SOURIN MUKHERJEE(PG-10-084)

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RECRUITMENT OF FINANCIAL CONSULTANT &STUDY OF THE PRODUCTS OFFERRED

BY HDFC-LIFE INSURANCE & COMPARITIVE MARKET ANALYSIS.

Submitted to: submitted by:

Sourin mukherjee (84)

Prof.T.k.singhal

Till-15.5.2011



OBJECTIVE

In a professional course like P.G.D.M Summer training is one of the major experiencingcomponents of the practical knowledge and industrial exposure. I am able to understand thecustomer relationship and got to know how a company measures to resolve their grievances andnegotiate with them also service them to the maximum for future prospect and success.

My one of the job is to recruit Financial Consultants (FCs)& another job is analysis the marketing

strength of HDFC-LIFE(comparative study) . There are some basic criteria which are needed to follow

while selecting and recruitment of FCs. I gathered contacts from friends, recharge shops and also did

field work like distribution of leaflets in order to generate data base, then contacted people and ask

them for the interview. I selected some candidates through this process; offer them the job of a FC. If

they show their interest about the job, then I provide them necessary details, log in their forms. Initially

they have to go through a 50 hours training and IRDA exam to get the IRDA license. After receiving the

license, one can work as a FC. Second thing with the help of my Channel Development Executive

Mr.Somnaths constant support I was able to take up the proper follow up of the candidates who

thereby converted from potential to actual FCs. The main opportunities for a FC are:

Flexible work timings - One can work full-time or part-time, depending on his/her convenience

Any one can join - Young graduates, Housewives, Retired Personnel, Self-employed or

Working Professionals

Z ero Investment ± There is no start-up capital required

Attractive Remuneration -One have unlimited earning potential



COMPANY PROFILE

Established on 14th August 2000, HDFC Standard Life Insurance Co. Ltd. is a joint venture

between Housing Development Finance Corporation Limited (HDFC Limited) - India's leadinghousing finance institution, and a Group Company of the Standard Life Plc, UK. The Company is

one of leading private insurance companies, offering a range of individual and group insurance

solutions, in India. Being a joint venture of top financial services groups, HDFC Standard Life

has adequate financial expertise to manage long-term investments safely and resourcefully.

HDFC Limited, India's premier housing finance institution has assisted more than 3.4 million

families own a home, since its inception in 1977 across 2400 cities and towns through its network

of over 271 offices. It has international offices in Dubai, London and Singapore with service

associates in Saudi Arabia, Qatar, Kuwait and Oman to assist NRI's and PIO's to own a home

back in India. As of December 2009, the total asset size has crossed more than Rs. 104,560 croresincluding the mortgage loan assets of more than Rs.90,400 crores. The corporation has a deposit

base of over Rs. 23,000 crores, earning the trust of nearly one million depositors. Customer

Service and satisfaction has been the mainstay of the organization. HDFC has set benchmarks for

the Indian housing finance industry. Recognition for the service to the sector has come from

several national and international entities including the World Bank that has lauded HDFC as a

model housing finance company for the developing countries. HDFC has undertaken a lot of

consultancies abroad assisting different countries including Egypt, Maldives, and Bangladesh in

the setting up of housing finance companies .

MISSION

To be the top life insurance company in the market.

This not only means being the largest or most productive company in the market but acombination of several things like: Customer service of highest order Value for money for customers Professionalism in carrying out the business. Increasing market share. Use of best technology for improved service standards. Innovative products to cater different needs of different customers.



VISION AND VALUES

The most successful and admired life insurance company, which means that they are the mosttrusted company, the easiest to deal with, offer the best value for money, and set the standards inthe industry.

Values that they observe while they work:

Integrity

Innovation

Customer centric

People Care ³One for all and all for one´

Team work

Joy and Simplicity

MANAGEMENT TEAM:

Mr. Amitabh Chaudhry is the Managing Director and Chief Executive Officer of HDFC Life.

