INDUSTRIAL TRAINING PROJECT

REPORT
UNDER TAKEN
@

ON

DYNAMIC OF AGENCY RECRUITMENT

Prepared by:

MBA - 3rd SEM.

Roll no. 8 Seat no.

Name of the Institution

T.N.Rao College of Management Studies

University Road, RAJKOT

Year: 2008-09
Submitted to Saurashtra University
 DECLARATION

MBA – 3rd SEM.

T.N.Rao COLLEGE,
RAJK OT.

I Undersigned the student of MBA – 3rd SEM by declare that the

project report is my own work and has carried out under the
guidance and supervision of Prof. ABHAY RAJA and other Prof. of
T.N.Rao College, RAJKOT. Further I declare that it has not been
submitted to any other university of examination.

Date: Sign. Of Student

 PREFACE

In this age of neck to neck competition, there is much importance

given to practical knowledge. The theorical knowledge is not
sufficient to understand the boundless field of business management.

Today every person wants to be a master in the field they are in. The
practical training is a life of management student. In modern world
the importance of management is increasing day by day. Industrial
training provide a student sufficient knowledge to develop an
education to connect theory and practical.

So to fulfill our purpose I have done training at “BHARTI AXA LIFE

INSURANCE”
 ACKNOWLEDGEMENT

It is my great pleasure to present this report before you. I sincerely

would like to show my gratitude towards all those persons who have
helped me throughout my project work

I am heartily thankful to Mr. Samson Pinto, Company guide,

Bharti Axa Life lnsurance Ltd., Ahmedabad for giving me his
valuable guidance for preparing this report. He has been an
exceptional mentor during these two months of SIP. It has been a
great learning experience of being a trainee under him.

I would like to express my special thanks to all the another official

who has helped me a lot during this SIP. Their critical advices
helped me to make this report more effective.

Moreover, I thanks to prof. ABHAY RAJA who guided me before

and after the industrial training. He gave me great support to prepare
this project, too. And all who directly or indirectly helped me in
preparing this report.
 INDEX

1. Sector’s Profile
2. Company Profile
3. Executive Training
4.Introduction to IRDA ACT

5. Introduction Insurance Advisor

6. Executive Task Assigned & Achieved
7. Methodology
8. Analysis of performance v/s Target
9. SWOT Analysis
10. Suggestion
11. Limitation
12. Questionnaire
13. Conclusion
14. Bibliography
Sector’s
Profile
 INDEX

i. Introduction Insurance Sector

ii. Brief History
iii. Insurance Sector in India
iv. Scenario Insurance Industry in India
v. Contribution to GDP
vi. Status of Insurance Industry
vii. Insurance Sector Before Privatization
viii. Insurance Sector After Privatization
ix. Future of Insurance Sector
x. Life Insurance
 INTRODUCTION TO INSURANCE SECTOR

In India, the concept of insurance was never given a serious thought,

as compared to other countries. Life insurance premium to Gross
Domestic Product (GDP) ratio is a mere 1.4% as compared to a
healthier rate of 8% amongst other developing countries. The reason
being lack of awareness and opportunities combined with poor state
of services provided.

Presently in India, the insurance sector is nationalized; Life

Insurance Corporation of India (LIC) and General Insurance
Company (GIC) render services along with its 4 subsidiaries. While
LIC provides life insurance, GIC is concerned with non life
insurance like - motor, marine, fire, health and personal accident
insurance.

LIC has been one of the pioneering organizations in India, which

ushered in the use of information technology in their business on a
very large scale to deliver more value and satisfaction to the
policyholders. LIC has fully computerized most of its branches all
over India. Metropolitan Area Network (MAN) has enabled
policyholders to pay premiums or to get their status report, surrender
value quotation and loan quotation online. The Zonal Offices and
MAN centers are connected through a Wide Area Network (WAN).
Interactive Voice Response Systems have been made functional in a
number of centers all over the country.
As per the Government guidelines, LIC invests a major portion of its
funds in Central, State Governments and other approved securities
including special deposits with the Government of India. Besides,
LIC extends assistance to develop infrastructure facilities like
housing, rural electrification, water supply, sewerage and provides
financial assistance to the corporate by way of term loans and
underwriting & direct subscriptions to shares and debentures. LIC
also provides resource support to financial institutions through
subscription to their shares, bonds and by way of term loans. The
insurance industry in our country is on the threshold of a new era of
rapid expansion. A more competitive environment is expected to
emerge with new private participants being allowed to enter the
insurance industry. The need for private sector participation in this
sector is justified on the basis of enhancing the efficiency of
operations, achieving a greater density and penetration of life
insurance in the country and for a greater mobilization of long-term
savings for long gestation infrastructure projects. In the wake of
emerging competition, LIC, with its more than four decades of
experience and wide reach, is equipped to face the challenges
emanating from the entry of new players. Insurance is a federal
subject in India. The primary legislation that deals with insurance
business in India is:
Insurance Act, 1938, Insurance Regulatory & Development
Authority Act, Composition of Authority under IRDA Act, 1999
 BRIEF HISTORY

The origin of insurance is very old .The time when we were not
even born; man has sought some sort of protection from the
unpredictable calamities of the nature. The basic urge in man to
secure himself against any form of risk and uncertainty led to the
origin of insurance.
The insurance came to India from UK; with the establishment of the
Oriental Life insurance Corporation in 1818.The Indian life
insurance company act 1912 was the first statutory body that started
to regulate the life insurance business in India. By 1956 about 154
Indian, 16 foreign and 75 provident firms were been established in
India. Then the central government took over these companies and
as a result the LIC was formed. Since then LIC has worked towards
spreading life insurance and building a wide network across the
length and the breath of the country. After the liberalization the
entrance of foreign players has added to the competition in the
market.
 INSURANCE SECTOR IN INDIA

The insurance sector in India has witnessed almost a 360-degree

turn over a period of almost two centuries. It has come a full circle
from being an open competitive market to nationalization and back
to a liberalized market again.

DEVELOPMENT OF INSURANCE IN INDIA

The business of life insurance in India started in the year 1818

with the establishment of the Oriental Life Insurance Company in
Calcutta. Some of the important milestones in the life insurance
business in India are:

1912: The Indian Life Assurance Companies Act enacted as the

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 to by the
Insurance Act with the objective of protecting the
interests
of the insuring public.
1956: 245 Indian and foreign insurers and provident societies
taken over by the central government and nationalized.
LIC formed by an Act of Parliament, viz. LIC Act, 1956,
with a capital contribution of Rs. 5 crore from the
 Government of India. Earlier LIC and GIC used to rule
the market with a Lion’s share. LIC with its pure monopoly
and virtual prerogative in establishing premiums, evolved as a
monolith. With over more than eight laces agent’s allover
India it has created an enviable brand name, particularly
among the rural population of India. It boasts of $40 billion
life fund and a strong financial player in the financial sector.
Despite all these the insurance market is currently
underdeveloped in India. This is mainly because of the
following reasons.

