SUMMER TRAINING PROJECT REPORT

AVIVA LIFE INSURANCE INSURANCE CO. LTD.

Submitted in Partial Fulfillment of the requirement of
BACHELORS OF BUSINESS ADMINISTRATION (BBA)


MARKETING CONCEPTS



Training Supervisor: SUBMITTED BY:
(SR. SALES MANAGER) Aman Aggarwal
Enrolment No. 03421401710





SESSION 2012-2013








1

ACKNOWLEDGMENT

This project work, which is my major step in the filed of professionalism, has
been successfully accomplished only because of timely support of my well
wisher. I would like to pay my sincere regards and thanks to those, who directed
me at every step in my project work.
First of all, I would like to express my thanks to my college for giving me such a
wonderful opportunity to widen the horizon of my knowledge. I pay my gratitude
towards, my sales manager at Aviva Life Insurance through which I got real
Business experience.
I extend my thanks to my project Guide for her scholarly guidance, constant
supervision and encouragement. It is due to her personal interest and initiative
that the project work is published in the present form.
.




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PREFACE
Someone has greatly said that practical knowledge is far better than
classroom teaching. During this project I fully realized this and come to know
about the present real world of insurance. Since it include all the activities
involved in selling insurance products directly to financial customers. I am
pleased to know about the customers wants and various activities in the real
world of insurance product. The Subject of my study is MARKETING
CONCEPTS OF AVIVA LIFE INSURANCE.









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CONTENTS

Chapter 1 Introduction 1-38

1.1Overview of industry as a whole 2
1.2 Profile of the organisation 19
1.3 Problems of the organisation 29
1.4 Competion information 30
1.5 S.W.O.T Analysis of the organasation 37


Chapter 2 Objective and Methodology 39-43

2.1 Significance 40
2.2 Objectives 41
2.3 Scope of the study 42
2.4 Methodology 43

Chapter 3 Conceptual Discussion 44-46


Chapter 4 Data Analysis 47-63


Chapter 5 Findings and Recommendations 64-66


Annexures

Bibliography

1








CHAPTER - 1

INTRODUCTION











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INTRODUCTION
1.1 OVERVIEW OF THE INDUSTRY INSURANCE
INDUSTRY
The insurance sector in India has come a full circle from being an open
competitive market to nationalization and back to a liberalized market again.
Tracing the mends in the Indian insurance sector reveals the 360 degree turn
witnessed over a period of almost two centuries.
With such a large population and the untapped market area of this population
Insurance happens to be a very big opportunity in India. Today it stands as a
business growing at the rate of 15-20 per cent annually. Together with banking
services, it adds about 7 per cent to the countrys GDP .In spite of all this growth
the statistics of the penetration of the insurance in the country is very poor. Nearly
80% of Indian populations are without Life insurance cover and the Health
insurance. This is an indicator that growth potential for the insurance sector is
immense in India. It was due to this immense growth that the regulations were
introduced in the insurance sector and in continuation Malhotra Committee was
constituted by the government in 1993 to examine the various aspects of the
industry. The key element of the reform process was Participation of overseas
insurance companies with 26% capital.
Since then the insurance industry has gone through many sea changes .The
competition LIC started facing from these companies were threatening to the
existence of LIC. The entry of the private players and the increased use of the new
distribution are in the limelight today.
The use of new distribution techniques and the IT tools has increased the scope of
the industry in the longer run.

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A BRIEF HISTORY
The origin of insurance is very old .The time when we were not even born; man
has sought some sort of protection from the unpredictable calamities of the nature.
The basic urge in man to secure himself against any form of risk and uncertainty
led to the origin of insurance.
The business of life insurance in India in its existing form started in India in the
year 1818 with the establishment of the Oriental Life Insurance Company in
Calcutta.
Some of the important milestones in the life insurance business in India are:
1912: The Indian Life Assurance Companies Act enacted as the first statute to
regulate the life insurance business.
1928: The Indian Insurance Companies Act enacted to enable the government to
collect statistical information about both life and non-life insurance
businesses.
1938: Earlier legislation consolidated and amended to by the Insurance Act with
the objective of protecting the interests of the insuring public.
1956: 245 Indian and foreign insurers and provident societies taken over by the
central government and nationalized. LIC formed by an Act of Parliament,
viz. LIC Act, 1956, with a capital contribution of Rs. 5 crore from the
Government of India.
The General insurance business in India, on the other hand, can trace its roots to
the Triton Insurance Company Ltd., the first general insurance company
established in the year 1850 in Calcutta by the British.

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Some of the important milestones in the general insurance business in India are:
1907: The Indian Mercantile Insurance Ltd. set up, the first company to transact
all classes of general insurance business.
1957: General Insurance Council, a wing of the Insurance Association of India,
frames a code of conduct for ensuring fair conduct and sound business
practices.
1968: The Insurance Act amended to regulate investments and set minimum
solvency margins and the Tariff Advisory Committee set up.
1972: The General Insurance Business (Nationalisation) Act, 1972 nationalised
the general insurance business in India with effect from 1
st
January 1973.
107 insurers amalgamated and grouped into four companies viz.
1. National Insurance Company Ltd.
2. Oriental Insurance Company Ltd.
3. New India Assurance Company Ltd.
4. United India Insurance Company Ltd.
GIC incorporated as a company.




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INSURANCE SECTOR REFORMS
In 1993, Malhotra Committee, headed by former Finance Secretary and RBI
Governor R.N. Malhotra, was formed to evaluate the Indian insurance industry
and recommend its future direction.
The Malhotra committee was set up with the objective of complementing the
reforms initiated in the financial sector.
The reforms were aimed at creating a more efficient and competitive financial
system suitable for the requirements of the economy keeping in mind the
structural changes currently underway and recognising that insurance is an
important part of the overall financial system where it was necessary to address
the need for similar reforms
In 1994, the committee submitted the report and some of the key recommendations
included:
i) Structure
Government stake in the insurance Companies to be brought down to
50%
Government should take over the holdings of GIC and its subsidiaries so
that these subsidiaries can act as independent corporations
All the insurance companies should be given greater freedom to operate
ii) Competition
Private Companies with a minimum paid up capital of Rs.1bn should be
allowed to enter the industry.

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No Company should deal in both Life and General Insurance through a
single entity.
Foreign companies may be allowed to enter the industry in collaboration
with the domestic companies.
Postal Life Insurance should be allowed to operate in the rural market.
Only one State Level Life Insurance Company should be allowed to
operate in each state.
iii) Regulatory Body
The Insurance Act should be changed.
An Insurance Regulatory body should be set up.
Controller of Insurance (Currently a part from the Finance Ministry)
should be made independent.
iv) Investments
Mandatory Investments of LIC Life Fund in government securities to be
reduced from 75% to 50%
GIC and its subsidiaries are not to hold more than 5% in any company
(There current holdings to be brought down to this level over a period of
time)
v) Customer Service
LIC should pay interest on delays in payments beyond 30 days.

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Insurance companies must be encouraged to set up unit linked pension
plans.
Computerization of operations and updating of technology to be carried
out in the insurance industry.
The committee emphasized that in order to improve the customer services and
increase the coverage of the insurance industry, it should be opened up to
competition. But at the
same time, the committee felt the need to exercise caution as any failure on the
part of new players could ruin the public confidence in the industry.
Hence, it was decided to allow competition in a limited way by stipulating the
minimum capital requirement of Rs.100 crores. The committee felt the need to
provide greater autonomy to insurance companies in order to improve their
performance and enable them to act as independent companies with economic
motives. For this purpose, it had proposed setting up an independent regulatory
body.

