“PRODUCT PROMOTION OF MAX LIFE INSURANCE”

A Project Report Submitted

at

ALIGARH MUSLIM UNIVERSITY,KISHANGANJ CENTRE

Submitted by

(SHUBHAM PATHAK)

(Roll no:-50)

Under the guidance of

Dr. D. Y. Patil Vidyapeeth,

Pimpri, Pune – 411018.
2013-2015

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 CERTIFICATE

This is to certify that Mr. Rohit Kumar Pande y has worked on the topic

“PRODUCT PROMOTION OF MAX LIFE INSURANCE in at Prof.Tapati

Sarmah

under my guidance. This project is a research outcome conducted by him/her as part of their

curriculum during the summer internship.

Signature
Name & Designation of the guide

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 DECLARATION

I declare that the project entitled “PRODUCT PROMOTION OF MAX

LIFE

INSURANCE” submitted by me as a part of my curriculum for the award

of

Master of Business Administration at

Global Business School & Research Centre, Faculty of Management, Dr.

D.

Y. Patil Vidyapeeth, Pune, is a original work done by me and has not been submitted

previously anywhere.

Date: -
Signature of Student

Place: - (Rohit Kumar Pandey)

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 CONTENTS

· Acknowledgement

· Preface
· Executive Summary
1) INTRODUCTION TO TOPIC

1.1 Functions of insurance

Primary functions
Secondary functions

Other function

1.2 Classification of insurance

Life insurance

Non Life – General insurance

1.3 Types of policies
1.4 Contribution to Indian economy
1.5 Insurance industry prior to de - regulation
2) Introduction to MAX LIFE INSURANCE COMPANY
2.1 Classification of Insurance
2.2 Types of Policies

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 2.3 Functions of Insurance
2.4 Contribution to Indian Economy
2.5 Company Profile
2.6 Insurance Management Solution
2.7 Types of Business Proposals
3) RESEARCH METHODOLOGY
3.1 Objective of the Study
3.2 Scope of the Study
3.3 Data Collection
3.4 Data Analysis
3.5 Limitations
4) DATA ANALYSIS AND INTERPRETATION
4.1 Findings

5) RECOMMENDATIONS

5.1 Conclusion
6) Bibliography
7) Annexure
8) Questionnaire

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 ACKNOWLEDGEMENT

The summer project at Max Life Insurance has been a very memorable and unique experience
for me. It opened up new venues of grabbing knowledge, which will certainly stand me
helpful in the years to come.
It gives me immense privilege and pleasure in expressing my sincere gratitude and
heartfelt thanks to Mr. Kirran Nagwade for giving me the opportunity to work in his reputed
organization. I would also like to extend my thanks to all other staff at MAX LIFE
INSURANCE who have co-operated and supported me towards the successful completion of
this project.
My sincere regards and gratitude to our faculty for giving me support throughout my
M.B.A. degree and thus made me capable of being worthy of recognition.

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 I am extremely indebted and too thankful to my project guide Prof. Tapati Sarmah ,
who has been most co-operative and encouraging throughout this project. Without her
initiative and constant support this project wouldn’t have taken place.

Last but not the least I am very grateful to all the advisors who took out some
invaluable time out of their busy schedule and they responded to my questionnaire and queries
and provided me with all the valuable information.

PREFACE

These are the days of the advertising world and not the self-promoting world. Advertising is
one of the very few essential assets allocating concept which is growing at its zenith rate to
bring prosperity and progress to the teeming millions of countries where people run after jobs.
Equally important is the role of insurance advisors, where the investment field supports
advisors and takes insurance companies to boom, and gleam and yield best results.
I am really happy to present this project before the teachers as it gives me an incorporated base
for further education and knowledge of the worldly scenarios of the insurance industry.
I have tried my best to bring to you the latest picture of the various plans of M L and
insurance practices.

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The sections and its included chapters are cordially arranged for the smooth flow of the
subject matter both for ingestion and digestion. I carried out the survey myself along with the
summarization and conclusion of the survey. For the other material I have freely drawn the
material from internet sites and books to bring to you the latest picture of the insurance
industry. Hence, I do not claim any originality, except for my style of presentation and the
survey part.
I am very thankful to Prof.Tapati Sarmah, MBA, GBSRC College, who took the burden to
explain me the movement of the project so that I could bring out the best possibility.
I have tried to be, as far as perfect: yet the dirty minds always tend to intervene keeping you in
a disguised state to any fault. Hence, I request all teachers to bring to my notice any such
mistakes or any facts so that I can rectify them and increase my knowledge base. I welcome
every suggestion regarding the project matter and status as I believe in the proverb

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 EXECUTIVE SUMMARY

TITLE: “PRODUCT PROMOTION OF MAX LIFE INSURANCE”

SCOPE: Scope of this project includes a survey being conducted on

MAX LIFE INSURANCE and an interpretation done of its market stand and promotion
required.

