reliance insurance in health plane

8/22/2019 Reliance Insurance in Health Plane

1/90

HARISH CHANDRA P.G.COLLEGE

F.M.T.VARANSI (U.P.)

A

PROJECT REPORT

ON

consumers Perception of Reliance Insurance about

Health Plans

SUBMITTED IN THE PARTIAL FULFILLMENT OF REQUIREMENT

FOR THE AWARD OF THE DEGREE OF

MASTER OF BUSINESS ADMINISTRATION

MBA F.M.T. VARANSI (UP)

COMPANY GUIDE

SUBMMITED BY

Ms. B.Shucharita SADHANA SHUKLA

Sr.Officer II SEM MBA

(EB-HR)

1

COMPANY GUIDE

Mr.SaurabhPandey

(Sales DevelopmentManager)

SUBMITTED BY

Ravince Kumar

MBAIII rd SemRoll No..1115470016


2/90

DECLARATION

I Ravince Kumar OF MBA 2 year of Faculty OF

Management Science and technology hereby declare that

the summer training report entitled consumers

Perception of Reliance Insurance about Health

Plans is an original word and the same has not been

submitted to any other institute for the award of any other

degree.

Sig

nature of candidate

2


3/90

Ravince Kumar

PREFACE

The liberalization of the Reliance Life Insurance & Health Plan has

been the subject of much heated debate for some years. The policy

makers where in the catch 22 situation wherein for one they wanted

competition, development and growth of this insurance sector which is

extremely essential for channeling the investments in to the

infrastructure sector. At the other end the policy makers had the fears

that the insurance premium, which are substantial, would seep out of

the country; and wanted to have a cautious approach of opening for

foreign participation in the sector.

As one of the rare occurrences the entire debate was put on the back

burner and the IRDA saw the day of the light thanks to the maturing

polity emerging consensus among factions of different political parties.

Though some changes and some restrictive clauses as regards to the

foreign participation were included the IRDA has opened the doors for

the private entry into insurance.

3


4/90

ACKNOWLEDGEMENT

I would like to thanks my project guide Mr. Saurabh Pandey , Sales

Development Manager RELIANCE LIFE INSURANCE, Varansi for guiding

me through my summer internship and research project. His

encouragement, time and effort are greatly appreciated.

I would like to thanks Mr. Saurabh Pandey, for supporting me during

this project and providing me an opportunity to learn outside the class

room. It was a truly wonderful learning experience.

I would like to dedicate this project to my parents. Without their help

and constant support this project would not have been possible.

Lastly I would like to thanks all the respondents who offered their

opinions and suggestions through the survey that was conducted by

me in Varansi.

Once again my gratitude to the consumers Perception of

Reliance Insurance about Health Plans . For their kind co-

operation.

4


5/90

CHAPTER -1

5


6/90

INTRODUCTION

PROFILE OF RELIANCE LIFE INSURANCE

Few men in history have made as dramatic a contribution to

their countrys economic fortunes as did the founder of

Reliance, Sh. Dhirubhai 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.

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

6


7/90

converted this fledgling enterprise into a Rs 60,000 crore

colossusan 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 patronised 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 exchange

for their trust, substantial return on their investments. It

was to be the start of one of great stories of mutual

respect and reciprocal gain in the Indian markets.

Under Dhirubhais extraordinary vision and leadership,

Reliance scripted one of the greatest growth stories in

7


8/90

corporate history anywhere in the world, and went on to

become Indias largest private sector enterprise.

8


9/90

ABOUT RELIANCE

Reliance Life Insurance Company Limited is a part of Reliance Capital

Ltd. of the Reliance - Anil Dhirubhai Ambani Group. Reliance

Capital is one of Indias leading private sector financial

services companies, and ranks among the top 3 private

sector financial services and banking companies, in terms of

net worth. Reliance Capital has interests in asset

management and mutual funds, stock broking, life and

general insurance, proprietary investments, private equity

and other activities in financial services.

Reliance Capital Limited (RCL) is a Non-Banking Financial

Company (NBFC) registered with the Reserve Bank of

India under section 45-IA of the Reserve Bank of India Act,

1934.

Reliance Capital sees immense potential in the rapidly

growing financial services sector in India and aims to

become a dominant player in this industry and offer fully

integrated financial services.

9


10/90

Reliance Life Insurance is another step forward for

Reliance Capital Limited to offer need based Life

Insurance solutions to individuals and Corporate.

INDIAN INSURANCEINDUSTRY

AN OVERVIEW

THE INSURANCE INDUSTRY IN INDIA

AN OVERVIEW

With the largest number of life insurance policies in force in the world,

Insurance happens to be a mega opportunity in India. Together with

banking services, it adds about 7% to the countrys Gross Domestic

Product (GDP). The gross premium collection is nearly 2% of GDP and

funds available with LIC for investments are 8% of the GDP.

Even so nearly 65% of the Indian population is without life insurance

cover while health insurance and non-life insurance continues to be

below international standards. A large part of our population is also

subject to weak social security and pension systems with hardly any

old age income security .A well-developed and evolved insurance

10


11/90

sector is needed for economic development as it provides long term

funds for infrastructure development and strengthens the risk taking

ability of individuals. It is estimated that over the next ten years India

would require investments of the order of one trillion US dollars.

HISTORICAL PERSPECTIVE

The history of life insurance in India dates back to 1818

when it was conceived as a means to provide for English

Widows. Interestingly in those days a higher premium was

charged for Indian lives than the non - Indian lives, as

Indian lives were considered more risky to cover. The

Bombay Mutual Life Insurance Society started its business

in 1870. It was the first company to charge the same

premium for both Indian and non-Indian lives.

The Oriental Assurance Company was established in 1880.

The General insurance business in India, on the other

hand, can trace its roots to Triton Insurance Company

Limited, the first general insurance company established

in the year 1850 in Calcutta by the British. Till the end of

the nineteenth century insurance business was almost

entirely in the hands of overseas companies.

