Report of Summer Training on Study of Different Functional Areas &

Customer Retention Strategies of IDBI Federal Life Insurance Co. Ltd

Submitted in partial fulfillment of the

requirements
for the award of the degree of

Master of Business Administration

(MBA)
To

Guru Gobind Singh Indraprastha University, Delhi

Guide Name: Dr. D.K. Choudhury

Negi

Submitted by: Jashu

Roll No. : 09419103914

Gitarattan International Business School

New Delhi -110085

Batch 2014-2016

CERTIFICATE

I, Jashu Negi Roll No.:- 09419103914. certify that the Summer Training Report (Paper Code
MS-201 entitled Study of Different Functional Areas & Customer Retention Strategies of
IDBI Federal Life Insurance Co. Ltd is done by me and it is an authentic work carried out by
me at IDBI Federal Life Insurance Co. ltd.The matter embodied in this Report has not been
submitted earlier for the award of any degree or diploma to the best of my knowledge and belief.
Signature of the Student:
Date:

Certified that the Summer Training Report (Paper Code MS-201) entitled Study of Different
Functional Areas & Customer Retention Strategies of IDBI Federal Life Insurance Co. Ltd
has been done by Mr. Jashu Negi.Roll No. 09419103914, is completed under my guidance.
Signature of the Guide
Date:
Name of the Guide:
Designation:

Countersigned
Director/Project Coordinator
1

ACKNOWLEDGEMENT

I, Jashu Negi, the student of Gitarattan International Business School, am extremely grateful
to IDBI Federal Life Insurance Co. Ltd. for the confidence bestowed in me and assigning me
the project entitled Study of Different Functional Areas & Customer Retention Strategies of
IDBI Federal Life Insurance Co. Ltd.
At this juncture I feel deeply honored in expressing my sincere thanks to Mr Manas Das head
of Pitampura branch for making the resources available at right time and providing valuable
insights leading to the successful completion of my project.
I express my gratitude to College Director Dr.S.Chaturvedi for arranging the summer training
in IDBI Federal Life Insurance Co. Ltd.. I also extend my gratitude to my Project Guide Dr.
D.K. Choudhury, who assisted me in compiling the project.

DATE

NAME :Jashu Negi

Roll No. : 09419103914

CONTENT

S No

Topic

Page
No

Certificate (s)

Acknowledgements

II

List of Tables

List of Figures

VI

Executive Summary

VII

Chapter-1: Profile of the Firm/Company

1-15

Chapter-2: SWOT Analysis of the Company

16-19

Chapter-3: Data Presentation & Analysis

20-45

Chapter-4: Summary & Conclusions

46-49

10

References/Bibliography

11

Appendices

IV- V

50

51-55

LIST OF TABLES

Table
No.

TITLE

PAGE
NO.

Available manpower and turnover of the company

Balance sheet

22-23

Profit & Loss Account

24

Budgeted and Actual Sales of IDBI Federal Life Insurance Co

32

Impact of advertisements on sales of Insurance policies

32

Presents financial benefits against different policies

33

Sales of different Policies in last two years

33

Customer retention by IDBI Federal Life Insurance

34

Association of customers with IDBI Federal Life Insurance.

35

10

Customers preference of different policies

35

11

Likelihood of customer to buy another policy

36

12

Service satisfaction

36

13

Recommending IDBI Federal life Insurance to other people

37

14

Concerns Resolved

37

15

Benefit Satisfaction

38

16

Courteous Service

38

17

Quick call

39
4

18

Knowledge representative

39

19

Highest Benefits

39

20

Policy & Procedures Understandability

40

21

Easy Payment Mode

40

22

New products developed by IDBI in last two years

41

23

Number of people recruited category wise by IDBI in last 2 years

44

24

Existing manpower resources of IDBI

44

LIST OF FIGURES

Figure
No.

Page
No.

TITLE

Organization structure

11

Marketing management process

26

The 7 Ps of Marketing Mix

27

EXECUTIVE SUMMARY

The summer training was conducted at IDBI Federal Life Insurance and to identify the ways by
which the organization retains its customer and also to gather knowledge about all the functional
areas of the company. The research work was carried out among the customers of IDBI federal
life insurance based on questionnaire survey. It has been observed that the main products of
IDBI are Wealthsurance, Termsurance, Childsurance, Incomesurance, Retiresurance etc.The
turnover of the organization is Rs 550 crores(approx).while the manpower strength of the
organization is 10000(approx).It has been found that the major competitors of the company are
LIC, ICICI Prudential Life insurance, Aviva India , Bajaj Allianz ,HDFC Life ,SBI Life etc
.From the data analysis it has been observed that the strength of the company is High degree of
customer satisfaction. While the weakness of the company is Growth of IDBI is constrained due
to non-deployment of more resources to broaden the business operation of the company. The
analysis of the feedback from customers reveal that the majority of customers were interested in
buying another policy from IDBI Federal as they were satisfied with IDBI Federals premium
price, customer representative and returns on investments in different policies .
For increasing Customer retention, the researcher suggested following :
(a) To liberalize some amount of premium on continuous purchase.
(b) To offer some gifts to potential customers.
(c) To issue membership cards and arrange membership programs from time to time.
(e)To create databases that keep track of customers purchases, preferences, complements and
complaints, which are used to carry out loyalty building services and dialogs.

CHAPTER 1

IDBI Federal Life Insurance Co. ltd.

1.1 Particulars of the company

Name of the Firm

: IDBI Federal Life Insurance Co. Ltd.

Industry

: Life Insurance

Founded

: March 2008

Address

: HB Twin Tower, Pitampura, New Delhi, Delhi

Pin: -

110034

Telephone

: 1800 209 0502 (Toll Free)

Email

: support@idbifederal.com

Website

: http://www.idbifederal.com

Type

: National, Joint Venture

Registered Head Office

: IDBI Federal Life Insurance Co Ltd.

Trade View Oasis Complex, Kamala City,
P.B Marg Lowe Parel (W),Mumbai-400013,India

1.2Nature of the organization

IDBI Federal Life Insurance is one of Indias growing life insurance companies which offers a
diverse range of wealth management, protection and retirement solutions to individual and
corporate customers.
1.21

1.3

Type of industry &business: Insurance & Wealth Management

Companys vision & mission

1.31 Vision of IDBI Federal Life Insurance

To be the leading provider of wealth management, protection and retirement solutions that meets
the needs of customers and adds value to their lives.
1.32

Mission of IDBI Federal Life Insurance

a) To continually strive to enhance customer experience through innovative product

offerings, dedicated relationship management and superior service delivery while
striving to interact with customers in the most convenient and cost effective manner.
b) To be transparent in dealing with customers and to act with integrity.
c) To invest in building quality human capital in order to help developing prosperous
nation.