OBJECTIVE: Identify the areas where the performance of Max Life Insurance can be
improved. Study the perception of the consumers about the company.

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 In insurance companies recruitment of Financial Consultant plays a very important role
to generate high sales. The overall business depends upon the Financial Consultant. So to
understand the sales performance of Financial Consultant evaluation program plays vital role.
Life insurance companies offer their services to the customers through the agents and
Financial Consultant. So Financial Consultant plays a very important role for Company.
Because Financial Consultant is the only persons who approach to the customers,
understand their needs, problems. So the overall business depends upon consumers. For this
purpose this Project is carried out to analysis sales performance through Financial Consultants
which is an endless procedure for organization for the awareness among consumers.

STATEMENT OF THE PROBLEM: This study was undertaken to identify how the
consumers react to different plans offered by Max Life Insurance. It is primarily known to the
company that the main work is to generate maximum sales. To access up-to-date information
the Max Life Insurance. keeps a track about its customers, relationships and the market
situation, helps in answering question such as what is the market potential for my product,
how are my customers behaving, and how efficient are my sales process?

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 INTRODUCTION

Life insurance is a form of insurance that pays monetary proceeds upon the death of the
insured covered in the policy. Essentially, a life insurance policy is a contract between the
named insured and the insurance company wherein the insurance company agrees to pay an
agreed sum of money to the insured's beneficiary. With a large population and the untapped
market area insurance happens to be a very big opportunity in India. Today it stands as a
business

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growing at the rate of 15-20% annually. Together with banking services, it adds about 7
percent to the country’s GDP. In spite of all this, the growth statistics of the penetration of the
insurance in the country is very poor. Nearly 80% of Indian population is without life and
health insurance cover. This is an indicator that growth potential for the insurance sector is
immense in India. It was due to this immense growth that the regulations were introduced in
the insurance sector and in continuation “Malhotra Committee” was constituted by the
government in 1993 to examine the various aspects of the industry. The key element of the
reform process was participation of overseas insurance companies with 26% capital. Creating
a more competitive financial system suitable for the requirements of the economy was the
main idea behind this reform.
Since then the insurance industry has gone through many changes. The liberalization
of the insurance industry has never looked back and today stand as one of the most
competitive and exploring industry in India. The entry of the

private players and the increased use of the new distribution are in the limelight today.
The use of new distribution techniques and the IT tools has increased the scope of the industry
in the longer run. Insurance is the business which provides protection against financial aspects
of risk, such as those to property, life, health and legal liability.
In insurance the insured makes payment called “premiums” to an insurer, and in
return is able to claim a payment from the insurer if the insured suffers a defined type of
loss. This relationship is usually drawn up in a formal legal contract.

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CLASSIFICATION OF INSURANCE

The insurance industry in India can broadly classified in two parts. They are.
1) Life insurance.
2) Non-life (general) insurance.

LIFE INSURANCE

Life insurance can be defined as “insurance that provides a sum of money if the person who is
insured dies while the policy is in effect”. In 1818 British introduced to India, with the
establishment of the oriental life insurance company in Calcutta. The first Indian owned Life
Insurance Company was the Bombay mutual life assurance society which was set up in
1870. The life insurance act, 1912 was the first statuary measure to regulate the life insurance
business in India. In 1983, the earlier legislation was consolidated and amended by the
insurance act, 1938, with comprehensive provisions for detailed effective control over
insurance. The union government had opened the insurance sector for private participation in
1999, also allowing the private companies to have foreign equity up to 26%. Following the
opening up of the insurance sector, 12 private sector companies have entered the life insurance
business.

Need for life Insurance

The need to safeguard the family brings in the need for life insurance. Today insurance has
become even more important due to the disintegration of the prevalent joint family system, in
which a number of generations co-existed in

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harmony, and a system in which a sense of financial security was always there as there were
more earning members.
Times have changed and the nuclear family has emerged. Apart from other pitfalls of a nuclear
family, a high sense of insecurity is observed in it today besides, the family has shrunk. Needs
are increasing with time and fulfillment of these needs is a big question mark.
How will you be able to satisfy all those needs? Better lifestyle, good education, a long desired
house. But again one just cannot fritter away all your earnings. You need to save a part of it
for the future too – a wise decision. This is where insurance helps. Factors such as fewer
number of earning members, stress, pollution, increased competition, higher ambitions etc are
some of the reasons why insurance has gained importance and where insurance plays a
successful role.
Life Insurance ensures that a person gates better prepared to face the uncertainties in the
following 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.

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 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 the 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 lump sum amount on maturity. A policy can come in really handy at the time of your
child’s education or marriage! Besides, it can be used as supplement retirement income!
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!

Why is insurance superior to other forms of savings?

