A REPORT

ON
A STUDY ON CONSUMER BEHAVIOUR FOR
AN INSURANCE SECTOR AND MARKETING
TECHNIQUE FOR ADITYA BIRLA SUN LIFE
AT
“ADITYA BIRLA SUN LIFE INSURANCE”

BY
NISHANT SHETTY
ENROLLMENT NO.: 19BSP1766

1
 A REPORT ON
` “A STUDY ON CONSUMER BEHAVIOUR FOR
AN INSURANCE SECTOR AND MARKETING
TECHNIQUE FOR ADITYA BIRLA SUN LIFE”
AT
“ADITYA BIRLA SUN LIFE INSURANCE”
BY
NISHANT SHETTY
ENROLLMENT NO.: 19BSP1766

A REPORT SUBMITTED IN PARTIAL

FULFILLMENT OF THE REQUIREMENTS OF

PGPM PROGRAM OF
IBS MUMBAI
DISTRIBUTION LIST:
FACULTY MENTOR: DR. NIMISHA MISHRA

MENTOR: MR SAURABH SRIVASTAV

2
 AUTHORISATION
This is to certify that, project report on “A study of consumer behaviour for
insurance sector and marketing techniques for Aditya Birla sun life insurance”
assigned at Aditya Birla sun life insurance company limited has been prepared
by Mr. Nishant Shetty in partial fulfilment of requirement of PGPM programme
of IBS Mumbai.

I hereby authorise that all the information collected and data implemented in a
presentable format are solely based on my findings and research which executed
in a timeline of three months. All the content presented in the report are detailed
expression of the same
 ACKNOWLEDGEMENT
It has been a pleasure working with Aditya Birla sun life insurance limited and
also a great opportunity to interact with experienced personals. I express my
gratitude to all the people who have supported me in accordance with the
project allotted to me. In terms of work culture and interaction with all the
associated people, I appreciate The Project Health and its employees for
maintaining a very friendly environment with all of the interns.

Firstly, my vote of thanks to Dr. Nimisha Mishra (IBS Mumbai) for giving me
an opportunity to work as a marketing intern with Aditya Birla Sun Life
Insurance, which itself is a growing organisation in current market of Insurance
and who is also marking its position to become the market leader of India in
coming years.

My sincere thanks to Mr. Saurabh Srivastav (Marketing head). They are the
key people who have guided me for my project and also provided me with ideas
of how to accomplish my tasks and get a deliverable outcome as an end result.

Lastly, I would like to thank the employees working at the office who have
provided backend support. Thanks to my teammates Mr. Smit Thakkar, Mr.
Suyash Pandey, Mr. Anurag Nagariya, Mr. Akash Shukla, Ms. Arusha
Kumari, Ms. Krishnali kawale and Ms. Tanushree Agarwal for supporting
me fulltime for proving suggestions and ideas related to my project.
 ABSRACT
The profile of the internship program provided by Aditya Birla sun life Limited
is of a marketing intern, where we will be trained and guided for a project on
consumer behaviour and research for an insurance sector so as to understand
and analyse the opportunities for ABSL and create brand value of company by
creating marketing communication

This project aims in understanding the marketing mix which exists in the
insurance industry. The marketing mix is the combination of marketing
activities that an organization engages in so as to meet the needs of its targeted
market. The Insurance business deals in selling services and therefore due
weight age in the formation of marketing mix for the insurance business is
needed. The marketing mix includes sub-mixes of the 7 P’s of marketing i.e. the
product, price, place, promotion, people, process & physical attraction.

This project also aims to help the company to achieve its objective by focusing
on their promotional strategies and to understand its effectiveness by
understanding the customer perception towards these strategies. There are
insurance marketing strategies that can take any insurance agency from
mediocre to success when utilized correctly. Breaking into a new business
climate and finding customers is hard work, but when equipped with innovative
ideas and proven techniques, financial markets sales personnel can become
extremely successful. Getting an education and training is very important in
every industry, sales is certainly no exception. Those selling insurance will want
begin their careers with the very best tools of the trade and those with already
established businesses that are in need of a motivational push will also gain
great benefits by researching and learning new insurance marketing tips.
Through this project we will be able to understand the promotional strategies
implemented by the company and also make an attempt to find out its
effectiveness and suggest better promotional strategies which would help in
increasing the overall profitability of the company. Commercial advertisements
also create huge impact upon the minds of the customers hence this project also
focuses upon the role of advertising in this industry.
 INTRODUCTION TO SECTOR
Introduction

The insurance industry of India consists of 57 insurance companies of which 24

are in life insurance business and 33 are non-life insurers. Among the life
insurers, Life Insurance Corporation (LIC) is the sole public sector company.
Apart from that, among the non-life insurers there are six public sector insurers.
In addition to these, there is sole national re-insurer, namely, General Insurance
Corporation of India (GIC Re). Other stakeholders in Indian Insurance market
include agents (individual and corporate), brokers, surveyors and third party
administrators servicing health insurance claims

Out of 33 non-life insurance companies, five private sector insurers are

registered to underwrite policies exclusively in health, personal accident and
travel insurance segments. They are Star Health and Allied Insurance Company
Ltd, Apollo Munich Health Insurance Company Ltd, Max Bupa Health
Insurance Company Ltd, Reliance Health Insurance Company Ltd and HDFC
Ergo Health Insurance Company Ltd. There are two more specialized insurers
belonging to public sector, namely, Export Credit Guarantee Corporation of
India for Credit Insurance and Agriculture Insurance Company Ltd for crop
insurance.

Current market scenario

The insurance industry in India is going through a fundamental shift. Rising

awareness, accessibility, affordability, regulatory reforms and economic growth
are some of the key factors impacting the industry. For some insurers, it is a
phase of re-establishment and keeping themselves relevant. For others, dealing
with these disruptors is critical to their survival. The government’s decision to
permit 49% foreign direct investment has made the Indian insurance sector
lucrative to foreign investors and enabled insurers to secure capital to work on
aggressive plans related to expansion and innovation. Further, insurers who
have been in business for at least 10 years are allowed to raise capital through
initial public offerings (IPOs).

LIC is by far the biggest life insurance company in India both in terms of
market share and their presence in India – it is the only government owned
entity. Most of the private players, in both life and non-life sectors, have started
business in India with the partnership of established insurance players in the
world. The expertise of these global players help the Indian insurance
companies perform much better as they can replicate the learning gained from
other markets over a large period of time. The number of lives covered under
Health Insurance policies during 2015-16 was 36 crores which is approximately
30 per cent of India's total population. The number has seen an increase every
subsequent year as 28.80 crore people had the policy in the previous fiscal.
 The current situation of Covid-19 had made a major impact on insurance sector
leading to increasing sales of 35-40%in health insurance and 25% in life
insurance. Covid-19 situation had a major impact on making people aware
about insurance industry

Investments and Recent Developments

The following are some of the major investments and developments in the
Indian insurance sector.

 The non-life insurance companies witnessed a rise of 14 per cent in their

collective premium for April-February 2019-20.

 In November 2019, Airtel partnered with Bharti AXA Life to launch prepaid
bundle with insurance cover.

 In September 2019, Competition Commission of India (CCI) approved

acquisition of shares in SBI General Insurance by Napean Opportunities LLP
and Honey Wheat.

 As of November 2018, HDFC Ergo is in advanced talks to acquire Apollo

Munich Health Insurance at a valuation of around Rs 2,600 crore (US$ 370.05
million).

 In October 2018, Indian e-commerce major Flipkart entered the insurance space
in partnership with Bajaj Allianz to offer mobile insurance.

 In August 2018, a consortium of WestBridge Capital, billionaire investor Mr

Rakesh Jhunjunwala announced that it would acquire India’s largest health
insurer Star Health and Allied Insurance in a deal estimated at around US$ 1
billion.

 India's leading bourse Bombay Stock Exchange (BSE) will set up a joint
venture with Ebix Inc to build a robust insurance distribution network in the
country through a new distribution exchange platform.

Government Initiatives
 The Government of India has taken a number of initiatives to boost the
insurance industry. Some of them are as follows:

 As per Union Budget 2019-20, 100 per cent foreign direct investment (FDI)
permitted for insurance intermediaries.

 In September 2018, National Health Protection Scheme was launched under

Ayushman Bharat to provide coverage of up to Rs 500,000 (US$ 7,723) to more
than 100 million vulnerable families. The scheme is expected to increase
penetration of health insurance in India from 34 per cent to 50 per cent.

 Over 47.9 million famers were benefitted under Pradhan Mantri Fasal Bima
Yojana (PMFBY) in 2017-18.

 The Insurance Regulatory and Development Authority of India (IRDAI) plans

to issue redesigned initial public offering (IPO) guidelines for insurance
companies in India, which are to looking to divest equity through the IPO route.

 IRDAI has allowed insurers to invest up to 10 per cent in additional tier 1 (AT1)
bonds that are issued by banks to augment their tier 1 capital, in order to expand
the pool of eligible investors for the banks.

Independent Regulatory Body - IRDA

Insurance sector has been opened up for competition from Indian private
insurance companies with the enactment of Insurance Regulatory and
Development Authority Act, 1999 (IRDA Act). As per the provisions of IRDA
Act, 1999, Insurance Regulatory and Development Authority (IRDA) was
established on 19th April 2000 to protect the interests of holder of insurance
policy and to regulate, promote and ensure orderly growth of the insurance
industry. IRDA Act 1999 paved the way for the entry of private players into the
insurance market which was hitherto the exclusive privilege of public sector
insurance companies/ corporations.

The duties and functions of IRDA include the following: -

1. To issue to the applicant Certificate of Registration, renew, modify, cancel, and

suspend such registration.
2. To ensure protection of Policy-holders’ interest.
3. To specify requisite qualification, code of conduct and Practical Training to for
the Intermediaries / Agents.
4. Promoting efficiency in the conduct of Insurance Business.
5. Promoting and Regulating professional organization connected with Insurance
Business.
6. Specifying Code of Conduct for Surveyor & Loss Assessor.
7. Levying fees and other charges for carrying out purpose of the IRDA Act.
8. Regulating investment of funds of Insurance Companies.
9. Calling information, conducting enquiry, investigation, audit, inspection of
insurers and other Organizations connected with Insurance Business.
10. Control / Regulation of Rates, Terms, Conditions and Advantages of Products
offered by Indian Insurers.
11. Specifying Form and Manner in which Books of Accounts and Statement of
Accounts to be maintained by Insurers and Intermediaries.
12. Regulating Maintenance of Solvency Margin of Insurers.
13. Adjusting dispute between insurer and intermediaries.
14.Supervising the currently assigned functions of Tariff Advisory Committee
(TAC).
15.Specifying percentage of Insurance Business to be undertaken in Rural & Social
Sectors.

DIFFERENT TYPES OF LIFE INSURANCE POILICES

People buy insurance with an investment objective. “Insurance is a solicited

product” is a quote which is better said and done. The desire for life insurance is
created in individual by the insurance agents who primarily used the
“Investment appeal” to push the life insurance policy.
1. Term Life Insurance

Term insurance is the simplest form of life insurance plan. Easy to understand
and affordable to buy.

A term insurance provides death risk cover for a specified period. In case the
life assured passes away during the policy period, the life insurance company
pays the death benefit to the nominee. It is a pure risk cover plan that offers
high coverage at low premiums.

There’s an option to add riders to widen up the coverage.

The death benefit is payable as lump sum, monthly pay outs, or a combination
of both.

There’s no pay out if the life assured outlives the policy term. However, these
days there are companies offering Term Plans with Return of Premiums
(TROPS), where insurance companies payback all the paid premium amount in
case the life assured outlives the term period. But, such plans are costlier than
the vanilla term insurance plan.

Example: An individual non-smoker male who is looking for a term life plan of
Rs.1 crore cover, will cost him approximately Rs.6, 800 to Rs.10, 500 per year.
 SUM ANNUAL PREMIUM
AGE TERM
ASSURED RANGE

25 40
Rs.1 Crore Rs.6,800 – Rs.10,500
years years

Best known for: High sum assured (coverage) at a low premium.

Benefit of Term Plan: In case of an untimely death of the breadwinner, family

is supported with an enormous amount of money – sum assured, which helps
them to replace the loss of the income caused due to the breadwinner’s death.
Moreover, the money could be utilized to pay off loan, monthly household
expenses, child’s education, child’s marriage, etc.

