGRAPHY
11) ANNEXURE

12

INTRODUCTION
TO THE
INDUSTRY

13

INSURANCE AN INTRODUCTION
Insurance may be described as a social device to ensure protection of
economic value of life and other assets. Under the plan of insurance, a large
number of people associate themselves by sharing risks attached to
individuals. The risks, which can be insured against, include fire, the perils
of sea, death and accidents and burglary. Any risk contingent upon these,
may be insured against at a premium commensurate with the risk involved.
Thus collective bearing of risk is insurance.
Insurance is a contract whereby, in return for the payment of premium by
the insured, the insurers pay the financial losses suffered by the insured as a
result of the occurrence of unforeseen events. The term "risk" is used to
describe the possibility of adverse results flowing from any occurrence or
the accidental happenings, which produce a monetary loss.
Insurance is a pool in which a large number of people exposed to a similar
risk make contributions to a common fund out of which the losses suffered
by the unfortunate few, due to accidental events, are made good. The
sharing of risk among large groups of people is the basis of insurance. The
losses of an individual are distributed over a group of individuals.

14

Definitions
General definition
In the words of John Magee, Insurance is a plan by themselves which
large number of people associate and transfer to the shoulders of all, risks
that attach to individuals.

Fundamental definition
In the words of D.S. Hansell, Insurance accumulated contributions of all
parties participating in the scheme.

Contractual definition
In the words of justice Tindall, Insurance is a contract in which a sum of
money is paid to the assured as consideration of insurers incurring the risk
of paying a large sum upon a given contingency.

Characteristics of insurance
Sharing of risks
Cooperative device
Payment on happening of a special event
The amount of payment depends on the nature of losses incurred.
The success of insurance business depends on the large number of
people insured against similar risk.

15

 Insurance is a plan, which spreads the risk and losses of few people
among a large number of people.
The insurance is a plan in which the insured transfers his risk on the
insurer.
Insurance is a legal contract which is based upon certain principles of
insurance which includes utmost good faith, insurable interest,
contribution, indemnity, causes proximate, subrogation, etc.

Functions of insurance
Primary functions
1. Provide protection - Insurance cannot check the happening of the
risk, but can provide for the losses of risk.
2. Collective bearing of risk - Insurance is a device to share the
financial losses of few among many others.
3. Assessment of risk

Insurance determines the probable volume of

risk by evaluating various factors that give rise to risk.

4. Provide certainty - Insurance is a device, which helps to change from

uncertainty to certainty.

Secondary functions
1.

Prevention of losses- Insurance cautions businessman and individuals

to adopt suitable device to prevent unfortunate consequences of risk by
observing safety instructions.

16

2.

Small capital to cover large risks - Insurance relives the

businessman from security investment, by paying small amount of
insurance against larger risks and uncertainty.

FUNDAMENTALS OF INSURANCE
The fundamental Principles of the Insurance are as follows:
Insurable Interest: Insurable interest means the legal right to insure.
Insurable Interest is a must and only then the insurance contract is
enforceable at law. This principle differentiates a Contract of insurance
from wager. Lack of insurable interest renders the contract null and void.
For Insurable Interest to exist there must be Property, Rights, Interest,
Life or Liability; this must be insured and the Insured should have a
legally recognizable relationship thereto. The Insured should be
benefited by the safety of the property or is prejudiced by its loss.
Insurable Interest may arise in the following manner:

1.

Ownership: Absolute ownership entitles the owner to insure the

property. This is the commonest method whereby Insurable Interest
arises.

2. Partial

Interest is also insurable e.g. a mortgagee. A creditor can

also insure the life of his debtor but only to the extent of his loan.
3.

Administrators and executors i.e. officials appointed by a court

of law to take care of a property may also insure the property.
17

4.

Relationship does not automatically constitute insurable interest.

The only relationship recognized by law for this purpose is the one
between a husband and wife.

5.

An employer can insure his employee under a Personal Accident

Policy as he has insurable interest in them.

Proximate cause: Generally, the claims are payable under insurance

policies if they arise out of events which are proximately caused by the
insured perils. In other words, the proximate cause of the event has to be
peril covered by the policy, so as to constitute a valid claim.
Contribution: An insured may have several insurance on the same
subject matter. If he recovers his loss under all these insurance, he will
obviously make a profit out of loss. This will be an infringement of the
principle of indemnity. Common Law has, therefore, evolved the
doctrine of contribution whereby the insured is prevented from
recovering more than his loss, despite his having several insurance on
the subject matter.
Subrogation: The principle of indemnity seeks to prevent the insured
from making profit out of loss. However, it may so happen that that the
insured may recover his loss under his policy and he may also have
rights against third parties. If, after the insurance claim is settled, the
insured is allowed to enforce his rights against third parties and to retain
whatever damages he receives from them, he will certainly make a profit
and the principle of indemnity will be infringed.