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The Insurance Regulatory and Development Authority(IRDA)
Reforms in the Insurance sector were initiated with the passage of the IRDA Bill
in Parliament in December 1999. The IRDA since its incorporation as a statutory
body in April 2000 has fastidiously stuck to its schedule of framing regulations
and registering the private sector insurance companies.
The other decisions taken simultaneously to provide the supporting systems to the
insurance sector and in particular the life insurance companies was the launch of
the IRDAs online service for issue and renewal of licenses to agents.
The approval of institutions for imparting training to agents has also ensured that
the insurance companies would have a trained workforce of insurance agents in
place to sell their products, which are expected to be introduced by early next
year.
Since being set up as an independent statutory body the IRDA has put in a
framework of globally compatible regulations. In the private sector 12 life
insurance and 6 general insurance companies have been registered.







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CURRENT SCENARIO OF THE INDUSTRY
INSURANCE MARKET IN INDIA
India with about 200 million middle class household shows a huge untapped
potential for players in the insurance industry. Saturation of markets in many
developed economies has made the Indian market even more attractive for global
insurance majors. The insurance sector in India has come to a position of very
high potential and competitiveness in the market.
Innovative products and aggressive distribution have become the say of the day.
Indians, have always seen life insurance as a tax saving device, are now suddenly
turning to the private sector that are providing them new products and variety for
their choice.
Life insurance industry is waiting for a big growth as many Indian and foreign
companies are waiting in the line for the green signal to start their operations. The
Indian consumer should be ready now because the market is going to give them
an array of products, different in price, features and benefits. How the customer is
going to make his choice will determine the future of the industry.
1. Customer Service
Consumers remain the most important centre of the insurance sector. After the
entry of the foreign players the industry is seeing a lot of competition and thus
improvement of the customer service in the industry. Computerisation of
operations and updating of technology has become imperative in the current
scenario. Foreign players are bringing in international best practices in service
through use of latest technologies. The one time monopoly of the LIC and its
agents are now going through a through revision and training programmes to
catch up with the other private players. Though lot is being done for the increased
customer service and adding technology to it but there is a long way to go and

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various customer surveys indicate that the standards are still below customer
expectation levels.
2. Distribution Channels
Till date insurance agents still remain the main source through which insurance
products are sold. The concept is very well established in the country like India
but still the increasing use of other sources is imperative. It therefore makes sense
to look at well-balanced, alternative channels of distribution.
LIC has already well established and have an extensive distribution channel and
presence. New players may find it expensive and time consuming to bring up a
distribution network to such standards. Therefore they are looking to the diverse
areas of distribution channel to have an advantage. At present the distribution
channels that are available in the market are:
Direct selling
Corporate agents
Group selling
Brokers and cooperative societies
Banc assurance
BANCASURANCE - India has an extensive bank network established over the
years. What Insurance companies have to do is to just take advantage of the
customers' long-standing trust and relationships with banks. This is a mutually
beneficial situation as banks can also expand their range of products on offer to
customers, while the insurance company will also earn profits from the exposure.
Another advantage is that banks, with their network in rural areas, help to fulfill

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rural and social obligations stipulated by the Insurance Regulatory and
Development Authority (IRDA) recently. Insurance companies should see banc
assurance as a tool for increasing their market penetration in India. It is also good
for the one who sees banc assurance in terms of reduced price, high quality
product and delivery at doorsteps. Everybody is a winner here. The creation of
banc assurance operations has made an important impact on the financial services
industry at large. This is though a new concept but it has gained a lot of
importance in the industry at present and has a great future.
3. Product Innovation
There has been a plethora of new and innovative products offered by the new
players. Customers have tremendous choice from a large variety of products from
pure term (risk) insurance to unit-linked investment products. Customers are
offered unbundled products with a variety of benefits as riders from which they
can choose. More customers are buying products and services based on their true
needs and not just traditional money-back policies, which is not considered very
appropriate for long-term protection and savings. There is lots of saving and
investment plans in the market. However, there are still some key new products
yet to be introduced - e.g. health products.
4. Rural Marketing
Rural India seems to have an appetite for mobile phones, computers, and cars and
to add to it we have insurance. In India with the private players having entered
into the insurance industry, the expected explosion in job opportunities may not
actually happen but for them the catchments area is the opportunities in the rural
India. In India the insurance business can be said to be "a marathon, not a sprint".
This is because of the nature of the business being long term. With merely two
years of the industry being opened, not surprisingly, the new comers are making
losses. The public sector companies, notably the LIC, have gained in strength,

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thanks to the deepening of the market consequent to the awareness created by the
new companies. However this does not deterred the private sector, which knows
know that the race is a marathon, not a sprint. However it seems that they if not
anything, are only increasing their spending, though only out of the capital.
Today, there are 18 insurance companies in India excluding the PSUs, with 12 in
the life insurance business and the rest in non-life .As insurance companies go
more and more rural in search of business, there will be opportunities in the rural
sector. A research conducted exhibited that the rural consumers are willing to dole
out anything between Rs 3,500 and Rs 2,900 as premium each year. In the
insurance the awareness level for life insurance is the highest in rural India, but
the consumers are also aware about motor, accidents and cattle insurance. In a
study conducted by MART the results showed that nearly one third said that they
had purchased some kind of insurance with the maximum penetration skewed in
favor of life insurance. The study also pointed out the private companies have
huge task to play in creating awareness and credibility among the rural populace.
The perceived benefits of buying a life policy range from security of income bulk
return in future, daughter's marriage, children's education and good return on
savings, in that order, the study adds.
Regulatory and Development Authority (IRDA) have set stiff rural targets for
insurance companies. For the life sector, in the first year, 5 per cent of the total
policies written should come from the rural sector. This will go up to 15 per cent
in five years. Similarly, for the non-life sector, two per cent of the total gross
premium income should come from the rural sector going up to 5 per cent in five
years, according to the regulation. All these moves will make the investment the
rural area a big start.



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5. Information Technology And Insurance
In the insurance industry today, there is a clear trend away from selling a broad
range of products to a large volume of customers in a one size-fits-all manners.
Instead of focusing on their different products lines as silos (i.e., life, property and
casualty etc) insurers are looking for ways to offer highly targeted insurance
products that are tailored to the individuals customers with the highest propensity
to buy them.
There is a evolutionary change in the technology that has revolutionized the entire
insurance sector. Insurance industry is a data-rich industry, and thus, there is dire
need to use the data for trend analysis and personalization.
With increased competition among insurers, service has become a key issue.
Moreover, customers are getting increasingly sophisticated and tech-savvy.
People today dont want to accept the current value propositions, they want
personalized interactions and they look for more and more features and add ones
and better service The insurance companies today must meet the need of the hour
for more and more personalized approach for handling the customer. Today
managing the customer intelligently is very critical for the insurer especially in
the very competitive environment. Companies need to apply different set of rules
and treatment strategies to different customer segments. However, to personalize
interactions, insurers are required to capture customer information in an integrated
system.
With the explosion of Website and greater access to direct product or policy
information, there is a need to developing better techniques to give customers a
truly personalized experience. Personalization helps organizations to reach their
customers with more impact and to generate new revenue through cross selling
and up selling activities. To ensure that the customers are receiving personalized
information, many organizations are incorporating knowledge database-