2. Unit Linked Plans (ULIPs)

A unit linked plan is a comprehensive combination of insurance and investment.

The premium paid towards ULIP is partly used as a risk cover (insurance) and
partly is invested in funds. One can invest in different funds offered by the
insurance company depending on his risk appetite. The insurance company then
invests the accumulated amount in the capital market i.e. in bonds, equities,
debts, market funds, or a hybrid funds...

SUM ANNUAL
TERM FUND VALUE
ASSURED PREMIUM

Depending on the
20
Rs.2 lakh Rs.20,000 fund value at the
years
time of maturity.

Example:

Best known for: Long-term investment option with much more flexibility to

invest.
Benefit of ULIP: Invest money as per your risk appetite. You have the option
to invest either in equity, debt or in hybrid funds through the life insurance
company with complete transparency

3. Endowment Plans

Endowment plan is another type of life insurance plan, which is a combination

of insurance and saving.

A certain amount is kept for life cover – insurance, while the rest is invested by
the life insurance company. In an endowment plan, if the life assured outlives
the policy term, the insurance company offers him the maturity benefit.
Moreover, Endowment Plans may offer bonuses periodically, which are paid
either on maturity or to the nominee under death claim. On death, the death
benefit is payable to the nominee.

Endowment plans are also commonly known as traditional life insurance,

although, there is an investment component but the risk is lower than the other
investment products and so are the returns.

ANNUAL
SUM
TERM PREMIUM BONUS
ASSURED
RANGE

Depending on the
30 Rs.20,000 –
Rs.10 lakh Bonus at the time of
years Rs.25,000
maturity.

Example:

Best known for: Long-term saving option for people with much lower risk
appetite for investment.

Benefit of Endowment Plan: Long-term financial planning and an opportunity

to earn returns on maturity.

4. Money Back Life Insurance

Money back plan is a unique type of life insurance policy, wherein a percentage
of the sum assured is paid back to the insured on periodic intervals as survival
benefit.

Money back plans are also eligible to receive the bonuses declared by the
company from time to time. This way, policyholder can meet short-term
financial goals.

Example:

Best known for: Short-term investment product to meet short-term financial

goals.

Benefit of Money Back Plan: Short-term financial planning and an opportunity

to earn returns on maturity.

5. Whole Life Insurance

A whole life insurance policy covers the life assured for whole life, or in some
cases, up to the age of 100 years. Unlike, term plans, which are for a specified
term.

The sum assured or the coverage is decided at the time of policy purchase and is
paid to the nominee at the time of death claim of the life assured along with
bonuses if any.

However, if the life assured outlives the age of 100 years, the insurance
company pays the matured endowment coverage to the life insured.

SUM ASSURED
PREMIUM (WITH ANNUAL
MATURITY
PAYING GUARANTEED PREMIUM
BENEFIT
TERM MATURITY SUM RANGE
ASSURED)

20 years Rs.3 lakh Rs.10,000- Guaranteed Sum

Rs.15,000 Assured + non-
guaranteed bonus
(if any) + non-
 SUM ASSURED
PREMIUM (WITH ANNUAL
MATURITY
PAYING GUARANTEED PREMIUM
BENEFIT
TERM MATURITY SUM RANGE
ASSURED)

guaranteed
terminal bonus
(if any)

The premiums are higher as compared to term plans. Whole life insurance plans

also offer partial withdrawals after completion of premium payment term.

Best known for: Life coverage for whole life.

Benefit of Whole Life Plan: Lifelong protection to the insured and an

opportunity to leave behind a legacy for heirs.

6. Child Plan

Child plan helps to build corpus for child’s future growth. Child plans help to
build funds for child’s education and marriage. Most of the Child Plan provides
annual instalments or one time pay out after the age of 18 years.

In case of an unfortunate event, the insured parent passes away during the
policy term - immediate payment is payable by the insurance company. Some
child plans waive off the future premiums on death of the life insured and the
policy continues till maturity.

ANNUAL
SUM PERIODIC MATURITY
TERM PREMIUM
ASSURED RETURNS BENEFIT
RANGE

20 Rs.18 lakh Rs.1 lakh Lump sum Maturity

years pay outs on benefit +
regular guaranteed
interval returns + non-
 ANNUAL
SUM PERIODIC MATURITY
TERM PREMIUM
ASSURED RETURNS BENEFIT
RANGE

guaranteed
accumulated
bonus (if any)

Best known for: Building funds for your child’s future.

Benefit of Child Plan: Helps in fulfilling your child’s dream.

7. Retirement Plan

Retirement plan helps to build corpus for your retirement. Helping you to live
independently financially and without worries. Most of the child plans provide
annual instalments or one-time pay out after the age of 60 years.

In case of an unfortunate event, life assured passes away during the policy term
- immediate payment is payable to the nominee by the insurance company.
Death benefit will be higher of coverage or fund value or 105% of premiums
paid. Vesting Benefit will be payable if the life assured survives the maturity
age. In which case, pay-out will be fund value which has to be utilized for
buying an annuity. Best known for: Long-term savings and retirement
planning.

Benefit of Retirement Plan: Helps in building corpus for retirement.

Company overview
 Aditya Birla Sun Life Insurance Company Limited (ABSLI), is a life insurance
subsidiary of Aditya Birla Capital Ltd (ABCL). ABSLI was incorporated on
August 4th, 2000 and commenced operations on January 17th, 2001. ABSLI is a
51:49 a joint venture between the Aditya Birla Group and Sun Life Financial
Inc., a leading international financial services organization in Canada.

Formerly known as Birla Sun Life Insurance Company Limited, ABSLI is one
of India’s leading life insurance companies offering a range of products across
the customer’s life cycle, including children future plans, wealth protection
plans, retirement and pension solutions, health plans, traditional term plans and
Unit Linked Insurance Plans (“ULIPs”).

As of December 2019, total AUM of ABSLI Stood at Rs. 427,907 million.

ABSLI recorded a gross premium income of Rs. 22,276 million in Q3 FY 2019-
20, registering a y-o-y growth of 14% in Individual First Year Premium and
currently ranked 7th in Individual Business (Individual FYP adjusted for 10%
single premium). ABSLI has a nation-wide distribution presence through 600
branches, 8 ban assurance partners, 6 distribution channels, over 82,000 direct
selling agents, other Corporate Agents and Brokers and through its website. The
company has over 13,000 employees and more than 17 lac active customers.

The Company offers a complete range of protection solutions to help secure

your family's future and provide financial support for your child's education,
wealth with protection solutions, health and wellness solutions, retirement
solutions and savings with protection solutions to help you stay financially
secure in the future with small disciplined savings at regular intervals. ABSLI
puts people's need first and aims to protect what is dear to the customer, with
assurance. While, Life Insurance cannot prevent risk, it can definitely
compensate financial losses arising from risk.

ACHIEVEMENT OF ADITYA BIRLA

o Among the Top 5 Private Diversified NBFCs in India
o One of the largest Private Life Insurance Companies in India
o One of the largest Asset Management Companies in India
o One of the largest General Insurance Brokers in the country
o A leading non-bank financial services player with a strong focus on quality of
growth
o Renowned for risk management, people practices, sales management, investor
education, product innovation & fund management capabilities
o AUM - Rs. 3,000 plus billion
o Consolidated Lending Book is at Rs 619 billion
Vision, Mission & Values:
Vision: To be a leader and role model in a broad based and integrated financial
services business.
Mission: To help people mitigate risks of life, accident, health and money at all
stages and under all circumstances enhance the financial future of our customers
including enterprises.
Values:
• Integrity: Acting and taking decisions in a manner that is fair and honest.
• Commitment: On the foundation of Integrity, doing all that is needed to deliver
value to all stakeholders.
• Passion: An energetic, intuitive zeal that arises from emotional engagement with
the organization that makes work joyful and inspires each one to give his or her
best.
• Seamlessness: Thinking and working together across functional groups,
hierarchies, businesses and geographies.
• Speed: Responding to internal and external customers with a sense of urgency.
Continuously striving to finish before deadlines.

MAJOR PLAYERS IN THE INDUSTRY/COMPETITORS

1. LIC (Life Insurance Corporation)
Life Insurance Corporation of India (LIC) is an Indian state-owned insurance
group and investment company headquartered in Mumbai. The Life Insurance
Corporation of India was founded in 1956 when the Parliament of India passed
the Life Insurance of India Act that nationalised the private insurance industry
in India. Over 245 insurance companies and provident societies were merged to
create the state owned Life Insurance Corporation.
2. Reliance Life Insurance
Life Insurance is a part of the Reliance group. It is one of the partners of
Reliance Capital Ltd which is an Anil Dhirubhai Ambani Group. Reliance
Capital is one India's most dominant private sector financial services
companies. They offer insurance products which help you with savings as well
as give you protection.
3. Canara HSBC Life Insurance
Canara HSBC Life is a joint venture of Canara Bank, HSBC Insurance (Asia
pacific) & Oriental bank of Commerce. The Company got its approval from
IRDA in June 2008 and from that commencing its business. They have more
than 4100 branches all over India.
4. MetLife Insurance
MetLife One of the fastest growing insurance company in India is MetLife. The
company started its operations in between 2000-2001. They have a range of
various products to offer.
5. ICICI Prudential Life Insurance
ICICI Bank with Prudential plc, both well known & strong financial
institutions came together in December 2000 to form an insurance company -
ICICI Prudential Life Insurance.
6. Max New York Life
Max New York Life Max India’s leading multi business corporation & New
York Life joined their hands in 2000.The company started their operations in
2001. The company is involved in Life & health products.
7. Bajaj Allianz
Bajaj Allianz Bajaj who are into iron & steel, finance, insurance & etc and
Allianz who provides financial services when came together they formed Bajaj
Allianz Life Insurance Company.
8. Bharti AXA Life Insurance
Bharti AXA Bharti AXA Life Insurance is a joint venture between Bharti &
AXA. The company started its functionality in December 2006 and they always
believe to be a strong financial institute.
9. HDFC Standard Life
HDFC Standard Life or HDFC Ergo Life Insurance is a joint venture between
Housing Development Finance Corporation Limited & a Group of Standard
Life Plc. The Company started commencing its business in December 2000.
10. Kotak Mahindra
A joint venture of Kotak Mahindra group & Old Mutual plc is known as Kotak
Mahindra Old Mutual Funds. The Company started commencing its business in
2001. The company aim is to help customers in making their financial
decisions.
11. SBI Life Insurance
SBI Life Insurance Company Limited is a joint venture between State Bank of
India and BNP Paribas Assurance. It is present in more than 41 countries across
the world. SBI Life offers a variety of plans in life insurance and pension.
12. TATA AIG
The TATA Group and American International Group Inc together formed Tata
AIG Life Insurance Co. Ltd. Tata Group holds 74% stake in the insurance
venture with AIG holding the balance 26%. They started their operations in
April 2001
13. AVIVA Life Insurance
Aviva, one of UK's largest insurance company and world's 5th largest insurance
group. It was one of the first international insurance company to set up its office
in India in the year 1995. They introduced the concept of banc assurance in
India.
 SERVICES OF BIRLA SUN LIFE INSURANCE
1. PROTECTION

Secure your family’s future in this increasingly uncertain world and don’t leave
their dreams to fate.

2. HEALTH & WELLNESS

Plan and ensure that you spend time with your loved ones when they need you
the most rather than worrying about medical expenses.
3. CHILDREN’S FUTURE
Give your child the freedom to pursue his/her real passion by ensuring that you
give him the right financial support.
4. RETIREMENT
Plan your retirement well to build a good corpus because during retired life,
income stops but expenses don’t.
5. WEALTH WITH PROTECTION
 Secure your family’s dreams and live through life’s highs and lows with
confidence while you reach your financial milestones as planned.
6. SAVINGS WITH PROTECTION
Strike the right balance between living comfortably today and staying
financially secure in the future with small disciplined savings at regular
intervals.

