PRESENTATION PRESENTATION

ONON

COMPARATIVE STUDY OF UNIT COMPARATIVE STUDY OF UNIT

LINKED PRODUCTS OF HDFC-SLIC & LINKED PRODUCTS OF HDFC-SLIC &

ICICI PRU. LIFE INS. COMPANYICICI PRU. LIFE INS. COMPANY

SCOPE OF THE STUDYSCOPE OF THE STUDY

This study is mainly confined to the This study is mainly confined to the customer of Baddi (H.P.) & near villages.customer of Baddi (H.P.) & near villages.

The size of sample is 100 respondents.The size of sample is 100 respondents.

Comparison is done on the basis of Comparison is done on the basis of secondary sources.secondary sources.

OBJECTIVES OF THE STUDYOBJECTIVES OF THE STUDY

To make a comparative study of unit To make a comparative study of unit linked plans.linked plans.

To study the expectations of customers To study the expectations of customers from insurance companies. from insurance companies.

Position of Insurance Companies in the Position of Insurance Companies in the mind of the consumermind of the consumer

RESEARCH METHODODLOGYRESEARCH METHODODLOGY

Research Design

Exploratory research & Descriptive research.

Sampling UnitSampling Unit

Sampling units are the persons, who have taken the insurance plan in Baddi (H.P).

Sample SizeSample Size The sample Consist of 100 respondents.The sample Consist of 100 respondents.

Data CollectionData Collection Primary DataPrimary Data :The primary data are those which :The primary data are those which

are collected a fresh and for the first time and are collected a fresh and for the first time and thus happen to be original in character. Under thus happen to be original in character. Under this project direct collection of data from source this project direct collection of data from source of information & techniques such as personal of information & techniques such as personal interviewing and survey through questionnaire interviewing and survey through questionnaire for customers has been considered. for customers has been considered.

Secondary DataSecondary Data: Secondary data is one : Secondary data is one which has already been collected by which has already been collected by someone else and which has already been someone else and which has already been passed through statistical processing. passed through statistical processing. Under this project secondary data is been Under this project secondary data is been collected from journals, magazines, collected from journals, magazines, brochures & web sites. brochures & web sites.

Sampling TechniqueSampling Technique

For this survey Convenience- Sampling For this survey Convenience- Sampling technique is used.technique is used.

Comparative analysis of unit link Comparative analysis of unit link plan plan

Company Name HDFC Std. Life Insurance

ICICI Pru life Insurance

Plan Name Young star Life Time Plus

Age 18 to 65 0 to 65

Sum Assured Minimum-5 times Maximum-40 times

Minimum-Rs.1,00,000Maximum-1crore

Premium Minimum-Rs.10,000Maximum-no limit

Minimum-Rs.20,000Maximum-Rs.3,00,000

Lock in period 3 years 3 years

Surrender allowed After 3 years: no chargesBefore lock in period-30% of

outstanding premiumOP= difference between regular

premium expected & received in the first two years

After 3 years: you get 92%After 4 years: you get 94%After 5 years: you get 96%After 6 years: you get 98%After 7years & above: you

get 100% of fund value

Death and Maturity On Death-Sum Assured + future premiums will be given by HDFC on the behalf of policyholder.

On maturity- Value of accumulated fund is given to the beneficiary.

On Death- Sum Assured + Fund Value will be given to the nominee.

On Maturity-Fund value is given to the policyholder

Fund Option Liquid Fund Secure Managed

Fund Defensive

Managed Fund Balanced Managed

Fund Equity Managed

Fund Growth Fund

Maximiser Balancer Protector preserver

Term Rider For accident, Critical Illness-

For accident, Critical Illness, Permanent Disability

Charges Fund Mgmt. Charges- 0.80% per annum

Administration Charges- Rs.20 per Month

Risk Benefit Charges- Depend upon the age of the policyholder.

Partial Withdrawal Charge- 6 partial withdrawal in a policy year is free. All subsequent partial withdrawal in that policy year would be charged at Rs.250 per withdrawal.

Fund switching Charges, 24 switches allowed every policy year free. Subsequent switches will be charged at Rs. 100 per switch premium

Fund Management Charges-Different Charges for different funds selected.

Maximiser ll-1.50% p.a. Balancer ll-1.00% p.a. Protector- 0.75% p.a. Preserver- 0.75% p.a.Administration Charges-

Rs.60 per MonthPartial Withdrawal Charge-

one partial withdrawal in a policy year is free. All subsequent partial withdrawal in that policy year would be charged at Rs.100 per withdrawal.

Switching Charges- 4 switches allowed every policy year free. Subsequent switches will be charged at Rs. 100 per switch.

Que. 1: - Awareness of HDFC Standard Life Que. 1: - Awareness of HDFC Standard Life Insurance Company. Insurance Company.

S. No. Particulars Response

A Print Media 24

B Electronic Media

30

C Agents 35

D Others 11

0

5

10

15

20

25

30

35

40

PrintMedia

ElectronicMedia

Agents Others

Series1

Que. 2: -What the people think about the Que. 2: -What the people think about the Insurance?Insurance?