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repositories of content that typically include a search engine and lets the
customers locate the all document and information related to their queries of
request for services. Customers can hereby use the knowledge database to mange
their products or the company information and invoices, claim records, and
histories of the service inquiry. These products also may be able to learn from the
customers previous knowledge database and to use their information when
determining the relevance to the customers search request.
The insurance sector remains a very competitive market and those companies that
are able to best utilize their data and provide their customer with the most
personalized options will have the distinct competitive advantage. The insurers
that come up to the top will be those who leverage the appropriate technology
solutions effectively in order to foster customer loyalty, attract new customers and
improve operational efficiency by providing common information across their
lines of business.
6. Mergers And Aquisitions
This is an era of mergers and acquisitions. Private companies including MNCs
are amalgamating the world over to get more competitive edge. Currently, the
general insurance industry has been opened up. The question here is that for over
two years, eight private companies have operated and has the size of the cake
expanded. The insurers are doing enough to raise the level of risk awareness or
are they merely content to compete in the markets organized and established.
However sooner or later the private sector players will have to put in place
strategies aimed not at winning the existing accounts of the public players but at
diversifying markets penetration as a whole. The private players in the future
would have to turn their attention to working in the unorganized and under served
markets.

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What is likely to happen is that the private players would continue to skim the
profitable segments of the already organized business in the urban areas? The
time has already come for the government of India to evaluate the performance of
private companies vis--vis their declared objective of opening up the industry.
However it is high time for the government to realize that importance of merging
the public sector general insurance companies into single entity. The resent
scenario calls for a better performance from part of each of the public sector
insurance companies against each other; or in other words a competition to be the
best. The result what we see is the undercutting of premium to retain or wrest
business and quoting an uneconomical rate of premium. While this allows one of
the Public Sectors Company to win a business form another in this manner. The
others suffer a loss and the resultant effect is a cannibalization with a fall in the
average premium of the public sector itself. This at many times brings advantage
to the private players who grab the business because of the
unethical competition among the public players.
The purpose of having four companies all subsidiaries of General Insurance
Corporation of India (GIC) National Insurance Company, New India Assurance
Company, Oriental Insurance Company, And The United India Insurance
Company; at the time of nationalization was to have competition among
themselves in service and products at the same price. The service provided by
them was also equally good or bad depending on the experience of the customers.
It is thus clear that it is good for the public sector companies to merge
immediately when they are still strong, lest a merger becomes inevitable later
after the independent public sector companies fail one after another. This does not
bid well for the public sector, nor fort he insuring public and not for the economic
development either. For a progress me require merger of strong public sector
companies. Else it would render public sector companies weak and destroy them.

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NAME OF THE PLAYER MARKET SHARE
(%)
LIC 82.3
ICICI PRUDENTIAL 5.63
BIRLA SUN LIFE 2.56
BAJA ALLIANZ 2.03
SBI LIFE 1.80
HDFC STANDARD 1.36
TATA AIG 1.29
HDFC SLIC 0.90
AVIVA 0.79
OM KOTAK MAHINDRA 0.51
ING VYASA 0.37
AMP SANMAR 0.26
METLIFE 0.21



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POTENTIAL OF INSURANCE INDUSTRY IN INDIA :
Only ONE out of FIVE insurable population in India have insurance
coverage.
In terms of Insurance premium per capita and premium per GDP, India
ranks as one of the lowest in the world.
Life insurance premium constitutes only 9% of domestic savings.
By 2010, hundred million elderly look to planning for old age pension and
annuities.
More than 325 million labor forces have no social security.
With an annual growth rate of 15-20% and the largest number of life insurance
policies in force, the potential of the Indian insurance industry is huge. Total
value of the Indian insurance market (2004-05) is estimated at Rs. 450 billion
(US$10 billion). According to government sources, the insurance and banking
services' contribution to the country's gross domestic product (GDP) is 7% out of
which the gross premium collection forms a significant part. The funds available
with the state-owned Life Insurance Corporation (LIC) for investments are 8% of
GDP.
Till date, only 20% of the total insurable population of India is covered under
various life insurance schemes, the penetration rates of health and other non-life
insurances in India is also well below the international level. These facts indicate
the of immense growth potential of the insurance sector.
The year 1999 saw a revolution in the Indian insurance sector, as major structural
changes took place with the ending of government monopoly and the passage of

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the Insurance Regulatory and Development Authority (IRDA) Bill, lifting all
entry restrictions for private players and allowing foreign players to enter the
market with some limits on direct foreign ownership.
Though, the existing rule says that a foreign partner can hold 26% equity in an
insurance company, a proposal to increase this limit to 49% is pending with the
government. Since opening up of the insurance sector in 1999, foreign
investments of Rs. 8.7 billion have poured into the Indian market and 21 private
companies have been granted licenses.
Innovative products, smart marketing, and aggressive distribution have enabled
fledgling private insurance companies to sign up Indian customers faster than
anyone expected. Indians, who had always seen life insurance as a tax saving
device, are now suddenly turning to the private sector and snapping up the new
innovative products on offer.
The life insurance industry in India grew by an impressive 36%, with premium
income from new business at Rs. 253.43 billion during the fiscal year 2004-2005,
braving stiff competition from private insurers. Though the total volume of LIC's
business increased in the last fiscal year (2004-2005) compared to the previous
one, its market share came down from 87.04 to 78.07%. The 14 private insurers
increased their market share from about 13% to about 22% in a year's time. The
figures for the first two months of the fiscal year 2005-06 also speak of the
growing share of the private insurers. The share of LIC for this period has further
come down to 75 percent, while the private players have grabbed over 24 percent.
There are presently 12 general insurance companies with four public sector
companies and eight private insurers. According to estimates, private insurance
companies collectively have a 10% share of the non-life insurance market.

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1.2 PROFILE OF THE ORGANISATION AVIVA LIFE
INSURNACE CO. LTD.
Aviva is UKs largest and the worlds fifth largest insurance Group. It is one of
the leading providers of life and pensions products to Europe and has substantial
businesses elsewhere around the world. With a history dating back to 1696, Aviva
has a 35 million-customer base worldwide. It has more than 332 billion of assets
under management.
In India, Aviva has a long history dating back to 1834. At the time of
nationalisation it was the largest foreign insurer in India in terms of the
compensation paid by the Government of India. Aviva was also the first foreign
insurance company in India to set up its representative office in 1995.
In India, Aviva has a joint venture with Dabur, one of India's oldest, and largest
Group of companies. A professionally managed company, Dabur is the country's
leading producer of traditional healthcare products.
In accordance with the government regulations Aviva holds a 26 per cent stake in
the joint venture and the Dabur group holds the balance 74 per cent share.
With a strong sales force of over 12,000 Financial Planning Advisers (FPAs),
Aviva has initiated an innovative and differentiated sales approach to the
business. Through the Financial Health Check (FHC) Avivas sales force has
been able to establish its credibility in the market. The FHC is a free service
administered by the FPAs for a need-based analysis of the customers long-term
savings and insurance needs. Depending on the life stage and earnings of the
customer, the FHC assesses and recommends the right insurance product for
them.