1.33

Values of IDBI Federal Life Insurance

a) Transparency: Crystal Clear communication to partners and stakeholders of the
company.
b) Value to Customers: A product and service offering in which customers perceive
value.
c) Rock Solid and Delivery on Promise: This translates into being financially strong,
operationally robust and having clarity in claims.
d) Customer-friendly: Advice and support in working with customers and partners.
e) Profit to Stakeholders: Balance the interests of customers, partners, employees,
shareholders and the community at large.

1.4Product range of the company

1.41 IDBI Federal Wealthsurance(Growth Insurance Plan)

As a smart and dynamic individual, one has always charted ones own path through life. So
when it comes to investing the hard-earned money, everyone definitely wants to stay in
complete control.

IDBI Federal Wealthsurance Growth Insurance Plan (hereafter referred to as Wealthsurance

Growth), which lets the customer to build his wealth, exactly the way the customer wants. With
this plan, the customer gets complete flexibility in steering his investments, on the basis of his
financial goals in life. With this the insurers family stays financially secured with a life cover.

1.42 IDBI Federal Termsurance(Group Insurance Plan)

Employees are the most valuable assets for any organisation. A good way of taking care of the
employees, the company can offer them the cover of life insurance which helps them provide a
secured foundation for their families future, in case of the unfortunate demise of the main wageearner. It creates the support to help employees family to continue to live comfortably should
something happen to the earning member. The employee can ensure this by opting for the IDBI
Federal Termsurance Group Insurance Plan. The company can also provide a Group Life
Insurance cover for other groups of individuals with whom it has a business relationship such
as suppliers or other affinity groups and provide them the benefit of life insurance cover. Thus,
the IDBI Federal Termsurance Group Insurance Plan allows organisation to provide key
relationship with a sense of security in this uncertain world.

1.43 Childsurance Savings Protection Insurance Plan

Every parents want that their child gets good education so that her future stays secured. The cost
of education has gone up significantly and is expected to rise further. The cost of childs
4

marriage or giving her a good start in career is also duty of parents. It is therefore important for
each individual to stay prepared. It is better to plan early to help childs dreams come true
tomorrow and support her at every important milestone of life. This insurance policy
secureschilds future.

1.44 Incomesurance Guaranteed Money Back Insurance Plan

Life is full of uncertainties, and as a result we always try and predict what lies in store in the
future, so we can be prepared. However, our minds are always full of doubts as there is no way
to guarantee the future. Incomesurance Guaranteed Money Back is a plan which will enable you
to stop predicting the future, and guarantee it instead!

1.45 IDBI Federal Wealthsurance Future Star Insurance Plan

Everyones child is a star in his eyes and everybody constantly encourages his child to excel in
academic and extra-curricular activities. We are doing whatever it takes to ensure that the child
shines like a star when she grows up. But have we done everything that is needed to secure a
childs future? Facilitating the best for him, from education to talent development courses,
everything is going to cost a lot tomorrow. To add to this concern is the uncertainty of life. Of
course, you would like your child to fulfill his dreams, no matter what! IDBI Federal
Wealthsurance Future Star Insurance Plan* is designed with the understanding that your desire
to see him shine like a star is unconditional.
1.46

IDBI Federal Retiresurance Group Insurance Plan

It is rightly said that, The secret behind any organisations success is its satisfied employees. An
5

employee is the very reason for companys existence and is critical to business success. It is
organisations prime responsibility to reward them as a gratitude for the services offered by them
in the company. Also, the employees have a responsibility towards their families. Hence,
providing them with a basic life cover also becomes companys responsibility in case of their
untimely demise.

IDBI Federal Retiresurance Group Insurance Plan is here to help one withthe
management of funds that one has set aside for his retirement benefits - Gratuity,
Superannuation and Leave Encashment. It ensures that the employees are
rightfully rewarded for all their hard work.

1.47 IDBI lonesurance group insurance plan

Creation of a feeling that the company cares for their employees helps in building strong bonds
and customer loyalty. As a lending institution, many companies have been providing individuals
with much-needed funds to fulfill their dreams and helping them build assets for themselves and
their loved-ones. The company must have supported their employees in building homes,
provided for their childrens education and offered other attractive credit options. Now the
company can go a step further and help borrowers ensure that their dreams are not disrupted by
the vagaries of life. With above mentioned insurance policy, can now not just live employees
dreams but secure them too.

1.5Size of the organization

Through a nationwide network of 2, 964 branches of IDBI Bank and Federal Bank, and a
sizeable network of advisors and partners, IDBI Federal Life Insurance has achieved presence
across the length and breadth of the country. As on March 31, 2015, the company has issued
nearly 7.88 lakh policies with a sum assured of over Rs. 41,856 crore. IDBI Federal Life
Insurance has total assets under management of 4,087 crore and a robust capital base of over
800 crores, as on March 31, 2015.
The size of the organisation in terms of man power and turnover is shown in Table 1.1.

Year of Establishment

:2008

Nature of Business

:Insurance

Number of Employee

:10,000 employees & above

Turnover

:Rs. 550 crores (Approx)

Table 1.1 Available manpower and turnover of the company

IDBI federal life insurance currently has over 10,000 on roll employees all over the country and
over 20,000 licensed agents working towards the success. The company has reported a maiden
profit of Rs 9.24 crore in 2012-13, thus making it one of the fastest to break-even in the Life
Insurance industry. In an industry challenged by falling margins, shrinking new business
volumes, high cost ratios and low profitability, this is a significant achievement.

1.6

About IDBI Federal Life Insurance

7

1.61 IDBI Federal Life Insurance Co Ltd is a joint-venture of IDBI Bank, Indias premier
development and commercial bank, Federal Bank, one of Indias leading private sector banks
and Ageas, a multinational insurance giant of Europe. In this venture, IDBI Bank owns 48%
equity while Federal Bank and Ageas own 26% equity each. . Having started in March 2008, in
just five months of inception, IDBI Federal became one of the fastest growing new insurance
companies to garner Rs 100 Cr in premiums. Through a continuous process of innovation in
product and service delivery IDBI Federal aims to deliver world-class wealth management,
protection and retirement solutions that provide value and convenience to the Indian customer.
The company offers its services through a vast nationwide network of 2137 partner bank
branches of IDBI Bank and Federal Bank in addition to a sizeable network of advisors and
partners. As on 28th February 2013, the company has issued over 8.65 lakh policies with a sum
assured of over Rs. 26,591 Cr.
IDBI Federal today is recognized as a customer-centric brand, with an array of awards to their
credit. They have been awarded the PMAA Awards (2009) for best Dealer/Sales force Activity,
EFFIE Award (2011) for effective advertising, and conferred with the status of Master Brand
2012-13 by the CMO Council USA and CMO Asia
1.62About the sponsors of IDBI Federal Life Insurance Co Ltd
a) IDBI Bank Ltd. continues to be, since its inception, Indias premier industrial development
bank. It came into being as on July 01, 1964 (under the Companies Act, 1956) to support Indias
industrial backbone. Today, it is amongst Indias foremost commercial banks, with a wide range
of innovative products and services, serving retail and corporate customers in all corners of the
country from 1077 branches and 1702 ATMs. The Bank offers its customers an extensive range
of diversified services including project financing, term lending, working capital facilities, lease
finance, venture capital, loan syndication, corporate advisory services and legal and technical
8

advisory services to its corporate clients as well as mortgages and personal loans to its retail
clients. As part of its development activities, IDBI Bank has been instrumental in sponsoring the
development of key institutions involved in Indias financial sector National Stock Exchange
of India Limited (NSE) and National Securities Depository Ltd, SHCIL (Stock Holding
Corporation of India Ltd), CARE (Credit Analysis and Research.LTD)
b)

