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INTRODUCTION TO TOPICEvery asset has a value for its owner and also for those who are benefited with the existence of that asset. Insurance is concerned with the protection of economic value of asset.

All of us are interested in the creation of asset because:

1. All assets have value.

2. They yield income to the owner.

3. They meet some other needs of the owner.

4. They may provide satisfaction of some needs and also yield income to the owner.

Under the life insurance, the insurance company guarantees to pay, in consideration of a regular premium, a certain sum of money to the policy holder on his attaining a certain age or to his nominee on his death, whichever is earlier. Life insurance is also known as Assurance because sooner or later the amount of the policy must be paid. The beginning of insurance business is traced to the city of London. It started with the marine business. Marine traders, who used to gather at Lloyds coffee house in London, agreed to share losses to goods during transportation by ship.

Assets are likely to be destroyed or made non-functional due to accidental occurrences called perils. Asset can, therefore, be insured.

Possibility of damage to asset caused by a peril is the risk that asset is exposed to.

Risk means uncertainty or unpredictability about future loss or damage, which may or may not happen. This refers to the losses, which may happen suddenly and unexpectedly.

This is because of uncertainty about the risk that insurance plays a role.

Insurance becomes relevant only if there are uncertainties of occurrence of event leading to losses. Insurance is done against the contingency of the happening of such events.

Insurance is a contract in writing between two parties whereby one party called insurer undertakes in exchange for a fixed sum called premium, to pay the other party called insurer a fixed amount of money on the happening of certain event. Insurance indemnifies assets and Insurance and General Insurance (Non- life insurance). But the article focuses on life insurance. Life insurance is a contract for payment a sum of money to the person assured (or failing him/her, to the person entitled to receive the same) on the happening of the event insured against. Usually the contract provides for the payment of and amount on the date of maturity or specified dates at periodic intervals or on unfortunate depth, if it occurs earlier. Among the other things the contract also provides for the payment of premium periodically, to the Corporation by the assured. Life insurance is universally acknowledged to be an institution, which eliminates risk , substituting certainty for uncertainty and comes to the timely aid of the family in the unfortunate event of the death or of total permanent disability of the breadwinner. Few men in history have made as dramatic a contribution to their countrys economic fortunes as did the founder of Reliance, Shri. Dhirubhai H Ambani. Fewer still have left behind a legacy that is more enduring and timeless. As with all great pioneers, there is more than one unique way of describing the true genius of Dhirubhai: The corporate visionary, the unmatched strategist, the proud patriot, the leader of men ,the architect of Indias capital markets, the champion of shareholder interest. But the role Dhirubhai cherished most was perhaps that of Indias greatest wealth creator. In one lifetime, he built, starting from the proverbial scratch, Indias largest private sector enterprise. As with so many things in so many facets of our lives, insurance too was born out of a primal need and shaped by socio-economics realities of the time. The story goes back to around 2100 BC, to the ancient civilization of Babylon and business practice call bottomry. For all practical purpose a form of marine insurance, bottomry enabled ship owners to borrow money against their ships to pay for the trip. With piracy rampant on high seas, traders and seafarers were reluctant to sail to other them some semblance of security.

The arrangement was that only if their ship returned did traders have to repay the loan, along with interest. Which was pegged at an above-market rate for the risk covered. So,if their ship failed to make it back, they did not have to repay the loan, thereby recovering some or all of the loss. With the marine route being the bedrock of trade and commerce in those days, the practice of bottomry evolved, and spread. With the growth of towns and trade in Europe, medieval guilds (groups organized on the basis of some common objective, like traders) pooled in money to protect their members from loss by fire and shipwreck, to pay ransom if they were captured by pirates, and to provide burial and support in sickness and poverty.

By the middle of the 14th century, as evidenced by the earliest known insurance contract a crisis. Several insurers defaulted on their contractual obligations to policyholders, citing investment losses : some even folded up. The Insurance Act 1938 introduced state controls on insurance, but even this failed to safeguard policyholder interests. NATIONALISATION Post-independence, discontent against insurers reached a pitch. Business was chaotic, foreign insurers were leaving the country, and Indian insurers, driven by greed and business considerations, werent earning much credibility. The cry for nationalizing insurance grew louder-a move that insurers were, of course, opposed to.

On 19 January 1956, the life insurance business was nationalized. In one swoop, the government snapped up 245 insurers and provident societies. Eight months later, the Life Insurance Corporation (LIC) was formed. Which took over the business of the erstwhile private insurers, and started expanding at a frenetic pace. Today, this monolith has 2,100 branch offices, 800,000 agents, and offers a bevy of insurance and investment products. LIC marketed insurance less as a risk management tool and more as a savings instrument with a edge.

A book at LICs policy profiles shows that just 18 percent of policies in fore currently are protection plans; insurance-cum-investment plans account for 60 percent, with the balance being pure investment plans. Still, households embraced these safe investment avenues, with the sum assured ( or the total value of cover) increasings form Rs. 1,476 crore in 1957 to Rs. 459201 crore in 1998-99.

Similar circumstances led to the nationalization of non-life ( or general insurance). As in life insurance, pre-nationalization, there were an inordinately large number of insurers, many of whom were notorious for flouting investment norms and delaying settlement of claims.Non-life insurance was nationalized in 1972. General insurance corporation (GIC) was set up as a holding company ; a total of 107 private insurers were merged and grouped to form GICs four subsidiaries.PRIVATISATION

There were various reason given by the government to nationalize the insurance sector ,take insurance to the masses, facilitate the flow of long- term funds (which insurance companies ,by virtue of the business they are in , have ready access to ) into development infrastructure in the country , and safeguard the interest of policyholders. Towards this end, state insurers did develop the insurance sector , though most expert believe these monopolies could have done much ,much more.

In the early nineties, the government went on a reforms binge and started loosening controls on Indian Industry. In 1993, the government appoint the Malhotra committee, headed by former RBI Governor R.N. Malhotra to draw up a blueprint for insurance sector reforms. The panel submitted its report a year later, recommending privatization , backed by stiff entry guidelines and stringent ( Genoa, 1347), marine insurance was common among maritime nations of Europe.

Lloyds of London , the largest marine insurer today was founded in 1688, in a coffee shop in today. Lloyds coffee House became the preferred place for merchants, ship owners and underwriters to transact business. Insurance developed rapidly with the growth of British Commerce in the 17th and 18th centuries , and started becoming organized , along the way going through a period of defaults and closures. The British brought insurance to India in 1818, replace with imperialist prejudices. The Oriental Life Insurance Company, the first insurance company in the country , insured only European widows.

British insurers eventually began insuring Indian lives, but for a premium that was 15-20 percent higher than that payable by the British. It was only in 1870 that the disparity was corrected six Indians. peeved by this second class treatment, set up Bombay Mutual Life Assurance Society, and started insuring Indian lives at the same cost as British lives. Social discrimination, in fact, turned out to be a catalyst for Indian initiative in the insurance sector.