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Aviva pioneered the concept of Bancassurance in India, and has leveraged its
global expertise in Bancassurance successfully in India. Currently, Aviva has
Bancassurance tie-ups with ABN Amro Bank, American Express Bank, Canara
Bank, Centurion Bank of Punjab, The Lakshmi Vilas Bank Ltd. and Punjab &
Sind Bank, 15 Co-operative Banks in Gujarat, Rajasthan, Jammu & Kashmir,
Bihar, West Bengal and Maharashtra and one regional Bank in Sikkim.
When Aviva entered the market, most companies were offering traditional life
products. Aviva started by offering the more modern Unit Linked and Unitised
With Profit products to the customers, creating a unique differentiation. Avivas
products have been designed in a manner to provide customers flexibility,
transparency and value for money. It has been among the first companies to
introduce the more modern Unit Linked
Products in the market. Its products include: whole life (Life Long), endowment
(Life Saver, Easy Life Plus), and child policy (Young Achiever) single premium
(Life Bond and Life Bond Plus), Pension (Pension Plus), Term (Life Shield),
fixed term protection plan (Freedom Life Plan) and a tax efficient investment plan
with limited premium payment term (LifeBond5). Aviva products are modern and
contemporary unitised products that offer unique customer benefits like flexibility
to chose cover levels, indexation and partial withdrawals.
Avivas Fund management operation is one of its key differentiators. Operating
from Mumbai, Aviva has an experienced team of fund managers and the range of
fund options includes Unitised With-Profits Fund and four Unit Linked funds: -
Protector Fund, Secure Fund, Balanced Fund and Growth Fund.
Aviva has 112 Branches in India (including rural branches) supporting its
distribution network. Through its Bancassurance partner locations, Aviva
products are available in 378 towns and cities across India.

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Aviva is also keen to reach out to the underprivileged that have not had access to
insurance so far. Through its association with Basix (a micro financial institution)
and other NGOs, it has been able to reach the weaker sections of the society and
provide life insurance to them.
For three consecutive years in 2005, 2006 and 2007, Aviva has had relatively high
scores on the parameters of Credibility, Respect, Fairness, Pride and Camaraderie
in the survey administered by Grow Talent Company Ltd. along with Great Places
to Work Institute, Inc. and Business World magazine.


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WHO IS AVIVA
DABUR
A professionally managed company, it is the country's leading producer of
Founded in 1884, Dabur is one of India's oldest and largest group of companies
with consolidated annual turnover in excess of Rs 1,899 crores. Traditional
healthcare products.
AVIVA
Aviva is UKs largest and the worlds fifth largest insurance Group. It is one of
the leading providers of life and pensions products to Europe and has substantial
businesses elsewhere around the world. With a history dating back to 1696, Aviva
has a 35 million-customer base worldwide. It has more than 332 billion of assets
under management.
VISION
Aviva - where exceeding expectations through innovative solutions is "the" way
of life This is the compelling vision that Aviva India has created through the
active contribution of its employees. These lines not only define the way we live
and work but also serve as a reminder to deliver the best to our customers,
shareholders, colleagues, partners & employees at all times.
Embedded in this vision are the core values of Integrity, Customer centricity,
Passion for winning, Innovation and Empowered team that we have collectively
defined and committed to working towards.

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PARTNERS

Aviva is committed to helping our customers get 'Kal par Control' and make the
most out of their lives. It is the constant endeavour to ensure that our customers
have easy access to Aviva products and services at all times.
Aviva has pioneered bancassurance in the country through its tie-ups with 22
leading private and nationalised Banks in the country. Aviva also focuses on
bancassurance worldwide and has a proven track record of successful
bancassurance relationships. It has 40 major partnerships with leading banks
across the globe. Aviva is a leading bancassurer in countries such as France, Italy,
Spain, Australia and New Zealand.

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ABN AMRO Bank
ABN AMRO is a prominent international bank with European roots and a clear
focus on consumer and commercial banking gaining a competitive edge on the
chosen markets and client segments. ABN AMRO Bank (India) ventured into the
Indian market in 1920 primarily to finance the diamond trading business and
evolved by mid 1990s into a fastest growing retail bank and a well-respected
wholesale bank.
The Bank is recognized as one of the most successful consumer banking outfits in
the county, known for its innovation and aggression. ABN India consumer
banking pioneered the distribution of third party financial products like mutual
funds, bonds and life insurance.
Aviva's relationship with ABN India commenced in June 2002 under which the
bank introduces its customers to Aviva for insurance and provides access to its
affluent customer base across the country through its operations in 21 branches at
14 locations.
American Express Bank
American Express Company is a diversified worldwide travel and financial
services company founded in 1850. It is the worlds largest single card issuer,
based on purchase volume generated of nearly 55 million cards worldwide.
Present in India since 1921, American Express provides high quality travel related
and financial services in India.
Aviva Life Insurance entered into a strategic alliance with American Express for
distribution of Life Insurance in June 2002 to offer top-of the line saving-cum-
protection plans to Amex bank and card customers.

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Aviva offers tailor-made investment solutions to the high net worth clients of the
Wealth Management channel. The retail card segment is being tapped through
outbound calling to the Amex cardholders. The American Express Inbound call
center also pitches Aviva products to its callers.
The Lakshmi Vilas Bank Ltd
The Lakshmi Vilas Bank Ltd, based out of Karur, is among the top private banks
in India. It has 221 branches with a customer base of 1.2 million, across 10 states.
Currently Aviva products are sold across 204 branches of LVB.
Canara Bank
Canara Bank is one of the largest retail banks in India with 2,513 branches spread
across 25 States and 4 Union Territories. The customer base of Canara Bank
exceeds 27 million. With a net profit of INR 1110 Crores, deposits of over INR
96,908 Crores, 47389 employees for the year ending Mar 2005, Canara Bank is
truly a Bank to be reckoned with for the sheer magnitude of coverage it offers its
clients. Canara Bank has tied up with Aviva as a Corporate Agent for its Life
Insurance Products. Aviva products are currently offered in 1030 Canara Bank
branches in 103 Cities.
Punjab & Sind Bank
Punjab & Sind Bank was established in the year 1908. Based on the principles of
social commitment to the people, help the farmers, and the weaker sections of the
society to raise their standard of living and play a significant role in the
development of the country. Even after 96 years of its inception, Punjab & Sind
Bank stands committed to honor the high ideals of its founding fathers. Punjab
and Sindh Bank has a network of 759 branches and 132 extension counters all

26
over the country with close to 9,765 employees. 42 per cent of its branches are in
the rural and semi urban areas.
In line with spirit of liberalisation the Bank has laid special emphasis on
International banking, Hire purchase, Leasing, Tele-banking and Credit card
facilities. The bank has also started their Rural Development Division, High
Tech Agricultural Branches, Specialised Locker Branches, Industrial Finance and
SSI branches, besides Housing Finance Branch for the convenience of its
customers.
Centurion Bank of Punjab
Centurion Bank of Punjab is a new generation private sector bank offering a wide
spectrum of retail and corporate banking products and services. It holds leadership
positions in retail two-wheeler loans and commercial vehicle loans. It has been
among the earliest banks to offer a technology-enabled customer interface that
provides easy access and superior customer service.
RBI has approved the merger between Centurion Bank and Bank of Punjab
effective from October 1st, 2005. The merged entity, named Centurion Bank of
Punjab, has a strong nationwide franchise of 241 branches and extension counters
and 389 ATMs. With strengths in the retail, SME and agriculture businesses the
bank is well poised to capture the opportunities that exist in the Indian market.
The combined banks 3,500 employees will continue to provide support and an
enhanced banking experience to our customers, as part of a bigger, stronger bank.
Avivas key strength is its fund management capabilities with an experience of
30 years in money management.

