A STUDY ON CUSTOMER PREFERENCE WITH

RESPECT TO ULIP POLICIES PROVIDED BY

LIC
INTRODUCTION

Life Insurance Industry has become dynamic and challenging ever since the
insurance sector has been open up for private players. This research paper tries to
throw light on different types of ULIPs (Unit link insurance plans) policies launched
by LIC (Life insurance Corporation) during last few years and also try to understand
the customer preference in investing in LICs ULIP policies. The article also throws
light on level of satisfaction among the respondents in respect of LIC ULIP policies.

A unit linked insurance plan (ULIP) is a type of insurance vehicle in which the
policyholder purchases units at their net asset values and also makes contributions
toward another investment vehicle. Unit linked insurance plans allow for the
coverage of an insurance policy, and provide the option to invest in any number of
qualified investments, such as stock, bonds or mutual funds.

A unit linked insurance plan acts just like a savings vehicle, but also has the
benefits of an insurance contract. When an investor purchases units in a ULIP, he or
she is purchasing units along with a larger number of investors, just like an investor
would purchase units in a fund. Different ULIPs offer different qualified investments

 STATEMENT OF THE PROBLEM

The study analyze the preference of customers on ULIP policies of LIC . This study
also gives a brief introduction on the different types of ULIP funds provided by the
LIC to its customers.
OBJECTIVES OF THE STUDY

GENERAL OBJECTIVE
To analyze the customer preference on ULIPS.

SPECIFIC OBJECTIVE
To introduce the types of ULIP funds provided by LIC.
To find out the mostly preferred ULIP funds by customers.
METHODOLOGY

COLLECTION OF DATA
Research is a common parlance refers to search for knowledge and an act of
scientific investigation. A careful investigation or enquiry is especially through
search for now in any branch knowledge undertaken with the purpose of finding
answer or solution to it. This study includes both primary and secondary data.

PRIMARY DATA
The information which is followed in fresh for the first time and thus happen to
be original in character. This study includes information collected by direct
interview and questionnaire method.

SECONDARY DATA
In the present study secondary data was collected from websites and newspapers.

RESEARCH DESIGN
The study is descriptive.
DATA ANALYSIS AND INTERPRETATION

ULIP plans adopted by customers.

Option No TABLE
of 1 Percentage
Respondents
Profit plus 10 17
Money plus 20 33
Fortune plus 15 25
Child fortune 15 25
plus

35
Total 6033 100
30
25 25
25

20 17
15

10

0
Profit plus Money plus Fortune plus Child fortune plus
 Customers opinion about flexibility of ULIP POLICIES
TABLE 2

Option No of Percentage
Respondents
Satisfied 50 83
Partially 10 17
satisfied
Total 60 100
90
83
80

70

60

50

40

30

20 17

10

0
Satisfied Partially satisfied
Findings and Suggestions

Out of 60 respondents,33% of respondents adopt money plus policies ,20% adopt

fortune plus policies ,20% adopt children fortune plus policies and 17% adopt profit
plus policies .

33% of respondents adopt ULIP because of the tax benefit.

Out of 60 respondents,83% are satisfied with the varying value of policy and 17%
are not satisfied.

From the study we came to know that 50% are aware of ULIP policies and rest 50%
are not much aware.

Out of 60 respondents, 83% are satisfied with the flexibility of ULIP policies.

We suggest to promote more ULIP policies with more benefits which attracts the
investors.

The Investment in ULIP policies must be encouraged with more facilities.

Conclusion

Investors mostly prefer ULIP policies for investment and they are highly
satisfied with the policies provided by the LIC. ULIP gives you both insurance
cover as well as returns on investment through a singular medium. Unit linked
insurance plans allow for the coverage of an insurance policy, and provide the
option to invest in any number of qualified investments, such as stock, bonds
or mutual funds.