In 1909, activist Ishwar Chandra Vidyasagar founded the Hindu family Annuity fund- the first instance of a pension based investment scheme targeted at Indians . As had happened in England earlier, a flood of new players and patchy regulation snowballed into regulation, so a to avoid a repeat of the pre nationalization free-for- all. INTRODUCTION TO INSURANCEWHAT IS INSURANCE ?

Every asset has a value for its owner and also for those who are benefited with the existence of that asset. Insurance is concerned with the protection of economic value of asset.

All of us are interested in the creation of asset because:

1. All assets have value.

2. They yield income to the owner.

3. They meet some other needs of the owner.

4. They may provide satisfaction of some needs and also yield income to the owner.

Under the life insurance, the insurance company guarantees to pay, in consideration of a regular premium, a certain sum of money to the policy holder on his attaining a certain age or to his nominee on his death, whichever is earlier. Life insurance is also known as Assurance because sooner or later the amount of the policy must be paid.

DEFINITIONS

In the words of D.S.Hansel, insurance accumulated contributions of all parties participating in the scheme.

BRIEF HISTORY OF THE INSURANCE

The beginning

The beginning of insurance is traced to the city of London. It started with the marine business. Marine traders, who used to gather at Lloyds coffee house in London, agreed to share losses to goods during transportation by ship. Marine related losses include:-

Loss of ship by sinking due to bad weather in high seas

Goods in transit by ship robbed by sea pirates.

Loss of or damage to the goods in transit by ship due to bad weather in high seas. The first insurance policy was issued in England in 1583.

PURPOSE AND NEED FOR INSURANCE

Asset are likely to be destroyed or made non-functional due to accidental occurrences called perils. Asset can, therefore, be insured.

Possibility of damage to asset caused by a peril is the risk that asset is exposed to.

Risk means uncertainty or unpredictability about future loss or damage, which may or may not happen. This refers to the losses, which may happen suddenly and unexpectedly.

Insurance becomes relevant only if there are uncertainties of occurrence of event leading to losses. Insurance is done against the contingency of the happening of such events.

No uncertainty No insurance.

MECHANISM OF INSURANCE

The concept of insurance is that people exposed to the same risk come together and agree to share a loss collectively if any one of their members suffer it from that risk.

The insurance companies play the vital role of implementing this concept they try bringing together people exposed to the similar risk ; they collect members contribution in advance in the shape of premium and create a fund out of which the losses are paid .

In the event of breadwinners death, the family income stops suddenly.

The family income may also stops on retirement of the breadwinner.

Life insurance covers the above contingencies and provides relief to the family in the event of the death of retirement of the breadwinner.

Variable needs for life insurance can be.WHY IS INSURANCELife insurance has come a long way from the earlier days when it was originally conceived as a risk covering medium for short periods of time, covering temporary risk situations, such as sea voyages. As life insurance became more established , it was realized what a useful tool it was for a number of situations, including

a) Temporary needs / threats :

The original purpose of life insurance remains an important element , namely providing for replacement of income on death etc.

b) Regular Savings :

Providing for ones family and oneself, as a medium to long term exercise ( through a series of regular payment of premiums ). This has become more relevant in recent times as people seek financial independence for their family.

c) Investment :

Put simply, the building up of saving while safeguarding it from the ravages of inflation. Unlike regular saving products, investment products are traditionally lump sum investment, where the individual makes a one off payment.

d) Retirement :Provision for later years becomes increasingly necessary, especially in a changing cultural and social environment. One can buy a suitable insurance policy, which will provide periodical payment in Ones old age.

Insurance is one of the instruments designed to deal with risk through sharing. In its simple aspect it is imbued with two fundamental characteristics, viz., transfer of risk from one group to another group, and facilitates sharing of losses, on some equitable basic , all members of the group. The importance of insurance is twofold: (1) from individuals point of view. Insurance is an economic device whereby the individual substituted a small certain cost for a large uncertain financial loss that would exist if it were not for the insurance, and (11) from social point of view insurance my be perceived to be an economic instrument that reduces eliminates risk through the process of combining a sufficient number of homogenous exposures into a group and makes the losses predictable for a group as a whole.Insurance is a contract in writing between two parties whereby one party called insurer undertakes in exchange for a fixed sum called premium , to pay the other party called insured a fixed amount of money on the happening of certain event. Insurance indemnifies such assets and income. Insurance business in India can be broadly divided into two categories such as life insurance and general insurance (Non life insurance. But the article focuses on life insurance.Life insurance is a contract for payment a sum of money to the person assured (or failing him/her, to the person entitled to receive the same) on the happening of the event insured against. Usually the contract provides for the payment of and amount on the date of maturity or specified dates at periodic intervals or on unfortunate depth, if it occurs earlier. Among the other things the contract also provides for the payment of premium periodically, to the Corporation by the assured. Life insurance is universally acknowledged to be an institution, which eliminates risk , substituting certainty for uncertainty and comes to the timely aid of the family in the unfortunate event of the death or of total permanent disability of the breadwinner.

In India insurance Co. are categorize in two parts :

ADVANTAGES OF LIFE INSURANCESecured targeted saving a uniqueness

Life insurance is not merely an investment or a saving devices- much than that.

In any other investment or saving avenues, bank deposits , saving certificates or mutual funds or shares and stocks etc., amount of funds available at any time will not be more than the amount saved , appreciation or interest earned till then. In life insurance, the amount available is the one that one wished to have at end of saving period which may range up to 30 or even more years.

Life insurance has advantages over the other form of savings: Facility of nomination and assignment makes the claim settlement easy on death.

Life insurance involves compulsory savings.

Tax benefits- on premium paid as well as the amount received by way of claim.

Loans can be raised against a life insurance policy.

INSURANCE IN INDIALIFE INSURANCE CORPORATION OF INDIA

Life insurance Corporation of India (LIC) was established on I September 1956 to spread the message of life insurance in the country and mobilise peoples saving for nation- building activities. LIC with its central office in Mumbai and seven zonal offices at Mumbai, Calcutta, Delhi, Chennai, Hyderabed, Kanpur and Bhopal, operates through 100 divisional offices in important cities and 2.048 branch offices. LIC has 9.60 lakh active agents spread over the country. The corporation also transacts business abroad has offices in Fiji, Mauritius and United Kingdom. LIC is associated with joint ventures abroad in the field of insurance, namely, ken- India Assurance company Limited, Nairobi; United Oriental Assurance company Limited , Kuala Lumpur; and life insurance corporation (International), E.C. Bahrain. It has also entered into an agreement with the sun life (U.K.) for marketing unit linked life insurance and pension policies in U.K. The total new business of the corporation during financial year 2001-02 was Rs. 85,682 of sum assured under 148.43 lakh policies LICs group insurance business up to 31 march 2002 Rs. 75.316 crore (provisional) providing cover to 219 lakh people.INSURANCE REGULATORY &DEVELOPMENT

AUTHORITY ACT 1999 (IRDA)

It came into existence in December 1999. it is a statutory body which was framed to provide license to private companies in insurance sector and to protect the right of policy holders.

SCOPE

The act was passed by the parliament in December 1999.