18

 Utmost Good Faith: In all General Insurance contracts we know that

a property or interest or liability or life is offered for insurance and the
insured has to take decisions on the acceptance of the proposal. If he
decides to accept the proposal a premium commensurate with the risk
has to be charged. To enable him to take necessary decision in this
regard, the insurer must have certain facts about the risk offered. These
facts influence the judgment of the insurer in deciding about the
acceptance or otherwise of the risk and the rate of premium to be
charged, if accepted. Such facts are known as material facts.

19

Kolkata
Hyderabad

20

DEVELOPMENT OF INSURANCE IN INDIA

A thriving insurance sector is of vital importance to every modern
economy. First because it encourages the savings habit, second because it
provides a safety net to rural and urban enterprises and productive
individuals. And perhaps most importantly it generates long-term investible
funds for infrastructure building. The nature of the insurance business is
such that the cash inflow of insurance companies is constant while the
payout is deferred and contingency related .This characteristic of their
business makes insurance companies the biggest investors in long-gestation
infrastructure development projects in all developed and aspiring nations.
This is the most compelling reason why private sector (and foreign)
companies, which will spread the insurance habit in the societal and
consumer interest, are urgently required in this vital sector of the economy.
In 2012, India was at 14th position.
The study showed insurance penetration in India fell to 3.9 per cent in 2013
compared to four per cent in 2012.
Indias life insurance penetration was 3.1 per cent, while in non-life
insurance it was 0.8 per cent.
Insurance density stood at $52 (about Rs 3,120) compared to $53 (about Rs
3,180) in 2012.
In the world average too, both insurance penetration and density saw a fall.
Globally, premiums written in the global insurance industry grew by 1.4
per cent in real terms to $4,641 billion in 2013 after a 2.5 per cent increase
in 2012, said its latest sigma study.
21

Insurance penetration refers to premiums as a percentage of GDP, whereas

insurance density (measured in $) refers to per capita premium or premium
per person.
The slowdown was primarily due to weakness in the life sector in advanced
markets.
Global life premiums were up only 0.7 per cent in 2013, with weak sales in
North America and the advanced Asian markets offsetting a strong
performance in Western Europe, Oceania and most emerging markets.

NEED FOR GLOBAL INTEGRATION

Recent economic liberalization started few years ago have started bringing
in new investments from global giants and the government was hard
pressed to facilitate global integration by lowering trade barriers for the
free flow of technology, intellectual and financial capital. Additionally,
reforms are essential if the Indian economy is to achieve and sustain a
growth rate of 7 to 8 per cent per annum. Reaching a faster growth path
also implies attracting foreign direct investment inflows of $ 10 Billion
every year, up from the current level of $ 3 to $ 3.5 Billion. Thus
liberalization of insurance creates an environment for the generation of
long-term contractual funds for infrastructural investments.

PRIVATIZATION: START UP STRATEGY

Potential private entrants therefore expect to score in the areas of customer
service, speed and flexibility. They point out that their entry will mean
better products and choice for

the consumer. Critics counter that the

22

benefit will be slim, because new players will concentrate on affluent,

urban customers as foreign banks did until recently.
This might seem a logical strategy from the point of view of new players.
Start-up costs-such as those of setting up a conventional distribution
network-are large and High end niches offer better returns. However, in the
long run 'middle-market' offers the greatest potential as in terms of it is the
second largest market in the world. This may still be an urban market but
goes beyond the affluent segment.

CLASSIFICATION OF INSURANCE
Life is full of uncertainty. Trials and tribulations abound in each and every
aspect of life .No one can truly predict or even estimate what the future has
in store for him. Life offers no guarantee by itself; expect the incidences of
death and taxation.
The lack of security present throughout life can be overcome partially
through insurance. Insurance can never replace or repair a loss. But the
monetary value offered by insurance helps in adjusting to new
circumstances.
Despite offering the innumerable options and immense scope insurance can
be classified into four major categories.

Insurance of a person

Insurance of property

Insurance of interest.

Insurance of liability.

23

Insurance of person
Under the preview of this class of insurance the risk associated with human
life in general can be covered up to the limit specified. The person can
insure his or her life and his health against any unplanned contingencies.
The event of his death his dependents will be reimbursed with the full
amount that he was insured for. Or if the insured person meets with the
accident or suffers from any illness that cripples him forever he will be
compensated with complete sum assured. Any way he may not be able to
lead a normal life again.

Insurance of property
Everyone posses material value in the form of tangible assets. Assets can be
in the form of the landed estate or a vehicle, share holdings or plane old
paper money.
Since tangible property has a physical shape or consistency it is subject to
many risk ranging from fire allied perils to theft and property. An
individuals lifetime of hard work can be wiped out in a blink of an eye.
But if a person judiciously invests in insurance for his property prior to any
unexpected contingency the he will be suitably compensated for his loss as
soon as the extent of damage is ascertained.