An immediate estate is created in favor of the policyholder.

Protection in case of death.

Liquidity in case of need-easy loans is available.

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 Tax relief-income tax.

Policies can be offered as collateral security.

TYPES OF POLICIES

Though there are a lot of policies available in the market under different names and by
different companies, the policies can be broadly classified into the following categories.

Terms Insurance policy

Whole Life Policy

Money back policy

Endowment Policy

Pension Plans or Annuities.

FUNCTIONS OF INSURANCE

The functions of Insurance can be bifurcated into two parts:

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 · Primary Functions
· Secondary Functions

· Other Functions

The primary functions of insurance include the following:

Provide Protection Collective bearing of risk - Insurance

is a device to share the - The primary function of insurance is to provide protection against
future risk, accidents and uncertainty. Insurance cannot check the happening of the risk, but
can certainly provide for the losses of risk. Insurance is actually a protection against economic
loss, by sharing the risk with others.

financial loss of few among many others. Insurance is a mean by which few losses are shared
among larger number of people. All the insured contribute the premiums towards a fund and
out of which the persons exposed to a particular risk is paid.

Assessment of risk - Insurance determines the probable volume of risk by evaluating various
factors that give rise to risk. Risk is the basis for determining the premium rate also.

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Provide Certainty - Insurance is a device, which helps to change from uncertainty to certainty.
Insurance is device whereby the uncertain risks may be made more certain.

The secondary functions of insurance include the following :

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Prevention of Losses - Insurance cautions individuals and businessmen to adopt suitable
device to prevent unfortunate consequences of risk by observing safety instructions;
installation of automatic sparkler or alarm systems, etc. Prevention of losses causes lesser
payment to the assured by the insurer and this will encourage for more savings by way of
premium. Reduced rate of premiums stimulate for more business and better protection to the
insured.

Small capital to cover larger risks - Insurance relieves the

businessmen from security investments, by paying small amount of premium against larger
risks and uncertainty.

Contributes towards the development of larger

industries - Insurance provides development opportunity to those larger industries having

more risks in their setting up. Even the financial institutions may be prepared to give credit to
sick industrial units which have insured their assets including plant and machinery.

The other functions of insurance include the following:

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Means of savings and investment - Insurance serves as savings

and investment, insurance is a compulsory way of savings and it restricts the unnecessary
expenses by the insured's For the purpose of availing income-tax exemptions also, people
invest in insurance.

Source of earning foreign exchange - Insurance is an

international business. The country can earn foreign exchange by way of issue of marine
insurance policies and various other ways.

Risk Free trade - Insurance promotes exports insurance, which makes the foreign trade risk
free with the help of different types of policies under marine insurance cover.

The end of the year 2000 marks a significant change and growth of 'India Insurance' industry
scenario. Monopoly of Public Sector Insurance company marks an end and Private companies
makes inroad. Foreign companies, both Life and General flocked, collaborated and helped
astronomical growth of 'Insurance Industry in India'.

NON- LIFE (GENERAL) INSURANCE:

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Triton insurance co. ltd was the first general insurance company to be established in India in
1850, whose shares were mainly held by the British. The first general insurance company to
be set up by an Indian was Indian mercantile insurance co. Ltd., which was stabilized in 1907.
Thereafter many Indian players emerged. The general insurance business was nationalized
after the promulgation of General Insurance Corporation (GIC) OF India undertook the post-
nationalization general insurance business.
Presently there are 12 general insurance companies with 4 public sector companies and
8 private insurers. Although the public sector companies still dominate the general insurance
business, the private players are slowly gaining a foothold. According to estimates, private
insurance companies have a 10 percent share of the market, up from 4 percent in 2001. In the
first half of 2002, the private companies booked premiums worth Rs 6.34 billion. Most of the
new entrants reported losses in the first year of their operation in 2001.
With a large capital outlay and long gestation periods, infrastructure projects are
fraught with a multitude of risks throughout the development, construction and operation
stages. These include risks associated with project implementation, including geological risks,
maintenance, commercial and political risks. Without covering these risks the financial
institutions are not willing to commit funds to the sector, especially because the financing of
most private projects is on a limited or non- recourse basis. Insurance costs constitute roughly
around 1.2-2 percent of the total project costs. Under the existing norms, insurance premium
payments are treated as part of the fixed costs. Consequently they are treated as pass-through
costs for tariff calculations.

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 Insurance, like project finance, is extended by a consortium. Normally one insurer
takes the lead, shouldering about 40-50 per cent of the risk and receiving a proportionate
percentage of the premium. The other companies share the remaining risk and premium. The
policies are renewed usually on an annual basis through the invitation of bids.
Of late, with IPP projects fizzling out, the insurance companies are turning once again

to old hands such as NTPC, NHPC and BSES for business.

Contribution to Indian Economy

· Life Insurance is the only sector which garners long term savings.