Mr. Paresh Parasnis is the Executive Director and Chief Operating Officer of HDFC LIFE.He has been associated with the HDFC Group since 1984.

Ms.Vibha Padalkar is the Chief Financial Officer of HDFC Life.

Mr. Ashley Rebello is the Chief Actuary and Appointed Actuary of HDFC Life.

Mr. Sharad Gangal is the General Manager HR and heads the vertical in HDFC Life.

Mr.Vikram Mehta heads the Sales and Marketing function for HDFC Life.

Mr. Prasun Gajri is the Chief Investment Officer of HDFC Life.



ORGANIZATIONAL STRUCTURE:

� INDIA HEAD

� REGIONAL MANAGER OF CHANNEL

DEVELOPMENT� TERRITORY MANAGER OF CHANNEL

DEVELOPMENT

� AREA MANAGER OF CHANNEL

DEVELOPMENT

� CHANNEL DEVELOPMENT MANAGER

� CHANNEL DEVELOPMENT

EXECUTIVE

� RECRUITMENTCONSULTANT

� FINANCIAL

CONSULTANT

ORGANISATION STRUCTURE OF THE BRANCH OFFICE

I WORKED:



MARKETING DETAILS:

Speaking on this association, Mr. Sanjay Tripathy, EVP & Head - Marketing and DirectChannels, HDFC Life said, ³HDFC Life is delighted to share the privileges of sponsoringRajasthan Royals with the volunteers of Yuva Unstoppable. India is a young country, hence it

is very important to motivate such spirited youngsters for their selfless efforts towards the betterment of our society. In line with our motto of Sar Utha ke Jiyo - which empowers peopleto believe in themselves and live with pride, HDFC Life is proud to present these volunteers witha coveted opportunity to experience an IPL match live in the stadium. This is a stepping stonetowards a much larger corporate social responsibility initiative, which we plan to launch in thenear future.´

HDFC Life will be associating with various NGOs across Rajasthan to provide this uniqueexperience for the under-privileged throughout IPL4 for all the matches of Rajasthan Royals heldin Jaipur.

Pavan Jain, Vice President, Yuva Unstoppable said ³I would thank HDFC Life for extending thisspecial gift for our volunteers. Such opportunities are a huge boost for our young volunteers andhelps imbibing in them positive energy and moral values. The volunteers are all excited toexperience this opportunity to see IPL match live in the stadium of Jaipur.

ABOUT YUVA UNSTOPPABLE:

Yuva Unstoppable is a premier volunteer movement with a force of 60,000 young people across30 cities of India helping more than 100,000 kids in municipal schools / slums throughorganizational partnerships with schools, colleges and corporate companies. YUVA Unstoppable

is currently the largest volunteer movement of India and growing exponentially. YUVAUnstoppable motivates and fosters Random acts of kindness through its three initiatives likeSchool Unstoppable, College Unstoppable and Corporate Unstoppable.

(Source:http://www.business-standard.com/india/news/hdfc-life-cheersyuva-unstoppable-to-

supportrajasthan-royals/433582/)

HDFC LIFE LAUNCHES µMOST IMPORTANT DOCUMENT¶ FOR CUSTOMERS:

HDFC Life, one of India¶s leading private life insurance companies, has taken yet another significant step as part of its Customer Centric Approach. The company has rolled out µMost

Important Document (MID),¶ an one-page questionnaire on HDFC Life¶s key product features to be mandatorily filled by customers in full and sign across, acknowledging full understanding of the product features at the time of filling up proposal forms.The MID has been rolled out across all its main Distribution Channels with effect from April 8,2011. The roll out of MID is a proactive initiative from HDFC Life to ensure that customersunderstand products well before making a decision to purchase it.