Federal Bank is one of Indias leading private sector banks, with a dominant presence in

the state of Kerala. It has a strong network of over 1060 branches and 1158 ATMs spread across
India. The bank provides over four million retail customers with a wide variety of financial
products. Federal Bank is one of the first large Indian banks to have an entirely automated and
interconnected branch network. In addition to interconnected branches and ATMs, the Bank has
a wide range of services like Internet Banking, Mobile Banking, Tele Banking, Any Where
Banking, debit cards, online bill payment and call centre facilities to offer round the clock
banking convenience to its customers. The Bank has been a pioneer in providing innovative
technological solutions to its customers and the Bank has won several awards and
recommendations.
c)

AGEAS is an international insurance group with a heritage spanning of more than 180

years. Ranked among the top 20 insurance companies in Europe, Ageas has chosen to
concentrate its business activities in Europe and Asia, which together make up the largest share
of the global insurance market. These are grouped around four segments: Belgium, United
Kingdom, Continental Europe and Asia and served through a combination of wholly owned
subsidiaries and partnerships with strong financial institutions and key distributors around the
world. Ageas operates successful partnerships in Belgium, UK, Luxembourg, Italy, Portugal,
Turkey, China, Malaysia, India and Thailand and has subsidiaries in France, Hong Kong and
UK. Ageas is the market leader in Belgium for individual life and employee benefits, as well as
a leading non-life player through AG Insurance. In the UK, Ageas has a strong presence as the
9

fourth largest player in private car insurance and the over 50s market. Ageas employs more than
13,000 people and has annual inflows of more than EUR 21billion.

1.7 Organization structure of the company.

The organization structure of the company is furnished below :

10

uoari unebaougsrmd art dehknauZir ecvnZo eti onse ina osgal n hlS & Su up p po or t r t
e rrha sio ntaod mi anu h gor caet ier no h ne ah de a d
Figure No. : - 1.1 Organization structure of IDBI Federal Life Insurance

1.8 Market share & position of the company in the industry

11

1.81 On June 04, 2013, the company has reported a maiden profit of Rs 9.24 crore thus making
it one of the fastest to break-even in the Life Insurance industry. In an industry challenged by
falling margins, shrinking new business volumes, high cost ratios and low profitability, this
is a significant achievement.
1.82 IDBI Federal started its operations in March 2008 and is amongst the most successful
start-ups in the Indian Life Insurance market. A pioneer in product innovation, IDBI
Federals approach is very innovative and reflects a fresh way of looking at and thinking
about life insurance. The Companys innovative products with trademarked names such as
WealthsuranceTM, IncomesuranceTM, RetiresuranceTM, etc have been well-received by its
customers and have been an important contributing factor to its success.
1.83 IDBI Federals New Business Premium (APE) grew by 23% in 2012-13, which compares
with the negative growth of -15% posted by the industry. The company also witnessed a
44% increase in the number of new business policies sold as compared to the previous year.
IDBI Federal has also been driving profitability through the right product mix. The product
mix has continuously been shifted to long-term, traditional products. Share of traditional
products in the new business premium increased to 83% as compared to 67% in the previous
year. Share of regular premium products increased to 78% as compared to 69% in the
previous year.
1.84 Mr. G V Nageswara Rao, Managing Director & CEO, IDBI Federal Life Insurance, said,
I am extremely happy to announce that IDBI Federal has recorded its maiden profit of Rs
9.24 crore in 2012-13. Achieving break-even in the fifth year is a significant landmark. We
have pursued profitable growth as our company strategy.
1.85 15% reported by the industry. Our growth rate is one of the highest in the industry, with a
large number of companies posting negative growth. What is even more satisfying is the fact
12

that this achievement comes at a time when the entire Life Insurance industry is facing many
challenges and growth is hard to come by.
1.86 IDBI Federal has a healthy solvency ratio at 491% as against the regulatory requirement of
150%. Mr. Rao said, I am delighted to say that IDBI Federal enjoys a comfortable solvency
ratio to take care of its next phase of growth. As we have reached the profit-making state, we
will not require any further capital infusion. Our AUM has moved up by 24% from Rs. 2,208
crores to Rs 2,732 crores during the current year. IDBI Federal has paid-up share capital of
Rs 800 crore.

1.8 Present leadership

13

The present leadership is furnished below, mentioning therein the name of the individuals along
with their designations.
a) Vighnesh Shahane
CEO & Whole Time Director

b) Ajay Oberoi
Chief People Officer & Head Administration

c) Aneesh Khanna
Chief Strategy & Marketing Officer

d) Aneesh Srivastava
Chief Investment Officer

e) Arvind Shahi
Chief Risk Officer

f) Ashley Kennedy
Chief Distribution Officer East

g) Ganesha Ratnam
Chief Distribution Officer South

h) Karthik Raman
Chief Distribution Officer North & West

i) Karunanidhi Muthuswamy
14

Appointed Actuary & Head Products

j) Kedar Patki
Chief Financial Officer

k) Lalitha Bhatia
Chief Operating Officer

l) Mahesh Keni
Vice President Internal Audit

m) Rajesh Ajgaonkar
Chief Compliance & Legal Officer and Company Secretary

15

CHAPTER 2

2. SWOT ANALYSIS OF IDBI

2.1

Strengths of IDBI Federal Life Insurance are given below :

a.
b.
c.
d.
e.

Companys products have required accreditations.

High degree of customer satisfaction
Good place to work
Lower response time with efficient and effective service.
Dedicated workforce aiming at making a long-term career in the
field.

f. Large pool of technically skilled manpower with in depth

knowledge and understanding of the market

2.2

Weakness of IDBI Federal Life Insurance are given below :

16

a. Customer service staff need more training to attain customers confidence.

b. Business processes and systems are to be tuned to present requirement.
c. Sectorial growth is constrained due to non-deployment of more resources to
d.

2.3

broaden the business operation of the company.