Other products of Birla sun life

1. Protection Solutions
 Secure your family’s future in this increasingly uncertain world and don’t
leave their dreams to fate.
2. Health & Wellness Solutions
 Plan and ensure that you spend time with your loved ones when they need
you the most rather than worrying about medical expenses.
3. Children’s Future Solutions
 Give your child the freedom to pursue his/her real passion by ensuring
that you give him the right financial support.
4. Retirement Solutions
 Plan your retirement well to build a good corpus because during retired
life, income stops but expenses don’t.
5. Wealth with Protection Solutions
 Secure your family’s dreams and live through life’s highs and lows with
confidence while you reach your financial milestones as planned.
6. Savings with Protection Solutions
 Strike the right balance between living comfortably today and staying
financially secure in the future with small disciplined savings at regular
intervals

ORGANIZATIONAL STRUCTURE
C.E.O (Chief Executive Officer)

C.F.O (Chief Financial Officer)

C.D.O (Chief Design Officer)

H.O.S (Head of Sales)

Z.M (Zonal Manager)

R.M (Regional Manager)

T.M.S (Territory Managers)

B.H (Branch Head)

 B.M (Branch Managers)

B.D.M/B.P (Business Development Manager/Business Partner)

S.A.M (Senior Agency Manager)

A.M (Agency Manager)

A.A.M (Assistant Agency Manager)

I.A (Insurance Advisors

GEOGRAPHICAL SPREAD
 ANALYSIS OF INSURANCE INDUSTRY AND
COMPANY
The insurance industry can be broadly divided into two: life insurance and
general insurance. While life insurance relates to risk cover for life or
disability/accidents of an individual or a group of individuals, general insurance
or non-life insurance covers risk to other insurable assets such as property,
vehicles, health etc.

Insurance is one of the main and important fields of the economy. The main aim
of the insurance is to protect people from risks and from dangers. As we know
in modern period there are too many accidents, bad events and unexpected
dangers. These risks can happen every time in social life.

People always think about this problem, how to escape from these risks. For this
reason, insurance is considered the best tool for these problems. People use
insurance to keep their assets and life under guarantee. So, insurance gained
popularity in the world. Insurance plays great role both in developed and
developing countries’ economy.

The insurance sector is regulated by the Insurance Regulatory and Development

Authority of India (IRDAI). The IRDAI opened up the insurance sector for
private participation in 2000. Until 2000, there were only one life insurer and
four general insurers in the country, all from the public sector.

The Indian insurance industry has witnessed significant growth in the past few
years with the introduction of a wide range of advanced insurance products and
services. It consists of both life and non-life insurance companies. Out of the 57
insurance companies operating in India, 24 are in the life insurance business,
and 33 companies are operating in the non-life insurance segment.

The market share of private sector players has increased over the years. In the
non-life insurance sector, private companies had a market share of 53.8% in
FY19 (as of Dec ‘19). In the life insurance sector, private companies had a
market share of 33.7% in FY19 (as of Dec '19), With Aditya Birla Sun Life
Insurance (ABSLI) having share of Approximately 12%.

ABSLI was the first Indian Insurance Company to introduce 'Free Look Period'.
It Pioneered the launch of Unit Linked Life Insurance plans. The impact of
ABSLI on the insurance sector and the country as whole, can be analysed
through,

 EIC Analysis
 SWOT Analysis
 Porter’s 5 Forces Analysis

This will help understand the forces competition within an industry. It is also
useful to adjust strategy to suit the competitive environment and to improve
potential profit.
 EIC ANALYSIS
EIC analysis is the abbreviation of economic, industry and company. This analysis
examines the conditions in the entire economy and then ascertains the most
attractive industries in the light of the economic conditions. At last the most
attractive companies within the attractive industries are pointed out. This helps the
Company to analyse its current positions among competitors and help frame
strategy for the same. Therefore, it’s important to start with Economic analysis.

The GDP of India increased to 2.75 trillion-dollar in 2020. Due to COVID-19,

growth of the world is expected to be around 1-1.5% in coming year. As a
result, the growth of India is reduced to 2-3% by Moody’s and FITCH rating
agencies. This will have severe impact on the PM’s mission of 5 trillion-dollar
economy by 2025. As impact of COVID-19 increases in India, Life insurance
sector stares at death claim challenge.
The health insurance sector got affected the most. Many insurance companies
like Aditya Birla Sun life Insurance, Bajaj alliance general insurance, edelweiss
general insurance clarified, they are still providing cover for coronavirus. But
due to the lockdown of 21-days till now, the business is severely impacted. If
businesses are closed and salaried persons are unable to earn, then the impact on
sectors like insurance, entertainment, auto etc. will be huge. As a result, it will
affect the India as a whole.

Among the life insurers, Life Insurance Corporation (LIC) is the sole public
sector company. Apart from that, among the non-life insurers there are six
public sector insurers. In addition to these, there is sole national re-insurer,
namely, General Insurance Corporation of India (GIC Re). Other stakeholders
in Indian Insurance market include agents (individual and corporate), brokers,
surveyors and third-party administrators servicing health insurance claims.

Government's policy of insuring the uninsured has gradually pushed insurance

penetration in the country and proliferation of insurance schemes. Gross direct
premiums of non-life insurers in India reached US$ 13.66 billion in FY20 (up to
September 2019), gross direct premiums reached Rs 410.71 billion (US$ 5.87
billion), showing a year-on-year growth rate of 14.47 per cent. Overall
insurance penetration (premiums as per cent of GDP) in India reached 3.69 per
cent in 2017 from 2.71 per cent in 2001

The sector has seen a lot of activity in the last few years. Indian e-commerce
giant Flipkart has tied up with Bajaj Allianz General Insurance to provide
customized insurance products for mobile phones sold on Flipkart. As per
guidelines, insurance company has to deposit Rs. 150 for every 100 received
from the investors. That’s why the money of investors is secured. This sector is
expected to-
 In 2020, the industry is expected to reach US$ 280 billion. The life insurance
industry in the country will grow at 12-15% annually for the next three to
five years. It will depend on the impact of COVID-19.
 Due to many changes in regulatory frameworks, there will be a great change
in the way business is conducted in this industry. The government is
planning to divest a significant stake in PSU general insurance companies in
order to execute the steep disinvestment target.
 A host of regulatory changes are expected to support the long-term growth
and development of the industry. In 2015, the foreign ownership cap was
raised from 26% to 49% of paid-up equity capital. Insurers have also been
allowed to raise hybrid capital such as subordinated debt and/or preference
shares. These measures are expected to fund the future growth of the
industry. Large foreign reinsurers have been permitted to set up branches in
the country benefitting direct insurance companies in managing their risk
coverage more efficiently.
 Factors like the growing middle class, younger population and increasing
awareness regarding the need for retirement and safety planning will boost
the growth of this industry.

The Birla Sun Life Insurance Company Ltd (BSLI) forms an integral part of
this sector. It is a joint venture (JV) formed in 2000, between the Aditya Birla
Group, a well-known Indian conglomerate and Sun Life Financial Inc, one of
the leading international financial services organizations from Canada. With
experience of over a decade, BSLI has contributed to the growth and
development of the Indian life insurance industry and currently is one of the
leading life insurance companies in the country.

 BSLI has the local knowledge of the Aditya Birla Group combined with the
domain expertise of Sun Life Financial Inc. This offers a formidable
protection for its customers’ future. The company offers a complete range of
offerings comprising protection solutions, children’s future solutions, wealth
with protection solutions, health and wellness solutions, retirement solutions,
and savings with protection solutions. It has an extensive distribution reach
of over 500 cities through its network of more than 540 branches, over
81,000 expanded advisors and over 140 partnerships with corporate agents,
brokers and banks.
 BSLI Ranks amongst the top six private life insurance companies in India
and has over 10 years of experience in insurance sector. ABSLI’s individual
 FYP grew by 60% racing past the sector growth of 9% and private players’
growth of 12%. Group FYP posted 40% growth. Consequently, Individual
Business Market Share witnessed a 125-basis point expansion to 11% in the
private life insurance sector. The company has over 13,000 employees and
more than 17 lac active customers

SWOT ANALYSIS OF ADITYA BIRLA SUN LIFE

Strengths-

1. Has Network of 600 branches and advisors spread over 1500 towns in India
having over 130,000 advisors
2. Backed by Aditya Birla Brand and Sun Life financial services
3.  Emphasis on Customer Satisfaction through Transparent
Functioning
4. Strong Capital Base

Weaknesses

1.Low Presence in Rural Market

2. Lesser advertising as compared to competitors

Opportunities

1.Growing potential in the Rural Market

2.  Alignment with Government Schemes
3. Better awareness amongst people for getting insurance

Threats
 1.Economic crisis and economic instability
2.  Entry of new NBFCs in the sector

PORTER’S 5 FORCES OF ADITYA BIRLA SUN

LIFE INSURANCE
1. Competitive rivalry
 Insurance industry is becoming highly competitive with 57 players operating
in the industry
 Companies are competing on price and also using low price and high return
strategy for customer to lure them
2. Threats of new entrants
 Other financial companies can enter the industry
 Difficult to enter insurance industry as a small “start-up” player due to
capital and regulatory requirements
 Large financial services companies such as banks or investment banks
offering insurance products

3. Substitute product
 Similarity in services makes switchover a potent threat
 Investment oriented customers have switched to other avenues.
4. Bargaining power of supplier
 Suppliers being the distributer or agents have high bargaining power because
they have customer database and can influence Customers in making choices
 Threat of suppliers or other competitors hiring away key professional and
executive talent
5. Bargaining power of buyer
 Bargaining power of customers especially corporates is very high because
they pay huge amount of premium
 Individual consumers are not a major factor
 Many substitutes in the insurance industry

OVERVIEW OF WORK DONE

The job at a glance
The job that I was offered at ABSLI was the position of Intern in the Marketing and
Communication Department. In MCD, all the team members had to work almost whole
the week and sometimes 24/7 and challenging platform now-a- days. Like the team
members, I also had to work almost 7 days a week although the general working day is 5.
On off-days, I had to work from home. I had another intern co-worker with me.

Responsibilities and Description of the job

This part includes all the responsibilities and detailed description of the job I had to do
during my internship period-

Brainstorming: Our most important task here was to do brainstorming to generate

exceptional ‘out of the box’ ideas for brands and campaigns. we had to find out the
best digital marketing campaign using a game/app for the brand.

Team Work: At ABSLI, employees are into teams. So team-work is really very
significant which needs good working relationship. Intra-relationship as well as Inter-
relationship is really important in an organization which I understood nicely working
here at ABSLI. While making good relationship with other teams, it was another
challenge for me. But I made good relationship with people inside my department and
other departments within a very short time which I believe is the result of my
communication skill.

Day-to-day Operations: As an Intern, there were some day to day tasks in sales
department and most importantly in the Marketing and Communication Department.
Are most remarkable among the day- to-day tasks.

Campaign Management: I was really privileged to do some of the great

campaign management and execution of those campaigns. Some of the
illustrations of the campaigns that I managed are given below-

 Develop social media strategy

 Report on activities conducted on daily basis
 Building strategic partnerships with potential clients
 Handling product marketing initiatives and activities

DETAILED WORK OF INTERNSHIP

A. ADVERTISEMENT
The internship involves study of customer behaviour and marketing techniques
of Aditya Birla sun life. It includes study of consumer behaviour with the help
of advertisement campaign and research for advertisement campaign which
gives a detailed information of consumer behaviour.

What is advertising?

Advertising is one of the most creative fields and is a part of Marketing.

Advertising is any paid form of communication from an identified sponsor or
source that draws attention to ideas, goods, services or the sponsor itself. Most
advertising is directed toward groups rather than individuals, and advertising is
usually delivered through media such as television, radio, newspapers and,
increasingly, the Internet. Advertising creates market communication

 The main objectives of advertising are.

1. Trial: the companies which are in their introduction stage generally work for
this objective. The trial objective is the one which involves convincing the
customers to buy the new product introduced in the market. Here, the
advertisers use flashy and attractive ads to make customers take a look on
the products and purchase for trials.
2. Continuity: this objective is concerned about keeping the existing customers
to stick on to the product. The advertisers here generally keep on bringing
something new in the product and the advertisement so that the existing
customers keep buying their products.

3. Brand switch: this objective is basically for those companies who want to

attract the customers of the competitors. Here, the advertisers try to convince
the customers to switch from the existing brand they are using to their
product.

