RECRUITMENT & SELECTION

OF
FINANCIAL CONSULTANT
OF

A report submitted to Department of management in the partial fulfillment for

the PGDM
(Post Graduate Diploma in Management)
(Dual specialization in Marketing and Human Resource)

KNS WORLD MANAGEMENT COLLEGE

Approved by AICTE & Ministry of HRD, Govt. of India
Gurgaon, Haryana

Submitted To

Submitted By

Mrs: Noopur Batra

Abhishek Kumar Keshri

This is to certify that the summer training was done on RECRUITMENT

AND SELECTION OF FINANCIAL CONSULTANT OF HDFC
STANDARD LIFE INSURANCE submitted to World College of Technology
& management, Gurgaon by Abhishek Kumar Keshri in partial fulfillment
of the requirement for the award of degree of PGDM is a bonafide work
carried out by him under my supervision and guidance. This work has not
been submitted anywhere else for other degree/diploma. The original work
was carried during 15/06/2013to 30/07/2013 in HDFC STANDARD LIFE
INSURANCE

Mr.VISHAL SAWHNEY
Manager
(Channle development)
HDFC STANDARD LIFE INSURANCE
Date: ----------------------

H.N.-2955 Street N.-12

Ranjeet Nagar New Delhi 110008

ACKNOWLEDGEMENT

At the very outset, I would like to take golden opportunity of thanking those persons
without whose guidance, co-operation, inspiration and suggestion it would have been
impossible for me to accomplish the project successfully.
First of all I would like to thank Mr. Vishal sawhney. Channle development Manager of
HDFC SLI, for his kind guidance and necessary support during the study.
I also take this opportunity to extend my heartfelt gratitude to others who directly of
indirectly helped me, by providing me necessary information required for successful
completion of the project.

Abhishek Kumar Keshri

Email: - abhin64@gmail.com

DECLARATION

This project well bred RECRUITMENT

& SELECTION OF FINANCIAL

CONSULTANT OF HDFC STANDARD LIFE INSURANCE

presence proposes

byme in the preferential discharge of obligations for the reward of PGDM

Degree from KNS World Management College Gurgaon, affiliated to
AICTE,
I somewhere different for any other degree, credential have not
submitted this effort.
Whole snitches of tidings and assist are genuine and have been
accredited in the report.

Abhishek Kumar Keshri

PGDM 01/KNSWMC/01

Table Of Contents
Executive Summary

Objective of the study

Literature review
Introduction
The promoters
The Company and its product line
Features of the product
Marketing strategy
Share market position
Competitors
Future prospects
National international image
Major problems
Conclusion

EXECUTIVE SUMMARY:-

Project Title: RECRUITMENT

Name of the organization:

& SELECTION OF FINANCIAL CONSULTANT

HDFC SLI

Place of the work: New friends colony, New Delhi

Organizational Guide: Mr.Vishal Sawhney
Duration: 15th may to 15th July
Major objectives:

To study of the market .

To study of the perfect market for HDFC SLI.

To approach to the interested people towards HDFC SLI.

Research Methodology:
Market research/survey
Area of research
I have done the research in Nehru placce, southwest Delhi, Faridabad, central Delhi
and many other places in Delhi.
Major Findings:

There are more then one people live in Delhi

Only more then 25% people have the knowledge of investment in HDFC SLI.

There are many big and first insurance company in Delhi and its the heart of India.

CP

HDFC STANDARD LIFE INSURANCE

1-INTRODUCTION:HDFC Standard Life Insurance Company Ltd. offers a range of individual and group
insurance solutions. It is a joint venture between Housing Development Finance
Corporation Limited (HDFC Ltd.), Indias leading housing finance institution and one of
the subsidiaries of Standard Life plc, leading providers of financial services in the United
Kingdom. The Standard Life group has been looking after the financial needs of customers
for over 180 years. It is a leading pensions provider in the UK. Both the promoters are
well known in their respective fields of activities. For more details you may log on to
http://www.hdfcinsurance.com

Mr. Deepak S Parekh is the Chairman of the Company. He is also the

Executive Chairman of Housing Development Finance Corporation Limited
(HDFC Limited). He joined HDFC Limited in a senior management position
in 1978. He was inducted as a whole-time director of HDFC Limited in
1985 and was appointed as its Executive Chairman in 1993. He is the
Chief Executive Officer of HDFC Limited. Mr. Parekh is a Fellow of the
Institute of Chartered Accountants
. Mr. Keki M Mistry joined the Board of Directors of the Company in
December, 2000. He is currently the Managing Director of HDFC Limited.
He joined HDFC Limited in 1981 and became an Executive Director in
1993. He was appointed as its Managing Director in November, 2000. Mr.
Mistry is a Fellow of the Institute of Chartered Accountants of India and a
member of the Michigan Association of Certified Public Accountan

Mr. Alexander M Crombie joined the Board of Directors of the Company

in April, 2002. He has been with the Standard Life Group for 34 years
holding various senior management positions. He was appointed as the
Group Chief Executive of the Standard Life Group in March 2004. Mr.
Crombie is a fellow of the Faculty of Actuaries in Scotland

Ms. Marcia D Campbell is currently the Group Operations Director in the

Standard Life group and is responsible for Group Operations, Asia Pacific
Development, Strategy & Planning, Corporate Responsibility and Shared
Services Centre. Ms. Campbell joined the Board of Directors in November
2005
Mr. Keith N Skeoch is currently the Chief Executive in Standard Life
Investments Limited and is responsible for overseeing Investment Process
& Chief Executive Officer Function. Prior to this, Mr. Skeoch was working
with M/s. James Capel & Co. holding the positions of UK Economist, Chief
Economist, Executive Director, Director of Controls
and Strategy HSBS Securities and Managing Director International
Equities. He was also responsible for Economic and Investment Strategy
research produced on a worldwide basis. Mr. Skeoch joined the Board of
Directors in November 2005
Mr. Gautam R Divan is a practising Chartered Accountant and is a Fellow
of the Institute of Chartered Accountants of India. Mr. Divan was the
Former Chairman and Managing Committee Member of Midsnell Group
International, an International Association of Independent Accounting Firms
and has authored several papers of professional interest. Mr. Divan has
wide experience in auditing accounts of large public limited companies and
nationalised banks, financial and taxation planning of individuals and
limited companies and also has substantial experience in structuring
overseas investments to and from India
Mr. Ranjan Pant is a global Management Consultant advising CEO/Boards
on Strategy and Change Management. Mr. Pant, until 2002 was a Partner
& Vice-President at Bain & Company, Inc., Boston, where he led the
worldwide Utility Practice. He was also Director, Corporate Business
Development at General Electric headquarters in Fairfield, USA. Mr. Pant
has an MBA from The Wharton School and BE (Honours) from Birla
Institute of Technology and Sciences
Mr. Ravi Narain is the Managing Director & CEO of National Stock
Exchange of India Limited. Mr. Ravi Narain was a member of the core team