24

Insurance of interest
Every individual has to discharge certain specific duties. Everyone is
expected to maintain a standard of conduct but then it is an intrinsic part of
human nature to err. None is infallible and no one will ever be.
Owing to an occasional error or omission committed by us, our clients or
customers might suffer a loss. In turn we might have to pay those damages
for compensation out of our own personal resources.
However, if our chosen professional qualifies for insurance of interest.
Then our insurance policy will be more than sufficient in arranging the
funds and court formalities that might ensue aftermath of legal libel.

Insurance of liability
Every person has to regulate his actions and behavior so as not to cause
injury or damage to other people and their property. Every one is personally
liable for his or her action.
If due to lack of control over his actions or prejudice behavior, a person
incurs any liability then has to provide compensation out of his personnel
resources. Liabilities, Legal, Civil or Criminal can have severe
repercussions on social standing and prestige besides the financial status.

25

Insurance Regulatory and Development Authority (IRDA)

ACT, 1999 Composition of Authority under IRDA Act,
1999
As per the section 4 of IRDA Act' 1999, Insurance Regulatory and
Development Authority (IRDA, which was constituted by an act of
parliament) specify the composition of Authority
The Authority is a ten member team consisting of
(a) A Chairman;
(b)

five whole-time members;

(c)

four part-time members,

(all appointed by the Government of India)

Duties, Powers and Functions of IRDA

Section 14 of IRDA Act, 1999 lays down the duties, powers and functions
of IRDA:
(1)

Subject to the provisions of this Act and any other law for the time

being in force, the Authority shall have the duty to regulate, promote and
ensure orderly growth of the insurance business and re-insurance business.
(2)

Without prejudice to the generality of the provisions contained in sub-

section (1), the powers and functions of the Authority shall include
(a) Issue to the applicant a certificate of registration, renew, modify,
withdraw, suspend or cancel such registration;
(b) protection of the interests of the policy holders in matters concerning
assigning of policy, nomination by policy holders, insurable interest,

26

settlement of insurance claim, surrender value of policy and other terms

and conditions of contracts of insurance;
(c) Specifying requisite qualifications, code of conduct and practical
training for intermediary or insurance intermediaries and agents;
(d) Specifying the code of conduct for surveyors and loss assessors;
(e) Promoting efficiency in the conduct of insurance business;
(f) Promoting and regulating professional organizations connected with the
insurance and re-insurance business;
(g) Levying fees and other charges for carrying out the purposes of this
Act;
(h) Calling for information from, undertaking inspection of,
Conducting enquiries and investigations including audit of the insurers,
intermediaries, insurance intermediaries and other organizations connected
with the insurance business;
( I ) control and regulation of the rates, advantages, terms and conditions
that may be offered by insurers in respect of general insurance business not
so controlled and regulated by the Tariff Advisory Committee under section
64U of the Insurance Act, 1938 (4 of 1938);
(j) Specifying the form and manner in which books of account shall be
maintained and statement of accounts shall be rendered by insurers and
other insurance intermediaries;
(k) Regulating investment of funds by insurance companies;
(l) Adjudication of disputes between insurers and intermediaries or
insurance intermediaries;

27

(m) Supervising the functioning of the Tariff Advisory Committee;(n)

Specifying the percentage of premium income of the insurer to finance
schemes for promoting and regulating professional organizations referred
to in clause (f);

INDIAN INSURANCE INDUSTRY

Insurers
Insurance industry, as on 1.4.2000, comprised mainly two
players: the state insurers:
Life Insurers
Life Insurance Corporation of India (LIC)
General Insurers

General Insurance Corporation of India (GIC) (with effect from Dec'2000, a

National Reinsure)

GIC had four subsidiary companies, namely (with effect from Dec'2000, these
subsidiaries have been de-linked from the parent company and made as independent
insurance companies.
1. The Oriental Insurance Company Limited
2. The New India Assurance Company Limited,
3. National Insurance Company Limited

Yr: 2000-2001: (From 2nd April '2000 to 31st December'2001)

Insurance Industry in the year 2000-2001 had some new entrants in Life insurance as
well as in General insurance, namely:

Life Insurers
1. ICICI Prudential Life Insurance
28

2. Max New York Life Insurance

3. HDFC Standard Life
4. Birla Sun Life
5. SBI Life Insurance
6. Kotak Old Mutual Life Insurance
7. Aviva Life Insurance
8. Reliance Life Insurance
9. Tata AIG Life
10. Met Life India Insurance

General Insurers
1. Royal Sundaram Alliance Insurance Company Limited
2. Reliance General Insurance Company Limited.
3. IFFCO Tokio General Insurance Co. Ltd
4. TATA AIG General Insurance Company Ltd.
5. Bajaj Allianz General Insurance Company Limited
6. ICICI Lombard General Insurance Company Limited.
7. Cholamandalam General Insurance Company Ltd.
8. Export Credit Guarantee Corporation Ltd.
9. Export Credit Guarantee Corporation Ltd.

INSURANCE BUSINESS Insurance business is divided into four

classes:
1) Life Insurance
2) Fire Insurance
3) Marine Insurance and
4) Miscellaneous Insurance.
29

Life Insurers transact life insurance business; General Insurers transact the
rest.
No composites are permitted as per law.