11


12/90

Insurance regulation formally began in India with the

passing of the Life Insurance Companies Act of 1912 and

the Provident Fund Act of 1912. Several frauds during the

1920's and 1930's sullied insurance business in India. By

1938 there were 176 insurance companies.

The first comprehensive legislation was introduced with

the Insurance Act of 1938 that provided strict State

Control over the insurance business. The insurance

business grew at a faster pace after independence. Indiancompanies strengthened their hold on this business but

despite the growth that was witnessed, insurance

remained an urban phenomenon.

The Government of India in 1956, brought together over

240 private life insurers and provident societies under one

nationalized monopoly corporation and Life Insurance

Corporation (LIC) was born. Nationalization was justified on

the grounds that it would create the much needed funds

for rapid industrialization. This was in conformity with the

Government's chosen path of State led planning and

development.

The non-life insurance business continued to thrive with

the private sector till 1972. Their operations were

restricted to organized trade and industry in large cities.

The general insurance industry was nationalized in 1972.

12


13/90

With this, nearly 107 insurers were amalgamated and

grouped into four companies- National Insurance

Company, New India Assurance Company, Oriental

Insurance Company and United India Insurance Company.

These were subsidiaries of the General Insurance

Company (GIC).

KEY MILESTONES

1912: The Indian Life Assurance Companies Act enacted asthe first statute to regulate the life insurance business.

1928: The Indian Insurance Companies Act enacted to

enable the government to collect statistical information

about both life and non-life insurance businesses.

1938: Earlier legislation consolidated and amended by theInsurance Act with the objective of protecting the interests of

the insuring public.

13


14/90

1956: 245 Indian and foreign insurers along with provident

societies were taken over by the central government and

nationalized. LIC was formed by an Act of Parliament- LIC Act

1956- with a capital contribution of Rs. 5 crore from the

Government of India.

CHAPTER -214


15/90

INDUSTRY REFORMS

Reforms in the Insurance sector were initiated with the

passage of the IRDA Bill in Parliament in December 1999.

The IRDA since its incorporation as a statutory body in

April 2000 has fastidiously stuck to its schedule of framing

regulations and registering the private sector insurance

companies. Since being set up as an independent

statutory body the IRDA has put in a framework of globally

compatible regulations.

The other decision taken simultaneously to provide the

supporting systems to the insurance sector and in

particular the life insurance companies was the launch of

15


16/90

the IRDA online service for issue and renewal of licenses to

agents. The approval of institutions for imparting training

to agents has also ensured that the insurance companies

would have a trained workforce of insurance agents in

place to sell their products.

RelianceHealth Insurance Policy

Reliance Endowment plan

Reliance Life Care for you Plan

Reliane Cash Flow Plan

Reliance Child PlanFamily floater plan

16
http://economictimes.indiatimes.com/topic/Reliance-Lifehttp://economictimes.indiatimes.com/topic/Reliance-Life


17/90

Reliance Health Insurance Policy Features

Seeing your family in the best of health is your atmost

priority. Yet, despite your best efforts, unexpected illness/

accidents do occur, that can take a toll on your savings. We

offer you healthcare insurance with Reliance Health Wise

policy that provides financial assistance to you and your

family, it covers you against hospitalization expenses

towards diseases / illness / injury in India along with a host of

value added covers.

17
http://economictimes.indiatimes.com/photo/16709505.cms


18/90

The thought of a critical illness is unpleasant and least

desirable to discuss. This is because apart from having an

adverse effect on one's health it also leaves a devastating

effect on an individual's financial situation. At Reliance

General Insurance, we endeavor to protect all that you

value. The Reliance Critical Illness Policy is designed to

ensure that you are cushioned against financial adversity as

a result of a critical illness.

With Reliance Critical Illness policy we provide you health

coverage for ten critical illness/ surgeries without anymedical check up to the age of 45 years. Apart from this, you

also get income tax benefits to ensure that you continue to

enjoy the standard of living that you enjoyed before a critical

illness.

Critical Illness Insurance - Key Highlights

Health insurance for 10 critical illness/ surgeries

Health insurance helps in providing access to quality

health care among all sections of society.

Lack of regular health check ups,unhealthy food habits

and genetic factors makes it important for all Indians to

have health insurance.

Protects people from indebtedness &improverishment

resulting out of medical expenses.

18


19/90

Provides relative peace of mind&security during a crisis

arising out of a medical emergency.

Its a plan for lifes uncertainties-emergency

Hospitalization.

Income Tax benefits under Section 80 D of the Income

Tax.

Who can be covered?

Any person who is between the age group of 20 to 50 years.

Maximum entry age in the Policy is 50 years.

Exit age for the policy is 55 years. A person with 20 years

completed age can take Policy for him/her and for spouse, 2

dependent children & parents

Reliance Critical Illness Insurance Policy

CoverageThe Reliance Critical Illness Policy provides for a lump

sum benefit on diagnosis of the following Critical Illnesses or

performance of any of the mentioned Surgeries.

Category I Life Threatening

Cancer

Major Organ Transplant Multiple Sclerosis

Third Degree Bu

Eye surgery-cataract and glaucoma

Treatment of fracture

19


20/90

Dental surgery due to accident

Surgical dressing of wound

Category II Lifestyle Disabling

Heart Valve Replacement or repair

Coma (persisting more than 30 days)

Quadriplegia (persisting more than 60 days post

diagnosis without any significant recovery)

Total Blindness

End Stage Renal Disease (not involving transplant)The benefit payment under the Policy will be paid on survival

for more than 30 days post diagnosis of the critical illness

except in case of Quadriplegia where the benefit will be paid

after 60 days.