To permit private companies to enter the insurance market, Government has enacted Insurance Regulatory & Development Authority Act, 1999.

The act provides for the establishment of the authority-

1. To protect the interest of holders of insurance policies;

2. To regulate, promote and ensure orderly growth of insurance industry;

3. For matters connected therewith or incidental thereto.

The act also sought to amend the following acts-

1. The insurance act 1938.

2. The life insurance corporation act, 1956.

3. The General Business (Nationalization) Act, 1972

The act applies to the whole of India including J&K stage.

The authority replaces controller under insurance act 1938.

CONSTITUTION OF IRDA Insurance regulatory and development authority consists of the following members.

1. A chairperson;

2. Not more than five whole-time members; and

3. Not more than four part-time members to be appointed by the central Government.

Members should be a person of ability; integrity; and standing FUNCTIONS OF IRDA4. To issue certificate of registration, renew, withdraw, suspend or cancel such registration.

2. To protect the interests of the policyholders/insured in the matter of insurance contract with the insurance company.

3. To specify requisite qualifications, code of conduct and training for insurance intermediaries and agents.

4. To specify code of conduct for surveyors/loss assessors.

5. To promote efficiency in the conduct of insurance business.

6. To promote and regulate professional organizations connected with the insurance and reinsurance business.

7. To undertake inspection, conduct enquiries and investigations including audit of insurers and insurance business.

8. To control and regulate the rates, terms and conditions to be offered by the insurer regarding general insurance business not so controlled by tariff advisory committee.

9. To specify and the form and manner for maintenance of books of accounts and the statement of accounts.

10. To regulate investment of funds by the insurance companies.

11. To adjudicate disputes between insurers and intermediaries of insurance.

12. To supervise the functioning of tariff advisory committee to specify the percentage of life insurance business and general insurance business to be undertaken in the rural of social sector.

COMPANY PROFILEINTRODUCTION TO RELIANCE INSURANCE

Few men in history have made as dramatic a contribution to their countrys economic fortunes as did the founder of Re4liance, Shri. Dhirubhai H Ambani. Fewer still have left behind a legacy that is more enduring and timeless.

As with all great pioneers, there is more than one unique way of describing the true genius of Dhirubhai: The corporate visionary, the unmatched strategist, the proud patriot, the leader of men, the architect of Indias capital markets, the champion of shareholder interest.

But the role Dhirubhai cherished most was perhaps that of Indias greatest wealth creator, in one lifetime, he built, starting from the proverbial scratch, Indias private sector enterprise.

When Dhirubhai embarked on his first business venture, he had a seed capital of barely US$ 300 (around Rs 14,000). Over the next three and a half decades, he converted this fledgling enterprise into a Rs 60.000 crore colossus- an achievement which earned Reliance a place on the global Fortune 500 list, the first ever Indian private company to do so.

Dhirubhai is widely regarded as the father of Indias capital markets. In 1977, when Reliance Textile Industries Limited first went public, the Indian stock market was a place patronized by a small club of elite investors which dabbled in a handful of stocks.

Undaunted, Dhirubhai managed to convince a large number of first-time retail investors to participate in the unfolding Reliance story and put their hard-earned money in the Reliance Textile IPO, promising them, in great stories of mutual respect and reciprocal gain in the Indian markets.

exchange for their trust, substantial return on their investments. It was to be the start of one ofUnder Dhirubhais extraordinary vision and leadership, Reliance scripted one the greatest growth stories in corporate history anywhere in the world, and went on the become Indias largest private sector enterprise.

Through out this amazing journey, Dhirubhai always kept the interests of the ordinary shareholder uppermost in mind , in the process making millionaires out of many of the initial investors in the Reliance stock, and creating one of the worlds largest shareholder families.

About Reliance Life Insurance

Reliance Life Insurance offers you products that fulfill your savings and protection needs. Our aim is to emerge a transnational Life Insurance of global scale and standard.

Reliance Life Insurance is an associate company of Reliance Capital Ltd., a part of Reliance Anil Dhirubhai Ambani Group. Reliance Capital is one of Indias leading private sector financial services companies, and rank among the top 3 private sector financial services and banking companies. In terms of net worth. Reliance Capital has interest in asst management and mutual funds, stock broking, life and general insurance, proprietary investments, private equity and other activities in financial services. Reliance Anil Dhirubhia Ambani Group also has presence in Communications, Energy, Natural Resources, Media, Entertainment, Healthcare and Infrastructure.

VISION & MISSION

Vision

Empowering everyone live their dreams.

Mission

Create unmatched value for everyone through dependable effective, transparent and profitable life insurance and pension plans.

Our Goal

Reliance Life insurance would strive hard to achieve the 3 goals mentioned below:

Emerge as transnational Life Insurer of global scale and standard Create best value for Customers, Shareholders and all Stake holders Achieve impeccable reputation and credentials through best business practices

ACHIEVEMENTS

RLEC has been one of the fast gainers in market share in new business premium amongst the private players with an incremental market share of 4.1% on the Financial a year 2007-08 from 3.9% in April 07 to 8% in Feb 08. ( Source: IRDA)

Also continues to be amongst the fast growing Private Life Insurance Companies with a YOY growth of 195% in new business premium as of Mar08.

Accompany that has crossed 1.7 Million policies in just 2 years of operation, post take over of AMP Sanmar business.

Initiated Express life an Unique Over the Counter sales process for Unit Linked Insurance Policies in the Industry.

Accomplished a large distribution ramp-up in the Industry in a short span of time by opening 600 branches in 10 months taking the overall branch network above 740.

RLIC continues to be one of the two Life Insurance companies in India to be certified ISO 9001:2000 for all the processes.

Awarded the Jamnalal Bajaj Uehit Vyavahar Puraskar 2007- Certificate of Merit in the Financial Services category by Council for Fair Business Practices (CFBP).

BOARD OF DIREDTORS

Gautam Doshi , Director Satya Pal Talwar , Director

Saumen Ghosh , Group President

Malay Ghosh , President

Maneesha Thakur, Chief Human Resource Officer

Pournima Gupta , Appointed Actuary

C Mohan , Chief Technolgy Officer

R Rangarajan , Chief Investment Officer

S V Sunder Krishanan , Chief Risk Officer

Saroj K Panigrtahi , Head of the Legal,Compliance And Company Secretary

Sunil Aggarwal , Chief financial Officer

VARIOUS PRODUCTS OF RELIANCE INSURANCE

INSURANCE PLANS FOR SOLUTIONS FOR INDIVIDUALS

Taking time out from your daily schedule to plan your future is a necessary task. You could do with some help, but who can help you?

Reliance Life Insurance is here with Solutions for Individuals, a series of plans that will help you make wise investments, protect your family, secure your childs future and even chalk out a plan for your retirement.

So what are you waiting for? In vest in one of Reliance Solutions for Individuals and pave the way for a worry-free life!

Plans Protection Plans

Protect your family even when youre not around by investing in Reliance Protection Plans. Choose a limited period plan or a lifetime protection plan depending on your needs.