to set-up the Securities & Exchange Board of India (SEBI) and is also
associated with various committees of SEBI and the Reserve Bank of India
(RBI).
Mr. Deepak M Satwalekar is the Managing Director and CEO of the
Company since November, 2000. Prior to this, he was the Managing
Director of HDFC Limited since 1993. Mr. Satwalekar obtained a Bachelors
Degree in Technology from the Indian Institute of Technology, Bombay and
a Masters Degree in Business Administration from The American
University, Washington DC
Ms. Renu S. Karnad is the Executive director of HDFC Limited, is a
graduate in law and holds a Master's degree in economics from Delhi
University. She has been employed with HDFC Limited since 1978 and
was appointed as the Executive Director in 2000. She is responsible for
overseeing all aspects of lending operations of HDFC Limited

2 THE BACKGROUND

HDFC LIMITED
HDFC was incorporated in 1977 with the primary objective of
meeting a social need - that of promoting home ownership by
providing long-term finance to households for their housing
needs. HDFC was promoted with an initial share capital of Rs.
100 million.

Business Objectives

The primary objective of HDFC is to enhance residential

housing stock in the country through the provision of
housing finance in a systematic and professional manner,
and to promote home ownership. Another objective is to
increase the flow of resources to the housing sector by
integrating the housing finance sector with the overall
domestic financial markets..

Organisational Goals
HDFC's main goals are to
a) develop close relationships with individual households,
b) maintain its position as the premier housing finance
institution in the country,
c) transform ideas into viable and creative solutions,
d) provide consistently high returns to shareholders, and e) to
grow through diversification by leveraging off the existing client
base.
HDFC operates through 75 location throughout the country with
its Corporate Headquarters in Mumbai,India.HDFC also has an
international office in Dubai, U.A.E.,with service associates in
Kuwait, Oman and Qatar.

STANDARD LIFE GROUP

The Standard Life Assurance Company ("Standard Life") was

established in 1825 and the first Standard Life Assurance
Company Act was passed by Parliament in 1832. Standard Life
was reincorporated as a mutual assurance company in 1925.The
Standard Life group originally operated only through branches or
agencies of the mutual company in the United Kingdom and
certain other countries. Its Canadian branch was founded in 1833
and its Irish operations in 1838. This largely remained the
structure of the group until 1996, when it opened a branch in
Frankfurt, Germany with the aim of
exporting its UK life assurance and pensions operating model to
capitalise on the opportunities presented by EC
Directive 92/96/EEC (the Third Life Directive) and offer a
product range in that market with features which local providers
were unable to offer. In the 1990s, the group also sought to
diversify its operations into areas which complemented its core
life assurance and pensions business, with the intention of
positioning itself as a broad range financial services provider.

JOINT VENTURE
HDFC Standard Life Insurance Company Ltd
HDFC Standard Life Insurance Co. Ltd was incorporated on 14th
august 2000. It is a joint venture between HousingDevelopment
Finance Corporation Limited (HDFC Ltd.) India And UK based
Standard Life Company. Both the joint venture partners being
one of the leaders in their respective areas came together in this
81.4:18.6 joint venture to form HDFC Standard Life Insurance
Company Limited. Mr. Deepak Satwalekar is the MD and CEO of
the venture.HDFC Standard Life brings to you a whole range of
insurance Solutions be it group or individual or NAV services for

Corporations, they can be easily customized as per specific

needs.
HDFC Standard Life Insurance India boasts of covering
around 8.7 lakh lives by March'2007. The gross incomes
standing at a whopping Rs. 2, 856 crores, HDFC Standard Life
Insurance Corporation is sure to become one of the leaders and
the first preference for any life insurance customer.

VISION STATEMENT
The most successful and admired life insurance company, which
mean that we are the most trusted company, the easiest to deal
with, offer the best value for money, and set the standards in the
industry.In short, The most obvious choice for all.
Admired mean the company should be known for its standards.
Not only customers, but also the competing life insurance
companies should benchmark against HDFC SLI a nutshell, even
the IRDA should give an example of
HDFC SL as a guiding principle.

2- THE PROMOTERS

Joint ventures and associated undertakings

Country of registration or Share class Name incorporation
and proportion held Year end Nature of business

Heng An Standard Life China Ordinary shares 50.0% 31 Dec Life

assuranceHDFC

Standard

Life

Insurance

Company

Limited**

IndiaOrdinary shares 18.6% 31 Mar Life assuranceHDFC Asset

Management Company Limited* **
India Ordinary shares 49.9% 31 Mar Investment management*
Owned by a subsidiary undertaking of the Company.**
The Company also has a 14.5% interest in Housing Development
Finance Corporation Limited (HDFC Limited). HDFC Limited owns
81.4% and 50.1%of HDFC Standard Life Insurance Company Limited
and HDFC Asset Management Company respectively. This gives
theGroup an effective interest in thesecompanies of 30% and 57%
respectively. The Company does not exercise dominant influence
over either of these joint ventures.The current operations of these
companies are not significant in relation to the accounts of the
Group.