LEGISLATION (as on 1.4.2000):

Insurance is a federal subject in India. The primary legislation that deals
with insurance business in India is: Insurance Act, 1938, and Insurance
Regulatory & Development Authority Act, 1999.

INSURANCE PRODUCTS (as on 1.4.2000) (for latest information

get in touch with the current insurers website information of insurers is
provided at the web page for insurers):

Life Insurance
Popular Products: Endowment Assurance (Participating) and Money Back
(Participating). More than 80% of the life insurance business is from these
products.

General Insurance
Fire and Miscellaneous insurance businesses are predominant. Motor
Vehicle insurance is compulsory.
Tariff Advisory Committee (TAC) lays down tariff rates for some of the
general insurance products

30

New products have been launched by life insurers. These include linkedproducts. For details, please visit the websites of life insurers.

COMPANY PROFILE

31

COMPANY PROFILE
ICICI Life Insurance Company is a joint venture between ICICI Bank, a
premier financial powerhouse, and prudential plc, a leading international
financial services group headquartered in the United Kingdom. ICICI
Prudential was amongst the first private sector Insurance companies to
begin operations in December 2000 after receiving approval from
Insurance Regulatory Development Authority (IRDA).
ICICI Prudential Life's capital infused stands at Rs. 48.16 billion (as of
March 31, 2015) with ICICI Bank Ltd. and Prudential plc holding 74% and
26% stake respectively. For the financial year 2015, the company garnered
a total premium of Rs. 153.07 billion. The company has assets under
management of Rs. 1001.83 billion as on March 31, 2015.
For over a decade, ICICI Prudential Life has maintained its dominant
position (on new business retail weighted basis) amongst private life
insurers in the country, with an array of products to match the different life
stage requirements of customer and enable them to achieve their long term
financial goals.

PROMOTERS
ICICI Bank
ICICI Bank is India's largest private sector bank with total assets of Rs.
6,461.29 billion (US$ 103 billion) at March 31, 2015 and profit after tax
Rs. 111.75 billion (US$ 1,788 million) for the year ended March 31, 2015.
ICICI Bank currently has a network of 4,050 Branches and 13,082 ATM's
across India.
32

PRUDENTIAL PLC
Established in London in 1848, Prudential plc is an international retail
financial services group with significant operations in Asia, the US and the
UK serving around 25 million customers, policyholder and unit holders
worldwide. The company has 290 billion of assets under management and
it is one of the best capitalized insurers in the world with an Insurance
Groups Directive (IGD) capital surplus estimated at 3.4 billion (at 31
December 2009). Prudential is a leading life insurer in Asia with a presence
in 12 markets and have the top three positions in seven key locations of
Hong Kong, India, Indonesia, Malaysia, Singapore, the Philippines and
Vietnam.

ICICI PRUDENTIAL LIFE INSURANCE COMPANY

LIMITED
ICICI Prudential Life Insurance Company is a joint venture between ICICI
Bank, a premier financial powerhouse, and prudential plc, a leading
international financial services group headquartered in the United
Kingdom. ICICI Prudential was amongst the first private sector insurance
companies to begin operations in December 2000 after receiving approval
from Insurance Regulatory Development Authority (IRDA).
ICICI Prudential Life's capital stands at Rs.4,780 corers (as of March 31,
2010) with ICICI Bank and Prudential plc holding 74% and 26% stake
respectively. For the period April 1, 2009 to March 31, 2010, the company
has garnered total premium of Rs 16,532 corers and has underwritten over
33

10 million policies since inception. The company has assets held over
Rs.57,000 corers as on March 31, 2010.For the past nine years, ICICI
Prudential Life has retained its leadership position in the life insurance
industry with a wide range of flexible products that meet the needs of the
Indian customer at every step in life.

DISTRIBUTION
ICICI Prudential Life has one of the largest distribution networks amongst
private life insurers in India. It has a strong presence across India with over
1,900 branches (including 1,074 micro-offices) and an advisor base of over
210,000 (as on March 31, 2010).
The company has 7 banc assurance partners having tie-ups with ICICI
Bank, Ratanagiri District Central Co-op Bank, Ballia Kshetriya Cooperative Bank, Renuka Nagrik Sahakari Bank, Bhandara Urban Cooperative Bank, Balasinor Nagarik Sahakari Bank Limited, Arvind Co-op
Bank.

COMPANYS VISION AND VALUES

Our Vision
To be the dominant Life, Health and Pensions player built on trust by
world-class people and service.
This we hope to achieve by:

34

 Understanding the needs of customers and offering them superior

products and service
Leveraging technology to service customers quickly, efficiently and
conveniently
Developing and implementing superior risk management and
investment strategies to offer sustainable and stable returns to our
policyholders
Providing an enabling environment to foster growth and learning for
our employees
And above all, building transparency in all our dealings
The success of the company will be founded in its unflinching
commitment to 5 core values -- Integrity, Customer First, Boundary less,
Ownership and Passion. Each of the values describes what the company
stands for, the qualities of our people and the way we work.
We do believe that we are on the threshold of an exciting new opportunity,
where we can play a significant role in redefining and reshaping the sector.
Given the quality of our parentage and the commitment of our team, there
are no limits to our growth.