 The large-scale of operations, public sector bureaucracies and

cumbersome procedures.
 The highest paid employees of the nationalized insurance
companies are characterized by abysmal productivity, utter
ignorance of the basic principles of the insurance business,
endemic corruption, gross indiscipline and sheer laziness.
 Dominating the inevitably weak management of the
nationalized insurance companies, the militant and strongly
unionized employees of the nationalized monopoly insurance
companies have transformed Indian insurance from volume-
driven into class-based business. This is because the agents
targeted the affluent class of people and neglected the middle
class segment.
 Similar is the case with pensions. The lack of a comprehensive

social security system combined with a willingness to save,

means that Indian demand for pension products will be large.
 SCENARIO OF INSURANCE INDUSTRY IN INDIA

India with its large population does provide an immense potential

for the insurance industry to flourish. Below given are some of the
statistics pertaining to Indian insurance Industry.

 INDIA AT A GLANCE:

Population: 1 Billion
Economy: 5th largest in the world in terms of Purchasing
Power Parity (PPP)
GDP growth Rate: Over 6% per year on an average for the
last decade
Savings Rate: Around 26% of GDP
Estimated middle class population: 300 Million
Insured population: 70 million only
Estimated business (2008): $6.6 Billion

Insurance sector is of vital importance to every modern economy.

First because it provides a safety net to rural and urban enterprises
and productive individuals, second because it encourages the
savings habit And perhaps most importantly it generates long-term
investment funds for infrastructure building

This characteristic of their business makes insurance companies

the biggest investors in long-gestation infrastructure development
projects in all developed and aspiring nations.
The insurance sector in India has come a full circle from being an
open competitive market to nationalization and back to a
liberalized market again. Tracing the developments in the Indian
insurance sector reveals the 360-degree turn witnessed over a
period of almost two centuries.

By any yardstick, India, with about 200 million middle class

households, presents a huge untapped potential for players in the
insurance industry. Saturation of markets in many developed
economies has made the Indian market even more attractive for
global insurance majors. The following table reflects the low
percentage and per capita penetration of insurance in India
compared to other developed and developing countries. With the
per capita income in India expected to grow at over 6% for the
next 10 years and with improvement in awareness levels, the
demand for insurance is expected to grow at an attractive rate in
India. An independent consulting company, The Monitor Group
has estimated that the life insurance market will grow from Rs.218
billion in 1998 to Rs.1003 billion by 2008 (a compounded annual
growth of 16.5%).
 CONTRIBUTION TO GDP

Insurance sector’s contribution to GDP of different countries are as

follow:,

Countries Contribution to GDP

(Premium as % of GDP)
UK 12.71

Japan 8.70

US 4,48

South Africa 14.04

Australia 6.04

South Korea 9.89

India 1.77

China 1.12

Malaysia 2.13

Indonesia 0.54

Brazil 0.36
 Status of Indian Insurance Sector

 The insurance industry in India is estimated to be of US $ 66-

70 million & is expected to grow to US $ 377 million by 2005.
With the opening of this sector it was felt that LIC would lose
its hold on the Indian market. But LIC still continues to
dominate the market with its strong 800,000 task force. Its
incremental market where is 97% & is growing at a pace of
13%. In fact, some of its agents are the members of MDRT
(Million Dollar Round Table). The growth of LIC can also be
attributed to its presence in the US, UK where it functions as a
 corporate agent. Amongst private life insurers ICICI Prudential
topped the list & in non-life insurers TATA-AIG has emerged
stronger followed by Reliance General.

 Insurance in India before 2000 meant only LIC (Life Insurance

Corporation) & GIC (General Insurance Corporation). These
two players signified the entire insurance sector in India. No
doubt they were an amalgamation of as many as 351 private
insurance companies i.e. LIC was formed by nationalizing 245
private insurance firms in 1956 & GIC by nationalizing 106
firms in 1970.

INSURANCE SECTOR BEFORE PRIVATIZATION

The Indian Insurance sector before privatization was based on the

following factors:

 Simple products.
 Lower penetration & more direct business due to lack of

intermediaries.
 Though the domestic savings in India is 25% only 5 per cent of

it is insured. The Gross Insurance Premium in India is as low as

0.3% compared to Japan which is 31%, European Union =25%,
Canada = 1.3%. Which is 51st in the world?
 But with the Vajpayee government coming to power in 2000
for a brief period, the way for privatization of insurance sector
was paved. & lobe hold, now we have as many as 26 private
players in this field i.e. 13 life-insurers & 13 non-life insurers.
The reinsures function under the umbrella of GIC & are
required to reinsure 30% of their business with it. GIC has
allowed Indian exporters to secure liability insurance from
outside the country, which has facilitated its entry into SAARC.
 In various segments of Indian Insurance industry, health care
presents a huge potential. The total expenditure on health in
India is 6 per cent of the GDP. The government spending is less
than 25% compared to 30-40% of developed countries. The
health insurance industry in India can be valued at more than
90,000 core rupees. This means that in a population of 1 billion
only 2340 million people are insured. It is estimated that this
number will grow to 650 million by 2005.
 The opening up of this sector has led to heightened activity. To
increase penetration both national & private players are now
using conventional means.
 However, both the private & national players are reluctant to
actively participate in the motor insurance segment, as the
losses in this sector are more than 100%. Moreover the motor
insurance premium is as low as 2.5 per cent of the vehicle cost
compared to international standard of 6 per cent.
 The privatization of insurance sector in India has encouraged
the government to go in for more such moves. The track record
of LIC has shown that even national players can function in a
competitive environment & still dominate the market.
Why Private Insurance companies came to India?

In India, the laws & practices have changed significantly, since the
1950’s. The amendments made in 1952, to the Insurance Act, 1938,
did away with the system of Principal agents, Special agents & chief
agents, who were till then permitted to procure proposals from the
market for insurance companies. Restrictions were also imposed on
managing agencies, as well as on the nature of remunerations that
could be paid to agents.
As at the end of 1998, only the following organizations were
transacting life insurance business in India.

 Life Insurance Corporation of India (L.I.C.)