27
EQUITY
The much-awaited correction finally materialised in the quarter ended June 2006.
The BSE Sensex, which peaked at 12612 levels on 10th May 2006, has corrected
to around 10000 levels. After three years of sustained Bull Run, the recent
correction has been a timely reminder that the markets, in the short term, may see
downsides too. Compared to the rise in the market, the downtrend has not been
very large though it has been quicker than expectations. Even post this 20% or so
correction from its peak, the Sensex is up 12.9% year to date. This much-needed
correction has weeded out some of the euphoria and the focus on value is back.
Does this correction reflect any change in the key fundamentals of India? We do
not think so. The three-year rally was in the first place due to appreciation of
Indias sustainable growth story. The second reason was an improvement in the
global liquidity as investors appetite for risk iJhansieased. The India growth story
remains intact and the GDP growth in the last few quarters is an evidence of this.
We expect GDP to grow by over 7% on a sustainable basis and hence India would
continue to be an attractive investment destination. The major reason for the
correction has been liquidity moving out of the markets. This has been caused by
fall in the commodity prices from their peak, rising global interest rates and high
crude prices causing worries about inflation and a global meltdown. With the
tightening of global liquidity and reduced risk appetite of investors, there have
been outflows from emerging markets including India. Secondly, valuations in
India were among the highest in emerging markets and hence witnessed a greater
compression. One of the major fears globally is that of a slowing economy in the
US and China. India is highly resilient to global meltdowns as private
consumption accounts for 62% of our GDP and exports account for only 12% of
GDP. With a favourable demographic profile- iJhansieasing working population
and improved disposable income in the hands of the consumer, this resilience will
only improve. This coupled with superior growth and demographics will drive

28
flows back to India in the long term. In the short term, the markets could continue
to witness volatility as the direction would be determined by global liquidity,
progress of monsoons and the quarterly results for June 2006. We believe, for the
long-term investor, this correction would provide a good opportunity to
participate in the India growth story. However, expectations of returns from
equity should be moderate with stock returns tracking earnings growth.
FIXED INCOME
Is virtuous cycle turning vicious? Inflation has touched one year high of 5.44%,
and INR has touched 2 year low of 46.04. Aligning with these movements, yield
on benchmark 10 year Government Bond also went up to a four year high of
8.10%. The latest balance of payments numbers for 2005-06 show an overall
balance of $15 bn, helped by a less-than-expected deficit on the current account
($10.6 bn). This was essentially due to strong invisibles (private remittance and
net software exports) providing cover for a trade deficit, which was itself
moderated by a strong 28% y-o-y growth in exports. Net inflows on the capital
account stood at $24.7 bn with $5.7 bn coming from net FDI and $12.5 bn being
accounted for by portfolio inflows. Though headline inflation recently has picked
up with prices of food and non food articles in the primary goods category
rising, the government has taken short-term measures in the form of liberalizing
imports of wheat and sugar and banning exports of pulses in order to ease the
supply situation. Core inflation, that is, excluding the more volatile primary and
fuel categories, has picked up a bit in comparison to last year. However it is
expected to remain in a manageable range. RBI seems committed to containing
inflation and would thus act accordingly. Recently, RBI chose to iJhansiease rates
to manage inflationary expectations and in response to various central banks
hiking rates globally. GDP growth for 2005-06 came in at a better than expected
8.4%, propped up by improved agriculture performance. For 2006-07 also, despite
inflationary pressures, the GDP is expected to grow at over 7%.

29
1.3 PROBLEMS OF AVIVA LIFE INSURNACE
Since Aviva Life Insurance is a private player in the insurance industry, it
has not yet reached break-even. Hence, it has high cost due to which its
premiums are high as compared to LIC.
It has to create credibility in the public.
It has to compete with the wide range of products that its competitors
offer.
It has to focus towards rural segment also which has a great scope of
growth.
It has to decide on the strategies to be adopted which will help to counter
competition.
It has to increase its no. of branches and also enhance its network of
agents so that it can compete with LIC.
It has to focus on providing effective training to its agents so that the
customer base can be increased and moreover customer satisfaction can be
ensured.

30
1.4 COMPETITORS INFORMATION
Bajaj Allianz
Birla Sun Life Insurance
HDFC Standard Life Insurance
ICICI Prudential
ING Vysya
Kotak Mahindra
LIC
MetLife India Insurance
SBI Life Insurance
Shriram Life Insurance
Tata AIG Life Insurance
BAJAJ ALLIANZ

Bajaj Allianz is a joint venture between Allianz AG one of the worlds largest
insurance companies, and Bajaj Auto, one of the biggest 2 and 3 wheeler
manufacturers in the world. Bajaj Allianz is into both life insurance and general
insurance.

31
Allianz Group is one of the worlds leading insurers and financial services
providers. Founded in 1890 in Berlin, Allianz is now present in over 70 countries
with almost 174,000 employees. Bajaj group is the largest manufacturer of two-
wheelers and three-wheelers in India and one of the largest in the world.
Today, Bajaj Allianz is one of Indias leading and fastest growing insurance
companies. Currently, it has presence in more than 550 locations with over 60,000
Insurance Consultants.
BIRLA SUN LIFE INSURANCE

Birla Sun Life Insurance Company Limited is a joint venture between Aditya
Birla Group and Sun Life Financial of Canada. Aditya Birla Group is an Indian
multinational conglomerate with presence in India, Thailand, Indonesia, Malaysia,
Philippines, Egypt, Canada, Australia and China.
Sun Life Assurance, Sun Life Financials primary insurance business, is one of
the leading insurance companies of the world and ranks amongst the largest
international financial services 31rganizations in the world. The Group has
presence in several countries such as Canada, United States, Philippines, Japan,
Indonesia, India and Bermuda.

32
ICICI PRUDENTIAL LIFE INSURANCE

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 was established in 1955 to lend money for industrial development. Today,
it has diversified into retail banking and is the largest private bank in the country.
Prudential plc was established in 1848 and is presently the largest life insurance
company in the UK.
ICICI Prudential is curently the No. 1 private life insurer in the country. For the
financial year ended March 31, 2005, the company garnered Rs 1584 crore of new
business premium for a total sum assured of Rs 13,780 crore and wrote nearly
615,000 policies.
ING VYSYA LIFE INSURANCE

ING Vysya Life Insurance Company Limited is a joint venture between Vysya
Bank and ING Group of Holland, the world's 4th largest financial services group,
with presence across 50 countries, and a heritage of over 150 years.