Strength:A wide geographic reach, growing clients, and a diversified portfolio of

products and services.
.
Premium Payment

This section gives you all the details that you may require to pay your premium and make
it a hassle free experience. Along with various premium payment options currently
available to you, we have also drawn up a Checklist of details that you will need in case you
are paying through cheque or demand draft.

premium:

At any of Our branches

7 Easy Ways to pay your

You can deposit Cheque / Demand Draft drawn in favour of HDFC SLIC at any
of Our branch during the following business hours
Monday to Friday : 9.30 AM to 4.30 PM (For Cash)
Monday to Friday : 9.30 AM to 5.00 PM (For Cheque)
Saturday
: 9.30 AM to 12.00 Noon (For Cash & Cheques)
Closed on Sundays

Postage / Courier
You can send cheques and demand drafts drawn in favour of HDFC SLIC to any of our
branch offices

Online Payment
You can make online payment of premium anytime and from any location, at a click of the
mouse by using the Online payment facility. It is currently offered to all the policyholders
who are registered users of billjunction.com or have net banking facility with any of the
following banks - HDFC Bank, ICICI Bank, Axis Bank, State Bank of India, Punjab
National Bank, Union Bank of India, Bank of Baroda

Drop Boxes
You can drop cheques and demand drafts drawn in favour of HDFC SLIC into any of our
drop boxes installed at various locations in various cities

Electronic Clearing Service (ECS) or Auto Debit facility of RBI

You can also pay renewal premiums through Electronic Clearing Service (ECS) of Reserve
Bank of India (RBI) presently available in following 61 cities

Agra, Ahmedabad, Allahabad, Amritsar, Aurangabad, Bangalore, Bardhaman, Baroda,

Bhilwara, Bhopal, Bhubaneshwar, Calicut, Chandigarh, Chennai, Cochin, Coimbatore,

Dehradun, Delhi, Durgapur, Erode, Gorakhpur, Guwahati, Gwalior, Hubli, Hyderabad,

Indore, Jabalpur, Jaipur, Jalandhar, Jammu, Jamshedpur, Jodhpur, Kanpur, Kolhapur,
Kolkata, Lucknow, Ludhiana, Mangalore, Mumbai, Mysore, Nagpur, Nellore, Panjim,
Patna, Pune, Raipur, Rajkot, Ranchi, Salem, Shimla, Sholapur, Siliguri, Surat, Thirupur,
Tirupati, Trichur, Trivandrum, Udaipur, Varanasi, Vijaywada, Vizag

Standing Instructions (SI) Mandate

You can also pay your renewal premium through a Standing Instructions Mandate if you
have an account with HDFC Bank anywhere in India

Credit Card Facility

You can pay your renewal premium through your HDFC Bank credit card.

Checklist while paying your renewal premium through

cheque/ demand draft

your policy number and name correctly on the reverse side of the cheque/ demand
draft
We do not accept Post Dated Cheques (PDCs) beyond the next banking day from
date of receipt
In case of any overwriting on your cheque, please countersign the same
As per RBI guidelines, Non MICR Cheques may not be acceptable at few locations.
In this scenario, please contact your nearest branch for more details

Unit Linked Polices you can pay using Local Cheques/ Demand Drafts
other policies you can pay using either Local or Outstation cheques or Demand
Drafts

Weaknesses:-

Lapsation & Revival

Your renewal premium should reach us by the due date specified in the premium
reminders. It is always advisable to pay on time so that your valuable policy benefits can
continue.
However we do understand that there may be times when you may not be able to pay the
renewal premium by the due date. Therefore we allow for some additional number of days
from the due date, which is specified in your policy document, to help you make your
premium payment.
In case we still dont receive your premium payments by the end of the above mentioned
period, we would do either one of the following:

Lapse the policy if you havent paid premiums for the first 3 policy

years

Either of these may mean loss/reduction of valuable benefits of your policy. refer to
your policy document for details.
We do, however, allow you to restore the original benefits for a Lapsed
or
a Paid up policy under certain conditions.

On receipt we will send you the details of amount, that you will have to pay towards
revival. This amount may include all or some of the outstanding premiums, revival interest
and revival processing charges

If your policy is lapsed or paid-up for more than six months or lapsed due to any reasons
like illness, accidents etc. you may need to submit a Personal Health Statement

we reserve our right to impose some new terms and conditions at the time of revival
decided on a case-to-case basi

3-THE COMPANY AND ITS PRODUCT LINE:-

COMPETITOR BY PRODUCT

Bancassurance is the selling of insurance

products by a bank. For HDFC Standard Life Insurance, bancassurance and other
alternative channels contribute around 42 per cent of the business.
The Bancassurance partners of HDFC Standard Life Insurance Co Ltd are HDFC, HDFC
Bank India Limited, Union Bank of India, Indian Bank, Bank of Baroda, Saraswat Bank
and Bajaj Capital.

HDFC BANK

HDFC Bank is the largest insurance distributor of HDFC Standard Life

Insurance.

INDIAN BANK

Indian Bank enters into a strategic tie-up with HDFC Standard Life Insurance
Company Ltd .
INDIAN BANK with over 90 years of standing in the financial market with the
reputation for excellent customer service, has entered into a strategic tie-up with
HDFC Standard Life Insurance Company Ltd., the first in the private sector to
receive the Certificate of Registration for foray into Life Insurance business for
distribution of latters insurance products. A Memorandum of understanding has
been signed by the Bank with the Insurance Company on 8th February 2001 to this
effect. The Bank has to its strength 1377 branches spread across the country with
ready built infrastructure and the expertise in marketing financial products.
Initially the insurance products will be marketed through select branches in the
South where the Bank has strong presence. The insurance products from HDFC
Standard Life, will be competitive and customer friendly. The tie-up would
benefit the Bank's customers, as they will have wider choice of life insurance
policies at competitive premium

FINANCIAL POSITION OF HDFC SLIC IN FY 2007-08

HDFC Standard Life, one of the leading private life insurance
companies in India declared its annual results for the
financial year ending March 31, 2008. The company
generated New Business Premium Income of Rs. 2,685
crores in FY2007-08 registering a year-on-year growth of
63%. The growth was primarily driven by the success of the
company's initiative on structured sales processes based on
customer needs and their assessments.

Highlights of Financial Year 2007-08

New Business Premium Income up by 63% to Rs. 2,685 crores. Total Premium Income is
up by 70% at Rs 4,859 crores as against Rs. 2,856 crores in FY2006-07
Alternate Channels including bancassurance has recorded an impressive growth of
over 63% to contribute 41% to the Effective Premium Income (EPI).
Group business funds under management have increased to Rs. 959 crores,
registering a growth of83% over FY2006-07
The average premium has increased to Rs. 33,000.
Company products and services are now available in 726 cities and towns across
the country. Strength of Financial Consultants has increased to 1,45,000

Knowledge Center
Our Knowledge Centre is your personal resource for information that can help you understand
the basics of insurance and help you make an informed decision about buying a policy. This
section includes details on insurance terms and concepts, helps you analyse plans for your
various needs and lends meaning to some of the insurance jargon that you may encounter

Life Stages
Your insurance need will change as your life does, from starting to work to enjoying
your golden years and all the stages in between. Each one of these stages may pose a
different insurance need/cover for you. In this section, we have drawn up the basic life
stages and help you analyse various insurance needs accordingly.