 Postal Life Insurance (P.L.I)

LIC came into being on 1st September, 1956 as a result of the nationalization of
life insurance business.
LIC was hardly able to cover 10-15% of the population even after its 40 years
of existence in market

All others who were transacting life insurance business in India

were prevented from doing so by the Nationalization Act of 1956, &
all their business was taken over by the L.I.C. It is expected that
there could be significant changes in the following years; if & when
new rules are enacted, enabling more private companies to transact
life insurance business in India. LIC came into being on 1st
September, 1956 as a result of the nationalization of life insurance
business. It transacts business throughout India & also in the U.K.,
Mauritius, Fiji & Bahrain.
LIC of India was the only player in the market from 1956 & even
after 40 years of existence it was not possible for them to cover all
the population for life insurance. They were hardly able to cover 10-
15% of the population even after having so many branches &
employees. So for covering each & every individual under
insurance, government allowed private players to get into this
business in 1999.

Now in all there are 17 players in Life insurance business including

LIC & they are
1. Bajaj Allianz Life Insurance Co. Ltd.
2. Birla Sun Life Insurance Co. Ltd. (BSLI)
3. HDFC Standard Life Insurance Co. Ltd. (HDFC STD LIFE)
4. ICICI Prudential Life Insurance Co. Ltd. (ICICI PRU)
5. ING Vysya Life Insurance Co. Ltd. (ING VYSYA)
6. Max New York Life Insurance Co. Ltd. (MNYL)
7. MetLife India Insurance Co. Pvt. Ltd. (METLIFE)
8. Kotak Mahindra Old Mutual Life Insurance Co. Ltd.
9. SBI Life Insurance Co. Ltd. (SBI LIFE)
10. TATA AIG Life Insurance Co. Ltd. (TATA AIG)
11. Reliance Life Insurance Company Ltd.
12. Aviva Life Insurance Co. Pvt. Ltd. (AVIVA)
13. Sahara India Life Insurance Co. Ltd. (SAHARA LIFE)
14. Shriram Life Insurance Co. Ltd (SHRIRAM LIFE)
15. Bharti AXA Life Insurance Co. Ltd. (BHARTI AXA)
16. Future General India Life Insurance Co. Ltd.
17. IDBI Fortis Life Insurance Company
 What were these private players supposed to do?

All these private players were focusing on two things:

• Geographical Expansion
• Capacity Building

Geographical Expansion :

First of all the private players were concentration on the reach. They
opened number of branches in the country so that they can compete
with the insurance giant LIC. Because insurance is such a cake,
more the persons

Capacity Building:

In service sector when we are talking about capacity building we are

not talking about procuring sophisticated equipments /machines but
about manpower.

So in insurance sector the capacity building i.e. recruiting personnel

is done in two ways: a) Recruiting employees i.e. Sales Manager
/Sales officer b) Recruiting Life Insurance Advisors.
 Insurance Industry After Privatization

Reforms have marked the entry of many of the global insurance

majors into the Indian market in the form of joint ventures with
Indian companies, which have responded to the competition in an
admirable fashion by launching new products and improving service
standards. In India there are 17 players in insurance sector. One is
LIC and others are as below:

Date of Reg.
Name of the company
1 23.10.2000 HDFC Standard Life Insurance Company Ltd.

2 15.11.2000 Max New York Life Insurance Co. Ltd.

3 24.11.2000 ICICI Prudential Life Insurance Company Ltd.

4 10.01.2001 Kotak Mahindra Old Mutual Life Insurance Ltd.

5 31.01.2001 Birla Sun Life Insurance Company Ltd.

6 23.10.2001 Reliance Life Insurance Company Ltd.

7 30.03.2001 Tata AIG Life Insurance Company Ltd.

8 02.08.2001 ING Vysya Life Insurance Company Ltd.

9 03.08.2001 Bajaj Allianz Life Insurance Company Ltd.

10 06.08.2001 Metlife India Insurance Company Pvt. Ltd.

11 14.05.2002 Aviva Life Insurance Co. India Pvt. Ltd.

12 06.02.2004 Sahara India Insurance Company Ltd.

13 30.07.2006 Bharti AXA Life Insurance Co. Ltd.
14 3.01.2002 Shriram Life Insurance Co. Ltd
15 4.09.2007 Future General India Life Insurance Co. Ltd.
16 30.03.2001 SBI Life Insurance Company Ltd
17 19.12.2007 IDBI Fortis Life Insurance Company
MARKET SHARE OF LIFE INSURANCE PREMIUM
COLLECTION

Sr.No. Company Name 2006- 2007-08

07
1 HDFC Standard Life Insurance Company 1220 2201
Ltd
2 Max New York Life Insurance Co. Ltd. 752 1280
3 ICICI Prudential Life Insurance Company 3925 6643
Ltd.
4 Kotak Mahindra Old Mutual Life Insurance 499 943
Ltd
5 Birla Sun Life Insurance Company Ltd. 699 1708
6 Reliance Life Insurance Company Ltd 689 1820
7 Tata AIG Life Insurance Company Ltd. 518 788
8 ING Vysya Life Insurance Company 418 656
Private Ltd.
9 Bajaj Allianz Life Insurance Company Ltd. 3027 5568
10 Aviva Life Insurance Co. India Pvt. Ltd 656 980
11 Sahara India Insurance company Ltd 19 71
12 Bharti Axa Life insurance 8 105
13 Shriram Life Insurance Co. Ltd 87 124
14 SBI Life insurance 1198 2531
15 Met life insurance 302 764
16 Future Generali 00 0.41
17 IDBI Fortis Life 00 4.36
18 LIC 23899 23583

Graphical Presentation of this data is as below;

 HDFC Standard Life Insurance
Market Sherefor primium Collaction of
Company Ltd
Insu.Co.2006-07 Max New York Life Insurance
Co. Ltd.
ICICI Prudential Life Insurance
Company Ltd.
Kotak Mahindra Old Mutual
3% 2% Life Insurance Ltd
Birla Sun Life Insurance
10% Company Ltd.
1% Reliance Life Insurance
2% Company Ltd
Tata AIG Life Insurance
2% Company Ltd.
ING Vysya Life Insurance
1% Company PrivateLtd.
Bajaj Allianz Life Insurance
1% Company Ltd.
Aviva Life Insurance Co. India
Pvt. Ltd
8% Sahara India Insurance
company Ltd
Bharti Axa Life insurance
63% 2% Shriram Life Insurance Co. Ltd
0%
3% (SHRIRAM LIFE)
SBI Life insurance
1%
0%
Met life insurance

