Aviva Life Insurance Company Limited

Aviva Life Insurance Company was incorporated in 2000 and is headquartered in Gurgaon, India.It is a joint venture between Dabur- one of Indias oldest and largest brand and Aviva plc- United Kingdoms largest insurance group. Dabur owns 74% stake and Aviva plc has 26% stake in the venture.

Product Portfolio of Aviva Life Insurance Aviva Life has diverse portfolio of life insurance plans spreading across many domains like retirement plan, child plan, term plans, savings & investment plans and health plans. Retirement Plan: With rising inflation, its absolutely necessary to make provisions for the future which makes retirement plan an important financial decision. Better known as Pension plan, this plan takes care of financial needs after retirement by investing a part of your savings for limited period. Pension plan provides steady income after retirement and takes care of daily needs. The pension plan offered by Aviva Life is Secure Pension. Child Plan:Parenthood brings responsibilities and no one is better judge of that than you. Child Plan is a plan specifically designed to take care of financial needs of your child. Child plan provides with necessary funds that will take care of childs education, marriage etc. By investing small portion of your savings you secure the financial end of your child. Child plan of Aviva Life is called Young Scholar Advantage.

Term Plan: A risk plan which provides comprehensive cover for your family in the unfortunate event of untimely demise. A term life insurance plan provides good cover at relatively nominal cost and has no survival benefits. Aviva Life term plans are i-Life, LifeShield, LifeShield Plus, LifeShield Advantage. Aviva LifeShield Advantage is a term plan which has survival benefit i.e. return of premium on survival at the end of policy period.

Investment Plan: Popularly known as ULIP, an investment plan invests part of your savings in equity or debt market as per your preference. The objective of investment plan is to give you returns which easily beat the rising costs since the usual returns in a bank are extremely

low. ULIPs offered by Aviva Life are Freedom Life Advantage, Dhan Vriddhi, LifeSaver Advantage, LifeBond Advantage, Dhan Varsha, Sachin Extra Cover Advantage. Health Plan: Slightly different from health insurance, health plan provides cover for surgery costs, critical illness. A lump sum is paid irrespective of actual hospital bill. Health Plus is Avivas health plan.

Distribution Network:
Aviva life has strong distribution channel with 185 branches and 30,000 Financial Planning Advisers. It has also tie ups with major Banks like Royal Bank of Scotland Group, Punjab and Sind Bank, Indusind Bank and many cooperative and rural banks.

Financial Information:
The total premium earned for the half year ended September 30, 2010 was Rs 10,561 million. The profit after tax for the same period is Rs 930 million. A total of 523 claims were made during the period out of which 455 claims were settled and 68 cases were rejected.

Marketing Campaigns:
Aviva Life has been involved in grand scale marketing campaign to promote brand essence of khul ke jiyo. Aviva Life also started global brand campaign you are the big picture which allowed people to upload their photos and if selected would feature in banners, tunnels and buildings. This interactive campaign generated a lot of interest worldwide. The next big campaign was targeted at children Tension chodo, cricket khelo. Aviva Life signed up the legendary Sachin Tendulkar as their brand ambassador to promote this campaign which encouraged parents having quality time with their children. Aviva Life also launched sixsteps.in to help people understand more about retirement solutions. Avivas strategy has three key elements: Increasing geographic focus
Benefiting from the combination of life and general insurance

 Building on their core capabilities

This is reinforced by a commitment to clear financial deliverables in the near-term. Increasing geographic focus Company is focusing on 12 markets where it is having strength and scale. In determining companys focus , the company will judge markets on their potential to generate both $100 million of IFRS operating profits and a 12% return on capital employed, or $1 billion of franchise value for younger businesses.

Europe opportunities: focus on eight markets

o

UK and Europe represents the largest life and pensions market in the world, offering the greatest absolute growth over the next five years;

o Focus on eight markets for risk and savings products in Europe, namely UK, France, Spain, Italy, Poland, Ireland, Turkey and Russia.

North America: focus on growing profits organically

o Focus on growing profits organically in Canada and the US; o In Canada it will focus on being a great underwriting company; o In the US the company will diversify the business mix by organically growing life protection business to achieve a top 10 position whilst continuing to build on core annuity business.

Asia Pacific: focus on growing franchise value

o Company will pursue franchise growth through organic investment; o Its focus is on the high priority markets of China and India; o And will exit low priority markets, such as Taiwan.

 Benefiting from the combination of life and general insurance Companys life and general insurance (GI) operations are excellent businesses in their own right, but in addition to their inherent strengths there are significant advantages of running these businesses under one roof.