STAGE 1

Young and Single

An important stage where one lays down the foundation of a successful life ahead. Take
advantage of the time and power of compounding to ensure that you build up your dreams. Start
saving early.

Your needs

Save for a home and wedding

Tax Planning
Save for Golden years

STAGE 2

Just Married
Marriage brings about a significant change. New dreams and new opportunities also bring in
a additional responsibilities. While both of you look forward to a happy and secure life , it is e q
ually important to ensure that eventualities dont come in the way of shaping your dreams.

Your needs

Planning for home / securing your home loan liability

Save for vacation
Save for your first child

STAGE 3

Proud Parents
Once you have children, your need for life insurance is even more. You need to protect your
family from an untoward incident. Ensure your protection umbrella takes into account the
future cost of securing your childs dream. You will want life to go on for your loved ones, and
having enough life insurance is a way to help ensure that.

Your needs

Provide for childrens education

Safeguarding family against loan liabilities
Savings for post-retirement

STAGE 4

Planning for
Retirement
While you are busy climbing the ladder of success today, it is important for you to take time and
plan for your life after retirement. Having an early start for retirement planning can make a
significant difference to your savings. Think about your golden years even before you have
reached them. The key is to think ahead and plan well using your time and money.

Your needs

Provide for regular income post retirement

Immediate Tax benefits
Lead a secure, independent and comfortable life style in your retirement years

4 FEATURES OF THE PRODUCT & BENIFIT

HDFC Standard Life: A good cover

The opening up of life insurance has given finally given a level-playing field to the private
sector.
A. N. Shanbhag , February 19, 2002
Competition in the market always proves favourable to the consumer. So it is in the case of
life insurance. After what seems like almost an eon, finally the doors of the life insurance
sector were thrown open to the private sector players last year. The Finance Act, 2001 has
thankfully cleared quite a lot of cobwebs giving a level-playing field to both the sectors.
Notable amongst the new entrants is HDFC Standard Life Insurance, a joint venture
between the global experience of Standard Life of UK and our own HDFC.
Standard Life, founded in 1825 is amongst the forerunners of the insurance industry
worldwide, having a presence not only in the UK but also Ireland, Spain, Germany, Austria
and Canada. Voted as the 'company of the decade', Standard Life manages assets over US$
119 billion.
HDFC does not need any formal introduction, so strong is its brand already. After having a
significant presence in the housing finance, banking and MF industries, this JV marks its
foray into the life insurance sector.
Private sector players would only be too aware that this is the proverbial first step of the
thousand-mile journey that lies up ahead. Contending for a piece of market share with a
Goliath that LIC is, will not be an easy task unless they offer qualitative and innovative
products at an affordable price. That they would be pulling out all the stops to attract
customers is not in doubt. Hence, this is as good a time as any to pay attention and see
what is on display.

The strategy
Too many options simply confuse the users whereas too few will surely turn them away.

HDFC Standard Life has thankfully introduced products with basic premiums serving
specific needs of all. Most products have some additional optional value adding benefits at
marginal additional premiums. The proponent is free to choose any of the basic products
along with none or some of the options as per his needs.
Before examining the base products, let us see the options.

Accidental Death Benefit (ADB)

ADB provides an additional amount equal to the basic sum assured (SA) in case of the
death of the policyholder due to an accident, within 90 days of the accident.

Critical Illness (CI) Benefit

CI provides an additional amount equal to the SA on diagnosis of the any one of the 6
specified critical illnesses --- cancer, coronary artery bypass graft surgery, heart attack,
kidney/renal failure, major organ transplant (as recipient) and stroke. The sum assured is
payable if the policy holder survives for 30 days after the date of the claim.

Double Sum Assured (DSA) Benefit

DSA provides an additional amount equivalent to the basic SA in case of the death of the
policyholder.

Waiver of Premium (WOP) Benefit

WOP basically waives the premium in case the policyholder becomes totally disabled.
However, the waiver is applicable only during the period of the disability.

Accelerated Sum Assured (ASA)

Upon diagnosis of any of the specified six critical illnesses, ASA provides an amount equal
to the amount payable on death.
These options must be selected at the outset while choosing the product.

Now the base.

Single Premium Bond This is basically a hybrid of insurance and investment. The life cover
is quite low and therefore it functions almost like a deep discount bond. For a single
upfront premium (read investment), the policy pays a lump sum (read maturity value) and
its tenure of 10, 15, 20 years or more at 5-year intervals. A compound revisionary bonus is
declared every year, which would be added to the policy upon its anniversary. The future
bonuses though are not guaranteed and are dependent upon the company's experience and
the conditions prevalent in the economy.
The minimum age for buying the policy is 18 years, the maximum being 70. The minimum
SA is fixed at Rs. 25,000, the maximum being Rs. 5,00,000.
Normally, a policy acquires a paid up value (and the related surrender value) after
premiums for 3 years are paid but in this case the holding period is specified to be just 6
months --- Excellent liquidity indeed!

Term Assuranc

plan

The SA is payable in the case of the death of the policyholder during the term but on
survival, there are no maturity benefits. Consequently, the premium rates are absolutely
the lowest. This is insurance in its purest form --- highest cover at lowest cost. There was a
crying need for easy availability of this product. HDFC Standard Life deserves kudos to
have catered to this need.
Amongst the optional benefits listed above, ADB, CI and ASA are available for this plan.

Money Back Plan

This plan pays periodic cash lump sums during the tenure of the policy. The lump sums,
essentially a proportion of the basic SA are paid at 5-year intervals. On survival, the basic
SA plus bonus less the cash lump sums paid earlier are provided. However, in the case of
the demise of the policyholder, the basic SA plus any bonus is provided to the family. This
would be over and above any earlier payouts.

The schedule of cash lump sums as a percentage of the basic SA is detailed in the table.
Moreover, CI, DSA, ADB and WOP can be opted for if so desired.

Endowment Assurance Plan

As is normal with all endowments, on the death of the life assured during the term, the
beneficiary will get the SA. On survival, the policyholder gets the SA.
From amongst the optional benefits, CI, DSA, ADB and the WOP benefit are available
along with this plan. The indicative premiums for an SA of Rs. 1 lakh for a male life
assured for a period of 20 years are detailed in the table.