33
ING Vysya Life Insurance Company Private Limited entered the private life
insurance industry in India in September 2001. With in a short span of time ING
Vysya Life Insurance has registered an impressive growth. The company
currently has over 10,000 active advisors working from 75 branches (in 30 cities)
across the country and over 2300 employees.
KOTAK MAHINDRA OLD MUTUAL LIFE INSURANCE LIMITED

Kotak Mahindra Old Mutual Life Insurance Ltd. is a joint venture between Kotak
Mahindra Bank Ltd.(KMBL), and Old Mutual plc. Kotak Mahindra is one of
India's leading financial institutions and offers a range of financial services such
as commercial banking, stock broking, mutual funds, life insurance, and
investment banking.
Old Mutual was established more than 150 years ago and offers a diverse range of
financial services in South Africa, the United States and the United Kingdom. The
company is listed on the London Stock Exchange with a market capitalization and
has its headquarters in London.
LIFE INSURANCE CORPORATION OF INDIA (LIC)

Life Insurance Corporation of India (LIC) is an autonomous body authorized to
run the life insurance business in India with its Head Office at Mumbai. It has
been established by an act of the Parliament and started functioning from
1/9/1956.

34
LIC is the biggest insurance player in the country. Out of the total premium of Rs
3766 crore generated by the insurance industry through group business in the year
2005-06, LIC alone accounted for Rs 3051 crore.
In the financial year 2005-06, LIC has grown at 30.68%. In respect of number of
lives insured, LIC has shown a growth of over 152%. In respect of number of
schemes, LIC has a growth of 2%. LIC's market share in number of individuals
covered and number of policies stands at 77% and 81%, respectively.
METLIFE INDIA INSURANCE

MetLife India Insurance Co. Pvt Ltd is a joint venture between MetLife Group
and its Indian partners. The Indian partners include J&K Bank, Dhanalakshmi
Bank, Karnataka Bank, Karvy Consultants, Geojit Securities, Way2Wealth, and
Mini Muthoothu.
Met Life Group has presence in America and Asia and has an experience of over
137 years in providing financial services. The MetLife companies are the number
one life insurer in the U.S. with approximately US $2.8 trillion of life insurance in
force. MetLife serves 88 of the top one hundred FORTUNE 500 companies.
MetLife entered Indian insurance sector in 2001.
RELIANCE LIFE INSURANCE

Reliance Life Insurance Company Limited is a part of Reliance Capital Ltd. of the
Reliance - Anil Dhirubhai Ambani Group. The company acquired 100 per cent

35
shareholding in AMP Sanmar Life Insurance Company in August 2005. Taking
over AMP Sanmar Life provided Reliance Life Insurance a readymade
infrastructure and a portfolio.
AMP Sanmar Life Insurance was a joint venture between AMP, Australia and the
Sanmar Group. Headquartered in Chennai, AMP Sanmar had over 90 offices
across the country, 9,000 agents, and more than 900 employees.
SBI LIFE INSURANCE

SBI Life Insurance is a joint venture between the State Bank of India and Cardif
SA of France. SBI Life Insurance is registered with an authorised capital of Rs
500 crore and a paid up capital of Rs 350 crores.
State Bank of India is the largest banking franchise in India. Along with its 7
Associate Banks, SBI Group has a network of over 14,000 branches across the
country, the largest in the world.
Cardif is a wholly owned subsidiary of BNP Paribas, which is The Euro Zone's
leading Bank. BNP is one of the oldest foreign banks with a presence in India
dating back to 1860.
SHRIRAM LIFE INSURANCE

Shriram Life Insurance Company Ltd is a joint venture between the Chennai-
based Shriram Group and the South African insurance major Sanlam.

36
The company launched its operations in India in December 2005.
Shriram Life has set a target of achieving a premium income of Rs 110 crore
during the first year of operations. While focussing largely on the strong network
of over 65,000 agents and distribution network of more than 550 branches,
Shriram Life is also contemplating bancassurance alliances with couple of banks.
TATA AIG LIFE INSURANCE

Tata AIG Life Insurance Company Limited is a joint venture between Tata Group
and American International Group, Inc. (AIG). Tata Group is one of the oldest
and leading business groups of India. Tata Group has had a long association with
India's insurance sector having been the largest insurance company in India prior
to the nationalisation of insurance. The Late Sir Dorab Tata, was the founder
Chairman of New India Assurance Co. Ltd., a group company incorporated way
back in 1919.
American International Group, Inc is the leading U.S. based international
insurance and financial services organization and the largest underwriter of
commercial and industrial insurance in the United States. AIG has one of the most
extensive life insurance networks in the world.

37
1.5 S.W.O.T ANALYSIS OF AVIVA LIFE INSURANCE
STRENGTHS
Premiums are increasing and so are commissions.
The variety of products is increasing.
Transparency in working is followed.
Fund charges are less i.e. 0.8%
Stronger financial base.
Employee centric organization.
WEAKNESS
Strong competitors like LIC, ICICI Pru, Birla Sun Life etc.
Premium is priced high as compared top the market leader.
Infrastructure cost is high.
Less expenditure on promotion.
Products not customized for lower segment.

38
OPPORTUNITIES
The ability to cross sell financial services barely being tapped.
Technology is improving to the point that paperless transactions are
available.
The client's increasing need for an "insurance consultant" can open new
ways to service the client and generate income.
THREATS
Government regulations on issues like health care, mold and terrorism can
quickly change the direction of insurance.
The increasing expenses and lower profit margins.
Intense competition from LIC.













39




CHAPTER 2

OBJECTIVE & METHODOLOGY







40
2.1 Significance
1. Risk and Insurance
2. Global insurance
3. Penetration of insurance sector at world level as well as in India
4. Saving habits of Indian people
5. Liberalization of Indian Insurance Sector
6. Role of the Insurance Regulatory Authority of India
7. Performance of private players in insurance sector
8. A comparitive stidies on private and public sector of insurance
companies
9. Performance evalustion of non-ife insurers (public and private
10. Evalustion of General Insurance Sector in India
11. Urban and Rural penetration of Insurance sector in India
12. Role of Insurance Sector In terms of infrastructure development in
India





41
2.2 Objectives of the Study
The summer internship program was carried with two prime objectives in mind.
The entire program was divided into two parts:
a.) The marketing for Aviva Life Insurance.
b.) A survey conducted on the people of Delhi.
The marketing of Products of Aviva Life Insurance is the second most important
responsibility next to the recruitment of agent advisors in the organisation. If the
manager is able to properly market the products of the organisation either directly
or indirectly, half of his job is done. During my internship program, i was
involved in marketing and selling the produts of Aviva Life Insurance with my
Sales Manager and the Associate Partner. This enabled me to get a first hand
experience and learning of this important function, which will be very helpful my
future.
The survey was conducted on the people of Delhi. The main objective behind the
survey was to find out the factors which motivate the peple to choose Aviva Life
Insurance.




42
2.3 Scope of the Study
To understand the...
1. Philosophy of customer orientation
2. Firms to uncover customer needs first
3. Coordinate all their activities to satistfy those needs
4. Marketing research is vital to maintaining and improving a companys
overall competitiveness.
5. Understanding the external environment helps to intelligently plan for the
future
6. Many firms continually collect and evaluate environmental information to
identify future market oppurtunities and threats.
7. Nature of its product
8. Ways to promote their product
9. Will identify whether the marketing mix is effective enough to maximise
the benifits to the firm from available oppurtunities.
10. Many successful products launches were preceded by extensive marketing
research.

43
COLLECTION TOOLS
QUESTIONNAIRE
A questionnaire is a structured technique for data collection consisting of a series
of question, written or verbal, to which a respondent replies , is interpret as
questionnaire.

