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Chapter One
introduction of the Company
Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
1.1 Profile of the Company/Firm
Name- MetLife India Insurance Company Ltd.
Address-
Registered Office Address: MetLife India Insurance Company Limited,No.5
Brigade Seshmahal Vani Vilas Road , Basavanagudi,Bangalore,Phone : 080 -
66006969 /26438638,Fax : 080-22421970,Pin : 560004
Branch Address (Summer Training Done): MetLife India Insurance Company
Limited,1st Floor, 2nd Floor,SCO-27, Sec-14,Gurgaon, Haryana,Phone : 0124-
3985900,Fax : 3985904,Pin : 122001
Website : www.metlife.co.in
Email : indiaservice@metlife.co.in
Type of Company : Multinational Company
Branches of Company : (India)
Andhra Pradesh
Haryana
Pondicherry
Arunachal Pradesh
Himachal Pradesh
Rajasthan
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Jammu and Kashmir
Tamilnadu
West Bengal
Bihar
Jharkhand
Tripura
Chandigarh
Karnataka
Uttarakhand
Chhattisgarh
Kerala
Gujarat
Delhi
Madhya Pradesh
Orissa
Goa
Maharashtra
(Foreign)
America (main branch)
Egypt
Korea
Russia
Argentina
Hong Kong
France
Pakistan
Australia
Italy
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Spain
Brazil
Japan
United kingdom
China ,Kuwait & Portugal
1.2 Nature of the Organization
Introduction of the organization- MetLife India Insurance Company Limited (MetLife) is an
affiliate of MetLife, Inc. and was incorporated as a joint venture between MetLife International
Holdings, Inc., The Jammu and Kashmir Bank, M. Pallonji and Co. Private Limited and other
private investors. It is a private limited insurance company reaches more than 90 million
customers around the world it is the capitalized private sector multinational company
MetLife, Inc. is the holding corporation for the Metropolitan Life Insurance Company
or MetLife for short. The firm was founded on March 24, 1868. MetLife is the largest life insurer
in the United States, with more than $3.3 trillion of life insurance in force. A leader in savings
and retirement products and services for individuals, small business, and large institutions,
MetLife serves 90 of the largest Fortune 100 companies. MetLife is insuring the lives of the
people for around 140 years.
Today, when people are feeling a greater financial burden than ever before, MetLife is
helping millions of its customers in creating their own personal safety net by taking insurance
plans.
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
METLIFE INDIA FACT SHEET
Founded 2001
Started Operation FY 2001-02
Headquarters Bangalore,India
World Wide Web Address www.metlife.co.in
Managing Director Rajesh Relan
Employees 7688
Financial Advisors 56,072
Bancassurance Tie-ups 5 (J&K Bank/Axis Bank/Dhanlakshmi
Bank/Karnataka Bank/Barclays)
Number of Products Over 28 products
Presence through Metlife Offices 192 Offices in 132 Cities
Presence through Bank Partners 1910 Offices in 686 Cities
History- The origins of Metropolitan Life Insurance Company (MetLife) go back to 1863, when
a group of New York City businessmen raised $100,000 to found the National Union Life and
Limb Insurance Company Organized by a group of New York City businessmen in 1863, the
National Union Life and Limb Insurance Company began business in July 1864 insuring Civil
War sailors and soldiers against wartime-related disabilities. By the end of 1864, National Union
had written only 17 life and 56 accident policies, and was in last place among the 27 life
companies operating in New York State and was running a deficit of $1,4000. On 25 march
1868, the first policy carrying the name of the Metropolitan Life Insurance Company was
issued .Dr. James R. Dow, a retired physician from Brooklyn, New, was named Metropolitan
Life’s first President. In 1863 President James R. Dow, (a medical doctor) and the board of
directors decided to drop the casualty business and focus solely on life insurance business. And
so began
Metropolitan Life Insurance Company.
