100 Marks Insurance Project - 2

8/12/2019 100 Marks Insurance Project - 2

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IMPACT OF LPG ON INDIAN INSURANCE INDUSTRY

BACHELOR OF COMMERCE

BANKING & INSURANCE

SEMESTER VI

SUBMITTED BY

KUSHAL MANSUKHANI

SEAT No.

JAI HIND COLLEGE

A ROAD, CHURCHGATE, MUMBAI - 400 020.

1


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DECLARATION

I, KUSHAL MANSUKHANI, stud!t o" B. Co#. B$!%&!' (

I!su)$!* S#st) +I 2012-1 /) d*$) t/$t I /$3

*o#td t/ 5)o6*t o! IMPACT OF LPG ON INDIAN

INSURANCE INDUSTRY

T/ &!"o)#$t&o! su#&ttd &s t)u ( o)&'&!$ to t/ st o" #%!o7d'.

S&'!$tu)

KUSHAL MANSUKHANI

SEAT NO.

2


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IMPACT OF LPG ON INDIAN INSURANCE SECTOR

BACHELOR OF COMMERCE

BANKING & INSURANCESEMESTER VI

SUBMITTED

IN PARTIAL FULFILLMENT OF THE

REQUIREMENTS FOR THE AWARD OF DEGREE

OF BACHELOR OF COMMERCE

BANKING & INSURANCE

BY

KUSHAL MANSUKHANI

SEAT No.

JAI HIND COLLEGE

A ROAD, CHURCHGATE, MUMBAI-4 !"

JAI HIND COLLEGE

A ROAD, CHURCHGATE, MUMBAI 400 00

CERTIFICATE


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T/&s &s to *)t&" t/$t M). 8USHA9 MANSU8HANI o" B.Co#.

B$!%&!' ( I!su)$!* S#st) +I 2012-1 /$s su**ss"u

*o#td t/ )o6*t o! IMPACT OF LPG ON THE INDIAN

INSURANCE SECTOR u!d) t/ 'u&d$!* o" 5)o"sso) M)s.

:AYE SA9INS

Cou)s Co-o)d&!$to)

5)&!*&$

I!t)!$ E;$#&!) E;t)!$

E;$#&!)

Co' S$

4


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ACKNOWLEDGEMENT

T#$ %''$%% () *#+% )+. /$0(/* +% *#$ (*'(1$ () G+2'$ 2 3..$%55$%*+(% 0/(3+2$2 6 .. *#$ '('$/$2 7+*#(* 7#(1 *#$ /$0(/* '(.2 (* )+2$

( *#$ /+5#* '8"

I 7(.2 .+8$ *( $90/$%% 16 %+'$/$ 5/*+*2$ *( C((/2+*(/ 2 G+2$ Mrs Faye

Salins)(/ 5+3+5 1$ (00(/*+*6 *( 2( *#+% 0/(:$'* 7(/8"

I $90/$%% 16 %$%$ () 2$$0 5/*+*2$ *(" F'.*6% %0$/3+%(/ () Jai Hind College,

or in!l"sions and #i$ely s"gges#ions in #%e &re&ara#ion o #%is inal re&or#.

Finally, I 'ill (e ailing in $y d"#y, i I do no# #%an) $y &aren#s, (ro#%er *

riends and 'ell 'is%ers or #%eir en#%"sias#i! s"&&or# and '%o %a+e dire!#ly

or indire!#ly %el&ed in so$e 'ay or #%e o#%er in $a)ing #%is inal re&or# a

s"!!ess.


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EXECUTIVE SUMMARY

I%/'$ %$'*(/ + I2+ +% ($ () *#$ ((1+5 %$'*(/% () *#$ $'((16 2

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A(*#$/ 1:(/ (:$'*+3$ 7% *( %*26 *#$ 1(3$1$* () %*('8 0/+'$% () +%/'$

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( .(5$/ $ .+1+*$2 *( 2(1$%*+' $'((1+' %+**+(" A5/+'.*/. 5/(7*# /*$ 2

*#$ 1(%(( (*# #3$ 2+/$'* +).$'$ ( +%/'$ 2 +% /$%0(%+.$ )(/ *#$

$'((16 *( $'(1$ 0/(%0$/(%" H$.*# +%/'$ +% 0(+%$2 *( $'(1$ *#$ %$'(2

./5$%* %+$%% )(/ (-.+)$ +%/$/% )*$/ 1(*(/ +%/'$ + $9* *#/$$ 6$/%"

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*60$% () +2%*/+$% #$.0 *#$ +3$%*(/% + *#$ .(5 / 2 $)(/$ +3$%*+5 + 6

'(106, +*% /$+/$2 *( +10.$1$* .. *#$ 2* 2 )+'+. /$%.*%"

>


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INDE

S- NO TOICS AGE NO.

/ INSU-ANCE INDUST-0 1 CLASSIFICATION /2 3 /4

4 DEFINATIONS /5 3 /6

5 7O-KING OF INSU-ANCE /8

6 INDUST-0 ANAL0SIS /9

8 INDIAN INSU-ANCE INDUST-0 /: 3 /;

9 MILESTONES 42 3 4/

: MALHOT-A COMMITTEE 44 3 45

< O-TE-S FI=E FO-CE MODEL IN INSU-ANCESECTO-

46 3 48

; -E LI>E-ALI?ATION SCENA-IO 49 3 4:

/2 OST LI>E-ALI?ATION SCENA-IO 4UDGET 4226 56 3 58

/9 -I=ATE =@S U>LIC INSU-ANCE SECTO- 59 3 62

/: -ESEA-CH DESIGN 6/

/< IMACT OF LI>E-ALISATION AND

-I=ATISATION ON INSU-ANCE SECTO-

64

/; IMACT OF

LI>E-ALISATION AND -I=ATISATION

65

42 IMACT OF GLO>ALISATION AND 66

?