Our Values
Every member of the ICICI Prudential team is committed to 5 core values:
Integrity,
Customer First,
Boundary less,
35

 Ownership, and
Passion.
These values shine forth in all we do, and have become the keystones of
our success.

THE ICICI PRUDENTIAL EDGE

The ICICI Prudential edge comes from our commitment to our customers,
in all that we do - be it product development, distribution, the sales process
or servicing. Here's a peek into what makes us leaders.

1. Our products have been developed after a clear and thorough

understanding of customers' needs. It is this research that helps us develop
Education plans that offer the ideal way to truly guarantee your child's
education, Retirement solutions that are a hedge against inflation and yet
promise a fixed income after you retire, or Health insurance that arms you
with the funds you might need to recover from a dreaded disease.
2. Having the right products is the first step, but it's equally important to
ensure that our customers can access them easily and quickly. To this end,
ICICI Prudential has an advisor base across the length and breadth of the
country, and also partners with leading banks, corporate agents and brokers
to distribute our products.

36

3. Robust risk management and underwriting practices form the core of

our business. With clear guidelines in place, we ensure equitable costing of
risks, and thereby ensure a smooth and hassle-free claims process.
4. Entrusted with helping our customers meet their long-term goals, we
adopt an investment philosophy that aims to achieve risk adjusted returns
over the long-term.
5. Last but definitely not the least, our team is given the opportunity to
learn and grow, every day in a multitude of ways. We believe this keeps
them engaged and enthusiastic, so that they can deliver on our promise to
cover you, at every step in life.

BRIEF PROFILE OF THE BOARD OF DIRECTORS

The ICICI Prudential Life Insurance Company Limited Board comprises
reputed people from the finance industry both from India and abroad.
Ms. Chanda D. Kochhar, Chairperson
Mr. N. S. Kannan, Director
Mr. K. Ramkumar, Director
Mr. Barry Stowe, Director
Mr. Adrian OConnor, Director
Mr. Keki Dadiseth, Independent Director
Prof. Marti G. Subrahmanyam, Independent Director
Ms. Rama Bijapurkar, Independent Director
Mr. Vinod Kumar Dhall, Independent Director
37

MANAGEMENT TEAM
The ICICI Prudential Life Insurance Company Limited Management team
comprises reputed people from the finance industry both from India and
abroad.

Dr. Avijit Chatterjee

Appointed Actuary
ICICI Prudential Life Insurance Company Limited

Avijit Chatterjee is Appointed Actuary of ICICI Prudential Life Insurance

where he has overall responsibility for statutory reporting, risk appetite,
pricing, valuation, reinsurance, etc. In addition to his role as Chief Actuary,
Avijit will also be responsible for the entire Risk framework for the
company along with internal audit and legal departments. He has been with
the company since September 2007.

Prior to joining ICICI Prudential Life, Avijit spent 15 years in various

positions in one of UK's leading life insurance company. His areas of work
38

included group-wide capital management, product supervision,

management of the group actuarial team and providing actuarial input on
all material transactions conducted by group entities.

Avijit holds a Ph.D. in pure mathematics is a Fellow of the Faculty of

Actuaries (FFA) in Scotland and is also a Fellow of the Institute of
Actuaries of India (FIAI).

Mr. Puneet Nanda

Executive Vice President
ICICI Prudential Life Insurance Company Limited

Mr. Puneet Nanda is Executive Vice President at ICICI Prudential Life

Insurance Company. He looks after the Corporate Center which includes
Investment Management, Human Resources, Finance and Accounts,
Compliance, Investor/analyst relationship, Business Intelligence and
Corporate Strategy, Product Development, Corporate Communications and
Sales Strategy.

39

Mr. Nanda has been with the company since inception and was the Chief
Investment Officer responsible for the setting up and managing the
investment function prior to getting elevated to his current role.
Prior to joining ICICI Prudential, Mr. Nanda has worked with a leading
investment bank and an international financial services company.
Mr. Nanda is an engineer by qualification and has also completed his Post
Graduate Diploma in Management from the Indian Institute of
Management, Lucknow in 1994.

RECOGNITIONS
ICICI Prudential Life was recognized as the most trusted
brand amongst private life insurers in the Economic TimesMost Trusted Brand survey 2008.
IMM Award for Excellence. Institute of Marketing &
Management
Organization with Innovative HR Practices. Indira Group of
Institutes
Organization with Innovative HR Practices. Asia-Pacific H R
Congress Awards for HR Excellence

40

PRODUCTS OF ICICI PRUDENTIAL

ICICI Prudential Life Insurance offers a range of innovative,
customer-centric products that meet the needs of customers at every
life stage. Its products can be enhanced with upto 4 riders, to create a
customized solution for each policyholder.