MODE OF DATA COLLECTION
The data has been collected through filling up of the questionnaire from different
various segments of the society and interviewing them about their various options
of investments.

SAMPLE SIZE











Research Undertaken

Primary
Research

Secondary
Research
Indepth
Interview
Questionnaires
for employees

Internet
browsing
Reference
Books

44







Chapter-3
Conceptual Discussion










45
The survey was conducted on the people of Delhi. The main objective behind the
survey was to find out the factors which motivate the peple to choose Aviva Life
Insurance and also to find out how the organisation can help their customers. The
survey was carried out on as sample size of 100 people. It was a questionnaire-
based survey in which I personally sat with each and every sample and discussed
the various question.
This practice though time consuming help me in bringing out the best results as I
could not get the most intriguing answers and also people felt more comfortable
in giving genuine feed back and suggestion. The survey was carried for over a
period of one month and each was an enriching experience as each day the people
had some enriching experience to share. During this period, I covered every
segment of the society, i.e i tried to cover some young age people, some middle
age and also those who were nearer to their retirements. The survey also gave me
an oppurtunities to interact with a good number of people.
I also coducted my survey with some of the agent and advisors of Aviva Life
Insurance. They revealed some interesting facts about the motivational needs and
expectstions of the agent advisors. More than 60% of the advisors who work with
Aviva Life Insurance currently have their own business or other job and the
primary reason why they have joined Aviva Life Insurance is extra money.
The gragh below shows the various factors which motivates the agent advisord:

46

Fig 1.1
The two most successful producys of Aviva Life Insurance are Whole Life Plan
and Life Maker Plan, the former being the risk cover plan and the latter being the
investment plan. On asking to the existing customers of Aviva Life Insurance,
there was a miwed response where 60% of the people feel that products are good
enough while the remaining 40% say that the produnct range are not enough.
Product Range of Aviva Life Insurance

Fig 1. 2

47














CHAPTER 4

DATA ANALYSIS










48
COMPARISION AND ANALYSIS

1. Comparision of the distribution of occupation of the
respondents.

Fig1.3
Analysis
18 respondents belonged to the employee in the private sector, 62 belong
to the employee in the private sector, 14 are self employed and 6 are in
the other category.
The average score received was calculated by adding the score given by
each respondent divided by the total number of respondent. Also it was
noted that in case of LIC there were total of 13 respondents who give
rating of 5 or less than 5 but the same in case of Aviva Life Insurance were
only 3.

Emp.
(Pvt.sector)
62%
Emp.
(Pubic.sector)
18%
Self -
employed
14%
others.
6%

49
2. Comparison of the effectiveness of means of communication

Advertising Trends DSAs
Aviva Life
Insurance
34 4 26

Table 1.4






0
5
10
15
20
25
30
35
40
Advertising Trends DSAs
Advertising
Trends
DSAs

50
3. Which marketing srategy would you prefer?

Fig 1. 4




INTERPRETATION
In the above figure all the respondents marked more than one option
given in the questionnaire advertisements in print media, television,
radio etc, and 11 responses went in favor of word of mouth
communication through friends and relatives. Of the total respondents
of Aviva Life Insurance, 34 responses went in favor of advertisements, 26
went in favour of DSAs, and only 4 went in favor of friends and
relatives.

HDFC SLIC
0
5
10
15
20
25
30
35
Advt. Frends DSAs
Advt. Frends DSAs

51
4. Comparision of incentive schemes
High
satisfied
Satisfied Moderate Unsatisfied Highly
unsatisfied
LIC
24 7 9 4 2
Aviva Life
Insurance
26 10 6 4 6

Table1.

Fig 1. 5
LIC
Aviva
0
5
10
15
20
25
30
High
satisfied
Satisfied Moderate Unsatisfied Highly
unsatisfied
LIC Aviva

52
INTERPRETATION
Of the total respondents of LIC (as shown in figure 4.10), 28 responded
that they are very much satisfied with the incentive schemes associated
with their policies, 7 were only satisfied with the incentive scheme, 9
were moderate with regards to the incentive scheme and 6 people were
either unsatisfied or highly unsatisfied with the incentive schemes.
However, of the total respondents of the Aviva Life Insurance, 24 were
highly satisfied with the incentive scheme associated with their life
policy while onl y 6 people were highly unsatisfied with regards to the
same.


53
5. Are you interested in products offered by the Aviva Life Insurance?
Yes 61%
No 22%
Will think 17%

Fig 1. 6
INTERPRETATION
The good thing is that at least the corporates were quite eager to find out what
Aviva Life Insurance has to offer whereas the major 39 % of the corporates were
not even interested in the products as they are quite satisfied by the LIC and they
are not in breaking their long relationship with them. The private players will
have to play a long battle in order to ensure that they are serious player in the
market. Basically corporates think that its too early to invest in private companies
as they have just entered the scene and they are unsure of the security they will
have about their investment
61%
22%
17%
Yes
No
Will think

54
6. Are you satisfied with your present insurer?

YES 95%
No 5%


Fig1.7

INTERPRETATION
Here is where the challenge is. Inevitably most of the players are very satisfied
with their present insurer which makes it more tough for the private players to
attract the corporates. The remaining 5 % are also not very dissatisfied by the
services but they are just open to new avenues and are looking forward that
private companies come with good offers so that they may shift to them. Thus
private players will have to be very proactive and in this regard since LIC is the
leader and Aviva Life Insurance is lagging behind its competitors in terms of
competition.

95%
5%
0%
20%
40%
60%
80%
100%
Yes No
Yes
No

55
7. Where would you like to insure if given chance?

LIC - 60
ICICI - 10
Aviva Life Insurance - 15
TATA AIG - 9
SBI - 8
KOTAK MAHINDRA - 2


Fig 1.8

INTERPRETATION
Thus we see that the companies are comfortable in having business with govt.
owned companies as they feel its safe & secure to have business with them which
is followed by Aviva Life Insurance and then followed by ICICI & TATA AIG as
0
20
40
60
L
I
C
S
B
I
T
A
T
A

A
I
G
I
C
I
C
I
H
D
F
C

S
L
I
C
K
O
T
A
K

M
A
H
I
N
D
R
A
60
8
9 10
15
2

56
the name TATA is associated with it which commands huge premium in the
market .

8. What is peoples main concern while taking a insurance policy?

Security 70%
Returns 10%
Tax rebate 20%



Fig 1. 9
INTERPRETATION

TAX
REBATE
20%
SAVINGS
70%
SECURITY
10%
TAX REBATE
SAVINGS
SECURITY

57
People invest in insurance mainly because of security concern.




Fig 1. 10

INTERPRETATION

Here we found that 40%people are very highly satisfied ,30% of people
are highly satisfied,11% are moderate ,10% of people are low
satisfied,9% are very low satisfied.


Very High,
40%
High, 30%
Moderate ,
11%
Low, 10%
Very Low,
9%
9. Please express your opinion for the premiums
paid for the above policy?
Very High
High
Moderate
Low
Very Low

58
10. Are you satisfied with insentive associated wiyh your policy?

Fig 1. 11

Interpretation
30% people are highly satisfied,40% satisfied,15%are moderate,5% are
unsatisfied and 10%are highly unsatisfied.
0%
5%
10%
15%
20%
25%
30%
35%
40%
Highly
satisfied
Satisfied Moderate Unsatisfied Highly
Unsatisfied
30%
40%
15%
5%
10%
6). Are you satisfied with the incentives associated with your policy?
Highly satisfied
Satisfied
Moderate
Unsatisfied
Highly Unsatisfied

59
11. What other plans or flexibility you expect from insurance
companies?