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-I=ATISATION

4/ -ESENT SCENA-IO OF GLO>ALISATION 68 3 6:

44 -OSECTS 6< 3 8/

45 G-AHS 84 3 8546 SUMMA-0 86

48 CONCLUSION 88

49 >I>LIOG-AH0 89

INSU-ANCE INDUST-01 CLASSIFICATION

@

INSURANCE

LIFE

INSU-ANCE

GENE-AL

INSU-ANCE


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I%/'$ C(..$'*+3$ $/+5 () R+%8

I%/'$ +% (*#+5 * %6%*$1 () %0/$2+5 *#$ /+%8 () ($ (*( *#$

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#+1%$.) ; .(%% *( #+% (7 0/(0$/*6 (/ +*$/$%* /+%+5 (* () )(/$%$$

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B%+' H1 */+* +% *( $ 3$/%$ *( *#$ +2$ () /+%8 *8+5" I%/'$,

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10

Fire

ins"ran!e

Marine

ins"ran!e

Medi!lai$ Mo#or +e%i!le


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$ +%/$2 5+%*, +'.2$ )+/$, *#$ 0$/+.% () %$, 2$*# 2 ''+2$*% 2 /5./6"

A6 /+%8 '(*+5$* 0( *#$%$, 16 $ +%/$2 5+%* * 0/$1+1

'(11$%/*$ 7+*# *#$ /+%8 +3(.3$2" T#% '(..$'*+3$ $/+5 () /+%8 +% +%/'$"

Ins"ran!e Inde$niies Asse#s * In!o$e

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0$/)(/1" I) *#$ A%%$* 5$*% .(%* $/.+$/, $+5 2$%*/(6$2 (/ 12$ N(-)'*+(.

*#/(5# A''+2$* (/ (*#$/ )(/**$ $3$* *#$ O7$/ +% P/$:2+'$2" I%/'$

#$.0% *( /$2'$ CONSEQUENCES () %'# A23$/%$ C+/'1%*'$% 7#+'# /$

'..$2 R+%8%

Ins"ran!e is #%e s!ien!e o s&reading o #%e ris)

I* +% *#$ %6%*$1 () %0/$2+5 *#$ .(%%$% () I2+3+2. (3$/ 5/(0 () I2+3+2.%

Ins"ran!e is a Me#%od o s%aring o inan!ial losses

() )$7 )/(1 '(11( )2 )(/1$2 (* () C(*/+*+( () *#$ 16 7#(

/$ $..6 $90(%$2 *( *#$ %1$ .(%%

W#* +% '$/*+*6 )(/ I2+3+2. $'(1$% '$/*+*6 )(/ G/(0" T#+% +% *#$

%+% () A.. I%/'$ O0$/*+(%" T#% +%/'$ '(3$/* '$/*+*+$% *( '$/*+*6

11


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DEFINITIONS

T#$ 2$)++*+( () +%/'$ ' $ 12$ )/(1 *7( 0(+*%J

F'*+(. 2$)++*+("

C(*/'*. 2$)++*+("

F"n!#ional deini#ion

12


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I%/'$ +% '(-(0$/*+3$ 2$3+'$ *( %0/$2 *#$ .(%% '%$2 6 0/*+'./ /+%8

(3$/ 1$/ () 0$/%(% 7#( /$ $90(%$2 *( +* 2 7#( 5/$$ *( +%/$

*#$1%$.3$% 5+%* *#$ /+%8"

General Deini#ion

I%/'$ #% $$ 2$)+$2 *( $ *#* + 7#+'# %1 () 1($6 % 0/$1+1 +%

0+2 + '(%+2$/*+( () *#$ +%/$/% +'//+5 *#$ /+%8 () 06+5 ./5$ %1 0(

5+3$ '(*+5$'6"

I *#$ 7(/2% () (# M5$$, I%/'$ +% 0. 6 *#$1%$.3$%

7#+'# ./5$ 1$/ () 0$(0.$ %%('+*$ 2 */%)$/ *( *#$ %#(.2$/% () .., /+%8%

*#* **'# *( +2+3+2.%"

F"nda$en#al Deini#ion

I *#$ 7(/2% () D"S" H%$.., I%/'$ ''1.*$2 '(*/+*+(% () .. 0/*+$%

0/*+'+0*+5 + *#$ %'#$1$"

Con#ra!#"al Deini#ion

I *#$ 7(/2% () :%*+'$ T+2.., I%/'$ +% '(*/'* + 7#+'# %1 () 1($6 +%

0+2 *( *#$ %%/$2 % '(%+2$/*+( () +%/$/% +'//+5 *#$ /+%8 () 06+5 ./5$

%1 0( 5+3$ '(*+5$'6"

1


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7O-KING OF INSU-ANCE

14


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INDUST-0 ANAL0SIS

1


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T#$ )(/5(+5 %$'*+( + *#+% /$0(/* #2 0$/%0$'*+3$ () (3$/.. E'((16 +

I2+" T#$ $9* %*$0 +% *( .6$ *#$ 0/*+'./ +2%*/6" O'$ *#$ $'((1+'

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*#$ +2%*/6 7(.2 $ *8$ +10(/*'$, 8(7+5 7#+'# 5/(0 /$ 0/(1+%+5 + *#$