Low customer confidence is still being observed.

Opportunities of IDBI Federal Life Insurance are as follows :

a. According to IRDA only 10% of the population is insured which represent

around 30% of the insurable population. This suggests more than 300million
people, with the potential to buy insurance, remain uninsured.
b. International companies will help in building world class expertise in local
market by introducing the best global practice. This will facilitate the business
growth of the company.
c. Could extend its operation in overseas broadly.
d. Could seek better customer deals.
e. Fast-track career development opportunities in the country will attract more
Insurance policy seekers.
f. An applied research centre may create opportunities for developing techniques to
provide value-added services to attract more and more customers.

2.4 Threats of IDBI Federal Life Insurance are as under :

a. Big public sector insurance companies like Life Insurance Corporation of India
(LIC), National Insurance Company Limited, Oriental Insurance Limited, New
India Assurance Company Limited and United India Insurance Company Limited
are the real threats to the company. People trust and go to them more.
17

b.
c.
d.
e.

Legislation in the country has impact on different risk factors.

Very high competition prevailing in the industry is always threats to the company.
Vulnerable to reactive attack by major competitors
Lack of infrastructure in rural areas resist investment & thus restrict growth of
the company.

2.21

Best practices/USPs that the company follows

a) Good work environment at IDBI Federal

b) The company believes in hiring the best talent and enabling them to grow by offering a
culture where people are empowered to take on new career challenges and continuously
add value to their lives.
c) Careersurance, the career management program which ensures that the people are
equipped, empowered and engaged to deliver, succeed and progress so that a rewarding
career with IDBI Federal is assured.
d) Careersurance this includes:
1) On-boarding : As a new recruit the employees are supported with a range of

developmental programs to accelerate his assimilation with the company, equipped with
key information and develop skills which is needed to perform the role effectively.
2) Learning and Development :IDBI are committed to designing learning experiences that
will help the employees to achieve their career objectives. The learning and development
initiatives have the right blend of coaching, mentoring, on-the-job learning, classroom
training and e-learning initiatives. Additionally, various tools and resources have been
designed to equip companys sales force plan, manage and organise their activities and
networks effectively.

18

3) Rewards and Recognition : Competitive compensation and benefits form an important

part of companys total reward structure. The deferred compensation and career
progression opportunities offered to the employees can rival any in the industry.
4) Goalsurance :Used of Setting goals. Goalsurance is companys goal setting and
performance management program that helps set, monitor, align and achieve companys
goals

19

CHAPTER-3
DATA COLLECTION AND PRESENTATION

3. Data Collection
The data were collected from different functional areas of the company by interviewing people
and form records and website of the IDBI Federal Life Insurance.

3.1 Finance
Finance department of IDBI Federal Life Insurance Co. is doing the allocation of

assets and

reducing liabilities over time under conditions of certainty and uncertainty. Thus, the Finance
Department deals with :
a)
b)
c)
d)
e)
f)

Financial Accounting
Reporting of key financial information to stakeholders
Performance Management reporting
Risk Management by set limits, risk management processes
Operating in a cost efficient manner
Provider of financial statements and management reports.

The Balance sheet of the company as on 30th June is shown in Table 3.1& the Profit & Loss
account ended on June 30th is shown in Table 3.2.

3.11 Investments Section

20

The role of IDBI Federal Life Insurance Companys Investment Section is to seek to attain
superior returns while incurring prudent levels of risk for General Board managed funds. It deals
with :
Team: Analysts and Fund manager headed by the CIO
Function: Earning higher returns on the investments and delivering the returns promised
and generate investment income.
3.12Actuarial Section
Actuarial Section of IDBI Federal Life Insurance Co. is to evaluate the probability of events and
quantify the contingent outcomes in order to minimize the impacts of financial losses associated
with uncertain undesirable events. This section takes care of following :
(i)
(ii)
(iii)
(iv)
(iv)

Pricing: Deciding premiums and profitability

Valuation: Deciding liability base for company
Budgeting: Deciding product mix
Cash flows for risk management
IRDA reporting requirements

[IRDAI Registration No.135 dated 19th December 2007]

IDBI Federal Life Insurance Co Ltd. Registered Office: 1st floor,Tradeview, Oasis Complex, Kamala City, P. B. Marg,
Lower Parel (W), Mumbai 400013. www.idbifederal.com
Corporate Identity Number (CIN) U66010MH2007PLC167164
BALANCE SHEET AS AT JUNE 30, 2015
( ` '000)
As at June 30,
2014 for

21

Particulars

Schedule

As at June 30, 2015

corresponding
previous
year

SOURCES OF FUNDS
SHAREHOLDERS' FUNDS
Share capital
Reserves and surplus
Credit / (Debit) Fair value change account
Sub-Total (A)

L-8,L-9
L-10

Borrowings
Sub-Total (B)

L-11

POLICYHOLDERS' FUNDS
Credit / (Debit) Fair value change account
Policy liabilities
Insurance reserves
Provision for linked liabilities
Funds for discountinued policies
Discontinued on account of non-payment of premium
Others

79,98,096
-11,589
79,86,507
-

79,97,008
648
79,97,656
-

-66,124
2,13,42,133
1,67,73,039

0
8,245
1,47,04,381
1,71,85,078

3,94,743
-

2,76,904
-

3,84,43,791

3,21,74,608

Funds for future appropriation

2,68,126

3,11,009

TOTAL (D) = (A) + (B) + (C)

4,66,98,424

4,04,83,273

Sub-Total (C)

APPLICATION OF FUNDS
Investments
Shareholders'
Policyholders'
Assets held to cover linked liabilities
Loans
Fixed assets
Sub-Total (E)

L-12
L-13
L-14
L-15
L-16

49,06,313
2,19,94,828
1,71,67,782
1,05,191
4,41,74,114

42,84,009
1,47,73,602
1,74,61,982
96,387
3,66,15,980

Current assets
Cash and bank balances
Advances and other assets
Sub-Total (F)

L-17
L-18

5,31,727
16,56,320
21,88,047

3,78,323
11,98,712
15,77,035

L-19
L-20

15,18,889
38,140
15,57,029

11,45,621
28,095
11,73,716

6,31,018

4,03,319

Current liabilities
Provisions
Sub-Total (G)
Net Current Assets/(Liabilities) (H) = (F) (G)
Miscellaneous expenditure (to the extent not written off or adjusted)
Debit balance in Profit & Loss Account (Shareholders' account)
Deficit in the Revenue Account (Policyholders' Account)
Sub-Total (I)
TOTAL (J) = (E) + (H) + (I)

L-21

18,02,613
33,58,553
90,679
1,05,421
18,93,292
34,63,974
4,66,98,424 4,04,83,273

CONTINGENT LIABILITIES

Particulars

As at June 30, 2015

22

( ` '000)
As at June 30,
2014 for
corresponding
previous

year
Partly paid-up investments
Claims, other than against policies, not acknowledged as debts by the
company
Underwriting commitments outstanding (in respect of shares and
securities)
Guarantees given by or on behalf of the Company
Statutory demands/ liabilities in dispute, not provided for
Reinsurance obligations to the extent not provided for in accounts
Others-Policy Related Claims under litigation
TOTAL

Nil

Nil

26

134

Nil
Nil
5,91,103
Nil
89,136
6,80,265

Nil
Nil
3,58,263
Nil
75,577
4,33,973

Table 3.1 Balance sheet for the period ended JUNE 30 , 2015
.