Future Generali

IDBI Fortis Life

LIC
 HDFC Standard Life Insurance
Market Shere for Primium collaction Company Ltd
Max New York Life Insurance Co.
of Insu.Co.in 2007-08 Ltd.
ICICI Prudential Life Insurance
Company Ltd.
Kotak Mahindra Old Mutual Life
Insurance Ltd
Birla Sun Life Insurance Company
4% 3% Ltd.
Reliance Life Insurance Company
Ltd
Tata AIG Life Insurance Company
13%
Ltd.
ING Vysya Life Insurance
Company PrivateLtd.
Bajaj Allianz Life Insurance
2% Company Ltd.
Aviva Life Insurance Co. India Pvt.
47% 3% Ltd
Sahara India Insurance company
4% Ltd
Bharti Axa Life insurance
2%
Shriram Life Insurance Co. Ltd
1%
(SHRIRAM LIFE)
SBI Life insurance
11%
Met life insurance
0% 2%
5%
Future Generali
0% 0%
0% IDBI Fortis Life
2%
0% LIC
 FUTURE OF INSURANCE SECTOR

 Job opportunities are likely to increase manifold. The number of

people working in the insurance sector in India is roughly the

same as in the UK with a population that is 1/7 India’s; the US
with a population ¼ the size of India has nearly 4 times the
number. In the emerging markets, the picture is no less
encouraging. In South Korea, the number of full time employees
more than doubled over a ten-year period. Thailand added 50 per
cent more jobs in four years.

 The liberalization of the insurance sector promises several new

jobs opportunities for those employed in the finance sector that
are equipped with degrees in finance. Finance professionals who
had witnessed a slump in the job market would be much-relieved
lot to hear about the privatization of the insurance sector.

 There could be a huge inflow of funds into the country. Given

the industry’s huge requirement of start-up capital, the initial
years after opening up are bound to see a strong inflow of foreign
capital. Moreover, given that the breakeven, typically, come
much later than in the case of other sectors, odds are those first
remittances of dividend will not happen before a good 10-15
years.

 Apart from pure re-insurance activities, which is providing

insurance protection, a revolution will come in service related
 fields like training, seminars, workshop, know how transfer
regarding risk assessment & rating, risk inspection, risk
management & devising new policy cover, etc. also, with more
player in market, there will be significant increase in advertising,
brand building, & keep pricing not ridiculous pricing & this will
whole lot of ancillary industries.

 Substantial shift in the distribution of insurance in India is likely

to take place. Many of these changes will echo international
trends. Worldwide, insurance product move along a continuum
from pure service products to pure commodity products.
Initially, insurance is seen as a complex product with high advice
& service component. Buyers prefer a face-to-face interaction &
place a high premium on brand names & reliability.

 As product become simple & awareness increases, they become

off-the-shelf, commodity products. Seller move to remote

channels such as the telephone or direct mail. Various
intermediaries, not necessarily insurance companies, sell
insurance. In UK for example retailer Marks & Spencer now sell
insurance products. In some countries like Netherlands & Japan,
insurance is marketed using post office’s distribution channels.
At this point, buyers look for low price. Brand loyalty could shift
from the insurer to the seller.

 In other markets, notably Europe, this has resulted in banc

assurance: banks entering the insurance business. The

Netherlands led with financial services firms providing an entire
 range of products including bank accounts, motor, home & life
insurance, & pensions. Other European markets have followed
suit. In France over half of all life insurance sales are made
through banks. In the UK, almost 95% of banks & building
societies are distributing insurance products today.

 In India too, banks hope to maximize expensive existing

networks by selling a range of products. Various seminars &
conferences on banc assurance are taking place & many bankers
have clearly shown their inclination to enter insurance market by
leveraging their strengths in the areas of areas of brand image,
distribution network, & face to face contact with the clients &
telemarketing coupled with advanced information technology
systems. The

 Mergers of Citibank with Travelers in USA & of Winterthur, the

largest Swiss Co. with Credit Suisse are recent examples of the
phenomenon likely to sweep India too.

 Insurers in India should also explore distribution through non-

financial organizations. For example, insurance for consumer
items such as refrigerators can be offered at the point of sale.
This piggybank on an existing distribution channel & increases
the likelihood of insurance sales. Alliances with manufacturers of
retailers of consumer goods will be possible. With increasing
competition, they are wooing customers with various incentives,
of which insurance can be one.
 Another potential channel that reduces the need for an owned
distribution network is worksite marketing. Insurers will be able
to market pensions, health insurance & even other general covers
through employers to their employees. These products may be
purchased by the employer or simply marketed at the workplace
with the employer’s co-operation.

The major elements that will be Critical in shaping the future

of the insurance market can be broadly outlined as:

• Distribution
• Competition
• Building Trust & Customer Confidence
• Product innovation
• Health Insurance
• Training & Education
• Information Technology
 LIFE INSURANCE

A small, happy family – husband, wife and two cute kids. One bread
winner and four mouth to be fed. Things are doing well, BUT....
What next if something goes wrong with bread winner?????? Life
insurance is a contract payment of some money to the person
assured on the happening of the event issued against. Usually the
specified date at periodic intervals or on unfortunate death, if any
occurs earlier.

The Head or the breadwinner of the family generally supports

the family for their basic needs, such as, food, clothing & shelter, by
bringing income at a regular interval. So long as he or she lives &
the income is received steadily, the family is secure; but untimely
death or disability of that person puts the family in a very difficult
situation, and sometimes in stark poverty. Uncertainty of death is
inherent in human life.

It is the uncertainty that is the risk, which gives rise to the

necessity for some form of protection against the financial loss
arising from death. Insurance substitutes this uncertainty by
certainty.

The primary purpose of Life Insurance is the protection of the

family. Insurance in its various forms protects against such
misfortunes by having the losses of the unfortunate few paid by the
contribution of the many that are exposed to the same risk. This is
the essence of insurance- the sharing of losses and substitution of
certainty for uncertainty.

 HISTORY LIFE INSURANCE

Almost 4,500 years ago, in the ancient land of Babylonia,

traders used to bear risk of the caravan trade by giving loans that
had to be later repaid with interest when the goods arrived safely.
In 2100 BC, the Code of Hammurabi granted legal status to the
practice. That, perhaps, was how insurance made its
beginning.

Life insurance had its origins in ancient Rome, where citizens

formed burial clubs that would meet the funeral expenses of its
members as well as help survivors by making some payments.

The first ….

Insurance as we know it today owes its existence to 17th

century England. In fact, it began taking shape in 1688 at a
rather interesting place called Lloyd's Coffee House in
London, where merchants, ship-owners and underwriters met
to discuss and transact business. By the end of the 18th
century, Lloyd's had brewed enough business to become one
of the first modern insurance companies.
Insurance and Myth...