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'(//$.*+( $*7$$ *#$ $'((16 2 *#$ +2%*/6 ( ($ #2 2 () +2%*/6 2

'(10+$% ( *#$ (*#$/"

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/(.$ 2 0/(1(*$ 0.$2 2$3$.(01$*" S+'$ )/(1 ;@@; /$)(/1%, $3$ )(/$+5

$*$/0/+%$% 2 MNC% 5+3$ +10(/** /(.$ *( 0.6 + *#$ 2$3$.(01$* () *#$

$'((16"

INDIAN INSU-ANCE INDUST-0

1=


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G.(.+*+( +% *#$ 8$6 %(/'$, 7#+'# +% /+5+5 (* +//$3$/%+.$

*/%)(/1*+( + *#$ A%+ +%/'$ 1/8$*" I2+ 2 C#+ /$ 261+'..6

2/+3+5 *#$ 5/(7*# () +%/'$ 1/8$*% + A%+ 2 *#$ (*.((8 )(/ *#+% +2%*/6 +

*#$ /$5+( +% %5+$ 2$%0+*$ %#(/*-*$/1 '$/*+*+$%" A%+ +% $'(1+5

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261+'% 0/$%$* **/'*+3$ (00(/*+*+$%" A''(/2+5 *( .*$%* /$%$/'# /$0(/*

)/(1 HSBC, + (/2$/ *( $ .(5-*$/1 7+$/%, .+)$ +%/'$ '(10+$% + A%+

$$2 *( 2+3$/%+)6 *#$+/ +'(1$ %*/$1% %'# *#* * .$%* !


18/57

C#$0$/ 2 1(/$ $))$'*+3$ 2+%*/+*+( '#$.%

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I'/$1$* + *#$ 0(.+'6 #(.2$/ )+/1%

B((%* + M$/5$/ 2 A'+%+*+(% '*+3+*+$%

C#5+5 %('+(-$'((1+' 261+'%

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U+$ '(1+*+( () %+$, 5$ 0/()+.$ 2 5/(7*# 0/(%0$'*%

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C(*+(% +'/$1$* + +*/-A%+ */2$

N$$2 )(/ 2+3$/%+)+'*+( + *#$ +'(1$ %*/$1%

R+%$ + %$..+5 +3$%*1$* *60$ 0/(2'*% .+8$ +*+$%

C#'$ *( '(10$*$ 2+/$'*.6 7+*# )+'+. %$/3+'$% '(10+$%

F('% ( 06+5 (* 1(/$ + '.+1%

D/%*+' +'/$1$* + 1/+$ 2 '/5( +%/'$ %$'*(/%

D$3$.(01$*% + '(*/+$%, 7#( 7$/$ '.(%$.6 /$5.*$2 6 *#$+/ 5(3$/1$*

L'8 () 0/(0$/ 5$* .+*6

C#5$ + *#$ 2+%*/+*+( 1$*#(2

D+))+'.*+$% + +.2+5 $*7(/8% 2 /2%

H+2/'$ + $90%+( + %(1$ () *#$ $1$/5+5 1/8$*%

R+%8 15$1$* '('$/% + +%/'$ '(10+$%

G.(. E90%+(

T/%)(/1*+( + *#$ (/5+*+(. %6%*$1 *( 7+ '%*(1$/ .(6.*6

W$8 $+*6 1/8$*%

I10'* () %-0/+1$

R$5.*(/6 2 1/8$* (%*'.$% + *#$ $1$/5+5 1/8$*%

1?


19/57

MILESTONES

So$e o #%e i$&or#an# $iles#ones in #%e lie ins"ran!e ("siness in India are1

1@


20/57

;@;!J T#$ I2+ L+)$ A%%/'$ C(10+$% A'* $'*$2 % *#$ )+/%* %***$

*( /$5.*$ *#$ .+)$ +%/'$ %+$%%"

;@!>J T#$ I2+ I%/'$ C(10+$% A'* $'*$2 *( $.$ *#$

5(3$/1$* *( '(..$'* %**+%*+'. +)(/1*+( (* (*# .+)$ 2 (-.+)$

+%/'$ %+$%%$%"

;@>J E/.+$/ .$5+%.*+( '(%(.+2*$2 2 1$2$2 *( 6 *#$ I%/'$ A'*

7+*# *#$ (:$'*+3$ () 0/(*$'*+5 *#$ +*$/$%*% () *#$ +%/+5 0.+'"

;@


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;@


22/57

O>JECTI=E1

T#$ '(11+**$$ 7% )(/1$2 *( $3.*$ *#$ I2+ +%/'$ +2%*/6 2

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/$)(/1% ++*+*$2 + *#$ )+'+. %$'*(/"

INSU-ANCE COMANIES IN INDIA1

LIFE INSU-E-S

"(li! se!#or

;"L+)$ I%/'$ C(/0(/*+( O)I2+

ri+a#e se!#or

;"B:: A..+ L+)$ I%/'$

C(106 L+1+*$2

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L*24" ICICI P/2$*+. L+)$ I%/'$ C("

L*2"

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I%/'$ L+1+*$2

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L+1+*$2

GENE-AL INSU-E-S

"(li! se!#or

;"N*+(. I%/'$ C(106

L+1+*$2

!"N$7 I2+ A%%/'$ C(106

L+1+*$2

"O/+$*. I%/'$ C(106

L+1+*$2

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ri+a#e Se!#or

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C(" L+1+*$2

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C(" L*2"