Sum Insured Options

The Policy offers you an option to choose between

Sum Insured of Rs. 5 lakhs, 7 lakhs, 10 lakhs, 15 lakhs and

20 lakhs

Reliance Critical Illness Insurance Policy

Exclusions

At Reliance General Insurance, we would like thingsto be as transparent as possible and hence we would like

you to know that Reliance Critical Illness Policy does not

cover the following:

20


21/90

All diseases, illnesses, injuries which are pre-existing

when the cover incepts for the first time under this

Policy

Critical illness contracted or evidenced through signs

and symptoms within 3 months of the inception date of

this Policy

No benefit under the policy if death occurs within 30

days of diagnosis of the critical illness or performance

of surgery

Certification/diagnosis by a family member, person notregistered as Medical Practitioner or any diagnosis that

is not scientifically recognized

Any critical illness arising out of any congenital Illness

or condition or disorder whether internal or external

Critical illness/condition resulting, directly or indirectly,

caused by, contributed to or aggravated or prolonged

by child birth or from pregnancy or in consequence

thereof

Any critical illness due to alcohol, smoking, other

tobacco intake or drug abuse

Any treatment/surgery for change of sex or any

cosmetic surgery or treatment/surgery/complications/

illness arising as a consequence thereof

Critical illness acquired as a consequence of Human

Immuno-deficiency Virus (HIV) infection

21


22/90

Critical illness arising due to intentional self-injury,

suicide or attempted suicide

Any critical illness arising or resulting from the Proposer

or any of his family members committing any breach of

law or participating in an actual or attempted felony,

riot, crime, misdemeanor or civil commotion

War, Terrorism induced Critical Illness/Surgery or

caused by nuclear weapons

Eligibility

The policy can be issued to any Individualbetween the age group of 20 to 50 years. The maximum

entry age & exit age in the Policy is 50 & 55 years

respectively.

Reliance Life Care For You Planwe protect, we care

"A Non-linked Health Insurance Plan"

22
http://www.reliancelife.com/RLIC/Products/SolutionsforIndividuals/Plans/RelianceCareForYouPlan/RLCareForYouPage.aspxhttp://www.reliancelife.com/RLIC/Products/SolutionsforIndividuals/Plans/RelianceCareForYouPlan/RLCareForYouPage.aspx


23/90

Why should you buy a Health Insurance Cover?

The worst nightmare that anyone can have is the one when

a family member is hospitalized yes as rightlysaid Health is Wealth. Everything is uncertain nobody

can be sure what will happen. At times, unfortunately we fall

prey to unanticipated accidents & illness. We are all aware

that health care costs are high and getting higher and higher

and you need to be prepared for such an emergency.

Reliance Life Care for You Plan provides you complete

healthcare cost coverage along with various unique features

which ensure that your family is adequately taken care of

during medical emergencies.

What is Reliance Life Insurance Care for You Plan?

Why do you need it?

23


24/90

A medical cover is an assurance of peace of mind for you

and your family. It offers protection and financial stability

when medical uncertainties arise.

Reliance Life Insurance understands the financial burdens

that you may confront from time to time and to alleviate this

burden, we bring you the Reliance Life Care for You Plan.

Its an innovative plan that not only covers you but also your

family members which includes your spouse, children,

parents and parents-in-laws.

What makes the Reliance Life Care for You Plan uniqu

The uniqueness lies in its nature and capacity to provide

financial protection, when you most need it. When an

unexpected diagnosis of a serious illness or hospitalization ofa loved one takes its toll on you mentally as well as

financially, this plan helps you to confront the situation with

courage and confidence.

With the Reliance Life Care for You Plan you neednt

worry, as it offers an extensive list of unique features unlike

any other policy.

Cashless facility at 4000 hospitals across the country

Single sum assured covers the entire family

Day Care Treatment covered

24


25/90

Covers parents and in-laws

Maternity Benefit (available under family floater cover)

Fixed premium guarantee for a period of 3 years

5% increase in Sum Assured without paying any extra

premium for every claim free year.

Who is eligible under this cover?

The primary benefit of the Reliance Life Care for You

Plan is that it covers you along with your spouse, children,

parents and parents-in-laws. You are eligible for the plan ifyou are above 18 years and within 60 years of age. In the

case of your family members anyone from 3 months to 66

years is eligible to enter this plan.

Isnt this cover expensive?

Actually its quite the opposite.

Its a Single Sum Assured plan thats flexible enough to

give you the option to choose from `2 lac to` 10 lacs

It also gives you the option to cover the entire family

under family floater coverage instead of buying

individual policy plans which would be far more

expensive than just a single cover. Another added benefit that helps you save is that your

Premium will remain fixed for a period of 3 years

irrespective of age and nature of the claim.

25


26/90

Why Reliance Life Insurance should be your first

choice?

Reliance Life Insurance presents a very innovative plan for

the entire family including children, dependant parents and

in-laws too. Reliance Life Insurance cares for you and

assures to stand by you during those difficult times of

physical and mental stress so that you are able to be

hassle free during your & your family's health related

emergencies by providing you with a 3 year health cover

with guaranteed renewability and guaranteed renewable

discount plus a guarantee of fixed premium for 3 years. We

also cover Pre-existing illnesses after 4 continuous years of

membership and Maternity Benefit under family floater

cover. You and your family members will have guaranteed

coverage upto the age of 75 years (21 years in case of

children) irrespective of claim experience and change in your

health condition.

At Reliance Life Insurance, we not only protect you,

but we care for you too...

What this plan brings for you?

26


27/90

Key Features and Benefits:

Reimbursement of all admissible medical expenses when

you are in hospital.

Maternity Benefit (available under family floater cover)Pre existing illness covered after 4 continuous years of

membership.150 Day Care Treatment coveredPre & Post hospitalization expenses are covered.Ambulance charges payable.Income Tax benefit under section 80(D)Entire family covered under a single umbrella of protection.

Cover your Parents & parents-in-lawGuaranteed RenewabilityCashless facility at 4000 hospitals across the country.Sum Insured is increased by 5% without paying any extra

premium, for every claim free year.Guaranteed fixed rate of premium for 3 years.Renewal discount of 15% on premium at the time of term

renewal as a token of appreciation for your continued faith

in us.Wide range of Sum Insured ranging from `2 lacs to ` 10 lacs.