HDFC LIFE'S OTHER KEY CUSTOMER CENTRIC INITIATIVES INCLUDE:

Grievance handling system with comprehensive investigations/counseling to customers incase of complaints

A Strict Malpractices Matrix in place to address mis-sell (including termination)

All to customers to get a first hand feel of their expectations, to gauge satisfaction with thecompany¶s sales process and if the right product has been sold based on customer needs

PRODUCTS OF HDFC LIFE:

PROTECTION PLANS: Protection Plans helps to shield family from uncertainties in life due

to financial losses in terms of loss of income that may dawn upon them incase of your untimely

demise or critical illness.

RETIREMENT PLANS: Retirement Plans provide with financial security so that when

professional income starts to ebb, one can still live with pride without compromising on their

living standards.

SAVINGS & INVESTMENT PLAN: It basically focuses on people who thinks to keep their

family happy and are dependent on them so future expenses of the family are need to be taken

care of.

HEALTH PLANS: Health plans give the financial security to meet health related contingencies.

Due to changing lifestyles, health issues have acquired completely new dimension overtime,

becoming more complex in nature.

CHILDREN¶S PLAN: Children's Plans helps to save so that one can fulfill their child's dreams

and aspirations. As a parent, one wish to provide their child with the very best that life offers, the

best possible education, marriage and life style.



DEPARTMENTS

MARKETINGDEPARTMENT

SALESDEPARTMENT

CHANNELDEVELOPMENTDEPARTMENT

OPERATIONSDEPARTMENT

ADMINISTRATION

DEPARTMENT

TRAININGDEPARTMENT



SWOT ANALYSIS

STRENGTHS:

HDFC Standard life insurance offers a range of individual and group insurance solutions.

HDFC Standard Life has the financial expertise required to manage your long-term investments

safely and efficiently.

Rated µAAA¶ by CRISIL and ICRA for the 10th consecutive year for High service standards.

Uses the most aggressive marketing strategies

Free switching options online informing customers about the performance of their investment by

sending monthly reports and statements

Training provided to all people

First private company to get registered under IRDA

First one to hit IPO

HDFC Standard Life was one of the first private life insurers to disclose the embedded value of

its business

WEAKNESSES:

LIC is prevalent and sustains even today a major source of population.

Low number of offices and network and number of life insurance agents.

Lack of knowledge and expertise.

They are unable to target rural areas as compared to LIC

Poor awareness of products in the minds of customers

Negligence to customers after the investment is sold

Sometimes right advice is not given to the customers



OPPORTUNITIES:

Life insurance has captured its mere15 ± 20% growth therefore a wide open untapped market is

open to the company to develop, grow and measure its success.

Still the number of companies are few and company has every capabilities to grow and forward

its performance areas to the widest

Strong brand helps to boost up the sales

No.1 in adapting new technologies like online search

THREATS:

People are hesitant to invest and put their hard earned money to the private life insurance

company with the fear of getting lost.

Belief towards LIC as it is a government corporation phobia is continue to surmount the people

of India despite lots of flaws and development and liberalization of life insurance.

Alternative financial services such as mutual fund, banking services, share and securities also

pose problems and threats to the working of the life insurance sector.

Illiteracy and unemployment also pose threat.

Rising real estate industry also pose threat as people are investing a bulk of their money over to

that industry.

Entry of more of Private Players in the market

Faster rate of employee attrition



KEY PLAYERS IN THE INSURANCE SECTOR:

Life Insurance Corporation Of India

ICICI Prudential

Birla Sun life

LIC

Bajaj Allianz

Max New York Life

Met Life India Insurance

Reliance Life Insurance

SBI Life Insurance

Tata AIG Life Insurance

Kotak Mahindra

Aviva Life Insurance

Shri Ram Life Insurance

MMAAJJOOR R CCOOMMPPEETTIITTOOR R SS OOFF HHDDFFCC SSTTAANNDDAAR R DD

LLIIFFEE((CCOOMMPPAAR R EETTIIVVEE AANNAALLYYSSIISS))

y Life Insurance Corporation of India (LIC)

Life Insurance Corporation of India (LIC) was established on 1 September 1956 to spread the

message of life insurance in the country and mobilise people¶s savings for nation-building

activities. LIC with its central office in Mumbai and seven zonal offices at Mumbai, Calcutta,

Delhi, Chennai, Hyderabad, Kanpur and Bhopal, operates through 100 divisional offices in



important cities and 2,048 branch offices. LIC has 5.59 lakh active agents spread over the

country.