4"R$.+'$ G$$/. I%/'$ C("

L+1+*$2

22


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;;" R$.+'$ L+)$ I%/'$ C(106

L+1+*$2"

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P3*" L*2"

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L*2"

!;" S*/ U+( D+-+'#+ L+)$ I%/'$

C(10" L*2


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;" T%rea# o Ne' En#ran#s" T#$ 3$/5$ $*/$0/$$/ '?* '(1$ .(5 2

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+%/'$ +2%*/6" L/5$ '(/0(/*$ '.+$*% #3$ .(* 1(/$ /5++5 0(7$/

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0.$*6 () %%*+**$% + *#$ +%/'$ +2%*/6" M(%* ./5$ +%/'$24


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26/57

'/(/$ + ;@@= 6 %+9

)/+$2%" I* I%/$2 I2+ .+3$% * *#$ (/1. /*$% +%*$2 () '#/5+5 0/$1+1 ()

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*#$ 2+%#($%* 0/'*+'$ () 2:%*+5 () ''(*%" A)*$/ ;@


27/57

7(/8$2 (*" O ;@ /6 ;@


28/57

7%ile no as&e!# o #%e reor$ &ro!ess in India %as gone s$oo#%ly sin!e i#s

in!eion in /;;/, no indi+id"al ini#ia#i+e %as s#irred #%e &ro+er(ial %orne#s

nes# as $"!% as #%e &ro&osal #o li(eraliBe #%e !o"n#rys ins"ran!e ind"s#ry.

Ho'e+er, #%e &oli#i!al de(a#e #%a# ollo'ed #%e s"($ission o #%e re&or# (y #%e

Mal%o#ra Co$$i##ee %as &res"$a(ly !o$e #o an end 'i#% #%e ra#ii!a#ion o

#%e Ins"ran!e -eg"la#ory A"#%ori#y I-A >ill (o#% (y #%e !en#ral Ca(ine#

and #%e s#anding !o$$i##ee on inan!e. T%is se!#ion #ra!es #%e e+ol"#ion o #%e

lie ins"ran!e !o$&anies in #%e US ro$ ir$s "nder'ri#ing &lain +anilla

ins"ran!e !on#ra!#s #o #%ose selling so&%is#i!a#ed in+es#$en# !on#ra!#s

("ndled 'i#% ins"ran!e &rod"!#s. In #%is !on#e#, i# (rings in#o o!"s #%e

i$&or#an!e o &or#olio $anage$en# in #%e ins"ran!e ("siness and #%e na#"re

and i$&a!# o &or#olio rela#ed reg"la#ions on #%e asse# "ali#y o #%e

ins"ran!e !o$&anies. I# also &ro+ides a ra#ionale or #%e in!reased

a"#orna#isa#ion o ins"ran!e !o$&anies, and #%e in!reased e$&%asis on agen#3

inde&enden# $ar)e#ing s#ra#egies or #%eir &rod"!#s. I &oli#i!iBed, reg"la#ions

%a+e &o#en#ial #o ad+ersely ae!# #%e &ri!ing o ris)s, es&e!ially in #%e non3lie

ind"s#ry, and %en!e #%e +ia(ili#y o #%e ins"ran!e !o$&anies. Finally, #%e

(a!)dro& o US e&erien!e &ro+ides so$e &oin#ers or Indian &oli!y$a)ers.

INDIAN INSU-ANCE IN 4/ST CENTU-01

42221 IRDA %*/*% 5+3+5 .+'$%$% *( 0/+3*$ +%/$/%J ICICI 0/2$*+. 2 HDFC

S*2/2 L+)$ +%/'$ )+/%* 0/+3*$ +%/$/% *( %$.. 0(.+'6

2?


29/57

422/J R(6. S2/1 A..+'$ )+/%* ( .+)$ +%/$/ *( %$.. 0(.+'6

42241 B8% ..(7$2 %$..+5 +%/'$ 0.%" A% TPA% $*$/ *#$ %'$$, +%/$/%

%*/* %$**+5 (-.+)$ '.+1% + *#$ '%#.$%% 1(2$

422:1 F+/%* O.+$ I%/'$ 0(/*., #**0%J se# "& (y an Indian Ins"ran!e

>ro)er, >onsai Ins"ran!e >ro)ing +# L#d.

T%e Go+ern$en# o India li(eraliBed #%e ins"ran!e se!#or in Mar!% 4222 'i#%

#%e &assage o #%e Ins"ran!e -eg"la#ory and De+elo&$en# A"#%ori#y I-DA

>ill, li#ing all en#ry res#ri!#ions or &ri+a#e &layers and allo'ing oreign

&layers #o en#er #%e $ar)e# 'i#% so$e li$i#s on dire!# oreign o'ners%i&.

Mini$"$ !a&i#al re"ire$en# or dire!# lie and Non3lie Ins"ran!e !o$&any

is IN-/222 $illion and #%a# or reins"ran!e !o$&any is IN- 4222 $illion. In

#%e 4226328 ("dge#s, #%e Go+ern$en# &ro&osed or in!reasing #%e oreign

e"i#y s#a)e #o 6;, #%is is ye# #o (e ee!#ed. Under #%e !"rren# g"idelines,

#%ere is a 49 &er!en# e"i#y !a& or oreign &ar#ners in dire!# ins"ran!e and

reins"ran!e Co$&any.