SAVINGS & WEALTH CREATION PRODUCTS

1. Cash Bak
2. Save n Protect
3. Life Time Super & Life Time Plus
4. Life Link Super
5. Premier Life Gold

CHILD PLANS
Education Insurance under Smart kid

RETIREMENT SOLUTIONS
1. Forever Life
2. Lifetime Super Pension
3. Life Link Super Pension
4. Immediate Annuity

HEALTH SOLUTIONS
1. Health Assure and Health Assure Plus
2. Cancer Care
3. Diabetes Care
41

GROUP INSURANCE SOLUTIONS

1. Group Gratuity Plan
2. Group Superannuation Plan
3. Group Immediate Annuities
4. Group Term Plan

FLEXIBLE RIDER OPTIONS

1. Accident & Disability Benefit
2. Critical Illness Benefit
3. Income Benefit
4. Waiver of Premium

42

OBJECTIVES
OF THE
STUDY

43

OBJECTIVES OF THE STUDY

To know how to face the problem of corporate world.

To face original market situations and to gain real marketing
experience.
To enhance the knowledge and skills by working in particular
company.
To apply the theoretical knowledge in corporate sector.
To collect information of other life Insurance Companies.
To face the problem of corporate world and tackle them in polite
way.
To educate the customers about facilities provided by ICICI
Prudential.
To get suspect convinced and convert into Prospect.

44

LITERATURE
REVIEW

45

LITERATURE REVIEW
The literature review includes the academic books, journals, internet
access, magazines etc.

ICFAI reader-October 2006 (Page no. 58-60) It guided me to know

about the growth of the Insurance sector over the last few years.

Gupta S.P. . The information regarding the statistical tools and

their limitations in different fields the research is given in this
section. This section explains why to use correlation and what are
the situations in which correlation can be used, and what does
correlation means.

Schaums: Statistical Methods- Sultan Chand Publication The

information regarding the statistical tools and their limitations in
different fields the research is given in this section. This section
explains why to use trend analysis and what are the situations in
which correlation can be used, and what does correlation means.

Beri G.C.- Marketing Research 3rd edition : This book helped in

understanding the different research designs and analytical tools
used here.

Kothari C.R. The information regarding the basics of research

and research methodology , what are the different types of research
designs, what is problem statement, what are the sources of data
collection and what are the methods of data collection is given in
46

this section

Nalini Prona Tripathy: Insurance Theory & Introduction of

Insurance, their advantages, disadvantages and various types have
been taken from it.

Whats the need of Life insurance, I read it from The Mc-Graw

Hill Investors Desk Reference , Mc-Graw Hill Publications, Ellie
Williams Clinton

47

RESEARCH
METHODOLOGY

48

RESEARCH METHODOLOGY
Research is common refers to search for knowledge. It is the pursuit of
truth with the help of study, observation, composition and experiment.
Research methodology is a systematic way to solve the research
problems. It helps in studying the various steps that are adopted by the
researcher to study the research problems along with the logic behind the
It describe mail what must be done, how will be done. What data will be
needed and how the data will be analyzed.

Sample Design
Sample size:

150

Source of data: Both primary and secondary data used

Primary data: Filled questionnaires from 150 respondents
Secondary data: Through internet.

Sampling Plan
The following factors have to be decided with in the scope of the
sampling plan.

Sampling Unit

49

The unit refers to the definitions of the particular person who is to be

survey.

DESCRIPTIVE RESEARCH
Descriptive research includes surveys and fact-finding enquires of
different kinds. The major purpose of descriptive research of the sate of
affairs as it exits at present. In social science and business research, we
quite often use the term Ex post facto research for descriptive research
studies.

SAMPLING PROCEDURE
This refers to the procedure by which the respondents should be chosen.
In order to obtain a representative sample, a probability sample of the
population was drawn. Probability sampling can be of the following
types.
Simple random sample
Stratified random sample.
Cluster (area) sample.
In this case, simple random sampling was done.

50

FORMATION OF QUESTIONNAIRE
Quite often the questionnaire is considered as the heart of a survey
operation. Hence it should be carefully constructed. in the words of good
and Hatt, "In general, the word questionnaire refers to a device for
securing answers to questions by using a form which the respondent fills
in himself." All the questions in a questionnaire are framed with a
specific objective in mind and are placed in logical, sequential order.
The questionnaire framed for the purpose of the study consists of a
limited number of questions placed in a logical order. The questions
were framed keeping in mind the educational and social background of
the companies dealers. The questions were both open and closed ended
as well as multiple choices.

51

ANALYSIS OF DATA

52

ORGANISING THE DATA

The data collected during data collection process are organized and
presented in a comprehensible sequence to make them more
meaningful.

PRESENTATION OF DATA
After the data has been properly organized, it is ready for
presentation. There are different modes of presentation like tables,
charts etc. The main objectives of presentation are to put collected
data into an easy readable form.