Back to the 17th century, in 1693, astronomer Edmond Halley

constructed the first mortality table to provide a link between
the life insurance premium and the average life spans based
on statistical laws of mortality and compound interest. In
1756, Joseph Dodson reworked the table, linking premium
rate to age

The first stock companies to get into the business of insurance

were chartered in England in 1720. The year 1735 saw the
birth of the first insurance company in the American colonies
in Charleston, SC.

In 1759, the Presbyterian Synod of Philadelphia sponsored the

first life insurance corporation in America for the benefit of
ministers and their dependents.

However, it was after 1840 that life insurance really took off
in a big way. The trigger: reducing opposition from religious
groups.

The growing years...

The 19th century saw huge developments in the field of

insurance, with newer products being devised to meet the
growing Needs of urbanization and industrialization.

In 1835, the infamous New York fire drew people's attention

to the need to provide for sudden and large losses. Two years
later, Massachusetts became the first state to require
companies by law to maintain such reserves. The great
Chicago fire of 1871 further emphasized how fires can cause
huge losses in densely populated modern cities. The practice
of reinsurance, wherein the risks are spread among several
companies, was devised specifically for such situations.

There were more offshoots of the process of industrialization.

In 1897, the British government passed the Workmen's
Compensation Act, which made it mandatory for a company
to insure its employees against industrial accidents.

With the advent of the automobile, public liability insurance,

this first made its appearance in the 1880s, gained importance
and acceptance.

In the 19th century, many societies were founded to insure the

life and health of their members, while fraternal orders
provided low-cost, members-only insurance.

Even today, such fraternal orders continue to provide

insurance coverage to members as do most labour
organizations. Many employers sponsor group insurance
policies for their employees, providing not just life insurance,
but sickness and accident benefits and old-age pensions.
Employees contribute a certain percentage of the premium for
these policies.
 WHY LIFE INSURANCE?

In this entire world, people live and people die. No one is

immortal. Everybody who borne has to die, it is the rule. We all
know it, but human beings do not think much about it, infect we
do not want to think about it. Everyone in the world is very
optimistic about his life. No one knows when he/she is going to
die and fortunately it is right also. We all know our Date-of-birth,
but we don’t know our date-of –Death. Here the man is very
possessive about his life and wants to live more and more in what
so ever condition is. He wants to live till ripe old age. He wants
to do very last for his parents and watch his children stand on
their feet.

But, what if fate cuts life shorts? Who would pay for his
children’s education, their marriage? Ensures life continuity for
them? What if sudden disability or illness puts us out of action?
Who would pay the mounting household bills? Have we ever
thought of it? If these adversities occur, are we equipped to
face the situation?

Let us look at the entire concept from a different way. During our
life time we are supposed to deal with three probabilities and two
priorities as shown next page:
 Children’s
Wealth
Education
Creation
And Marriage

Dying too soon Living Death Living too long

FIGURE 1.1 Priorities and Probabilities of a Human Life

As shown in the figure a person has got three probabilities –

Dying too soon, Living death and Living too long – and two
probabilities – Children’s Education and Marriage and Wealth
Creation. We look in to each of them one after another.

 Dying Too Soon:

 As just discussed above that everybody KNOWS about it but NO
one FEELS about it. We all know about uncertainty of our life
but we still are so optimistic about it. Today’s stressful and hectic
life style increases its uncertainty. It is found that only 3 out of 4
people reach age of 60* and we always consider ourselves
among rest of the 3. A person’s family will need his/her income
to maintain the same lifestyle.

Don’t we want them to be happy, not only as long as WE live but as long as
THEY live?
* Statistical Survey of
India
 Living Death:

6 out of 10 people suffer a life-threatening illness before they

reach the age of 60.
Critical illness or
disability can shatter
your dreams for your
loved ones. Not only
you suffer but you
also have to watch
your family suffer.
When unfortunate
event occurs, your
income should not
stop.

 Your Children’s Bright Future:

 Don’t we know that education and marriage require a lot of
money?

There are certain times in a person’s life when he/she would

want his love to be available to his/her children in form of
hard cash.

This is one area where you don’t want to compromise, isn’t

it? You are the source of your children’s happiness-protect it!

 Wealth Creation:
 Don’t you want a house of your own? A comfortable bank
balance?

All of life’s comforts, be it a car or a vacation?

Life Insurance” – “Jeene Ki Azaadi”

To answer these questions, we have to plan prior for the

uncertainties of our life and the planning will result in the answer.
 Risk-
Cover
Peace of Tax
Mind Benefits

Office Forced
Service Savings
CORE
Pre and
Post Sales Return
Service

Liquidity Safety

In short we can say that the total service package of life insurance is
as in above diagram.
Company
Profile
What Is Bharti Axa?

Bharti Axa Life Insurance is collaboration between Bharti

Enterprises and AXA Group.

Bharti AXA Life Insurance is a joint venture between

Bharti, one of India’s leading business groups with interests in
telecom, agri business and retail, and AXA, world leader in
financial protection and wealth management. The joint
venture company has a 74% stake from Bharti and 26% stake
of AXA.

The company launched national operations in December

2006. Today, we have over 5200 employees across over 12
states in the country. Our business philosophy is built around
the promise of making people "Life Confident".

As we expand our presence across the country to cater to your

insurance and wealth management needs with our product and
service offerings, we continue to bring 'life confidence' to
 customers spread across India. Whatever your plans in life,
you can be confident that Bharti AXA Life will offer the right
financial solutions to help you achieve them.

VALUE AND VISION

Vision and Values of Bharti Axa Life Insurance is as follow:

Vision

To be a leader and the preferred company for financial protection

and wealth management in India.

Values

• Professionalism
• Innovation
• Team Spirit
• Pragmatism
• Integrity
About the Promoters

 Bharti Enterprises

It is one of India’s leading business groups with interests in

telecom, agri. business, insurance and retail. Bharti has been a
pioneering force in the telecom sector with many firsts and
innovations to its credit. Bharti Airtel Limited, a group company,
is one of India’s leading private sector providers of
telecommunications services with an aggregate of 60 million
customers, spanning mobile, fixed line, broadband and enterprise
services. Bharti Airtel was ranked amongst the best performing
companies in the world in the Business Week IT 100 list 2007.
Bharti Teletech is the country’s largest manufacturer and
exporter of telephone terminals. Bharti has a joint venture with
ELRO Holdings India Ltd. – ‘FieldFresh Foods Pvt. Ltd’ - for
global distribution of fresh fruits and vegetables. Bharti also has
a joint venture - ‘Bharti AXA Life Insurance Company Ltd.’ -
with AXA, world leader in financial protection and wealth
management. Bharti has recently forayed into the retail business
under a company called Bharti Retail Pvt. Ltd. It also has a joint
venture – ‘Bharti Wal-Mart Private Limited’ – with Wal-Mart,
for wholesale cash-and-carry and back-end supply chain
management operations.