EME-GING T-ENDS IN THE INSU-ANCE SECTO-

M/8$* 6 !;


30/57

GIC & LIC?% 1((0(.6 1/8$* 00/('# +% ( 1(/$ 0/$3.$* + I2+" T#$ $7

1/8$* %'$/+( )(/ +%/'$ +% 5/(7+5 ( 2(* +* +% ).6+5 +/2"

C#5$ +% *#$ $*$/. .7 () */$" E3$/6*#+5 +% '#5+5 ''(/2+5 *( *#$ $$2

() *#$ *+1$" E'((1+' 5/(7*# 2 %('+. 2$3$.(01$* + 0/$%$* %'$/+( +% 2$ *(

%22$ '#5$ + +2%*/+. 0(.+'6 2 $'((1+' 0.+5" G.(.+*+( #% $$

*#$ %+' 1*/ )*$/ ;@@;, %( $3$/6 ($ *#+8% () $+5 5.(." L+$/.+*+(,

0/+3*+*+( 2 5.(.+*+( +% *#$ %+' '('$0* () %''$%% + .. %0$'* ()

2$3$.(01$*" C(10$*+*+( +% *(5# (7 2$ *( 5.(.+*+(" B%+$%% #%

0(%+*+($2 *#$ $*+/$ $'((16, 2 +2%*/+.+%*% *#+8 (* 18+5 *#+5% 5.(."

T#$/$ /$ ( %*/+5$* /.$% (/ /$5.*+(% )(/ 18+5 6 %+$%% #(%$ (/

+2%*/6" G(3$/1$* 5+3$% 1(/$ $10#%+% ( $90(/* 2 $*/$0/$$/%#+0" T#+% +%

'#5+5 7(/.2" E3$/6($ #% *( '(10$*$ )(/ $**$/ %''$%%" M/8$*+5 +% *#$

1:(/ '('$0* )(/ 2$3$.(0+5 6 *60$ () %+$%%" A)*$/ 5.(.+*+(, 1/8$*+5

#% *8$ $7 2+1$%+( 2 +* +% *#$ 1(%* '#..$5+5 *%8 (7" T#$ $7

#(/+( () 1/8$*+5 + *#$ )+$.2 () )+'$ 2 +%/'$ + 0/$%$* %'$/+( +%

5((2 %+5 () 2$3$.(01$*"

TECHNOLOG0 T-END IN INSU-ANCE MA-KET A-E

AS FOLLO7S

0


31/57

Co$&"#eriBa#ion1

I+*+..6, + *#$ .*$ ;@


32/57

#$/$ +% *#* ('$ *#$ (0*+( +% $9$/'+%$2, *#$ 0(.+'6 #(.2$/ $$2 (* 3+%+* /'#

)(/ 06+5 *#$ 0/$1+1 (/ '(..$'*+5 *#$ /$'$+0*%" O *#$ 26 +2+'*$2 6 *#$

0(.+'6 #(.2$/, *#$ 0/$1+1 1(* 7+.. $ 2+/$'*.6 2$+*$2 *( *#$ 8 ''(* ()

*#$ 0(.+'6#(.2$/ 2 *#$ /$'$+0* 7+.. $ +%%$2 6 *#$ 2$%+5*$2 /'# ())+'$"

Call Cen#res and SMS ser+i!es1

A.1(%* .. *#$ +%/'$ '(10+$% #3$ *#$+/ (7 '.. '$*/$% 7#+'# '*$/

*( *#$ 0#($ %$2 $/+$% () *#$ 0(.+'6#(.2$/%" T#+% %$/3+'$ +% !49= 2 *#$6 #3$

*#$ I*$/'*+3$ V(+'$ R$%0(%$ IVR %6%*$1% * .. *#$ /'#$%

CU--ENT MA-KET SHA-E

2


33/57

IMACT OF >UDGET 4226

T#$ )+'$ 1++%*$/% /$)(/1 *( %*/$5*#$ /+%8 15$1$* + 8+5 T#$

F+'$ B+.. #% %(1$ /+..+* 0/(1+%$% *( ())$/ 2 6$* *#$/$ /$ 23$/%$ *( *#$


34/57

)+'+. %$/3+'$ %$'*(/"

T#$ 2$'+%+( *( 0$/1+* 4@ 0$/ '$* )(/$+5 2+/$'* +3$%*1$* FDI + +%/'$ +%

7$.'(1$" T#$ +2%*/6 7+.. 5/$$ *#* *#$/$ +% '*$ $$2 )(/ +* *( 5/(7 2 *(

7/+*$ 1(/$ %+$%%" I) ($ 7$/$ *( .6$ *#$ 5/(7*# () %(1$ $7 0/+3*$ %$'*(/

+%/'$ 0.6$/% *#$ 2$/.6+5 %*/$5*# %$$1% *( $ *#$+/ +.+*6 *( 5$* 1(/$

'0+*. 2 1$$* *#$ %(.3$'6 /$+/$1$* 0$/)(/1, 7/+*$ 1(/$ %+$%% 2 5/(7

)%*$/" L$*% (* )(/5$* *#* *#$%$ +%/'$ '(10+$% 7+.. $ .$ *( *0 *#$ '0+*.

1/8$* + *7( *( *#/$$ 6$/%"

T#$ $%* 0$/)(/1$/ + *#$ %$'*(/ #3$ .%( $902$2 *#$+/ '0+*. *( (* R%" =

*( > '/(/$" A .((8 * *#$ ( 0$/)(/1$/% %55$%*% *#* *#$6 2( (* #3$ 2$*$

'0+*. *( 5/(7" H$'$ *#$ +'/$%$ + *#$ FDI .+1+* 7(.2 #$.0" M(/$ +10(/**.6,

*#+% 7+.. 5+3$ 5/$*$/ '(*/(. *( *#$ )(/$+5 0/*$/% + /$% () 15$1$* '(*/(.