Saving & Investment PlansReliance Savings & Investment Plans help you to set aside some money to achieve specific goals in life, which means that you can enjoy life and provide for your familys daily needs

Retirement plansInvest today in Reliance Retirement Plans and save money to enjoy life even after retirement. You will never have to depend on another person or make any compromises to maintain your current lifestyle

Child Plans

Save systematically and secure your childs future needs by investing in Reliance Child Plans. You can always be there for your child when he or she needs you

Savings & Investment Plans

In life, you have always given your family whatever they have wanted. Yet, there are some promises you have to fulfill, such as taking your family for a vacation, or buying that dream house.

Set aside some money to achieve these specific goals with the help of Reliance Savings % Investment Plans. The plan allows you to experience the joys of life and provide for your familys needs.

Enjoy life without worrying about the promises you have made-we are here to fulfill them.

Savings & Investment Plan

Reliance Super Invest Assure is a complete plan which addresses your vital needs like Flexibility, Security, Investment Return and Financial Planning. With all its key benefits, it is here to ensure that there will always be more than you can ask for!

Total Investment Plan I Insurance

Reliance TIPS Series I- insurance is a UNIT Linked Investment + Insurance Plan that helps you meet all your financial needs, without the complexity of managing multiple products

Reliance Wealth + Health Plan

Invest in the Reliance Wealth Health Plan and balance your health needs and wealth needs, without compromising on either health or wealth

Reliance Automatic Investment Plan

The Reliance Automatic Investment Plan is an enhanced unit linked plan that allows you to choose the right investment mix to reap maximum benefits. It also provides you with enhanced Life Cover

Reliance Money Guarantee Plan

To reap the benefits of a rising market and to protect yourself form any market decline, invest in the unit linked Reliance Money Guarantee plan that gives you the perfect balance between Protection and Savings

Reliance Cash Flow Plan

Invest in the Reliance Cash Flow Plan and reap the dual benefits of a life insurance plan an easy liquidity through lump sum cash, which means you can get a percentage of the Sum Assured at periodic intervals

Reliance Market Return Plan

The Reliance Market Return Plan gives you insurance protection and allows you to benefit from investment growth. It works through your life and meets the changi8ng requirements you may have from time to time

Reliance Endowment Plan

The Reliance Endowment Plan gives you financial independence by allowing you to decide the amount of Sum Assured based on your current financial position and expected future expenses

Reliance Special Endowment Plan

Imagine an endowment plan that protects you for a certain period even after you have receive your lump sum that is exactly what the Reliance Special Endowment Plan offers you with other added benefits

Reliance Whole Life Plan

Give your family al lifetime of timely financial support by investing in the Reliance Whole Life Plan. This will help you enjoy your life to the fullest

Reliance Golden Years Plan

The Reliance Golden Years Plan helps you save systematically and generate the much- needed corpus to help you enjoy life after retirement

Reliance Golden Years Plan Value

Realise all your dreams of playing golf, or going for a world tour after retirement by investing in the Reliance Golden Years Plan Value, which helps you generate the amount you will need for the future

Reliance Golden Years Plan Plus

Invest in the special Reliance Golden Years Plan Plus that not only helps you build the corpus you need after, but also collects a basic minimum amount in case something were to happen before you realize your dreams

Reliance Connect 2Life Plan

The Reliance Connect 2 Life Plan gives you the option to upgrade your life cover to keep pace with your changing lifestyle. As your income grows, your family will have sufficient cover

Employee Protection Solutions

Have you always wanted to give your employees total cover from any accidents, disabilities or untimely deaths? Invest in Reliance Employee Protection Solutions today and show your employees that you care

RELIANCE SUPER INVESTASSURE PLAN

You have always aspired for the best in life. And we help you achieve that.

Heres a unique plan which combines protection and savings. It also offers complete flexibility to gain control over your investments vis--vis financial needs and risk appetite.

We value your regular investments and thus reward you with guaranteed additions thus promising unmatched benefits. This plan also offers you a unique option of moving from a conservative fund to an aggressive fund systematically, to take advantage of the Rupee cost averaging model.

A plan that promises you, what you ought to deserve as you reach greater heights in life. What more can you ask for except gifting yourself with Reliance Super InvestAssure Plan.

Key features Reliance Super Invest Assure Plan

Twin benefit of market linked return and insurance protection.

Guaranteed additions at the rate of 50% of your first years basic premium at interval of every 5 years from 10th year till policy is in force.

Investment opportunity with flexibility Choose from 8 pure investment fund options.

Option to pay Top-up premium(s) Liquidity in the form of partial withdrawals.

A host of optional benefits to enhance protection cover.

Disclaimer

For more details on risk factors, terms and conditions please read sales brochure carefully before concluding a sale

Insurance is the subject matter of the solicitation. Reliance Life Insurance Company Limited (Regd. No. 121)

UIN for Reliance Super InvestAssure Plan:121L031V01 , Reliance Major Surgical Benefit Rider: 121B011V01, Reliance Critical Conditions (25) Rider: 121B01V01, Reliance Term Life Insurance Benefit Rider: 121C009V01, Reliance Accidental Death & Total & Permanent Disablement Rider:121C002V01

Reliance Money Guarantee Plan

Unbeatable protection For your investments

UNDER THIS PLAN THE INVESTMENT RISK IN THE INVESTMENT PORTEFOLIO IS BORNE BY THE POLICYHILDER.

Yes, its a trio the pace setter plan which promises Life Protection, an opportunity to gain control over your investments along with protection of downside risk!

For the select few like you, the Reliance Money Guarantee Plan is Unit Linked product addressing comprehensive need to strike that perfect balance of Protection and Savings, that you deserve as you grow successfully. The Reliance Money Guarantee Plan is a Regular Premium Unit Linked Policy which guarantees the entire premium (including premiums for top-ups) paid by you. This is plan which helps you reap all the benefits of a rising market simultaneously protection you from the downside risk of the market.

Key Features

Capital Guarantee: the sum off all premiums paid is guaranteed on maturity or on death before the maturity.

Capital Guarantee is available on both the basic premiums as well as on top-up premiums

Unique Return Shield feature to protect your returns

Choice to invest from 3 pre-packaged investment fund options

Unmatched flexibility through our Exchange Option to move between the Reliance

Life Insurance Unit Linked products offered, as you grow up the ladder

Liquidity in the form of partial withdrawals from top-up fund

Option to package with Accidental Death & Disability and Term Insurance riders

BIRLA SUNLIFEAbout Birla Sunlife Insurance Company Limited

Birla Sun Life Insurance pioneered the unique unit linked life insurance solutions in India. Within 4 years of its launch , BSLI has cemented its position as a leading player in the private life insurance industry. There has been focus on Investment Linked Insurance Products, supported with protects to maintain leadership in product innovation. Multi Distribution Channels- Direct Sales Force, Alternate Channels and Group offering convenient channels of purchase to customers. Web- enabled IT systems for superior customer services. First to have issued policies over the Internet. Strong fundamentals based on the Aditya Birla groups local insight and Sun Life Financialss global expertise.