· Spread of financial services in rural areas and amongst socially less privileged.
· Long term funds for infrastructure.

· Strong positive correlation between development of capital markets and

insurance/pension structure.
· Employment generation.

Insurance Industry prior to de-regulation

Prior to deregulation in 2000, market was a public monopoly.

· Public Monopoly
o 2000 Offices
o Over 800,000 agents
· Distribution through tied agents only

· Sales approach primarily on a tax savings platform

· Traditional style product offering : Endowment and money back plans

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 · Inadequate and inflexible products
· Pensions: Small part of product offer

· Limited focus on customer needs

Improving Service Standards

Channel Access Service Points Use of IT

Advisors Branch Network Limited use of

IT

Pre Deregulation – Limited Distribution

Multi Channel MULTI USE OF IT

Access SERVICE

POINTS
Advisors Call Centers Shorter time around time

Brokers & Email Claims

Corporate agents Website Policy Issuance

Ban assurance Branch Network

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NEW YORK LIFE INSURANCE CO.

LTD

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MAX INDIA LTD

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26
 Max New York Life Insurance

Max New York Life Insurance Company Ltd. is a joint venture between New York Life; a
Fortune 100 company and Max India Limited; one of India's leading multi-business
corporations. The company has positioned itself on the quality platform. In line with its vision
to be the Most Admired Life Insurance Company in India, it has developed a strong
corporate governance model based on the core values of excellence, honesty, knowledge,
caring, integrity and teamwork. The strategy is to establish itself as a Trusted Life
Insurance Specialist through a quality approach to business.

Incorporated in 2000, Max New York Life started commercial operation in 2001. In line with
its values of financial responsibility, Max New York Life has adopted prudent financial
practices to ensure safety of policyholder's funds. The Company's paid up is Rs. 1,432 core.

Having set a Best in Class Agency Distribution Model in place, the company is
spearheading a major thrust into additional distribution channels to further grow its business.

The company has multi-channel distribution that includes the agency distribution, partnership

distribution, banc assurance, distribution focused on emerging markets and alliance marketing

through employed sales force. The company currently has 33 banc assurance relationships,

14 corporate agency

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tie-ups and direct sales force at 14 locations. Max New York Life has put in place a unique
hub and spoke model of distribution to deepen rural penetration. The company has 39 (9 hub
office 30 spoke offices) offices dedicated to emerging markets in Punjab and Haryana. Max
New York Life offers a suite of flexible products. It now has 35 products covering both life
and health insurance and 8 riders that can be customized to over 800 combinations enabling
customers to choose the policy that best fits their need. Besides this, the company offers 6
products and 4 riders in group insurance business. The company currently has more than
13,295 employees.

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 COMPANY PROFILE

Max New York Life Insurance

“Max New York Life wants people to view insurance as a financial protection and wealth
creation instrument and not just a tax-saving tool.”
Max New York Life Insurance Company Ltd. is a joint venture between New York Life, a

Fortune 100 company and Max India Limited, one of India's leading multi-business

corporations. The company has positioned itself on the quality platform. In line with its vision

to be the most admired life insurance company in India, it has developed a strong corporate

governance model based on the core

29
values of excellence, honesty, knowledge, caring, integrity and teamwork. The strategy is to
establish itself as a trusted life insurance specialist through a quality approach to business.

New York Life is a Fortune 100 company that has over 160 years of experience in the life
insurance business. Max India Limited is a multi-business corporate dealing in Clinical
Research, IT and Telecom Services, and Specialty Plastic Products businesses.

Max New York Life Insurance started its operations in India in 2000. It is the first life
insurance company in India to be awarded the IS0 9001:2000 certifications. Max New York
offers customized products tailored to suit individual's needs. With its various Products and
Riders, there are more than 400 product combinations to choose from. Today, Max New York
Life Insurance has a network of 57 offices spread over 37 cities all over India.
In line with its values of financial responsibility, Max New York Life has adopted prudent
financial practices to ensure safety of policyholder's funds. The Company's paid up capital is
Rs. 657 crore, which is more than the norm laid down by IRDA.
Max New York Life has identified individual agents as its primary channel of distribution.
The Company places a lot of emphasis on its selection process, which comprises four stages -
screening, psychometric test, career seminar and final interview. The agent advisors are
trained in-house to ensure optimal control on quality of training.
Max New York Life, one of India’s leading life insurance companies, expanded its presence
in the southern region by opening its first general office in the city of Mysore. Max New York
Life now has established a countrywide network of

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172 offices and representatives across 120 cities in India. The company has over 25,300 agent
advisors, who are widely considered the best in the business. Max New York Life aspires to be
the "life insurance brand of first choice" amongst Indian consumers.
“Max New York Life wants people to view insurance as a financial protection and wealth
creation instrument and not just a tax-saving tool. Since the launch of our operations, our
focus has always been on providing risk protection and long-term wealth creation solutions to
our customers. With a diverse product portfolio to meet customer requirements, it is evident
that we are setting benchmarks in the marketplace and are well on course of realizing our
vision to become India’s most admired Life Insurance Company.