Loan Cover Term Assurance

This is a unique product meant as a safety net in case one has taken a loan to buy a house.
It is designed to help the family repay the outstanding loan in the case of the death of the
breadwinner.
For starters, it provides a lump sum on the death of the life assured during the term of the
plan. The difference in this case is that the lump sum is a decreasing percentage of the
initial SA. As the loan decreases, as per its payment schedule, the cover under the policy
decreases as per its own schedule.
There is a choice of paying the premium in yearly, half-yearly or quarterly modes or even a
single one time premium is payable. Amongst the optional benefits, ASA is available along
with this plan.

Group Term Insurance (GTI)

HDFC Standard Life also offers GTI, meant essentially for employees of an organisation.
GTI is extremely convenient for an employer as he can take insurance for all or certain
categories of employees. All members of a group, subject to some basic conditions are
eligible.
GTI is used basically to provide life insurance as part of the employee benefits. It can also
cover any housing or vehicle loan given by the employer to the employee.To sum A wise
man had said that the time to mend the roof is when the sun is shining. This is applicable to
life insurance too. Today as the breadwinner you are able to maintain a decent standard of
living for yourself and your family. If you want enough bread for the family even after the
death of the breadwinner, you should look at the Single Premium Bond. In other cases, life
insurance is an absolute necessity. Have a look at other products.

Money Back Plan

Money Back Plan

Total Policy
Term

Number of years from policy date

5

10

10

15

20

25

40%

15

30%

30%

20

25%

25%

25%

20%

20%

20%

20%

15%

15%

15%

15%

25
30

15%

Endowment Assurance Plan

Age
Years

Basic Policy

Additional Premium

Premium (Rs.)

For Optional benefits (Rs.)

CI

DSA

ADB

WOP

20

4771

304

322

136

236

30

4835

442

388

144

300

40

5098

925

641

156

475

50

5813

1890

1357

5 MARKETING STRATEGIE

MARKET CONDITION OF PRODUCT IN DELHI & NCR REGION

When it comes to study the market condition of HDFC

Standard Life Insurance, it is quite easy to see that there is
good demand for products, but the sale of Ulip products are
very good. The market share is about 65% with compare to their competitor.
REASON FOR THEIR GOOD CONDITION:
1. Consultants hold on the market
When it comes for the case of market, there is a clear and complete hold of HDFC SLIC
Consultants.
2.Quality
HDFC SLIC provides good quality of products, which is praised by most of the consumers.
The reason for 65% of the market cover by HDFC Standard Life Insurance is because of
quality of products.
3.Demand
Demand for the product of HDFC Standard life is very high in the societies.

4.Supply
Supply of product is also good, but in capturing whole market it take some time.

5 COMPETITORS

COMPETITORS BY COMPANY

MARKET SHARE POSITION

Life Insurance Corporation of Indias (LICs) market share has slipped by almost
4% to 83.3% from 87% market share last fiscal. However, in terms of number of
policies sold, LIC continues to dominate the Indian life insurance market with
about 91% market share.
In terms of group insurance schemes, LICs market share was at 72.2% after it

covered 4.9 lakh lives. Private players had 27.9% of the market covering 1.9 lakh
lives.
The 12 private players in the country together mopped up Rs 385 crore in
premium in the first two months selling over 2 lakh policies. ICICI Prudential Life
leads with market share of 5.9% It is followed by Birla Sunlife with a market share
of 2.6%, Allianz Bajaj (1.6%), Tata AIG (1.5%), HDFC Standard Life (1.4%) and SBI
Life (1.2%).
Each of the other private players like Aviva, Max New York Life, OM Kotak Life,
ING Vysya, AMP Sanmar and MetLife had less than 1% market share but posted
high growth in business. In terms of premium collection, ICICI Prudential mopped
up Rs 136 crore followed by Birla Sunlife (Rs 60 crore), Allianz Bajaj (Rs 37
crore), Tata AIG (Rs 35 crore), HDFC Standard Life (Rs 33 crore), SBI Life (Rs 27
crore).

Life Insurance Corporation Of India(LIC)

About 154 Indian insurance companies, 16 non-Indian companies and 75 provident were
operating in India at the time of nationalization of Life Insurance Industry. Nationalization
was accomplished in two stages; initially the management of the companies was taken over
by means of an Ordinance, and later, the ownership too by means of a comprehensive bill.
The Parliament of India passed the Life Insurance Corporation Act on the 19th of June
1956, and the Life Insurance Corporation of India was created on 1st September, 1956,
with the objective of spreading life insurance much more widely and in particular to the
rural areas with a view to reach all insurable persons in the country, providing them
adequate financial cover at a reasonable cost. 245 Indian and foreign insurers and
provident societies are taken over by the central government and nationalized. LIC
continues to be the dominant life insurer even in the liberalized scenario of Indian
insurance and is moving fast on a new growth trajectory surpassing its own past records.
LIC has issued over one crore policies during the current year. It has crossed the milestone
of issuing 1,01,32,955 new policies by 15th Oct, 2005, posting a healthy growth rate of
16.67% over the corresponding period of the previous year. For more details you may log
on to http://www.licindia.com/history.htm
HDFC Standard Life Insurance Company Ltd.
HDFC Standard Life Insurance Company Ltd. offers a range of individual and group
insurance solutions. It is a joint venture between Housing Development Finance
Corporation Limited (HDFC Ltd.), Indias leading housing finance institution and one of
the subsidiaries of Standard Life plc, leading providers of financial services in the United
Kingdom. The Standard Life group has been looking after the financial needs of customers

for over 180 years. It is a leading pensions provider in the UK. Both the promoters are
well known in their respective fields of activities. For more details you may log on to
http://www.hdfcinsurance.com

Max New York Life Insurance Co. Ltd.

Max New York Life Insurance Company Ltd. is a joint venture between New York Life, a
Fortune 100 company and Max India Limited, one of India's leading multi-business
corporations. The Company's paid up capital is Rs. 587 crore, which is more than the
norm laid down by IRDA. . For more details you may log on to
http://www.maxnewyorklife.com
ICICI Prudential Life Insurance Company Ltd.
ICICI Prudential Life Insurance Company is a joint venture between ICICI Bank-one of
India's foremost financial services companies-and Prudential plc- a leading international
financial services group headquartered in the United Kingdom. Total capital infusion
stands at Rs. 15.85 billion, with ICICI Bank holding a stake of 74% and Prudential plc
holding 26%. ICICI Prudential commenced operations in December 2000. For more details
you may log on to http://www.iciciprulife.com.