VISION AND MISSION

Vision

To create long term value along with market leadership

Mission

To help people mitigate risks of life, accident, health and money at all stages and under all circumstances.

Enhance the financial future of our customers, including enterprises.

Values

Integrity

Commitment

Passion

Seamlessness

Speed

Board of DirectorsMr. Kumar M. Birla

Mr. Donald A. Stewart

Mr. Bishwanath N. Puranmalka

Mr. Ajay Srinivasan

Investment Committee

Mr. B.N.Puranmalka

Mr.Eugene I.Undrigan

Mr. Fabien Jeudy

Mr. Keerti Gupta

Mr. Vikram Kotak

Mr. Vikram Medmi

Audit Committee

Mr. Bishwanath N. Puranmalka

Mr. Ajay Srinivasan

Mr. Stephan Rajotte

Mr. Gian P. Gupta

Mr.Venkatesh S. Mysore

Management Team

Mr. Vikram Mehmi

President & chief Executive Officer

Mr. Mayank Bathwal

Chief Financial Officer

Mr. Chander Chellani

Chief Distribution Officer

Mr. Amitabh Verma

Chief Operating Officer

Mr. Vikram Kotak

Chief Investment Officer

Mr.Fabien JeudyChief Actuarial Officer & Appointed Actuary VARIOUS PRODUCTS OF BIRLA SUNLIFE Birla Sun Life Insurance Gold Plus

In this policy the investment risk in investment portfolio is born by the policy holder.

Highlights

An opportunity to grow your investment for the medium term.

Policy term :8 yrs.Paying period : 3yrs.The policyholder has an option to reduce the annualized policy premium in the 2nd and 3rd year subject to a minimum annualized premium of Rs. 10,000 per year.

Top Up premium Minimum Rs. 5000

Liquidity through withdrawals and surrender

Withdrawals after 3 policy years, Min Rs. 5000, two partial withdrawals are free in a year.

Surrender can be surrendered anytime during the policy term but will be paid after there policy years ( if surrendered in first 3 policy yrs). Surrender charge is zero after 3rd yr.

Seven fund options Introducing 100% equity fund option Maximiser You can switch between the fund options or change the allocation into the various funds anytime during the tenure of the policy.Entry Age : 18 yrs to 70 yrs

Minimum Premium : Rs 10,000.

Minimum Sum Assured :5 x annual premium

Maximum Sum Assusred (based on the maximum multiple allowed age-wise)

Gold Plus Plan

This plan is a unit linked, non- participating, insurance plan. A simple, hassle free plan it helps you strike the right proportion between protection and savings. Our plan offers you the convenience of paying for a limited period of 3 years with the flexibility to reduce premium (subject to minimum of Rs. 10000) from the second policy year onwards without reduction in sum Assured. The plan, also offers you the benefits of top-up besides providing liquidity in the form of partial withdrawals and surrender benefits.

Our plan has seven fund options, which empowers you with the flexibility of allocating premiums in varying proportions into different fund options and achieves superior investment returns.

Eligibility

Entry Age : 18 yrs to 70 yrs.

Minimum Premium: Rs. 10,000.Minimum Sum Assured : 5 x annual premium.

Before you continue reading

All Unit Linked life insurance plans are different from Traditional insurance plans and are subject to different risk factors. The name of the investment funds and that of this plan do not in any way indicate the quality of the plan or future returns.

In this plan, the investment risk in the investment funds chosen by you is borne by you. Investment funds are subject to investment risks and unit prices may go up or down reflecting the market value of the underlying assets. Past performance is no guarantee of future results.

Premiums

You can choose your desired premium and the sum Assured.

Premium Payment Frequency

You can pay the policy premium monthly ( through ECS only), quarterly, half-yearly or annually.

Premium Paying ModeYou can pay your policy premium by cash (up to Rs 50,000), cheque, credit card , salary deduction, ECS and direct debit.

Top- up Premium

You can the fund whenever you have additional savings prior to the maturity of the policy.

The minimum top up premium is Rs. 5,000.

The sum assured in the plan will increase if the top up amount exceeds 25% of the policy premium paid till date. The additional sum assured will be 125% of the excees premium and is subject to the administrative and underwriting rules of the company.

BIRLA SUN LIFE INSURANCE ACOMING TOGETHER OF VALUES

BIRLA SUN LIFE INSURANCE: A COMING TOGETHER OF VALUES Birla sin life insurance company limited is a joint venture between the Aditya Birla Group, one of the largest business houses in India and Sun Life Financial Inc., a leading international financial services organization. The local knowledge of the Aditya Birla Group combined with the expertise of Sun Life Financial Inc., offers a formidable protection for your future.

The Aditya Birla Group has a turnover close to Rs. 49,440 crores with a market capitalization of Rs. 82,400 crores (as on 31st March 2007). It has over 88000 employees across all its units worldwide. It is led by its Chairman Mr. Kumar Mangalam Birla. Some of the key organizations within the group are Hindalco, Grasim, Aditya Birla Nuvo etc.Sun Life Financial Inc. and its partners today have operations in key markets worldwide, including Canada, the United States, the United Kingdom, Home Kong, the Philippines, Japan, Indonesia, India, China and Bermuda, Sun Life Financial Inc. had assets under management of over US$374.61 billion, as on 31st December 2006. Sun Life Financial Inc. is a leading performer in the life insurance market in Canada.

Birla Sun Life Insurance (BSNL) in its 6 successful years of operations has contributed significantly to the growth and development of the life insurance industry in India. It Pioncered the launch of Unit Linked Life Insurance plans amongst the private players in India. It was the first player in the industry to sell its policies through the Bancassurance route and through the internet. It was the first private sector player to introduce a pure Term plan in the Indian market. This was supported by sales practices, which brought a degree of transparency that was entirely new to the market. The process of getting sales illustrations signed by customers, offering a free look period on all policies, which are now industry standards were introduced by BSLI. Being a customer centric company, BSLI has covered more than a million lives since inception and its customer base is spread across more than 1000 towns and cities in India. All this has assisted the company in cementing its place amongst the leaders in the industry in terms of new business premium income. The company has a capital base of Rs 672 crores as on 31st march 2007.

INDIVIDUAL LIFEProtection Birla Sun Life Insurance Term Plan

Birla Sun Life Insurance Premium Back Term Plan

Saving

Birla Sun Life Insurance Platinum Plus

Birla Sun Life Insurance Gold-Plus II

Birla Sun Life Insurance Saral Jeevan Plan

Birla Sun Life Insurance Supreme Life

Birla Sun Life Insurance Dream Plan

Birla sun Life Insurance Classic Life Premium

Birla Sun Life Insurance Simply Life

Birla Sun Life Insurance Prime Life Premier Birla Sun Life Insurance Prime Life Birla Sun Life Insurance Life companion Birla Sin Life Insurance Flexi Cash Flow

Birla Sun Life Insurance Flexi Save Plus

Birla Sun Life Insurance Flexi Life Line

Birla Sun Life Insurance Single Premium Bond

Retirement Birla Sun Life Insurance Flexi Secure Life Retirement Plan II

Birla Sun Life Insurance Freedom 58

Children

Birla Sun Life Insurance Childrens Dream Plan

Rural Birla Sun Life Insurance Bima Suraksha Super

Birla Sun Life Insurance Bima Dhan Sanchay

Birla Sun Life Insurance Bima Kavach Yojana

Riders

Birla Sun Life Insurance Accidental Death Rider Birla Sun Life Insurance Accidental Death and Dismemberment Rider Birla Sun life Insurance Term Rider Birla Sun Life Insurance Critical Illness Rider Birla Sun Life Insurance Waiver of Premium Birla Sun Life Insurance Critical Illness Plus Rider Birla Sun Life Insurance Critical Illness Woman RiderLITERATURE REVIEWCarrow Kenneth A. and Heron R. Capital market reactions to the passage of the Financial Services Modernization Act of 1999. The Quarterly Review of Economics and Finance 42 (2002): 465-485.