Current Era- In 2001, MetLife was the first insurance company to establish a financial holding
company with a nationally chartered bank through its purchase of Grand Bank, which was
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
renamed MetLife Bank. The company also invested $1 billion in the U.S. stock market during
2001, immediately after the September 11th terrorist attacks.
MetLife acquired Travelers Life & Annuity and substantially all of Citigroup’s
international insurance businesses for $12 billion. Current MetLife chairman C. Robert (Rob)
Henrickson was appointed chairman of the board of directors, president and chief
executive officer of MetLife in 2006.
In 2010, MetLife completed its purchase of American Life Insurance Company (Alico),
from American International Group (AIG). The $16.2 billion acquisition of Alico expanded the
company’s life insurance and employee benefits business into more than 60 countries compared
to 17 countries before the acquisition. On March 21, 2011, MetLife announced that Steven
Kandarian, who had headed MetLife's investment department would succeed Robert Henrickson
as President and CEO as of May 1, 2011.
Business Sector- Metlife is a fast upcoming professional insurance company in India. It is
operating in the insurance sector. MetLife is one of the fastest growing life insurance companies.
The MetLife Organization is a leading provider of insurance,annuities and Employee Benefit
Programmes.MetLife India has developed and distributes a range of life insurance products in
India.
MetLife is a leader in savings and retirement products and services for individuals, small
businesses and large institutions. The company conducts its business operations through five
segments namely, institutional, individual, international, auto and home, as well as the corporate.
MetLife is operating in the area of insurance.
1.3 Company’s Vision & Mission
Vision Meaning: A vision statement is sometimes called a picture of your company in
the future but it’s so much more than that. Your vision statement is your inspiration, the
framework for all your strategic planning. A vision statement may apply to an entire company or
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
to a single division of that company. Whether for all or part of an organization, the vision
statement answers the question, “Where do we want to go?”
MetLife Vision-“to build financial freedom for everyone-guides the company’s to
people’s growing needs for first rate financial products and services through various life stages
and economic cycles.”
Mission Meaning: A mission statement is a brief description of a company's
fundamental purpose. A mission statement answers the question, "Why do we exist?" The
mission statement articulates the company's purpose both for those in the organization and for
the public. Every business should have a mission statement, both as a way of ensuring that
everyone in the organization is "on the same page" and to serve as a baseline for effective
business planning.
MetLife Mission-“Our company’s purpose is to simplify and aid the decision-making
process for our customers in buying a financial product. We will make information available to
the customer in the simplest and easily comprehendible way so that customers can make an
informed choice best suited for their individual needs.”
1.4 Product Range of the Company
MetLife deals in the Life Insurance Products. Product Range of MetLife is:
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Traditional Products
Term Plan Endowment PlanMoney Back
PlanChild Money
Back PlanPension Plan
Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Term plan - This is a plan to cover the risk of early death. Met suraksha, met suraksha trop,
met suraksha plus etc. are the terms plans of MetLife.
Met suraksha : It is a non participating term assurance plan which provides you life cover at a
nominal cost. To put it simply, it is a life insurance plan that gives you complete protection to
enjoy life to the fullest.
Minimum Entry Age : 18 years
Maximum Entry Age : 60 years
Maximum Maturity Age : 65 years
Premium Paying Terms Single Pay, Limited Pay (3 years), Regular Pay.
Met Suraksha Trop : It is a plan with Return of Premium (TROP), a non participating term
assurance plan which provides you life cover at a nominal cost. To put it simply, it is a life
insurance plan that gives you complete protection to enjoy life to the fullest.
Minimum Entry Age : 18 years
Maximum Entry Age : 50 years
Maximum Maturity Age : 65 years
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Policy Term : 15 & 20 years
Premium Paying Terms : Single Pay, Limited Pay (3 years)
Met Suraksha Plus : MetLife offers ‘Met Suraksha Plus’ Term Assurance (TA) a non
participating term assurance plan which provides you life cover. It is designed for people who
want to take care of their financial commitments, should anything unfortunate happen, at a
nominal cost.