27


28/90

Reliance Health Ventures Limited leads the Reliance Groups

foray in healthcare services and delivery. In a country where

healthcare is fast establishing its credentials, Reliance Health

has established businesses that compare with the best

globally. Providing cutting edge and affordable healthcare

solutions, Reliance Health aims at revolutionizing healthcare

by enabling a healthcare environment that is both affordable

and accessible through partnerships with government and

private businesses.

28


29/90

29


30/90

CHAPTER -3

PROFILE OFORGANIGATIONCORPORATE OBJECTIVE

At Reliance Life Insurance & Health Plan, we strongly

believe that as life is different at every stage, life

insurance must offer flexibility and choice to go with that

stage. We are fully prepared and committed to guide you

30


31/90

on insurance products and services through our well-

trained advisors, backed by competent marketing and

customer services, in the best possible way.

It is our aim to become one of the top private life

insurance companies in India and to become a

cornerstone of Reliance Life Insurance & Health Plan

integrated financial services business in India.

CORPORATE MISSION

To set the standard in helping our customers

manage their financial future.

BELOW ARE FEW OF RELIANCE LIFE INSURANCE &Health Plan THAT ARE OFFERED BY RELIANCE LIFEINSURANCE

INSURANCE PLANS AVAILABLE

1. Products (Individual Plans)

31


32/90

Savings (Endowment)

2. Reliance Endowment Plan

3. Reliance Special Endowment Plan

4. Reliance Cash Flow Plan

5. Reliance Child Plan

6. Reliance Whole Life Plan

Pensions

7. Reliance Golden Years Plan

Investments

8. Reliance Market Return Plan

Products (Group / Corporate Plans)

9. Risk (Protection )

Reliance Group Term Assurance Policy(formerly Group Term Assurance Policy)

Reliance EDLI Scheme(formerly EDLI Scheme)

10. Pensions

a. Reliance Group Gratuity Policy(formerly Group Gratuity Policy)

b. Reliance Group Superannuation Policy(formerly Group Superannuation Policy)

32
http://www.reliancelife.co.in/products/ind_RCFP.asphttp://www.reliancelife.co.in/products/ind_RCP.asphttp://www.reliancelife.co.in/products/ind_RWLP.asphttp://www.reliancelife.co.in/products/ind_RGYP.asphttp://www.reliancelife.co.in/products/ind_RMRP.asphttp://www.reliancelife.co.in/products/ebp_RCESP.asphttp://www.reliancelife.co.in/products/ebp_EDLI.asphttp://www.reliancelife.co.in/products/ebp_RCBP.asphttp://www.reliancelife.co.in/products/ebp_RCPP.asphttp://www.reliancelife.co.in/products/ind_RCFP.asphttp://www.reliancelife.co.in/products/ind_RCP.asphttp://www.reliancelife.co.in/products/ind_RWLP.asphttp://www.reliancelife.co.in/products/ind_RGYP.asphttp://www.reliancelife.co.in/products/ind_RMRP.asphttp://www.reliancelife.co.in/products/ebp_RCESP.asphttp://www.reliancelife.co.in/products/ebp_EDLI.asphttp://www.reliancelife.co.in/products/ebp_RCBP.asphttp://www.reliancelife.co.in/products/ebp_RCPP.asp


33/90

11. Reliance Money Guarantee Plan

2.3 Reliance Policies

(1) Reliance Children Plans

What could make you happier than knowing, that your

child's future is secure? Nothing, we suppose. Which is

why, Reliance Life Insurance brings to you Reliance SecureChild Plan, a unit-linked Insurance Plan, that gives you the

freedom to enjoy today with your child, because his

tomorrow is in safe hands.

Do you see your child becoming a trailblazer?

Will they create the ultimate symphony or give sports

a new dimension?

33


34/90

Our children may just be the ones to end the arms race

and wipe out poverty from the face of the Earth. But for

them to be able to aim for the skies, YOU NEED TO ACT

NOW!

Introducing Reliance Secure Child Plan - a unique life

insurance cum savings plan. secure the future of your

child.

Key FeaturesInsurance cover on the life of childYour child is completely protected - we will

continue to pay the premiums even if you are not

aliveLife time income to child in the event of disabilityReturn Shield option to protect your investment

returnsLiquidity in the form of partial withdrawalsCapital guarantee available on maturity and on

death of the child for basic and top-up premiumsOption to package with Accidental Death and Total

and Permanent Disablement Rider, Critical

Conditions Rider and Term Life Insurance Benefit

Rider.

(2)Reliance Health + Wealth Policy

34


35/90

UNDER THIS PLAN THE INVESTMENT RISK IN THE

INVESTMENT PORTFOLIO IS BORNE BY THE

POLICYHOLDER.

There are times when late working hours take precedence

over your health check-ups. And there are times when a

visit to the doctor seems more important than dividends

on your shares. In the rat race to make money, we often

forget to take care of ourselves.

We understand this predicament. Here is a plan that will

ensure that your wealth keeps increasing constantly and

yet your health does not take a backseat. The Reliance

Wealth Health Plan. A plan that gives you the benefits of

wealth bhi. health bhi.

Life changes. And as it does, so do your priorities. After all,the circumstances of your life can determine the type of

health coverage you need.

35


36/90

India has made rapid strides in the health sector. Since

Independence, life expectancy has gone up markedly and

survival rates have also increased, still critical health

issues remain. Infectious diseases continue to claim a

large number of lives.

Reliance Wealth + Health Plan, a health insurance plan

underwritten by Reliance Life Insurance Company Limited,is designed to work in conjunction with contributions

towards savings.

Key FeatureA Unit Linked plan with Unique Savings ComponentTwin benefit of market linked return and health

protectionChoose from two different plan optionsFlexibility to take care of your familys healthFlexibility to switch between funds / plan optionsOption to pay Top-ups

36


37/90

(3) Reliance Pension Policy

UNDER THIS PLAN THE INVESTMENT RISK IN THE

INVESTMENT PORTFOLIO IS BORNE BY THE

POLICYHOLDER.