ANALYSIS OF DATA
After organizing and presenting the data, the researchers then have
to proceed towards conclusion by logical inferences. The raw data
is then analyzed:
By bringing raw data to measured data.
Summarizing the data.

INTERPRETATION
Interpretation means to bring out meaning of data or to convert
mere data into information. From the analysis of data the various
conclusions are find out on the basis of logical inferences.

CLASSIFICATION OF DATA

53

If refers to the process of arranging data into homogenous classes.

Subsequent to the collection of data, the results were sorted out and
arranged in different categories like Graph, Table etc.

1. Entity of business

Constitution
Sole proprietorship
Partnership
Job
Other

Data
43
28
57
22

Interpretation: The above data shows that out of 150 peoples most of the
people are with the job.43 peoples are with the sole proprietorship, 28
peoples are with the partnership and 22 people are with others.

54

2. Time period of business

Below 10
10-20
20-50

78
27
43

More than 50

Interpretation: The above data shows that out of 150 peoples the most
of the peoples are with the below 10 then 20-50 after that 10-20 and
the rest with more than 50.

55

3. Your Turnover
Below 5
5-10
10-25
More than 25

112
31
6
1

56

Interpretation: The above data shows that out of 150 peoples the highest
turnover is below 5 after that 5-10, than 10-25 and rest with more than
25.

4. Having Insurance
Yes
No

89
61

57

Interpretation: The above data shows that out of 150 peoples 89 peoples
are having insurance and 61peoples are not having insurance

5. Company of Insurance
Company

Data
58

ICICI Prudential
Reliance Life
SBI LIFE
Any Other

56
9
4
81

Interpretation: The above data shows that out of 150 peoples 56 with
ICICI prudential, 9 with relinnce, 4 with SBI LIFE, and 81 with any
other.

6. Product
59

Traditional
ULIP

8
48

Interpretation: The above data shows that 8 products are traditional

and 48 products are ULIP.

7.

If traditional then which product

60

Cash Bak
Save n Protect
Smart Kid
Any Other

2
1
3
2

Interpretation: The above data shows that out of 8 products 2 are

cash bak 1 are save and protect 3 are smart kid and 2 are any other

8. If ULIP then which product

61

Smart Kid
Life Time Super
Life Time Super Pension
Any Other

10
24
5
9

Interpretation: The above data shows that out of 48 products 10

with smart kid,24 with life time super, 5 with life time super pension
and 9 with any other.

62

9. Growth of money

Yes
No
Still waiting for the result
Cant say

10
24
5
9

Interpretation: The above data shows that 10 with yes, 24 with no, 5
with still waiting for result, 9 with cannot say
63

10. Tell to others

Of Course Yes
Depends on heir needs
Never

33
20
3

64

65

Interpretation: The above data shows that 33 with yes, 20 with

depends on heir needs and 3 with never.

11. Satisfaction
Yes
No

135
15

66

Interpretation: The above data shows that out of 150 peoples 135
peoples are satisfied and 15 peoples are not satisfied.

67

LIMITATIONS OF THE STUDY

Shortage of time- The main limitation I come across is shortage
of time I have short time to collect data and analyze the
problem and come to the solution.
Primary data collected totally dependent on the respondents
view - Data collected from respondents is totally their opinion
and it may be biased in nature and may not represent the
truth.
Since the study is wide in nature and cant be taken for
consideration- The study is big in nature and data collected is
only from NCR people so it cant be taken into consideration
for whole ICICI Prudential and its branches.
People were reluctant to join this job, as it doesnt provide any
fixed salary.
People perceived this profession as a low status profession.

68

RESULTS AND
FINDINGS

69

FINDINGS
Analysis of a research project is based on the primary data and
secondary data which is being collected from various sources to take out
some conclusions of the research study being taken. In my project my
purpose was to find the market credibility of ICICI Prudential Life
Insurance among various other private life insurance companies. For this
a population of 50 people was being interviewed having different
lifestyles, different incomes, different occupations yet the point which
was kept in mind was that this interviewed population was insurable.

The questionnaire filled up by people revealed that nearly 36 people i.e.

about 72% people have life insurance policies. This is due to the fact that
people now have started realizing that life is very uncertain and it is
advisable to have a life insurance policy. Nearly, 24 % people had ICICI
policy and 20% people have Reliance Money as their life insurance
policy. Firstly, when enquired about the perception of people about
insurance policies, nearly 39 people i.e. about 78% people see it as a
security option for their families financially so that if they are not alive
some day, their family does not go in vain. While 11 people i.e. about
22% people see it an investment option to save taxes and get returns.
Secondly, when asked about their investments in various alternatives, 18
70