Minimum Entry Age : 18 years
Maximum Entry Age : 60 years
Maximum Maturity Age : 70 years
Policy Term : 10-35 years
Endowment plan : This is a plan to provides savings and security. met suvidha, met saral, met
100 etc are the endowment plans of MetLife.
Met Suvidha : Met Suvidha is a Flexible Endowment Plan that combines savings and security.
In addition to providing you protection till the maturity of the plan, it helps you save for your
specific long term financial objectives.
Minimum Entry Age Participating : 15 years - 60 years
Non-Participating : 15 years - 70 years
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Term Participating : 15 years - 30 years
Non-Participating : 5 years - 30 years
Premium Paying Terms Single Pay, Limited Pay (5 or 10) & Regular Pay.
Met Saral : MetLife presents Met Saral – a non- participating endowment plan. It’s a simple
savings plan which gets you into the savings habit without any medical tests. All you need to do
is fill in a simple application form and you are ensured a guaranteed maturity amount of Rs
1,00,000, even in the case of your death during the term.
Minimum Entry Age : 15 years - 50 years
Maximum Maturity Age : 60 years
Term : 5 years / 10 years
Premium Paying Terms : Regular Pay
Premium Paying Modes : Annual, Semi-Annual
Met 100 : MetLife presents Met 100 – a whole life policy where you pay premiums for 15, 20 or
25 years. It helps create a legacy for the children, leaving money for a dependant spouse and,
more importantly, provides insurance cover at affordable rates. Met 100 is available in 2
versions.
PARTICIPATING NON PARTICIPATING
Minimum Entry Age 15 yrs 0 yrs
Maximum Entry Age 70 yrs 70 yrs
Premium Paying Terms 15, 20, 25 yrs 15, 20, 25 yrs
Money Back Plan : In this plan,money comes back to the life insured after a specific interval of
time as survival benefit. For, eg. Met Sukh, Met Vishwas are money back plans of MetLife.
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Met Sukh : A guaranteed Money-Back Policy which provides guaranteed periodic survival
benefits at the end of 5, 10, 15 & 20 years and guaranteed additions of 10% of the Sum Assured
for the entire term. It not only covers your life, but also guarantees you cash payments at various
milestones along with guaranteed growth of your savings.
Entry Age : Min-15years Max-55 years
Coverage Term : 20 years
Premium Payment Term : Regular
Minimum Sum Assured : Rs. 75,000
Maximum Sum Assured : No Limit
Met Vishwas- MetLife offers 'Met Vishwas', a single premium, micro insurance,
nonparticipating term assurance plan which provides you life cover at a nominal cost. On
survival, you get 110% or 125% of the premium.
Minimum Entry Age : 18 years
Maximum Entry Age : 60 years
Maximum Maturity Age : 70 years
Policy Term : 5 or 10 years
Premium Paying Terms : Single Pay
Child money back plans : These are back plan that pays out funds to help you meet the
education and career milestones of the child. met bhavishya, met junior moneyback, met
magic plus, are some the child money back plans.
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Met Bhavishya : MetLife offers 'Met Bhavishya' – a guaranteed money back plan that pays out
funds to help you meet the education and career milestones of your children. With this plan, the
Life Insured is that of the parent. There are two options to choose from and fixed term benefits,
periodic additions & terminal additions are payable based on the option that you select.
Option A Option B
Minimum Entry Age of the Child 0 years 0 years
Maximum Entry Age of the Child 8 years 12 years
Minimum Entry Age of the parent 20 years 20 years
Maximum Entry Age of the Parent 50 years 50 years
Policy Term 21 years - Age atEntry 25 years - Age at Entry
Met Junior Money back : 'Met Junior Money Back – a money back plan that combines savings
and security. Your child's well-being is your highest priority. So we offer you a money back plan
which provides guaranteed periodic survival benefits at the end of 5, 10 & 15 years, along with
guaranteed growth of your savings. A plan which offers both timely and efficient "return on
investment" with payouts at different milestones.