Fig 1. 12
Interpretation
50%people are satisfied with investment pattern, 30% are satisfied with
more returned and only 20% people expect complimentary gifts.

30%
20%
0
50%
0

More returns
Complementary
gifts
Investment
Pattern

60
12. Role of union in the organization.
Fig 1.13

There is hardly any presence of union in the organization. This industry deals with
software productions. As a result most of the employees are either engineer or
post graduate software specialist. The workers performing operational level to
decision making are all well educated employees. So for the welfare of the quality
of work life and other activities related to the welfare of the workers, they are not
take into such consideration. Basically this is an industry related to special kind of
production. It is not like that of automobile or any other heavy production
industry where there is working class like labor. In those industry union exit
because the quality of work life is something different. Their heavy work relating
to manual function is present. So I dont think there is any need arise for the
presence of union.
So, an industry like this has no union. It is one of the important parts of my study
of any kind of software industry, where there is no union. From this kind of
research I can infer that in recruitment and selection process which is done by the
Bharti Axa Life Insurance like this (software industry), but not by employees
association.
43%
57%
yes
no

61
13. Changes occurred in Recruitment and Selection Procedure

In his question I was looking for any sort of changes at list during the preceding
two years. Every year there are some changes take place in recruitment and
selection process for better result and production. It is such an industry where in
every moment some innovation takes place. So the Aviva Life Insurance needs
some new skills to achieve the required fulfillment.
For the last couple of years the Aviva Life Insurance is focusing more on campus
interview to give more chances to the fresher. This resembles that the Aviva Life
Insurance recruitment policy, the Avivas needs for greater committed employee
and also motive behind concentrating more on fresher, as it is the belief from
Avivas perspective to be working smartly with full enthusiasm. They are also
updated with the current concepts, which are required in software industry.
The Aviva Life Insurance is dealing in making, developing and maintaining the
software packages. The companies target audience is foreign market. Most of the
customers come from abroad. For these very reason employees has to conduct
project in foreign countries. Thats why freshers are targeted to fill up the
vacancies. It is also experienced, as the Aviva Life Insurance is dealing with
creating software packages, developing and maintaining the software, so it the
obvious need for the Aviva Life Insurance is to effectively deal with the foreign
market . Most of the Avivas customers are from abroad. For this the employees
has to conduct project in the foreign countries, which makes way for the freshers
to upgrade their career growth opportunity quiet wide open.

62

Fig 1.14
14 Satisfaction level of customers

Fig 1.15
Interpretation
All the customersare satisfied with the services offered by Aviva Life Insurance
are 70%. They say Aviva Life Insurance is good in customer reletionships.


72%
28%
Yes
No
70%
30%
yes
no

63
15. Well defined policy




Fig 1.16

INTERPRETATION
According to a survey of 100 customers, 56 of them were agree on having a well
defined policy in the organization,24 were disagree and the rest 20 were not sure
or cant say.





0
10
20
30
40
50
60
Agree Disagree Cant say
Agree
Disagree
Cant say

64









Chapter 5


FINDINGS AND

RECOMMENDATIONS








65
FINDINGS

It is still finded that people are not aware of services provided or rendered
by Aviva Life Insurance, it is because lack of proper proportional
activities or adverrtisement. Television is most impoetant source for
advertisement, but not the only and reliable source. Aviva Life Insurance
also follows the same strategy.
Customers are very much aware of the type of products ornfinancial
advice given to them. But still it has been noticed that people do not know
the exact brnrfits of the products. But however these are very less in
number.
Aviva Life Insurance are very good in meeting with new people. They do
it by conopies, having, references with their existing customers.
Aviva Life Insurance is very tranparent with their products and the
customers.


66
RECOMMENDATIONS
More emphasis should be on promotional activities.
Plenty of advertisement should be done through T.V, Newspaper and
Radio as these medias are having maximum recall value.
Total financial planning and advice should be given to every customer.
More business opportunity seminars should be conducted to make people
aware of the offer given.
The company should quite frequently send their agent to the customer so
that they should be aware of the latest offer.
The company should attempt to open more and more of its branches in the
country so as to promote their product publicity.




67











ANNEXURE












68
Sample Questionnaire

Q.1 Do you have any life insurance policies?
Yes [ ] No [ ]

If yes -
Name of the Company ________________
Name of the plan _________________
Annual Amount of premium .
Term of plan _________________

Are you satisfied with present insurer?
A) YES B) NO .

Q.2 Which are the main issues that you take into consideration while
purchasing any life insurance policy?
a) Security [ ]
b) Returns [ ]
c) Tax saving [ ]
d) Others please specify_________


Q.3 Are you aware of Unit Linked Insurance Plans offered by various
companies in India?
A)ICICI [ ] B) KOTAK MAHINDRA [ ]
C) TATA AIG [ ] D) BAJAJ ALLIANZ [ ]
E) LIC [ ] F) BIRLA SUNLIFE [ ]
G) AVIVA LIFE INSURANCE [ ]

69
Q.4 Do you have a life insurance policy from Aviva Life Insurance?
a) Yes [ ] b) No [ ]

Q.5 If yes, which policy have you taken?
_________________________________________________

Q.6 Does this policy satisfy your financial needs? (Please rate on
the scale of 1 to 10 with one being least satisfied)


Q.7 Please express your opinion for the premiums paid for the above
policy?
a) Very high [ ] b) High [ ] c) Moderate [ ] d) Low [ ]
e) Very Low [ ]

Q.8 How do you come to know about this policy? (Please tick).
a) Advertisements [ ] b) Friends and relatives [ ]
c) Direct selling agents [ ].
d) Others (please specify)_____________________.

Q.9 Are there any incentives (tax benefits or Bonuses) associated
with this policy? (Please give appropriate details about it).
___________________________________________________________
___________________________________________________________

70
10. Are you satisfied with the incentives associated wi th your policy?
a) Highly satisfied [ ]. b) Satisfied [ ] c) Moderate [ ]
d) Unsatisfied [ ] e) Highly Unsatisfied [ ].

Q.11 If you are given a choice, which one you take:
A) ICICI B) OM KOTAK MAHINDRA
C) TATA AIG D) Aviva Life Insurance
E) LIC F) SBI

Q12 What other plans or flexibility you expect from Insurance companies?

A) More returns [ ]
B) Complementary gifts [ ]
C) Investment Pattern [ ]

Q13 Which company will you prefer while takiing an insurance policy?

LIC - [ ]
ICICI - [ ]
AVIVA LIFE INSURANCE - [ ]
TATA AIG - [ ]
SBI - [ ]
KOTAK MAHINDRA - [ ]


Q14 Are you satisfied with your present insurer?
YES [ ]
No [ ]

71









BIBLIOGRAPHY












72
Magazines
Mehra, Puja, India Today (27th MAY, 2009) PAGE 43
Sinha, Prabhakar, The Times Of India (16
th
MAY, 2009) PAGE 1
Brunch(16
th
July 2009)

Websites
http://www.avivaindia.com
http:// www.standardlife.com
http://www.sebi.com
http://www.nse..com