The Corporation also transacts business abroad and has offices in Fiji,Mauritius and United Kingdom. LIC

is associated with joint ventures abroad in the field of insurance, namely, Ken-India Assurance Company

Limited, Nairobi; United Oriental Assurance Company Limited, Kuala Lumpur; and Life Insurance

Corporation (International), E.C. Bahrain. It has also entered into an agreement with the Sun Life (UK)

for marketing unit linked life insurance and pension policies in U.K.

In 1995-96, LIC had a total income from premium and investments of $ 5 Billion while GIC

recorded a net premium of $ 1.3 Billion. During the last 15 years, LIC's income grew at a healthy

average of 10 per cent as against the industry's 6.7 per cent growth in the rest of Asia (3.4 per

cent in Europe, 1.4 per cent in the US).

LIC has even provided insurance cover to five million people living below the poverty line, with 50 per

cent subsidy in the premium rates. LIC's claims settlement ratio at 95 per cent and GIC's at 74 per cent

are higher than that of global average of 40 per cent. Compounded annual growth rate for Life insurance

business has been 19.22 per cent per annum

y General Insurance Corporation of India (GIC)

The general insurance industry in India was nationalized and a government company known as

General Insurance Corporation of India (GIC) was formed by the Central Government in

November 1972. With effect from 1 January 1973 the erstwhile 107 Indian and foreign insurers

which were operating in the country prior to nationalization, were grouped into four operating

companies, namely, (i) National Insurance Company Limited; (ii) New India Assurance

Company Limited; (iii) Oriental Insurance Company Limited; and (iv) United India Insurance

Company Limited. (However, with effect from Dec'2000, these subsidiaries have been de-linked



from the parent company and made as independent insurance companies). All the above four

subsidiaries of GIC operate all over the country competing with one another and underwriting

various classes of general insurance business except for aviation insurance of national airlines

and crop insurance which is handled by the GIC.

Besides the domestic market, the industry is presently operating in 17 countries directly through

branches or agencies and in 14 countries through subsidiary and associate companies.

LIFE INSURANCE COMPANIES

y Max New York Life Insurance Co. Ltd.

Max New York Life Insurance Company Limited is a joint venture that brings together two large

forces - Max India Limited, a multi-business corporate, together with New York Life

International, a global expert in life insurance. With their various Products and Riders, there are

more than 400 product combinations to choose from. They have a national presence with a

network of 57 offices in 37 cities across India.

y ICICI Prudential Life Insurance Company Ltd.

ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank, a premier

financial powerhouse and prudential plc, a leading international financial services group

headquartered in the United Kingdom. ICICI Prudential was amongst the first private sector

insurance companies to begin operations in December 2000 after receiving approval from

Insurance Regulatory Development Authority (IRDA). The company has a network of about

56,000 advisors; as well as 7 banc assurance and 150 corporate agent tie-ups.



y Om Kotak Mahindra Life Insurance Co. Ltd.

Kotak Mahindra Old Mutual Life Insurance Ltd. is a joint venture between Kotak Mahindra

Bank Ltd. (KMBL), and Old Mutual plc.

y Birla Sun Life Insurance Company Ltd.

Birla Sun Life Insurance Company is a joint venture between Aditya Birla Group and Sun Life

financial Services of Canada.

Tata AIG Life Insurance Company Ltd.

SBI Life Insurance Company Limited

ING Vysya Life Insurance Company Private Limited

Allianz Bajaj Life Insurance Company Ltd.

Metlife India Insurance Company Pvt. Ltd.