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VISION:

Vision statement is “Most Admired Life Insurance Company in

India".

MISSION:

· Become one of the top quartile life insurance companies in India

· Be a national player

· Be the brand of first choice

· Be the employer of choice

· Become principal of choice for agents.

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INSURANCE MANAGEMENT SOLUTION

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34
Types of business proposal:

· Internal business proposal

· External business proposal

Internal business proposal

This business proposal meant for the head of the

organization also called as justification report. An internal business proposal provides an
opportunity to develop the competence and confidence to express your ideas, awareness,
initiative and problem solving skill.

External business proposal

It is for the outsiders. Management plan, cooperation

qualification, staffing plan, contact and pricing, technology plan, regulatory requirements are
main components of business proposal.
Here, at Max Life Insurance we offer a bouquet of insurance solutions to meet every need.

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Individual

For individuals, we have a range of protection, investment, pension and savings plans that
assist and nurture dreams apart from providing protection. You can choose from a range of

products to suit your life-stage and needs.

For organizations we have a host of customized solutions that range from Group Term
Insurance, Gratuity, Leave Encashment and Superannuation Products. These affordable plans
apart from providing long term value to the employees help in enhancing goodwill of the
company.

Protection Plans

Life is full of surprises. Unexpected events that strike without warning can disrupt the smooth

rhythm of life. You must be prepared at all times. As the

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primary earning member, you need to make sure that your family is never lacking in anything
even if you are taken away from them forever. Do your best today to ensure that your family
can always enjoy a comfortable lifestyle. In double income families, both spouses should get
adequate life covers especially if there are dependent children involved. We have plans that
guarantee maximum protection at a low cost.
· Five Yr Renewable and Convertible™

· Level Term Policy

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 Children Plans

Your parenting is perfect but is your planning adequate? Are you thinking beyond the
immediate to the future, about higher education and professional courses, in India and abroad?
Many children are keen to pursue unconventional careers. Are you in tune with their
aspirations and passions? As parents you would never let money come in the way of your
children and the fulfillment of their true potential. Our plans will help build the corpus that
allows your children to dream big and soar high.

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 · Children's Endowment to 18 (Par)
· Children's Endowment to 24 (Par)

· SMART Steps™
· SMART Steps™ Plus, SMART Steps™ Single Premium

Investment Plans

Building a nest egg is about aggregating surplus amounts regularly to allow them to grow into
a sizeable sum. Investments should be aligned to specific, long-term goals. Luxury car, foreign
holiday or dream house, create your own wish list and make it come true. Your dreams are in
your hands. Every move that you make today will bring you a step closer to your goals. Our
Investment Plans offer the dual benefit of protection and market-linked returns with the
flexibility to choose the premium and determine the market exposure.

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· Life Maker™ Premium

· Life Maker™ Gold

· Life Maker™ Platinum

· Life Invest™

· SMART Assure

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 Retirement Plans

Let your golden years be the most precious of your life, full of freedom and choice. A time to
pursue your hobbies, travel and enjoy the good life. You will never miss your salary cheque or
be constrained by rising inflation. Even as you work hard to make a better today, it is up to
you to create a superior tomorrow. If you want to sustain your current lifestyle even after you
stop working, make that money work for you. Our Retirement Plans will keep you
comfortable and content, and let you live the life you deserve.
· Easy Life™ Retirement (Par)
· SMART Invest™ Pension

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 Health Plans

Do you know the cost of healthcare has climbed faster than inflation? Medical costs can be a
big drain on finances. A medical crisis can strike anyone, anytime and may even force an
individual to dip into savings to meet these sudden and steep costs. Such an eventuality could
delay or destroy a cherished financial goal. No wonder, health is wealth. The health of every
member of the family is precious

and you need to safeguard it as a priority. Use our Health Plans to make sure your family stays
fit and fine.
· Lifeline MediCash™
· Lifeline Wellness™ Plus

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 · Lifeline MediCash™ Plus
· Lifeline Safety Net™

· Lifeline Wellness™

Savings Plans

Is your money working for you? Clearly not, if it is lying idle in multiple bank accounts. We
will instill the discipline of investment through force of habit as you park your money for
protection and growth to meet your needs over your lifetime. Choose a plan that matches your
needs and budget. Our dual benefits saving plans recognize your need for all round financial
protection, and include a life cover that will protect you till the last day.
· Whole Life Participating

· Life Gain™ Plus 25 (Par)

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 · 20 year Endowment (Par)
· Life Pay™ Money Back

· Endowment to Age 60 (Par)

· Life Gain™ Endowment & Life Gain™ Plus 20 (Par)

Rural Plans

We are conscious of our social responsibility to serve the financially vulnerable sections of
society. We have created specialized Rural Plans to meet the particular needs of customers in
rural areas. The ticket size has been kept low, the premiums are affordable and the procedures
are simple. Customers in rural areas can now find a plan to meet their unique requirements.
Easy Term Policy

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 Strategic Products Plans

Most people desire a carefree life. They want to be happy and comfortable at all times. But
needs keep evolving and you must always be one step ahead. Our Strategic Products Plans will
meet your special needs and are available through additional distribution channels. You can
choose a plan to meet the planned events and unforeseen incidents in your life.