Retirement means different things to different people,

while some want to relax and take a trip around the world,

some want to start up a venture of their own, and pursue a

dream harnessed for years. The power to make your

autumn years special lies only with you. The Reliance

Super Golden Years Plan gives you the power and the right

kind of solution - A retirement plan that allows you to save

systematically and generate the much-needed corpus to

make your olden years look golden.

Key Features Reliance Pension Policy :Invest systematically and secure your golden years

37


38/90

A flexible unit-linked pension product that is

different from traditional life insurance products

with Vesting Age between 45 & 70 years

Eight different investment funds to choose fromFlexibility to switch between fundsOption to pay Regular, Single as well as Top-up

premiumsFlexibility to advance / extend your Vesting AgeTax free commutation up to one third of Fund

Value at Vesting Age

(4) Reliance Whole life insurance policy

Youve always loved your family. As a loving person you

want to be rest assured that they will be happy, even if

something were to happen to you. With Reliance Whole

Life Plan you can be sure that your family will receive that

timely financial support they need.

Go ahead, live your today to the fullest, without a worry

about tomorrow.

Key FeaturesInsurance protection till age 85Choice of extending your insurance coverage till

age 99Convenient Premium Payment TermWealth creation through bonus additionsMore value for your money by way of High Sum

Assured Rebate Get Sum Assured plus Bonuses in

38


39/90

case of your unfortunate deathOption to add two Riders Critical Illness and

Accidental Death Benefit and Total and Permanent

Disablement RiderPolicy Loan available after three full years

premium payment

OBJECTIVES OF STUDY

The main of the present study of is accomplish thefollowing objective.

Proper understanding and analysis of life

insurance industry.

To know about brand awareness of Reliance Life

Insurance & Health Plan and customers

preference about Reliance Life Insurance &

Health Plan .

According the market survey come know about

how much potential of insurance market in our

city.

And base on analysis of the result thus obtained

make a report on that research.

Training aims at recruiting maximum number of

Life Advisors and to Sell the maximum policiesfor the company and bring the business for the

company which ever is going at the particular

point of time.

39


40/90

As the Reliance Life Insurance & Health Plan well

reputed company in India its great chance for

me to observed different products launch by

other competitor companies like Reliance Life

Insurance & Health Plan life etc. In all, it is to

understand the overall working of the Life

insurance sector.

The objective behind the project is as follows:

To find the right candidate.

To about their family background, occupation,

social relation, Qualification, Age.

40


41/90

CHAPTER -4

RESEARCHMETHODOLOGY

41


42/90

TITLE

To determine customer-buying behavior with a focus on

market segmentation for Reliance Life Insurance & Health

Plan.

TITLE JUSTIFICATION:

The above title is self explanatory. The study deals

mainly with studying the buying pattern in the

insurance industry with a special focus on Reliance life

Insurance. The various segments of the markets divided

in terms of Insurance Needs, Age groups , Satisfaction

levels etc will also studied.

OBJECTIVES

Objective One

To determine reasons behind opting for an insurance.

42


43/90

To provide the company with information of customer's

Insurance policy if they have any and reasons for

opting for that particular policies.

To know the most preferred policy.

Objective Two

To determine customers perception towards private

insurance companies and their expectation form

private insurance companies.

To determine the feedback on services provided by any

other insurance agent.

To study the types of benefits provided by insurance

services.

To determine the use of Internet for valuable

information and decision-making process.

SCOPE OF THE STUDY

A big boom has been witnessed in Reliance Life Insurance

& Health Plan in recent times. A large number of new

43


44/90

players have entered the market and are gain market

share in this rapidly improving market. The study deals

with Reliance in focus and the various segments that it

caters to. The study then goes on to evaluate and analyse

the findings so as to present a clear picture of trends in

the Insurance sector.

SIGNIFICANCE OF THE STUDY

SIGNIFICANCE TO THE INDUSTRY :

This is a limited study which takes into consideration the

responses of 100 people. This data can be explorated to

take in the trends across the industry. The significance for

the industry lies in studying these trends that emerge from

the study. It is a rapiddly changing and evolving sector.

People are only beginning to wake up to its vast

possibilities. A study like this can attempt to guide the

future of the industry based on current trends.

SIGNIFICANE FOR THE RESEARCHER :

44


45/90

To facilitate and provide all the useful informtaion of the

studt, the company, the insurance industry and also

provide marketing ways, methods of reliance life

insurance.

RESEARCH DESIGN

NON-PROBABILITY

EXP& D LORATORY ISCRIPTIVE EXPERIMENTAL

RESEARCH

The research is primarily both exploratory as well as

descriptive in nature. The sources of information are both

primary & secondary.

A well-structured questionnaire was prepared and personal

interviews were conducted to collect the customers

perception and buying behavior, through this

questionnaire.

SAMPLING METHODOLOGY

45


46/90

SamplingTechnique:

Initially, a rough draft was prepared keeping in mind the

objective of the research. A pilot study was done in order

to know the accuracy of the Questionnaire. The final

Questionnaire was arrived only after certain important

changes were done. Thus my sampling came out to be

judemental and convinent

Sampling Unit:

The respondants who were asked to fill out questionnaires

are the sampling units. These comprise of employees of

MNCs, Govt. Employees, Self Employeds etc.

Sample size:

The sample size was restricted to only 100, which

comprised of mainly peoples from different regions of

Delhi due to time constraints.

Sampling Area :

46


47/90

The area of the research was New Delhi, India.

CHAPTER -5

47


48/90

LIMITATIONS OF THE RESEARCH

1. The research is confined to a certain parts of Varanasi

and does not necessarily shows a pattern applicable to

all of Country.

2. Some respondents were reluctant to divulge personal

information which can affect the validity of all

responses.

3. In a rapidly changing industry, analysis on one day or

in one segment can change very quickly. The

environmental changes are vital to be considered in

order to assimilate the findings.

48


49/90

MARKETING STRATREGIES OF THE COMPANY

SOME OF THE STRATEGIES ADOPTED BY

RELIANCE LIFE INSURANCE COMPANY.

Reliance Life Insurance plans to tap Reliance

Communications' 2.5-crore telephony subscriber base to

market its products.