The authors investigate how the passage of the Financial Services Modernization Act of 1999 (FMA) affected stock prices of banks, thrifts, finance companies and insurance companies. The study looks at stock excess returns across sectors and company size. The idea is that the passage of the FMA opens doors for potential mergers and consolidations across banking, financial and insurance sectors, translating into abnormal positive returns for businesses that are the likely candidate for mergers and consolidation. The results of the study suggest that the largest returns to the FMA passage were realized by large investment banks and insurance companies. The stock prices of banks, both small and large, seemed to be unaffected by the new legislation while thrifts, finance companies and foreign banks lost value.

Carrow Kenneth A. Citicorp-Travelers Group merger: Challenging barriers between banking and insurance. Journal of Banking and Finance 25 (2001): 1553-1571.

This paper is conceptually similar to the one cited above, in that the author investigates whether the announcement of a merger between Citicorp and Travelers abnormally impacted stock prices of financial and insurance companies. Analysis of abnormal returns surrounding the merger show that life insurance companies and large banks experienced significant stock price increases, while the returns of stocks of smaller banks, health insurers, and property/casualty insurers remain relatively unchanged.

Estrella, Arturo. Mixing and matching: Prospective financial sector mergers and market valuation, Journal of Banking and Finance 25 (2001): 2367-2392.

This paper analyses which types of mergers are likely to be most productive for banks and other financial firms in the United States. The author acknowledges that the extent to which different business activities are fundamentally distinct induces a tradeoff between diversification gains and loss of efficiency. The research considers life insurance, property/casualty insurance, securities, and commercial firms as potential matches for firms and concludes that potential diversification gains arise from almost all combinations involving banking and insurance. The paper stands out because it shows, unlike other earlier research, that property and casualty insurance companies offer larger diversification gains to banks than life insurance companies.

Johnston, Jarrod and Madura J. Valuing the potential transformation of banks into financial service conglomerates: Evidence from the Citigroup merger The Financial review 35 (2000): 17-36.

The authors first summarize previous literature that examined motives for combining bank and other financial services. Diversification benefits and product complementarities (i.e. mortgage and mortgage insurance, auto financing and auto insurance) seem to be the prime motives. However, some earlier research also suggests that there are few linkages between bank services ands underwriting services in terms of customers, outlets, or other characteristics that generate efficiencies. Given the sources of potential gains, it appears that life insurance companies with their limited underwriting risk and wide variety of other products offered to individual customers would be more attractive targets for banks than other types of insurance companies.

Based on these observations, the authors propose to test whether commercial banks, insurance companies, and brokerage firms were favorably affected by the Citigroup/Travelers merger for impending consolidation of financial services firms. They measure the valuation effects resulting from the merger announcement among those commercial banks and financial services firms most likely to be affected and conclude that commercial banks, insurance companies, and brokerage firms have all experienced positive and significant valuation effects upon the announcement of the Citigroup merger. However, the authors find that the valuation effects are more favorable for brokerage firms than for commercial banks and for insurance companies.

Finally, the authors perform a cross-sectional analysis which concludes that the largest banks and the largest brokerage firms experience more favorable valuation than the smaller banks or smaller brokerage firms. Size does not seem to be significant for insurance companies

Industry Publications

Armstrong, Ed and Buse, P. (1996). Youve got the green light, whats it worth? ABA Banking Journal, Vol. 88, Sept., 13-18.

The article projects that banks would add 5-10 percent to their after tax profits if they aggressively pursue their insurance opportunity." The author develops a pro forma statement for banks selling 12 different insurance items.

Boros, Joan E. (2002). Are Convergence Products Happening? National Underwriter, Life & Health/Financial Services Ed., May 27, 2002.

The author states that convergence depends on its definition. She offers very useful definitions for convergence: 1) Merger of banks and insurers, heretofore independent, into a financial supermarket with endless cross-selling potential, and 2) A combination of insurance and capital markets products moving into a union and uniformity, or separate markets performing the same functions. This could also be labeled as securitization of insurance risk and or insurancization of financial risk.

Crystal, Mary (1997). That was then, this is tomorrow. Bank Marketing, Vol. 30, 1, Dec.97/Jan.98, 28-52.

This panel discussion on bank marketing suggests more direct interaction with customers by direct mail or personal contact. Doing it pro-actively and by alternative methods: call centers, PC-banking, internet banking and supermarket banking. Using branding and other retail marketing skills. Bankers have tried to cut down on personal contact and may have alienated their customers.

Gjertsen, Lee Ann (2002). Insurance Agents Thrift Seeks OK to Widen Reach. The American Banker, May 13, 2002.

Insurance agents of New Jersey, Connecticut and Massachusetts founded an association as Independent Insurance Agents and Brokers and have applied for a charter for an association savings bank. The bank products are to be sold by the independent insurance agents that own their own agencies. The bank is to be named InsurBanc.

OBJECTIVES OF THE STUDY

The main objective of Preparing this project Report are :

1) To know about the comparative study of Reliance Insurance and Birla Sun Life Insurance.

2) To know about the different plans available with the company.

3) To know about the customer awareness regarding the company.

4) To know about the fastest claim providing company.

RESEARCH METHODOLOGY

Introduction to Market Research

Market Research has become a great tool for the companies to get the feed back and formulate strategies accordingly. In todays business scenario, consumer is the king of market. Companies are eager to know what consumers perceive about various products for the perfect selection of target market.

Marketing Research specifies the information required to address these issue; designs the method for collecting information; manages and implements the data collection process; analyzes the results and communicates the findings and their implications.

The Research Methodology Used

Every project work requires research. Successful completion of any project and getting the genuine results form that the depends upon the research method used by the researcher. The whole research process used by me is as follows :-

Research and DesignThe method adopted for the research was experience survey i.e. the survey of people who had the practical experience of life insurance. In this Exploratory Research is used to define problem and hypothesis are developed to be tested later. Testing uses descriptive or

Experimental design that may solve the problems developed in exploratory research. All the marketing research projects of any significant scope must begin with exploratory research. This preliminary phase is absolutely essential in order to obtain a proper definition of the problem at hand. The investigator establishes exploratory research design primarily through two approaches :1) Examine Existing Literature.