 AXA
AXA Group is a worldwide leader in Financial Protection.
AXA's operations are diverse geographically, with major
operations in Western Europe, North America and the
Asia/Pacific area. AXA had Euro 1,315 billion in assets under
management as of December 31, 2006. For full year 2006, IFRS
revenues amounted to Euro 79 billion, IFRS underlying earnings
amounted to Euro 4,010 million and IFRS adjusted earnings to
Euro 5,140 million.

The AXA ordinary share is listed and trades under the symbol
AXA on the Paris Stock Exchange. The AXA American
Depository Share is also listed on the NYSE under the ticker
symbol AXA.

AXA Asia Pacific Holdings Ltd (AXA APH) is listed on the

Australian stock exchange and is 52.3% owned by AXA SA.
AXA APH is responsible for AXA SA’s life insurance and
wealth management businesses in the Asia-Pacific region. It has
operations in Australia, New Zealand, Hong Kong, Singapore,
Indonesia, Philippines, Thailand, China, India and Malaysia.
AXA APH had A$106.4 billion in total funds under management
and administration at 30 June 2007 and reported a profit after tax
before non-recurring items of A$374.0 million for the six months
ended 30 June 2007
 Distribution

Bharti AXA has one of the largest distribution networks

amongst private life insurers in India. As of March 31, 2007 the
company has over 934 offices across the country and over 10,016
advisors. Distribution strategy of Bharti AXA is as follow:

Distribution Strategy of Bharti AXA

Tied Agency Bancassurance & Alliances

Bancassurance
20%
Corporate
Agency/Brokers
10%

Direct Marketing

Agency Force 70%

 PRODUCT LINE

Bharati AXA Life Insurance Co. Ltd., Product Line is as follow:

Pure Protection Protection, Saving Wealth

&Wealth Creation Creation
and
Protection
Traditional Secure Confident Save Confident
ULIP Future Confident Wealth
Confident
Future Confident ll Invest
Confident
Aspire Life Dream Life
Pension
 Structure of sales department

Bharati AXA Life Insurance Company Ltd.’s sales department

structure is as follow;

Regional Manager

Branch Sales Manager

Territory Manager

Sales Manager

Asst. Sales Manager

Senior Manager

Unit Manager

Advisors
 Corporate structure.

CORPORATE STRUCTURE

TIED
AGENCY ALTERNATE
DISTRIBUTION

VICE PRESIDENT
COURNTRY HEAD

REGIONAL MANAGER
RELATIONSHIP
BRANCH SALES MANAGER
MANAGER

SALES
MANAGER
SALES ASSI SALES
MANAGER MANGER

UNIT CORPORATE
MANAGER BANCASSURNCE
AGENCY

FINANCIAL SERVICE TEAM

LEADER
..

TRAINESS CUSTOMER
SERVICE
REPRESENT
20

Executive
Training
(DYNAMICS OF AGENCY RECRUITMENT)
Meaning of Agency recruitment

Agency recruitment is all about recruiting financial advisor

for the company. The financial advisor is the person who can
guide the people in making proper investments regarding their
life………………

Now the question comes is that “ how can he/she be the

advisor of the company” ???????

Financial Advisor

Financial advisor is the person who has been issued the

government authorized IRDA license which is valid for three
years and in those 3 years he/she can tap into an unlimited
income and reinvent their life.

As a Life Advisor a person’s role would go beyond selling

policies. His/her role would be to explain life insurance and its
benefits to potential customers and help them decide which plan
suits them best after analyzing their financial needs. Hence, life
insurance offers one with an opportunity for:

 An exciting / challenging career.

 Flexible work hours.
 Unlimited income.
 Regular income for years till the policies sold by one is in
force.
 SUPPORT AND BENEFITS

As a Life Advisor with Bharti Axa Life Insurance one would

enjoy the following benefits:
1. Enriching training program:

An intensive training program before one commences his/her

new career. This would equip one with all the information and
knowledge about life insurance, its benefits and our products.
This would help one to perform his/her job better and meet
his/her goals. One would also enjoy the benefits of continuous
training and mentoring programs that are designed to update
one, apart from enhancing one’s selling skills.

2. Mentoring:

Training and support from the Company to meet one’s goals.

Opportunity to learn from industry professionals.

3. Flexibility:
Decide one’s own working hours and earning goals.

4. Satisfaction:

One will help people manage their assets and plan their
financial security, and experience deep satisfaction from
making a positive difference in others lives. One acts as a
strategist in annuities, business insurance, estate planning and
personal investment, providing both short and long term
solutions to financial risks.

5. Freedom:

Continue with your present job occupation if you so desire

and treat this as a parallel source of income. This allows you
time to decide if you want to take the job of a Life Advisor as
a full time activity.

6. Earnings:

Entitlement to a percentage of the premium as commission till

the time the policies sold by you are in force.

7. Attractive additional benefits for high-performers:

Palmtops, Planners, Leather portfolio bags, Offsite

conferences, Foreign trips and Sales promotional schemes.
 Learning From the Executive Training

 Provides an opportunity to apply the concepts learn t in real –life

situations.
 It sensitizes us about nuances of work place by the time-bound
projects assigned by the company.
 It creates awareness about the strengths & weaknesses in the
work environment
 It provides a platform to develop a network while OJT (On-the-
job-Training), which would be useful in enhancing career
prospectus.
 Know the day-to-day functions of the company.
 It provides a unique opportunity to get exposed to corporate

culture, professional experience & professional behavior &

putting the theoretical concepts learnt in the classroom for
developing managerial skills.
 To gain a deeper understanding of the work culture, deadlines,
pressure etc. of an organization.
 It gives a flavor of teamwork, organization culture, team
dynamics, result orientation, organizational pressures,
complexities in achieving the desired results etc.
 It provides direct exposure to the execution & support functions

of the departments.
 It provides a good scope for developing necessary managerial

skills & positiveattitude

Introductio
n to IRDA
Act
Mission:

“To protect the interests of the policyholders, to regulate, promote

& ensure orderly growth of the insurance industry & for matters
connected therewith or incidental thereto.”