4. Switching back: this objective is for the companies who want their previous
customers back, who have switched to their competitors. The advertisers use
different ways to attract the customers back like discount sale, new advertise,
some reworking done on packaging, etc.

What is market communication?

The Marketing Communication refers to the means adopted by the companies

to convey messages about the products and the brands they sell, either directly
or indirectly to the customers with the intention to persuade them to purchase.
In other words, the different medium that company adopts to exchange the
information about their goods and services to the customers is termed as
Marketing Communication.

In Aditya birla sun life market communication is defined as something which is

derived from consumer behaviour and market trend from association tension
line

What is consumer behaviour?

Consumer behaviour refers to the study which analyses how consumers make
decisions about their wants, needs, buying or act with respect to a product,
service or organization. It is very critical to understand the behaviour of
consumers to analyse the behaviour of potential consumers towards a new
product or service. It is also very useful for companies to identify opportunities
which have not yet been met.

An example in the aspect of consumer behaviour is the change in eating habits

which drastically increased the demand for gluten-free products. Businesses
 which have identified this market gap have produced gluten-free products and
have tapped this market aspect as well.

What is market trend?

A market trend is anything that alters the market your company operates in.
market trend analysis, or the process of evaluating changes to your market.
Market trend analysis looks at how your industry started in the market, how it
has grown, and where it is expected to go.

For example, how cell phones first come about, how their popularity changed,
and how manufacturers and retailers expect the market to change.

About ad campaign

Advertising campaigns are the groups of advertising messages which are similar
in nature. They share same messages and themes placed in different types of
medias at some fixed times. The time frames of advertising campaigns are fixed
and specifically defined.

Process of advertising

So the main start of our internship was how to work on an ad campaign. The
first process of any campaign is defining of ad objective.

1. Defining of objective

Objective of advertising to carry out communications between the brand and

the customer. Before the adoption of digital marketing and advertising, most of
the communication between the brand and the customer was one way.
Advertising has three primary objectives: to inform, to persuade, and to remind.

The objective of an advertising campaign is to

 Inform people about your product

 Convince them to buy the product

 Make your product available to the customers

2. Selection of hero

Hero of the advertisement usually where the advertisement revolves. In order to

define hero there is a use of questionnaires using few variables and finding out the
best variables with the help of responses through spss through factor analysis.

3. Defining of our target group

It is a detailed analysis which is done with the help of research. We use

Facebook advertising as an important aspect which helps us to do a detailed
targeting of target audience. Targeting is done on the basis of age, gender,
income, occupation, demographics, location, technology, interests etc. it’s done
with the help of questionnaires.

4. Consumer behaviour/marketing trend.

A market trend is an inclination of a market to move in a specified direction

over a period of time. The time frames can definitely vary, from being short
term to a long term and Consumer behaviour refers to the study which analyses
how consumers make decisions about their wants, needs, buying or act with
respect to a product, service or an organization. It is very critical to understand
the behaviour of consumers to analyse the behaviour of potential consumer.

5. Understanding marketing communication

What the advertisement will communicate to its customers. The Marketing

Communication refers to the means adopted by the companies to convey
messages about the products and the brands they sell, either directly or
indirectly to the customers with the intention to persuade them to purchase.

6. Setting the budget: 

Next step is to set the budget keeping in mind all the factors like media,
presentations, paper works, etc which have a role in the process of advertising
and the places where there is a need of funds.

7. Deciding a proper theme:

 The theme for the campaign has to be decided as in the colors to be used, the
graphics should be similar or almost similar in all ads, the music and the voices
to be used, the designing of the ads, the way the message will be delivered, the
language to be used, jingles, etc.
8. Selection of media: 
The media or number of Medias selected should be the one which will reach the
target customers.
9. Media scheduling:
The scheduling has to be done accurately so that the ad will be visible or be read
or be audible to the targeted customers at the right time.
10.Executing the campaign:
Finally, the campaign has to be executed and then the feedback has to be noted

SOCIAL MEDIA CALENDER

What is a social media calendar?

A social media calendar is usually a spreadsheet (or a specialized calendar
tool/app) used to plan, and sometimes schedule, social media posts in advance.
Just like with editorial calendars, there are 2 main reasons why you need a
social media calendar:
1. it helps you strategize and organize your social media marketing
2. it helps you save time and become more efficient
As I mentioned earlier, the big issue with social media marketing is that you
need to be very consistent with posting new updates regularly. Whether you
have one account or multiple accounts, social media is overwhelming.
With a calendar in place, however, you can:
 plan your updates ahead of time
 make sure that deadlines are met for content creation (images, videos,
GIFs, etc.)
 be prepared ahead of time for special events, holidays and the like
 plan your updates to go out at the best, most optimum times
 make sure that all of your different social media accounts are getting
enough love

How to create a social media calendar

It will not only help you save time, but it will also help you create better
updates. It gives you the time and opportunity to think things through and create
the types of updates that will get you closer to reaching your social media goals.
Plus, you won’t have to scramble at the last minute to find something to post –
which is not only a pain to do, but it also usually means the update won’t be as
good as it could’ve been had you had the time to perfect it.

With all of these benefits, keeping a social media calendar can make a big
difference to your overall social media success, as well as your effectiveness as
the manager or the managing team – so, let’s get started with putting your
calendar into place.

Types of Advertising Media

Selection of the perfect advertising media where the advertisements will be
presented is really important for the success of the marketing campaign. There
are several advertising mediums which can be categorized under three heads:

 Print Advertising
 Broadcast Advertising
 Digital Advertising
Each of the media has its own exclusive characteristic like the reach, shelf
space, interest, and niche targeting, etc. A marketer has to evaluate each and
choose the one with the greatest ROI.
Print Advertising
One of the oldest and most popular media of advertising, print media has better
reach and can even be used for copy extensive advertisements.

Print advertising includes –

 Newspaper advertisements – Newspapers have the highest reach among

other types of print advertisements. They are in the regional languages and
have a narrower reach as compared to others because of its economical
price.
 Magazine advertisements – Magazines can be used for niche
advertisements. They have a higher conversion rate as the advertisements
are targeted to the right audience.
 Brochures – Brochures impart everything a customer should know about
the product or a brand. They are targeted and distributed at a later stage to
educate customer more about the brand.
 Fliers – Fliers are handy and have a great local reach. Fliers turn out to be
very useful for local businesses.

Broadcast Advertising
Technological advancement has resulted in increased returns from broadcast
advertisements. Broadcast mediums include audio-visual information and
entertainment mediums like radio, television, etc. It’s one of the most
effective media for advertising as a story can be better understood if moving
images and audio is used. But this medium is one of the costliest advertising
mediums too.
 Broadcast advertisements can be classified into

 Television Advertisements – Television advertisements are usually

focused on brand building and creating brand awareness among prospective
customers. These involve a lot of time and monetary investments and can
prove to be one of the most beneficial advertisement investments for a
business. Television advertisements have an edge over print advertisements
as the people who can’t read can also understand the message through
audio-visual ads

 Radio advertisements – Radio advertisements have both local and national

reach and are economical in terms of ROI. These can be in the regional
language and have a great recall value.

Digital Advertising
Digital advertising refers to advertisements that are digitally displayed over the
internet or other digital devices. This includes the Internet, media devices
like smartphones, tablets, etc. Big Data has helped digital marketers to carry
extremely targeted advertisements and get the most out of their investments.
With the everyday addition of new users and increased technology and R&D in
the digital world, marketers can now not only target customers with their
advertisements but also can engage and interact with them.
Digital advertising includes advertisements on –

 Internet
 Mobile phones
 Media devices other than broadcast media. Devices like Kindle, Echo,
Google home, etc.

Example of advertisement on a dummy brand

BRAND-GOOGLE TRIPS (basic idea)

 1. Objective of ad
To promote easy planning and other facility of planning and other
facility for the customer during and before the trip
2. Budget-50 crore (approx.)
3. Tagline-#easeyourtrip
4. Target group
 Country-India
 Income group-7 lakh and above
 Location –tier 1, tier 2. tier 3 cities
 Age group-18-31(as per survey)
 Gender male (66%) and female (34%)
 Exclude-infants and diseased individuals
 Education-educated as well as uneducated customers having a
basic knowledge of regional language
 Spendings-1500-6000
 Time-once a year (27%)
Once in a month (19%)
Once in 6 months (15.4%)c
Frequently (38.6%)
 Occupation-employed self-employed and students
 Marital status-single, married
 Hobby-travellers, others
5. Consumer behaviour-easy mobilisation and speedy travel assistant
6. Market communication-
 To create brand awareness
 To promote available available feature that can ease a trip
7. New ad
So here’s a husband and wife plans a trip but everything gets really
messed up due to improper planning (but sarcastically says he has
done a great planning) …so his wife Is very angry…so wit google
trips this would have never happened. So use google trips

AD Campaign teams
1. Planning Team
 Understanding the Hero of the Ad and preparing the objective of the Ad.
  With the help of the objective prepare Questionnaires based on the
objective and the Hero, find out the Target Groups in detail.
 With the target group prepare a Budget not too costly or too cheap for the
company to be used.
2. Research Team
 Now, Primary Research and Secondary Research is done to understand
the Consumer Behaviour of the Target Group.
 Now after understanding the Consumer Behaviour and the thought
process of the people, comes the part of Creative team.
3. Creative/Copywriting Team
 A storyline or a script is made for the Ad and an idea is given for the
poster to showcase the Ad in a single poster.
 Use of hashtags and the tagline is all designed.
 Finally, the Media Planning is done for all the platforms such as Radio,
TV, Social Media, Magazines

Advertisement campaign for Aditya Birla

 Convenience through Insurance

Objective-

 To identify to what extent did customers look for convenience while

buying insurance
 To provide target audiences with convenience they want,which will
provide them ease and comfort from the product.

Target Audience—

 Age group-25-45(Based on questionnaire)

 Gender-All gender
 Location-India Tier 1 and Tier 2 cities
 Include –Middle income level earners whose income lies between 7 L to
12L (Based on Questionnaire)
 Exclude-People whose income is less than 7 L
 Occupation-Employed and Self employed
 Interest- people who looks for convenience through insurance
 Custom Audience-

 Businessman with or without family

 Joint family whose members are more than 5
 Married couples with or without child

Consumer Behaviour-

 To suit the convenience of the customers

 Ease and comfort to customers
 Time saving for customers

Marketing communication-

 To make target audience aware why convenient product is necessary and

to satisfy them.
 To provide life insurance that contains the factors considering
convenience of the target audiences.
 Making realize to customers that ease and comfort plays an important
role while buying insurance.

New ad-

One man met with a terrific accident while travelling by his car.

When his family come to visit him doctor immediately suggest an operation
which will need a huge cost.

His family members calls an insurance company and an employee from that
particular company comes with the operation cost which was needed for
operating him. He pays all the bill on time which makes his family little
comfort.

 Various modes of payment

• Objective: To avail various modes of payment for hassle-free transaction

• Questionnaire : https://forms.gle/ER8fL3JVRc88c4W18
 • Target group
 Age-25-41
 Family members-6-10 members
 Occupation- Employed and self-employed
 Gender- all gender
 family type- Joint and nuclear family
 annual income- 3-10 lakhs
 marital Status-Married and un married
 location- Tier-1 and Tier-2 cities
 Family members-6-10 members

• Consumer behaviour:

 Quick, Secured, convenient and ease of payment

• Marketing communication: Different Secured modes of payment available
• Advertisement on Various modes of Payments (YOUTH) 

The person would like to pay through various options like online payments,
through cards i.e., credit cards and debit card. Through this mode he/ she save a
lot of time and can invest their time in some other work. One can also pay
through UPI link which is much easier and very fast mode of payment.

• Advertisement on Various modes of Payments (OLD AGE)  

The person would like to pay the premium amount through cash. As they have
not familiar with the technologies and not much reliable on this types of
technologies as they don’t know much about it. But when he/she comes to pay
premium in to branch then there is another area foe the senior citizens or for the
old age people. The branch can also send someone to their homes to bring cash
such that the people doesn’t have trouble to come to the branch.