2) Questioning people with particular expertise in the area.

Sample Design and Size

The sample chosen for the research was through some part of HARYANA, as these regions have the maximum number of insured persons and agents.

Data collection was done by using questionnaire method. In the questionnaire opened questions as well as close questions were used.

Analysis and Interpretation of Data

The data after collection has to be processed and analysed in accordance with the outline laid down for the purpose at the time of developing the research plan. Technically speaking process implies editing, coding, classification and tabulation of collected data so that they are amenable to analysis.

The term analysis is refers to the computation of certain measures along with searching for patterns of relationship that exist data groups.

Different processing Operations Are :

Editing : Editing of data is a process of examining the collected raw data to detect errors and omissions and to correct these. Editing is done to assure that the data are accurate, consistent with facts etc.

Coding : Coding refers to the process of assigning numbers or other symbols to answer so that responses can be put into a limited number of categories or classes.

Classification : Classification of data is the process of arranging data in group or classes on the basis of common characteristics.

Tabulation : Tabulation is the process of orderly arrangement of data in rows and columns.

Steps in selecting a Sample Design :

i. Type of Universe: The first step in developing any sample design is to clearly define the Universe to be studied. The universe can be finite or infinite. In finite universe the number of items is certain but in finite universe we cannot have any idea the total number of items.

ii. Sample Unit : A sampling unit may be geographical one such as state, district, village etc. or a construction unit such as house, flat etc. or it may be an individual.iii. Source List : It is also known as Sampling Frame from which sample is drawn. In contains the names of all items of universe.

iv. Size of Sample : This refers to the number of items to be selected from the universe to constitute a sample. The size of sample should neither be excessively large nor too small. It should be optimum.

v. Budgetary Constraints : Cost consideration from practical point of view have a major impact upon decision relating to not only the size of the sample but also to the type of sample.

DATA COLLECTION

Sources of Data

In the survey, the personal interview techniques is being used to get the respondents views for collecting the data. There are two kinds of sources of data.

1) PRIMARY SOURCE2) SECONDARY SOURCE

For the preparation of project report both primary as well as secondary sources are being used to secure the relevant data.

A part from personal interview method, Observation Method is also used to get the primary data or the basic roots of the research topic. For collecting the primary data I have surveyed the different persons engaged in insurance.

Data Collection Techniques Used

The data collection techniques used in the research was Questioning Techniques, which is mostly used in researchers because of its ease to analysis and interpretation of the data collected by this technique. This technique gives the data in a standard format, which is easy to analyze.

LIMITATIONS OF THE STUDY

How so ever impeccable a thing may see to be there always dwell some possibilities of failure and incompleteness. The result of this work also subject to some of limitations are as follows :-

Due to shortage of time the studies conducted on very small i.e. based upon material and information provided by the company. Some of the officers were too busy to give a sincere response to investigation and hence their response may not relate to real picture.

The findings of the research are limited to a particular area & can not be applied to all places.

As the human behavior is not constant so the results collected through questionnaire may or may not apply to future period of time.

Due to biasness of data it is difficult to get the accurate information from the respondents.

Because of inexperience of researcher it is difficult to collection the data.

SWOT ANALYSIS (Reliance Insurance and Birla Sun Life)

Strength :

1. Additional benefits like family income benefit.

2. Low premium.3. Four times risk cover in one plan.

4. Tax Benefit.5. Advantages for women in premium calculation.6. Reliance Insurance is going to introduce new plans and it is also competing in the Market with No.2 position in private insurance sector.

Weakness :

1. Credibility.2. Low Bonus Rate.

3. Lack of Advertisement of Birla Sun life.

4. Reliance Insurance is introduced to market after Birla Sun life hence its share in

Market is less than the Birla Sun life.

Opportunities:

1. Large Global Market.

2. Quicker response to customer need.

3. Potential to become a sourcing centre.

Threats:

1. Touch competition.

2. Lack of awareness.

3. Expensive.

DATA ANALYSIS & INTERPRETATIONS

Occupation

Table 1.1 Respondent category % age of person

SERVICEMAN 25

BUSINESSMAN 30

SHOP-KEEPER 25

HOUSE-WIFE 15

OTHER 5

TOTAL 100

(Source : Questionnaire)

Figureure No. : 1.1

Interpretation

The graph shows that the maximum number of persons are serviceman, shopkeeper, businessman, housewifes and other respectively. PEOPLE PREFRENCE FOR SAVING TOOL Table 1.2

Saving instrument %age of person

Bank 45%

Insurance 25%

P.P.F. 8%

Post office 14%

Other 8%

TOTAL 100

(source : Questionnaire)

Figureure 1.2

Interpretation

This table shows that people mainly prefer banking for investment, then post office, then insurance, and lastly P.P.F. and other option.PEOPLE INTERESTED IN INVESTING ININSURANCE SECTOR

Table :1.3

Interested in Insurance sector %age of person

Interested 82%

Uninterested 18%

TOTAL 100

(source : Questionnaire)

Figureure No. 1.3

Interpretation

The above diagram show that only 18% people are interested in insurance sector and remaining 82% are uninterested.

AWARENESS OF THE RELIANCE INSURANCE & BIRLA SUNLIFE INSURANCE

Table 1.4

Insurance Company %age of person

RELIANCE INSURANCE 52%

BIRLA SUNLIFE 48%

(source : Questionnaire)

Figureure No. 1.4

Interpretation

The above diagram shows that 52% are aware about Reliance Insurance and 48% people are aware about Birla Sun Life in the area of Yamuna Nagar district. POLICYHOLDERS OF DIFFERENT COMPANIES Table 1.5

COMPANIES % age of

respondents

Reliance Insurance 32%

Birla Sunlife 28%

Other 40%

Total 100

(source : Questionnaire)

Figureure no.1.5

Interpretation

The above diagram shows that 32% people have Reliance Insurance, 28% have Birla Sunlife, 41% have other insurer companies policy.

KNOWLEDGE ABOUT I.R.D.A.

Table 1.6

OPINION % age of respondents

YES 38%

NO 62%

(source : Questionnaire)

Figure No. 1.6

Interpretation

The above diagram shows that only 38% people know about Insurance Regulatory development of India and 62% do not know it.

KNOWLEDGE ABOUT RELIANCE AND BIRLA

ULIP PLANS

Table 1.6

OPINION % age of respondents

YES 22%

NO 78%

(source : Questionnaire)

Figure No. 1.7

Interpretation

The above diagram shows that only 78% people knowledge about ULIP plans of Birla and Reliance Insurance company and 22% people dont have knowledge about ULIP plans of Birla and Reliance Insurance company.

ULIP PLANS OF RELIANCE INSURANCE CO.