After liberalization of the insurance sector in 1999, private players

have entered both life & non-life business in India. The Insurance
Regulatory & Development Authority (IRDA) was constituted in
April 2000, as an autonomous body to regulate & develop the
business of insurance & reinsurance in the country in terms of the
IRDA Act 1999.
Duties, Powers & Functions Of IRDA :

 Licensing & regulating the insurance sector by acting as an

independent & regulatory body.

 Specifying requisite qualifications, code of conduct & practical

training for insurance intermediaries & agents.

 Protecting the interest of the policyholders in matters concerning

assigning of policy, settlement of insurance claims etc.

 Regulating investment of funds by insurance companies.

 Calling for information from undertaking, conducting enquiries

& investigations including audit of insurers & other

organizations connected with the insurance business.

 Regulating maintenance of margins of solvency of the insurer.

 Adjudication of disputes between insurers & intermediaries.

 Supervising the functioning of the Tariff Advisory Committee.

Introductio
n Insurance
Advisor
 CRITERIA FOR SELECTION

Criteria for the selection of the Financial Advisor are as follow;

Age: 18 or above for both Male and Female

Educational Qualification required:

o Rural Area*: 10th Pass

o Urban Area*: 12th Pass

* Areas are bifurcated according to the population.

For getting license to work as an agent of any company a person

must complete 100 hours training and pass exam of Indian Institute
of Insurance (III). If a person is already holding license for General
Insurance than he will have to complete only 50 hours training.

All the above criteria are common for all the companies, they have
to follow it. In practice, because of competitive environment many
companies decide their own criteria apart from all above. Different
criteria used by companies are shown in the following table:
 At least Living in Networ High Net Married Age
Graduat Ahmedaba k/ Income and have group
e Person d for at Society (HNI)*grou dependent 25-50
least 3 yrs group p s yrs
1
KLI      
ICICI      -
Prudential2
LIC - -  -  -
Birla Sun -    - -
life
Bajaj -    - -
Allianz 3
ING - -  - - -
Vysya4
Bharti Axa    -  
6
Aviva NA

TABLE 5.2 Criteria for Selecting Agents by different Companies.

 FUNCTIONS OF THE AGENTS

Life insurances agent has the unique role of such a person, who
enjoys the trust of two parties - the prospect and the insurer -
simultaneously in the same transaction.

To simplify, functions of a life insurance agent could be divided

into two parts, viz.

 'Pre-sale functions';

 'Post-sale functions'

Function Before Sales:

 Contact prospects

 Study their insurance needs

 Completion of formalities for proposal of new insurance

viz,

• Filling of form
• Arranging for Medical Examination
• Collection proofs of age and income
• Any other information required by the underwriters

Function After Sales:

 Ensure payment of renewal premiums.

 Assist policyholder for nomination / or change thereof.

  Assist the policyholder in case he wants to get loan against
the policy assignment.
 Assist the policyholder or the claimant to comply with the
requirement for getting timely settlement of claims.
The Target customers of the company are :
 Housewives
 Students
 Businessman
 Brokers
 Retired persons

BHARTI AXA LIFE INSURANCE, Private leader also take

into consideration most of the criteria. They also focus on quality
rather than quality. Further, they also opt to recruit LIC agents.
Logic behind this may be that person won’t require the training
(Elimination of Training Cost), moreover his experience and
Established network can be encased easily. Thus, BHARTI AXA
has also adopted competitive strategy because the LA is a major
source of business.
Executive Task Assigned & Task Achieved

Week Target Achievement

1 1 0
2 1 1
3 2 1
4 2 1
5 2 2
6 3 2
7 3 2
8 3 3

Graphical Representation of The Task Assigned and

Achieved

Task assigned and Task achieved

W eek Target Achievem ent

9 8
8
7
7 6
6
5
5 4
4
3 3 3 33
3 2 2 2 22 2 2
2
11 11 1 1
1
0
0
1 2 3 4 5 6 7 8
METHODOLOG
Y
 METHODLOGY

Strategies applied for achieving the task assigned

 Cold Calling:

Cold calling means to approach the customers with out taking prior
appointments. I have done lots of cold calling as I visited different
shops and malls I got a great experience as I interacted with
different kind of peoples. Even I learned lots of things regarding
convincing the customers.

 Role Plays:

Role play is a kind of play or say drama which is been presented in

front of a group of peoples and that is even in rural areas where
people don’t understand the face to face interaction or any another
explanation. Role play is done basically in local language and we
are planning to do the same as our role play is all set to do.

 Data Collection:
My third strategy is to collect data as many as possible from
different sources. So for this data collection I have visited different
colleges and even to different banks to get the data of retired people.
 I went to colleges to get the data of the graduate students who would
the good prospect for our company.

 Canopy:

Canopy is the kind of activity in which we do arrange a small

Business Opportunity Presentation. We select particular area
and in this area we give invitations to the people residing in
this area and than we arrange the presentation. We did our
canopy in the areas like Navarangpura, Gurukul, Vijay Cross
Road and tried to cover as many areas as possible.
 Swot
Analysis
 STRENGTHS

The strengths of BHARTI AXA are:

 Offers greater relationships and more face to face contacts

with the customers.

 Cross-selling ability of its highly trained agents.

 BHARTI AXA has marketing, research and development and

the competing products

 Ability to serve multiple segments

 Higher market share growth in private sector Life insurance

companies

 Adaptable management structure

 Multiple product lines

 Higher premium growth

 Increasing network in semi urban and rural markets

 WEAKNESSES

The weaknesses for BHARTI AXA are:

 Higher cost for insurer and consumer because of high

commission rates.

 Strong Competing brands of other players with almost the

same features

 Presence of other players in multiple segment

 The Direct Marketing and other promotional efforts done by

other players increases the competition

 Lower believability in BHARTI AXA brand than Life

Insurance Corporation

 Low coverage in Semi-urban and Rural market Segments

 OPPORTUNITIES

 Focus on high net worth individuals who prefer relationship

over price

 Continually look for new sales opportunities

 Embrace technology

 High market growth provides opportunity for the company to

increase their role in increasing Premium collections.

 Large number of prospective customers has provided

opportunity for the company to increase their operation to
wider customer base.

 Higher awareness of insurance products attracts customers to

use insurance services and products

 Insurance companies are becoming more and more self-

regulated operationally.

 Because of the large customer based, the company can have

the benefit of economies of scale in providing services.

 Transformation of people across countries increases

efficiency and effectively in the company’s operation.
 Speeding up of the technological adoption in insurance
companies has provided opportunity for them to provide
services to a larger customer base at lower cost.

 Collaboration with supplier of back office and front office

technological development has increase the quality and

effectively of the operation.

 Increasing computer literacy and quality of education has

increased the efficiency of operation through advanced
technology.