The company is considering a series of options to leverage

its relationship with Reliance Communications.

However, a joint product or a co-branded solution would

require approval from the Insurance Regulatory and

Development Authority

Customers of R World, the information and entertainment

portal of Reliance Communications, would also be able to

pay premiums through a bank account, provided the bank

is listed on the network.

49


50/90

Reliance Life Insurance officials, however, offered no

comment when asked whether there would be an

arrangement for payment of commission to Reliance

Communications.

As an alternative channel for distribution, insurance

companies usually tie up with banks. In the case of banc

assurance, where there is a corporate agency tie-up, the

commission could range from 5 per cent to 40 per cent of

first-year premium depending on the commission loaded

on to the product at the time of registration with IRDA.

50


51/90

CHAPTER -6

51


52/90

DATA ANALYSIS & INTERPRETATION

DATA GIVES PREFERENCE OF RESPONDENTS OF INSURANCECOMPANIES

COMPANYS NAMENO.OFRESPONDENT

SHARE (%)

L.I.C. 78 78

RELIANCE LIFE

INSURANCE

3 3

ICICI PRUDENTIAL 10 10

SBI LIFE 7 7

HDFC 2 2

TOTAL 100 100

78

3

10

7 2

LIC

REL

ICICI

SBI

HDFC

INTERPRETATION

52


53/90

78% of the people contacted prefer LIC policy to any other and

therefore it is ranked no.1 by that percent of respondents.

DATA GIVES BENEFITS OF INSURANCE PERCEIVED BY

RESPONDENTS

BENEFITSNO.OFRESPONDENTS

SHARE (%)

Cover Future Uncertainty 55 55

Tax Deductions 20 20

Future Investment 25 25

TOTAL 100 100

INTERPRETATION

55% of the respondents believe that covering future uncertainty

is the biggest benefit of an insurance policy.

53

55%

20%

25%

Cover FutureUncertainty

Tax Deductions

Future Investment


54/90

Whereas, 20% and 25% of them believe that the other benefits

are Tax deduction and future investments respectively.

DATA PROVIDES FEATURES OF INSURANCE POLICY THAT

ATTRACTED RESPONDENTS

FEATURE NO.OFRESPONDENTS

SHARE (%)

Money Back Guarantee 15 15

Larger Risk Coverance 37 37

Easy Access to Agents 7 7

Low Premium 30 30

Companys Reputation 11 11

TOTAL 100 100

FEATURES OF INSURANCE POLICY

15%

37%

7%

11%

30%

MONEY BACK

GUAARENTEE

LARGER RISK

COVERANCE

EASY ACCESS TO

AGENTS

LOW PREMIUM

REPUTATION OF

COMPANY

INTERPRETATION

54


55/90

Majority of the respondent (37%) found Larger risk coverance

as the most attracted feature of the all.

55


56/90

DATA PROVIDES NUMBER OF INSURANCE POLICY TYPE

RESPONDENTS

POLICY TYPE NO. OFRESPONDENTS

SHARE (%)

LIFE POLICY 75 75

NON LIFE POLICY 25 25

BOTH 45 45

NATURE OF POLICY

75

25

45

LIFE

POLICYNON LIFE

POLICYBOTH

INTERPRETATION

75% of the respondents have Life Insurance Policy while 45% have

both. (The % is calculated out of 280 positive response)

56


57/90

DATA GIVES PEOPLE PERCEPTION ABOUT INSURANCE

RESPONSE NO. OFRESPONDENTS

SHARE (%)

A saving tool 81 81%

A tax saving device 74 74%

A tool to protect your family 100 100%

81

74

100

SAVING

TOOL

TAX SAVING

TOOL

FAMILY

INTERPRETATION

81% of the respondents have perception of Insurance being a

saving tool.

And 74% of the respondents have perception of Insurance being a

tax saving device.

But 100% of the respondents are with the view that Insurance is a

tool to protect your family.

57


58/90

DATA SHOWS PEOPLES HAVING INSURANCE


SHARE (%)

Yes 70 70%

No 30 30%

Total 100 100%

INTERPRETATION

58

70%

30%

Yes

No


59/90

Of the sample size of 400 surveyed respondents 70% of the

respondents are having Insurance policy.

30% of the respondents are either not having any Insurance policy

at present or their policy is already matured.

And at present 100% of the respondents are with the view that

Insurance is a tool to protect your family.

DATA SHOWS BUYING PROCESS OF THE PEOPLE

BUYING PROCESS NO. OFRESPONDENTS

SHARE (%)

Customer approachedInsurance company/Agent

45 45%

Company/agent approachedcustomer

55 555

Total 100 100%

59

55%

45%

Customer approached Insurance company/Agent

Company/agent approached customer


60/90

INTERPRETATION

44.5% of the respondents approached the Insurance Company /

Agent.

Whereas, 55.5% of the respondents were approached by the

Company /Agent.

60


61/90

DATA SHOWS REASONS BEHIND FOR INSURANCE


SHARE (%)

Tax saving 80 80%

Saving / Investment 80 80.%

Family protection 100 100%

INTERPRETATION

80.71% of the Respondents opted for Insurance for tax saving

benefits.

80.71% of the Respondents opted for saving / Investments.

But all of them, i.e. 100% of the respondents have opted for

insurance for their family protection.

61

80

100

80

Slice 1 Slice 2 Slice 3


62/90

DATA SHOWS SATISFACTION OF RESPONDENTS WITHRESPECT TO POLICY


SHARE (%)

Satisfied 60 60%

Not satisfied 40 40%

Not Responded 0 0.0%

Total 100 100%

INTERPRETATION

60% of the respondents are more or less satisfied with their

existing policy.

40% of the respondents are not satisfied with their existing policy.

In this case all of those who have taken a policy have responded.

62

0%

40%

60%

Satisfied Not satisfied Not Responded


63/90

DATA SHOWS SATISFACTION OF +RESPONDENTS WITH

RESPECT TO SERVICE AGENT


SHARE (%)

Satisfied 45 45%

Not satisfied 55 55%

Not Responded 0 0.0%

Total 100 100%

INTERPRETATION

45% of the respondents are satisfied with their existing service

agent.