Banc assurance
Capital Builder

Additional Distribution
· Max Mangal™
· Capital Builder
· Max Vriksha™

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Max Am sure
· Future Builder
· Business Builder
· Bonus Builder &Secure Returns Builder

Group plans

People are the most valuable asset of any organization. Organizations have to innovate newer
forms of compensation to retain talented employees. Pay and perks are all very fine but an
organization needs to show employees that it cares. Ensuring the financial well being of
employees and their families will earn an organization their enduring trust and loyalty. Our
Group Plans offer a three-in-one advantage, as they are a powerful tool for motivation, reward
and retention, in these times of high attrition.

· Group Credit Life

· Unit Linked Group Superannuation Plan

· Group Gratuity cum Term Assurance

· Group Term Life

· Unit Linked Group Gratuity Plan

· Employee Deposit Linked Insurance

· Max Super Life

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 RESEARCH METHODOLOGY

Research Methodology is a way to systematically solve the reach problem. It may be

understood as a science of studying how research is done scientifically. Research means a
search for knowledge or gain some new knowledge and methodology can properly refer to the
theoretical analysis of the methods appropriate to a field of study or to the body of methods
and principles particular to a branch of knowledge. A Research methodology has a specified
framework for collecting the data in an effective manner. Research methodology means
"defining a problem, defining the research objectives, developing the research plan, collecting
the information, analyzing the information and presentation of findings." Such framework is
called "Research Design". The research process that was followed by me consisting following
steps;

A) Defining the problem

B) Developing the research plan
C) Collection of Data
D) Analysis and Interpretation of Data

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E) Presentation of findings

A) Defining the problem and research objectives

My research problem is to know the Buying process of procpactive Activa buyers.

B) Developing the Research Plan

The development of research plan has following steps:
1. Data source
2. Research approach
3. Type of Research Design
4. Research instrument
5. Sampling plan
i) Papulation size
ii) Sample size
iii)Contact methods
6. Questionnaire Design

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 OBJECTIVES OF THE STUDY

The professional objectives which are being covered under this project are as following-
· To know about demographic factors affecting Product of Max Life Insurance.
· To analyze the role of advertisement for Max Life Insurance Companies.

· To know the perception and conception of customers towards Insurance products and

specially focused for Max Life Insurance product

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 Scope of the study

The numbers of respondents surveyed are 100.

The study is conducted in Pune.

This study is conducted to analyze the market stand of Max Life insurance with that
of other insurance companies in India.

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 DATA COLLECTION

Determining sources of Data:

There are two main sources of data Primary1.dataData: 2. Secondary
data
It consists of original information collected for specific research. Primary data for this
research study was collected through a direct survey to obtain this primary data a well
structured questionnaire is prepared by the researcher.

Secondary Data:

It means data that are already available i.e. they refer to data which are already collected and
analyzed by someone else. Secondary Data may be either published data or unpublished data.
Usually published data are available in:-
1) Books Magazines and newspapers

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 2) 2)Public record and statistics

DATA ANALYSIS

Method of collecting data:

sampling technique:-

For preparation of questionnaire the basic objective of the survey was concentrated,
previous surveys under taken prospect cart secondary data through files and folders. For the
survey, Convenience Sampling this method involves purposive or deliberate selection of
particular units of the universe which are available on the case of access for constituting a
sample which representing universe.

Tools of Analysis in collecting data:

Various tools have been used in this research:

52
1. Tables.
2. Pie charts.
3. Bar diagrams.
4. Percentage method has been used to analyze the data.

LIMITATIONS

1) The survey was conducted within the city only.

2) Time to interact with the customers was not sufficient.

3) Customers were not fully aware of various plans of max life insurance.

4) Accurate results could not be found as every customer has his own opinion.