2 5(3$/'$" T#$6 7+.. (7 $ 1(/$ 7+..+5 *( /+5 + *#$+/ $90$/*+%$ +

0/(2'* 2$3$.(01$*, *$'#(.(56, 2 +10.$1$* $%* 0/'*+'$%"

T#$ %*/+8+5 )*/$ () *#$ F+'$ B+.. +% *#* *#$ 5(3$/1$* #% ''$0*$2 2$)+$2

'(*/+*+( % *#$ 76 )(/7/2 )(/ 0$%+( /$)(/1%, 0/*+'./.6 )(/ $7

5(3$/1$* $10.(6$$%"

O$ '(.2 #3$ $90$'*$2 %(1$ './+*6 ( *#$ %:$'* () 1.*+0.$ /$5.*(/% )(/

0$%+(" T#(5# *#$/$ $ %(1$ $$)+*% #3+5 %$0/*$ 0$%+( /$5.*(/, ($

%00(%$% *#* *#$/$ 7(.2 $ %*/(5 '%$ )(/ :%* ($ /$5.*(/ (*# *#$ 0$%+(

2 +%/'$ %$'*(/%" T#$ 5(3$/1$* 1%* $91+$ *#$ '()%+( *#* 16 /+%$

( ''(* () #3+5 1.*+0.$ /$5.*(/%"

B8+5 2 +%/'$ '(10+$% /$ %+5+)+'* 0.6$/% + *#$ %$'/+*+$% 1/8$*

*(26" M+2%+$ 0.+' %$'*(/ 8% 16 #3$ 12$ */(3$/ () (* R%" 4,

'/(/$ ( %$'/+*+$% */2$ 2 ./5$/ 8% 7(.2 #3$ 12$ *7( *( *#/$$ *+1$% *#$4


35/57

1$/" T#$ */%'*+( *9 () ";< 0$/ '$* 7(.2 '$/*+.6 $* 76 5((2

0/* () 8% 0/()+*%"

L+8$7+%$, .. %$/3+'$% /$2$/$2 6 8% $9'$0* *#$ )2 %$2 %%+%*'$% 7(.2

**/'* %$/3+'$ *9" B8% 7(.2 $ .$ *( '(3$+$*.6 0%% ( %(1$ () *#$%$

'(%*% *( *#$ '%*(1$/%" S(, $'# *+1$ +2+3+2. 5($% 2 5$*% 2$12 2/)* (/

06 (/2$/, *#$6 7+.. $2 0 06+5 1'# 1(/$ *# *#$ $9+%*+5 /*$%" H(7$3$/, +)

'(10$*+*+( $'(1$% '*$, 8% 7(.2 #3$ *( $/ +*, 7#+'# +% 2 $7% )(/ *#$

8+5 '(10+$%"

-I=ATE =@S U>LIC INSU-ANCE SECTO-

P/+3*$ 0.6$/% + *#$ .+)$ +%/'$ %+$%% /$ 5/(7+5 * %'(/'#+5 0'$"

W+*#+ *#/$$ 6$/% () *#$+/ +'$0*+(, *#$6 #3$ %$+$2 (* ;4 0$/ '$* () *#$

1/8$*"

C(10/$ *#+% *( $7 5$$/*+( 0/+3*$-%$'*(/ 8%, 7#+'# *((8 +$ 6$/% )(/ !

0$/ '$* %#/$ + *#$ I2+ 8+5 +2%*/6" A2 )*$/ %$3$ 6$/% + *#$ +2%*/6,

+ !, 0/+3*$ 1*. )2% ''(*$2 )(/ :%* @ 0$/ '$* () 1/8$* *#* #2

$$ 2(1+*$2 6 *#$ U+* T/%* () I2+"


36/57

T#$/$?% (*#$/ 2+1$%+( *( *#$ +%/'$ 1$/% 51$" W#+.$ *#$ 0/+3*$

+%/'$ '(10+$% #3$ **+$2 ; *( ;4 0$/ '$* %#/$ () *#$ (3$/.. +%/'$

1/8$*, *#$+/ %#/$ + *#$ 8$6 1$*/(% M1+ 2 D$.#+ +% % #+5# % *( 4 0$/

'$*"

7e %a+e #o s#r"ggle #o !o$&le#e a deal in #%e $e#ros no', (e!a"se

&oli!y%olders are !o$&aring &rod"!#s and as)ing or (e##er deals,%6% S >

Ma#%"r, !%air$an o #%e Lie Ins"ran!e Cor&ora#ion o India.

P/+3*$ +%/'$ '(10+$% /$ $%%$*+..6 :(+* 3$*/$% 7+*# 5.(. +%/'$

'(10+$% #(.2+5 19+11 () ! 0$/ '$* %*8$" T#$ )(/$+5 0/*$/% /$

+3$%*+5 #$3+.6 + *#$ I2+ 1/8$* 2, *#$/$6, 2/+3+5 %.$%, $'%$ *#$6 %$$

I2+ $1$/5+5 % ($ () *#$ +55$%* 1/8$*% + *#$ A%+ /$5+("

I2+ 7+.. $'(1$ *#$ (igges# $ar)e#)(/ % + *#$ $9* #%ree #o o"ryears,

0/$2+'*% D >ardin, r"den#ial Cor&ora#ion Asia $anaging dire!#or so"#%

Asia and grea#er C%ina.