Capital The combination of these businesses provides capital benefits by diversifying risks. Aviva can hold 30-40% less capital to write new GI business than the GI business would need to hold on a standalone basis. Cash flows The diversity of Aviva business drives more resilient cash flows and earnings than single line insurers through the cycle. Half of Avivas net cash flow is generated from general insurance businesses. Cost and efficiency There are clear scale benefits and cost synergies to having life and general insurance under one roof, including the operational benefits of shared back-office functions, IT and finance resources; there is also the opportunity to transfer key skills and capabilities across the group. Customer and distribution Differentiation of life, general insurance and asset management businesses through the power of Avivas global brand. Companys combination of businesses provides cross-selling opportunities, with our single, trusted brand which is able to meet our customers complete insurance needs. This makes Aviva an attractive business partner and has allowed us to develop a global leadership in bancassurance. Supported by Aviva Investors, a global asset manager

Aviva Investors is dedicated to building and providing focused investment solutions for clients; Aviva Investors continues to target growth in third party assets to drive franchise value. 3. Building on core capabilities Avivas success is by building on four core capabilities: marketing & distribution expertise, financial discipline, technical excellence, and operational effectiveness. They already performed well in these areas, but by focusing on their efforts and resources, they aim to excel at each of them, and enhance Avivas position as a leading insurer. Marketing and distribution expertise: Will capitalise on their best-in-class multi-channel distribution capabilities including bancassurance leadership, by building on their scale, brand, and strong relationships with distributors/partners, to deliver a broad range of high quality products and services that customers want to buy. Technical excellence: They are building on their existing strengths in pricing, product development, underwriting capabilities and their ability to understand and take measured risks. Operational effectiveness: Aviva is focusing on customer value management (eg improving retention, advocacy and cross-selling), and driving improved quality and efficiency by creating a simplified, more modern way of doing business across the Group and further building on their claims management expertise. Financial discipline: Aviva apply rigorous and clear frameworks for capital allocation and asset liability matching to ensure they are reinvesting in products and markets offering the optimal potential return. In addition, they are focused on managing their investment risk and gearing, and on making selective portfolio changes.

Financial deliverables
Avivas strategy gives a clear way forward, but they are also focused on delivering strong performance in the near-term, so they have set out a number of clear financial deliverables: At least 1.5 billion operational capital in 2011;

Life IRR of at least 12% with payback of 10 years or less; General insurance COR of 97% or better in 2011; 200 million of cost savings and 200 million of efficiency savings by the end of 2012.

The unique features of Aviva products are: 1. Flexibility: to choose different cover levels for the same premium depending on individual needs to choose between funds: Unit Linked and Unitised With Profits to increase the premium and sum insured by opting for indexation in order to get a meaningful amount at maturity of making Additional Single Premium payments as often as required over the duration of the policy. These increase the savings value of a policy besides maximising tax benefits to opt for partial withdrawals from the fund whenever needed.

2. Transparency: to see how funds are invested. Quarterly newsletters are despatched to all customers. As the NAV is published on a daily basis in leading newspapers.

CSR in India Since the launch of the CSR Program in 2004, Aviva Life Insurance has worked to support the underprivileged children and elderly in society to make a difference to those lives who are less fortunate. From rehabilitation programmes, to relief in disaster management, to slum development and to enabling the spread of education where its needed the most, Aviva has managed to touch the lives of a large number of individuals. Over the last two years, its proved to be a catalyst, improving lives and helping thousands realize their potential. For the past one year, Aviva has also been active in areas of Environment conservations.

Avivas CSR programme encourages and supports all branches across India to develop a long-term relationship with an NGO and partner with them to have a meaningful impact. So far Aviva has tied up with 33 NGOs, pan India to work on child and elderly related projects. It has successfully implemented projects in three key focus areas:

Upliftment of underprivileged children Upliftment of underprivileged elderly Environment conservation

Ad campaigns

Aviva Life Insurance launched its ad campaign on September 26, 2009 targeting the child plans space with the thought Education is Insurance conceptualized by BBDO India. This is in line with the recognition theme across the globe.

Aviva has launched an emotional TV ad that features comedian Paul Whitehouse as a dead man who continues to look after his family after he has passed away. The ad, created by AMV BBDO, adopts a different approach to previous Aviva life insurance ads and is aimed at people who have lost a loved one. It is targeting the nearly 20 million people 39% of UK adults who have no form of financial protection. The TV ad opens with the familiar chaos of a family packing for holiday. As it continues, dad, played by Whitehouse, reflects on what he's been able to provide for them, including the family holiday, swimming lessons and help towards university fees. Throughout the ad the audience feels the security of normal family life. But in an emotional twist at the end, viewers discover that Whitehouse is in fact dead and is speaking from beyond the grave. The post-death approach differs from previous Aviva Life Insurance campaigns, which have focused on the "what if?" scenario.

Aviva-kal par control DESCRIPTION: Sachin is on a sea beach playing cricket with a bunch of kids as he talks to us. In some ways life is like cricket, jaise karoron fans ki umeeden hum pe tikee hain, aapke parivaar ke sapne aap par tike hain...you have to be tension-free Thats when you can play life khulke, make the most of today

aur jiyo ji bharke. In some ways life is like cricket, live it khulke. The V.O. says, Aviva ke insurance plan, banaye behtar aapka kal, taki aap aaj rahen tension-free aur jee sake zindagi khulke. 4Ps TAKE: The Master Blaster is promoting Aviva Life insurance now, and, as usual, he looks in form, the right nick and very convincing! The USP is the security provided by the product to millions of middle-class Indians who want to secure their future. As the brand ambassador is the cricketing hero, the smartest idea seems to be associating the popular game with the product in question. The reward to the prospect? The Master Blaster himself!