53
DATA ANALYSIS AND INTERPRETATION

Age of the respondents:

PARTICULARS NO.OF.RESPONDENT PERCENTAGE

(AGE)

Less than 25 11 11%

25 - 35 40 40%
35 – 45 20 20%
Above 45 29 29%
TOTAL 100 100

54
 Qualification of the respondents.

PARTICULARS NO.OF RESPONDENT PERCENTAGE

Graduate 52 52%

Post Graduate 29 29%

Diploma 8 8%

Other discipline 11 11%

TOTAL 100 100%

Qualification of the Respondents

Graduate Post Graduate Diploma

Other discipline TOTAL

100
80
60
40
20
0
PERCENTAGE
NO.OF.RESPONDENT

55
 INTERPRETATION:
From the survey it was found that amongst 100 respondents
a) 52% of the respondents were graduate
b) 29% of the respondents were post graduate
c) 8% of the respondents were diploma
d) 10% of the respondents were other discipline

PARTICULARS NO. OF RESPONDENT PERCENTAGE

Business man 34 34%

Professionals 18 18%
Job holders 37 37%
Others 11 11%
TOTAL 100 100%

Occupation of the Respondents

Business man Professionals Job holders

Others TOTAL

100
80
60
40
20
0
NO.OF.RESPONDENT
56
 INTERPRETATION:
From the survey it was found that amongst 100 respondents
a) 34% of the respondents are businessmen.
b) 18% of the respondents are professionals.
c) 37% of the respondents are job holders.
d) 11% of the respondents are background.

Average annual income of respondents.

PARTICULARS NO. OF RESPONDENT PERCENTAGE

Up to 1 lakh 33 33%
1 lakh - 3 lakh 43 43%
3 lakh - 5 lakh 20 20%
5 lakh & above 4 4%
TOTAL 100 100%

Average annual income of

respondents.

100

80
Up to 1 lakh
1 lakh - 3 lakh 60
3 lakh - 5 lakh
40
5 lakh & above
TOTAL 20
0

NO.OF.RESPONDENT

57
 INTERPRETATION:
From the survey it was found that amongst 100 respondents
a) 33% of the respondents have an average annual income up to 1 lakh
b) 43% of the respondents have an average annual income from 1 lakh to 3 lakh
c) 20% of the respondents have an average annual income from 3 lakh to 5 lakh
d) 4% of the respondents have an average annual income above 5 lakh

Family size of respondents:

PARTICULARS NO.OF RESPONDENT PERCENTAGE

Below 5 members 50 50%

5 - 10 members 32 32%
Above 10 members 28 28%
TOTAL 100 100%

FAMILY SIZE

28%

50%
below 5 members
5- 10 member
above 10 member

32%

58
 INTERPRETATION:
From the survey it was found that amongst 100 respondents
a) 50% of the respondents are below 5 members.
b) 32% of the respondents are between 5 to 10 members.

c) 28% of the respondents are above 10 members.

According to respondents life insurance is:

PARTICULARS NO.OF. PERCENTAGE

RESPONDENT
Risk Coverage 40 40%
Tax Savings 30 30%
Security 30 30%
TOTAL 100 100%

59
INTERPRETATION:
From the survey it was found that amongst 100 respondents

a) 40% of the respondents say risk coverage.

b) 30% of the respondents say tax savings.
c) 30% of the respondents say financial security.

Awareness of Max Life Insurance

PARTICULARS NO.OF.RESPONDENT PERCENTAGE

No 17 17%
Yes 83 83%
TOTAL 100 100%

60
 Awareness of Max Life Insurance

TOTA
No Yes L

100
80
60
40
20
0
NO.OF.RESPONDENT

INTERPRETATION:-

From the survey it was found that amongst 100 respondents.

a) 83% of the respondents say that they are aware of Max Life Insurance Co.
b) 17% of the say that they are unaware of Max life Insurance Co.

Awareness regarding Insurance:

PARTICULARS NO.OF.RESPONDENT PERCENTAGE

Yes 70 70%
No 30 30%
TOTAL 100 100%

61
 INTERPRETATION :-

From the survey it was found that amongst 100 respondents

a) 70% of the respondents say that they are aware of insurance.

b) Only 30% are unaware of insurance.

% of respondents who are under different plans of Max life insurance co:

PARTICULARS NO.OF.RESPONDENT PERCENTAGE

Invest gain plan 30 30%

Protection gain plan 36 36%
Child gain plan 8 8%
Whole life plan 15 15%
Pension plan 11 11%
TOTAL 100 100%

62
INTERPRETATION:
From the survey it was found that amongst 100 respondents:
a) 30% of the respondents are under invest gain plan
b) 36% of the respondents are under protection gain plan
c) 8% of the respondents are under child gain plan
d) 15% of the respondents are under whole life plan
e) 11% of the respondents are under pension gain plan

% of respondents benefits of choosing the particular products:

PARTICULARS NO.OF.RESPONDENT PERCENTAGE

Risk coverage 60 60%

Additional benefit 20 20%
Maturity date 12 12%
Sum Assured 8 8%
TOTAL 100 100%

63
 Benefits of Particular Products

100
90
80
70 Risk coverage
60 Additional
50 benefit
40 Maturity date
30
20 Sum Assured
10 TOTAL
0
1 2

INTERPRETATION:
a) 60% of the respondents say that a benefit of choosing the particular Product is
for Safety of life.
b) 20% of the respondents say that a benefit of choosing the particular products is for
additional benefit to family.
c) 12% of the respondents say that a benefit of choosing the particular products is for
maturity date.
d) 8% of the respondents say that a benefit of choosing the particular products is for sum
assured.