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, offering complete financial solutions that encompass every
sphere of life. From commercial banking, to stock broking, to mutual funds, to life
insurance, to investment banking, the group caters to the financial needs of individuals and

corporates. Old Mutual plc is an international financial services group, whose activities are
focused on asset gathering and asset management. For more details you may log on to
http://www.kotaklifeinsurance.com

Birla Sun Life Insurance Company Ltd.

Birla Sun Life Insurance is a joint venture between the Aditya Birla Group and Sun Life
Financial, Birla Sun Life foraying into the life insurance and retirement planning business.
The Aditya Birla Group has a turnover close to Rs. 38000 crores (as on March 31, 2006)
and is one of the largest business houses in India. Additional information is available at
www.adityabirla.com.Sun Life Financial Inc. is a leading international financial services
organization providing a diverse range of wealth accumulation and protection products
and services to individuals and corporate customers. Tracing its roots back to 1865, Sun
Life Financial and its partners today have operations in key markets worldwide, including
Canada, the United States, the United Kingdom, Hong Kong, the Philippines, Japan,
Indonesia, India, China and Bermuda. As of March 31, 2006, the Sun Life Financial group
of companies had total assets under management of USD 343 billion. For more details you
may log on to http://www.birlasunlife.com/BirlaSunLife/Insurance/
Tata AIG Life Insurance Company Ltd.
Tata AIG Life Insurance Company Limited and Tata AIG General Insurance Company
Limited (collectively 'Tata AIG') are joint ventures of the Tata Group and American
International Group, Inc. (AIG). Tata AIG combines the strength of the Tata Group with
AIG's international expertise and financial strength. The Tata Group holds 74 per cent
stake in the insurance venture with AIG holding the balance 26 percent. Tata AIG Life
provides insurance solutions to individuals and corporates. Tata AIG Life Insurance
Company was licensed to operate in India on February 12, 2001 and started operations on
April 1, 2001. For more details you may log on to http://www.tata-aig.com.

SBI Life Insurance Company Limited .

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 authorized capital of Rs 500 crore and a
paid up capital of Rs 500 crores. SBI owns 74% of the total capital and Cardif the
remaining 26%. State Bank of India enjoys the largest banking franchise in India. Along
with its 7 Associate Banks, SBI Group has the unrivalled strength of over 14,500 branches
across the country, the largest in the world. Cardif is a wholly owned subsidiary of BNP
Paribas, which is The Euro Zones leading Bank. BNP Paribas is one of the oldest foreign
banks with a presence in India dating back to 1860. Cardif is ranked 2nd worldwide in
creditors insurance offering protection to over 35 million policyholders and net income in
excess of Euro 1 billion mark. Cardif has also been a pioneer in the art of selling insurance
products through commercial banks in France and 34 more countries. For more details
you may log on http://www.sbilife.co.in
ING Vysya Life Insurance Company Private Limited
ING Vysya Life Insurance Company Private Limited (the Company) entered the private
life insurance industry in India in September 2001.It has an advisor sales force of over
21,000 people, working from 140 branches located in 74 major cities across the country
and over 3,000 employees. It also distributes products in close cooperation with the ING
Vysya Bank network. ING is a global financial institution of Dutch origin. It has 150 years
of experience, and provides a wide array of banking, insurance and asset management
services in over 50 countries The Company has a is headquartered at Bangalore. For more
details you may log on http://www.ingvysyalife.com
Bajaj Allianz Life Insurance Company Limited
Bajaj Allianz Life Insurance Co. Ltd. is a joint venture between two leading
conglomerates- Allianz AG, one of the world's largest insurance companies, and Bajaj
Auto, one of the biggest 2 and 3 wheeler manufacturers in the world. Characterized by
global presence with a local focus and driven by customer orientation to establish high

earnings potential and financial strength, Bajaj Allianz Life Insurance Co. Ltd. was
incorporated on 12th March 2001. For more details you may log on to
http://www.bajajallianzlife.co.in
Metlife India Insurance Company Pvt. Ltd.
With over 137 years of experience, the MetLife companies are a leader in group benefits
that serve 88 of the top one hundred FORTUNE 500* companies, and provide benefits to
37 million employees and family members through its plans sponsors in the U.S. The
MetLife companies are also ranked #1 in group life and #1 in commercial dental in the U.S.
The MetLife companies are the number one life insurer in the U.S. with approximately US
$2.8 trillion of life insurance in force. In India, MetLife was incorporated in 2001, and aims
to differentiate itself through customized need based selling, simple and innovative
products, and technology-backed service experience, to tread its path to build financial
freedom for everyone. For more details you may log on to
http://www.metlife.co.in/MetIndia
Reliance Life Insurance Company Limited
Reliance Life Insurance Company Limited is a part of Reliance Capital Ltd. of the
Reliance - Anil Dhirubhai Ambani Group. Reliance Capital is one of Indias leading
private sector financial services companies, and ranks among the top 3 private sector
financial services and banking companies, in terms of net worth. Reliance Capital has
interests in asset management and mutual funds, stock broking, life and general insurance,
proprietary investments, private equity and other activities in financial services. Reliance
Capital Limited (RCL) is a Non-Banking Financial Company (NBFC) registered with the
Reserve Bank of India under section 45-IA of the Reserve Bank of India Act, 1934. For
more details you may log on to http://www.reliancelife.co.in
Aviva Life Insurance Co. India Pvt. 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. In India, Aviva has a long history dating back to 1834. At the time of
nationalization 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. For more details you may log on to
http://www.avivaindia.com
Sahara India Insurance Company Ltd.
The Sahara Pariwars life insurance company Sahara India Life Insurance Company
Ltd.- has been granted license by the insurance regulator the IRDA on 6th February
2004. With this approval Sahara India Life Insurance Company Ltd. becomes the first
wholly and purely Indian company, without any foreign collaboration to enter the Indian
Life insurance market. The launch is with an initial paid up capital of 157 crores. The
Chairman of the company is Shri Subrata Roy Sahara who is also the Chairman of Sahara
Pariwar. For more details you may log on to http://www.saharalife.com

Recruitment of Financial Consultants (FC) in HDFC

Standard Life
This is a good business opportunity offered by HDFC Standard Life to
become a business partner and earn a good amount of money.