Table 1.8

Plans % age of

respondents

Saving & Investment 20%

Retirement Plan 30%

Child Plan 20%

Money guarantee 30%

Total 100

(source : Questionnaire)

Figure No. 1.8

Interpretation

The above diagram shows that 30% of respondents have knowledge about retirement and money guarantee plans of Reliance Insurance and 20% of respondents have knowledge about saving & investment and child plan plans of Reliance Insurance. ULIP PLANS OF BIRLA SUNLIFE INSURANCETable 1.9

Plans %age of

respondents

Gold Plus 18%

Retirement Plan 32%

Child Plan 28%

Dream Plan 22%

Total 100

(source : Questionnaire)

Figureure No. 1.9

Interpretation

The above diagram shows that 32% of respondents have knowledge about retirement plan of Birla Sun life, 28% of respondents have knowledge about child plan of Birla Sunlife, 22% of respondents have knowledge about dream plan of Birla Sunlife and 18% of respondents have knowledge about Gold plus of Birla Sunlife.MAXIMUM RETURN POLICIES

Table 1.11

Insurance Company %age of respondents

RELIANCE INSURANCE 55%

BIRLA SUNLIFE 45%

(source : Questionnaire) Figure No. 1.11

Interpretation

This table and diagram shows that 55% respondents says that RELIANCE INSURANCE is providing maximum returns on their policy than the BIRLA SUNLIFE INSURANCE.MAXIMUM TAX BENEFITSTable 1.12

Insurance Company %age of respondents

RELIANCE INSURANCE 58%

BIRLA SUNLIFE 42%

(Source : Questionnaire)

Figure No. 1.12Interpretation

This table and diagram shows that 58% respondent says that Reliance Insurance is providing maximum tax benefits on their policy than the Birla Sun Life.

FASTEST CLAIM PROCESSING

Table 1.13 Insurance Company %age of respondents

RELIANCE INSURANCE 60%

BIRLA SUNLIFE 40%

(Source : Questionnaire)

Figure No. 1.13

Interpretation

This table and diagram shows that 60% respondents say that Reliance Insurance is providing maximum returns on their policy than the Birla Sun Life.

SATISFICATION WITH SERVICES PROVIDED Table 1.15

OPINION %age of respondents

RELIANCE LIFE INSURANCE 89%

BIRLA SUN LIFE 11%

(Source : Questionnaire)

Figure No. 1.14

Interpretation

The above diagram shows that only 89% people are satisfied with the services provided by Reliance life insurance companies and 11% people are satisified with the services provided by birla sunlife insurance companies.FINDINGS Maximum number of persons are serviceman, shopkeeper, businessman, housewifes and other respectively.

People mainly prefer banking for investment, then post office, then insurance, and lastly p.p.f and other option. Only 18% people are interested in insurance sector and remaining 82% are uninterested.

Reliance Insurance captures the market share of 24%, Birla Sun Life 17% and the remaining share is captured by the other insurance companies.

52% are aware about Reliance Insurance and 48% people are aware about Birla Sun Life in the area of Yamuna Nagar district.

55% are satisfied with the Reliance Insurance, 35% are satisfied with the Birla Sunlife and remaining 10% are satisified with the other insurance companies.

60% people says that Reliance Insurance is providing good services and according to 40% people Birla Sunlife is providing the good services. 38% people know about Insurance Regulatory development of India and 62% do not know it.

34% know about the Reliance Insurance and remaining do not know about it.

40% respondents are interested Reliance Insurance remaining do not know about it.

55% respondents says that Reliance Insurance is providing maximum returns on their policy than the Birla Sunlife.

58% respondents says that Reliance Insurance is providing maximum tax benefits on their policy than the Birla Sunlife.

60% respondents says that Reliance Insurance is providing maximum returns on their policy than the Birla Sunlife.

SUGGESTIONS Company should emphasis on insurance plan advertisement, because at present company main focus on conventional product advertisement. Company also segment for small income people. Because company mainly plan for middle and high income people group. If company enters in this segment then company can capture a large part of rural market.

Company should also change the commission structure of F.C., because in initial year commission is very high as compare to remaining year. So F.C. does not focus on remaining year and many policies lapsed.

More and more advisor need to made so that the market can be covered at large.

During my survey I contact to people like doctors lawyers, bank manager, and high profile people. But according to my observation these people are not suitable because they are not interested in such kind of work. Therefore people doing clerical jobs, graduates unemployed people, who are in low income group should be taken into consideration.

CONCLUSIONOn the basis of above analysis and interpretation, conclusion is that insurance business is mushrooming in the country. Today there are no of insurance companies with different added advantage. Reliance Insurance is leading company in the insurance business in India.

Reliance Life Insurance Co. leads the private Insurance Co. 74% people know about the co. but since 2007, it has made the total cases of Rs. 658 crore because of the high expenditure in Advertisement .

On the other hand Birla sunlife Insurance Co. Ltd. Is good quality services but the knowledge of people about co. is less only 36% know about the Birla Sunlife Insurance Co. Ltd. The reason behind it is not regular add and not the more relationship with the people but now it is one of the fastest. BIBLIOGRAPHY

Books

C.R. Kothari, Research Methodology

Broachers of Reliance Life Insurance and Birla Sunlife Insurance.

Magazines

Indian Outlook

India Today

Insurance Sector Journals

Website

www.relianceinsurancae.comwww.birlasunlife.comwww.irda.orgQUESTIONNAIRE

Name :

Age :

Sex :

Address :

Contact No. :

Q.1 What is your occupation ?

Serviceman Shop-Keeper

Businessman House- Wife

Other

Q.2 What do you prefer for saving tool ?

Bank Post office

P.P.F. Insurance

Other

Q.3 Are you interested in investing in insurance section ?

Interested Uninterested

Q.4 Do you have Awareness of the reliance insurance and Birla Sunlife insurance ?

Reliance Insurance Birla Sunlife

Q.5 From which company do you have policies ?

Reliance Insurance Birla Sunlife Others Q.6 Do you have knowledge about IRDA ? Yes No

Q.7 Do you have knowledge about Reliance and Birla ULIP Plans ?

Yes No

Q.8 Which ULIP plan of Reliance Insurance you have ?

Saving & Investment Retirement plan

Child plan Money guarantee

Q.9 Which ULIP plan of Birla Sunlife Insurance you have ?

Gold Plus Retirement plan

Child plan Dream Plan

Q.10 How you will rate performance of Reliance Life Insurance ?

Excellent 5 4 3 2 1 Poor

Q.11 How you will rate performance of Birla Sunlife insurance ?

Excellent 5 4 3 2 1 Poor

Q.12 Which company gives you maximum return ?

Reliance Insurance Birla SunlifeQ.13 which companys policies gives you the maximum tax benefits ?

Reliance Insurance Birla SunlifeQ.14 What is the fastest claim processing ?

Reliance Insurance Birla Sunlife

Q.15 Are you satisfied with the services provided by the Insurance Company ?

Yes No

Public sector

Many players in private sector

Private sector

GIC

New India Assurance Co. Ltd.

LIC

Oriental Insurance Co. Ltd.

United India Insurance Ltd.

Evaluation of secondary Data

Problem Formulation

INSURANCE

Research and Design

25%

National Insurance CO. Ltd

30%

25%

15%

5%

SERVICEMAN

BUSINESSMAN

SHOP-KEEPER

HOUSE-WIFE

OTHER

35