P/+3*$ 0.6$/% #3$ '$/*+.6 2($ *#$+/ +* *( +'/$%$ *#$ 0$$*/*+( .$3$.% ()

+%/'$, 1+.6 6 '/$*+5 .*$/*+3$ 2+%*/+*+( '#$.%--%'# %

%%('+*+(% 7+*# 8%, /(8$/% 2 '(/0(/*$ 5$*%"

O/ '%%/'$ '#$.--7+*# *+$-0% 7+*# )(/ 8%--'(*/+*$% .1(%* =

0$/ '$* () (/ *(*. %.$%, %6% A+i+a CEO S#"ar# "rdy"

OM K(*8 M#+2/ L+)$, 7#+'# +% /8$2 $+5#*# 1(5 0/+3*$ 0.6$/%, +% .%(

.$+5 *(7/2% .*$/*+3$ 2+%*/+*+( '#$.% *#* 7+.. '(*/+*$ *( 4< 0$/ '$*

() *(*. %.$%, + .+$ 7+*# *#$ '(*/+*+( )/(1 +*% *+$2 5$'6 )(/'$"

I %#/0 '(*/%*, 1(%* () *#$ LIC?% 0(.+'+$% '(*+$ *( $ %(.2 *#/(5# +*% *+$2-

5$'6 $*7(/8" T#$ %**$ .+)$ '(/0(/*+( '8(7.$25$% *#* +* +% .$ *(1+*+ +*% .$2 + %(1$ 1$*/(%J 0$$*/*+( 6 *#$ 0/+3*$-%$'*(/ +%/$/% #%

'(1$ () 5$ 2 *#$6 /$ 5+3+5 *#$ LIC / )(/ +*% 1($6"

T#$ 1.*+-'#$. 00/('# 2(0*$2 6 0/+3*$ +%/'$ '(10+$% #% 0/(3$2 *(

$ (( + *$/1% () '(%*+5 2 *#$+/ +.+*6 *( '0*/$ %+$%%" E/.+$/, 1(%*

=


37/57

0/+3*$ +%/'$ '(10+$% )('%$2 *#$+/ $$/5+$% ( *#$ *(0 ! '+*+$%" T(26 *#$6

/$ 1(3+5 *( %1..$/ '+*+$%"

T#$ 0(*$*+. + %1..$/ '+*+$% +% +'/$%+5 2 '(10+$% /$ 1(3+5 *( %1..$/

'+*+$% 2 *(7% $'%$ *#$%$ /$ +'/$%+5.6 $'(1+5 1(/$ 0/(%0$/(% 7+*# /+%$ + 5/+'.*/. +'(1$" W+*# *#$ +'/$%$ + 6+5 0(7$/, *#+% #% )$..$2

5/(7*# (00(/*+*+$% )(/ %, says Ma Ne' 0or) Lie CEO An"roo& Tony

Sing%.

AMP S1/, (*#$/ 0/+3*$ 0.6$/, #% *+$2 0 7+*# 3/+(% '#+* )2% 2

*/%0(/* )+'$ '(10+$% + *#$ '(*/6, 7#$/$ +* +% %$..+5 .+)$ 0(.+'+$% ( *#$

'8 () )+9$2 2$0(%+*% 2 (2%" A %$+(/ '(106 ())+'+. '+*$% *#$ $910.$ ()

V+:672 7#$/$ %+5+)+'* 0(/*+( () *#$ +'(1$ +% 2$/+3$2 )/(1 )/1+5

'*+3+*+$%"

T#$ //. 0(0.'$ +% 15+5 *#$+/ 1($6 7$.. 2 ( .(5$/ 8$$0+5 +* 2$/

*#$+/ $2%" T#$6 #3$ 1(+.$ 0#($% 2 #3$ (0$$2 8 ''(*%" T#$6 /$ (*

3$/6 2+))$/$* )/(1 *#$+/ / '(*$/0/*% 7#$ +* '(1$% *( 0/'#%+5 .+)$

+%/'$ '(3$/%, #$ 0(+*% (*"

A2 *#*?% 18+5 *#$ 0/+3*$ %$'*(/ (0*+1+%*+' (* +*% )*/$ + *#$ I2+

+%/'$ 1/8$*" W$ 0/+3*$ +%/$/% /$ $'(1+5 .*$/*+3$ *( LIC" I) '%*(1$/ #% ./$26 (5#* LIC 0., #+% %$'(2 0(.+'6 +% .+8$.6 *( $ (5#*

6 *#$ 0/+3*$ +%/'$ %$'*(/ ( ''(* () 3/+(% /$%(%--1(/$ %0$'+)+'..6

).$9++.+*6 2 */%0/$'6, says OM Ko#a) Ma%indra Lie CEO S%i+ai Da$"

P$/#0% *#+% 0/*.6 $90.+% 7#6 *#$ LIC #% +'/$%$2 +*% 23$/*+%+5 %0$2

1.*+)(.2 %+'$ *#$ +%/'$ %$'*(/ 7% 0/+3*+$2" I*% 2 %0$2 1(/$ *# 2(.$2

*( R% >; '/(/$ R% >; 1+..+( + )+%'. !, 5+%* R% = '/(/$ R% = 1+..+(

+ ;@@@-!, 0/+(/ *( *#$ +2%*/6 $+5 0/+3*+$2"