Business description
Be our Certified Financial Consultant Join HDFC Standard Life Insurance as a
Financial Consultant and help analyze your customers financial needs, provide
customized financial solutions to each one and conduct reviews on a regular
basis to keep your customers on track.
Along with being a great career move you get associated with HDFC Standard
Life Insurance, Indias Most Respected Private Life Insurance Company. We at
HDFC Standard Life also offer you unmatched support with various training
programmes to help you excel in your endeavour.
A great career move in every way Zero investment, there is no start-up capital.
You can work full-time or part-time, depending on your convenience Sunrise
industry Support every step of the way At HDFC Standard Life, training is an
inherent element of our support system - at no extra cost - for our new Financial
Consultants

EXCELLENT OPPORTUNITY

Join HDFC Standard Life Insurance as a Financial Consultant and

earn a rewarding career

Flexible work timings You can work whenever you like. You can work
full-time or part-time, depending on your convenience. However, the time you
invest will determine your success

Any one can join - Young graduates, Housewives, Retired Personnel,

Self-employed or Working Professionals.

Zero Investment - There is no start-up capital required. Be your own boss

with flexible working environment, unlimited earning potential and
opportunities to be part of a world class sales team.

Attractive Remuneration - Company offers excellent commissions, award

and
rewards
for
the
performers.
You have unlimited earning potential. Commission structure is pretty
handsome and is 15-40% and renewal commission of 5% second year
onwards
till
the
policy
is
in
force.

Certificate by IRDA- You will get world class training free of cost and
certification by Insurance Regulatory Development Authority.

TRAINING
Perfects your knowledge about the insurance industry as well as our
products
IRDA Training
Prepares you for your career as a Financial Consultant and enables
you to pass the IRDA examination easily
Disha Training
Hones your selling skills, enables you to understand customer needs
and provide need-based insurance solutions
Advanced Training
Upgrades your capability and knowledge through sophisticated
training programs customised for the changing world of financial
products and markets

Desired Profile:
Age: 18 Yrs to 65 Yrs
Education: Intermediate or more
Experience: Not Mandatory
Type of Job: Full Time or Part Time
Documents Required:
8 photograph
Age proof (passport, Birthcertificate, College Leaving Certificate, Driving
License)
Address proof
Education proof
Copy of PAN Card
Duely Signed Cancelled Cheque of self
A candidate needs to bring a DD of Rs. 925/- in case of offline training and Rs.825
in case of online training towards HDFC SLIC LTD payable at Mumbai.

Recruitment process of FCs

Fill up of Agency form
IRDA Training (100 hrs)
IRDA Exam

Fail

Exit

Pass

Product Training

Traditional Pr.

ULIP Product

Internal Assessment

Fail

Exit

Pass

Certification

Job Description for Financial consultants

Pre sales role
Identifying prospective clients.
Meeting prospective clients.
Understanding the need of the client.
Presenting solutions to client.
Closing sales.
Post sales role
Taking 1-2 references from the client
Providing timely updates to the client for maintaining Lifelong relationship.

Benefits to FCs
Financial Benefits:
Commission on issuance of every policy.
Commission directly credited to bank account of FCs within 15 days. These
commission varies from 7.5-40% according to plan.
BASIC COMMISSION
First year Commission payable on regular premium conventional policies issued
on or after 21st march 2007
Name of the plan

1st
year
commission

Endowment Assurance plan

40%
40%

Money Back plan

Childrens plan
Term Assurance plan
Lone cover Term Assurance plan
Personal Pension Plan

40%
25%
25%
7.5%

RENEWAL COMMISSION:
Renewal commission would be paid from the 2 nd year onwards on regular
premium policies. Renewal commission is not payable on single premium
plans.
Name of the plan
Endowment Assurance plan
Money Back Plan
Childrens plan
Lone cover Term Assurance Plan
Term Assurance plan
Personal Pension Plan

Renewal commission 2nd

year onwards
5%
5%
5%
5%
5%
2%

BONUS COMMISSION
Bonus commission would be payable on the first year premium received and
adjusted on the regular premium policies under the following plans,
1.Endowment Assurance Plan
2.Money Back Plan
3.Childrens Plan
4.Term Assurance Plan
5.Lone Cover Term Assurance Plan
Bonus commission is not payable on the single premium plans and on the
policies issued under the Personal Pension Plan and all Unit Linked Plans.
Bonus commission rate would depend on financial consultant crossing the
minimum RNEP(Received Net Effective Premium) within one year.
Period

RNEP

In one year 1,00,000

1,50,000
2,25,000

Bonus commission % of the 1st year

Premium received
5%
10%
15%

REWARDS & RECOGNITION

Within 30 days of Licensing Consultant can become
STAR
Converted premium 2 Lacs
Silver Medal-Worth Rs 5200(approx)
RISING STAR
Converted premium of 5 Lacs
Gold Medal-Worth Rs 13,000(approx)
MILLIONAIRE STAR Converted premium of 10 Lacs
Gold Medal-Worth Rs 25,000(approx)
GLOBAL STAR
Converted premium of 24 Lacs
Gold Medal-Worth Rs 60,000(approx)

Extra Payouts for STAR Performers

Star Performers Club
Status

Bronze

Silver

Glod

Benefits

1%max
Rs.5999

2.5%,max
Rs.37499

5%,no upper Gradedlimit

4.5%to8.5%

0.50%

1.00%

Additional
status
retention Bonus

Centurion

1.50%

MONTHLY & QUARTERLY CONTESTS

There are various Sales linked monthly & quarterly contests occur in which FCs
has opportunity to gain something. Like
Gift Vouchers
Home Appliances
Two-Wheelers
Gold/Diamonds Jewelry
Foreign Trips
Mobile Phones
Laptops

 Cars etc.

OTHER BENEFITS

On field support-

Joint

fieldwork

with

respective

SDM/BDM.

Training support Various training modules to enhance your sales skills,

interpersonal
skills
etc.
Marketing support Consumer Contact Programs.
Availability of office infrastructure for telecalling, quotations, benefits
illustration
etc.
Consultant corner to access illustration, sales done, and contest updates etc.
Personal email id.

Unit Linked Insurance Polices (ULIPS)

Unit linked guidelines were notified by IRDA on 21st December 2005. The main intent of
the guidelines was to ensure that they lead to greater transparency and understanding of
these products among the insured, especially since the investment risk is borne by the
policyholder. It is the endeavor of IRDA to enable the buyer to make the most informed
decision possible when planning for financial security. We hope the following FAQs will
enable a better insight to all buyers about the character and features of Unit linked
Products.
1. What is a ULIP?
ULIP is an abbreviation for Unit Linked Insurance Policy. A ULIP is a life insurance policy
which provides a combination of risk cover and investment. The dynamics of the capital
market have a direct bearing on the performance of the ULIPs. REMEMBER THAT IN A

UNIT LINKED POLICY, THE INVESTMENT RISK IS GENERALLY BORNE BY THE

INVESTOR.