Participating Non Participating
Minimum Entry Age of the Child : 0 years 0 years
Maximum Entry Age of the Child : 14 years 14 years
Coverage Terms : 20 years 20 years
Premium Payment Terms : 20 years 20 years
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Metmagic Plus : Met Magic Plus is a Unit Linked Non-Medical Regular premium Life
Insurance Plan, it secure your child’s future. Met Magic plus provides the benefit of insurance
protection to your family, particularly your child, even when you are not around.
Minimum Entry Age : 18years.
Maximum Entry Age : 55years.
Maturity Age of Life Insured : 70years.
Minimum Policy Term : 10 Years, 15 Years, 20 Years & 25 Years
Pension plan : A pension plan is a plan in which an employee transfers part of his or her current
income stream toward retirement income which he gets in the future . Some of the pension plans
of MetLife are Met easy super, Met pension par etc.
Met Easy Super : Security for your family and your need of wealth creation should work
together as you move ahead in life. Hence we bring you Met Easy Super – an Easy Protection,
Super wealth creation plan.
Minimum Age at entry : 18 years
Maximum Age at entry : 60 years for 15 policy term & 55 years for 20 year policy term
Premium Payment term (years) : Entire term of the policy
Policy Term : 15 years and 20 years
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Premium Payment modes : Annual
Met Pension Par : Met Pension (Par) serves as a friendly helping hand so you can stay
financially independent even after retirement. It helps you build up a fund for your golden years.
With this plan, you can ensure you enjoy retirement as a happy new chapter.
Entry Age Min– 18 years
Max – 60 years
Minimum Term 10 years
Minimum Annual Rs. 4000 p.a. for Regular Pay premium
Premium Payment Single Pay, Limited Pay (3 or 5 Pay) &
Term Regular Pay
1.5 Size (in terms of manpower and turnover) of the organization
Manpower : At the year ending 2011-2012 total manpower(employees) of MetLife is 63,760
in number of which approx 56,072 are its financial advisors.
Turnover : Total turnover of MetLife India till 2010-2011 is 15550 crores. During the fiscal
(2011-12) MetLife had a total revenue of Rs 2,615.13 crores, MetLife India breaks even,
posts Rs 35 crores profit in the financial year 2010-2011
1.6 Market share & position of the company in the industry
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
Market Share definition : The percentage of an industry or market's total sales that is earned
by a particular company over a specified time period. Market share is calculated by taking the
company's sales over the period and dividing it by the total sales of the industry over the same
period. This metric is used to give a general idea of the size of a company to its market and its
competitors.
MARKET SHARE OF METLIFE INDIA INSURANCE
Market Share
MetLifeHDFC StandardICICI PrudentialLICOthers
MetLife India Insurance Company Limited (MetLife), one of India’s fastest growing life
insurance companies, today crossed the one million mark in policies issued, taking the total
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Comparative Study of Met Life India Insurance,HDFC Standard Life Insurance & ICICI Prudential Life Insurance
number of lives insured to two million (including the group business).The company, which
started its operations in India in the year 2002, is today one of the fastest growing life insurance
companies in the country, with a presence in over 690 locations and a market share of 3%. It is
present at the 8 position in the insurance market of India.
Here is the market share of various Life Insurance Companies in India at the end of FY
2011.
1. LIC 74% 9. Max New York 1.1%
2. ICICI Prudential 8% 10. Om Kotak 1%
3. Bajaj Allianz 5% 11. AVIVA 0.7%
4. SBI Life 3.3% 12. Tata AIG 0.5%
5. HDFC Standard 3.2% 13. ING Vysya 0.3%
6. Birla Sun life 3.1% 14. Shriram Life 0.3%
7. Reliance Life 3.1% 15. Bharti Axa Life 0.2%
8. MetLife 3%
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