 The move towards retail customers has access the banks to the
rural population.

 Tie up with other banks to increase ATM networks has

lowered the operational cost of the company.

 Higher foreign investment in insurance business has increased

the technological development, branch expansion and wider
network abilities.

 Foreign companies also merge with other banks to increase

the networks and customer services within the nation and
internationally.
 Population is becoming ageing which may hamper the
effectively of providing insurance business
 THREATS

 Large number of Insurance companies has increased the

rivalry in the industry.

 Lower switching cost for customers can be a threat for the

company to convert other company’s customers to its
products.

 Standardization of insurance products and services has

lowered the profit margins for the company.

 A higher premium to the agents is one of the biggest cost

disadvantages to the company.

 The legal regulation from IRDA may affect particular

company negatively.

 The scams of co-operative banks have affected the image of

private companies in the mind of the people, which may
affect the image of private insurance companies negatively.

 Higher inflation rate can increase the cost for the company in
providing services
 SUGGESTIONS

 I personally believe that BHARTI AXA requires promoting

their very strongly as in day on day the competitive

companies are increasing and to be in the race it has to
promote its products continuously. Their Brand awareness –
specifically in Life Insurance – is high compare to
competitors. They should aggressively promote on media like
Television, newspaper like Times of India and Economics
Times.

 BHARTI AXA should expand their distribution network in

Semi Rural and Rural areas to target market having huge
potential.

 Their Motivation Strategy for Life Advisors is very effective

during Training and even after training; they should stick to it
and even try for innovative ways.

 Build trust upon customers through services and transparency

in investment and other policy.

 Focus on marketing strategy which can appeal mass in chunk.

 LIMITATION

Generating Database:

I have faced lots of problem in generating data base as I have used

different sources to generate it, e.g. I visited different colleges to generate
data of fresher students and even visited to different call center to get the
data base of the customers but the problem I faced was they didn’t
provided me the data as they told me that it is confidential.

Appointments at improper timings:

My second limitation was the appointments at improper timings as the

customers call us at any of their convenience time and it can be in the early
morning or it can be in the late night also.

High Fees:

To be an advisor in BHARTI AXA the fees is Rs. 825 so this is quite a

huge amount as compare to the competitors, because in L.I.C it is 450 Rs,
in MAX LIFE it is 500 so when a customers get ready to be advisor he
basically stuck to the fees.

Quality Customers:
What BHARTI AXA ask from is to recruit quality advisors, they to
maintain the Q Score but it is very difficult to get that quality
customers.
 QUESTIONAIRE

Questionnaire used for survey is as follow;

Dear Respondent,
We are conducting this research to measure
ethnocentrism level of Insurance Companies. Our objective behind
this study is to find our some concrete outcomes for ethnocentrism.
Which help the management students. By filling-up this
questionnaire you can help us in transformation of our efforts in to
worth findings. Whatever data you have to provide it is purely
confidential and we have to use this information for our academic
purpose only.

Qualifying Questions:

Please tick against the following questions.

Name:___________________________________________

Q.1 Gender:
A) Male _______ B) Female ________

Q.2 Age:
A) Below 30 _____ C) 40-50 _______
B) 30-40 _____ D) Above 50 _______

Q.3 Marital Status

A) Married _______ B) Unmarried _

Q.4 Occupation:
A) Financial Investors ________
B) Students ________
C) CA ________
D) Tax Consultant ________
E) Housewife ________
 F) Teachers _______
G) LIC Agents _______
H) Advocates _______

Q.5What kind of business would you like to do?

A) Insurance _________
B) Investment/stock market _________
C) Multilevel marketing _________
D) Dealership _________
E) Other _________

Q.6 What Criteria do you consider for selecting a business?

A) Very low investment _______

B) Low risk & high return _______
C) Flexible working hours _______
D) Support & guidance based business _______
E) Business under reputed brand name _______

Q.7 How many hours would you like to spend on a part time
business?

A) Less than 2 hours ________

B) 2-4 hours ________
C) More than 4 hours ________

Q.8 Your expected income from part time business?

A) Less than 5000 ________

B) 5000-10000 ________
C) More than 10000 ________

Q.9 What skill do you have which you consider will be an assets in
BHARTI AXA

A) Relationship skill ________

B) Communication skill ________
C) Leadership ________
D) Convincing Power ________
E) Any other Please Specify ________
Q.10 What motivate you to enter the field of selling (Please rank
order them in order to perform your performance i.e.1,2,3,4,5)

A) Opportunity to earn more money ________

B) Desire to be one’s own boss ________
C) Desire to meet people ________
D Dislike of office jobs _______
E)Desire to build life long relationship ________

Q.11 Do you or your family member has taken any life insurance?
A) YES B) NO

If YES, did you take insurance through

A) Insurance agent ________
B) Some ones recommendation ________
C) Own interest ________

Q.12 Are you self employed or salaried?

A) Self employed ________ B) Salaried _________

Q.13 How did you learn about this opportunity?

A) News paper ________

B) Friends ________
C) Magazine ________
D) Any other ________
 CONCLUSION

Entry of Private players in Insurance Industry has changed the entire

scenario of the Industry. Industry has shown Revolution of 360*
starting from 1956. Private players have challenged the LIC and
compelled to face the competition. This cut-throat competition has
been a boon for customer. He has been more informed and getting
better services. Negligence to the Insurance is decreasing day by
day. Thus, total scenario of the Industry has changed from as it was
in 1956 – a Monopoly Market.

On account of increased competition, companies have to compete to

grab the market. Tied channel is perhaps the best alternative to reach
maximum target customers. So to have best results companies are
required to have best people, who can work for the efficiently and
give best results. So, as a result now a days companies have become
more choosy in recruiting agents.

Effective Sales required to be carried out in a way starting from

Prospecting and Qualifying to Follow-up and Maintenance. Each
step in effective selling process is required to be taken care. In
BHARTI AXA, LAs are trained in such a manner that they are able
to carry effective sales process. Sales Managers do them lot of help
in this context. They use Need-Satisfaction approach (Mostly) and
also Formulated approach for this and it works
 BIBLIOGRAPHY

Books referred

 "Insurance Vision 2000", The Insurance Times, Calcutta.

 Cooper Donald & Schindler Pamela, " Business Research
Methods", Sixth
Edition, New Delhi, Me. Graw Hills, 1999.
 Kotler Philip, "Marketing Management", Eleventh Edition,
New Delhi, 2006.

Websites

 www.Bharti Axa life insurance.com

 www.irdaindia.org
 www.irda.orq.com
 www.indiainfoline.com