2. What is a Unit Fund?

The allocated (invested) portions of the premiums after deducting for all the charges and
premium for risk cover under all policies in a particular fund as chosen by the policy
holders are pooled together to form a Unit fund.

3. What is a Unit?
It is a component of the Fund in a Unit Linked Policy.

4. What Types of Funds do ULIP Offer?

Most insurers offer a wide range of funds to suit ones investment objectives, risk profile
and time horizons. Different funds have different risk profiles. The potential for returns
also varies from fund to fund.
The following are some of the common types of funds available along with an indication of
their risk characteristics.

General

Nature of

Risk Category

Description
Equity Funds

Investments
Primarily invested in company stocks

Medium to High

with the general aim of capital

Income, Fixed

appreciation
Invested in corporate bonds,

Interest and Bond

government securities and other fixed

Funds
Cash Funds

income instruments
Sometimes known as Money Market

Medium

Low

Funds invested in cash, bank

deposits and money market
Balanced Funds

instruments
Combining equity investment with

Medium

fixed interest instruments

5. Are Investment Returns Guaranteed in a ULIP?
Investment returns from ULIP may not be guaranteed. In unit linked products/policies,
the investment risk in investment portfolio is borne by the policy holder. Depending upon
the performance of the unit linked fund(s) chosen; the policy holder may achieve gains or
losses on his/her investments. It should also be noted that the past returns of a fund are not
necessarily indicative of the future performance of the fund.
6. What are the Charges, fees and deductions in a ULIP?
ULIPs offered by different insurers have varying charge structures. Broadly, the different
types of fees and charges are given below. However it may be noted that insurers have the
right to revise fees and charges over a period of
time.

Premium Allocation Charge

This is a percentage of the premium appropriated towards charges before allocating the
units under the policy. This charge normally includes initial and renewal expenses apart
from commission expenses.
Mortality Charges
These are charges to provide for the cost of insurance coverage under the plan. Mortality
charges depend on number of factors such as age, amount of coverage, state of health etc

Fund Management Fees

These are fees levied for management of the fund(s) and are deducted before arriving at
the Net Asset Value (NAV) .
Policy/ Administration Charges
These are the fees for administration of the plan and levied by cancellation of units. This
could be flat throughout the policy term or vary at a pre-determined rate.
Surrender Charges
A surrender charge may be deducted for premature partial or full encashment of units
wherever applicable, as mentioned in the policy conditions.
Fund Switching Charge
Generally a limited number of fund switches may be allowed each year without charge,
with subsequent switches, subject to a charge.
Service Tax Deductions
Before allotment of the units the applicable service tax is deducted from the risk portion of
the premium.
Investors may note, that the portion of the premium after deducting for all charges and
premium for risk cover is utilized for purchasing units

7. What should one verify before signing the proposal?

One has to verify the approved sales brochure for
all the charges deductible under the policy
payment on premature surrender
features and benefits
limitations and exclusions
lapsation and its consequences
other disclosures
Illustration projecting benefits payable in two scenarios of 6% and 10% returns as
prescribed by the life insurance council.

8. How much of the premium is used to purchase units?

The full amount of premium paid is not allocated to purchase units. Insurers allot units on
the portion of the premium remaining after providing for various charges, fees and
deductions. However the quantum of premium used to purchase units varies from product
to product.
The total monetary value of the units allocated is invariably less than the amount of
premium paid because the charges are first deducted from the premium collected and the
remaining amount is used for allocating units.
9. Can one seek refund of premiums if not satisfied with the policy, after purchasing it?
The policyholder can seek refund of premiums if he disagrees with the terms and
conditions of the policy, within 15 days of receipt of the policy document (Free Look
period). The policyholder shall be refunded the fund value including charges levied
through cancellation of units subject to deduction of expenses towards medical
examination, stamp duty and proportionate risk premium for the period of cover.
10. What is Net Asset Value (NAV)?
NAV is the value of each unit of the fund on a given day. The NAV of each fund is displayed
on the website of the respective insurers.
11. What is the benefit payable in the event of risk occurring during the term of the policy?
The Sum Assured and/or value of the fund units is normally payable to the beneficiaries in
the event of risk to the life assured during the term as per the policy conditions.

12. What is the benefit payable on the maturity of the policy?

The value of the fund units with bonuses, if any is payable on maturity of the policy.

13. Is it possible to invest additional contribution above the regular premium?

Yes, one can invest additional contribution over and above the regular premiums as per
their choice subject to the feature being available in the product. This facility is known as
TOP UP facility.

14. Whether one can switch the investment fund after taking a ULIP policy?
Yes. SWITCH option provides for shifting the investments in a policy from one fund to
another provided the feature is available in the product. While a specified number of
switches are generally effected free of cost, a fee is charged for switches made beyond the
specified number.

15. Can a partial encashment/withdrawal be made?

Yes, Products may have the Partial Withdrawal option which facilitates withdrawal of a
portion of the investment in the policy. This is done through cancellation of a part of units.

16. What happens if payment of premiums is discontinued?

a) Discontinuance within three years of commencement If all the premiums have not
been paid for at least three consecutive years from inception, the insurance cover
shall cease immediately. Insurers may give an opportunity for revival within the
period allowed; if the policy is not revived within that period, surrender value shall
be paid at the end of third policy anniversary or at the end of the period allowed for
revival, whichever is later.
b) Discontinuance after three years of commencement -- At the end of the period
allowed for revival, the contract shall be terminated by paying the surrender value.
The insurer may offer to continue the insurance cover, if so opted for by the policy
holder, levying appropriate charges until the fund value is not less than one full
years premium. When the fund value reaches an amount equivalent to one full
years premium, the contract shall be terminated by paying the fund value.

17. What information related to investments is provided by the Insurer to the

policyholder?
The Insurers are obliged to send an annual report, covering the fund performance during
previous financial year in relation to the economic scenario, market developments etc.
which should include fund performance analysis, investment portfolio of the fund,
investment strategies and risk control measures adopted.
In case, you need any clarification, you may address your query to the following e-mail id:
premkunnel@irda.gov.in

Disclaimer:
The above material is provided for general information only and do not constitute legal or
other professional advice. This information is current at the date of publication but may be
subject to change without notice and accordingly, may not be up to date at the time of
viewing. Information specific to a product may be obtained from the concerned Insurer.

THANK YOU