FORM L-2-A-PL

[IRDAI Registration No.135 dated 19th December 2007]

IDBI Federal Life Insurance Co Ltd. Registered Office: 1st floor,Tradeview, Oasis Complex, Kamala City, P. B. Marg, Lower Parel (W), Mumbai 400013. www.idbifederal.com
Corporate Identity Number (CIN) U66010MH2007PLC167164

PROFIT & LOSS ACCOUNT FOR THE PERIOD ENDED JUNE 30, 2015 - Shareholders Account (Non Technical Account)
( ` '000)

Particulars

Schedule

For the quarter

ended June 30, 2015

Upto the quarter

ended June 30,
2015

For the
Upto the
corresponding
corresponding
quarter ended June quarter ended June
30, 2014

Amounts transferred from the Policyholders' A/c (Technical Account)

23

30, 2014
-

Income from investments

(a) Interest, dividends & rent gross

68,795

68,795

52,134

52,134

(b) Profit on sale/redemption of investments

14,649

14,649

1,096

1,096

(c) (Loss on sale/ redemption of investments)

(7,042)

(7,042)

(d) (Amortisation of premium) / discount on investments (net)

11,814

11,814

24,560

24,560

45

45

81

81

88,261

88,261

77,871

77,871

6,465

Other Income
(a) Miscellaneous Income

Total (A)

Expense other than those directly related to the insurance business

6,499

6,499

6,465

Bad debts written off

Contribution to the Policyholders' Account (Technical Account)

Provision for tax - Fringe Benefits Tax / Wealth tax

(a) For diminution in the value of investments (net)

(b) Provision for doubtful debts

(c) Others

6,499

6,499

6,491

6,491

Profit/(Loss) before tax = (A) - (B)

81,762

81,762

71,380

71,380

Provision for taxation - Income Tax

81,762

81,762

71,380

71,380

(18,84,375)

(18,84,375)

(34,29,933)

(34,29,933)

L-6A

26

26

Provisions (other than taxation)

Total (B)

Profit/(Loss) after tax

Appropriations
(a) Balance at the beginning of the year
(b) Interim dividends paid during the year

(c) Proposed final dividend

(d) Dividend distribution tax

(e) Transfer to reserves/other accounts

Profit / (Loss) carried to the Balance Sheet

Earnings per share (Face Value of Rs.10/- each) - Basic and Diluted (in `)

(18,02,613)

(18,02,613)

(33,58,553)

(33,58,553)

0.10

0.10

0.09

0.09

Table 3.2:-Profit & Loss Account for the period ended JUNE 30 , 2015

3.2 Marketing
IDBI follows following ways to market their products (Insurance Policies):
Digital Marketing: IDBI federal Life insurance helps to promote the brand online and
drives sales through the online marketing.

24

Branding: IDBI Federal tries to create branding image with the help ofadvertising
campaigns and this is how the company makes awareness of their products to the
people.
Channel Marketing: IDBI federal sell their insurance policies also through their agents.
Bancassurance
a) It refers to selling of insurance products through banks and IDBI Federal is also the part
of it.
b) The IRDA is in discussion with insurers and bankers and wants to assess whether it
would be possible for banks to sell products of several insurance companies. This will
help banks with greater flexibility and provide a wider choice to customers.
c) Direct Marketing :IDBI Federal frequently use mailings as part of a direct marketing
tools.
Marketing management process is shown in Figure 3.1

25

ADB
g
a
ner
cne
ac
syt
s
uSM
rea
ar
nk
e
c
ent
g
n
g

l
l
i
i

Figure 3.1 Marketing management process

3.21Marketing Mix
The Insurance Marketing focuses on the formulation of an ideal mix for Insurance business so
that the Insurance organization survives and thrives in the right perspective.
The IDBI Federal deals in selling services and therefore the company gives due weightage in the
formation of marketing mix for the Insurance business.

26

The marketing mix used by IDBI is based on sub-mixes of the 7 Ps of Marketing as

shown in Figure 3.2

Figure 3.2 shows the 7 Ps of Marketing Mixof IDBI Federal Life Insurance

a) Pricing
IDBI takes into consideration the following for taking pricing decisions:
i) They charge the premium against each of their policies
ii) Interest is charged for defaulting the payment of premium and credit facility, and
iii) Commission is charged for underwriting and consultancy activities.
27

With a view of influencing the target market or prospects the formulation of pricing strategy
becomes significant. In a developing country like India where the disposable income in the
hands of prospects is low, the pricing decision also governs the transformation of
potential policyholders into actual policyholders. The strategies may be high or low pricing
keeping in view the level or standard of customers or the policyholders. The pricing in insurance
is in the form of premium rates.
The three main factors used by IDBI Federal Life Insurance Co. for determining the premium
rates under a life insurance plan are mortality, expense and interest. The premium rates are
revised, if there are any significant changes in any of these factors.
i)

Mortality (deaths in a particular area): When deciding upon the pricing strategy
the average rate of mortality is one of the main considerations. In a country like
South Africa the threat to life is very important as it is played by host of
diseases.

ii)

Expenses: The cost of processing, commission to agents, reinsurance

companies as well as registration are all incorporated into the cost
of instalments and premium sum and forms the integral part of the pricing
strategy.

iii)

Interest: The rate of interest is one of the major factors which determine
peoples willingness to invest in insurance. People would not be willing to put
their funds to invest in insurance business if the interest rates provided by
the banks or other financial instruments are much greater than the perceived
returns from the insurance premiums.

28

b) Place
This component of the marketing mix is related to two important facts:
i)

Managing the insurance personnel, and

ii)

Locating a branch.