55% of the respondents are not satisfied with their existing

insurance agent.

63

55.00%45.00%

Satisfied Not satisfied


64/90

All of those who have taken a policy have responded.

64


65/90

DATA SHOWS NUMBER OF RESPONDENTS PAYING TAX


SHARE (%)

Paying tax 100 100%

Not paying tax - 0%

Total 100 100%

INTERPRETATION

Of the sample size of 400 respondents, all the respondents are

paying tax.

65

0%

100%

Paying tax Not paying tax


66/90

DATA SHOWS RESPONDENTS INVESTMENTS FOR TAX

SAVING

INVESTMENTS NO. OF

RESPONDENTS

SHARE (%)

LIC 51 51%

NSC 33 33%

Bonds 32 32%

PPF 25 25%

PF 21 21%

EPF 11 11%

INTERPRETATION

51% of the respondents save their tax by investing in LIC, which is

the highest among all Investment. This shows that most people for

getting taxes benefits invest in LIC.

33.25% of the respondents do their tax saving by investing in NSC.

66

33

32

25

2151

LIC NSC BOND PPF PF EPF


67/90

32.25% of the respondents to their tax saving by investing in

bonds.

DATA SHOWS RESPONDENTS PERCEPTION ABOUT BEST

FORM OF INVESTMENT FOR SECURING THEIR FUTURE

NO. OFRESPONDENTS

SHARE (%)

Fixed Assets 75 75%

Bank deposits 11 11%

Jewellery 25 25%

Securities i.e. bonds, MFs 40. 40%

Shares 10 10%

Insurance 70 70%

INTERPRETATION

75.25% of the respondents as with the view that Fixed Assets is the

best form of investment for securing their future.

67

11

2540

10

7075

Fixed Assets

Bank deposits

Cash &

JewellerySecurities i.e.

bonds, MFsShares

Insurance


68/90

70.5% of the respondents are with the perception that Insurance is

the best form of investment for securing their future, which is one

of the highest and this shows that insurance is an important key for

securing your future.

DATA SHOWS WHAT PEOPLE INTENT TO GAIN FROM THEIR

INVESTMENT


SHARE (%)

Saving & Returns 100 100%

Security 90 90%

Tax benefits 71. 71.%

68

90

71

100

Saving & Returns Security Tax bene fits


69/90

INTERPRETATION

100% of the respondents intent to gain saving and returns from

their investment.

90% of the respondents intent to gain security from their

investments.

Whereas, 71.75% of the respondents intent to gain tax benefits

from their investments.

DATA GIVES PEOPLES PERCEPTION ON APPROPRIATE AGE

FOR BUYING INSURANCE


SHARE (%)

After 25 years 29 29%

After 35 years 10 10%

After 45 years 0 0%

Anytime 60 60%

69


70/90

INTERPRETATION

29% of the respondents are with the view that insurance should be

bought after the age of 25 years.

10.5% of the respondents are with the view that insurance should

be buyed after the age of 35 years.

Whereas, 60.5% of the respondents are with the view that buying

of insurance do not have any thing to do with age i.e. there is no

age limitations. It can be purchased any time according to the

need.

70

0%

29%

10.10%60.61%

After 25 years After 35 years After 45 years Anytime


71/90

DATA SHOWS PEOPLE OPINION ABOUT INDIAN INSURANCE

COMPANIES

RESPONSE NO. OF

RESPONDENTS

SHARE (%)

Rigid plans 67 67%

Non user friendly 29 29%

Unsatisfactory services 26 26%

Non Aggressive 35 35%

Satisfactory 24 24%

Good 10 10%

Very good 0 0%

INTERPRETATION

71

2926

24

10 0

Inflexible plans Non user friendlyUnsatisfactory services Non AggressiveSatisfactory GoodVery good


72/90

67% of the respondents have the opinion that Indian Insurance

Companies have Rigid plans.

29.5% feel that Indian Insurance companies are Non-user friendly.

26.5% feel that services of Indian Insurance companies are

Unsatisfactory.

35.75% of the respondents are with the view that Indian Insurance

companies are Non-aggressive.

24% of the respondents feel that products and services of Indian

Insurance companies is Satisfactory.

Whereas only 10.25% feel that it is Good enough.

And according to the data, no single person has felt that it is very

good.

72


73/90

DATA SHOWS WHAT PEOPLE WOULD LOOK FOR IN AN

INSURANCE COMPANY

RESPONSE NO. OF

RESPONDENTS

SHARE (%)

A trusted name 82 82%

Friendly service &responsiveness

71 71%

Good plans 81 81%

Accessibility 49 49%

INTERPRETATION

82% customers look for a Trusted name in a company for

insurance.

81.5% customers look for a good plan in a company for insurance.

73

71

81

49

82

A trusted name

Friendly service & responsiveness

Good plans

Accessibility


74/90

Friendly service & responsiveness and Accessibility are also

important factors looked by customers in a company.

DATA SHOWS PEOPLE PLANNING FOR NEW INVESTMENTS


SHARE (%)

Planning 87 87%

Not planning 13 13%

Total 100 100%

INTERPRETATION

Only 12.5% of the customers contacted are not planning for new

investments presently.

74

87.0%

13.0%

Planning Not planning


75/90

Whereas, 87.5% of the customers are still planning for new

investments this can be a great potential for Reliance Life

Insurance to take them on their favor.

75


76/90

DATA SHOWS PEOPLE INTERESTED IN GOING FOR

INSURANCE IF A SERVICE PROVIDER AWAY FROM THE CITY

OFFERS BETTER SERVICE & PRODUCTS


SHARE (%)

Yes 43 43%

No 44 44%

Uncertain 13 13%

Total 100 100%

INTERPRETATION

The interested customers i.e. 43% are ready to go for insurance even

away from a city if services and products are worthwhile, which again

is a good prospect (potential) for Reliance Life Insurance to take them

on their favor.