AMP SANMAR Assurance Company Ltd.

Dabur CGU Life Insurance Company Pvt. Ltd.

GENERAL INSURANCE

1. Royal Sundaram Alliance Insurance Company Limited

The joint venture bringing together Royal & Sun Alliance Insurance and Sundaram Finance

Limited started its operations from March 2001. The company is Head Quartered at Chennai, and

has two Regional Offices, one at Mumbai and another one at New Delhi.



2. Bajaj Allianz General Insurance Company Limited

Bajaj Allianz General Insurance Company Limited is a joint venture between Bajaj Auto Limited

and Allianz AG of Germany. Both enjoy a reputation of expertise, stability and strength.

Bajaj Allianz General Insurance received the Insurance Regulatory and Development Authority

(IRDA) certificate of Registration (R3) on May 2nd, 2001 to conduct General Insurance business

(including Health Insurance business) in India. The Company has an authorized and paid up

capital of Rs 110 crores. Bajaj Auto holds 74% and the remaining 26% is held by Allianz, AG,

Germany.

3. ICICI Lombard General Insurance Company Limited

ICICI Lombard General Insurance Company Limited is a joint venture between ICICI Bank Limited and the

US-based $ 26 billion Fairfax Financial Holdings Limited. ICICI Bank is India's second largest bank, while

Fairfax Financial Holdings is a diversified financial corporate engaged in general insurance, reinsurance,

insurance claims management and investment management.

Lombard Canada Ltd, a group company of Fairfax Financial Holdings Limited, is one of

Canada's oldest property and casualty insurers. ICICI Lombard General Insurance Company

received regulatory approvals to commence general insurance business in August 2001.

4. Cholamandalam General Insurance Company Ltd.

Cholamandalam MS General Insurance Company Limited (Chola-MS) is a joint venture of the

Murugappa Group & Mitsui Sumitomo.

Chola-MS commenced operations in October 2002 and has issued more than 1.4 lakh policies in

its first calendar year of operations. The company has a pan-Indian presence with offices in



Chennai, Hyderabad, Bangalore, Kochi, Coimbatore, Mumbai, Pune, Indore, Ahmedabad, Delhi,

Chandigarh, Kolkata and Vizag.

5. TATA AIG General Insurance Company Ltd.

Tata AIG General Insurance Company Ltd. is a joint venture company, formed from the Tata

Group and American International Group, Inc. (AIG). Tata AIG combines the strength and

integrity of the Tata Group with AIG's international expertise and financial strength. The Tata

Group holds 74 per cent stake in the two insurance ventures while AIG holds the balance 26 per

cent stake.

Tata AIG General Insurance Company, which started its operations in India on January 22, 2001,

offers the complete range of insurance for automobile, home, personal accident, travel, energy,

marine, property and casualty, as well as several specialized financial lines.

6. Reliance General Insurance Company Limited.

7. IFFCO Tokio General Insurance Co. Ltd

8. Export Credit Guarantee Corporation Ltd.

9. HDFC-Chubb General Insurance Co. Ltd.

MARKET SHARE OF ALL INSURANCE COMPANIES

Here is how Various Life Insurers stack up against each in the Industry as a whole. The

following Data suggests that LIC of India is still the market leader followed by ICICI Prudential,

HDFC Standard Life, SBI, Reliance, Bajaj, Birla Sun Life, Max New York etc.



HDFC LIFE HAS BEEN RANKED 3RD

IN THE PRIVATE INSURANCE SECTOR

ENVIRONMENT:

HDFC LIFE benefited a lot when it merged with the UK based Company Standard Life.

HDFC Standard life Insurance Company Limited was one of the first companies to be granted

license by the IRDA to operate in life insurance sector. Each of the JV player is highly rated and

been conferred with many awards. HDFC is rated µAAA¶ by both CRISIL and ICRA. The joint

venture of these two companies increased the profit, brand image and more reliable to the

customers as well as increased the market share.

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