The person will get the alert message at the time of payment of whatever
options he/she like to opt for i.e. annually, semi-annually, quarterly, monthly, to
pay. Then auto deduct is also there for the customers if they forget about the
payment of premium.
• MEDIA PLANNING-
  YOUTUBE: - 30 sec adds starting, 15-20 sec add in between
 TELEVISION
1. News Channel (Business news): - Morning 8:30-9:30, Afternoon and
Closing time of share market
2. Family channel: - 12:00pm to 8:00pm
3. Sports channel: - Every time once in an hour during live streaming
4. Infotainment channel: - 5 times a day
5. Entertainment channel: - MTV Saturday & Sunday after 8:00pm till
12:00 am and two times of every show.
 Magazines: - India today, Business Today, The week, Business world,
Business India.
 Newspaper: - Standard papers and Local papers also
 Radio: - All time. Twice every hour

POSTER
 B. UNDERSTANDING INSURANCE
Insurance revolves around the Principle of Indemnity which is to
compensate or secure the policyholder in the same financial position prior
to the event of a loss. In other words, the purpose of insurance is to help
make the named insured financially whole again after a peril.

The problem arises when clients undermine the significance of insurance

since insurance policies are an intangible product. Unlike a car, jewellery
or a house, you can't physically see or hold the value of an insurance
policy.  The true value of insurance lays in the financial security and peace
of mind that you obtain knowing that your property and well-being is
protected after a catastrophic event.

Insurance has evolved as a process of safeguarding the interest of people from

loss and uncertainty. It may be described as a social device to reduce or
eliminate risk of loss to life and property.

Insurance contributes a lot to the general economic growth of the society by

provides stability to the functioning of process. The insurance industries
develop financial institutions and reduce uncertainties by improving financial
resources.

1. Provide safety and security:

Insurance provide financial support and reduce uncertainties in business and
human life. It provides safety and security against particular event. There is
always a fear of sudden loss. Insurance provides a cover against any sudden
loss. For example, in case of life insurance financial assistance is provided to
the family of the insured on his death. In case of other insurance security is
provided against the loss due to fire, marine, accidents etc.
2. Generates financial resources:
Insurance generate funds by collecting premium. These funds are invested in
government securities and stock. These funds are gainfully employed in
industrial development of a country for generating more funds and utilised for
the economic development of the country. Employment opportunities are
increased by big investments leading to capital formation.

3. Life insurance encourages savings:

Insurance does not only protect against risks and uncertainties, but also provides
an investment channel too. Life insurance enables systematic savings due to
payment of regular premium. Life insurance provides a mode of investment. It
develops a habit of saving money by paying premium. The insured get the lump
sum amount at the maturity of the contract. Thus life insurance encourages
savings.

4. Promotes economic growth:

Insurance generates significant impact on the economy by mobilizing domestic

savings. Insurance turn accumulated capital into productive investments.
Insurance enables to mitigate loss, financial stability and promotes trade and
commerce activities those results into economic growth and development. Thus,
insurance plays a crucial role in sustainable growth of an economy.

5. Medical support:
A medical insurance considered essential in managing risk in health. Anyone
can be a victim of critical illness unexpectedly. And rising medical expense is of
great concern. Medical Insurance is one of the insurance policies that cater for
different type of health risks. The insured gets a medical support in case of
medical insurance policy.

6. Spreading of risk:
Insurance facilitates spreading of risk from the insured to the insurer. The basic
principle of insurance is to spread risk among a large number of people. A large
number of persons get insurance policies and pay premium to the insurer.
Whenever a loss occurs, it is compensated out of funds of the insurer.

7. Source of collecting funds:

Large funds are collected by the way of premium. These funds are utilised in
the industrial development of a country, which accelerates the economic
growth. Employment opportunities are increased by such big investments. Thus,
insurance has become an important source of capital formation.

Distribution channel in Life Insurance

Distribution Scenario in the Indian Market In today’s Indian Insurance market,
the challenge to insurers and intermediaries is two-pronged:

 Building faith about the company in the mind of the client

 Intermediaries being able to build personal credibility with the clients

Prior to privatization, the only public sector insurer LIC was having the
monopoly in insurance sector. LIC was having its branches in almost all parts of
the country and it attracted people local people to become their agents.
Traditionally, tied agents had been the primary channel of insurance distribution
in the Indian market. The agents are from various segments in society and
collectively cover the entire spectrum of society. Of course, the profile of the
people who acted as agents, may not have been sufficiently knowledgeable
about the different products offered and may not have sold the best possible
product to the client. Nonetheless, the customer trusted the agent and company.
This arrangement worked adequately in the absence of competition. In today’s
scenario, life insurance companies have adopted different channels for
distributing their products. A broad categorization of channels currently being
used in the distribution of life insurance products is presented below-

Agency-

Agency is the largest distribution channel of almost all life insurance

companies, comprising a large advisor force that targets various customer
segments. The strength of agency channels lies in an aggressive strategy of
expanding and procuring quality business. With focus on sales & people
development, tied agency has emerged as a robust, predictable and sustainable
business model.

All life insurance companies have an agency-building distribution strategy

under which they recruit, train, finance, and supervise their agent/advisers. For
decades, agency was the only distribution channel for life insurance in India.
Even today more than 70% of business is carried through insurance agents.

Broker-
The image that ‘broker’ carried in the mind of the customer is not very
favourable. Thus, the new breed of insurance brokers faces the challenge of
establishing credibility. The positives are that brokers in the urban arena can
attract the elite and the upper middle class customer. Brokers represent the
customer and will sell the products of more than one company. They seek to
determine the best fit for the client and can effectively address the mind block
faced by the public about the various companies. This is applicable in the case
of life insurance for the high-end and corporate group segment.

Bancassurance-

This section deals with analysis of bancassurance channel. Bancassurance in its

simplest form is the distribution of life insurance products through a bank’s
distribution channel. Insurance companies see bancassurance as a tool for
increasing their market penetration and premium turnover. It takes various
forms in various countries depending upon the demography, economic and
legislative climate of that country. It was introduced in India when insurance
industry was opened up for private players

Direct marketing-

Direct marketing means selling products by dealing directly with consumers

rather than through intermediaries. More recently telemarketing, direct radio
selling, magazine and T.V advertising, and on-line computer shopping have
been developed.

Internet Marketing-

The growth of the Internet has led to a great deal of speculation and discussion
regarding its potential impact on traditional distribution channels. Though India
is joining the fast growing breed of net users, using net for transactions has not
yet caught up. Though few companies provide online insurance service, the
usage is still a small fragment. The insecurity associated with transactions over
the net is still an inhibiting factor. At present, most of the insurance companies
have product information and illustrative tools available on the web. But web is
not seen evolving into a means for direct selling of insurance in the current
scenario. In the Indian market, where insurance is sold after considerable
persuasion and face to face selling, selling over the net which must be initiated
by the client, would take some more time.
 While the adoption rate of the Internet as a distribution channel has been low,
companies have seen widespread adoption of the Internet as a support channel.
Insurers are using the Internet to provide general information of financial
services products (e.g., insurance, investments) and planning involving the use
of these products, to provide specific information of the company and its
product lines, to provide administrative support to its policyholders and to serve
as a prospecting and communication tool for its agent-led channel.

Present position of distribution channel in public and private companies

Public sector company Private sector company

Identity is well established, but the Have to build their identity in a
perception of “poor service market where the public should
providers” is a stigma. distinguish them.
Products are not attractive and Remove the perception that
flexible enough but expensive. anything that looks good is
expensive
To retain their creamy layer Work against the people’s mindset
clientele who are most likely to be that they are not here for the long
wooed by the new companies term
Retain and attract good Attract intermediaries especially
intermediaries agents with the requisite
qualifications and attributes who
can market the company and the
product.
 C.COMPETITIVE ANALYSIS
A competitive analysis is a critical part of your company marketing plan. With
this evaluation, you can establish what makes your product or service unique--
and therefore what attributes you play up in order to attract your target market.

Evaluate your competitors by placing them in strategic groups according to how

directly they compete for a share of the customer's dollar. For each competitor
or strategic group, list their product or service, its profitability, growth pattern,
marketing objectives and assumptions, current and past strategies,
organizational and cost structure, strengths and weaknesses, and size (in sales)
of the competitor's business

Answer questions such as:

 Who are your competitors?

 What products or services do they sell?

 What is each competitor's market share?

 What are their past strategies?

 What are their current strategies?

 What type of media are used to market their products or services?

 How many hours per week do they purchase to advertise through the
media used in this market?

 What are each competitor's strengths and weaknesses?

 What potential threats do your competitors pose?

 What potential opportunities do they make available for you?

A quick and easy way to compare your product or service with similar ones on
the market is to make a competition grid. Down the left side of a piece of paper,
write the names of four or five products or services that compete with yours. To
help you generate this list, think of what your customers would buy if they
didn't buy your product or service.

So in order to do a competitive analysis we have taken our 3 major competitors

 Hdfc
 Max life insurance
 Icici prudential

Marketing strategies of ICICI Prudential-

 ICICI has one of the largest distribution networks amongst private life
insurers in India, with branches in 54 cities.
 It came up with creating awareness in 2018 through sustained campaign;
‘Retire from work, not life’. Within six months, the campaign rewarded
ICICI Prudential with an increased share of 23% of the total pensions market
and 78% amongst private players.
 ICICI Prudential has recruited and trained more than 72,000 insurance
advisors to interface with and advise customers. Further, it leverages its
state-of-the-art IT infrastructure to provide superior quality of service to
customers.
 The brand proposition for all the campaigns was reflected in the line:
‘Suraksha: Zindagi ke har kadam par’. The campaign featured a significant
competitive advantage, the sound financial backing and credentials of ICICI
Prudential, and showcased products from different segments. The advertising
idea was encapsulated in the symbol of protection –the ‘Sindoor’. This
campaign contributed extensively to raising brand awareness and creating a
distinctive identity for the company.
 The Company recently tied up with the Forbes Six Sigma rated Dabbawalla
organization in Mumbai for a direct marketing exercise. In a Unique effort to
create awareness about a tax saving product, the company attached a creative
of a bitten apple to Mumbai’s ubiquitous lunchboxes. It worked wonderfully
with Mumbai’s office-goers and one that translated into substantial business
for the company.
PRODUCTS
 Term Insurance Plans
 Health Insurance Plans
 Unit Linked Insurance Plans
 Traditional Savings/Money Back Plans
 Retirement Plans
 Group Plans
 Rural Plans
 Pure Protection Plans

 ICICI Pru iProtect Smart

 ICICI Pru iCare II
Term insurance
 ICICI Pru Life Raksha
plans
 ICICI Pru POS iProtect Smart
 ICICI Pru POS Life Raksha

Health  ICICI Pru Heart Cancer Protect

insurance plans  ICICI Prudential Smart Health Cover

 ICICI Pru1Wealth Plan

 ICICI Pru Lifetime Classic
 ICICI Pru Elite Life Super
Unit linked
 ICICI Pru Elite Wealth Super
insurance plans
 ICICI Pru Guaranteed Wealth Protector
 ICICI Pru Smart Life
 ICICI Prudential Smart Kid Solution

 ICICI Pru Cash Advantage

Traditional
 ICICI Pru Savings Suraksha
Savings/Money
 ICICI Pru Assured Savings Insurance Plan
Back plans
 ICICI Pru Future Perfect

Retirement  ICICI Pru Easy Retirement

plans  ICICI Pru Immediate Annuity
  ICICI Pru Loan Protect
 ICICI Pru Loan Protect Plus
 ICICI Pru Group Term Plus
 Group Gratuity Plan
 Group Superannuation Plan
 Group Leave Encashment
 Group Immediate Annuity Plan
 ICICI Pru Group Loan Secure
 ICICI Pru Group Insurance Scheme for
Pradhan Mantri Jeevan Jyoti Bima Yojana
 ICICI Pru Shubh Raksha Credit
 ICICI Shubh Raksha One
 ICICI Pru Shubh Raksha Life

 ICICI Pru Sarv Jana Suraksha Micro

Rural plans Insurance Plan
 ICICI Pru Anmol Bachat

These are the simplest form of life insurance plans. They offer a financial cover
for a specific period or term. In case of an unfortunate event within this
term, these policies pay a predetermined amount to your dependents. This helps
you secure their needs in your absence

Best selling products

 
A. Protection + Savings & Retirement Plans
These are insurance plans that go beyond providing protection. Retirement
plans help you save for your retirement, whereas Protection + Savings plans
help you create wealth while offering the benefit of a Life Cover.
B. Group Plans
Group Insurance Plans are life insurance solutions which are especially crafted
for members belonging to a professional, financial or cultural organization. Our
range of Group Plans offer you various benefits that suit your needs.
C. Rural Plans
Our rural business initiative has played a very important role in reaching the
underserved segment through rural insurance plans. Along with hassle-free and
simple procedures, these plans offer a Life Cover at low premiums.