O) '(/%$, *#$ 0/+3*$ +%/'$ %$'*(/ #% .%( $$ %*$2+.6 +'/$%+5 +*% 2

%0$2, )/(1 R% !@ '/(/$ R% !@ 1+..+( + )+%'. !; 7#$ *#$ +2%*/6 (0$$2

0, *( R% @! '/(/$ R% @! 1+..+( *#$ )(..(7+5 6$/" I )+%'. !, 0/+3*$

+%/$/% %0$* R% ;4 '/(/$ R% ;"4 +..+( ( 23$/*+%+5"

>


38/57

B* +*?% (* *#$ +'/$%$2 %0$2 ( 23$/*+%+5 .($ *#* #% #$.0$2 0/+3*$ 0.6$/%

+ 5/+5 1/8$* %#/$" O$ () *#$ 8$6 2+))$/$*+. )'*(/% /$%0(%+.$ )(/ *#$+/

5/(7+5 1/8$* +% *#$ ;


39/57

S*+.., $7 %+$%% +'(1$ )(/ 0/+3*$ '(10+$% #% 5/(7 * ;4 0$/ '$* +

)+%'. !4, '(10/$2 *( *#$ ;> 0$/ '$* 3$/5$ +2%*/6 5/(7*# + $7 0/$1+1

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0(.+'+$% %(.2 6 ICICI P/2$*+. 7$/$ +*-.+8$2 0.%"

A2 $3$ *#(5# *#$ LIC 7% .*$ /6 !4 + 0%#+5 +*% +*-.+8$2

0/(2'* B+1 P.%, +* 15$2 *( 1(0 0 0/$1+1 +'(1$ () R% = '/(/$ R%

+..+( 7+*# *#$ %.$ () :%* 2$/ ;"=-.8# +*-.+8$2 0(.+'+$%, *#$ #+5#$%* %.$%)+5/$ + *#$ +2%*/6"

T#$ 23*5$ 7+*# +*-.+8$2 0.% +% *#* *#$6 ())$/ 0(.+'6#(.2$/% */%0/$'6

+ *$/1% () '(%*%, . /$*/% 2 (% '.'.*+(%" W+*# 16 '(10+$%

5/*$$+5 *#$ '0+*. +3$%*1$* %(1$ .+8$ B+/. S L+)$ $3$ 5/*$$ 0$/

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+'/$%$2"

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*#$ S$%$9 '.+1$2 #+5#$/J *#$ /$*/% ( %'# 0(.+'+$% /$ .+8$2 *( *#$ $+*6

1/8$*"

T#$ %*('8 1/8$* #% #$.0$2 *( '$/*+ $9*$* 2 #% '(*/+*$2 *( (/ 5/(7*#

2 0$/)(/1'$, agrees >irla S"n Lie CEO Nani Ja+eri.

A3+3 #% %#(7 '(10(2$2 55/$5*$ 5/(7*# /*$ () 0$/ '$* %+'$ *#$

+'$0*+( () +*% )2" -e#"rns on OM Ko#a)s (alan!ed and gro'#% "nds s#anda# 5/.:; #o 65.48 &er !en# res&e!#i+ely"

D1 '.+1% *#* OM K(*8 #% %(.2 %$3$/. 0(.+'+$% () R% !


40/57

-ESEA-CH METHODOLOG0

H0OTHESIS

T( %*26 *#$ $))$'* () .+$/.+*+(, 0/+3*+*+( 2 5.(.+*+( (

+%/'$ +2%*/6

T( %*26 *#$ 1(3$1$* () %*('8 0/+'$% () +%/'$ '(10+$% 7+*# /$%0$'*

*( 0/$%$* $'((1+' 2 5(3$/1$* 0(.+'$%

SCOE OF THE STUD0

T#$ 0/$%$* %*26 +% '//+$2 *( 8(7 *#$ )(..(7+5 %0$'*%"

40


41/57

T#$ %*26 +1% *( 2$/%*2 *#$ .6%+% 2 +10'* () LPG ( +%/'$

%$'*(/"

T#+% %*26 7+.. 0/(3+2$ *#$ /$.$3* +)(/1*+( (* *#$ $'((16,

+2%*/6, 2 2+))$/$* '(10+$% + +%/'$ %$'*(/

IMACT OF LI>E-ALISATION AND -I=ATISATION

ON INSU-ANCE SECTO-

OLICIES AFTE- LI>E-ALISATION1

U2$/ *#$ /$'(11$2*+( () M.#(*/ C(11+**$$ *#$ I%/'$ R$5.*(/6 A2

D$3$.(01$* A*#(/+*6 7% %$* 0 *( 1(+*(/ 2 '(*/(. *#$ I%/'$ +2%*/6

%(1$ () *#$ ++*+*+3$% *8$ 6 *#$ 5(3$/1$* )*$/ I%/'$ %$'*(/ /$)(/1% /$J

G(3$/1$* *( #3$ (* 1(/$ *#


42/57

F(/$+5 '(10+$% ' $*$/ I2+ 1/8$* *#/(5# :(+* 3$*/$% 7+*#

I2+ '(10+$%"

IMACT OF LI>E-ALISATION AND -I=ATISATION

T#$ %**$ '(*/(..$2 I%/'$ '(10+$% .+8$ LIC 2 GIC )'$2 %*+))

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The introduction of private players in the industry has added colours to the dullindustry. The initiatives taken by the private players are very competitive and

have iven immense competition to the on time monopoly of the market !IC"

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driven by liberali1ation+ ,ith ne, players sinificantly enhancin product

a,areness and promotin consumer education and information" T#$ %*/(5

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()##6"

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-OSECTS

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General Ins"ran!e

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NON SINGLE -EMIUM OF INSU-E-S 0EA- 422


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SUMMA-0


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Documents

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