Thus, the above two services are provided by IDBI federal. The management of agents and
insurance personnel is found significant with the viewpoint of maintaining the norms for
offering the services. This is also to process the services to the end user in such a way that a gap
between the services- promised and services offered is bridged over. In a majority of the service
generating organizations, such a gap is found existent which has been instrumental in making
worse the image problem. The transformation of potential policyholders to the actual
policyholders is a difficult task that depends upon the professional excellence of the personnel.
The agents and the rural career agents of IDBI Federal act as a link, lack professionalism. The
front-line staff and the branch managers also are found not assigning due weight age to the
degeneration process. The insurance personnel if not managed properly would make all efforts
insensitive. Even if the policy makers make provision for the quality up gradation, the promised
services hardly reach to the end users.
It is also essential that they have rural orientation and are well aware of the lifestyles of the
prospects or users. They are required to be given adequate incentives to show their excellence.
While recruiting agents, the branch managers need to prefer local persons and provide them
training and conduct seminars. In addition to the agents, the front-line staff also needs
29

an intensive training programmed to focus mainly on behavioural management. Another

important dimension to the Place Mix is related to the location of the insurance
branches.Therefore, IDBI considers all the above points while training their agents.
While locating branches, IDBI federal keeps in mind that the branch manager needs to consider
a number of factors, such as smooth accessibility, availability of infrastructural facilities and the
management of branch offices and premises. In addition it is also significant to provide safety
measures and also factors like office furnishing, civic amenities and facilities, parking facilities
and interior office decoration should be given proper attention.
Thus the place management of insurance branch offices needs a new vision, distinct approach
and an innovative style. This is essential to make the work place conducive, attractive and
proactive for the generation of efficiency among employees. The branch managers need
professional excellence to make place decisions productive. IDBI Federal has around thousands
and thousands of insurance agents all over India to manage their regional customers effectively.
Also, IDBI Federal has over 796 branches all over India which help in increasing their customer
base.

c) Process
IDBI makes every effort to make the process of operation customer friendly. The speed and
accuracy of payment is of great importance to IDBI. The processing method has been made
easy and convenient to the customers. Installment schemes have been streamlined to cater to the
ever grow. However, all the above points have already been taken into considerations by IDBI
Federal Life insurance Co.
30

d) People
Being a service industry which involves a high level of people interaction, IDBI pays big
attention for using this resource efficiently in order to satisfy customers. Training, development
and strong relationships with intermediaries are the key areas which are kept under prime
consideration. IDBI attaches big importance to training of their employees and on use of IT for
efficiency, both at the staff and agent level. IDBI Federal has created various financial products
which have been tailored according to the needs of the customers. They have over thousands of
sales personnel who are trained efficiently to bridge in the gap between the customers and the
company.

e) Promotion
The insurance services depend on effective promotional measures.In promoting insurance
business, the agents and the rural career agents play an important role. In IDBI Due attention is
given by IDBI in selecting the promotional tools for agents, Branch Managers and front line
staff. They are given proper training in order to create impulse buying. Advertising and
Publicity and incentive to policyholders are used by IDBI for sales promotion. The company
also promotes their sales promotion drive by participating in exhibitions, fairs and festivals.

31

3.22 The Sales in Last Three Years

The sales of Insurance Policies of the company in last three years against the sales budget are
given in Table 3.3

Rupees in Lacs
Year
2015
2014
2013

Budget
Rs.2000
Rs.1650
Rs.1400

Actual sales
Rs.1903.5
Rs.1587
Rs.1377

Table 3.3 Budgeted and Actual Sales of IDBI Federal Life Insurance Co.
3.23 Impact of Advertisement on Sales
The impact of advertisement on sales of Insurance Policies of company is shown in Table 3.4

Year

2014-2015
2013-2014
2012-2013
2011-2012

Expenditure on

Increase/Decrease

advertisements

of Sales

(Rs. In crores)
Rs.98.7
Rs.80
Rs.52.5
Rs.55.3

Increase
Increase
Decrease
----

Table 3.4 Impact of advertisements on sales of Insurance policies

3.24 Financial Benefit vis--vis Premium Paid

The financial benefits against different policies are furnished in Table 3.5
32

Name of Policy

Amount of

Time Period

Value on maturity

1. Lifesurance Plan

Policy (Rs.)
1,20,000

(Years)
15

(Rs.)
2,29,200 + Bonus

3,00,000
1,30,000

20
5

5,39,500 + Bonus
1,74,000 + Bonus

2. Childsurance Plan
3. Incomesurance Plan

Table 3.5 Presents financial benefits against different policies

3.25 Sales of Different Insurance Policies

The sales of different insurance policies in last two years are given in Table 3.6
Name of the Policy
1. Lifeinsurance Policy
2. Childsurance Policy
3. Incomesurance Policy

Total amount of policy sold (Rs.) in Cr.

Year 2015
Year 2014
482
387
354

329

308.5

286

Table 3.6 Sales of different Policies in last two years

3.26 Customer Retention Strategies of IDBI Federal Life Insurance

The customer satisfaction and customer retention are two most important factors as far as long
term success of a company is concerned. These factors are known to be a huge influencing
33

factor in relation to the economic success of the company. Responsibility for customer retention
usually falls on the most senior service executive, chief customer officer, or sometimes the
marketing chief. It is believed, however, that retention responsibility must instead be shared by
leaders across the entire organization.
The data on customer retention is given below :
a) The customers of IDBI Federal Life Insurance mean the Insurance policy holders of the
company. The following table shows the degree of retention of customer buy IDBI
Federal Life Insurance( Pitampura Branch ).
Number of policy holders
Name of products
1. Wealthsurance

2014

2013

2012 2011

2010

743

607

543

413

376

2. Termsurance

347

307

273

203

159

3.Childsurance

212

--

--

--

--

4. Incomesurance

294

--

--

--

--

5.WealthsuranceFuture

383

307

258

193

148

Star

Table 3.7 :- Customer retention by IDBI Federal Life Insurance

b) A questionnaire survey was conducted with sample size of 100 customers to find out the
customers level of satisfaction to get along with IDBI Federal Life Insurance. The
customers feedback is given below with respect to the questions (refer Appendices I)
Q1. For how long you are associated with IDBI Federal Life Insurance?
Associatio

For last 1

For 2 years
34

For 3 years

For 4 years

n
% of

year
23%

34%

27%

Or above
16%

customer

Table 3.8:- Association of customers with IDBI Federal Life Insurance .

It appears that 16% of respondents are associated with IDBI for more last 4 years and 34% of
respondents are associated for last 2 years.
Q2. Which of the policies you prefer?
Name of policies
1. Wealthsurance
2. Termsurance

% of respondent hold the policy

36%
10%

3.Childsurance
4. Incomesurance
5.WealthsuranceFuture Star

21%
16%
11%

6. Other policies

6%

Table 3.9

: Customers preference of different policies

The respondents feedback indicates that the majority of respondents i.e. 36% of respondents
preferred Wealthsurance.
Q3. How likely it is for you to go for another policy?
% of survey respondent
64%
27%
9%

1.Decided to buy another policy

2.Still under consideration
3.Not decided yet

Table 3.10 :- Likelihood of customer to buy another policy

35

The feedback from respondents is very encouraging as 64% of respondents think in terms of
purchasing another policy of the company.
Q4.In thinking about the recent experience with IDBI Federal life insurance, rate the
satisfaction with the customer service received by you?

