selling of general insurance

8/8/2019 Selling of General Insurance

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Marketing and Sales of Motor

Vehicle and Marine Insurance

Abhishek B. Sharma


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Objective To sell out the general insurance policies to

individual as well as to corporate.

To know the requirement of different

customer as per need. To provide customer with easy claim

insurance policy.

To learn skills of selling


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I tr ti :

Insurance = Collective bearing of Risk. Basic Human trait is to be averse to the idea of

risk taking.

Insurance, whether life or non-life, provides

people with a reasonable degree of security andassurance that they will be protected in the eventof a calamity or failure of any sort.


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Insurance Industry Overview India is the fifth largest general insurance market in Asia with

annual premiums of $6.3 billion in FY09

21 companies operating in India:

Premium grew at 19.5% per annum

Penetration levels (premium as a % of GDP) increased from0.4% to 0.7% (world average being 3.1% in 2007)

Annual premium in April 2008-March 09 was $6.3 billion (exclhealth and specialty companies)

Market continues to be dominated by public sector, though

share has declined since FY01 Large middle class population, increased awareness and

income levels have fuelled growth

Currently maximum foreign partner investment is 26% -soon

expected to increase to 49%


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Marine insurance was being practiced in India fromthe beginning of 19th century

Fire insurance followed in 1825 at Madras

First Indian Company was formed in 1907 IndianMercantile Insurance Company

Need to control insurance business was felt by theBritish government which introduced the Insurance

Act in 1938.


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General Insurance business was being done by 106companies including LIC (GI)

In 1972 GI Nationalisation act was passed allowing theformation of GIC as the holding company and with 4

subsidiaries

The objective of nationalisation was to spread insurance tonook and corner of the country and to utilise peoplesmoney for the peoples good thus uplifting the socio

economic condition of the country


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Following globalization moves Malhotra committee hadbeen formed to look into the methods of liberalization ofinsurance

Later on the bill in the modified form as IRDA bill wasintroduced in 1999 and the IRDA act was passed.

An independent statutory authority as Regulator for

insurance business came into existence in 1999


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General Insurance -Major Private

Players 1. ICICI Lombard General Insurance (11%) 2. Bajaj Allianz General Insurance Company Limited Royal

(9%) 3. Reliance General Insurance Company Limited. (6%) 4. IFFCO-Tokio General Insurance Co. Ltd (5%) 5. TATA AIG General Insurance Company Ltd. (3%) 6. Sundaram Alliance Insurance Company Limited (3%) 7. Cholamandalam General Insurance Company Ltd. (2%) 8. HDFC-Chubb General Insurance Co. Ltd. (1%) 9. Future Generali India Insurance Company Limited (1%) 10. Apollo DKV Insurance Company Limited (0%) 11. Universal Sompo General Insurance Company Ltd. (0%) 12. Bharti Axa General Insurance Company Ltd. (0%) 13. Raheja QBE General Insurance Co. Ltd (0%)


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DIVISIONOF INSURANCE

SECTORINSURANCE

GENERAL INSURANCE

FIREINSURANCE

MARINEINSURANCE

MEDICLAIMMOTORVEHICAL

LIFEINSURANCE


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Property coverage

Liability coverage

Medical coverage


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Provides compensation for

damage or destruction of a

home from disasters Such as flood and

earthquakes, that require

additional coverage.


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Cover the cost of medical

treatments

Coverage for individualsto protect them against

dental costs.


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Theft

Accident

Uncertainty


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Company Orbit Insurance Services

Established in the year 2002 Situated at Malad(W), Mumbai Products involves

Life InsuranceGeneral Insurance

Companies associated are:IDBI Fortis Life Insurance Co LtdLife Insurance Corporation of India (LIC)Tata AIG General Insurance company ltdCholamandalam MS General insurance company ltd

United India Insurance Co. limitedNew India Assurance Company LtdStar Health and Allied Insurance company ltdIFFCO-TOKIO General Insurance company ltdHDFC-ERGO General Insurance company ltd


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Project Work Principle of General Insurance

Premium & bonuses

General Insurance Product

Policy condition

Claims

Laws & regulations

Main job was to sell motor vehicleinsurance and marine insurance


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Direct selling

Corporate agents

Group selling

Brokers and cooperative societies

Banc assurance

Distribution Channels


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FROM CUSTOMER AND SERVICEPOINT OF VIEW

Globalization - "The Dynamic Force"

MNCs - "The New Path Maker"

More customer oriented

Mostly better service oriented

More competitive

Better satisfaction

More value addition Strategic development


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FROM PROMOTION POINT OF VIEW

Computerization

Internet

Electronic Clearance Service (ECS)Call Centres and SMS services


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Insurer Apr-Jun 2008 Apr-Jun 2009Public 9600458 8887123

(8.52) (-7.43)

Private 4971011 5318470(27.93) (6.99)Total 14571469 14205593

(14.44) (-2.51)Note: Figure in brackets indicates the growth (in per cent) overprevious year.

Non-life policies issued


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Conclusion

Praying for the

best.being

Prepared for the Worst


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selling of general insurance

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