S. No.

Particulars Response

A Necessity for protection security

67

B Imposition of a burden of expenses

17

C A compulsory tool for tax saving

16

0

10

20

30

40

50

60

70

80

Security Expenses Tax Saving

Series1

Que. 3: - What is the main consideration that a Que. 3: - What is the main consideration that a customer looks at while purchasing an customer looks at while purchasing an

Insurance Policy?Insurance Policy?S. No. Particulars Response

A TAX 10

B SAVING 29

C PROTECTION 53

D PENSION 3

E INVESTMENT 5

0

10

20

30

40

50

60

Tax

Savin

g

Prote

ction

Pensio

n

Inve

stem

nt

Series1

Que. 4: - What a respondent see while Que. 4: - What a respondent see while purchasing Insurance from the company?purchasing Insurance from the company?

S. No. Particulars %age

A Standing and goodwill of the company

46

B Product range of the company

7

C Advertisement being released by the company

3

D Services being given by the company

18

E Returns of bonus declared by the company

26

05

101520253035404550

Goodw

ill

Produc

t Ran

ge

Adverti

sem

ent

Servic

es

Return

Series1

Que. 5: -Plan that a respondent prefers to buy.Que. 5: -Plan that a respondent prefers to buy.

S. No. Particulars %age

A Protection Plan

47

B Investment Plan

19

C Pension Plan

10

D Children Plan

24

05

1015

2025

3035

4045

50

Prote

ction

Inve

stmen

t

Pensio

n

Childre

n

Series1

Que. 6: - Customers’ expectations from Life Que. 6: - Customers’ expectations from Life Insurance Companies.Insurance Companies.

0

5

10

15

20

25

30

35

40

45

50

Series1

S. No. Particulars %age

A Innovative Products

5

B Attractive Riders

2

C Reasonable Premium

24

D Better Customer Service

47

E High Risk Coverage

22

Que. 7: - Is HDFC Standard Life Insurance Que. 7: - Is HDFC Standard Life Insurance Company provides better facilities than ICICI Company provides better facilities than ICICI

Prudential Life Insurance Company?Prudential Life Insurance Company?S. No. Particulars %age

A Yes 34

B No 2

C Cant say 64

0

10

20

30

40

50

60

70

Yes No Cant Say

Series1

FINDINGFINDINGAgents play major role in awaring people about Agents play major role in awaring people about the benefits of insurance.the benefits of insurance.People think insurance as a protection tool.People think insurance as a protection tool.People purchase insurance policy mostly for People purchase insurance policy mostly for protection purpose and some of people for protection purpose and some of people for saving.saving.The goodwill of the company also attract The goodwill of the company also attract customers toward a insurance company.customers toward a insurance company.People also take insurance policy as a security People also take insurance policy as a security for their children.for their children.

CONCLUSIONCONCLUSION

On the basis of my study, I conclude that, both On the basis of my study, I conclude that, both the companies are providing very good facilities to their the companies are providing very good facilities to their customers. HDFC Standard Life Insurance is the one customers. HDFC Standard Life Insurance is the one that is providing waiver of premium to its customers in that is providing waiver of premium to its customers in case of death of the life assured, whereas ICICI is not case of death of the life assured, whereas ICICI is not providing this facility to its customers.providing this facility to its customers.

Both the companies have same lock-in-period Both the companies have same lock-in-period

i.e.3 years. Surrender charges of these companies are i.e.3 years. Surrender charges of these companies are different from each other. On maturity, both the different from each other. On maturity, both the companies provide the amount equal to the market value companies provide the amount equal to the market value of the units. Charges taken to manage the funds are of the units. Charges taken to manage the funds are different in both the companies.different in both the companies.

SUGGESTIONSSUGGESTIONS

Advertisement should be done on television and Advertisement should be done on television and especially Posters and Banners. This will greatly especially Posters and Banners. This will greatly help in raising awareness level.help in raising awareness level.Insurance Companies should show more Insurance Companies should show more commitment with the customers.commitment with the customers.Private companies give better services to the Private companies give better services to the customers as compared to public companies.customers as compared to public companies.The private company should create good The private company should create good relations and communication.relations and communication.Private companies should collaborate to spread Private companies should collaborate to spread awareness regarding the benefits of insurance awareness regarding the benefits of insurance plans provided by the Private Companies.plans provided by the Private Companies.

Agents have got maximum influence on Agents have got maximum influence on customers. They are the one who customers. They are the one who introduces the prospect to different introduces the prospect to different policies. So agents should be given full-policies. So agents should be given full-fledged training and the training should be fledged training and the training should be strict.strict.

LIMITATIONS OF THE STUDYLIMITATIONS OF THE STUDY

Time for the completion of the project was too short to do Time for the completion of the project was too short to do an in-depth study.an in-depth study.The facts and views of Respondents may be biased, The facts and views of Respondents may be biased, imaginary and may be based entirely on their personal imaginary and may be based entirely on their personal experience.experience.Most of questions in the questionnaire was close ended Most of questions in the questionnaire was close ended which reduced the scope for people to give free opinion.which reduced the scope for people to give free opinion.The sample size was not enough to reach on any exact The sample size was not enough to reach on any exact conclusion.conclusion.Study is based on primary or secondary data that may Study is based on primary or secondary data that may not be true. Most of the people are not interested to give not be true. Most of the people are not interested to give the right data.the right data.

ThankThank You !You !