Number of respondents

Percentage

Satisfied

78

78%

Partially satisfied

22

22%

Total

100

100%

Table 3.11 : service satisfaction

The survey result indicates that 78% of respondents are satisfied with services provided by
IDBI.

Q5.Do you recommend your friends/family members to buy IDBI Federal Life Insurance
policies?
Policy holder as per age groups
a) 28-35
b) 35-40
c) 40-45
d) 45-above
Table 3.12

Yes
No(
77%
68%
61%
54%

No
23%
32%
39%
46%

:- Recommending IDBI Federal Life Insurance to other people

From the feedback of the respondents it is found that by and large a large percentage of
respondents has recommended to others for purchasing the insurance policies of IDBE.

36

Q6. The process for getting your concerns resolved is fast?

Number of respondents

Percentage

Agree

83

83%

Partially Agree

17

17%

Total

100

100%

Table 3.13 :- concerns resolved

83% of respondents feel that their problem get resolved very fast.

Q7. Are you satisfied with the features and the benefits of the insurance you took?
Number of respondents

Percentage

Satisfied

77

77%

Partially satisfied

23

23%

Total

100

100%

Table 3.14

:- Benefit Satisfaction

It is evident from the feedback of respondents that 77% are satisfied with features and benefits
of the insurance policies of IDBI.

Q8.The service representative is very courteous?

37

Number of respondents

Percentage

Agree

69

69%

Partially Agree

31

31%

Total

100

100%

Table 3.15:-Courteous Service

69% of respondents think that service representatives are very courteous

Q9.Does the service representative handles your queries quickly?

Number of respondents

Percentage

Agree

67

67%

Partially Agree

33

33%

Total

100

100%

Table 3.16:- Quick call

Q10.Does the customer service representative was knowledgeable?
Number of respondents

Percentage

Agree

83

83%

Partially Agree

17

17%

Total

100

100%

Table 3.17 :- Knowledge representative

38

Q11.Does policy plans of IDBI Federal Life Insurance provide highest benefits for you?
Number of respondents

Percentage

Agree

81

81%

Partially Agree

19

19%

Total

100

100%

Table 3.18 :- Highest Benefits

Majority (81%) of respondents think that IDBI Federal Life Insurance provide highest
benefits

Q12.Does the insurance plans policy and procedure of IDBI Federal Life Insurance are
understandably easy?
Number of respondents

Percentage

Agree

93

93%

Partially Agree

7%

100

100%

Total

Table 3.19:- Policy & Procedures Understandability

The majority of the respondents feel that they can well understand the insurance plan and
procedure easily.

Q13. Is the premium payment mode of IDBI Federal Life Insurance is easy?
39

The feedbacks of respondents are furnished in Table below.

Number of respondents

Percentage

100

100%

0%

100

100%

Agree
Partially Agree
Total

Table 3.20:- Easy Payment Mode

3.3 Product Development Department

The product development department of IDBI Federal Life Insurance Co. deals in following
activities:
a) Develop new product ideas and move them through the Product Development Life Cycle
(PDLC) to examine the viability of the .product.
b) Serve as a key contact for developing and implementing new products or administrative
practices specific to the product line.
c) Provide direction and strategic perspective on product initiatives
d) Monitor competition to ensure viability of existing product line.
e) Provide prioritization on product related issues to internal areas to include technology,
legal and state-filing units.
f) Provide product expertise to various internal areas to include sales, marketing, service
and finance.

The new products developed by IDBI in last two years are listed in Table 3.21
S.No.
1.

Name of new product

Childsurance Policy

Benefit of the product

For secured future of Child

2.

Incomesurance Policy

For secured future in the later stage of

life.
40

Table 3.21New products developed by IDBI in last two years

3.4 Human Resource Department

The roles of the Human Resource Department of IDBI Federal Life Insurance Co. are
following:
a) To Plan, develop, organize, implement, direct and evaluate the organization's human
resource function and performance.
b) To Participate in the development of the corporation's plans and programs as a strategic
partner .
c) To translate the strategic and tactical business plans into HR strategic and operational
plans.
d) IDBI Federal Life Insurance Co.evaluates and advises on the impact of long range
planning of new programs/strategies and regulatory action .

3.41 Staffing Process in IDBI

IDBI focuses either on the advertisements or on campus placements for hiring fresh talent
through interviews. The different steps involved are as follows :
i.
ii.
iii.
iv.
v.

Filling up an application form by the candidate

Checking of references
Contacting a candidate for an interview
Conducting interview for final selection of a candidate
Issuing offer letter to successful candidates

41

3.42 Induction Process

i.

First all the necessary information about the selected candidate is given to the concerned

ii.

department by HR Manager where the candidate is supposed to report for joining.

Respective manager of the concerned department welcomes the newly appointed

iii.

employees.
The concerned departmental manager provides the overall information about the
department in which he/she has been placed.

3.43 Training & Development Procedure

IDBI provides On-the job training to their newly appointed employees according to the
requirements of the job. With the growth of the employee in the company, if
Necessary, the employee is sent for external training program for updating his skills and job
knowledge.

3.44 Purpose of training

The aim of training in IDBI is to help the organisation achieve its purpose by adding value to its
key resource the people it employs. The training programmes are designed to :
i.
ii.
iii.
iv.
v.
vi.

Increase productivity and quality

Promote versatility and adaptability to new methods
Reduce the number of accidents
Reduce labour turnover
Increase job satisfaction
Increase efficiency
42

3.45 Recruitment in various department

The outcome of recruitment in last 2 years has been shown in table 3.22

Mode of recruitment

Category of people

Through

Through

No. of people recruited

Male

Female

advertisemen campus

A. Marketing

t in News

interview

paper(Nos.)
5

(Nos.)
2

Professional
B.FinanceProfession

al
C. IT Professional
D. HR Professional

5
4

3
2

4
3

4
3

Table 3.22 Number of people recruited category wise by IDBI in last 2 years

3.46Existing Man power resources of IDBI

The existing manpower resources of the company are furnished in Table 3.23
Category of people
working in the
company
HR Department
Marketing
department
Finance department

Number of people available

In managerial
Below managerial In
level

level
11
19

19
25

12

21

level
22
27

Table 3.23 Existing manpower resources of IDBI

3.5 IT Department
43

clerical

13

The IT department is providing communication support to the organization which helps in

information sharing. The function it performs makes it the backbone of the entire business. The
following are the role of IT experienced in IDBI Federal life insurance:

i.

The technology-driven performance, Mannschaft is utilizing Information Technology in

a big way. This helped in integrating a vast distribution system spread all over India and

ii.

across the world. It will also cut down costs and increase profitability.
Information Technology (IT) has played a major role in strengthening the supply chain
activity by improving operational efficiencies in procurement, production and delivery

iii.

systems.
IDBI Federal life insurance has centralised their system and they have intranet through
which they can access the information. Because of their own privacy system their

iv.

confidential information is not disclosed.