Marketing Campaigns
ICICI Prudential has effective marketing strategies with excellent recall value
because of their successful ad campaigns. The most popular mascot, Chintamani
was a huge success for ICICI Prudential for reaching out to the common people.
The ads featuring Chintamani focused mainly on tax benefits, health and other
similar aspects. There have been also regular advertisements on pension
products and “Jeete Raho” campaign. Recently ICICI Prudential signed up with
Bollywood actor Amitabh Bachchan to be its brand ambassador.

Promotion Strategy

The promotional mix is a term used to describe the set of tools that a business
can use to communicate effectively and efficiently the benefits of its products or
services to its customers. Market communication performs three basic roles in
marketing for the customers–to inform, to persuade, and to remind. Traditional
promotion employs a variety of methods–including advertising, sales
promotion, public relation, and personal selling–to attract the attention of
existing and potential customers, and to inform them of the products, services,
and special offers made available by the firm (Peattie, and Peattie, 19941). Each
of the elements of promotion mix has its own importance and now become
familiar in many areas of services marketing. In case of life insurance services,
promotion is done through a mix of advertising, personal selling, and sales
promotion. Promotion communicates with the potential market so as to
persuade the prospective customers to try a new insurance product (Periasamy,
2005). The new concept of online advertising is one marketing tool that is
economical for reaching out maximum customers at one point of time. As the
internet takes on more power and influence all of the time, having a web
presence will put an insurance company on the cyber map and get it noticed by
the existing as well as by the potential customers. Punch line advertising in
business journals, television advertisement, newspaper advertisement, industrial
publications and periodicals are traditional approach for reaching out to the
customers. The modern approach of marketing includes social media marketing,
internet marketing and mobile apps marketing which are excellent forms of life
insurance marketing. All life insurance companies have started using public
relation as a tool to make better image in the minds of general public. Personal
selling is more effective and extremely labour intensive but is the best form as
far as life insurance is concerned, dealing with one customer at a time.

Distribution Strategy

The ICICI Prudential life insurance distribution strategies are different from the
public sector life insurance company. The agency channel was able to arrest the
year on year declining trend with a growth of 22.1 percent in FY2015 as against
decline of 19.7 percent last year. IRDAI has recently allowed registration of the
Insurance Marketing Firm (IMF) paving the way for insurance agents and
entrepreneurs to start their own insurance distribution firm. ICICI Prudential has
very strong distribution network among all insurance companies. It has
formidable presence across India with over 1,900 branches and an advisor base
of over 2,10,000 (March, 2010). The company has 7 bancassurance partners
having tie-ups with ICICI Bank, Ratanagiri District Central Co-op Bank, Ballia
Kshetriya Co-operative Bank, Renuka Nagrik Sahakari Bank, Bhandara Urban
Co-operative Bank, Balasinor Nagarik Sahakari Bank Limited, Arvind Co-op
Bank. The Company has successfully integrated a new bancassurance
relationship with Standard Chartered Bank, a leading Multinational National
Company (MNC) bank having largest branches in India. Bancassurance
emerged as the predominant channel with a contribution of 59.2% and a growth
of 53.0% compared to 19.5% in FY2014. The corporate agents are also
contributing 6.9 percent as 185 per 31st March 2015, as compared to 9.6 percent
in FY2014.
 Marketing strategy of MAX life insurance
Max Life Insurance Company Limited (formerly known as Max New York
Life Insurance Company Limited) is a life insurance company in India. The
company is a subsidiary of the publicly listed Max Financial Services
Limited and is the largest non-bank private-sector life insurer in India. It was
founded in 2000 after the liberalization of the insurance sector in India and its
operations began in 2001. Analjit Singh, founder of Max Healthcare, is the
chairman of Max Life Insurance.[1] The company is headquartered at New
Delhi.
Max Life Insurance is a part of the Max India Ltd. Group. It is a joint venture
between Max Financial Services and Mitsui Sumitomo Insurance Company.
The former owns 68% of the company while the latter owns 26%.[2] After
forming the joint venture partnership with Mitsui Sumitomo, Max Life changed
its name from Max New York Life in 2012. In February 2016, Axis Bank held a
6% share in Max Life.

The key strategy of max life insurance is

1) A market or customer orientation.

2) A subordination of departmental aspiration to companywide goal

3) A unification of company’s operation

ADVERTISEMENT STRATEGY OF MAX LIFE

INSURANCE
The insurance industry as a whole has come of age in terms of advertising. Max
Life Insurance is one brand that has been consistent in its advertising approach.
Last week, the insurance major launched a new campaign emphasizing the
importance and significance of honest advice. The central theme of the
campaign is well captured with the tag line 'Sachchi Advice sirf apne hi dete
hain'. The campaign has been designed by Ogilvy and Mather and will air for a
period of 6 weeks.
 This new campaign is part of a renewed brand strategy. For the last few years,
the brand has propagated the thought of being 'Aapke Sachche Advisor', putting
the spotlight on its advisors who are genuine, sincere and do what is right for
their customers. Moving forward, the brand now takes the higher ground of
'Sachchi Advice', this time, putting the spotlight on the company as a whole.

Max Life Insurance renews brand strategy, shifts spotlight from advisors to
company. The new campaign revolves around the fact that good or „sachchi
advice‟ is tough to come by. Max Life Insurance as a brand has always stood up
for honesty and transparency in a category that is complex and confusing and
where trust takes a while to be earned. For the last few years, the brand has
propagated the thought of being 'Aapke Sachche Advisor', putting the spotlight
on its advisors who are genuine, sincere and do what is right for their customers.
Moving forward in its honesty journey, the brand has now decided to take the
higher ground of 'Sachchi Advice', this time, putting the spotlight on the
company as a whole.

Products offered by Max life insurance:

1. MAX LIFE TERM PLAN

 Max life online term plans basic cover
 Max life online term plan life covers + monthly income
 Max life online term plan life covers + increasing monthly income
 Max life super term plan
 Max life platinum protects II
 Max life premium return protection plan
2. MAX LIFE ULIP PLAN
 Max life fast track super plan
 Max life platinum wealth plan
3. MAX LIFE PENSION PLAN
 Max life forever young pension plan
 Max life guaranteed lifetime income plan
 Max life perfect partner super
4. MAX LIFE CHILD PLAN
 Max life super genius education plan
 Max life shiksha plus super plan
5. MAX LIFE SAVINGS AND INCOME PLAN
 Max life whole life super
 Max life guaranteed income plan
 Max life gain premier
 Max life monthly income advantage plan
 Max life assured wealth plan
 Max life POS guaranteed benefit plan

BEST SELLING PRODUCTS OF MAX LIFE INSURANCE

 Basic life cover

 Super term plan
 Shiksha plus super
 Guaranteed lifetime income plan
 Forever young pension plan
 Fast track super plan
 Monthly income advantage plan

DISTRIBUTION CHANNEL OF MAX LIFE INSURANCE

Max life insurance company Ltd. currently distribution model to sell its
products that includes the agency distribution partnership distribution,
distribution focused on converging markets and alliance marketing through
employed sales force max life has pan India presence with logo offices across
the country.

Its distribution channel includes banks, individual agents, brokers, and corporate

agents, among others
 Marketing strategies of HDFC –
 Reaching out to nook & corner of the country has helped the brand in
increasing its visibility in the market is not only metro or urban but also in
the suburban centers.
 Being a Tech Savvy commercial banking company, HDFC has decentralized
it is most of the business operations by making it accessible and user-
friendly online interface.

As part of their promotional policy, company has employee benefit plans to

increase productivity and loyalty. It was the first company to sell policies
through internet. It offers incentives including rebates, gifts, e-marketing and
direct mail to attract more consumers. Vital advertising tools of Brand are
billboards, internet, newspaper, magazines, radio and television. Cricketer
Kapil Dev has been its brand ambassador and cricketers like Virendra
Sehwag, Yuvraj Singh and Suresh Raina have been roped in to work in its
commercials.

HDFC Life distributes its products through a multi-channel network

consisting of Insurance agents, Bancassurance partners (HDFC
Bank, Saraswat Bank, RBL Bank), Direct channel, Insurance Brokers &
Online Insurance Platform.

HDFC Life's products include Protection, Pension, Savings, Investment,

Health along with Children and Women plans. The company also provides
an option of customizing the plans, by adding optional benefits called riders,
at an additional price. The company currently has 29 retail and 8 group
products, along with 7 optional rider benefits (as on 7 May 2018).[3]

 Protection Plans - insurance plans that provide protection and financial

stability to the family in case of any unforeseen events.

 Click2Protect Plus is their online term plan.

 Launched CSC Suraksha to be sold exclusive through the Common

Services Centre network.
 Click2Invest is their online ULIP investment plan.

 Health Plan – offers financial security to meet health related

contingencies.

 Savings & Investment plans - These plans help in investment to achieve

financial goals.

 Retirement plans - financial security for life post retirement.

 Women's plans - plans catering to different financial needs of women.

 Children's plans – plans meant to secure children's future.

 Rural & social Plans – meant specifically for rural customers.

 Click2Retire completed their Click2 portfolio.

 ULIP Investment with more funds.

HDFC Life provides a variety of life insurance plans and policies to meet
each individual’s insurance needs and requirements.

Products of HDFC Life-

 Life insurance plan

 Protection plans
 Health plans
 Children’s plan
 Saving and investment plans
 Women’s plan
 Retirement plan
 Rural and Social plans
 ULIP plans
 NRI insurance plan
 Group insurance plan
 Discontinued insurance plan
Marketing communication of HDFC life through their ad campaigns-

Making audiences aware about their insurance products and making them
understand what it is important.

To promote their products through various ad campaigns and communicating

values through their ads.

Strategies of HDFC Life-

Promoting Strategies

Ad campaign by HDFC Life (2020)-

HDFC Life has launched a new ad film that speaks about bouncing back
from life's setbacks, instead of letting them bring you down. 'Bounce Back'
has been used as a theme in the brand's recent campaigns.

Key strategies of HDFC Life-

 Product innovation -Offer attractive value propositions to customers to

cater to both innate and latent needs.
 Customer centric distribution- Redefine the sales process to reach a wider
customer base and deliver a superior experience.
 Revitalization of the core- Utilize cutting-edge technology to make data
and processes more relevant for today.

Overall strategies of HDFC life-

Social media overall marketing strategies-

 Facebook

A quick search for HDFC Life will throw a number of pages at you. A look
at the number of likes on the page makes it easier to pick the page.

 Twitter
HDFC Life is attempting to make a mark on Twitter as well. They use good
hashtags but yet again fail to converse or open a dialogue with their tweeters.
Not a single reply is sent from their Twitter account. Thus, they receive a
limited number of mentions. The hashtag #HDFCLifeFund is regularly used
but does not seem to be catchy enough for the users. 

 Google+

HDFC Life unlike most brands has a presence on Google Plus as well. 

 Blog

The HDFC LIFE is close to being a fully functional website with many tabs
and an exhaustive navigation bar. The blog covers insurance related subjects
and provides information right from quick tips to unlocking the secrets of
buying insurance to understanding your needs before applying for an
insurance.

Distribution channels of HDFC life-

1. Direct channels
 Call centers-Call centres provide insurance companies with an efficient
method of transacting insurance with customers
 Insurance agents-An agent is an individual who acts on behalf of
another person or group.
 Appointed representatives-An agent can be appointed to provide advice
and sell insurance products for a particular insurance company, but be
independent of that company. These agents are referred to as appointed
representatives.
2. Indirect Channels-
 Insurance brokers-Insurance brokers are independent of any insurance
company and therefore able to provide advice and products to the
customers from a variety of companies. 
 Independent financial advisers (IFAs)
 Financial organisations
 Broker networks
Best distribution channel of Aditya Birla

Apart from around 3,000 branches of the two promoting banks, it sells products
through the direct channel and insurance brokers. Birla Sun Life has been
looking to scale up the business through bancassurance, or selling insurance
products through banks. Bancassurance is the most sought-after distribution
channel

Why ABSLI is lacking?