76

43%

44%

13%

Yes No Uncertain


77/90

CHAPTER -7

77


78/90

CONCLUSION

Our exhaustive research in the field of Reliance Life

Insurance & Health Plan threw up some interesting trends

which can be seen in the above analysis. A general

impression that we gathered during Data collection was

the immense awareness and knowledge among people

about various companies and their insurance products.

People are beginning to look beyond LIC for their insurance

needs and are willing to trust private players with their

hard earned money.

People in general have been impression by the marketing

and advertising campaigns of insurance companies. A high

penetration of print , radio and Television ad campaigns

over the years is beginning to have its impact now.

The general satisfaction levels among public with regards

to policy and agents still requires improvement. But

therein lays the opportunity for a relative new comer like

Reliance Life Insurance & Health Plan has never been

78


79/90

known for prompt service or customer oriented methods

and Reliance can build on these factors.

CHAPTER -8

79


80/90

Suggestion

According the survey only 42% people areinsured in Alwar so reaming other part is

potential for insurance sector.

Among that 42% people who having

insurance, they have insurance 40% for self

28%for spouse 21% for children and 18% for

their parents and 11% for all family

member, also its very help full for insurance

sector so they should take necessary step

for capture this potential.

Only 42% people having insurance in Alwar

in that 42% there are 82 % people are

under insured and other 18% people are

fully insured according to their income so

80


81/90

that is also plus point for insurance sector to

capture the market

CHAPTER -9

81


82/90

QUESTIONNAIRE

1. ARE YOU EMPLOYED?YES NO

If YES, only then proceed

2. DO YOU HAVE ANY INSURANCE POLICY?YES NO

3. WHICH INSURANCE POLICY DO YOU HAVE?

LIFE NON-LIFE BOTH

4. WHICH COS INSURANCE POLICY YOU PREFER THE MOST?(RANK THEM)

a) LIC

b) ICICIPRUDENTIAL

c) SBI LIFE INSURANCE

d) ING VYSYA LIFE

e) RELIANCE LIFE INSURANCE

f) TATA AIG LIFE

g) ANY OTHER ________( Specify)

5. FOR HOW MANY YEARS DO YOU HAVE INSURANCE

POLICY? (Please Tick)

a)


83/90

a) COVER FUTURE UNCERTAINITY

b) TAX DEDUCTIONS

c) FUTURE INVESTMENT

d) ANY OTHER _________ (Specify)

7. WHICH FEATURE OF YOUR POLICY ATTRACTED YOU TOBUY IT?

(RANK THEM)

a) LOW PREMIUM

b) LARGER RISK COVERANCE

c) MONEY BACK GUARNTEE

d) REPUTATION OF COMPANY

e) EASY ACCESS TO AGENTS

f) ANY OTHER _________ (Specify)

8. YOUR MONTHLY INCOME?

a)


84/90

a) CUSTOMER APPROCHED INSURANCE COs

b) INSURANCE COs APPROCHED CUSTOMER

12. AREYOU SATISFIED WITH THE POLICY?

a) SATISFIED SAVING TOOL

b) NOT SATISFIEDc) NOT RESPONDING

13. ARE YOU SATISFIED WITH THE SERVICE AGENT?

a) SATISFIED SAVING TOOL

b) NOT SATISFIEDc) NOT RESPONDING

14

DO YOU PAY TAXES?

YES NO

15. WHERE HAVE YOU INVESTED FOR TAX SAVING?(RANK THEM)

a) LIC

b) NSC

c) BONDS

d) PPF

e) PF

f) EPF

84


85/90

16.WHICH IS THE BEST FORM OF INVESTMENTS?(RANK THEM)

a) FIXED ASSETS

b) BANK DEPOSITS

c) JEWELLERY

d) SECURITIES, i.e. Bonds, MFs

e) SHARES

f) INSURANCE

85


86/90

17. WHAT DO YOU INTENT TO GAIN FROM INVESTMENTS?

a) SAVING & RETURNS

b) SECURITY

c) TAX BENIFITS

18. WHATS THE RIGHT AGE TO BUY INSURANCE?

a) AFTER 25 Yrs

b) AFTER 35 Yrs

c) AFTER 45 Yrs

d) ANYTIME

19.HOW WOULD YOU RATE INDIAN INSURANCE COs?

a) RIGID PLANS

b) NON-USER FRIENDLY

c) UNSATISFATORY SREVICES

d) NON-AGGRESSIVE

e) SATISFACTORY

f) GOOD

g) VERY GOOD

86


87/90

20.ARE YOU PLANNING FOR NEW INVESTMENTS?

PLANNING NOT PLANING

21. WOULD YOU GO FOR INSURANCE IF A SERVICE PROVIDERAWAY FROM THE CITY OFFERS BETTER SERVICE &PRODUCTS?

a) YES

b) NO

c) UNCERTAIN

87


88/90

CHAPTER -10

BIBLIOGRAPHY

88


89/90

1. BOOKS/MAGAZINES REFFERED:

STUDY GUIDE- PRINCILES & PRACTICES OF LIFE /

GENERALINSURANCE, by AIMA.

Books published by INSURANCE INSTITUTE OF INDIA

LIFE-INSURANCE, by Mc GILL

INSURANCEWATCH.

MONEYOUTLOOK.

2. WEBSITES REFFERED:

WWW.RELIANCELIFE.CO.IN

WWW.CIFAINSURANCE.COM

WWW.MONEYOUTLOOK.COM

WWW.INSURANCE.IND.COM

3. REPORTS/ARTICLES REFFERED:

REPORT: ISSUES & CHALLENGES FACING THE INSURANCE

INDUSTRY. Dec2005.

BRIEF PROFILE OF LIC, INDIADec 2006.

REPORT: COPING WITH COMPETITIONJan2007

89
http://www.cifainsurance.com/http://www.moneyoutlook.com/http://www.insurance.ind.com/http://www.cifainsurance.com/http://www.moneyoutlook.com/http://www.insurance.ind.com/


90/90

THANKYOU

reliance insurance in health plane

Documents