IDBI
Federal
life
insurance
also

uses

their

company

website

www.idbifederal.com which contains software of calculating the insured person

v.

Benefit Illustration.
IDBI Federal life insurance also uses MS-Office so as to maintain their records and to
present the ppts in training schedules.

CHAPTER 4

4.1 FINDINGS
The findings are as follows :
44

a) The majority of customers are willing to buy another policy from IDBI.
b) The majority of customers have high level of satisfaction with customer services
provided by IDBI .
c) The majority of customers are willing to recommend IDBI to friends and family.
d) The most of the customers think that process of getting a concern is fast.
e) It appears that 77% customers are happy with the features and the benefits of the
insurance.
f) It is found that the service representative are very courteous at IDBI federal insurance
and they handle customers queries quickly
g) The IDBIs service representative appear to be knowledgeable.
h) Insurance Policies of IDBI Federal Life Insurance provide highest benefits for
customers
i) The premium payment mode of IDBI Federal Life Insurance is easy.

4.2 Ways to retain the customer

The IDBI federal insurance company in Pitampura branch has to take following action to carry
customers for long time.

i.

To offer some amount of premium on continuous purchase.

ii. To provide some gifts on good occasion which must satisfy the needs of
the customers.

iii.

Establish membership cards and membership programs

iv.

Frequent buyer programs which permit customers to build up fair play

45

v.

To keep active databases that keep track of customers purchases, preferences,

complements and complaints, which are used to carry out loyalty building services and dialogs.

vi.

Integrated marketing programs where the advertising, direct communications,

customer service, database marketing and sales programs are all orchestrated together and
designed to build loyalty.

4.3 Lessons Learnt

4.31As a fresher this was the first experience of the researcher to work within the
corporate world, thus it was good experience with IDBI Federal Life Insurance Co. On
the very first day there were some difficulties in understanding the culture and
environment of such a big company but as the days passed, all the interns got familiar
with the working style, people and the environment as well. In the second week the
training started and Mr. Sachin Garg got us acquainted with functions and operations
of the IDBI Federal Life Insurance.The researchers were trained on how the sales of
insurance policies are made and ultimately this task was assigned to the researchers but
as we continued to make our attempts to sale, we got to know:
a) How to interact with the customers.
b) How to do prospecting of the respective customers.
c) How to present yourself and your company in the best manner.
d) How to do fact findings of the respective customers, etc.

Hence, at the end the researcher had some good learnings and some great experiences
of how to engage with the customers.

46

4.4 The Suggestions Are Furnished Below

a) The company need to increase its promotional activities in order to improve its brand
awareness among people. There should be greater spend on media like TV, hoardings,
banners to improve the visibility of products.
b) The survey find that the most important reason for customer dissatisfaction was the poor
returns and promises broken by their respective companies. IDBI Federal need to ensure
that its policies should have good returns and its agent do not make exaggerated claims
of high returns.
c) Trusted name and agent accessibility are the most important factors which people look
for while choosing an insurance company. The company need to focus on these two
factors in order to make it most preferred insurance company.
d) IDBI Federal has emerged as the second most preferred choice after HDFC life among
private companies. HDFC life has been getting lot of advertisement space in media from
past few years and this is the reason why it is most preferred choice among private
companies. IDBI Federal need to take a cue from it and increase it advertisement spend
to become the most preferred choice.
e) Currently, IDBI Federal does not offer quarterly and monthly payment option while this
option look cumbersome to company but it also need to understand that middle class
people think to take high cover but at the same time they are not able to pay premium at
one go i.e. annual mode. The company need to introduce monthly as well as quarterly
payment option in order to reach

47

BIBLIOGRAPHY

Books
1.Philip Kotler. (2003). Marketing Management: Analysis, Planning, Implementation & Control,
Prentice Hall of India, Delhi. (Accessed on 24 June 2015)

Websites

1. http://www.economywatch.com/indianeconomy/indian-insurance-sector.html,
(Accessed on 24 June 2015.)

2.

http://www.indianmba.com/Occasional_Papers/OP85/op85.html,
(Accessed on 26 June 2015.)

3.

http://www.banknetindia.com/finance/insure2011.htm,
( Accessed on 28 June 2015.)

4. Student Insurance: www.ingletravel.com,

( Accessed on 29 June 2015.)

5. Vehicle Insurance OffersApnaPaisa.com/Vehicle-Insurance,

(Accessed on 30 June 2015.)
48

APPENDIX
QUESTINNAIRE
Q1. For how long you are associated with IDBI Federal Life Insurance?
Associatio

For 1 year

n
% of

For last 2

For last 3 year

year

For last 4 year

Or above

customer

Q2. Which of the policies you prefer?

Numbers of policies

% of respondent hold the policy

( 100 respondents )

1. Wealthsurance
2. Termsurance
3.Childsurance
4. Incomesurance
5.WealthsuranceFuture Star
6. Other policies

49

Q3. How likely it is for you to go for another policy?

% of survey respondent
1.Decided to buy another policy
2.Still under consideration
3.Not decided yet

Q4.In thinking about the recent experience with IDBI Federal life insurance, rate the
satisfaction with the customer service received by you?

Number of respondents

Percentage

Satisfied
Partially satisfied
Total

Q5.Do you recommend your friends/family members to buy IDBI Federal Life Insurance
policies?
Policy holder as per age groups
a) 28-35
b) 35-40
c) 40-45
d) 45-above

Yes(in %)

No( No(in%)

Q6. The process for getting your concerns resolved is fast?

Number of respondents
Agree
Partially Agree
50

Percentage

Total

Q7.Please think about the features and the benefits of the insurance you took. Are you
satisfied with the insurance?
Number of respondents

Percentage

Satisfied
Partially satisfied
Total

Q8.The service representative are very courteous?

Number of respondents

Percentage

Agree
Partially Agree
Total

Q9.Does the service representative handle your queries quickly?

Number of respondents
Agree
Partially Agree
51

Percentage

Total

Q10.Does the customer service representative was knowledgeable?

Number of respondents

Percentage

Agree
Partially Agree
Total

Q11.Does policy plans of IDBI Federal Life Insurance provide highest benefits for you?
Number of respondents

Percentage

Agree
Partially Agree
Total

Q12.Does the insurance plans policy and procedure of IDBI Federal Life Insurance are
understandably easy?
Number of respondents
Agree
Partially Agree
52

Percentage

Total

Q13. The premium payment mode of IDBI Federal Life Insurance is easy?
Number of respondents
Agree
Partially Agree
Total

53

Percentage

IDBI FEDERAL LIFE INSURANCE CO. LTD

54