1. Company does not penetrate on the rural market at a time.

2. The advertisement campaigns run by ABSLI is very less.
3. There is no plans for low income group.
4. The schemes launched by ABSLI is at a very high rate.
5. Fee for the advisor is high than the other company.
6. Company does not cover various risks in one policy with same premium.
7. The main problem is that lack of believes on the organization by the people.
8. There is lack of good quality, good skill insurance advisors.
9. It’s perception that it does not give good returns.
10.The company should find out the no. of people who are not having any of the
insurance plans through an intensive market research and motivate them to
get insured.

Solutions to Aditya Birla problems

Preparing for future disruptions, we know that the implications of climate

change will be disruptive to our businesses and we are already seeing water
depletion, land scarcity, ocean acidification, desertification and unplanned
worker migration amongst other impacts. Many of these have the capacity to
disrupt our supply chains, our operations and our markets. Recognizing these
implications means that our response to climate change needs to be about much
more than simply the energy efficiency measures described in the Responsible
Stewardship section of this report. In the past, insurance mechanisms have
safeguarded against potential threats. The new global issues that we face are
however, likely to be uninsurable. For example, our operations cannot be
insured against closure because the aquifers we rely on to run our power plants
have run dry due to climate change. It is up to us to make our businesses
sustainable and resilient to these forces. This is future proofing. It is different
from forecasting as it recognizes that only limited factors can be predicted with
any accuracy. Even with the knowledge gained from our expert strategic
stakeholders there is limited certainty, only trends and statistics on which to
base our decisions. This changes the rules of business planning and requires
managers to develop new skills to carve out success in a constantly evolving
world.
 Scenario Planning
To help us manage business uncertainties, we are using a technique called
Scenario Planning to create business-relevant feasible scenarios for the world
that we might find ourselves operating in. Scenarios explore the complex
interplay of different external factors shaping the future. Scenarios are most
often used to develop and refine strategies or to drive innovation. By exploring
different possible futures, our businesses are realizing that some factors are
more unpredictable than others and that by understanding this uncertainty we
can be more proactively prepared. Through the scenario planning exercise we
are challenging our leadership to explore the answers to some tough questions.
What if their source of raw materials is no longer available? What if we see a
global rise in nationalism?
What if global governance fails on climate change?
How will transparency and traceability requirements change as IT becomes
more widely available and data collection decentralized? Having these
conversations alone enables a more sophisticated understanding of what
operating a truly sustainable business really means.
Areas that have been discussed during our scenario planning and future-
proofing exercises include:
1. What might the future consumer need?
Taking into account how they will be living, what might they desire? What
challenges do they face? For instance, will they prefer access over ownership of
goods? Will people be living in large or small households? Where will they
live? The businesses that can meet the needs of their consumers will be the ones
that capture the increasing market share and are able to maintain growth.
2. What resources will and won’t be available to us? Will we have access to the
amount of energy we require at a reasonable cost or investment? Does our
product rely on a material whose long-term viability is in question like cotton or
tea or derivatives of the oil industry? What chemicals will be restricted or
banned in the countries we operate?
3. How might our products and services shape the future we want to see and
how will current unsustainable products be legislated anyway? Products and
services can enable people and businesses to live and operate in new, more
sustainable ways. How might our products and services empower and engage
the disenfranchised? How can our products build trust and empathy in
communities? How can they restore our natural ecosystems? But they can also
do the opposite. We want our products and services to be creating a better
future, not undermining it. Scenario planning is not a one-time exercise and we
work with our businesses to maintain a watch on how the operating landscape is
evolving, spotting signs of change that may trigger their future-proofing actions.
 Radical design
Companies need to build core competencies in circular design to facilitate
product reuse, recycling and cascading. Circular product (and process) design
requires advanced skills, information sets, and working methods. Areas
important for economically successful circular design include: material
selection, standardized components, designed-to-last products, design for easy
end-of-life sorting, separation or reuse of products and materials, and design-
for-manufacturing criteria that take into account possible useful applications of
by-products and wastes. Innovative business models. The shift to a circular
economy requires innovative business models that either replace existing ones
or seize new opportunities. Companies with significant market share and
capabilities along several vertical steps of the linear value chain could play a
major role in circular economy innovation and driving circularity into the
mainstream by leveraging their scale and vertical integration. While many new
models, materials, and products will come from entrepreneurs, these brand and
volume leaders can also play a critical role. Profitable circular economy
business models and initiatives will inspire other players and will be copied and
expanded geographically. Reverse cycles New and additional skills are needed
for cascades and the final return of materials to the soil or back into the
industrial production system. This includes delivery chain logistics, sorting,
warehousing, risk management, power generation, and even molecular biology
and polymer chemistry. With cost-efficient, better-quality collection and
treatment systems, and effective segmentation of end-of-life products, the
leakage of materials out of the system will decrease, supporting the economics
of circular design. System enablers for widespread reuse of materials and higher
resource productivity to become commonplace, market mechanisms will have to
play a dominant role, but they will benefit from the support of policy makers,
educational institutions and popular opinion leaders.
Examples of these enablers include:
• Collaboration
• Rethinking incentives
• Providing a suitable set of international environmental rules
• Leading by example and driving up scale fast
• Access to financing
We are increasingly aware that the world is not linear and predictable like a
machine, but made up of complex, adaptive systems. Businesses that see this as
an opportunity to re-think and re-design their own practices based on the
circular economy framework will lead the way to a future of resilient, positive
growth.

What are customer expectation with the process of insurance companies?

When it comes to customer service, it’s no longer enough for insurance

companies to aspire to outperform the companies within their own
industry. Customers in today’s digital age expect insurers to deliver customer
service that meets the standard set by digital giants like Amazon, Google, and
Apple. They want shorter response times; seamless interaction; simple,
understandable, and personalized service; the best possible quality; and more
transparency and fairness.
 
Given the high standards—and despite the even greater imperative to succeed—
many insurers are falling short in customer service. To guard against losing
customers to competitors and to attract new business, insurers must significantly
improve their service standards and become truly customer-centric. 
This isn’t a simple task. Before insurance companies can move forward with
better service delivery models, they must first look at existing customer
interactions and take steps to significantly reduce negative impressions
 
 The key is focusing on three critical dimensions of customer satisfaction:
1. Speed. Customer concerns don’t necessarily need to be processed in real time,
but companies must meet customer-defined expectations, which typically
measure turnaround time in hours, not days. 
2. Quality. Today’s savvy consumers won’t settle for a processing rate that is less
than 95% error-free. That’s well beyond the 70-to-80% rate that most insurers
deliver today. 
3. Transparency. Insurance customers need to understand exactly where in the
process their application or claim is at any given time. Transparency into
processes affects customer satisfaction scores at least as much as speed and
quality.
Meeting these basic expectations serves as the foundation for strong customer
satisfaction, but it also enhances operations. When insurers reduce the number
of negative customer experiences, they gain corresponding efficiencies and
productivity in operations. Improved customer service results in less work,
stricter processes, and fewer additional customer questions to be answered.

Trust issues
 Creation of blogs
 Blogs-1
THE IMPACT OF COVID-19 ON INSURANCE
COMPANIES
The speed at which COVID-19 is impacting the economy is unprecedented.
Like many businesses, insurance companies are facing unique challenges in this
rapidly evolving situation. How insurers approach and respond to these
challenges will influence their resiliency and ultimately how they will fare.

Insurance companies are facing new pressures as they are hit with multiple
challenges—all at once.

Strain on investment portfolios – Insurance companies rely on their

investment portfolios to generate returns. Markets have been in turmoil and, as a
result, insurers’ investment portfolios may be significantly impacted.
Additionally, interest income revenue streams may quickly dry up as interest
rates continue to drop.

Delayed payments – Regulators are urging insurance companies to accept late

premium payments with no penalty, putting a strain on cash flow. Despite
liquidity being impacted, insurance companies are still being expected to pay
out claims.

Decreased premium volume – Full or partial closing of businesses coupled

with social distancing has led to decreased demand for insurance. Lower
payroll levels lead to lower payroll-based premiums, such as those in workers’
compensation, and an uptick in layoffs results in fewer people buying houses,
cars, and other insurable purchases. A decrease in premium volume means a
decrease in income for insurers.

Coverage disputes – Pandemics are generally excluded from insurance policy

coverage and therefore policy premium has not included the necessary charges
to provide such coverage. A number of states are attempting to legislate to force
insurance companies to provide insurance coverage for business interruption
and other losses for claims resulting from the COVID-19 pandemic. There is
uncertainty regarding which party will ultimately incur the additional cost for
these adjustments.

Insurance companies that stay informed, remain proactive, and seek advice will
be better positioned to respond to the compilation of challenges and uncertainty.

Now may also be the time for increased focus on optimization and efficiency
programs, the key objectives being to reduce cost, increase capacity as well as
improved quality leading to enhanced customer experience.

As we have stated, the COVID-19 pandemic is affecting all aspects of life, it is

a dynamic and evolving situation where the future is unpredictable. Firms will
need to consider and prepare for:

 Increased claims ratio impacting profitability, budget, cash flow, capital

requirement etc.
 Lower returns from traditional investments will continue due to market
volatility and low to 0% interest rates.
  Blog 2

RUMORS ARE THE ONE WHICH CREATES UNAWARNESS……

YOU NEED TO DEEP DOWN YOUR ROOTS

Lost Your Health Insurance During the COVID-19

Crisis?
This was generic question that hit my while going through my health insurance
policy. This pandemic has created lots of questions lots of question. What if
anything happens to me!! Is there any alternative for it!!! Does my policy have
corona virus cover if anything happens to me or my family after taking so many
precautions?

So I thought of having a deep study on google as well as my agent so my

research went as follows

 If you already have a health insurance then COVID 19 will come under any
critical illness disease like cancer, dengue, heart, liver problem etc. But if you
don’t have any health insurance then you must go for one. Still there will be
waiting period time of 2 years as per the rules
 Before buying any health insurance policy one should read the terms and
conditions along with the waiting period time for critical illness. Without the
need don’t just buy for the heck of your insurance agent.
 It is also useless to buy the health insurance policy after getting infected to
COVID 19
 For some insurance companies COVID19 comes under epidemic/pandemic as
declared by the World Health Organisation (WHO). So, one cannot get the
settlement under the claim
 If any of your family member recently travelled to any affected foreign
countries then, you cannot claim the insurance for settlement
 Anyone who is planning to take the claim amount from their health insurance
company first have to submit all the proofs.

Who Can Avail?

 Individuals below 75 years of age.

 Individuals who have not travelled to the following places since 31st December
2019: China, Japan, Singapore, South Korea, Thailand, Malaysia, Hong Kong,
Macau, Taiwan, Italy.
 Individuals who have not suffering from any respiratory related symptoms like
severe cough, respiratory Diseases, breathlessness from last 4 weeks.
  Blog 3
TITLE: Are you confused about your Life insurance this pandemic? Don’t
worry Here are some facts and benefits that can surely help you

INTRO: In the Post you will get best information that benefits you for having
an insurance in this Pandemic situation stayconnected

BODY:

Is the coronavirus covered by life insurance?

Yes. There is no pandemic or epidemic exclusion for life insurance. This means
if you have an active life insurance policy and continue paying premiums, your
beneficiaries will receive a pay-out if you die from COVID-19 or related
complications. And if you have a permanent policy, you could use the cash
value to pay the bills for your family or business if you need financial help right
now.