Are the respondents satisfied with the services of M.L.I. Insurance?

PARTICULARS NO. OF RESPONDENTS PERCENTAGE

N0 30 30%
YES 70 70%
TOTAL 100 100%

64
INTERPRETATION:

From the survey it was found that among 100 respondents:-

a) 70% respondents are satisfied with the services of M.L.I.

b) 30% respondents are not satisfied with the services of M.L.I.

Has media been the source of information for various plans of max life insurance co:

PARTICULARS NO. OF PERCENTAGE

RESPONDENTS
YES 60 60%
NO 40 40%
TOTAL 100 100%

65
INTERPRETATION:
From the survey it was found that amongst 100 respondents:
60% respondents have media as the source of information for various plans.

40% respondents do not have media as the source of information for various plans.

Which source of media has provided information for the various plans offered by
M.L.I:

PARTICULARS NO. OF RESPONDENTS PERCENTAGE

NEWSPAPER 30 30%
MAGAZINE 15 15%
TELEVISION 45 45%
RADIO 10 10%
TOTAL 100 100%

66
INTERPRETATION:
From the survey it was found that amongst 100 respondents 30%

respondents prefer newspaper as the source of information

15% respondents prefer magazine as the source of information

45%respondents prefer television as the source of information.

10% respondents prefer radio as the source of information.

67
 FINDINGS

Maximum of the insurance is purchased by the middle age group. Insurance

is mostly preferred by the job holders.

Maximum insurance holders fall under the average annual income ranging between 1-
3 lakhs.

Insurance is usually preferred by small families.

Mostly people prefer insurance to cover their risk factor. M.L I.

insurance company has a good market value***

Insurance holders under M.L.I prefer protection gain plan above all the other plans
offered to them.

The services provided by M.L.I. are satisfactory.**

Television media is one of the major source that provides information regarding
different plans of M.L.I.

68
 RECOMMENDATIONS

People should also be made aware of various other benefits attached with insurance
other than the factor of risk coverage only.

M. L. I. should provide more information regarding the different plans in order to be

able to cover all age groups.

Promotion techniques should be enhanced to create more awareness among people

about M. L.I.

Insurance plans should be designed in such a way that it is able to cater all family
sizes.

M. L. I. should also emphasize on the usage of other sources of media to provide

information regarding the various plans offered by them.

69
70
 CONCLUSION

Insurance is a superior tool to other forms of savings as it provides protection, collective

bearing of risk, assessment of risk, certainity factor, easy liquidity and above all the safest
means of savings and investment.
During the course of my internship with Max Life Insurance, I got the opportunity to learn a
lot about insurance in general and was able to study in detail the various plans offered by
them. This also provided me with the exposure to be able to understand the insurance industry
better and the various benefits attached to it.

71
 BIBLIOGRAPHY

Website:
www.maxlife.com
www.google.com
www.wikipedia.org
Other Sources

Insurance Administration 2nd Edition by Jane Light cap Brown, PH.D. Film & ETC.

Principles and Practices of Insurance By Dr. P Periasamy.

Marketing Research 3rd Edition By Beri G C. Life

and Health Insurance By Black Skipper

Marketing Management 12 Edition By Philip Kotler and Kevin Lane Keller.

72
 ANNEXURES

QUeStIONNaIre

NAME:
AGE:
GENDER: MALE FEMALE

ADDRESS:

Q1) What is your average annual income?

73
 Upto 1 lakh 1 lakh – 3 lakh
3 lakh – 5 lakh 5 lakh and above

Q2) How many members are there in your family?

Below 5 members 5 – 10 members

Above 10 members

Q3) how do you regard insurance as?

Risk coverage tax savings

Security

Q4) Are you aware of what insurance is all about?

No Yes

Q5) Are you aware of Max Life Insurance?

No Yes

Q6) which category of Max Life insurance plan have you preferred?

Investment gain plan protection gain plan

Child gain plan whole life plan
Pension plan

74
Q7) What benefits do you prefer while choosing an insurance plan of Max life insurance?

Risk coverage additional benefit

Maturity period sum assured

Q8) Are you satisfied with the services of Max life Insurance ?

No Yes

Q9) Has media been the source of information for various plans offered by Max life
Insurance?

No Yes

Q10) Which source of media has provided information for the various plans offered by
Max life insurance?

Newspaper Television
Magazine Radio

75