people gave life insurance policies their first preference for investment.
This clearly shows that people are risk averse to a large extent as largest
numbers of people like to invest in life insurance policies to make sure
that there is security. Thirdly, when they were asked about the criterion
of choosing a life insurance company 15 people replied that they see the
security point of view to buy a life insurance company. 5 people chose
time span as the criteria to choose a life insurance company. 2 people
chose the market share of the company as the preferred criteria of
choosing the life insurance company. 8 people chose the returns of life
insurance companies as the criteria for choosing a life insurance
company. Nearly, 20 people chose all the above mentioned reasons to
choose a life insurance company.
When the sample population was interviewed about their 1 st preference
among the pvt. Players, nearly 46 % people chose Reliance Money as
the 1st insurance company, 24 % people chose ICICI Prudential as the 1 st
preference, and 16 % chose SBI LIFE as the 1 st insurance company.
Only after 2000, private companies have come in the field of Life
Insurance Company. Proceeding further, when sample population was
asked to recognize the punch line of ICICI nearly 60 % of the population
was able to recognize the punch line of ICICI which clearly indicates
that ICICI is a well known life insurance company among the people.
Followed by it, when sample size was interviewed about the reasons of
71

famousness of ICICI 16 % of people chose its policies as the reason for

its famousness, 20% people chose its parent companies as the reason for
its popularity, 24 % agreed for its marketing and advertising strategies to
be the prime cause of its popularity among masses. When asked about
the satisfaction with the existing insurance policies nearly 69% people
said that they are satisfied with their policy whereas only 31% people
were not satisfied with their policy.
They wanted the additional features of transparency about the returns
after when they have stopped paying the premiums. Also they wanted
higher rate of returns at the end of payment of premiums.

72

RECOMMENDATIONS
AND
SUGGESTIONS

73

SUGGESTIONS
Agents are the lifeblood of the insurance industrys distribution channel.
They are the main forces that bring business to the company. Unless and
until the agents are qualified and have the caliber to understand the
current market scenario, they cannot remain long in the business. Hence,
an optimally selected sales force is the need for the hour, for the industry
like insurance.
The following are the recommendations to the company:
1. There should be weekend batches of training for the people who
cannot take their full six days of the week from their busy
schedule.
2. Anything can click in this line of work and hence the company
should evaluate the candidates subjectively.
3. Advertisements should be given in newspapers so that number
people should come for the interview.
4. Various MBA institutes should be targeted to get people with good
marketing as well as interpersonal skills.
5. There should be some fixed salary with some fixed targets.

74

CONCLUSION

75

CONCLUSION

The needs of the nation and its people have finally prevailed and
privatization of insurance is now a really towards further liberalization
of the Indian economy. With the opening up of the Industry after
reforms, private sector operators in collaboration with their overseas
partners are likely to bring in a more professional and focused approach.
Hence, in this millennium, insurance industry is likely to play an
important role in changing the economic landscape of the country.
However the success of the Insurance industry will primarily depend
upon meeting the rising expectations of the consumers who will be the
real king in the liberalized Insurance market in future.

76

BIBLIOGRAPHY

77

BIBLIOGRAPHY

BOOKS:1)
2)
3)
4)

Chhabra T.N
Sharma D.D
Kotler Philip
Sherlekar S.A

Marketing Management
Marketing Research
Marketing Management
Marketing Management

MAGAZINES:1)

Annual Report of the Company

2)

Journals & Catalogues of the company

WEB:1)

www.iciciprulife.com

2)

www.financialexpress.com

3)

www.insuranceguide.com

4)

www.irdaindia.com

5)

www.Insuremagic.com

6)

www.indiacore.com

78

ANNEXURE

QUESTIONNAIRE

79

NAME
AGE

:
:

INCOME
SEX

:
:

OCCUPATION

PHONE NO.

Q1) Entity of your business

a) Sole proprietorship
c) Job

b) Partnership
d) Individual

Q2) Since how long you are in this business?

a) Below 10 years
c) 20-50 years

b) 10-20 years
d) More than 50

Q3) Your turnover

a) Below 5 lakh
c) 10-25 lakh

b) 5-10 lakh
d) more than 25 lakh

Q4) Have you insured yourself?

a) Yes

b) No

Q5) If yes then of which company insurance policies do you have?

a) ICICI Prudential
India
c) HDFC standard life insurance

b) Life insurance corporation of

d) any other

Q6) Which product do you have?

a) Traditional Products

b) Unit Linked Insurance Plans

80

Q7) If traditional then which product do you have?

a) Cash Bak
c) Smart Kid

b) Save n Protect
d) any other

Q8) If Unit linked then which product do you have?

a) Smart Kid
c) Life time super pension

b) Life time super

d) any other

Q9) Do you think that your money is growing according to you ?

a) Yes
c) Still waiting for the result

b) No
d) cant say

Q10) would you suggest any of your family members, friends and
relatives to go for ICICI Prudential ?
a) Of Course yes
c) Never

b) Depends on their needs

Q11) Are you satisfied with the insurance plan you have?
If yes, why------------------------------------------------------------------If no why, -------------------------------------------------------------------

PLACE:_________________
DATE:__________________

81

CERTIFICATE

82