 Insurance is not a single product, but a way of quantifying risk. Risk analytics
make abstract problems more concrete and solvable.
 It is just to have a secure and hassle free life in this uncertain situation
 Insurers are mandated to cover hospitalization as well as quarantine expenses
related to coronavirus
 Insurance Regulatory and Development Authority of India (IRDAI) said all
coronavirus-related claims shall be expeditiously handled and all expenses
 incurred during the course of treatment, including during the quarantine period,
shall be covered by all insurers.
 It has also asked insurers to offer need-based health insurance plans to cover the
cost of treatment for coronavirus. “A basic health insurance policy will certainly
cover the medical expenses incurred on hospitalization for any viral infection,
including coronavirus. However, infectious diseases are not covered for the first
30 days from the inception of the policy," said Anurag Rastogi, chief actuary
and chief underwriting officer, HDFC ERGO General Insurance Co. Ltd.
 IRDAI through its circular, has encouraged insurers to design coronavirus-
specific policies. Under IRDAI’s sandbox regulations, Different companies
launched a defined-benefit health policy for coronavirus last week. Under this,
policyholders get the full sum insured on being tested positive for the disease
after which the policy terminates.
 Thus, an insurance policy is proved as a shield for you and your family that
saves from this pandemic situation.
 OBJECTIVE OF INTERNSHIP
1. To get a detailed information about insurance industry
2. To understand and analyse about consumer behaviour of insurance
industry with the help of research and use of analytical tool with the help
of spss factor analysis
3. To work on advertisement campaign of Aditya Birla sun life insurance
and work on its promotional strategies
4. To work on competitive analysis part of Aditya Birla where there was a
detailed analysis where Aditya Birla is lacking in comparison of its
competitor and to give solution to overcome its limitation
5. To achieve sales target of Aditya Birla in order to generate revenue for
the company


 METHODOLOGY
 The methodology used is a combination of primary and secondary
sources.

 The primary sources are done with the help of questionnaires and
effective use of statistical tool through spss factor analysis

 The secondary sources will include relevant research paper, events, news
and official websites, other websites like lbef.com (India brand equity
foundation).


 LEARNINGS
 This internship helped to us to get a detailed information about insurance
sector as whole
 This internship helped us to learn about ABSL marketing strategies and
advertisement campaigns
 Due to communication with potential customer it helped me to improve my
interpersonal skills and was able to generate revenue for the company
 Helped to get a detailed information about Aditya Birla competitor and its
marketing strategies which helped us to find where Aditya Birla is lacking
and find solution for its problems
 The pandemic of covid-19 lead to rise of 20-25% in life insurance and 30 in
health insurance
 Detailed analysis of why private sector is better than public sector and also
do people prefer to select public sector over private sector was done with the
help of spss (factor analysis), questionnaires on google form which help us
to identify the variables for designing advertisement campaigns and apply it
in real life situations
 Also there was deep understanding of various competitors and what can be
the best channel for Aditya Birla which will be beneficial for company
Bibliography
 www.ibef.com
 www.adityabirlacapital.com
 www.economictimes.com
 www.indiatoday.com
ASSIGNMENT
IDENTICATION OF INDUSTRY WHICH HAS SIMILAR
BUYING PROCESS AS INSURANCE INDUSTRY

INTRODUCTION
Consumer buying process consists of sequential steps the consumer follows
to arrive at the final buying decisions. Mostly, consumers follow a typical
buying process. Marketer must know how consumers reach the final decision
to buy the product.

The main industry to share similar buying process as of insurance industry is

government debt industry where the research is specified by selecting its
products from both the sector which is life insurance and public provident
fund

METHODOLOGY
 The Methodology used for this assignment is extensively secondary
research
 Primary research includes consulting about the topic and a detailed
understanding about government debt sector with a corporate delegate
working in finance stream
What is consumer behaviour?

Consumer buying process consists of sequential steps the consumer follows to arrive at
the final buying decisions. Mostly, consumers follow a typical buying process. Marketer
must know how consumers reach the final decision to buy the product.

According to Philip Kotler, the typical buying process involves five

stages the consumer passes through described as under

1. Problem Identification:

This step is also known as recognizing of unmet need. The need is a source or force of
buying behaviour. Buying problem arises only when there is unmet need or problem is
recognized. Need or problem impels an individual to act or to buy the product.

2. Information Search:

Interested consumer will try to seek information. Now, he will read newspapers and
magazines, watch television, visit showroom or dealer, contact salesman, discuss with
friends and relatives, and try all the possible sources of information.

The consumer can try one or more of following sources of information:

i. Personal Sources:

They may include family members, friends, package, colleagues, and relatives.

ii. Commercial Sources:

Advertising, salesmen, dealers, package, trade show, display, and exhibition are dominant

commercial sources.
iii. Public Sources:

Mass media (radio, TV, newspapers, magazines, cinema, etc.), consumer- rating agencies,

etc., are main public sources.

3. Evaluation of Alternatives:

In the former stage, the consumer has collected information about certain brands. Now, he
undergoes evaluation of brands. He cannot buy all of them. Normally, he selects the best
one, the brand that offers maximum satisfaction. Here, he evaluates competitive brands to
judge which one is the best, the most attractive. Evaluation calls for evaluating various
alternatives with certain choice criteria.

 Following criteria are considered while evaluating alternatives:

 Benefits offered by the brands
 Qualities, features or attributes, and performance
 Price changed by various brands
 History of brands
 Popularity, image or reputation of brands
 Product-related services offered by the brands, such as after-sales services, warrantee, and
free installation
 Availability of brands and dealer rating.

4. Purchase Decision:

This is the stage when the consumer prefers one, the most promising band, out of several
brands. The former stage helps consumers evaluate various brands in the choice set. The
brand that offers maximum benefits or satisfaction is preferred.

5. Post-purchase Decisions:

Consumer buys the product with certain expectations. Though he decides very
systematically, there is no guarantee of a complete satisfaction. There is always
possibility of variation between the expected level of satisfaction and the actual
satisfaction. His subsequent behaviour is influenced by degree of
satisfaction/dissatisfaction.

BUYING PROCESS OF LIFE INSURANCE

There's a first time for everything. And if you've made the decision to purchase a life
insurance policy for the first time, chances are you're wondering where to start.
Fortunately, what may seem like complicated process, isn't as intimidating if you follow a
few simple steps.

While everyone's situation is different, the following steps are a typical part of the life
insurance shopping and buying process.

Step one: Decide on a policy type.

Don't let the different life insurance policy types confuse you. Basically, there are two
fundamental types of policies - term and permanent. * By doing a bit of online research,
you can better understand the particular type of life insurance that's best for you. Then, an
experienced agent or company representative can explain what products they can offer
you.

Step two: Calculate how much life insurance you need.

Simply put, if you were to die tomorrow, how much would your loved ones need to meet
their immediate financial obligations? The fact is, when you die, your pay checks stop. So
it makes sense to start by replacing your annual income. For example, if you currently
make $45,000 a year, start there. Then, figure out how many years your family may need
this income, add in any outstanding debts, and then finally, deduct any funds you may
already have saved. Plug these numbers into a life insurance calculator that can instantly
give you an estimate of your life insurance coverage needs.

Step three: Check your budget.

Life insurance is a lifelong commitment. You don't want to buy a life insurance policy
today, only to have it lapse a year later. Once you understand the policy type that'll work
best for you and have calculated how much life insurance you should have, review your
budget. While you want to buy enough coverage to meet your needs, it should fit within
your monthly budget. A qualified insurance agent or company representative can help
you design a plan that considers both.

Step four: Get quotes from reputable insurance companies.

When shopping for quotes, aim to get at least three from reputable and established life
insurance companies. You can spend some time on the Internet shopping for coverage, or
make an appointment with an agent. Whatever method you chose, research how long the
company has been in business and how financially sound they are.

Step five: Ask questions.

Once you have a few quotes, get answers on things such as how the company bills your
premiums (monthly, quarterly, or annually), policy rider options, and who you can
contact for policy changes, updates, and billing questions.

Step six: Prepare for your medical exam.

Most life insurance companies will require a medical exam that typically includes a blood
draw and urine sample. Because people tend to be more relaxed at home, try to get the
examiner to come to your residence - if possible.

INDUSTRY HAVING BUYING PROCESS SIMILAR TO

INSURANCE INDUSTRY
Insurance industry is a huge industry having different buying process. The industry
having similar buying process is government debt industry or to be more specific is public
provident fund or national saving certificate can be product which may share similar
buying process

What is public provident fund?

The Public Provident Fund or PPF is one of the small savings schemes offered by the
Government of India for individuals. It is a debt instrument. Through the PPF scheme,
individuals can invest their savings on a regular basis with the Government and the
Government credit annual interest in the account. The individual can withdraw the
amount invested along with interest on the maturity of the scheme.

Comparison of Public provident fund vs insurance

Safety & legality

Both PPF and life insurance are legal avenues for investment and are considered fairly
safe. PPF is a central government scheme and life insurance in India is offered by the
government-owned Life Insurance Corporation (LIC) and by private sector insurance
companies which are regulated by the IRDAI set up by the government.
Yield
The yield in PPF is currently 8.7% per annum compounded yearly but is subject to
change by the government. In life insurance the yield on maturity benefit varies from
insurer to insurer and also from one policy to another. Typically, the yield on maturity
benefit may be around 4% to 6% but it is not possible to predict a "yield" for death
benefit as it may be several times the premium paid (or invested amount) depending upon
the time of death from the start date of policy
Flexibility offered by the investment instrument
In PPF, investor can choose to invest any amount between a minimum of Rs 500 and a
maximum of Rs 1.50 lakh per financial year. This amount can be invested lump sum or in
12 instalments within the year. In life insurance the contribution (one time/ annual/half
yearly/quarterly/monthly) called premium is fixed and not flexible. Buyer can choose the
sum assured and accordingly the premium payable at the time of buying the policy as per
his requirements and capacity to pay. However, once the policy is bought the premium to
be paid cannot be varied. In most policies there is no maximum limit fixed, subject to
certain conditions, for the sum assured that can be bought.

Liquidity
In PPF, withdrawal is permissible every year from 7th financial year from the year of
opening account. Amount of withdrawal is subject to restrictions and the account cannot
be closed nor can full amount be withdrawn before completion of 15 years. Loan facility
is available after 3rd financial year from year of opening of the PPF account. Generally,
in a life insurance policy the minimum lock-in period after which the policy can be
encashed (i.e. acquires a surrender value) is 3 years. You can take loan/cash value after
the lock in period of the policy.
Tax saving
Investments in both get Section 80C rebate as per the Income Tax Act up to a maximum
of Rs 1.50 lakh (this limit is of course, inclusive of other permitted savings avenues under
Section 80C). The yield is tax-free in PPF. Life insurance maturity claim will be treated
as taxable income only if the premium paid per annum is more than 10% of the sum
insured. Otherwise, it is also tax free. Death benefit is totally tax free.

Compulsion to maintain the investment

There is no compulsion under both. In PPF if you stop contributions at any time you can
still draw at the end of 15 years. In case you wish to re-start contributions to your PPF
account after a gap of some years you can do so subject to certain conditions. In case of
an insurance policy, if premiums have been paid for a pre-specified minimum number of
years (typically three years) initially then the policy acquires a paid-up Status or paid-up
value. Once this happens, you can surrender the policy and get some refund although at a
loss. Alternatively, you can let the paid up policy continue as such (with proportionately
reduced sum assured) without contribution of further premiums. However, if you stop
paying premiums within the initial three (or the number specified in the policy) years of
the policy tenure then the policy totally lapses and nothing is payable.

SIMILARITY THAT INFLUENCE BUYING PROCESS IN

BOTH THE INDUSTRY
i. INVESTMENT PATTERN

The investment pattern is similar in both insurance and ppf is same as investor or policy
holder has to invest a particular defined amount up to a certain period

ii. MATURITY
Investor or policy holder may get its benefits only after only after the maturity of scheme
or policy

iii. TAX BENEFIT

Both insurance and ppf provide tax benefit under 80c and 1010D

iv. CAN BE TAKEN BY INDIVIDUAL ONLY OR FAMILY

Public provident fund and life insurance can be taken for an individual or family no
company go or association can invest in life insurance

KEY DIFFERENCES

i. PURPOSE

PPF is for investment whereas insurance is for risk cover

ii. TENURE

Life Insurance is for long term tenure and ppf is only for 15 year and years vary
accordingly

iii. PREMATURE CLOSURE

In life insurance premature closure is allowed whereas premature closure is not allowed

iv. TARGET AUDIENCE

Life insurance caters to those who have dependants and ppf is for everyone

v. BACKED BY GOVERNMENT

Ppf is backed by only government and life insurance can be from both private and public
sector companies